Facing a myriad of uncertainties, Hawaii travel is facing a slow recovery, now expected to take until 2027, which the state believes is a slow but not recessionary situation. The long-troubled Hawaii Tourism Authority is being called back into action to reverse the trend. This comes as the HTA held its spring update yesterday. Will they be able to lasso the 1/3 growth this year compared with the past three years, stop it from going lower? Challenges are ahead to move the numbers up, with reliance on tourism becoming more important than what was desired or expected by the state and its governor.
March starts with visitor arrivals down significantly compared with 2023.
Visitors arriving in Hawaii this month are down about 5% overall, with a growing loss trend. The last three days have been down 7.7%, 6.5% and 10.5%. February visitors were down 5.4% compared with 2023.
Enter the long-troubled Hawaii Tourism Authority.
The agency, which has faced controversy for years, including a legislature that has attempted to eliminate it, is setting forth innovative initiatives to reignite lackluster visitor interest in Hawaii, showcasing what they believe makes Hawaii alluring. This is challenging for an organization once focused exclusively on marketing Hawaii that has had to pivot quickly to sustainable tourism. It looks to be a time when various Hawaii travel stakeholders will at least try to come together with new marketing and positive messaging to help revitalize the lagging industry.
Can Makaukau Maui program stop the significant drop in tourism there?
This new and evolving campaign seeks to empower Maui residents who want to return to employment in the Hawaii travel sector. HTA said that on Maui, nearly 70% of the county income is derived directly from Hawaii travel. They want to promote local Maui businesses and, in so doing, protect and preserve its heritage and community well-being.
This week’s program launch comes in response to declining Hawaii tourism. Will it be enough to reinvigorate visitor interest in Maui and help residents who want to work in tourism?
On Maui, so far this month as spring gets going, arrivals are down 17.2% compared with 2023, with some days down as much as 23%. There’s clearly more work to be done.
The HTA said the Makaukau program will strengthen and empower organizations that offer regenerative tourism experiences tailored to mindful travelers. Those include volunteerism, cultural festivals, and more.
HTA still calls for regenerative tourism for mindful travelers.
HTA is about community-based tourism development and will invest $7.5M in supporting local nonprofits, cultural events, and other initiatives. It is part of HTA’s commitment to “caring for my beloved home, or Malama Ku`u. HTA provides community-based awards to “enhance, strengthen and perpetuate the Hawaiian culture through genuine experiences for residents and visitors alike.”
HTA has its work cut out for it as it aims to preserve Hawaii’s natural resources and culture while magnifying and improving visitor experience and not alienating both Hawaii travelers and the local community.
Your comments speak loudly that Hawaii killed the golden goose of travel.
Many of you have said these marketing folks haven’t been helpful in their mixed and odd messaging about the visitors they seek to attract. There’s repeated talk about Hawaii’s good old boys, and that’s where HTA fits in. Not only that but the curtailment of Hawaii vacation rentals is seen by many as a hindrance to the return of robust tourism.
Hawaii vacation costs stop the return of many visitors.
So many people have expressed that they have primarily been priced out with exorbitant hotel costs.
Meanwhile, many in Hawaii focus on diversifying away from relying solely on tourism. At the same time, nothing has been proposed that would be able to fit that bill.
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So the HTA is being revived to bash tourists again. Great idea.
I have travelled to Hawai’i since I was a little girl in the 70s and have so many good memories. Have mourned some of the changes, but the air and water still feel like a caress, Plumeria still smells as sweet, the Zebra Doves song as calming and the birds/fish/sea turtles as wonderful. I will find cheaper accommodations and other ways to save, but I will never abandon this very special place. The spirit of Hawai’i will live on, whatever we tourists decide.
We have owned a vacation rental on Maui for over 20 years. The last few years, property taxes have gone completely out of control ($16,000 for a 900 sq ft, 2br condo!) as well as added state & local TAT’s. The legislature is going exactly the wrong way on giving the counties More authority. This is the shotgun that has blown away the golden goose. These costs are passed on to our customers. Many that come back every couple of years are going elsewhere. If the state doesn’t get these taxes reversed and tightly regulate the countries, it will be the end. Our (fixed) break-even cost has ballooned. Electricity and land-line phone (required by most AOA’s) costs have also gone through the roof.
You elected this governor so you deserve what you get. Most residents want to save all the good stuff for themselves… don’t want to share paradise with outsiders. But since the outsiders are the ones supporting the economy, good leaders would ignore the selfish bitchers. This governor apparently is too ignorant to understand basic economics. Typical for government “service”. What a joke.
Absolutely correct. They openly want the Covid shutdown back permanently and when there’s no $ for roads, fire and police protection and electricity, they will demand The state provide it.
A joke indeed. pandering for local votes while in the pocket of the hotel industry that keeps building.
While the state wants more visitors, it is making it more expensive to visit! TAT was 7.25% a few years ago, now it’s 10.25%, plus the 3.0% OTAT. Now, the state wants to add a $25 visitors fee. That will be pushed up every year. Hotel and restaurant costs, driven by union wage costs, and the unholy alliance between Hawaii’s one party rule and the unions will continue to adversely impact tourism.
This is a product of really poor messaging and making things as difficult as possible for travelers. Don’t come now, ok come now, ok don’t come now. You can only come if you participate in such and such initiative. Btw, we’re taking away the most affordable places to stay and removing competition so the remaining places are even more expensive. Oh, and we hate you. But please come. No wonder travelers are going elsewhere.
Messaging is very important and whenever it is the opposite of the “Spirit of Aloha”, it becomes very negative. But in today’s economy, Value for Money is what’s driving people away. Current state and country officials need to reform or be fired.
As a former resident, I see hotels rates are very high and is a problem for planning a vacation to return for a visit.
We have a time share on Maui but have started searching out new vacation options. Everything from airfare, meals and activities have all risen way out of proportion to other vacation venues.
As the Hawaii government kills the vacation rental industry they in turn will eliminate the many visitors who can’t afford to bring thier families here due to the high costs of getting here, coupled with high hotel prices or lack of hotels in many areas. The vacation rental industry supports many local people who clean and maintain these properties as well as supporting local restaurants and businesses. It’s wrong and ignorant to vilify vacation rentals and then add fees and requirements for having to schedule and pay extra to enjoy the parks etc. The Big corporations that own the mega resorts and the wealthy are the only long term winners and maybe some politicians funded by them in this scenario.
We have had ten great trips to Oahu but they have gotten so expensive now that we are exploring other options like Mexico where many of our friends go. Sad because we love Hawaii!
We have been visiting Maui for over 25 years. 2023 we switched to Oahu because Maui was priced out of the market. We really enjoyed Maui more so planned to go back for 2024. Well we are now in Florida, we couldn’t figure out if Maui actually wants decent tourists
The longtime residents of Hawaii are done with being walked all over. They now command wages that are equivalent to the same mainland markets where houses also go for millions of dollars. There’s a reason that trip to Costa Rica or Thailand is so much less expensive and it has to do with the pay that people receive in those countries. Take a look around you next time you’re in the grocery store here. Look at who is working the register and bagging your groceries. You’ll notice a stark difference between the demographics of those filling these positions than you will on the mainland.
Last I checked, Hawaii is a state, and is thus subject to the same wage laws as any other state. The people checking groceries in Hawaii and largely Hawaiian for the same reason the people checking groceries in Idaho are mostly white. Has nothing to do with being “walked over.”
Well Keith, with your attitude, pretty soon there won’t be any visitors in your grocery stores to bag groceries for. So much for Aloha spirit! Let’s just say Aloha Hawaii, the Caribbean is calling.
We have been to Hawaii 7 times to 3 different islands.
Our purpose is to relax in the sun, swim, and be glad we are still in the USA.
Even before the fire we felt that locals were not thrilled we were there. Now, the message seems to be stay away. We are taking housing away from those displaced.
The increased tax, higher rental nightly rates, add to make the trip too costly. But more importantly we feel not wanted.
I’ve been to Hawaii previously and enjoyed it thoroughly. Prices were doable but it doesn’t seem to be that way now. We wanted to go for our 40th anniversary but are really finding it difficult to justify the cost. There are too many other options these days. Really wish we could work it out.
we were in hawaii last september it was ok but the extra tax rate for the hotel was a bit over the top I have been to nicer places in my travels we found most of the hawaiian people very nice it is a very expensive place to stay won’t be rushing back
I think you are sending mixed messages, sometimes you don’t want tourists then you say you want tourists I think people are confused and are not sure what you want so they look elsewhere.
Ridiculous high prices certainly fuel the reduction in tourism.
Another factor is many people are not interested in visiting or spending their hard earned dollars in a place they are not wanted. I am tired of hearing the rhetoric of some locals who complain about tourists. Without tourist dollars how do you repair/rebuild your homes? They should be begging tourists to return, and the large hotels frequented by tourists should help by offering lucrative promotions to bring tourists back. Wake up Hawaii.
Without tourist dollars how do we rebuild or repair our homes? Really? You think the taxes that tourists spend here go to a general public fund for home repairs?
They’re an island. Tourists take away the limited resources they have and make them way too expensive, as noted here by other comments. It’s just as expensive for those trying to live there
I think that the slowdown is at least partially due to the hotel industry itself. By vigorously lobbying against Airbnb type short term rentals, causing new laws to be passed severely limiting them, potential tourists are looking at other cheaper accommodations in other warm destinations. Mexico for sure.
It feels like the local politicians are in cahoots with the big hotels. Both seem to be trying to drive the AirBnB and VRBO properties out of business. No proof. But if it quacks like a duck ….,,,,
I’m a longtime Hawaii visitor from California and usually go one or two time per year. Last year I vacationed in Thailand and Cabo San Lucas instead of Hawaii because of the incredible increase in hotel costs in Hawaii. The place in Kihei i used to always stay at for $175-250 per night is now averaging around $650 per night. I can’t afford to pay 3-4 times as much as anywhere else to stay in Hawaii. Definitely miss is as Hawaii is my favorite vacation spot. I’ve been to Maui so many times now I can travel the majority of the Island without a map. I will miss my second home but just can no longer afford to visit.
“Meanwhile, many in Hawaii focus on diversifying away from relying solely on tourism.”
With the location of Hawaii, I don’t think there is anything to replace tourism. And, watch out if the military shrinks (unlikely given the China problem).
They survived many years without tourism. Tourism is a main industry by only a little bit. Agriculture and industrial are right up there. They would be able to make the switch It just couldn’t come all at once.
This is a tricky question that is easily manipulated for political purposes. The Hawaii Data Book lists industry types, not sources of income. Retail, for example would appear to be a separate category but is dependent upon tourism. So you really have to look at sources of income. In 2017, tourism was responsible for 23.6% of income in Hawaii, while today it is down to 21%. That may sound good to some people, but tourism brings cash to the State, much of the other sectors are circulating cash within the state. The 2024 number could be as low as 18.7%. This would be a critical level, as government services and infrastructure have been constructed to enjoy the tax revenue of a much higher number. Locals then foot the bill.
The Governor better hope that the military picks up any tourism slack or Hawaii is toast.
Presently sitting on my balcony on Marco Island, Florida and looking at the Gulf. Nobody is trying to homestead the beach, no signs telling me I’m not wanted rates that are reasonable. Went for dinner last night with 4 people, had a great dinner on the water and it didn’t cost me my 1st born child and had great service. This decision is getting much easier to make.
I have STR on Kauai and will tell you it is extremely painful. The authorities charge an enourmous cost taxing everyone involved. The GET and TAT in Kauai is highest. Everyones hand is out for more. This cost is carried over to the guests. If you are zoned close to the ocean and it is a STR the property tax is through the roof. Our 333 sq ft condo is 5,500/year. HOA dues are 1000/mo and that is considered inexpensive. Now the state wants $25 per person to be collected for tourism tax. We do everything to keep our cost down so that we can keep our nightly rate reasonable and doable for guests. Sadly owners cannot control the rising cost to do business.
We’ve been coming to Maui for over 40 years and have owned several condos. We’ve noticed that the feeling of Aloha has greatly diminished starting with our first trip back after Covid. Many of the local people have expressed that they don’t want us there and after the fire it has intensified. I believe when FEMA finally withdraws financial support, that this anger towards both tourists and those of us who have invested in properties that are short term rentals when we are not there, will escalate even further. Many friends are selling or contemplating selling because of the threats made by the Governor and legislature to punish those who have purchased, by changing rental rules and by changing exorbitant taxes to non residents.
We were planning a two month trip to Kauai in 2026 we were looking for a 1 bedroom condo they start @ 10 K month, priced yourself out of the market, can go other warm destination for three months for less than 15 K
My wife and I have been comimg to Hawaii for over 20 years and spent well over 400 “overnights” on the islands – mostly on Kauai (all in condos) which we have come to view as a “second home” for us. We have two trips planned in 2024 covering five weeks. Sad to say, that maybe for 2025, I may well need to rethink my “love for Hawaii.”
Thank you for giving voice to those of us who will tell you the place is not welcoming the aloha is not there. Costa Rica just happier people.
I’ve been visiting Hawaii for 52 years. Spending quality time on Maui and Kauai, plus Molokai. With the outrageous price increase on all levels @hotels, tax this, tax that, rentals, it’s not fun anymore to visit and enjoy the islands. Choose to change this and I will definitely return. Aloha.
Have been travelling to Hawaii since 1971, 16 visits. My take is that the problem stems from the fact that prices of everything from hotels to restaurants and activities have become out of reach for middle income folks. I just returned last week and paid $29.00 for two people to see a movie at a local theatre.(Rediculous )Now I understand that the Hawaiian authorities want to charge some amount to visitors who want to visit. There are lots of places around the world that are cheaper and just as beautiful. I love Hawaii but don’t kill the golden goose that is your tourism Once you lose it it will be very difficult if not impossible to get it back