“Stop giving tourists more reasons to stay away” Scrooge-like environment causes a downturn for Hawaii. Will the Ghost of Christmas Yet To Come bring better news?
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142 thoughts on “Holiday Slump: Hawaii Struggles Unsuccessfully To Revive Tourism”
While I can appreciate this site is focused on travel and tourism, perhaps it’s time as Hawaii residents, we consider shifting the paradigm and and actually start diversifying our economy so that we aren’t as reliant on visitors.
“Diversify.”
Maybe we could try growing pineapple? Sugar cane. Mac nuts.
The plantation economy didn’t work out so well either. Money needs to be channeled into better education, enhanced broadband access for all. Remote work is not just for transplants. With training and access, there’s no reason why locals can’t work remotely for companies who don’t want to open physical offices here in Hawaii.
Well, there seems to a reason locals can’t work remotely, as recently most companies on the mainland are summoning their employees back to the office.
We live in a tourist economy. Tourists are willing to travel to the most remote place on the planet for leisure and a change of pace. Manufacturers, shippers, and companies, however, are not – the numbers just don’t work here for them. Too far and way too expensive to do business here, which is also the case for most remote islands around the world.
Diversify into what? I always see this comment without specifics. Hawaii’s challenges to a diversified economy:
Cost of doing business – Hawaii is so expensive that companies aren’t going to locate here.
Cost of labor is far too high to be competitive in a world economy.
Workforce is insufficiently educated for a modern economy.
Hawaii doesn’t have the natural resources to manufacture anything without importation of materials and will always be at a competitive disadvantage.
In short, no matter how much you want a diversified economy, economics isn’t going to allow it. You should guard tourism like its the crown jewels because without it, Hawaii is doomed.
Been saying that for years. Wish the Politicians would start thinking of our future generations
We cancelled our March vacation in Maui and are going to Spring Training in Scottsdale, AZ. We can watch baseball for 20 bucks a ticket and soak up some sun at a reasonably priced resort. They also have some beautiful hiking trails. Hawaii doesn’t seem to realize that there are a lot of other options out there.
Arizona has amazing winter weather, especially the basin. Full sun every day with temps in the 70s, good restaurants, and importantly — affordable weekly and monthly rentals everywhere. Some of the best winter conditions anywhere, which is why you have so many Canadians in Arizona and Palm Desert, too.
Hawaii has excellent winter weather too, but, the commenters here have identified the problems.
Hawaii’s governor and Maui’s mayor view tourism as a personal ATM from which unlimited tax revenue can be withdrawn, even as they both carelessly destroy tourism in their jurisdictions. Both have declared war on short-term vacation rental owners in Maui. In doing so, they show how little they care about the tourism industry and those tourists who have already booked in Maui or plan to book there. Many examples exist of tropical paradises where unstable governments have destroyed tourism, to the detriment of everyone. Haiti comes to mind. By pushing up hotel/vacation rental costs through excessive taxation and driving visitors away through inconsistent messaging, Hawaii’s politicians are well on their way to killing the golden goose.
Perhaps you might want to reign in the hyperbole? Hawaii is a far cry from Haiti. Also, those who benefit the most from tourism are often mainlanders, either as corporations or private individuals renting out second/investment homes they purchased in Hawaii, thus exacerbating the local housing crisis. For most locals, the benefits of tourism are limited to primarily low-paying jobs in the service sector.
I agree with you about STRs that were previously owner-occupied or leased out in neighborhoods, but those are in the extreme minority anywhere on the islands, and are currently capped at a few hundred.
The majority of vacation homes are those that were built As vacation homes in resort areas by resort developers 50+ years ago. They have inadequate parking, storage, and play areas for long-term living. These homes were never “taken away” from long-term renters.
You have to be careful to not regurgitate misinformation you hear from and about localities that have nothing to do with our islands. We are a special beast, with a different economic history and an economy that, like it or not, is necessarily dependent on tourism.
Yet you keep voting in the same people expecting different results. Elections have consequences, and until you realize that, you will never get out of this mess.
It’s bigger than local politics. Unbridled capitalism where billionaires can buy 98% of Lanai, and large swaths of Maui and Kauai inflates land and home prices, rents, and the Aloha is largely forced to move to the mainland, leaving the wealthy part-time residents and vacationers, and the struggling workers who service them all.
On Oahu now, at HNL heading to Kauai in an hour. I canceled nights on Maui for more time on Oahu and, given the continuing drama on Maui, am glad I did. One week on Kauai and then another on the BI before heading home, all at short-term rentals, as hotel pricing is absurd. If prices don’t decline significantly in the future, this will likely be my last visit to Hawaii. It’s a big world.
We love Hawaii but stayed away in 2023, opting for Tahiti instead. Hotel prices are more than double what they were not that long ago. We love the islands but not enough to spend $12,000 for a week. The anti-tourist sentiment combined with the hotelier’s strategy of less reservations at higher prices are essentially the last nails in the coffin for us. The Caribbean, Mexico, and French Polynesia are better options. People who hold leadership positions in Hawaii don’t seem to be listening or even interested in correcting the situation. Aloha Hawaii.
Wow, I just looked at the Visitor Counts graphs put out by the government. It looks like Maui is almost back to previous levels for this time of year, and the other islands don’t look so bad either. I wonder why the discrepancy between this and what everyone seems to be seeing on the ground?
Not sure if I’m allowed so many comments… it seems those numbers count lodging for the unhoused 8000 fire victims, the people who came to help, etc. I’m in West Maui now, it’s pretty quiet.
Hi Lani.
We appreciate all your comments! Now more than 100.
Aloha.
No, the government website I’m looking at doesn’t include housing of locals, etc. It includes only visitors arriving to the islands by plane.
Here is the website:
dbedt.hawaii.gov/visitor/daily-passenger-counts/
Take a look at Maui. Almost back to normal as of today, 12/23/23.
Just got back from a beautiful cruise to Grand Cayman, Jamaica, curaçao, and Aruba. Not going to spend my money in Maui ever again. Tourists know when they are not welcomed. We went there for many years and now we will be giving our money to other countries and places that appreciate us.
There are those who view this reduced tourism as a problem, whereas the State of Hawaii and the County of Maui most probably view it as a solution. These governmental factions have been trying desperately to pass legislation to reduce tourism for years now, far predating the fires and even the pandemic. Their prayers have been answered with this latest plunge in tourism.
It’s clear that ideally we should strive for balance between tourism and resident needs. It’s also clear that the current governmental actions and attitudes are driving both tourists and residents away. Lower tourism numbers mean fewer jobs available. It’s a vicious cycle, but maybe it’s all by design, and we will end up with some sort of equilibrium in the end.
Tourism in Maui has been bordering on unsustainable since well before the pandemic. There will be continued fallout as the Maui fires also highlighted the ongoing issue with unsustainable development and irrational growth in an area with limited water resources.
“Irrational growth”? Where? The island has nothing on it, save for a few towns sprinkled here and there. It’s the scraggly, unkept land owned by the county and other negligent owners that exacerbated the fires.
I know, we were in Maui in November and actually noticed the removal of vegetation overgrown along the west Maui road ways. It is amazing what a fire does to remind people to actually try to remove all the dead and over grown vegetation along the highway. Then there’s the fact that so many people are allowed to have their homes turned into junk yards. It’s not only unsightly but a huge fire hazard to neighbors who actually take care of their property.
Governor Green, is quickly making former Governor ‘Nuclear Attack Warning in Waikiki (2018)’ and taking County Room Tax Revenue for the State General Fund, while mandating Lockdowns that took the jobs Police, Fire and Hospital, actually look better than the gnome he was!
Hawaii has priced themselves out of the tourist market. With expensive flights, hotels, resort fees, food, beverages, parking, and other garbage fees.
Much cheaper to go elsewhere with all inclusive food and drinks.