Monday, February 24, 2003

Business

Spokane popular with tourists
Travelers' desire to stay on the ground puts focus on regional vacation destinations

Becky Kramer
Staff writer

photo
Click image to enlarge, or view Kootenai County hotel revenue.
At a glance
Interview with Carl Wilgus

To demonstrate the kind of positive tourism publicity Spokane received in 2002, John Brewer pulls out a copy of Seattle Homes and Lifestyles.

"The Inland Empire Strikes Back," reads the headline on a travel article. All the attributes that tourism folks like to talk up are highlighted: The reopening of the Davenport Hotel. Downtown restaurants and shopping. Spokane Falls. The Northwest Museum of Arts and Culture.

"It's old news to us, but it's new news to lots of people, particularly on the national level," said Brewer, president of the Spokane Regional Convention and Visitors Bureau.

For years, Spokane has marketed itself as a safe, affordable city, playing up its role as the regional hub of the Inland Northwest. In 2002, it was the perfect sales pitch for tourists watching their dollars and still leery of airline travel.

Spokane County added 587 hotel rooms last year, bucking industry trends. Room demand climbed nearly 4 percent. The county's hotel-motel receipts and retail spending were also up.

"The marketing that we've done as a convention and visitor's bureau is really paying dividends now," Brewer said. "We felt the dip after 9/11 like everyone else, but we recovered faster."

At Hotel Lusso in downtown Spokane, weekend bookings are up 20 percent. The majority of reservations are from couples taking advantage of a package that includes dinner, movie tickets and a room.

"People aren't traveling as much. They are looking for things that are closer to home, a little getaway," said Doug Griepp, the hotel's general manager.

The Hotel Lusso also benefited from the Davenport Hotel's reopening in July.

"The synergy on the street just because of the Davenport has been great," Griepp said. "People come to see the Davenport, and we're giving a lot of tours too," which usually translates into future bookings.

Across the border in Idaho, however, Kootenai County didn't fare as well in 2002. For the first time in 15 years, the state of Idaho's lodging receipts declined. In Kootenai County, they were down by nearly $3 million, or 7 percent.

"The economic downturn and the impact of 9/11 were strongly felt," said Carl Wilgus, the state's tourism director in Boise.

"The pressure was hardest on the more urban areas and the convention and meeting markets, which is a lot of the Coeur d'Alene Resort's business."

Even Brewer considers the dynamics of last year a short-term advantage for the Spokane market. Still, a number of trends look positive for the future, he said.

  • People are willing to drive longer to avoid flying. In the past, Spokane's tourism industry drew heavily from a three-hour driving radius. Now, the radius has expanded to six hours. National trends indicate that people are taking shorter and more frequent trips, which bodes well for markets such as Spokane and North Idaho, Brewer said.

    One of the challenges facing the region, however, is the lack of a landmark attraction, or consensus on a regional identity, which would help market the area nationally, Brewer said.

  • Spokane's community festivals and events continue to grow. The second annual "First Night" New Year's Eve celebration attracted people from Montana and Idaho. "Who would have thought First Night would draw in 25,000 people in its second year?" Brewer said.

    In Coeur d'Alene, hotels are selling out for the Ironman North American Championships in June, which is expected to bring 3,000 to 6,000 people to town.

  • The opening of a Spokane Convention Center expansion in 2006 will help boost Spokane's convention business, which has leveled off at about $53 million annually.

    "With the present facility, we just don't have a lot of room to grow," Brewer said.

    Brewer also views the growth in hotel rooms as a sign of industry optimism about Spokane's future.

    "Right now, we might be slightly overbuilt, but the demand is continuing to grow," he said. "What it means for us is greater opportunity. It's like a retail store expanding its floor space."

    Tourism fact

  • Last year, 2.7 million passengers passed through Spokane International Airport, a 4.7 percent decrease from 2001. Cargo volume was also down slightly. In 2002, 53,275 tons of cargo passed through the airport, a decrease of nearly 2 percent.

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