For Immediate Release: December 19, 2008
DBEDT News Release 08-40

November 2008 Visitor Expenditures Decreased 15.3 Percent

Note: November 2008 Visitor Research Data can be viewed here.

HONOLULU—Total expenditures by visitors who arrived by air decreased 8.5 percent to $10.4 billion in the first 11 months of 2008, according to preliminary statistics released today by the Department of Business, Economic Development and Tourism (DBEDT).

For the month of November 2008, total air visitor expenditures dropped 15.3 percent or $145.2 million, from the same month last year, to $805.3 million. The decline was caused by a 15.8 percent decrease in arrivals by air to 485,544 visitors and lower average daily visitor spending ($180 per person, down from $186 per person in November 2007).

Total visitor days for air and cruise visitors in November 2008 fell 12.5 percent from the same month last year. Total arrivals for air and cruise visitors declined 15.9 percent from November 2007. However the average length of stay by these visitors was slightly longer at 9.23 days, compared to 8.87 days last November.

Among the top four visitor markets, air arrivals from the U.S. West dropped 18 percent while U.S. East arrivals were down 14.4 percent compared to November 2007. Japanese arrivals fell 20.3 percent while arrivals by air from Canada declined 7.1 percent from last November.

"Hawai‘i and many other visitor destinations worldwide continue to be severely impacted by the current national and global economic conditions," said State Tourism Liaison, Marsha Wienert.

"The loss of the two Hawai‘i home-ported cruise ships continued to impact visitor arrivals on all islands in November. 50.2 percent of Hawaii Island's, 45.9 percent of Kaua‘i's, 32.4 percent of Maui's and 20.6 percent of Oahu's decline in arrivals were due to decreased cruise visitor counts."

"There was a bright spot in the November statistics - visitors who came for meetings, conventions and incentives increased 6.3 percent. Contributing to that growth was the Sweet Adelines International convention which attracted close to 7,500 female barbershop harmony singers to the islands."

For the first 11 months of 2008, total visitor days for air and cruise visitors declined 8.5 percent. Total arrivals by air and cruise decreased 10.2 percent from the same period last year to 6,243,080 visitors.

Year-to-date, arrivals by air totaled 6,148,895 visitors 10 percent lower compared to the same period last year. The average daily spending was $181, compared to $182 per person for the first 11 months of 2007.

• All U.S. mainland regions showed double-digit declines in visitor arrivals in November 2008 compared to the same month last year. Arrivals from the two largest regional markets, Pacific and Mountain were down 17.7 percent and 21.2 percent, respectively.
• Timeshare properties continued to gain in popularity among visitors in the islands. In November 2008 a higher percentage of U.S. West visitors stayed in timeshare properties (16.6% of all U.S. West visitors) compared to the same month last year (13.9%). More U.S. East visitors (12.6% of all U.S. East visitors) in November 2008 also stayed in timeshare properties compared to last November (11%). Through the first 11 months of 2008, more U.S. West (14.8%, up from 12.8%) and U.S. East visitors (11.4%, up from 10%) stayed in timeshare properties than in year-to-date 2007.
• The average length of stay by all U.S. West visitors increased to 9.45 days from 9.29 days in November 2007.
• The percentage of repeat visitors from the U.S. East in November 2008 (56.8%) was slightly higher compared to last November (56.4%). U.S. East visitors this month stayed 9.92 days compared to 10.12 days in November 2007.
• Although Japanese visitor arrivals (-20.3%) and visitor days (-16.6%) declined by double digits in November 2008, the decline in total visitor spending by this group was less severe (down 6.5% to $153 million) due to higher daily spending (up from $289 per person per day to $324 per person per day in November 2008).
• There were more repeat visitors from Japan in November 2008 compared to the same month last year (53.8% versus 47.2%). Japanese visitors' length of stay was 5.64 days, compared to 5.39 days in November 2007.
• A noticeably higher number of Canadian visitors who came in November 2008 stayed in timeshare properties (+34.3%) compared to last November. More visitors from this market also stayed in condominium properties (+4.5%) than in November 2007. Year-to-date, Canadian visitors who stayed in hotels decreased slightly (-.9%) while those who stayed in condominiums (+17.1%) and timeshare (+19.6%) properties grew by double digits compared to the first 11 months of 2007.
• There were slightly more first-time visitors from Canada in November 2008 (36.4%) compared to the same month last year (35.7%). Canadian visitors' length of stay in November 2008 was longer at 12.86 days, compared to 11.91 days in November 2007.
• Compared to last year, Canadian visitor days have been increasing every month since January this year.
• The loss of two Hawai‘i home-ported cruise ships continued to impact arrivals on all islands in November 2008, in particular on Hawai‘i Island where 50.2 percent of the losses in arrivals (-20%) were attributable to less domestic cruise ship visitors. Similarly, 45.9 percent of Kaua‘i's, 32.4 percent of Maui's and 20.6 percent of O‘ahu's decline in arrivals were due to decreased cruise visitor counts.
• The decline in cruise visitors was a factor that contributed to a 21.4 percent drop in multiple island visitations as fewer visitors went to more than one island in November 2008 compared to the same month last year.

• All islands reported lower visitor expenditures this month compared to November 2007. Total visitor expenditures on O‘ahu declined 8.2 percent to $420.7 million. Total expenditures on Maui decreased 22.6 percent to $197.1 million; total visitor spending on Hawai‘i Island fell 17 percent to $104.7 million; while total visitor spending on Kaua‘i was down 23.9 percent to $76.1 million.

• O‘ahu experienced less of a decline in visitor days from U.S. West (-11.9%) and the U.S. East (-12.3%) compared to the other islands.
• Kaua‘i reported more visitors from Japan (+2.9%); while Maui reported increased arrivals from Canada (+2.6%) compared to November 2007.

• Much of the growth in Canadian arrivals for the first 11 months of 2008 was on Maui (+7.1%). However, visitors from Canada have declined on O‘ahu (-7.9%), Kaua‘i (-20.1%), Hawai‘i Island (-10%), Lana‘i (-24.6%) and Moloka‘i (-19.9%).
• Year-to-date, Japanese arrivals were lower on Kaua‘i (-24.1%), Maui (-19.4%), Hawai‘i Island (-12.2%) and O‘ahu (-9.7%) compared to the first 11 months of 2007.
• For the first 11 months of 2008, visitor arrivals were lower for all U.S. mainland regions except for Washington State (+1.7%) compared to the same period last year.
• Year-to-date domestic air seats declined 9.2 percent from the first 11 months of 2007. November 2008 domestic air seats were down 14.8 per cent compared to last year November. International air seats were down 6 percent in November 2008 and 10.6 percent year-to-date.
• November 2008 Cruise Ship Visitors
  • There were 3,758 fewer U.S. West visitors; and 5,749 fewer U.S. East visitors who either arrived by air to board cruise ship, or came by out-of-state cruise ships to Hawai‘i during the month compared to November 2007.
  • In November 2008 a total of 21,817 cruise visitors came by air to board a cruise ship or arrived by cruise ship, compared to November 2007 when a total of 37,124 visitors came by air to board cruise ships or came by cruise ships to Hawai‘i. The average length of stay by all cruise visitors during the month was 9.79 days.

• The decline in cruise visitors for November 2008 largely resulted from the departures of the Pride of Hawai‘i (in February 2008) and the Pride of Aloha (in mid-May 2008).
• Also impacting the cruise visitor count was fewer visits from foreign flagged ships. Seven out-of-state cruise ships came to the islands in November 2008 with 11,333 visitors, compared to nine ships which brought 14,511 visitors in the same month last year (-21.9%).
• For the first 11 months of 2008, a total of 242,889 visitors came by cruise ship or by air to board cruise ships, 47.3 percent lower compared to the same period last year. Visitor days for all cruise visitors decreased 45.8 percent.
• Year-to-date, 94,185 visitors came by cruise ships, down 21.8 percent, while total visitor days for those who came by cruise ships declined by 20 percent (See "Arrivals at a Glance" Table on page 2).

For more information, contact:
Marsha Wienert, Tourism Liaison
Phone: (808) 586-2362
Email: marsha.wienert@hawaii.gov

Dave Young, DBEDT
Phone: (808) 587-1212
Email: dyoung@dbedt.hawaii.gov