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September 2010

Commentary

Travel And Tourism Can Help Spur Recovery

Publication Date: 
June 2009

By Tom Donohue, President and CEO, U.S. Chamber of Commerce
June 23, 2009

Hundreds of cities and tens of thousands of small businesses depend on travel and tourism for their very survival, including the city I work in, Washington, D.C. In fact, travel and tourism is a $740 billion industry that employs 7.5 million people. It's been hard hit by the economic recession.

According to the U.S. Department of Commerce, the number of international visitors who traveled to the United States in January 2009 fell 9% from the previous year. This is a real loss—the international traveler spends on average about $4,500 each time he or she enters the United States. In addition, congestion, crumbling infrastructure, and airport delays are discouraging domestic travel.

One thing we can do to stimulate the economy is to promote the vital travel and tourism industry. We can start by making America a more inviting place for international travelers to visit and conduct business. Passage of the Travel Promotion Act would be a huge step in the right direction. It would do two things.

First, it would create a private-public partnership—without any U.S. taxpayer funds—to promote the United States as a travel destination abroad. Most other countries already have nationally coordinated promotion efforts. Oxford Economics estimates that a well-executed program would attract 1.6 million new international visitors annually. This means more U.S. jobs.

Second, the Travel Promotion Act would help communicate changes in U.S. travel policies to alleviate much of the confusion and inconvenience sometimes associated with traveling to the United States, especially regarding new and intrusive security requirements that create the perception that foreign visitors are not welcome.

In addition to attracting international visitors, we need to remove impediments that make it difficult for our own citizens to travel within our borders. Highway congestion, airport delays, and other inconveniences are increasingly causing many Americans to rethink travel plans. If we invest in a modernized infrastructure, we could create jobs during the recession as well as encourage more domestic travel when times are better.

Attracting visitors to our country is a lot like attracting capital—they go where they feel welcome, safe, and can get their money's worth. We want the United States to be the travel destination of the world, while making it easier for our citizens to get from point A to point B. Passage of the Travel Promotion Act would help achieve this at no cost to U.S. taxpayers.

Comments

Rick 10/12/2009 3:10:29 AM

Since the government, with the full support of the Chamber, have sold US manufacturing down the river, tourism is all that is left. Pathetic leadership in DC and at the US Chamber. Again, how many local chamer branches have left the US Chamber? You guys have not presented that number. We need some new busniess friendly leadership in the Chamber in hopes of again having some influence in DC. (Chattanooga, TN)
Judi Steinman 10/12/2009 3:10:29 AM

Hawai`i Island has really felt the reduction of visitors to our island, so we welcome opportunities such as the Travel Promotion Act to make it easier for national and international visitors to travel here. Fortunately, we have natural wonders such as our very active Kilauea volcano, incredible beaches and the top of the world Mauna Kea that draw people here year round. (Hilo, Hawai`i)
Debbie 10/12/2009 3:10:29 AM

Our state is greatly affected by tourism as well. However, promotions and marketing are not the key to tourism - a steady job and a paycheck will allow people from all over the world to travel. (Bozeman, Montana)
Bart Louhi 10/12/2009 3:10:29 AM

The Travel Promotion Act is the first step in boosting tourism. However, we need to encourage corporate meetings and association conferneces too. Business meetings and conferences are the single largest source of adult education in our country. They provide a place without the everyday distraction to learn new skills and information and to network with your peers. Incentive travel is also an important tool that business has to keep and motivate their top performers. Incentive trips are not boondoggles for corporate big shots they are a reward for employees who have exceeded their goals and have moved their company forward.

Corporate and government leaders should be out on their bully pulpits encouraging business meetings and incentive travel. We need to get this country back to work, improving productivity through education and rewarding those people are exceeding their goals.

The hospitality industry touches each of our lives on a daily basis. Let's make sure it will be around in the future to enhance the quality of life for business and leisure. (Chicago, IL)
Lisette Cain 10/12/2009 3:10:29 AM

Just a compliment to your Director,TradeRoots Liz Reilly who visited Sarasota last week and gave a wonderful presentation on International Trade. She is passionate about her commitment to our economy and it showed. (Sarasota, Florida)
Janet Rudd 10/12/2009 3:10:29 AM

I Don't think So!
SUMMARY AS OF:
5/12/2009--Introduced.

Travel Promotion Act of 2009 - Establishes the Corporation for Travel Promotion as a nonprofit corporation that is not an agency or establishment of the U.S. government. Makes the Corporation subject to the provisions of the District of Columbia Nonprofit Corporation Act. Expresses the sense of Congress that the Corporation should not engage in lobbying activities.

Requires the Corporation, among other things, to provide useful information to people interested in traveling to the United States, counter and correct misperceptions regarding U.S. entry policy, and promote U.S. travel. Requires the Corporation to establish and maintain a publicly accessible website.

Establishes in the Treasury the Travel Promotion Fund.

Amends the Immigration and Nationality Act to direct the Secretary of Homeland Security to establish (by September 30, 2009) and collect through FY2014 a fee for the use of an electronic data sharing system concerning the admissibility of certain aliens into the United States.

Authorizes the Corporation to impose an annual assessment on U.S. members of the travel and tourism industry represented on the Board of Directors of the Corporation.

Establishes in the Department of Commerce the Office of Travel Promotion, to be headed by a Director.

Amends the International Travel Act of 1961 to require that the Office of Travel and Tourism Industries expand its research and development activities to promote international travel to the United States.
(Pekin, IL)
Mike 10/12/2009 3:10:29 AM

Tourism...is this something like the nanci pelosi spin...re: get their minds on something other then what the real problem is!
We need jobs and paychecks to make anything else happen in this Country and if the Gov.'s both local and federally spend more money on some stupid TV/ advertising promotions that will obviously not work in these tough World wide economic times, then I will have even less faith in our run out of this recession / which should actually be called a second great depression although no one really has the balls to say it.

We need the Chamber to focus on manufacturing, and other trades of business that actually make this Country money and stop worrying about all the other crap going on. The Chamber has been acting like obama...all over the damn place...no focus on what is really needed right now!

Out of all that stimulus money I have recently read that only 40 billion of it has actually been put out there, the rest is in the hands of the various Gov's departments waiting to go out...re: more red tape and finding ways to use the money for special interest BS.

I swere the Gov. thinks we are all dumb! and the truth is most Americans who are lazy freeloading people are...and unfortionately that accounts for a whole bunch of people!

Want to make money? Get the manufacturing sector working again...after all lets face it, it was the Manufacturing sector that actual made all the money for the financial sector to begin with...that is common good old history book stuff...O yeah, I forgot the left has decide to change the history books to reflect a point of veiw and not reality. (Saginaw, MI)
Mike 10/12/2009 3:10:29 AM

Tourism...is this something like the nanci pelosi spin...re: get their minds on something other then what the real problem is!
We need jobs and paychecks to make anything else happen in this Country and if the Gov.'s both local and federally spend more money on some stupid TV/ advertising promotions that will obviously not work in these tough World wide economic times, then I will have even less faith in our run out of this recession / which should actually be called a second great depression although no one really has the balls to say it.

We need the Chamber to focus on manufacturing, and other trades of business that actually make this Country money and stop worrying about all the other crap going on. The Chamber has been acting like obama...all over the damn place...no focus on what is really needed right now!

Out of all that stimulus money I have recently read that only 40 billion of it has actually been put out there, the rest is in the hands of the various Gov's departments waiting to go out...re: more red tape and finding ways to use the money for special interest BS.

I swere the Gov. thinks we are all dumb! and the truth is most Americans who are lazy freeloading people are...and unfortionately that accounts for a whole bunch of people!

Want to make money? Get the manufacturing sector working again...after all lets face it, it was the Manufacturing sector that actual made all the money for the financial sector to begin with...that is common good old history book stuff...O yeah, I forgot the left has decide to change the history books to reflect a point of veiw and not reality. (Saginaw, MI)
Shannon 10/12/2009 3:10:29 AM

While I have no problem with international tourism (others coming here or us going there)it should not be our priority. Our priority should be paying decent wages, offering affordable healthcare, etc. so our own citizens can tour our country. Anyone who thinks the Chamber of Commerce is trying to help the majority of people in this country must be thinking of the old days. (Cheyenne, Wyoming)
Diana 10/12/2009 3:10:29 AM

If these other countries are in as bad a shape (and I am QUITE sure they are) as the USA is, advertising to get them here will do nothing. If they don't have the money and are losing jobs, they won't travel no matter how much you promote to them! (Rockford, Minnesota)
Bryan Powers 10/12/2009 3:10:29 AM

I live near the beaches of Delmarva and other than chicken farming, tourism is the only other source for our economy. Real estate and construction earned people a very nice living up until the bust, but noone really expects either of those to come back for quite some time.

I have developed a website designed to give small businesses an opportunity to get large exposure for free; www.beachfyi.com.
There are other opportunities for paid advertising also, but this is a great way for a business to put themselves on the map and get some exposure.

Things are tough everywhere right now, but beach areas only get 3 months out of the year to get in the black. We can use all the help we can get.

Bryan Powers
Powers@BeachFYI.com
www.BeachFYI.com (Dagsboro, Delaware)
Tom Mulhall 10/12/2009 3:10:29 AM

Wow, there is a lot of negativity in some of these posts. I am a past president of the Palm Springs, CA Chamber of Commerce. And my wife and I own a boutique resort called the Terra Cotta Inn Clothing optional resort and spa in sunny Palm Springs. So this post is very important to my town and business.

Yes, we need to encourage manufacturing. Yes, we need higher paying jobs and and affordable health care. But does this mean we ignore tourism as as we work on the many goals in our economy? No!

Tourism is just one area that can pick up the US economy. Just imagine what a boost the US economy would get if people stopped sending billions of their vacation dollars down to Mexico, the Caribbean, or Europe. How many people complain about manufaturing jobs being shipped overseas and then themselves vacation down in Mexico. By vacationing only in the US this year, we can boost the US economy.

My resort has one of the highest occupancy rates of all hotels in Palm Springs. April was our busiest month in our 14 year history. You have to give people a reason to vacation with you, otherwise they will not come no matter how you advertise or what Promotion Acts governments pass. Treating guests as "heads in beds" is not enough.

Hotels need to make sure that their guests vacation experiences are fun, so that when they leave, they will say "wow, that was the best vacation I have ever had."

Passage of the Travel Promotion Act will help, but to get the repeats, it is up to each individual hotel, restaurant, and tourist site to make sure people want to come back.

And you can get repeat business as we average just over a 75% repeat with guests from around the world. So think positively! (Palm Springs, California)
Ken 10/12/2009 3:10:29 AM

It is beyond me why the government, including the Obama team, does not listen to the pro’s like Tom Donohue in their major programs. I suspect most of the Congress has never had a real job and make their decisions based on their own interests and that of their even weaker party leadership.
There is no question that every aspect of the economy needs stimulating, but what is happening is just the opposite. As the government takes over control of every aspect of our lives, it can do nothing but stifle.
(Leander, Texas)
Steve Juhan 10/12/2009 3:10:29 AM

Tourism is by product of wealth - taking a vacation is a reward. Hello!!! We are in a recession right now. People shouldn't be taking vacations. The common American cannot fly to NY City for dinner and a movie! Right now is not the time to save. American's should tighten their belts, budgeting, and saving for tougher times ahead. (Tucson, Arizona)
Rich Godwin 10/12/2009 3:10:29 AM

Tourism is a huge industry that does have a substantial impact on local economies. Foreign travel to the US is only going to pick up if it is seen as a destination worth visiting. That also relies to a huge extent on the exchange value of the US dollar. Right now it is quite cheap for Canadians to visit here and will likely get cheaper, meaning that they can also buy more summer homes here at a better price. The value from Europe is not so good, it's considered more expensive at this time.
Exorbitant hotel prices at key destinations also don't help. Overseas visitors need to be able to see that in America, everybody deals on price. That nothing is carved in stone.
Also if the US is going to advertise abroad, please show places that reflect the real America, not just Disney World and Vegas.
When did anyone last look at places like Tombstone AZ. A great place to visit and real, not fake. (Naperville, IL)
Jean 10/12/2009 3:10:29 AM

Our small excursion company attracts visitors from across the US and all over the world. The guests frequently make their plans to take one of our dolphin excursions, then make surrounding travel plans. As with several other posts here, our local economy is heavily dependent on visitors and their spending. It is hard to afford a vacation, but taking a break from work and seeing other environments and experiencing exhilarating activities is therapeutic and enables one to 're-create' - renew oneself - for the tasks needed for an economic recovery. All work and no play makes Johnny a dull boy! There is truth in that...and we need brilliance right now! Save your lunch money and come visit Hawaii, USA! (Kailua-Kona, HI)
Jean 10/12/2009 3:10:29 AM

Our small excursion company attracts visitors from across the US and all over the world. The guests frequently make their plans to take one of our dolphin excursions, then make surrounding travel plans. As with several other posts here, our local economy is heavily dependent on visitors and their spending. It is hard to afford a vacation, but taking a break from work and seeing other environments and experiencing exhilarating activities is therapeutic and enables one to 're-create' - renew oneself - for the tasks needed for an economic recovery. All work and no play makes Johnny a dull boy! There is truth in that...and we need brilliance right now! Save your lunch money and come visit Hawaii, USA! (Kailua-Kona, HI)
Fred Kaiser 10/12/2009 3:10:29 AM

Considering that the US has the greatest facilities, services, transportation options, variety of climate and scenery and is world class in most aspects, we are being told on every occasion during international meetings that the rudeness by CBP will keep a great number of tourists away. As one Congressman from Washington State quoted so aptly: We are trying to keep terrorists away by being rude and discourteous at our borders! (Bellingham, WA)
Darin 10/12/2009 3:10:29 AM

Like most legislation the US Chamber lobbies for, these programs will only help multi-national corporations, not US citizens. What a bunch of BS! (Boise, Idaho)
Tammy 10/12/2009 3:10:29 AM

Travel, I'm not trying to be rude or scarcatic, but I'm lucky if I can travel to the grocery store. (Hastings, mi)
Chris 10/12/2009 3:10:29 AM

As a new business owner,I see the importance of tourism as it directly affects my business and other businesses around me around me.To address the issue why the numbers are down with tourism in the US. I feel tourism is really a Bonus given to us by our friends in other countries.It really can help a slow building economy.I think to start,everyone needes to be friendlier to each other. We would see more visitors to th USA if other countries felt more welcomed. The Media in the US is a out of control with all the day to day negative information which others see and become afraid.Currently most parents have to supervise childrens daytime TV.If we would put a cap on the amount of negative day to day information the media shows everyone including our friends in other countries, we might get more visitors to every state.Its not allways about the economy,I feel people are afraid of what they hear and see.The US must be made to feel safe to everyone living in the USA first and than to our friends in other countries who are potetial tourists.The US needs to take alot more control of this like a real business.We all need to take inventory and see what as individuals we can do to help.
(Kenmore, WA)
Lynne Betts 10/12/2009 3:10:29 AM

Inexpensive community events such as local farmers & artisans markets bring regional tourists into communities; they stay for lunch and to visit other small businesses and events. The friendliness keeps them coming back! (Seaford, DE)
Kathy 10/12/2009 3:10:29 AM

I have been patriotic all my life. For years I bought second rate cars because they were American. The leadership & corruption in this country is pathetic. While we're working, they are spending, spending and the stimulus is going to the crooks who put us here with their insatiable greed. We are heading for a depression and lack of tourism is the least of our problems. God Bless America!!!! (Fredericksburg, VA)
Samir Amineddine 11/3/2009 7:55:44 PM

I was given less than 1 minute at the US embassy in Beirut & the officer refused to see my banks statements of with a total of more than 80000USD eighty thousands USD & my salary statement of 30000USD at the United Nations Interim Force in Lebanon with world class health family & life insurance & My certificates of real estate ownership of more than one million USD & the official government certificate of the establishment I own & the papers of the 3 resident houses I have in Lebanon & 1 house in Saudi Arabia. Also she refused to look at my Saudi travel documents which show that I have to go back there to sort out things about my house & car & to collect my money.
She just closed on me saying that I do not qualify & handed me a pre-printed paper saying that I do not qualify under article 214b.
My passport number is: RL132O674
My application code: I1WD20LEID
The officer was a lady & that was on October 9, 2009
If you provide me with email address I will attach the documents.
(Beirut, Lebanon)

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