MVA chief: Korean market recovering, Japan market struggling

Marianas Visitors Authority Managing Director Chris Concepcion talks about the Korea market during the Saipan Chamber of Commerce meeting on Wednesday at Crowne Plaza Resort Saipan.

Marianas Visitors Authority Managing Director Chris Concepcion talks about the Korea market during the Saipan Chamber of Commerce meeting on Wednesday at Crowne Plaza Resort Saipan.

CHRIS Concepcion, the managing director of the Marianas Visitors Authority, on Wednesday updated the Saipan Chamber of Commerce about the status of the Korean and Japanese tourism markets, and said that the CNMI should address its blighted properties so it can be a more attractive destination.

Concepcion said Korea — the CNMI’s primary tourism market —is “performing well” and that arrivals in 2023 are about 78% of what they were pre-pandemic.

Concepcion said Korean visitor arrivals totaled 189,155 from January to October 2019 and 148,081 for the same period this year.

Concepcion said Asiana Airlines, for its part, will resume its twice weekly flights on Dec. 19, using a larger aircraft that will “almost [double] the number of seats that they operated last month.”

As for the Japanese market, he said it is “increasing but still struggling.”

Concepcion said a strong dollar makes it expensive for Japanese tourists to come to the CNMI. Based on the exchange rate on Thursday, a dollar was equivalent to 144.80 Japanese yen.

“Our biggest challenge, really, for the Japanese market is our currency exchange rate,” he added.

Concepcion said because Japanese tourists fly in on an early flight that arrives on island at 2 a.m., they have to pay for an extra night of hotel stay.

He said he is requesting that United Airlines adjust its flight schedule.

MVA, he added, also wants to increase the frequency of flights to Saipan and wants to secure charter flights during peak travel season. 

He said the CNMI needs to attract new Japanese airlines to travel to the CNMI.

In 2019, a total of 17,121 Japanese visited the CNMI. This number dropped to 9,862 in 2020; 54 in 2021; and 2,130 in 2022. As of September 2023, Japanese arrivals this year totaled 5,964.

Concepcion said Korean and Japanese tourists “are now looking for more meaningful travel,” which he believes could play into the CNMI’s strength as a destination. 

“We have a way of life that is really based on connection with family, friends and community,” Concepcion said. “Invite them to eat a meal when you see them out in the streets or at the beach. It really makes a difference. The hospitality that we’re famous for is something that we should be proud of.”

The CNMI’s second largest tourism market prior to the pandemic, China, provided a total of 185,526 visitors in 2019. This figure plummeted to 18,550 in 2020; 12 in 2021; and 186 in 2022.

Chinese arrivals this year totaled 4,224 as of September 2023.

Blighted properties

In his presentation, Concepcion also offered his thoughts on the blighted properties that mar tourist locations on Saipan.

“Our natural beauty is stunning, second to none in my opinion, but the truth is we’re a very run-down destination,” Concepcion said. “We have abandoned buildings everywhere. There are properties that really need major renovations. If we want to attract visitors, repeat visitors and high spending visitors we really need to address our infrastructure, both private, and public.” 

The Nuisance Abatement and Blighted Property Maintenance Act became law in June 2018, but it has yet to be implemented due to a lack of funding.

Marianas Visitors Authority Managing Director Chris Concepcion said blighted properties around the island need to be addressed.

Marianas Visitors Authority Managing Director Chris Concepcion said blighted properties around the island need to be addressed.

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