Kelowna Breaks Travel Records, But Local Businesses Struggle

URGENT UPDATE: Kelowna, B.C., is witnessing a historic surge in air travel this summer, but local businesses are reporting a troubling disconnect between high tourist numbers and their own revenues. Kelowna International Airport has confirmed a record 8.5% increase in passenger traffic for August 2023, following a 7.6% rise in June and a 7.8% increase in July.

“This summer has been exceptionally busy—very positive,” stated Sam Samaddar, CEO of Kelowna International Airport. The influx of travelers has transformed the airport into a bustling hub, with busy streets and packed beaches across the city.

However, the thriving travel statistics tell a different story for many local tourism-related businesses. George Greenwood, CEO of the Kelowna Chamber of Commerce, highlighted a concerning trend: while the city attracted a strong influx of visitors, not all businesses experienced the anticipated benefits. “A lot of businesses didn’t see the volume they were hoping for,” Greenwood remarked.

Despite the vibrant atmosphere, restaurants and tourism services reported lower-than-expected foot traffic. “You could walk into almost any place outside of downtown without a reservation,” Greenwood added. This shift in consumer spending habits has raised alarms among local operators.

Among those affected is Kelowna Cabs. “People did come, but we noticed all the hotel parking lots were full,” said Roy Paulson from Kelowna Cabs. “They brought their own cars, so they didn’t need taxis during the day.” Although demand increased at night as visitors sought evening entertainment, the overall impact on business was disappointing. “It kind of stung us. We were expecting it to be better,” Paulson noted.

Adding to the mixed signals, the Ministry of Transportation reported nearly 50,000 more vehicles crossing the William R. Bennett Bridge this summer compared to last year, indicating that many visitors were driving to Kelowna from across Canada and beyond. “I spoke to tourism operators as far down as Osoyoos who said they saw a record number of Washington State license plates,” Greenwood stated.

With such significant travel data, the situation has raised crucial questions about the local economy’s resilience and adaptability. As the summer season winds down, stakeholders are left pondering the implications of these trends.

Looking ahead, businesses in Kelowna must reassess their strategies to align with changing consumer behaviors. The city’s vibrant tourism landscape remains a vital part of its economy, but immediate adjustments may be necessary to capitalize on the unprecedented air travel surge.

As Kelowna continues to build on its record-breaking summer, the community watches closely for developments that could reshape its future in tourism. What happens next could redefine how local businesses engage with an evolving market.