Detroit: Forecasters say tourism in state should rise in 2011

By Jeff Karoub Associated Press DETROIT (AP) -- Michigan's tourism industry should continue to rebound this year, reflecting the state's slow recovery from the depths of a long, painful recession, according to a forecast released this week. The projections by Michigan State University researchers at Pure Michigan Governor's Conference on Tourism in Kalamazoo predicts a 4 percent increase in tourism spending and a 3 percent rise in tourism volume and prices. Michigan State tourism analyst Dan McCole said 2010 showed the first signs of recovery. The expectation for 2011 is continued growth at a higher, but still moderate rate. "Tourism is discretionary spending and discretionary spending is tied to confidence," said McCole, an assistant professor of commercial recreation and tourism. "It's become less distasteful to spend again." McCole cautioned the trends don't mean a return to high spending and visitor levels seen before the recession. He said total tourism spending in state approached $16 billion in 2010, slightly up from about $15 billion in 2009 but down from $18.7 billion in 2006. The projections are based on discussions with a dozen of the state's industry experts and follow encouraging trends from 2010. Fellow researcher Sarah Nicholls said traffic increased on the state's highways as well as the Mackinac and Blue Water bridges, and statewide hotel occupancy increased by more than 10 percent. McCole said higher gas prices are a concern but unlikely to affect tourism unless there is an even more dramatic rise. Plus, he said, higher prices at the pump could increase travel within Michigan or from travelers in nearby states who forego cross-country treks. Earlier this month, Gov. Rick Snyder signed a bill into law that added $10 million into the popular Pure Michigan advertising campaign. He said the campaign has been a success story in a state facing a $1.4 billion deficit in the coming budget year. The extra $10 million will pay for regional campaigns targeting such cities as Chicago, Columbus, Ohio, Cleveland and Indianapolis. McCole said the outreach is important for a state that's lost population and hundreds of thousands of jobs. "We had high-paying white collar jobs, high-paying blue-collar jobs -- we didn't need to look outside Michigan to attract people," he said. "We're a different state now." Published: Wed, Mar 23, 2011