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Published - Sunday, September 07, 2008

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Gas prices slow MN tourism, but don’t stop it


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ST. PAUL, Minn. (AP) — Tourism officials say rising gas prices reduced the amount of travel by Minnesotans this summer, but not by as much as was once feared.

The decline in the number of people from Minnesota and Wisconsin who traveled 50 miles or more from home during the summer travel season declined about 1 percent.
The Fourth of July weekend took the biggest hit, with a 1.5 percent decline, according to AAA Minnesota-Iowa Public Affairs Director Gail Weinholzer.

Gas prices, of course, are the biggest reason why. More people in Minnesota and Wisconsin chose to stay closer to home, take fewer days off work and spend less money than in years past.

“Travel did mirror gas prices,” Weinholzer said.

Similar trends were observed in Iowa and Wisconsin.

“The people who did travel traveled differently than in previous years,” said Pam Moen, AAA Wisconsin’s public affairs director. “They shaved a day off their trip, and stayed closer to home.”

The drop was not as steep as when gas prices first started spiking in the spring, and state officials have yet to compute the receipts on things like souvenir sales and resort stays to gauge the total impact. But Moen said the 1 percent decline may seem small, but “it is significant.”

In recent years, despite gas prices rising gradually, the Minnesota travel industry has typically seen a 2 to 3 percent increase, she said.

But as gas climbed near and over $4 per gallon this summer, travelers finally started to change their plans.

At the Eagles Rest resort in Hayward, Wis., a popular spot for Minnesota travelers just east of the Wisconsin border, owner Bill Thornbury was seeing more stays of three to four days and fewer weeklong stings.

“Sixty percent of our customers are repeat and usually book early. That didn’t happen this year,” Thornbury said. “Booking was down 25 percent going into the season but picked up to about where we are normally” as the season wore on.

Throughout Wisconsin, in Bayfield, Door County and the Wisconsin Dells area, things started slow before picking up as the season wore on.

“Despite the early summer weather and gas prices, I am optimistic that we held our own,” Wisconsin Department of Tourism Director Sarah Klavas said.

Explore Minnesota’s Michele Peters said occupancy at state resorts dipped slightly, but overall tourism remained steady.

“It was definitely a different summer from many summers we’ve had in the past,” Explore Minnesota director John Edman said.

Minnesota’s state parks saw more homegrown visitors this year and fewer from out of state, which could be attributed to the gas prices, DNR spokeswoman Pat Arndt said.
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