May 11, 2004
Milwaukee Journal Sentinel

2003 a flat year for tourism, state finds; Spending in city dipped despite Harley fest  

Tourists shelled out nearly $1 billion in Sauk County last year to slip, slide, scream and swim at Wisconsin Dells, a record for the state's most popular tourist destination.

Sauk County -- recording 7% growth -- was one of the success stories in an otherwise flat year for Wisconsin tourism, new figures released Monday by the state Department of Tourism show.

Even the rumble of Harley-Davidson's 100th birthday celebration couldn't keep Milwaukee County afloat. Tourism spending in the county actually saw a 0.48% decline in 2003, and the decline would have been much lower without the Harley event.

Industry experts and state officials said a sluggish economy, high energy costs and a warm winter led to a relatively minimal 1.24% increase statewide in tourism spending, and said the tourism and hospitality industries continue to suffer from the effects of the 2001 terrorist attacks.

Regional tourism bureaus said the numbers reflected the state's ability to hold on to one of its top industries.

"Considering the conditions that have taken place and the effects of September 11, the fact that we were able to hold steady is pretty tremendous," said Tammy Tritz, executive director of the Waukesha/Pewaukee Convention & Visitors Bureau.

The report's findings, which largely mirror the travel industry nationwide, detail the money spent in counties throughout Wisconsin from December 2002 through November 2003 and are being released during National Tourism Week by Maine-based Davidson-Peterson Associates, which specializes in tourism economic impact research.

Statewide, travelers spent more than $11.7 billion in Wisconsin last year. The report also tracked seasonal spending in the state and shows that summer travelers accounted for over a third of all spending -- $4.36 billion in June through August.

While no county saw any major losses, tourism spending in 15 counties, including Milwaukee County , dipped last year.

Tourism figures in Brown County also dropped slightly, from $441.5 million in 2002 to $441.1 million in 2003.

Kari Sliva, president and chief executive of the Green Bay Area Visitor & Convention Bureau and the Packer Country Regional Tourism Office, said Lambeau Field, home of the Green Bay Packers, was closed for much of the year for renovation, causing a drop in tourists.

She added that some of the indicators the bureau tracks are on the rise, including revenue from local hotel tax revenue, as more people visit the Packers' new facilities.

"It's very positive news, in light of what other cities are experiencing. The numbers are rebounding. It's slower in some communities and faster in some," she said.

Calumet County recorded a 14% rise in tourism spending, from $29 million in 2002 to $33 million in 2003. Officials attributed the increase to efforts to boost local tourism, particularly with new lodging facilities and a new racetrack.

Steve Shattuck, public relations manager for the Wisconsin Dells Visitor & Convention Bureau, said the bureau recorded its largest increase in traveling during winter. He attributed the boost to efforts to develop indoor water parks and open fine dining restaurants and luxury hotels, which he said add "a new dimension to the Dells."

The study showed that 57 counties experienced increases in tourism spending, with 18 counties reporting increases of 1% or less.

Dave Blank, executive director of the Racine County Convention and Visitors Bureau, said businesses are choosing to teleconference and opting to travel less.

He said leisure travelers are tending to stay with friends and family, forgoing a hotel stay, which accounts for much of the bureau's budget.

"If you have another September 11, that impacts us," he said. "We know that even if gas prices inch up, people are going to still be traveling. We're still going to see Illinois license plates."

Given the war on Iraq , recovering economy, high energy prices and warm winter, "it was encouraging for us to see at least some growth in tourism's economic impact in 2003," Secretary of Tourism Jim Holperin said.

Tourism advocates said that without the Harley-Davidson birthday celebration, tourism spending in and around Milwaukee would have been lower. The Harley-Davidson event carried the greater Milwaukee area's economy for at least a week, Holperin said.

Harley events raked in $37 million for the city, according to figures expected to be released today by the Greater Milwaukee Convention & Visitors Bureau. The greater Milwaukee area makes up about a fifth, or $2.4 billion, of the state's total tourism spending.

"Each year you hope to have something that will have an impact. Certainly, Harley helped us," said Doug Neilson, president and CEO of the bureau.