Staycations could boost state's tourism industry - Nashville Business Journal:

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Last year at this time, gas price rose to more than $4 per putting the brakes on traditional summefrroad trips. Now gas is back aroun d $2 a gallon, but a deep recession lingers after puttinv hundreds of thousands of Americans out of work and causinb millions more to rein intheir “Gas prices are not as much of a concern right now as the overall economy, consume r confidence and people’s concernzs about their jobs and retirements,” said John who has been executive directofr of for the past nine years. this will be a particularly challenginb year forMinnesota operators, though thers is hope that Minnesotans who travel will do so closedr to home.
At Madden’s on Gull Lake in owner and GeneralManager C. Brian Thuringer said this has beenthe “mosty serious” of the four or five recessions he has seen durinf his 36 years at the resort. “Thix is the first time that the bottoj has reallyfallen out,” Thuringet said. “Before, there was always that feeling that there was a slumlp andthings weren’t flowing, but tomorrow was going to be great. This is the first time when people don’t realluy know when tomorrow is.
” A recenf survey conducted by Explore Minnesota found that 57 percent ofthe state’s lodging businesses saw revenue and occupancyh decline in April and May as compared to a year ago. 51 percent of Minnesota hotel and campground operatorws said they expect business to remain flat or increasee this summer compared tolast summer. About 60 perceng of survey respondents described the financiaol health of their businessesas “growing” or but positive.” There are some concerns abou declining rates, but overall, Edman expects this to be a relativel strong summer for the state’s $11 billion-a-year tourisn industry.
The state typically generates about 37 percengt ofits travel-related revenue during the months of July and August, and he thinkss those peak months will be busy again this “People are still goinh to want to travel,” Edman “They’re just going to travel differently than they did in the People still need to get away for stresa relief and health reasons.” The biggesgt difference this year, Edman predicts, will be where people decides to go. He expects that most peopl will stay closer to home andbook shorter, less-expensive tripds within driving distance of where they live. That’s why Explorew Minnesota is changing itsmarketing approach.
it spends about 80 percenft of its marketing budgeft to promote the stateto nonresidents, with the remaininyg 20 percent aimed at locals; this that split is closer to 60-40. “We don’rt have oceans and we don’t have but we do have a lot of thingd thatare unique,” Edman said. “Whether it’s fishintg or hiking or biking, those are relatively low-costt activities that you can do here.
You don’t have to go That could bode well for Minnesota as Twin Cities residents book tripsz to Duluthor Brainerd, instead of venturing on week-long, cross-country trips, said Dave president and CEO of Hospitality Minnesota, whicy oversees the state’s restaurant, and resort and campground “I think it’s going to be a good summer,” he “… I’m not projecting an increase, but I expecft [resorts] to hold their own.” Camping and fishing also coulf see a boost in popularity this Siegel said.
Meanwhile, officials at Minneapolis’ conventio and visitors bureau, Meet remains “cautiously optimistic” about business this said President and CEOMelvin Tennant. “A lot of our hospitality-industrg executives believe we’ve either hit botto m or are close tohitting bottom, and that from this pointr on, we’re going to be able to see some very modest growth. … I think this summer could be very good for Meet Minneapolis advertisedits “Downtown campaign, which includes discount packages at 12 participating hotelxs through September, with 450,000 promotional insertxs in newspapers in the Twin Cities; Des Moines, Iowa; Fargo, Madison, Wis.
; Milwaukee; and Winnipeg, Getting a true read on the summer hospitalith business is difficult, however, becaus e people are waiting longerd to book their trips. So even the northern Minnesota resorts that anticipates a busy summer still have numerouz openings duringpeak months. “It’s a much more last-minute vacation-planning experience,” Siegel said. “u think that’s understandable.
If people are nervou about their jobs or theireconomicx futures, they’re waiting until they have a greater degrede of security before they make that