Busiest year for tourism in Wrangell since 2005; spending estimated at $7.9 million

(City and Borough of Wrangell photo)

By Larry Persily

Wrangell Sentinel

Wrangell is on track for its busiest summer tourism season since 2005, with visitor spending on food, rooms, transportation, excursions and retail shopping estimated to total $7.6 million this year, according to a report prepared for the borough.

A big part of that spending is coming from the pockets of cruise ship passengers, with 40,000 to 45,000 people expected to arrive by ship this summer — almost double last year’s numbers.

Last year’s visitor spending was estimated at $5.9 million, according to the report by Juneau-based Rain Coast Data, which has been preparing economic reports for Southeast Alaska communities for a decade.

In addition to bringing in revenue for businesses and their employees, visitor spending will generate for the borough treasury this year an estimated $83,000 from the “bed tax” on room rentals at hotels and other overnight accommodations, $70,000 from a per-passenger fee charged to cruise ships, and several hundred thousand dollars in sales tax receipts, according to the report and the borough budget.

“Wrangell is an attractive port, known for its authentic ‘working waterfront’ atmosphere, offering visitors an experience distinct from ports with a stronger retail focus,” according to the Wrangell Visitor Economy 2025 report.

The community has seen solid growth in its cruise ship and air travel visitors since 2010, the report said. The only numbers in decline are travelers arriving by state ferry.

Summer tourists coming to town aboard the ferries were estimated at 2,000 for 2010 and 2,100 for 2014, but the passenger count this summer is projected at a paltry 160, according to the report.

“The community had focused on ferry tourism — visitors who would spend multiple days and nights in the community, taking several high-end tours — but reduced and unattractive ferry schedules due to budget cuts have all but eliminated ferry tourism,” the report said.

“I don’t see a way to recuperate from that,” Economic Development Director Kate Thomas said of the drop-off in ferry travelers.

Budget cuts, crew shortages and an aging fleet suffering from rust and equipment problems have reduced ferry stops in town from 10 or 11 a week in 2000 to eight or nine a week in the summer of 2017 and now down to two a week in the past few years.

Any loss in independent travelers makes a difference: Most cruise ship visitors spend less time — and money — in town than overnight visitors.

The borough has focused much of its marketing efforts on attracting more independent travelers to town.

Most independent travelers need accommodations, including hotel rooms, lodges, bed and breakfasts or private rentals. The report listed 109 such rooms in town, plus 32 short-term rentals registered with Airbnb or other websites.

Thomas said she was surprised by the increase in short-term rentals. “It is a statistic worth tracking,” and could help Wrangell draw more independent travelers.

Though Chief Shakes Island, Petroglyph Beach State Historic Park and the Stikine-LeConte Wilderness are notable attractions for visitors to town, the Anan Wildlife Observatory is the big draw, the economic report noted.

“However, the area’s July-August peak access is limited, meaning that attraction has very little room” for any growth in visitor traffic, the report said. “Wrangell’s current challenge is how to monetize growth once the boutique tours (to Anan) are fully booked.”

The U.S. Forest Service limits guided tour traffic at Anan to 60 people a day, with four additional permits allowed per day for non-guided visitors.

Another area that needs more attention, the report said, is ensuring there are enough attractions and excursions for visitors.

“To fully be successful, Wrangell must present itself as a competitive port, as other tourism-friendly destinations vie for the same customers. Developing more shore excursions that appeal to higher-volume cruise markets presents both a challenge and a critical opportunity for Wrangell’s tourism future.”

Next year looks to be even better for cruise ship traffic to Wrangell.

“Based on the current schedule, in 2026 Wrangell is expected to have a record-breaking tourism season with nearly 80,000 cruise visitors,” the report said.

Though a substantial gain, that is still far away from the million-plus passengers who arrive in Juneau, Ketchikan and Skagway each summer. Which is OK with most people in Wrangell, based on community surveys that show a reluctance to turn over the town to ship travelers as much as the other communities have done.

• This story was originally published by the Wrangell Sentinel.