Tuesday, Jun. 09, 2009

Myrtle Beach rolls out welcome mat for Can-Am festival

8-day festival prelude to economic, tourism forum between Canada, Myrtle Beach area

What started out as a bid to attract Canadian customers has evolved into a jam-packed festival capped by a bona fide diplomatic and economic summit.

And with the exchange rate where it is - the U.S. dollar has been hanging close to parity with the Canadian dollar for the first time in more than three decades - business leaders say now is the time to seal deals and make the most of the annual Canadian-American Days festival, which starts Saturday.

"A falling dollar makes an investment in the United States more attractive," said Hugh Owens, executive director of the Myrtle Beach Regional Economic Development Corp.

"Many far-sighted companies look to exactly these times to make their investment."

In other words, we're on sale.

This year's eight-day festival will be followed later this month with a visit from 70 Canadian government representatives and David Wilkins, the outgoing U.S. ambassador to Canada.

They'll meet with Grand Strand government and economic leaders, including U.S. Rep. Henry Brown, to talk about topics such as tourism, energy and the balance of trade.

"Our goal with those forums is to tie the two countries together on topics that are relevant to both," said Amie Lee, director of special events for the Myrtle Beach Area Chamber of Commerce, which organizes the festival.

Tourism whizzes in Myrtle Beach started the festival, then called Canada Days, in 1961 to draw visitors during Easter.

It was soon rescheduled to align with Ontario's school break, and events, such as the National Shag Dance Championships, were created to drum up activity. The shag competition starts today and runs through Saturday.

The chamber estimates that 100,000 visitors attend the events, which stretch throughout Horry and Georgetown counties.

This year, Canadian visitation is expected to be bolstered by the exchange rate, which gives Canadian visitors more spending power in the U.S.

The Canadian dollar reached parity in the fall and is hanging close to that point. At the close of markets Wednesday, $20 U.S. was worth $19.85 Canadian.

Room bookings are up this year - compared with last year, vacation home rentals are up 33 percent this week and 11 percent next week, according to Coastal Carolina University statistics.

"If we get more visitors this time around, we should expect a substantial boost to their economic impact," CCU research economist Don Schunk wrote in an e-mail.

"We could even get fewer Canadians this year than last and still see a greater economic impact locally simply due to the substantial Canadian currency appreciation over the last 12 months."

Various events have attached themselves to the festival, including shows at the Carolina Opry and ongoing events at state parks.

This year, a couple of military concerts have joined the lineup.

"We have way more music than we ever had before," said Holly McMillan, the chamber's director of festivals.

"This will be a banner month."

Besides the annual influx of Canadian visitors, who make up the majority of the foreign visitors to the area and stay for a few months between Christmas and March, Canadians are making moves on the area in other ways.

Realtors say Canadians' interest in Myrtle Beach property has jumped, and a couple of Canadian businesses have planted roots in the area, though the moves are not directly attributable to the festival.

Still, area economic development leaders point to two businesses as models of what can come to pass - Canfor, a lumber company that bought Myrtle Beach-based New South Cos. in 2006, and Awesome Racewear, which makes motorsports suits and recently moved from Canada to Conway.

In January, government and business leaders traveled to the Toronto Board of Trade to meet with Canadian business executives, such as bankers, consultants and construction industry representatives.

Leaders met with representatives from the boating and automotive manufacturing industry in hopes of getting them to relocate or expand into coastal Carolina. They also met with Porter Airlines, a Canadian airline, to try to pique interest.

"We certainly hope that there will be more to come," Owens said.

41 percent: first-time visitors

59 percent: Canadian visitors

32 percent: American visitors

96 percent: primary purpose for visiting the area is a winter vacation

47 percent: staying for 1 to 2 months

21 percent: staying for 3 to 4 months

93 percent: traveled to the Myrtle Beach area by car

53 percent: staying in a condo

31 percent: staying in a Hotel/Motel

80 percent: retired

29 percent: between 55-64 years of age

48 percent: between 65-74 years of age

Source: Myrtle Beach Area Chamber of Commerce