“Caribbean Travel Landscape Changed Forever”
Calling it the “biggest and most disruptive pebble to be dropped into the Caribbean pool in fifty years,” the Caribbean Hotel and Tourism Association [CHTA] has released a position paper on the impact for the wider tourism industry due to the opening of travel to Cuba for United States citizens.
The paper said, “The CHTA expects that those islands and countries nearest to Cuba will feel the greatest ripple effects and believes it would be wise for them to begin planning ways to mitigate those effects now.
“As for the other destinations in the Caribbean, the CHTA is of the view that the consequences might be more muted but in the end the total Caribbean travel landscape will be changed forever.
“The Caribbean, the most tourism dependent region in the world could use a good shaking up. For decades, with few exceptions, it has relied on its natural advantages of sun, sand, sea, welcoming populations and, more than anything else, its relative proximity to the United States, the largest economy on earth, for much of its success
“Cuba has already experienced an immediate increase in visitors from all around the world. Due to a ‘time capsule effect’ there are a number of tourist that are motivated to see Cuba before development changes the Cuban character that has been protected for many years.
“Cultural and Adventure travelers are already making their way to Cuba in ever increasing numbers. Being the first in your neighborhood to visit Cuba with the accompanying bragging rights is also motivating travelers to see Cuba.
“So those countries whose focus has been on the United States as their primary source market and who have not felt any competition from Cuba in the United States and who might have been lulled into believing that Cuba is a greenhorn at tourism, will be surprised at how sophisticated and effective the Cuban marketing machine has become.
The paper added that approvals for ferry services from Florida to Cuba “only accentuate the closeness of the country to that state,” saying that ferry services, should it include the option for Americans to bring their own vehicles “could create an interesting niche.”
“There is general agreement that the opening of Cuba will have an immediate impact on the cruise industry,” the paper adds.
“The cruise sector which has been lobbying the wider Caribbean to develop products and experiences beyond sun and sea, gives Cuba an opportunity to present itself as a more diversified destination.
“The major cruise companies have a well-established track record of successfully investing in new port infrastructure, and quickly establishing new or improved ports of call,” the CHTA said, and the “likelihood that cruise lines will drop some existing ports to accommodate Cuba port visits is real.”
The opening of Cuba will also impact the investment outlook for the wider Caribbean region “causing a chilling effect on investing in the Caribbean,” the paper said.
“The fact that Cuba saw over $800 million in hotel-related investments in 2013 is a sobering thought. The Caribbean and its industry will find itself not only competing for American tourists but also for investment dollars.”
The full CHTA paper follows below [PDF here]:
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