Challenges revealed for tourism businesses in 2020 by UKinbound

Challenges UKinbound

Travel association UKinbound has announced that the top challenges for its members in 2020 include a negative perception of the UK resulting from Brexit, alongside recruiting and retaining staff.

These results were revealed during its Annual Convention in Bristol, which took place from 5-6 February at Mercure Bristol Grand Hotel.

The results were collected as part of the association’s January 2020 Business Barometer member survey. The survey was compiled by Qa Research, which also looked at business operating conditions in Q4 2019.

The survey additionally found that only 48% of tourism businesses believe they will be ready for Brexit by the end of the transition period on 31 December 2020. Results showed that visitor numbers, bookings, customer orders and yields remained the same.

One in three respondents said they were experiencing growth from the US market, while Germany and France continue to be the most sharply declining markets.

In Q4, China was the second leading growth market for members, with some suggesting this will be a pivotal market post-Brexit. However, a number of businesses said their 2020 optimism has wavered due to the coronavirus outbreak.

Joss Croft, CEO, UKinbound commented: “It is encouraging to hear that many of our members are experiencing strong forward bookings and that they’re confident about business in 2020.”

Croft continued: “However, there are significant challenges now and ahead for our members due to the impact of the Coronavirus on the Chinese market, negative perceptions of the UK and the looming prospect of the end of Free Movement. Our members are already struggling to recruit employees with foreign language skills and are worried about the administration involved in recruiting non-UK employees post Brexit.”

Croft concluded that UKinbound will work with the government to ensure the new immigration policy “treats the tourism industry fairly and if needed, we will campaign for an extension to the transition period so that businesses have enough time to prepare and adapt.”

Make it Edinburgh launches new campaign

Edinburgh’s business tourism sector has launched a crowdfunding style appeal to extend the city’s digital campaign, ‘Make it Edinburgh’.  

The campaign aims to attract event and conference organisers before and after the new Brexit deadline, which is currently pending as 31 October 2019, or 31 January 2020 if an extension is granted. 

‘Make it Edinburgh’ also promotes the city’s following sectors: technology, life sciences, creative industries, food and drink, renewable energy and financial services.

Within the first twelve months, the campaign delivered an 87.6% increase in traffic to the Convention Edinburgh’s website, which is dedicated to promoting the city as a conference, meeting and event destination. As a result, the website generated 147 new business enquiries.  

The campaign was also funded by six flagship campaign partners: Marketing Edinburgh, Edinburgh Hotel Association, Edinburgh Airport, Edinburgh International Conference Centre, Royal College of Surgeons of Edinburgh and Edinburgh Tourism Action Group. The collective sum of £40,000 was then match funded by the VisitScotland Growth Fund.  

Amanda Ferguson, head of business tourism at Marketing Edinburgh, said: “In the midst of great political uncertainty, there’s never been a more crucial time for the city to come together. That was always our intention for the Make it Edinburgh campaign – to solidify our position throughout and after the Brexit deadline in March earlier this year. 

“Unfortunately, as that date has been extended, we need to continue our efforts to promote Edinburgh as a world leading destination to host conferences and business events. Strength in numbers will help us do this, hence the call for local businesses to pledge their support.”

Carina Contini of Contini Restaurants and Events, said: “With Brexit looming, it’s important that businesses in Edinburgh rally together, and the Make it Edinburgh campaign presents a great opportunity for us to take positive action. The business tourism market is a huge asset to the city and driver of business for us and we’re keen to see that continue.”

Neil Ellis, chair of the Edinburgh Hoteliers Association, said: “The benefits of conferences and business events for the city go beyond economic value. We’ve already seen a huge influx of investment from global hotel brands keen to tap into Edinburgh’s thriving market – Virgin Hotels, Yotel, InterContinental, putting us on the map as the number one hotspot for hotel investment in the UK. 

“This is an allure for meeting and event planners, but it also benefits local residents; first-class meeting facilities and co-working spaces for business and great restaurants, bars and spas for leisure.”