Hello, this is Christy Calabg, host of Vital Connections on Air. We have been experiencing some really difficult things in the last few months, and we know that there are more challenges ahead. At the Center for Community Vitality, we have been working to bring topics and partners together through webinars and articles since the end of March to get you the information that you need. Now I'm going back to those educators and asking them for updates and insights on what we should be doing in our current context. I'm sharing small parts from these long conversations over the next several weeks so that we can listen, reconnect with ideas, and hopefully take the next small steps. Here my conversation with Lisa Chin, extension educator and Tourism Specialist with the Tourism Center. As we reflect on the tourism industry and covid 19 webinar series she led earlier this year. I want to talk first about the tourism center because we haven't really gotten the opportunity to highlight the tourism center on our podcast before. So tell us a little bit about the work that you do within that center and how you're helping tourism across Minnesota. Sure, that's a very good question and thank you so much for asking. The tourism center empowers, supports a, prepares the tourism industry and communities that engage in tourism for success and also sustainability. The tourism center has been doing all these great work for over 30 years now. We are engaged in applied research, responding to industry and community's needs with applied research. And we also do a variety of programs, including a tourism assessment program at Your Service, which is a customer service training festival and event management online course, and the growing tourism leadership webinar series. We also do a variety of public engagement and outreach work and very much aligning with extensions, missions, and strategies. Obviously, most of the work is done in collaboration with our colleagues, both within the Center for Community Vitality, with colleagues from across extension and across the University of Minnesota. And we're certainly also tapping into the expertise and knowledge of industry professionals and a wealth of knowledge within communities too. Let's go back to pre Covid 19. What was the tourism economy looking like in early 2020? Was it healthy, robust industry, or were there already some challenges on the horizon that folks were concerned about? And then everything changed on them in the middle of March, I would say throughout 2019. And in the very beginning of 2020, the tourism industry in Minnesota was healthy. And our tourism promotion agency in the state explore Minnesota Tourism does its own applied research industry and also works with a research firm to understand consumer behavior, preference, motivation, and satisfaction, so on and so forth. And all these are public information publicly available on Explore Minnesota Tourism's website and nationally as a whole. The tourism industry was also healthy. For example, the hotel industry has seen continuous increase in revenue per available room. There was very robust new development and in terms of hotel properties, researcher has been looking at different segments of the market. Into proactive in developing new markets and meeting consumers needs with an eye very much on from late spring to early fall of 2020. That was what it had been and what it looked like, pre, pandemic. What types of things do you think people need to hear or see? To get excited about travel again. Or to feel comfortable about travel again? Yeah, that's a very good question and I think I would like to answer it. At the macro level, there are three macro level factors that we need to consider. The first and foremost is perception of cleanliness and safety. It has been the primary concern among travelers or say, potential travelers. And it still is travel and tourism entities from hotels to attractions, so on and so forth. I believe all these entities are implementing protocols, cleanliness measures, and actions. And these are science based. They may have consulted Guidelines, Center for Disease Control and Prevention, working with local public health officials, Consulting probably industry specific guidelines or state level guidelines. And these are all done, obviously based on science and it is extremely important. But at the same time, the other side of the coin is customers perception. Customers perception and their level of comfort. These are equally important. And so the question really is, how do we communicate with customers? What is our messaging so that customers perceive it as safe to engage with travel again? Safety and cleanliness definitely is a very important factor. Now, you mentioned the resurgence of cases that is even bigger higher level factor. And so states with or resurgence of cases, we've seen Florida closing down their bars and restaurants. Again, certainly it will affect people's travel plan or intention to travel. And I've also anecdotally heard someone I know who had planned a trip to California over Fourth of July and canceled a trip due to the resurgence of cases in that state. So the second macro level factor is economic. We are in the worst recession that we have seen in the past basically 100 years. And it's a lot worse than a greater recession. And in a travel and tourism industry, the unemployment rate harvests around 50% These numbers are very dire and will take years to fully recover. Economic factors certainly need to be considered in terms of how likely people will engage in travel. Again, that not only applies to individuals and certainly also applies to businesses, large educational institutions, and so the propensity to spend on travel that will change. And lastly, there is a wild card factor which is pent up demand. It is really, we have all been day dreamy. So for example, we have seen certain resorts in the beach hotels logging more than 80% of occupancy rates, even during normal times. That is a very healthy occupancy rate that we are talking about. Also, folks are willing to drive their own vehicles for much longer distances. We may even see a revival of the American road trip like in the 1960s. There were push and pull factors and how it plays out. It may very much differ by region, by state, even by communities. I think it was really interesting speaking about seeing it differently by state or region, or even community, you brought up that some communities maybe are not ready to have tourists come and visit and be moving around that community. How is that impacting the industry? And I'm thinking areas that are maybe more remote, that don't have the same access to health care, that they might be a bit more closed off. How is that impacting both those businesses within those communities and their brand and then the industry as a whole? Yes, that's a very, very good question. In some of my presentations, because I've been presenting to different entities, what I said is taking care of the people. And I would say when I say people, it includes your customers or travelers, and it includes your staff. And for some tourism entities also involving volunteers, and you also need to take care of your local residents. And indeed, the sentiment amongst a major minority of local residents is that we still do not feel very comfortable welcoming travelers into our community at this point. And I believe it is a combination of looking at, again, the higher macro level factors going on in your community, in a state, in the region, and then also within community, how destination marketing organizations and travel and tourism businesses communicate with local residents and work with local residents to address residents concern because the residents must love the community and be ready to welcome travelers back. As much as these destination marketing organizations and the businesses. In order for the community, for the travel industry in that community to have sustained the success. My ongoing anecdote is always, oh, have you ever stopped in a really rather small, or maybe even remote community? At the convenience store, at gas station, in a cashier, local. Why are you here? There's nothing going on here. We need our local residents to be our best ambassadors and show the enthusiasm. I would say yes, When there is a resurgence of cases, we need to understand the worry, the concern, the fear, the anxiety. And at the same time, when the trend is going in a positive way, like we see going down of cases, it is gradually reopening without a resurgence of cases. Then it really is making sure you do the right thing with your cleaning and safety protocols, Not only on paper but also in action consistently. And then also communicating with residents, this is what we are doing and why and how we are making sure you are also safe as safe as our guests. When I was visiting with Neil and Bridgea brought up I thought a really great point about as businesses just storefront businesses or restaurants reopened, that we were all really excited about or put a lot of effort into buying local shopping local. As we were moving through the shutdown, Neil said that it was really important now for us to not let off the gas that we needed to keep moving forward with that, I wonder how we can Keep on the gas to use that phrase. What can we do to help these hotels and resorts reopen successfully? That's a very good question. I think the point that Neil mentioned is a good point because I think a lot of the travel and tourism businesses are also frequented by local residents and where we can continue to support by local, basically consume local, keep going with this trend, keep the gas on so that at least these businesses can still have guests who are local residents. I think that is important. Also say for example, you and your family go on cation and to this particular resort, let them know that you appreciate all the effort they have been put into making sure that you are safe. The whole place is clean, making sure that you are still enjoying yourself, having a great time as much as possible. I feel this type of message can be really affirming for the businesses to hear, knowing that they are doing the right thing. If you have any constructive feedback, any ideas and suggestions also share with these businesses. Ideas come from different people. Let's crowdsource good ideas and not being shy, sharing these ideas in a gentle and a very constructive way, and I believe businesses would appreciate it. Also, I've read news articles, for example, Star Tribune, New York Times saying a lot of the retail entities have become the enforcer of wearing a mask in public, particularly public indoor space. So you can support the business, for example, by wearing a mask. Practicing physical distancing. I think these are what we can do to support tourism and travel related businesses. Hopefully, to retain a businesses and then help them to recover. Let's talk about recovery a little bit. What are the really key strategies that tourism is considering as they look towards recovery? First of the reality is it will be quite a process and will take quite some time. And the most immediate market that we have already seen indeed is the Dre local or say in state or say regional market. Again, people are willing to drive their own vehicles for much longer distances. Even the so called state kick all that far. You may not stay overnight but you get out and enjoy still try to have a good time. In terms of distance, the drivable market, the physically distance wise, closer to the destination, that's the first to recover. And we have seen that also in terms of types of activities or attractions, it has been non team. Outdoor recreation outside. It's not indoor and it is non team, so it's not a congregation of a lot of people. It's still getting outside, enjoying and appreciating nature. This is to the advantage of Minnesota because we are a state of 10,000 lakes. Natural asset has always been a major tourism asset in our state. So this is a time to highlight or emphasize what do we have to offer in terms of non team outdoor recreation, even more than ever before. I think for the longer term recovery, it is important for destinations to consider. What is the profile of the markets that may return in 2021? We believe 2021 is a crucial year or a time period for sustained recovery. What is the national trend? What does research tell us? And based on this research, what is the profile of these market segments that may return in 2021? And at the same time, don't be afraid of exploring new market segments. So for example, we all know that the state at home orders have created a lot of new digital natives folks who previously had not been active online on the Internet. They may still book their resorts by calling the resort operator, but now they have to do a lot of things online. At least consider this question, Are there any new market segments that you can reasonably pursue to help you recover and rebuild your businesses? I'm not saying that every business should do that, but at least consider this question so that you can make an informed decision. I hadn't thought about that digital native piece. The fact that folks are going to be researching and reaching out to resorts and that type of thing differently. That's really interesting. Yeah. Yeah. And also maybe, for example, folks who previously had been engaging in one particular set of activities, but due to the pandemic, for whatever reason, related to the pandemic now might be interested in exploring new activities, different activities, or different types of destinations. These are also what we would consider new market segments, specific around retaining tourism businesses that our audience should know about. I've also read some ideas out there in terms of what we can do to retain tourism businesses. I want to make it clear they are not my original ideas. I read these ideas through various outlets, but I think they are worth assuring. For example, tax credits for businesses that need to redesign their physical spaces to make it possible for physical distancing. Right, And enhance the sanitization and to do employee training. In terms of all these new protocols, would it be possible to give tax credits for these endeavors? And another idea is, for example, would it be possible to waive those fees associated with late property tax payments? This may not be applicable to all businesses, but it certainly can help those business owners who own their buildings. Another idea is, would it be possible to have temporary reprieves from paying the taxes associated with the Federal Unemployment Tax Act? The unemployment insurance tax? We all know that there is already the paycheck protection program, the famous PPP. And so beyond these pillar programs, these very important programs, what else we can do? Again, it goes back to if you have an idea and if this idea sounds at least somewhat feasible, very much aligned with your peer business interests and desires to how you can best communicate through trade organizations at different levels so that maybe the state government and at the federal level can provide support in that regard. Thank you to Lisa Chen for this conversation. I look forward to sharing more from our chat in a future episode to see all of the resources available from the tourism center, visit extension, community development slash tourism. Make sure to follow us on Facebook and Twitter to state up to date on new research and resources for communities and those who lead them. We hope that you will join us for our next episode of Vital Connections on air, and please stay well.