Potential Impact of the Gulf Oil Spill on Tourism - US Travel ...

<strong>Potential</strong> <strong>Impact</strong> <strong>of</strong> <strong>the</strong> <strong>Gulf</strong> <strong>Oil</strong> <strong>Spill</strong> on Tourism
Prepared for <strong>the</strong> U.S. Travel Association
unaffected become more heavily used as activity was displaced
from <strong>the</strong> oiled areas.
• More than 40 percent <strong>of</strong> businesses in <strong>the</strong> affected region
reported significant or complete losses and visitor center
inquiries fell 55 percent in <strong>the</strong> year after <strong>the</strong> spill. $19 million in
visitor spending was lost in one season.
• Of particular note, 27 percent <strong>of</strong> businesses in parts <strong>of</strong> Alaska
with no oil reported moderate or significant losses
• A 2001 National Oceanic and Atmospheric Administration
(NOAA) study surveyed 96 sites along 8,000 miles <strong>of</strong> coastline.
The survey indicates a total area <strong>of</strong> approximately 20 acres <strong>of</strong>
shoreline in Prince William Sound is still contaminated with oil.
<strong>Oil</strong> was found at 58 percent <strong>of</strong> <strong>the</strong> 91 sites assessed.
5.3.6 SARS / H1N1
• The experience <strong>of</strong> SARS in 2003, followed by <strong>the</strong> Asia-wide
avian flu outbreak, reminded <strong>the</strong> world <strong>of</strong> <strong>the</strong> active threat <strong>of</strong>
serious global pandemics. None <strong>of</strong> <strong>the</strong> outbreaks to date
(including swine flu in 2009) have caused global devastation on
a level with true historic pandemics but <strong>the</strong>re have been some
significant impacts on local economies, not least from sharp falls
in tourism arrivals to areas with a high perceived risk. In most
observed cases <strong>the</strong>se sharp falls have been short-lived, but it
has taken on average a full year for activity to return to business
as usual levels.
• Recorded SARS cases in 2003 were predominantly located in
East Asia with adverse affects to travel across <strong>the</strong> region as
confidence was hit. The important travel hubs <strong>of</strong> Singapore and
Hong Kong were significantly affected. Travel spending in Hong
Kong fell by 60 percent on a year-over-year basis in mid-2003,
but a return to more normal travel patterns was evident within a
year.
• The number <strong>of</strong> reported cases in Singapore was much lower
than o<strong>the</strong>r countries, but its position as a regional travel hub
meant that it was hit by low confidence in travel. Inbound
revenues fell by 40 percent year-over-year in mid-2003 and it
took more than a year for a return to baseline trends.
• Outside <strong>of</strong> Asia, a large number <strong>of</strong> reported cases in Toronto
affected travel to Canada. Total inbound travel spending fell by
more than 15 percent compared with <strong>the</strong> previous year. This
can also be explained by a general blow to travel confidence
from key Asian origin markets and highlights <strong>the</strong> importance <strong>of</strong>
destination perceptions in travel decisions.
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