NOT KNOWING YOUR COMPETITION, IS A SERIOUS PROBLEM.

( Posted by Frenchie)

While living on Guam, you are often confronted by TV ads from the Guam Visitors' Bureau, explaining how important for the balance of the Local Economy the Tourist Industry is.

Indeed the two main sources of revenue for our Island are Tourism and the Defense Department.

As I travel extensively around the world, I often compare what I see with my own personal environment.

 

It is sadly very brutal to compare our situation on Guam with our most direct competitors.

While you can see why some would easily compare Tumon Bay to Honolulu, our direct competitors are a lot closer, that we think, and a lot more efficient and better organized.

Being an American territory, we have an almost epidermic reaction to compare ourselves to what we know. This is normal, but in our case it is also delusional, since the large majority of our clientele is from Asia, and that our direct competition is also Asian.

Our main source of arrivals has come for many years from Japan. Recently we have seen a sizeable increase of Koreans, with a sparkle of visitors from Hong Kong and Taiwan.

When you study even on the surface these markets, you will find that our most direct competition is not at all who we often think it is.

Some of the preferred Asian Pacific destination from these countries are very different.

Thailand has been for many years a preferred destination for Japanese, they have opened the way for Korean, Taiwanese, Hong Kong, Singapore.

The Chinese market, being still a tour based operation for most of south east Asia.

(This by the way, is not a very attractive or longstanding market.)

Vietnam has also become a preferred destination for many of these countries, following in the footsteps of the European market, and the north American  customers who have flocked to Vietnam for almost 20 years now.

Bali of course is very popular with Australians, Americans and Europeans, for its perceived paradise quality. Many Asians also like to visit this destination, some indeed really like it as a golf paradise.

Finally, but not least of all, the Philippines are attracting a large Asian clientele, specially in certain islands like Cebu, where some large international Hotel chains have developed large luxury resort, next to a vibrant Bed and Breakfast industry.

This quick tour having been established, lets see who the clients are, and who is really our most competitive destination.

Surprisingly it is not any of the above mentioned places. While they are obvious places to visit for many people who would not even consider Guam, the main market we do attract, which is young couples, budget travelers, families, some golfers, and people who want to visit an "American" destination.

In fact the main competition for this type of clientele is another Tropical Island of the Pacific, which has many similarities with Guam.
From the Weather, to the Waters, the Fauna and the Hotels, and a strong US military presence this island which many American are familiar with, is our most efficient competition. They go after the same clientele, and do a much better job at getting and keeping it.


It benefits from a currency that has been low over the last 25 years, a very well educated population,
a well trained professional force, excellent airport, many flights to many destinations, a wide array of Hotel and Restaurant services, a very clean environment, top of the line roads and railways, a large amount of activities outside of the main tourist attractions.

Ladies and Gentlemen, I give you: the Island of Okinawa.

COMING NEXT: COMPARAISONS TO GUAM