Paul Nursey sees a lot more to the upsurge in the city’s tourism industry than another season of solid hotel bookings and full whale-watching boats.
The chief executive at Tourism Victoria looks at another strong start to the tourism season and sees a golden period ahead.
“I really think if we play our cards right, we have a good decade ahead of us,” said Nursey, who is normally cautious when it comes to predictions.
But it seems he has good reason. Nursey, who spent Monday morning kicking off Tourism Week (May 29 to June 4) with an event at the Visitor Centre on the Inner Harbour, said all signs point to an excellent opportunity for Greater Victoria.
“The underlying demand for western North America is extremely strong. It’s a very interesting part of the world and we are a part of that,” Nursey said, suggesting Victoria should be proud of what it has to offer.
That interest in the region, coupled with trouble in global tourism hot spots such as the Mediterranean and parts of Europe, means a place like Victoria that is deemed safe and welcoming gets a chance to move up the food chain.
“The big global tourism players have to move people to make their money. They are moving shelf space just like a retailer would to things that are more attractive,” he said. “Structurally we are seeing tailwinds coming our way so our job is to capitalize on that and hook them.”
So far, so good.
Through the first quarter of the year, hotel occupancy was at 63 per cent, a 4.11 per cent increase over the same time last year. Revenue per available room rose significantly through the first three months to $76.55, an increase of $23.85.
Ferry traffic and aircraft traffic have also increased significantly in the same period.
“I said heading into 2016 that 2015 was going to be hard to replicate because we benefited last year from compression in Vancouver due to a strong conference year and the FIFA Women’s World Cup,” Nursey said. “But we are seeing the numbers being replicated again this year.”
Nursey expects there could be marginal growth over 2015, which he said “would be great.”
“We are nearing capacity during peak season, so the business opportunity is really at this time of year — May, June, April, October and November — the shoulder seasons,” he said.
To expand peak season, the city needs more capacity.
“We need more hotels. We’re starting to get to the point where we need to build more product,” Nursey said, adding there is room for upscale boutique hotels in particular.
They might be needed with Destination Canada now committed to marketing to the massive U.S. market again.
“They are our brand leader. When they are putting their $20 million to $30 million into the U.S. we can come behind with our $1 million to $2 million and the wheels are already greased to an extent,” Nursey said. “Their job is to create brand awareness. Our job is to come behind with a tactical offering to bring customers across the finish line.”
So far they’ve been doing a pretty good job of that, with tourism now estimated to be worth $2 billion in indirect and direct spending annually, said Tourism Victoria. The sector also employs about 22,000 people.
Carole James, NDP MLA for Victoria-Beacon Hill, said Tourism Week is a good reminder of the importance of the industry to the city, and not just its financial impact. “It reminds us what a spectacular place this is when you see the number of visitors who come here and want to continue to come back,” she said.
To showcase the value, Tourism Victoria will host an open house for the public from 8:30 to 10 a.m. on Wednesday at the Visitor Centre at the Inner Harbour.
