Panel Discussion on the Tourism Industry in Grenada

Last week I attended a panel discussion entitled “Developing and Marketing the Tourism Product amidst the Financial Dilemma” hosted by the Business Student Association of St. George’s University.   Speakers included Bonita Morgan (Director of HR at Caribbean Tourism Organization), Jeremy Jones (Regional Director at Sandals Resorts International), and Simon Stiell (Executive Director at Grenada Board of Tourism) along with student presenter, Joshua DaSilva.  Several interesting points came from the discussion.

First, Grenada’s brand, “Isle of Spice”, needs to be rebranded.  Since Hurricane Ivan destroyed much of the spice industry of Grenada, the phrase “Isle of Spice” must transform into meaning “spicy” culture, making Grenada a “cultural” destination and staying away from the heavily competed area of “sun, sea, sail”.  Yachting, diving, and cruising are the most export ready and should be the focus of advertising efforts.  In addition, voluntourism is unique to the region.  It could be used to bring people to Grenada and also help improve the infrastructure and lives of Grenadians.  They also feel that a flagship hotel would improve tourism to the region.

Second, the public sector and private industry are working separately, creating a duplication of efforts.  If the two could join together and work together, progress could make 1 + 1 = 3.  In particular, the deterioration of several tourist sites needs both public and private involvement.

Third, as Europe and the USA struggle with their current economic crises, the BRIC (Brazil, Russia, India, and China) countries are still growing and developing.  People from these countries are interested in travel and exploring new cultures.  This might be the time to switch the advertising focus from the USA and Europe to the BRIC countries.  Cruise ships from the USA have to travel quite a long distance to get to Grenada and are finding islands to visit that are closer.  If Grenada can partner with Brazil, Colombia, Aruba, and other locations, the cruise ship and tourism businesses may be improved.  The idea of switching the advertising focus from the USA and Europe to BRIC countries was a controversial topic.  One speaker presented it as a good idea, while the other felt that it would cost too much to enter new markets at this time.

Fourth, Grenada should consider taxing tourism at the “end” rather than the “beginning”.  A couple of speakers talked about the high taxes that airlines have to pay.  One speaker suggested that airport taxes and hotel taxes be eliminated for tourists.  More tourists will come due to the price decrease.  Unemployment will decrease as more employees are needed to serve more customers.  Businesses will have more revenue as more tourists visit, and taxes can be paid at the “end” by businesses rather than at the “beginning” by tourists.  To me, this suggestion sounds intriguing, but at some point, taxes are needed to support the country and the infrastructure.  Business will still need to price their products and services in a way that they can afford to pay the “end” taxes.  Due to time constraints, the details of this suggestion were not discussed.

Fifth, Grenadians (and citizens of many Caribbean islands) have difficulty distinguishing between service and servitude.  A couple of people in the audience noted that Grenada may not have a tourism problem if service was better.  Personally, I think there are several changes that can be made to improve service in Grenada, and I will outline those ideas in a later post.

The presentations and discussions were fascinating, and I would have enjoyed hearing more about the plans and ideas that the presenters and members of the audience had.  Grenada is a beautiful place with beautiful people, but some work must be done for improvement and for finding the right markets.

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