MVA aims to reopen China offshore office

The Marianas Visitors Authority wants an $11 million budget for next fiscal year so it could re-open its offshore office in China next year.

MVA managing director Perry Tenorio told Saipan Tribune that about 90 percent of the money they are asking from the central government for fiscal year 2013 will go to marketing and advertising to entice more travelers to the islands.

Tenorio and board chair Marian Aldan-Pierce said that MVA terminated its official office site in China in 2005 as a result of the destination’ low market share in overall tourist arrivals at the time. Now that China’s market share in tourist arrivals in the CNMI is starting to go up, the agency wants to revive its offshore office there.

Tenorio said about 15 percent of the current total visitors to the islands are Chinese travelers. This figure, he said, is very close to the arrivals rate being posted by the Korea market.

MVA has offices in Japan and Korea, considered the top tourism markets of the CNMI. In other destinations like the Philippines, China, and Russia, the agency partners with travel agents to sustain these markets for the Commonwealth.

“China has increased in its market share and among our priorities now is to open an office in China, if we have the resources [to do so],” Tenorio said.

This fiscal year, MVA was appropriated just $5 million for its operation. Of the amount, over 80 percent is being used for promotions and marketing while the remaining amount goes to personnel and all others.

Tenorio admits that the agency always submits double-digit budget proposals every fiscal year but the final amounts are always reduced as a result of the government’s declining revenue.

For many years now, he said, the agency has been operating within a limited budget, affecting many of its marketing and promotions plans to increase visitor arrivals.

Tenorio is hopeful of the positive impact that Saipan Air would bring to the CNMI once it begins operation in the middle of this year.

Based on independent research conducted for the MCA’s Tourism Master Plan for 2012-2016, marketing efforts and activities must be increased and stabilized to cope with the declining tourism industry on island. Experts also cited the need for strong leadership within MVA and continued dialogue with stakeholders as well as the launch of a new identity for the destination at the right time.