US elections to hurt tourism

Even with tight recovery measures put in place, all signs point to a tough year for tourism, complicated by the current crisis in financial meltdown in the source markets of the US and Europe.

The US elections are also expected to impact on the industry in the last quarter. According to some players in the industry, most of the country’s nationals will prefer to stay at home and vote first.

Having returned a dismal performance in the first quarter, the Ministry of Tourism’s and Kenya Tourist Board’s focus has shifted to the last quarter, the only hope to boost numbers for 2008.

“We are still not doing enough as we had initially expected, but we have put sufficient strategies in place to ensure that we recover fully within the next one year,” had said KTB Managing Director Achieng Ongong’a during the first quarter briefing.

Earnings went down 61 per cent during the said quarter from Sh8 billion, down from the projected Sh21 billion before the January violence.

“We are still compiling the data for September. However, it is important to note that we have not yet met the targets we had set,” says Mr Michael Riungu, an official of the board.

Unofficial information from the board indicates that figures received in August showed a 37 per cent drop in earnings compared to the same period last year. The board has been rolling out a number of marketing campaigns across the globe since peace returned at the end of February.

An advertising of destination Kenya in collaboration with international media house CNN is expected to boost the campaign. This first campaign will include combining traditional TV spots with an online push comprising banner advertising and video pre-roll.

A run of print advertising in CNN’s bi-monthly travel magazine, CNN Traveller, is also in the package. “This is set to roll out once all the procedures are met,” says Mr Riungu. Key players in the industry are welcoming this move though they are advising caution on the timing.

“The campaign will be a good move on the sides of creating positive awareness about Kenya as a tourist destination,” says Mr Fred Kaigwa, the executive director of the Kenya Association of Tour Operators.

The sector is expected to have reaped from the wildebeest migration at the end of July in the period under review.

The migration of the animals from the Mara in Kenya to Serengeti in Tanzania has been classified as one of the Wonders of the World. This year, it attracted among others President Kibaki who addressed the international media on the country’s stability.

“The endorsement of the sector by the President during the event was welcomed, although the figures we saw were not as good as the previous years,” says Mr Kaigwa.

The numbers were, however, boosted by an increase in domestic tourists. Through the Domestic Tourism Council, efforts have been made to increase the numbers of locals sampling the country’s sights.

The council has been pivotal in educating and publicising domestic tourism since establishment late last year.