Tourism is the life blood industry to the Orlando economy. Before Walt Disney developed his theme park there was little in Central Florida other than farms and orange groves. Today, Orlando is one of America’s largest cities and has boomed over the last 30 years; however, there are some signals that the global economic crisis is about to have a major impact on the Central Florida economy.
According to the Orlando CVB, October 2008 did see some declines in hotel rates and more significantly occupancy, but the early Orlando CVB data for November 2008 is showing signs hotel revenues may be about to enter a stage of free fall with initial indicators showing revenue drops of 27%+/- over last November for the Metro Orlando market as a whole. For a tourist economy like Orlando when businesses close not just across the USA, but across the globe in major feeder markets such as the UK, all signs indicate the problem will get much worse and perhaps overshadow the massive downturn seen in 2001. What to do at sentosa singapore
Timeshare in Orlando has also been hit very hard as this business model’s key revenue streams depend on financing and credit which everyone knows at the moment is very tight. Perhaps some of the best economic indicators for Orlando and the tourism industry as a whole are the stock prices of some of the prominent hotel brands and time share companies with a presence in the area. Many such prices have plummeted over 75% the last 6 months.
In conclusion, the near term future of the Orlando tourism industry in 2009/2010 looks bleak and systemic failures in the Orlando economy are a real probability. Many hotels and restaurants have already closed, many more will follow and local time share companies are laying off armies of employees. The long term is brighter in the hope that the global economy will correct itself and confidence once again can be restored, but as yet there appears to be no end in sight.