FHTA, 6 August 2020 – While countries continue to reopen their communities at their own pace, online studies indicate that the COVID-19 pandemic has not only forced business to reconsider their processes, products and services but has also forced consumers to rethink the way they spend their time and money.
It still shows a strong willingness for future travel (both domestic and international), and that they are invariably interested in safer dining choices, alternative options and now want to be able to select from a range of socially distanced leisure activities for them and their families.
As tourism in Fiji navigates unknown waters, there has been some relief for the hospitality sector. Not unlike a cool towel on a fevered brow; it is welcome relief even though the fever rages unabated.
No-one is under any illusion that an end is in sight yet as the tourism sector is still on its knees with thousands of its workers unemployed.
For the many tourism operators who played a part in bringing in 46 per cent of Fiji’s Gross Domestic Product earnings last year, the question for them is not when they’ll see the end of this pandemic but rather how they can survive through it. Because we must get through it as best we can.
Estimates from the early days of the pandemic put a return to any plateauing of the virus cases to the last quarter this year. As we move closer to the fourth quarter, we do not appear to be seeing the expected plateauing, so the worst-case scenario expectation of first quarter 2021 looks more than likely. But we have been proved wrong before by this pandemic with flareups, second waves and world populations not heeding medical advice or agreeing with Government imposed shutdowns.
In looking for innovative ways to keep our economy going, it is not just businesses that are rethinking strategies. The gradual lifting of restrictions in some countries, together with the creation of travel corridors, the resumption of some international flights and enhanced safety and hygiene protocols, are among the measures being introduced by governments as they look to restart travel and tourism.
While governments around the world now doing things differently, our own recently released Fijian Budget was a huge confidence booster to the tourism sector that is being seen as the required revolutionary thinking that post-COVID economic recovery needs.
The usual economic responses are not going to work this time around as the largest world economies are discovering right now. Too much has changed and far too much is at stake. And while there are higher risks, the outcomes if progressed correctly and safely, will be worth it.
While governments in other tourism-reliant countries are bailing their economies out with direct capital injections, we do not have those same luxuries in Pacific Island economies. Our responses must be cognizant of the length of time for recovery, the effects on our population and the growing unemployed within it, and the long-term consequences of a stagnant economy. All the while ensuring throughout it all, that we have ensured the protection of that population as our highest priority. Anything short of that risks lives and long-term economic devastation that would be difficult to come out of.
Researchers and academics continue to dissect and predict the fallout of the downturn in economic activity around the world in the face of the virus. But we are reminded that they did not see this coming, so we may just hedge our bets on their future predictions.
While some effects are staring us in the face, one unvisited repercussion of the tanking of global tourism is that the increasing statistics of layoffs and redundancies and wage reductions will play a major part in dissuading young people in choosing a career in the tourism sector.
Any industry must have access to the brightest minds to flourish and given our limited resources, tourism cannot afford to lose these bright minds before they’ve even set foot in a hospitality school or university.
On the other side of the scale, a positive outcome of the pandemic will be that more businesses and stakeholders will be reassessing their business models and taking the time to pivot their objectives and expected outcomes. Or at the very least, to understand the need for flexibility and preparedness.
Being able to shift their business to other industries will bode well for them, as it will ensure that the business will be able to withstand most threats, within reason. A pivot is intended to help businesses survive factors that make the original business model unsustainable. The adage of not keeping all your eggs in one basket has never been more apt now.
Our Blue Lane initiative has gotten off to a good start as, very slowly, yachts and pleasure craft find their way to Denarau Marina to take advantage of the great hospitality and service available, following the necessary quarantine requirements. We hope they move into other areas of Fiji to spread the love afterwards.
In the meantime, and as disheartening as it is to see it happen, we understand the need for our neighbours Australia going into a full-scale lockdown as Victoria declares a state of disaster for a minimum six weeks and NSW is closing their air borders for the time being. We felt the collective sadness in the industry as this means that Australia is still some time away from safely opening their airports and Australians flying internationally.
Across the ditch in Aotearoa, they are preparing for their general election in just over a month and we wait patiently for this to be completed understanding the need to focus on this first. However, it appears they may be on their way to opening up their borders as Auckland Airport recently released a statement indicating their preparedness to segment travellers into different categories of travellers who pass through their international terminal.
This will enable New Zealand to open their own ‘safe bubble’ air corridor between New Zealand and the Cook Islands, and hopefully other Pacific Islands like Fiji and Niue.
But, for now, all we can do is wait watchfully and keep on planning together with Government and other tourism stakeholders. And to continue preparing to open up again safely.
By: Fantasha Lockington – CEO, FHTA
Published in the Fiji Times on 6 August 2020
