Fewer visitors, but spending increases in first quarter

HAMILTON, Bermuda (CMC):

Although arrivals were down, total visitor spending increased by US$800,000 during the first quarter of this year, officials have disclosed.

Between January and the end of March, visitors spent $30.5 million on the island, compared to $29.7 million during the corresponding period last year.

In 2007, visitors spent $66.9 million, and in 2008 they spent $54.9 million during the corresponding months.

While total visitor spending rose by 2.7 per cent this year, the number of tourists who visited Bermuda in the first three months fell by seven per cent.

In releasing the figures, the Department of Statistics said the average visitor spent $1,026 on the trip compared to last year's average of $922.

Paying for accommodation accounted for about 55 per cent of visitors' expenditure, with an additional 24.8 per cent of their total spending going towards meals and beverages in restaurants.

Cruise-ship visitors continued to provide less revenue than their counterparts who flew to the island. One cruise ship visited Bermuda during the first quarter, carrying 985 passengers who spent $171,185 or around $174 each.

Although visitor spending was up, hotels did not rake in the profits.

"Aggregate gross receipts for the hotel industry totalled $23.2 million in the first quarter of 2010. Hotel industry revenue collected during the first quarter of 2010 was approximately $4 million below revenue earned during the same period of 2009," the bulletin said.

"Despite efforts to attract more visitors through discounted airfares from select destinations and resort hotel package deals, total guest receipts declined 15 per cent."