7 TOURISM TRENDS TO WATCH IN THE 2020s

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One tourism trend on this list could deliver you a virtually unmatchable view of St Lucia. (Source: Pixabay)

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Should the Caribbean Cheer or Fear the Rapid Growth of the Cruise Industry?

2019 has seen numerous pieces of notable cruise news circling the Caribbean, from grand blockbuster openings like Royal Caribbean’s CocoCay in the Bahamas, to the recently announced, long-awaited, joint venture port development in Saint Lucia, to the US$ 20mn fine levied on Carnival Cruise Line in Miami for illegally discharging pollution into the ocean.

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7 TOURISM TRENDS TO WATCH IN THE 2020s When it comes to doing business effectively, a to-do list is essential. That’s why we at STAR Businessweek are so pleased to launch the first of our new series of easy to digest, listiclestyled articles that hold key info you need to know about business trends and developments.

Starting us off is this tourism-themed list focused on an industry that is vital to the Caribbean; one that is strong in 2019 and set to see a number of new opportunities for growth arrive in the decade ahead. So here now are 7 Tourism Trends to Watch in the 2020s.

Fostering Filmmakers The Caribbean has always enjoyed a close relationship with the silver screen, providing a tropical backdrop to some of the most famous movies in history, but now islanders are getting in on the act and helping the region transition from simply being part of the scenery to providing the talent behind the camera.

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BY ED KENNEDY, STAR BUSINESSWEEK CORRESPONDENT Continued on page 4 Celebrated Saint Lucian filmmaker Davina Lee. (Photo courtesy Davina Lee/Clayton Rhule)

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THE CARIBBEAN’S GEOGRAPHY PROBLEM

BY CATHERINE MORRIS, STAR BUSINESSWEEK CORRESPONDENT

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A typical Caribbean scene that could be anywhere in the islands.

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hirty countries, more than 7,000 islands and a kaleidoscope of cultures – the Caribbean is hard to define and difficult to pin

down.

Aside from the logistical difficulties of supporting and maintaining regional infrastructure in such a disparate setting, the Caribbean’s unique geography poses a huge marketing problem that heavily impacts its biggest industry.

For decades, tourism stakeholders have deliberated over how best to introduce the Caribbean to the world but misconceptions still abound and are having an impact on economic growth in all destinations.

IDENTITY CRISIS You can’t blame travellers for being confused. While any nation with a coastline in the Caribbean Sea could technically be considered part of the Caribbean, the reality is not that simple.

Several islands, such as the Bahamas and Bermuda, are in the Atlantic Ocean, and much of South America borders the Caribbean Sea but is not considered a part of the region. Then there’s Guyana, neither an island nor part of the Caribbean Sea but considered Caribbean nonetheless.

Context can also create confusion.

The definition of the Caribbean shifts according to setting, with the political definition seldom matching up with the

geographical, or even the cultural. While the Western Caribbean appears more Americanised, the Eastern Caribbean has a different feel to reflect its European heritage.

And yet there are obvious similarities.

From the Bahamas in the north to the Windward Islands in the south, each destination shares a tropical climate that created and sustains a thriving tourism industry. The stereotype of white sand, swaying palm trees and calm, warm waters could be anywhere within the million square miles of the entire region which is why so many tourists think the Caribbean has a homogenous concept – somewhere warm, inviting and with the same resorts, hotels and activities in each destination. The Caribbean Tourism Organization (CTO) has even leaned into this amalgamous concept with its ‘One Sea, One Voice, One Caribbean’ tagline.

ONE CARIBBEAN, ONE DOWNTURN Conflating the Caribbean is a marketing tactic with mixed results. Hurricanes Irma and Maria may have decimated islands such as Dominica and Puerto Rico in 2017, but the entire region was left hurting. Images of shattered islands were shown around the world under headlines that suggested that the Caribbean had been wiped off the map.

The CTO went into damage control Continued on page 6

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SHOULD THE CARIBBEAN CHEER OR FEAR THE RAPID GROWTH OF THE CRUISE INDUSTRY?

BY ED KENNEDY, STAR BUSINESSWEEK CORRESPONDENT

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019 has seen numerous pieces of notable cruise news circling the Caribbean, from grand blockbuster openings like Royal Caribbean’s CocoCay in the Bahamas, to the recently announced, long-awaited, joint venture port development in Saint Lucia, to the US$ 20mn fine levied on Carnival Cruise Line in Miami for illegally discharging pollution into the ocean. It’s why the forecasts of surging demand and rapid growth within the cruise industry are met equally with excitement and weariness around the region.

Expectations of strong growth within the cruise sector in the months and years to come give rise to many questions. What areas of the cruise industry are growing fastest? What is driving the growth? What challenges exist amidst it? And what must Caribbean tourism providers consider in light of it?

WHERE IS THE MOST GROWTH? According to the 2018-2019 Cruise Industry News Annual Report, over 470 ocean-going cruise ships are expected to be sailing by 2027. By that year, global cruise revenue is expected to increase by a third, from around US$ 40bn today to US$ 59bn.

In nations like Saint Lucia, where stats show 669,217 passengers arrived in over 423 cruise ship calls in 2017, the potential for a surge in tourism business over the next decade is mouth-watering.

2019 has seen the Caribbean become the fastest-growing cruise region globally when it comes to pure capacity growth. It’s also a region well-placed to launch into a new decade, with several new infrastructure upgrades and cruise line attractions set to keep bookings strong.

Although it’s clear sailing now, trends can change rapidly. As well as the awful reality that a seasonal hurricane can decimate a Caribbean port, there are competing cruise regions elsewhere in the world. For example, the Mediterranean, which had been in something of a lull in recent years, saw promising growth in 2018, and is making inroads on a comeback.

WHAT’S DRIVING GROWTH? Transport is going through a massive

Will the rapid growth of the cruise industry leave more profits, or problems, in its wake? (Photo courtesy Pixbay)

revolution right now. This informs the future profitability of the cruise industry, and this understanding is critical to assessing the future of cruising. In some instances, such as Elon Musk’s launch of Tesla electric cars, ample attention has followed transport innovation. But because many of the changes we see have been gradual and disconnected from one another, the discussion surrounding just how much transportation will change in the near future is relatively muted.

Yet within the span of a generation we’ve seen multiple game-changing trends, like rapid population growth globally, a blistering rise in purchasing power across many nations, and the ease and speed of digital communications become an afterthought, meaning today’s cruise passenger need not make do with a postcard sent from each port but can call home instantaneously whenever they get homesick.

As a result, cruising is now easier and more convenient than any time before.

It’s no surprise, then, that 30 million people this year alone are expected to have gone on a cruise – a 70% increase on the rate a decade ago. But just as cruise lines have benefitted from such changes, new competition and critics have arisen too.

WHAT CHALLENGES EXIST? Alongside the obvious environmental concerns due to a rapid rise in cruising (something that is beyond the focus of this article but should be noted for

the broader context), as mentioned above, transport is growing locally and globally. For the cruise industry, its greatest challenge is that no matter how sleek and luxurious new liners may be, air power will always outpace sea power.

Travellers who have the time and means to set off on a leisurely holiday will have no issue continuing to sail out of port. However, for those with demanding commitments at home, increasingly any break will be with the desire (and need) for a short-stay vacation.

Even though numerous Caribbean cruises are for seven days or less, a growing market of holidaymakers requires something shorter, or just different; for example, a trip where they can sip cocktails Friday night in the resort, relax by the pool Saturday, and still be back at the office Monday morning after a weekend away. The cruise industry could struggle to attract their business; after all, there are only so many nautical miles a ship can cover in a weekend, especially when the need for a return journey home is factored in.

Then there is the competition offered by an attraction like an all-inclusive resort.

This has implications for Caribbean communities that rely on a busy port of constant cruise ship arrivals. Tourists from major markets like America and Canada will contemplate a short-stay weekend in the Caribbean but not so much the Europeans, given the distance involved to travel here. Also, the rising

boom of cruises in Asia will not benefit the Caribbean, owing to the growing variety of ports and offerings throughout the Asian region that will entice travellers to cruise locally and not venture beyond Asia.

HOW CAN CARIBBEAN TOURISM PROVIDERS DIFFERENTIATE? Undoubtedly the cruise industry will remain a steady source of regional tourism revenue in the years ahead.

However, just as cruise lines must prepare to pivot as market trends and traveller behaviour change, so must tourism businesses, and others who have an association with cruise lines, diversify their target markets. For while the cruise industry is expected to see very healthy growth globally in the near future, that growth will not be evenly spread.

The tremendous appeal of the Caribbean – with more than two dozen nations, over 7,000 islands, and a bevy of ports – means the region will always lure cruise ships and their passengers. But because more tourists are expected to arrive by air for short-stay vacations, any local tourism strategy must increasingly factor in the changing demand and trends of arrivals by sea and air, in order to ensure that any uptick in cruising is utilised as an asset, and not misread and SBW converted into a liability.

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7 TOURISM TRENDS TO WATCH IN THE 2020s Continued from page 1

there’s obviously the opportunity for increased profit. But for those who have faithfully run more humble accommodation for many years, the arrival of ultra-luxury accommodations could quickly eat into their market share.

6. MORE LOYALTY PROGRAMMES Loyalty programmes incentivise tourists to come back for repeat business. The stats demonstrate their value, with 83% of hotel loyalty programme members surveyed in 2016, who were highly satisfied, saying they “definitely will” recommend the brand to others.

Cabrits Resort & Spa Kempinski Dominica – surrounded by Cabrits National Park, the unobtrusive design of this peaceful, hidden away, five-star luxury resort preserves the natural beauty and ecosystem of the stunning, unexplored volcanic island. (Photo courtesy Cabrits Resort & Spa Kempinski Dominica)

1. MORE VIRTUAL REALITY IN MARKETING VR offers the opportunity for any tourist to experience a fun virtual world.

HOW IT WORKS: Via use of a headset, headphones, and other assortments like handheld controllers, a modern VR app’s creation typically involves a combination of talented programmers, motion-capture technology, and visual artists that bring an interactive digital world to life.

WHAT IT WILL DO: Beyond the opportunity for tourism providers to add VR attractions to their resorts for a tourist’s use on arrival, VR tech will increasingly be an important marketing tool. Some, like Marriott Caribbean & Latin America Resorts, are already utilising the power of VR in their marketing strategies.

After all, it’s one thing to write on a travel website about the beauty of Gros Piton and Petit Piton in Saint Lucia, but it’s another thing to show a potential tourist the view of them with their own eyes via VR.

2. SHORT-STAY VACATIONS For tourists under time pressure, shortstay vacations solve their inability to take a long holiday.

HOW IT WORKS: For the Caribbean, successfully appealing to the shortstay market in future is particularly important. If done correctly, tourists will happily depart for the weekend at airports in Miami, New York, Toronto and elsewhere on Friday afternoon, knowing they can dine and dance in the Caribbean before the night is out, and still be back home Monday morning in time for work.

WHAT IT WILL DO: The growing short-stay market will help maintain profitability and increase it in new ways.

But making a success of this formula requires maximising in-country efficiency, like ensuring the transition from airport to resort is fast. Numerous nations in the region, like Saint Lucia, are right now engaged in upgrades for their airport and other key infrastructure, which augurs well for the future.

3. RISE OF ECO-TOURISTS More people who practise green living at home now also want their holidays to be green too.

HOW IT WORKS: Alongside holidaying in green resorts (more on that in a moment), green tourists seek a lowcarbon footprint holiday that provides a direct connection with nature. They also often hold a particular interest in sustainability movements and projects.

WHAT IT WILL DO: For Caribbean nations, the liability of climate change can be an asset, luring tourists to the region to not only take in its natural beauty, but see up close the many sustainability projects being pursued, like the UAE-Caribbean Renewable Energy Fund. Or they may wish to spend a few days at Dominica’s newly opened Cabrits Resort & Spa Kempinski, a Green Globe-certified establishment that embodies many of the principles of environmental sustainability that the Nature Isle (as Dominica is known) strives to promote.

4. SUSTAINABLE HOTELS Sustainable hotels, like Hotel Manapany in Saint Barts and True Blue Bay Boutique Resort in Grenada, are built (or renovated) to be clean and green.

HOW IT WORKS: These hotels are built (or renovated) with building materials to increase energy efficiency, reduce pollution and utilise the surrounding environment (such as via solar panels on the roofs) for the hotel’s benefit in an eco-friendly way. Many of these establishments will increasingly incorporate environmentally-friendly purchasing practices and be subject to independently audited reviews to ensure their compliance with international sustainability guidelines.

WHAT IT WILL DO: As well as attracting eco-tourists, sustainable hotels provide an avenue to drive down energy bills. If the current course of climate change continues, sustainable hotels will be well-placed to avoid any future government levies on the use of fossil fuel and other pollutants. In addition, climate-resilient hotels will strengthen the capability of the tourism industry in times of severe weather events.

5. GROWTH OF ULTRALUXURY ACCOMMODATION Ultra-luxury resorts are the pinnacle of accommodation – residences that are a level up on a luxury hotel by offering limited and exclusive abodes for those ready to pay top dollar.

HOW IT WORKS: For the right price you can stay in one of just eleven villas on North Island in the Seychelles, or a US$ 44,000 per night hill-top villa at Laucala Island Resort in Fiji, or possibly give Virgin billionaire Richard Branson a call – he rents out Necker Island for around US$ 80,000 a night.

WHAT IT WILL DO: For Caribbean businesses that can leverage this trend,

HOW IT WORKS: Loyalty programmes have existed for many years in various forms and sizes but, as the tourism industry globally is growing more competitive, there’s a greater recognition by businesses that they must offer something more to keep people returning regularly.

WHAT IT WILL DO: For tourism businesses, a healthy loyalty programme offers an antidote to many emerging issues. Airbnb may be eating away at their traditional bookings, and new luxury resort offerings may be outpacing their current amenities, but if they can offer something special that retains customer loyalty, then profit will stay steady.

7. AN INCREASE IN CANNABIS TOURISM Love or loathe the idea, many jurisdictions around the world are changing current laws surrounding the recreational use of cannabis. Such a change promises an uptick in tourism.

HOW IT WORKS: Beyond the obvious appeal of cannabis tourism for its enthusiasts, there is a wider attraction that cities and countries can craft around it. In complement to famously progressive destinations like Amsterdam, in recent times places like Denver, Colorado have used the legalisation of cannabis as an additional lure to visit their city for its arts and outdoor offerings.

WHAT IT WILL DO: Although cannabis has been a key part of the Rastafarian tradition seen in Jamaica and around the region, many in the Caribbean family resent the commercial drug trade that has long used local seas for travel throughout the Americas, and tight laws on cannabis persist. However, for those regional nations that do loosen laws, a growth in tourism can be expected.

The Caribbean, having already built a tourism industry around health and wellness, is well-placed to incorporate cannabis-themed experiences into its offerings.

FILM INDUSTRY

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FOSTERING FILMMAKERS

BY CATHERINE MORRIS, STAR BUSINESSWEEK CORRESPONDENT

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he Caribbean has always enjoyed a close relationship with the silver screen, providing a tropical backdrop to some of the most famous movies in history, but now islanders are getting in on the act and helping the region transition from simply being part of the scenery to providing the talent behind the camera.

Award-winning Saint Lucian filmmaker Davina Lee started her production company, Davina Lee Films, in 2000 and says she has noticed a new energy in the business since then, with more resources and support available for both emerging and established talent. “Film is getting more attention.

There are so many countries in the region producing films [and] there are more people getting into it. There is a keen interest in making the industry viable.”

A SUPPORTIVE ENVIRONMENT Lee grew up in an artistic family and credits her writer/photographer mother and her writer/poet father as being her “inspiration and support”. In the early days of her career, mentors were thin on the ground and she relied heavily on the support of family and friends: “When I was coming up there were no filmmakers that I really looked up to; it was just encouragement from family and friends who wanted to see me succeed.”

Deciding to follow her passion, Lee completed a BFA in Film from the Art Institute at Miami International University of Art and Design, followed by an MA in Screenwriting from the University of London. She has worked on a variety of projects during her career, including commercials, music videos and short films, but it is the latter that have gained her the most attention. Her short film ‘The Knot’ has shown at film festivals around the world and won an OECS Commission for Excellence in Scriptwriting award.

‘The Knot’ was filmed over six days in January 2017 and had its Saint Lucian premiere in May that year. Even with a streamlined cast and crew, the production’s budget totalled EC$30,000 and Lee acknowledges that ‘The Knot’ might never have happened if not for the technical and financial support provided by the OECS through its Competitive Business Unit (CBU).

The CBU facilitates funding for films and other creative projects via the 10th European Development Fund as part of its mandate to promote, develop and expand exports from non-traditional industries. The Caribbean Development Bank has also joined the push to promote the creative sectors with its Cultural and Creative Industries Innovation Fund (CIIF) which was established in 2017 with a US$ 2.6mn budget.

“The grants I got really helped,” says Lee who believes that unlocking the

Davina Lee directs actors during the filming of The Knot. (Photo courtesy OECS)

economic potential of the Caribbean film industry requires further institutional support. “The film industry can contribute a lot [economically] but the proper infrastructure needs to be created. It comes down to money. There is room for more [financial support]. There are more stories to tell, and if more money is allocated then those stories can come out.”

Making a film is a long, intensive and multi-layered endeavour with many moving parts – which further complicates the issue of how best to support filmmakers. Lee says: “Music is at the forefront of the creative industries and, to some extent, fashion, but film is more complex and more expensive. You can either help 100 musicians or help one filmmaker.”

Lee grew up in an artistic family and credits her writer/ photographer mother and her writer/poet father as being her “inspiration and support”

She notes that the Saint Lucian government is committed to growing the industry and is looking to establish a Film Commission with that mandate.

“They want to support the industry in whichever way they can. They know it is important and it is happening and they should be a part of it.”

BUILDING AN AUDIENCE A host of film festivals has sprung up around the region in recent years, giving wannabe filmmakers numerous opportunities to mingle with established professionals, international producers and rising talents. The Jamaican Film Festival, the Bahamas International Film Festival and the Trinidad and Tobago Film Festival are among the most well-established. Saint Lucia has its own film calendar with the Piton International Film Festival and the Caribbean Youth Film Festival.

“Festivals are really good in terms of networking,” says Lee. “You might meet someone with a piece of music you can use, or an animator. You never know who you might encounter, you just need to make those connections.”

Caribbean film has also been gathering traction abroad, making appearances at star-studded events such as the Toronto International Film Festival. Lee believes that a good film has universal appeal

and says these events are an opportunity to display the ‘real’ Caribbean to a wider audience. “The films that have been produced here in Saint Lucia, or in the wider Caribbean, are really Caribbean stories – not just about the beaches but showing the ghetto and finding the beauty in that. That’s what I’m interested in, telling the story of Saint Lucian life.”

There are now more ways than ever to tell those stories, and reach a global audience. Filmmaking, like any industry, has not been immune to change and the next generation has new tools, new ideas and new attitudes to the artistic process.

“Younger filmmakers are more creative,” says Lee. “They have new styles, new ways of shooting and they are taking more risks and just having fun. There are also more platforms, like video on demand, and all these things are gamechangers. People have more access now and are creating more because it is getting cheaper – you can now film on your mobile phone.”

But before turning to their tech, Lee has some advice for those hoping to follow in her footsteps: “You have to really dedicate a lot of time to get a film going. It’s about having the time and having your head in the right space. Have a plan, have a good story, and just do it. Do not try to do a big Hollywood production; do a smaller story but a good story.”

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THE CARIBBEAN’S GEOGRAPHY PROBLEM Continued from page 2

A map of the Caribbean Sea and its islands. (Image courtesy kmusser/WikimediaCommons)

mode and immediately mobilised to get the message out that over 70 per cent of the region was still open for business.

The organisation leaned heavily on its sales and marketing partners, media relationships and even the Caribbean diaspora to help broadcast to the world that most destinations were untouched and that affected islands, such as Dominica, Puerto Rico and Anguilla, were on the road to recovery.

Unfortunately their efforts weren’t entirely successful. A later report from the World Travel & Tourism Council noted “a public misconception that the entire Caribbean was struck by the storms has been damaging to the region” and estimated that the fallout from the storms lost the region 826,100 visitors – a potential pay day of US$ 741mn.

The year after Maria and Irma’s tumultuous passage, the CTO, in partnership with the Caribbean Hotel and Tourism Association (CHTA), announced a new marketing drive specifically designed to celebrate diversity. Launching the campaign, CHTA CEO Frank Comito said: “Visitors, past and present, have not been introduced to the offerings of our vast and diverse region. We will change that by highlighting the charms contained in the million square miles of Caribbean Sea, home to French, English, Spanish, Dutch, Creole, African, Asian, American and many other cultures.”

DISTINGUISHING THE ISLANDS Two years on from Hurricanes Maria and

Irma, and inaccuracies over Caribbean geography continue to hurt the islands, albeit on a smaller scale.

When Hurricane Dorian moved into the Bahamas in early September, it slowly inched up the northern side of the archipelago hovering over the small cluster of Abaco islands and cays and stalling over Grand Bahama for more than 12 hours. While these islands were devastated, the rest of the country was untouched with the capital, Nassau, suffering no more than some light flooding.

Yet hotel operators from all over the Bahamas are reporting a dip in occupancy rates that they expect will last until the end of the year. Normally the start of peak season, hoteliers are concerned that the cancellations and

drop in bookings will negatively impact their revenue into 2020.

Hurricanes are a fact of life in the Caribbean. While disaster response

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The year after Maria and Irma’s tumultuous passage, the CTO, in partnership with the Caribbean Hotel and Tourism Association (CHTA), announced a new marketing drive specifically designed to celebrate diversity

policies should obviously prioritise rebuilding, public health and infrastructure concerns, there is also an argument for a stronger, long-term marketing push that focuses on immediate and accurate communication with the international media.

It’s not just a question of educating outsiders. Educational efforts within the region and among the diaspora would help Caribbean citizens become well-informed ambassadors – able to inform the global community about the varied history, culture and geopolitical issues of their home turf.

The CTO is undergoing a period of change and restructuring that hints at furthering these efforts. Under the leadership of Chairman Dominic Fedee, the organisation has said it will close both its New York and UK offices and undertake a ‘comprehensive’ audit of its Barbados headquarters.

These moves are expected to free up resources for greater marketing, research and product development, with Fedee saying: “Over the past two decades there has been much discussion surrounding the promotion and development of tourism in the Caribbean. While there have been many visions, plans, papers written and philosophies espoused, there has been widespread acceptance that much improvement is needed to elevate tourism development in the region.”

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