The downturn in Hawaii tourism started well before the current recession took hold. Increased competition, fuel cost increases, closure and cutbacks of airlines, loss of two cruise ships, pre-recession jitters, current recession realities, all have contributed to this downturn. This is serious business - tourism represents more than 20 percent of the state's economy and more than one-third of all jobs.   This puts Hawaii in a defensive position - how does it convince people to travel an extremely long distance (from both domestic and overseas markets) for a tropical vacation when the beach might be closer to home.  Or when Mexico is practically giving away sun and sand vacations.

 

I love Hawaii, have visited many times over four decades and even own a timeshare on the Big Island.  Based on my experiences, Hawaii is more than a sun, sand, and sea destination.  But to the potential first-time visitor, what makes Hawaii different from Mexico, the Caribbean, or San Diego, for that matter?  For the repeat visitor, did Hawaii deliver on the experience enough to bring them back for more?  Is the value still there?
 

As a mature destination, perhaps it is time for Hawaii to re-evaluate its brand. It is time to take a step back and ask - What is the product or experience?  How would you describe the destination image?    What does Hawaii have that makes it different from the competition?  Does the current brand deliver on the promise?  How can the current brand, if it delivers, be extended?

 

According to the Hawaii Tourism Authority (HTA), the agency responsible for setting tourism policy and direction for the state, the HTA board recently approved a budget of $71.4 million for the 2010 fiscal year.  This is an impressive budget and the largest of any U.S. state.  Hawaii now needs to focus on how it lays the groundwork to stem the bleeding and begin to recover its losses. The destination needs both short and long term strategies to address the current economic conditions and the longer-term erosion of its market.