Tourism Industry Update

Visit Santa Cruz County’s bi-monthly Tourism Industry Update is designed to keep stakeholders, the local business community, elected officials, media outlets, business leaders and community members knowledgeable about the work VSCC is conducting, including programs and initiatives, travel trends, statistics and news affecting the travel and tourism industry. Two versions of the Tourism Industry Update are produced monthly, one an editorially based issue and the other a data-driven issue. 

DECEMBER 19, 2024

IN THIS ISSUE…

VSCC Hosts Scandinavian Influencers

Leveraging Visit California’s Ultimate Playground campaign, VSCC hosted a small group of influencers from the state’s Nordic office November 12 – 13, 2024. Three top-tier influencers from Denmark, Norway and Sweden, headed up by a representative from Copenhagen’s Atlantic Link agency stopped by Santa Cruz for a 24-hour familiarization tour, starting at the Seacliff Inn in mid-county. 

Lifestyle and fitness influencer Nadja Hansen from Denmark, Sweden’s Ebba Forsgren who targets sports and lifestyle followers and beauty and fashion influencer Nikoline Anundsen from Norway experienced Rio del Mar State Beach, Venus Beachside, Henry Cowell Redwoods State Park, the Santa Cruz Wharf and scenic West Cliff Drive, before departing to their next California destination. According to Visit California, 33 percent of travelers from the Nordic countries prefer the San Francisco Bay Area over other areas of the United States to visit – the second most popular US destination aside from Los Angeles, with Las Vegas coming in as the third most preferred spot to vacation. The most popular months to visit are July and October.  

UK and Japanese Travel Trade Reps Tour Santa Cruz County

Two travel trade fam tours wrapped up in November and December, including seven tour operators from the UK and six representatives from the Japan Association of Travel Agents (JATA).  

The UK Gold Medal Fam Tour kicked off with a visit to MJA Vineyards, where the group indulged in a delightful California wine tasting experience, capturing the essence of our region. From there, they were treated to craft cocktails and dinner at Venus Spirits, a perfect way to complement their Santa Cruz County journey. Visit Santa Cruz County staff ensured that the team had multiple opportunities to experience Santa Cruz County’s ultimate playground as they visited The Mystery Spot, took a nostalgic ride on the Roaring Camp steam train through towering redwoods, and explored the unique shops of Downtown Santa Cruz and charming Capitola Village. Guests savored local flavors at Trestles, topping off their stay with a scenic walking tour of the iconic Santa Cruz Wharf, the Santa Cruz Beach Boardwalk, and Steamer Lane. Their journey culminated with a visit to Natural Bridges State Park to catch sight of monarch butterflies fluttering gracefully at their seasonal home. 

Following a successful Club California event in Japan – and despite having just 23 hours to spend in Santa Cruz County – the group from JATA experienced some of the destination’s most iconic attractions. They marveled at the towering redwoods along the Redwood Grove Loop Trail (and spotted a banana slug!), observed monarch butterflies at Natural Bridges State Park, enjoyed wine tasting at MJA Vineyards, and dined at Capitola’s historic Shadowbrook Restaurant. The itinerary also included visits to Capitola Village, Pleasure Point, and a scenic driving tour which included the Santa Cruz Beach Boardwalk, the Santa Cruz Wharf, and the Santa Cruz Surfing Museum, ending with a mind-bending experience defying gravity at the Mystery Spot.   

With ZIPAIR now offering direct flights from San José Mineta International Airport to Tokyo Narita International Airport five times a week, Visit Santa Cruz County continues to explore opportunities in the Japanese market. 

Visit Santa Cruz County Debuts in China, South Korea

To support the statewide push in Asian markets and in an effort to examine firsthand the potential for increased presence overseas, Flavia Oliveira, Director of Sales and Travel Trade and Christina Glynn, Director of Communications traveled to China and South Korea, previously untapped markets and ones that may hold significant value for the region. 

The Visit California China and South Korea Trade and Media Mission began in Beijing on November 18th and concluded in Seoul on November 22nd. To optimize engagement and maximize ROI, programming created specifically for the mission paired critical trade and media contacts with destination representatives over the course of five days, each micro-activation offering the chance to develop and maintain relationships with tour operators and journalists. Nineteen travel trade delegates and eleven public relations delegates represented over 20 California destinations and attractions overall, including Los Angeles, Greater Palm Springs, Universal Studios, Pier 39, Irvine, Pasadena, Anaheim, Monterey, and others.  The China and South Korean markets have shifted away from group tours to California in recent years as younger travelers embrace FIT (Foreign Independent Travel) and increased airlift to major to California from both China and South Korea indicate that these markets may be promising for inbound travel to the region.  

On the Travel Trade track, Flavia Oliveira, Director of Sales and Travel Trade connected with 34 travel agents and tour operators in China and 19 in South Korea. Meanwhile, Christina Glynn, Director of Communications met with 22 journalists and panelists in Beijing, and 49 media representatives and influencers in Seoul to share the story of Santa Cruz County.  

China and South Korea are expected to fully recover in visitor numbers and spending by 2025. In fact by next year, China’s visitor spending in California is expected to reach 102 percent recovered from pre-pandemic levels, with the San Francisco Bay Area being the fourth most popular U.S. destination amongst Chinese visitors, who are shifting to more independent travel behavior. With South Korea’s visitor spending at 106 percent recovered from pre-pandemic levels and the San Francisco Bay Area being the third most popular U.S. destination for these travelers, these new and emerging markets may soon become significant touchpoints in VSCC’s future international marketing strategy, positioning itself as a niche market to the more seasoned and adventurous Asian visitor.  

Campaign Results Show Increased Hotel Bookings 

VSCC’s 2024 spring/summer campaign resulted in more than 8,400 bookings and nearly $3 million in countywide hotel revenue. Compared with last year’s results, the 2024 campaign showed an increase of 50 percent and 25 percent, respectively. 

Arrivals and Departures

Welcome Ginger Shulick Porcella, new Executive Director of the Santa Cruz Museum of Art & History, who will begin her position on January 6, 2025. Farewell to Casey Beyer, who stepped down last month as CEO of the Santa Cruz County Chamber of Commerce. During his seven-year tenure, Casey navigated the business community through the COVID-19 Pandemic, providing support and resources to small business owners. 

Hoteliers Could Experience Higher Costs Due to Potential Tariffs  

Procurement experts are urging hoteliers to be proactive by securing financing and planning purchases now for goods like furniture and fixtures, even before tariffs are enacted, to avoid future price hikes and delays. Potential tariffs on imported goods are expected to span across all industries, with many products relying on components from China – leaving businesses navigating complex supply chains and rising expenses. 

Partner Kudos! 

Supervisor Justin Cummings has been appointed chair of the California Coastal Commission (CCC). The CCC enforces the California Coastal Act, and plans and regulates the use of land and water in the coastal zone, including proposed development. The organization oversees California’s 1,100 miles of coastline, although its jurisdiction extends from Mexico to Oregon, extending three miles into the ocean. On December 10th, Maria Orozco, District 3 Watsonville City Councilmember was named new mayor of the City of Watsonville! Congratulations to Sheri McCarroll, Front Desk Agent at the Holiday Inn Express and Suites in Watsonville. Sheri earned the Hotel All Stars Award in the category of Guest Services by the California Hotel & Lodging Association (CHLA). CHLA honored 144 remarkable individuals at its Hotel All Stars awards luncheon on December 6th at the Hyatt Regency San Francisco.  

Did you know?

According to a study by Hilton, “Travel Maximizing” will be 2025’s leading trend. While 2024 saw the emergence of regenerative travel, with the rest and relaxation trend beckoning travelers seeking quality sleep, mocktails, and wellness experiences, the new year sees visitors seeking impactful experiences. These “travel maximists” also embody contradictions: many want a digital reprieve from cell phones and social media, they also want the convenience of amenities like digital room keys and wifi while traveling. In April, American Express Global Business Travel noted bleisure as a top business travel trend amid corporate travel’s resurgence, allowing business travelers to “explore destinations beyond the boardroom,” illustrating the importance of the intersection of work and play.

  

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