A new report on tourism suggests the sector is improving, but it still has a long climb before it fully recovers from the pandemic.
Statistics Canada released the report on Wednesday showing a 50.7 per cent increase in all tourism spending in the first quarter of this year, compared to the same period in 2021. Compared to the final months of last year, it increased 1.3 per cent.
During that period, spending by domestic and international travellers went from $10.4-billion to $15.7-billion. Domestic travel still accounts for most of that increase, with $10-billion between January and the end of March coming from Canadians.
Tourism Windsor Essex Pelee Island CEO Gordon Orr agreed increases have been slow, but there are reasons to be optimistic.
"We are noticing that our hotel occupancies are seeing slight growth year-over-year. That being said, our hotel occupancies are nowhere near where they were pre-COVID, or where we'd like to see them," said Orr. "A number of events and festivals are seeing experiential opportunities and growth like they haven't seen in the past few years."
He cited record attendance at this year's LaSalle Strawberry Festival and Art in the Park.
Tourism Windsor Essex Pelee Island does not keep quarterly results, and Orr doesn't anticipate a full recovery for a few more years.
Bolstered by Ontario's 20 per cent tax credit for overnight stays in the province, local tourism operators still rely heavily on domestic visitors. The 20 per cent Ontario tax credit for overnight stays hasn't hurt. However, they're starting to see more Americans.
"We are seeing more Americans come over, which is positive. We would like to see the elimination of the ArriveCAN app to remove hassle and restrictions and make crossing the border more seamless and easy to do," said Orr.
The trouble with the ArriveCAN app, explained Orr, is that it kills spontaneous travel.
"There are similar-like on the U.S. side of the border -- they don't have to come here. So what we do when we put up restrictions is we prevent people from wanting to go that extra step," said Orr, echoing comments by border city mayors calling on the federal government to discontinue its use.
In 2019, 26 per cent of all tourists were from abroad. That fell to 1.6 per cent in the second quarter of 2022, but it's bounced back to 14.2 per cent. Spending by international visitors went from $377-million in the first quarter of last year to $2.2-billion in 2022.
