NWT Tourism Continues to Advocate for Critical Supports for the Survival of the Tourism Industry

Dear Members,

I wanted to issue an update and assure you that NWT Tourism continues to advocate on behalf of our industry. With the acceleration of Covid across much of Canada, we anticipate protective measures to be in place for the foreseeable future. It remains critical that our industry receive the supports it needs to keep our industry alive until the implementation of a vaccine facilitates the lifting of travel restrictions and tourism travel begins again. 

Since our AGM in early November, and before the fall economic statement issued by the federal government earlier this week, we have been advocating on behalf of our industry for more help from the federal government. We have provided our industry survey data to our Member of Parliament and we have discussed the challenges faced by our industry here. We have written letters to multiple federal ministers and to our NWT Senator to keep our industry's needs front and center federally.  Earlier this week we saw the Federal Government commit to providing targeted support measures for the hardest hit sectors in the Fall Economic Statement. We, like all of our industry association colleagues, were encouraged to see the tourism industry singled out in the economic statement as follows:To support Canada’s hardest-hit industries, like tourism, hotels, arts and culture, and the air sector, new support including the new Highly Affected Sectors Credit Availability Program.

To see the details of the proposed supports specifically for the tourism industry, follow this link: https://budget.gc.ca/fes-eea/2020/themes/tourism-hospitality-en.html

Closer to home, we are continuing to advocate for industry support from the Government of the Northwest Territories. As you know, at our Annual General Meeting in early November we finalized several resolutions. These resolutions form the official position of NWT Tourism, and they are the backbone of our advocacy work. You can see our 2020 resolutions by clicking here. My letter to Premier Cochrane included our AGM resolutions as well as a detailed request for industry supports. You can see the letter I sent by clicking here.

We are advocating on many fronts. In addition to the letters recently sent to the territorial and federal governments, there are critical supports that are needed to help with the survival of our industry, and we are working with funding partners to advocate for these things. 

Airlines 
Without adequate airline routes, our industry cannot recover, even when a vaccine is implemented. We are asking for government supports to ensure northern routes are reconnected to national routes as soon as possible when travel resumes. We are also requesting that federal airline supports are designed to ensure NWT route connections are restored rapidly, while also ensuring small northern airlines remain sustained so communities are connected.   

We are also requesting flexibility in government supports for packages to get Canadians here when borders reopen. We will want to market numerous special packages to get people travelling north again and making airline costs competitive in overall packages will be important.

Hotels
Supports must be in place so that critical hotel infrastructure is available after the pandemic. Supports must ensure that hotels break even, and do not lose money for the remainder of travel restrictions or they will not survive. Given that self-isolation costs that were previously funded by the government are decreasing, hotels will experience further reductions in occupancy. Ensuring that hotels can repay debt on their capital investments is critical to ensure that this core infrastructure in in place when travel resumes. 

Tourism Operators
Tourism operators must be supported so that they at minimum financially break even. Where tourism operators have reached maximum funding support and are still losing money, there needs to be additional support. If operators are losing money, this is unsustainable and will result in permanent business closures. The return of deposits to customers in 2021 may bring additional financial stresses to operators, without additional supports. 

Product development supports to include package development and restart assistance for tourism operators is needed to support efforts to attract visitors when travel restrictions are lifted, effectively re-opening the territory for tourism travel. 

Digital Training for Tourism Operators
Covid-19 has brought a major shift in consumer behaviour. The digital world has increased in importance, and this change is likely to stay. It is critical that members of our tourism industry understand how to operate in the digital space to attract visitors - those who do not will be left behind. We are advocating for more digital training sessions like those the GNWT-ITI is currently offering through Outcrop/Advertience. This kind of training is something that can be done in the immediate future and will help our industry in recovery efforts once travel resumes. 

Destination Marketing
We need to ensure NWT has adequate funds to compete on the national stage once travel resumes. Increased investments in marketing and marketing research will help us compete. Other provincial and territorial destination marketing organizations in Canada will be aiming to attract the same visitors we will be trying to captivate and we are hearing of ramped up tourism marketing budgets for others in the year ahead. Competition close to home for winter product will be increasing. Canadians are likely to be our first visitors when travel resumes, and NWT Tourism needs the resources to attract visitors from Canada. 

In closing, I would like to say that we are encouraged that our combined advocacy efforts with tourism industry associations across the country are making a difference. Our collective voice is being heard at all levels of government, and we will continue to advocate on behalf of our industry. Our entire industry is looking to 2021 to begin our recovery. We continue to be stronger together.

Thank you,

Harold Grinde
Chair of the Board of Directors, NWT Tourism