The current state of tourism is such that the Bahamas is at a point "where we will either sink or swim", a senior industry official warned.
Director General of Tourism Vernice Walkine told managers and supervisors at Sandals Resort that there are more millionaires in America than ever before and they have standards which are much higher than those of visitors in the past.
Ms Walkine noted that the Bahamian people are the country's biggest asset - and its biggest liability.
"You have the power to make or break the visitor's vacation experience," she told those gathered for a seminar.
"If we don't deliver good customer service we will lose our customers."
"Tourism is the number one growth industry in the world. More and more destinations are actively entering the tourism market as they realise that tourism can help them achieve their social goals," the director general noted.
Industries
Ms Walkine explained that over the last few years, many industries which developing countries were depending on began to fail, so these countries have aggressively embraced tourism.
"Thirty-two countries are members of the Caribbean Tourism Organisation. Countries like China, Japan and Dubai are embracing tourism and building infrastructure as they expect a large volume of tourists."
She added that Las Vegas spends more than $140 million on advertising a year and Mexico spent $100 million in an attempt to rebound after its 2005 hurricane damages.
Ms Walkine told the employees that they should be mindful of the following:
-- There is more competition than ever before and it continues to grow.
-- Customers who have disposable incomes have options and don't have to come here.
-- The public's money has to be used to convince visitors to choose the Bahamas.
Ms Walkine said there are many solutions to the problems facing the country, among them the rebranding and repositioning of the tourism product.
"We have to celebrate our people, our culture, our music, our food and our heritage.
"We have to tap into new markets and out-smart, out-think and out-shine the competition. We have to out perform them."
She noted that in addition to being expensive, the American housing market is in a slump, leaving customers with smaller disposal incomes, and many Americans still do not have a passport. "No one anticipated the big affect it would have had on our business."
Ms Walkine noted that conference and incentive trips are still "big business", adding that "Canadians, Europeans and the English are embracing the Bahamas with the increase of the Canadian dollar, the pound and euro."
"Out of all the hotels in Nassau and Paradise Island, Sandals has the highest rating and fewest complaints," remarked Ms Walkine. Visitors enjoy the Sandals experience."
This year, Sandals was voted Canada's Favourite hotel chain coming out ahead of every other hotel chain in the world.