On a graph, the track of Japanese visitors to Hawaii would trace a clear “V” outline. For years soaring along at high levels, it would start cratering in 2020 at a point aligning precisely with the COVID-19 global lockdowns.
By far, Japan was the largest single international point of origin for inbound tourists to this state, with international arrivals exceeding 1.5 million in pre-pandemic 2019. And then they fell off a cliff, plunging to 289,137 in 2020, sliding to a low of 24,232 in 2021.
Economically, this is worrisome for the state’s
medium- and long-range fiscal health. Recovery is
already a top concern, and should remain so.
The up-side of that V shape, however, is still building — but more slowly, unfortunately, than most industry experts had hoped, as recently as last summer. The
Hawai‘i-Japan Sister State and Sister City Summit in July placed an end-of-2024 target for full recovery of the state’s Japan tourism market.
That projection, essentially, was viewed through rose-colored glasses. Climbing back to past levels could take until 2026, experts now say. The first quarter of this year is on the same disappointing track as the fourth quarter of 2023, Eric Takahata, Hawaii Tourism Japan managing director, told Honolulu Star-Advertiser writer Allison Schaefers.
This tourism decline represents a significant loss of revenue both to the industry and the local tax base. Smart planning, by tourism-sector leaders and the officials elected to spur the recovery, is imperative, using
a strategy that addresses any weaknesses in Hawaii’s appeal.
Clearly, there is competition. South Korea and Hawaii now are tied for the top position among travel destinations in the most recent survey of Japanese customer travel demand, conducted by the tour company JTB Hawaii. Cost is a factor, with fuel surcharges now retreating but remaining high, making Hawaii more expensive to reach.
And, of course, inflation has raised prices everywhere, including in this state. Increasingly, tourists who are active on social media have been sharing their sticker shock with friends, so word has definitely gotten around.
So Hawaii needs to be marketed as a place that is worthwhile, and part of the response must be a push to improve customer service at a level that travelers in the Japan market have come to expect within their own country.
Ted Kubo, JTB Hawaii’s president and CEO, said his company is incorporating value-added services such as airport shuttles, hotel lounges, customer-service stations and the like. More of that needs to happen across the industry to elevate Hawaii’s cachet for all visitors, but for Japan tourists in particular.
Some of the obstacles are not within local control. Changes in the “lift” capacity — how many flights from how many cities are Hawaii-bound — are among these. There was a tourism surge immediately after the pandemic, but Japan’s travel restrictions were more persistent than those of other countries.
In order for airlines to add flights, though, the demand needs to be there. The right marketing message becomes imperative.
The “malama Hawaii” message, an element of the state’s effort to make tourism more sustainable for natural and cultural resources, remains important as part of the outreach in the Hawaii Tourism Authority marketing contracts.
But it’s not sufficient, at this stage. HTA is right to transition to its newer campaigns, dubbed “Beautiful Hawaii” and “It’s Got to Be Hawaii.”
The intent needs to be one of confident persuasion, backed up by a reinforced customer-service approach. Japan’s visitors should be shown that Hawaii is an exceptional destination, and worth the price of admission.