Anchorage just completed a good year in tourism, and 2006 looks to be equally promising, the president of the Anchorage Convention and Visitors Bureau told his members Jan. 26.
In 2005, Anchorage collected nearly $12 million in hotel and motel bed taxes, a 3 percent increase over the year before, said ACVB president Bruce Bustamante.
The hotel tax taken in should continue to increase into next year, Bustamante said. Voters last year approved a 4 percent increase to the hotel bed tax to pay for the new convention center, now estimated to cost $103 million.
Room occupancy for 2005 was at 67 percent, a slight decrease, but total room revenue increased 3 percent to $176.7 million, he said.
Tourism is Alaska's second-largest industry, with visitors spending $1.6 billion a year throughout the state, Bustamante said. Tourism directly supplies more than 30,000 jobs in the state.
Nationwide, tourism seems to be fully recovered from the huge declines in travel after the Sept. 11, 2001, terrorist attacks. In 2005, leisure travel domestically increased 4 percent, while international travel saw a 7 percent increase.
Travel spending in the United States was predicted to see growth of nearly 9 percent, to $678 billion.
ACVB saw a 5 percent drop in the amount of money generated from conventions, from $89.7 million in 2004 to $85.6 million last year. That's primarily because the Alaska Federation of Natives, and the Elders and Youth conferences were moved to Fairbanks last October. Combined, the events bring to town upward of 5,000 delegates during the weeklong gathering.
AFN is scheduled to return to Anchorage in 2006.
Other large conventions in 2005 included the American Indian Science and Engineering Society, with 1,800 delegates, and the 2,000-delegate International Association of Assessing Officers' annual meeting.
ACVB exceeded all its sales goals for 2005, with $82.8 million in conventions sold. The staff is currently selling conventions through 2011, Bustamante said.
The bureau has begun selling the new convention center, he said. Construction on the new, $103 million facility is expected to begin in the spring, and be completed in 2008.
The center, located in downtown, will be connected to the Alaska Center for Performing Arts and the Egan Civic and Convention Center.
Convention bureau staff is working to entice larger meetings to the state's new center, focusing on conventions with delegates of 1,500 to 5,000.
In 2006, staff will be attending sales blitzes, trade shows and offering familiarization tours.
Some of the larger events to be hosted in 2006 includes the National Veterans Wheelchair Games in July, with 1,000 delegates and an estimated economic impact of $975,000, and the National Indian Education Association is holding its conference in October, with 3,000 delegates and a nearly $3 million economic impact.
Anchorage continues to be one of the top travel destinations in the country, Bustamante said. Carlson Wagonlit Travel Associates' 2006 Travel Trends Survey ranked Anchorage at sixth in the nation for places to visit, up from seventh a year ago.
Alaska ranks at No. 2 as the top cruise destinations for the year.
ACVB's Web site traffic grew to more than 525,000 visitors in 2005. The site received 3.4 million page views and increased referrals from search engines, Bustamante said.
In 2006, the bureau plans to launch video podcasts on its site that will feature several Anchorage events, including Fur Rondy and the Iditarod. The site will also offer translated sections to cater to international visitors.
Melissa Campbell can be reached at melissa.campbell@alaskajournal.com.
