Tourism Business Operators: "How Do We Plan When We Don't Know the Rules?"

Tourism Business Operators: “How Do We Plan When We Don’t Know the Rules?”

March 9, 2021 ctn_admin

This should be prime booking season for John Parker and his Fresh Tracks Canada company. He and his staff should be busy fielding calls from Aussies hoping to visit Vancouver or Americans dying to take the Rocky Mountaineer train trip through the majestic Canadian Rockies.

Instead, Parker sits. And waits. And waits. And waits.

With closed borders, hotel quarantine requirements and a myriad of other travel restrictions in place, the Vancouver-based Parker is stuck in neutral.

He understands and fully supports government regulations in place. But he, and other tourism folks that Canadian Travel News has talked with, would at least like to hear someone in authority provide at least a potential date for travel to begin again, or at least reveal what factors they’ll be looking at as they weigh the idea of opening our borders.

“What I’d like them (the federal government) to do now is to say what is their policy about opening the border. In other words, what do they need to see in order to open? That would be helpful.”

Parker, the CEO at Fresh Tracks, said tourism and travel businesses don’t expect a firm date, but they’d like to know the formula governments will use to guide their decision.

“President Biden is now saying everyone who wants a vaccine can have one my May. What’s the Canadian government’s policy on people (being allowed into Canada) who’ve had their vaccine? Can they not come into the country and enjoy a holiday?

“I got a call from a guy today (in the US) and he was just incensed,” Parker said. “He was like, ‘What’s wrong with you guys? We want to come. Let us in.’ And, yes, he’s had his vaccine.”

The other issue Parker has is that Ottawa has only extended the wage subsidy until June.

“It’s a great program and I appreciate it. But it doesn’t even cover half of our payroll.”

Parker said his business is down about 80%. He’s hanging on, but it’s not sustainable.

“It’s frustrating because the whole industry is on edge,” Parker said. “I’m not alone in this at all. I think about the Rocky Mountaineer and other companies. I have no idea what they’re going through.”

Resorts can sell hotel rooms to Canadians. But 95% of Parker’s bookings come from outside Canada.

“I just think it’s time the government stepped forward and said something. What are they going to do? Let the entire inbound industry go bust? Twenty two million people visited Canada in 2019. It’s a massive industry and so many people depend on it, from restaurants to small tour companies to companies like ours and hotels.

“I was at a hotel in Whistler the other day and the guy at the bar told me occupancy was eight per cent. Normally at this time of year it would be 100%.”

“So, what are they going to do? Even if they open the border we’re going to need some help to get through the summer. And if they don’t open the border we need help to get through next spring.”

Jason Sarracini of Ontario-based Omega Tours feels Parker’s pain.

“There’s no visibility and no plan,” he said.

Not only can foreign visitors not come to Canada, it’s virtually impossible for Canadians to plan a trip in their own country.

“I can call a local provider, someone who provides an experience. But they don’t know when they’re going to be operating. That has a cascading effect. I don’t know when my partners will be able to operate or if they can survive,” Sarracini said.

“I saw a report the other day that said 20% of businesses in Canada will be able to continue at their current revenue levels. Which means 80% can’t.”

“The UK, there’s visibility now. I think they said that as of May or June people will be able to travel outbound. That’s their plan,” Sarracini continued. “All we know in Canada is that we can’t fly south before April 30.

“The ability to plan and have a road map is what we absolutely need. It’s incredibly frustrating.”

‘They could say ‘May, June, July, August, we’re hoping people will be able to move. We’re looking at the border opening in June or July, we’re looking at trends.’”

Given that travel and tours and activities are booked well in advance, Sarracini said it doesn’t do anyone in the business any good if a government suddenly throws open its customs gates and shouts “We’re open now.”

It’s not just Canadians who are affected by closed borders. The head of the U.S. Travel Association, Roger Dow, sparked headlines last week when he said the U.S. needs a road map so it can plan for Canadians who might want to head south to New York or California for a holiday.

“I think the U.S. government could really set a specific date that they could push towards. Nothing’s a guarantee, we have to see how things go, but push towards opening travel. How about saying mid-May or May 30th, we’re going to look to get the steps in place and we’re going to be prudent and smart. But set a date so that people can then do some planning,” he said.