Staycations could save Ireland’s tourism market

STAYCATIONS could be the salvation of the tourism industry this year as more people than ever look set to spend their holiday money at home.

However, there are signs that business is picking up among overseas visitors with numbers travelling from the US and continental Europe, particularly Germany, expected to increase.

Fáilte Ireland, which is making the predictions, says the improved prospects for 2012 are down to concerted efforts by the industry to reach a wider audience and offer better value for money.

The tourism promotion agency said over the last year 70% of businesses in the sector had cut operating costs and offered more competitive prices, and 80% had increased sales and marketing efforts.

Fáilte Ireland chairman Redmond O’Donoghue said these efforts would have to continue.

“There is a long road ahead and we will need to maintain value for money, market every opportunity and keep our eyes on the prize if we are to maintain last year’s momentum.”

Surveys conducted among visitors in 2011 showed a marked improvement in the perception of Ireland as a value for money destination when it came to eating out, alcohol and cost of living.

One study carried out in the summer found that 11 out of 12 overseas visitors rated the value they experienced as good or very good, while surveys among French and German visitors found they were happier with the value on offer than at any other time since the euro was introduced.

Total overseas visitor numbers rose by almost 6% in 2011 to 6.2 million. Together with the home holiday market, that helped generate revenues of €4.7 billion.

The biggest fear this year is of further uncertainty in the global economy.

Fáilte Ireland chief executive Shaun Quinn said: “Tourism is an export business and one whose fortunes are heavily influenced by consumer confidence.

“Any downturn in the global economy — or even significant fears about a downturn — has the potential to undermine the fragile recovery made so far in Irish tourism.”

Priorities for 2012 include Project Britain. Its aim is aims to revive business from Britain, which has long been the single biggest source of overseas visitors here — 2.8m last year alone — but which has seen a dramatic fall-off since 2007.

Emphasis will also be placed on the home holiday market with packages of special events and special offers planned to make staycations more attractive to Irish families.

A national Tourism Town Award will also be launched.