MARKETING: Funds allocated for marketing the 2002 tourist season are inadequate to meet the crisis facing the industry, the Irish Tourist Industry Confederation said yesterday.
In a comprehensive recovery programme, submitted to the Minister for Tourism, Sport and Recreation, Dr McDaid, it has called for an additional investment of €20 million on advertising and targeted marketing activities in a number of specific markets - an increase of up to 40 per cent.
The programme is designed to win back business lost in 2001 due to foot-and-mouth, the economic downturn and the aftermath of the September 11th attacks in the US, and to restore the tourist industry to the growth levels set out in the National Development Plan.
The confederation said there were 770,000 fewer visitors to Ireland last year, resulting in a loss of €317 million in tourist expenditure against target. It estimated that up to 10,000 direct and indirect jobs were lost in the industry, and there was a loss of at least €180 million in Exchequer receipts.
"It is worrying and short-sighted that the funds available, in particular for advertising, are below what is required," said Mr Tony Kelly, chairman of the tourism group.
He said its report indicated that the total funds earmarked for overseas marketing in 2002 was less than that spent in 2001.
As well as calling for additional funds for overseas marketing, it is also calling for a review of all funds currently earmarked for tourism development.
Mr Kelly said the amount the Republic was spending was too low in those markets that should be capable of delivering growth this year, in particular Britain, where he said Tourism Ireland's recent marketing plan earmarked €4 million for advertising.
"This equates to about a three-month advertising campaign so that, in effect, Tourism Ireland will be able to afford only a limited level of advertising in Britain after the first quarter. This is totally inadequate for what should be our priority market in 2002," he said.
He said there was deep concern in the industry, with bookings to date down and advance bookings not coming in at a rate needed to show a recovery in 2002.
The confederation has called for an extra €5 million to expand advertising throughout the year in Britain and €5 million to restore the TV advertising campaign in key metropolitan gateway areas in the US. A further €10 million was needed on product marketing and promotional campaigns at home and in Europe, it said.
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