Hawaii's tourism sector is showing signs of resilience even as it navigates a changing landscape. Preliminary data from the Department of Business, Economic Development and Tourism (DBEDT) indicates that total visitor spending in October 2025 reached $1.70 billion, marking a 6.7% increase compared to October 2024. This positive trend, however, comes amidst a backdrop of declining visitor arrivals, raising questions about the future of the industry.
The increase in spending, despite fewer visitors, suggests that those who are traveling to Hawaii are spending more per person. This could be due to a variety of factors, including inflation, a higher proportion of luxury travelers, or changes in the types of activities visitors are participating in. The Hawaii Tribune-Herald reported similar trends in September, noting that while arrivals declined, average daily spending increased, bolstering overall revenue.
This shift presents both opportunities and challenges for Hawaii's businesses. Hotels, restaurants, and retailers may benefit from increased per-customer spending, but they also need to adapt to potentially lower overall customer volumes. Businesses could consider focusing on attracting higher-spending clientele or adjusting their strategies to cater to the evolving preferences of tourists. As highlighted by Guam Entertainment Daily, the state faces stiff competition, making it crucial for Hawaii to continue its marketing efforts.
Investors and entrepreneurs in Hawaii should carefully monitor these trends. While increased spending is encouraging, the decline in arrivals warrants consideration. Diversifying investment portfolios, supporting businesses that cater to higher-spending visitors, and backing initiatives focused on sustainable tourism could be prudent strategies. Understanding the underlying drivers of these changes will be critical for long-term success in Hawaii's tourism-dependent economy. The need to adapt to market dynamics has also been highlighted by Skift, which pointed towards the decline in international visitation to the U.S. for the sixth consecutive month. This indicates that global travel patterns may be shifting, and Hawaii needs to be prepared.