The ISHC roundtable on tourism promotion included (from left) David Kong, Best Western; Jim Burba, Burba Hotel Network; Richard Friedman, President’s Export Council; Bernard Delomenie, Crowe Horwath International; Caroline Beteta, California Travel and Tourism Commission; A.J. Singh, Michigan State University School of Hospitality Business; and Jeff Higley, Hotel News Now.

International tourism is critically important to the U.S. hotel industry, as well as to the country and its citizens as a whole. Although international tourism currently yields $110 billion in spending for the U.S., the country still lags significantly in capturing its full market share of global travelers. Roger Dow, president of the U.S. Travel Association, estimates the real potential of doubling arrivals just from countries in the Visa Waiver Program would generate $208 billion in spending and more than 825,000 tourism-related jobs. Further, Oxford Economics reports the failure of the U.S. to keep pace with growth in long-haul international tourism has cost the economy more than $500 billion and 441,000 new tourism-related jobs.

The Obama Administration recognizes international tourism as a means to stimulate export, that is, to bring international tourists to visit this country and spend their currency. In line with that direction, the newly formed President’s Export Council reflects representation from both the traditional manufacturing sector and the travel industry, including United Airline’s Glen Tifton, Disney’s Robert Iger and the Carpenter Company’s Richard Friedman.

Additionally, the Obama Administration recently launched the Corporation for Travel Promotion, which was enacted into law in last March. As a result, the Department of Homeland Security established a funding mechanism that will create an international tourism marketing program of up to $200 million in an effort to attract millions of visitors to the U.S. By comparison to current federal spending dedicated to international marketing, which is relatively nothing, this is a significant and dynamic step forward.

It was with these issues in mind that the International Society of Hospitality Consultants convened a panel of international industry leaders at its recent annual conference to discuss current issues and potential initiatives with Richard Friedman from the President’s Export Council in a roundtable format.

Panel members included Caroline Beteta, president and CEO/deputy secretary of the California Travel and Tourism Commission and recently appointed Corporation for Tourism Promotion Board member; Jim Burba, founder of the American Lodging Investment Summit and principal in the Burba Hotel Network; Bernard Delomenie, regional director of Europe, the Middle East and Africa for Crowe Horwath International; Jeff Higley, vice president and editorial director of Hotel News Now; David Kong, president and CEO of Best Western International; A.J. Singh, professor at Michigan State University’s School of Hospitality Business; and me, Rick Swig, president of RSBA & Associates.

The session focused on two primary areas: 1) the impact of government regulations, policies and procedures on the international tourism experience into the U.S., and 2) the strategic development of an effective international tourism marketing program.

Based on the feedback of the panel to Friedman, the phrase “government services,” as it relates to international tourists, is oxymoronic. Panel members related the myriad of difficulties faced by international tourists wishing to enter the U.S., including a cumbersome and expensive visa application process, filing and fee collection procedures that don’t function, and immigration services personnel who are generally known for rudeness, cultural insensitivity and lack of helpfulness. All of this is sealed with even further discomfort upon arrival, when foreign visitors are welcomed at the airports by long immigration lines, little informational assistance and little effort to offer a polite or friendly welcome to the U.S.

Friedman recognized these issues, validating the importance of his role on the Export Council to encourage responsible departments to understand their roles in the importance of international tourism and to adjust their behaviors. However, he also underscored the path of least resistance government takes, as the underpinnings and justification for these current adverse practices are all about security. As a result, it’s often easier for government agencies to cite the need for stronger security practices to excuse poor behaviors, inefficiencies and other problems related to making internal tourists’ experiences miserable.

Currently, when it comes to international tourism, everyone agreed there are few Congressional cheerleaders. Although Congress did approve the initiation of the Corporation for Tourism Promotion in March, there isn’t effusive leadership, either in the Senate or the House of Representatives, who recognizes and champions the potential financial benefit of international tourism to the U.S. The majority of legislators are not international travelers themselves, and they miss the trickle-down economic effect of international tourism, even when their states or districts are not primary tourism destinations. It was further recognized, however, that the tourism industry is dysfunctional: the airline, hotel, attraction and other tourism-related bodies rarely come together to lobby Congress with clear and unified messages on the international tourism priority.

On the subject of international tourism marketing, where it was acknowledged that the United States spends 10 percent of what Australia and Spain do on marketing international tourism, the focus was split between the issues of developing a prominent marketing effort and the messaging of promotion. While the fundamentals of defined branding and targeting are immediate needs, the panel placed heavy priority on the requirements for linkages between the private sector and government efforts, including funding and joint-venture marketing programs. This also presented the direction to solidly link of the efforts of Export Council with the Corporation for Tourism Promotion.

Equally important and valuable to the panel’s rhetoric were the resolutions, which Friedman offered. These included three areas of focus:

1. Even with creation and implementation of a dynamic marketing program to stimulate international visitation into the U.S., growth in tourism cannot be achieved until there is a better process of visa issuance and the facilitation of efficient and welcoming visitor entry into the U.S. Next to Russia, the U.S. has the lowest ratings in providing assistance and facilitation to potential international visitors. To increase market penetration in international tourism, the U.S. must improve its visitor policies, procedures and service implementation through Homeland Security and related immigration and customs agencies.

2. Congress must embrace tourism and recognize its value to stimulate jobs. Not only does international tourism represent at least 6.5 percent of current GDP and more than $100 billion in international travel spending without reaching anywhere near its full potential and international market share, the impact of tourism trickles down to all citizens, whether or not they’re directly involved in tourism or live in a tourism destination. Additionally, the benefits of tourism have a positive impact on all strata of U.S. citizenry, including private and public sectors, small or large business owners and line employees, and service and manufacturing sectors.

Every effort should be made to find “champions” for international tourism in Congress, especially those legislators whose states or districts are positively impacted by international visitor commerce and resulting growth in jobs, business profitability and tax base. Regardless of which side of the aisle legislators sit, they must recognize their constituencies receive positive benefit from international tourism.

3. The ultimate linkage between the Export Council and the Corporation for Tourism Promotion is critical to determining a strategic direction for the implementation of an international tourism marketing campaign for the U.S. Hopefully, bridges cab be built between key participants, including Export Council, the Corporation for Tourism Promotion, the U.S. Travel Association and the Department of Commerce, while myopic and ill-conceived silos are prevented from developing.

Rick Swig, ISHC, is president of RSBA & Associates, a San Francisco-based hospitality consulting firm providing advisory services in the areas of operations, real estate, marketing and litigation support. He can be reached at rickswig@rsbaswig.com or 415-541-7722.