OBA: Decline In Earnings ‘Serious & Concerning’

October 8, 2012

[Updated] Speaking after the recent release of the 2012 second quarter statistics, Shadow Tourism Minister Shawn Crockwell said: “The decline in hotel earnings is serious and concerning.

“The industry, after years of big and small properties closing down, has been reduced to a final core of operators. It is essential that these properties do well. Jobs are at stake.

“Despite the industry’s reduced capacity – fewer beds than we’ve had to fill in more than 50 years – Bermuda Tourism struggles to attract enough visitors to fill them,” continued Mr Crockwell.

“Something is amiss, and there is ample evidence to conclude that this is the fallout from Bermuda Tourism operating for years without a strategic plan. We lost touch with the market and the market lost touch with Bermuda.

Summary stats from the recent 2012 Q2 report [PDF] are below: 

  • Air arrivals fell by 6.6%
  • Arrivals from the United States decreased 7.8%
  • Arrivals from the United Kingdom decreased 7%
  • Arrivals from Canada decreased 1.9%
  • Arrivals from other countries were up by 3.2%
  • Bookings at tourist accommodations dropped 6.6%
  • Spending for all categories of visitor expenditure for air arrivals fell 21.7%
  • Cruise ship arrivals increased by 0.2%
  • Sales revenue for resort hotels dipped by nearly 10%
  • Sales receipts for food purchased on tourist properties declined 17.7%
  • Revenue earned from room occupancy sales fell 6.5%
  • There were 2,454 workers in the hotel industry at the end of April 2012, an increase of 8 workers

Mr Crockwell continued: “During the summer the Government finally prepared the launch of a new marketing campaign – “So Much More” – but it comes too late to save the tourism year. We understand from sources that August and September may be the worst on record.

“This year’s scramble by the Government to finally put in place a strategic marketing plan comes too late in the game, at least for 2012.

“There is too much at stake, too many jobs on the line and too much opportunity going to waste to have a Government that forgets its number one role, which is to protect and grow Bermudian jobs and career opportunities.

“We need to change this, starting with the formation of a Tourism Authority that puts professionals, not politicians in charge of tourism,” concluded Mr Crockwell.

Update 10.32am: A PLP spokesperson said: “While it is clear that more work needs to be done, the news isn’t all bad. Employment at our hotels is up – which means more jobs for Bermudians and cruise ship arrivals were up slightly. We are also encouraged by the recent investment by the Green Family in the Hamilton Princess. They would not have made the purchase and the investment if they did not believe in the vision outlined in our National Tourism Plan.

“It is clear that more work needs to be done. The PLP has offered real ideas for improving tourism including a new marketing strategy, new concessions to help hoteliers and more. On the other hand, the OBA has offered only attacks. They have offered no ideas and no solutions for tourism and have no vision for moving the industry forward except for re-naming the Tourism Board.”

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Comments (42)

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  1. Nail Biter says:

    To be honest, Its hard for me to every take seriously what this particular politician says. I just feel that convicted felons should never be in office. There’s a big wide world for them to do lots of other job. NOT POLITICS.

    • PLOP says:

      Attack the messenger, ignore the messge. The PLP propaganda troops got in very early on this one.

    • Zombie Apocalypse says:

      So, you’re happy with this decline in earnings then? You like having 25% unemployment? You don’t mind the fact that the Premier is bizarrely making statements about how thre economy is rebounding?

    • C.B.A says:

      I would take a convicted criminal who has reformed over an incompetent government any day. You must like swimming in billion dollar debt.

  2. LMAO says:

    Crockwell, take a break. Your pass speaks too loud of permanent tainted negative volumes. Not only your conviction but you trying to frame an innocent woman. Not my words, all reported in the RG about the case. Can’t live that down.

    • PLOP says:

      So you are happy that our government are failing us.

    • street wise says:

      We’ve been through this before, do we need to go over it again? Seriously.

  3. Better best says:

    Both Crockwell and Commissiong shouldn’t be in politics. People they were both convicted of CRIMES – give me a break.

    • keepitreal says:

      wouldn’t you agree that they have paid they debt to society and been rehabilitated? Isn’t that not the point of jail. . . how long does your past have to be held against you! clearly they have changed and are moving towards a better future. . . when they did their crimes I’m sure they didn’t think that one day they will be a politician. Life isn’t perfect, people aren’t perfect. Every person has thing in their past that they wish they could change. Such is life!

      Why not let people with real experiences have a chance!

      I think they are good example of how one can turn their life around and move on to positive things!

      Bermuda need to learn to forgive and move on!!!

      • reality says:

        AGREED, THEY HAVE PAID THEIR DEBT TO SOCIETY – this should enable them to get a job and train for any other career than politcs – they should NOT SERVE AS MEMBERS OF PARLIAMENT.
        We need politicians who have not served jail time for drug and gun crimes. We have forgiven and moved on – convicts should not move up to the house of assembly period

    • Rockfish #2 says:

      You might want to check out a few other candidates as well. One works with the Premier on a daily basis.

      • Fishy says:

        @rockfish – “works with the Premier”? Running for political office? Member of Parliament? Convicted drug or gun crime criminal?

  4. Is this guy high says:

    Thank you for Minister of Coke! Since you claimed to have moved on to Pepsi now, please tell everyone the real reason and keep it honest. I drafted the speech up for you! “BERMUDA HAS OUT PRICED IT SELF, WHY COME TO BERMY AND PAY $450 A NIGHT WHEN I CAN GO DOWN TO JAMAICA AND STAY FOR $150 A NIGHT IN A ALL INCLUSIVE” Lets not forget a plane ticket from the NY to JA is about $450 which is 2 to 3 times the distance from Bermuda.

    • street wise says:

      Give me a break!… Jamaica is a wondrous place to vacation… as you lounge by the pool behind razor-wire, chain-link fencing, surrounded by security guards packing shotguns. Can’t even leave your compound, it’s like a prison. You couldn’t pay me to visit there again. 1,200 murders a year. No way!

      Our Visitors LOVE it here!! That’s why they come back over & over again! By cruise ship and by air.

      Bermuda is SO Beautiful! Close, Clean, Friendly, Safe, Quiet, and Different. With plenty of Sunshine, Pink Sand Beaches, Turquoise Waters & Big Smiles to go around for everyone. What more could a Visitor want? How about U.S. Customs pre-clearance at our airport!

      Don’t forget that.

  5. Nail Biter says:

    @PLOP – Sorry to inform I don’t support bad government, the PLP has made major mistakes. I don’t support felons being politicians, so make assumptions, you know that they say when you do that; you could be a PLOP.I’m not happy with the government, but that won’t make me support electing convicted criminals!

    • Goose says:

      Commissiong served time for armed robbery, so unless you’re voting UBP I guess your abstaining.

  6. Undecided says:

    Crockwell everything that was listed the Department of Tourism already told us. Tell me how the OBA is going to drop the $300 a night to $85. Like what I paid in Vegas a few weeks ago. Vegas was packed. Also if you get the sudden urge to steal drugs again, just bring the stuff back on the plane when you return. Customs cannot search Government elected Ministers.

  7. Diversity U says:

    The facts speak for themselves. I think it is time to give the other side a chance to bat

    • Hello says:

      facts is facts, you are correct Mr. Crockwell was convicted of stealing drugs from our courts systems.

      • C.B.A says:

        Commisiong was convicted as well. So you aren’t voting then? You can have the plp with convicted felons who run the country into billion dollar debt or you can vote smart for a party who actually knows what they’re doing.

  8. Terry says:

    Let it go folks.
    Worry about the ecconmy and the missing 800 million dollars.

    • Sandgrownan says:

      And why GP1 is seen down AP Owen Road twice a week.

      • Zombie Apocalypse says:

        She’s taking instructions from the puppet master.

      • Mr. Wrong says:

        Crockwell is a convicted criminal that should never be in a position of government. Word is the OBA is going to make Minister of Security and how can we trust this. NO Mr. Crockwell needs not be a Minister of Security. Who cares where GP1 is or the milk blue and yellow.

        • Sandgrownan says:

          Well, if you’re going to attack the messenger (again i might add), then it’s fair game to ask where Cog is getting her instructions.

  9. keepitreal says:

    My issue with the UBP AND OBA is that they LOVE to point out the obvious!!!!!! We ALLLLLLREADY know this! What solutions do you propose? YES the PLP aren’t up to par but unless you propose economical and feasible solutions, your relentless bashing of the PLP is pointless!!!!

    • Eastern says:

      This is what we pay the opposition party to do; oppose. When the PLP were in oppostion; they did the same thing; oppose…………. while goverments govern and oppsition parties oppose……….that’s what makes democracy work……..stupid!!!

  10. meow! says:

    stating the obvious is no longer considered intelligent Shawn……..buzzzzzzzzzbuzzzzzzzzzzbuzzzzzzzzz….tell us what we don’t know..

    • street wise says:

      It’s not what you don’t know, it’s what you can’t see that’s the issue.

  11. Bermyman says:

    Bermuda is expensive, but we do not cater to those with espensive tastes very well.

    Instead of a vibrant Hamilton Waterfront, we have car parks.
    We have no Casino business, a key revenue earner for modern hotel business. As clarified by Mr.Green himself when commenting on the purchase of Hamilton Princess. Hotel developers do not want to operate in an outdated tourism environment.
    Money was spent on a dock and terminal in dockyard, where Wedco can collect taxes and fee’s from small business in their little catchment. Cheap american tourists who rarely eat at restaurants, buy more that a T-shirt and take anything but public transport. They also do not mix well with high end tourism.

    Bermuda could be high end, jobs in the hospitality business could be plenty for Bermudians if trained properly.

    Tax revenues could increase from gaming and hotel occupancies.

    construction jobs would be provided with new building and upgrades to existing products.

    There has been little to no invention by the department of tourism to make serious steps to take this island forward.

    You dont need quatity of tourist when you have a higher quality of tourist.

    right now, a dwindling International business presence is our only economic pillar. There is no reason why we cannot have both. But we need to take our heads out of the sand.

  12. Argosy says:

    But Furbs is singing that song that says “…errything’s alright”!!??

  13. Pastor Syl Hayward says:

    The numbers of people who have chosen to focus on Mr. Crockwell’s criminal past rather than his present message is sad. Is what he said factual, relevant and pertinent? THAT is what is important.

    Since he is an elected official already, it doesn’t really matter whether or not some people don’t think he should be serving in a public office. Clearly, the people who voted for him didn’t agree. Let it go.

    • OBA only because he's not in my area says:

      I’d rather vote for my dog’s DUNG he leaves in the yard then vote for a man that was already in a position of trust! Now he wants me to listen and trust him again. So he has been reformed dam I tell my girlfriend that all the time, 4 months later I’m still sneaking around Bermuda cheating again.

      • Rev. Truthnolie says:

        former convicts cheat too ask their exes. this is the main reason we can’t trust them. their morals are that of cheaters, they cheated the system, got locked up and now cheat on their mates. read their exes autobios it will share all about their cheating hearts.

      • Good Choice says:

        Our family in Southampton are all voting UBP.

      • VOTE says:

        Ditto, Southampton has a choice, PLP, OBA or UBP – evaluate all 3 candidates and the best is simply the best – IMO the UBP candidate, the one that stands up for truth, justice and Bermuda.

  14. really... says:

    I am just basking in, this, The Platinum Era of Tourism! If Ewart was right, it wont get any better!…..God help us all.

  15. Terry says:

    Swiss bank accounts are a bitch.

  16. Keepin' it Real...4Real! says:

    u ain’k seen nuffin yet…

  17. kawat says:

    A Decline in earnings simply means a decline in spending money which will result in more business closing and loss of more jobs.
    So much of our ecconomy relies on the People having money to spend.
    There are two things that’s going to happen here
    [1] If the PLP should win the next election they have to fix this problem and I don’t know if they know how to .
    [2]If the OBA wins and defeats the now infamous PLP they will has the
    uphill task of trying to put more money back in the hands of People living in Bermuda so they can support this failing ecconomy and could ruffle a lot of feathers doing so.
    This will be the TEST: can’t give if you don’t have!