California has a population of 40 million people and is considered one of the most conservative American states. State registering the lowest rate of infection as the economy reopens, the tourism leaders of California are encouraging their residents to spend their money on local travel, with Covid-19 contents staying low, and the industry feels the pinch of 55 percent revenue reduction. On Tuesday, San Francisco and Los Angeles were given permission to open restaurants, bars, businesses, and museums.
“California urges people to stay in-state for vacations to boost tourism as the economy reopens. California urges people to stay in-state for vacations to boost tourism as the economy reopens. California tourism leaders are urging residents to spend their pent-up travel dollars exploring their home state, as coronavirus case numbers stay low and the industry reels from a 55% decline in revenue.”[1]
People Look forward to Travel for Summer Vacations
According to the Governor of the State, Gavin Newsom, who is soon up for a recall election because of his pandemic handling, the state is right on the track to reopen the economy by mid-June. With the number of vaccinations increasing, a growing number of people are looking forward to booking vacations at sites such as the Santa Barbara coast, Disneyland, and North California wine country. The sites opened last week after staying close for approximately thirteen months.
Tourism Revenue has Fallen to $65 Billion
The state’s tourism revenue experienced a downward spiral to $65 billion this year from $145 billion registered in 2019. Experts believe that the figures are not going to exceed pre-pandemic levels any time soon, at least before 2024, as global travel is low as of now. The CEO and President of Visit California, travel figures are going to take some time to come to the pre-pandemic levels.
Tourism Revenue Forecast - $126 billion in 2022 and $151 billion in 2024.
The travel and the tourism industry is also reeling under unprecedented unemployment, with approximately 1.2 million people losing their jobs. Expenditure on travel is going to close on $98 billion by the end of this year. The figure will reach $126 billion in 2022 and $151 billion in 2024.
Encouragement Call to The Californians
The travel executives and elected officials promoted in-state travel when they appeared at the convention center of San Francisco. As per Lt. Gov. Eleni Kounalakis, this encouragement call to the Californians to travel locally to their favorite sites will give support to small business jobs and make it safe for the public to venture out the weekend getaways.
It is time to open up!
A gateway city like San Francisco is heavily dependent on global tourism, which was hit hard due to the pandemic. Global visitor spending plummeted from $829 million, 84 percent last year, to spending on conventions and meetings to $275, 85 percent. It is time to open up and start hosting conventions, meetings, encourages local travel, and more to bring the economy back on track. It is a long way to go, but it can be done with persistent efforts.
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