British tourists have shunned the inbound tourists cover launched in Kenya earlier in the month due to fears instilled in them from their motherland.
The insurance product specifically targeted at thousands of British tourists has only attracted 50 arrivals against targeted potential of 5,000 – blamed on brainwash by British media.
Kenya Association of Hotel Keepers and Caterers(KAHC) told smartinvestor, that out of the targeted tourists 2,000 expressed interest but only 50 have managed to buy the cover.
“From their homeland they are told don’t go to Kenya, its dangerous,” said KAHC, coast region chair, Harald Kampa.
The product by AIG insurance has been customised for those who would love to visit Mombasa, Kenyan coastal city but are unable to buy such a cover back home.
Almost all hotels and tour operators are able to link its clients with the global insurance firm in a strategy to woo more arrivals from source markets.
The industry is projected to lose between Sh 40 to 60 billion due to travel advisories and high park entry fees that have significantly cut hotel occupancy at the coast to a low of 24 percent.
During high peak season from July the tourism circuit’s average occupancy rates averages 60 to 70 percent.
Low occupancy rates has already seen 20 hotels closed leaving thousands of workers jobless with those still operating getting half their pay.