The State of Galapagos Tourism


State of Tourism in the Galapagos, July 2012
By Rick Schleicher

Come to Galapagos Tourism

In 2004 70 thousand tourists arrived in the Galapagos. An unprecedented number up to that point, nearly a 20% rise from the year before and less than 5% of the revenue generated by tourism to the Galapagos that year touched the hands of the local population. The amount of tourists arriving to the Galapagos as land based tourists was so negligible no one measured it. Today more than 140 thousand tourists arrive here annually; 37% are land based, 38% cruise ship (the remaining are students, scientists, business men, etc.) and it is estimated that still less than 12% of the revenue generated by tourism to the Galapagos touches the hands of the local population.

We conceptualized our business in 2004 with the idea that tourism could be generated locally via the internet, tourism that could support environmentally and economically sustainable businesses within the populace, as opposed to the fishing industry which had decimated fisheries or farming which as a viable means to make a living had been destroyed by mass importation of agricultural goods from the mainland. Or even tourism as the majority of people working in that industry were doing it for the profits of foreign companies, being paid a discounted rate of the real world value of their services. Again, this was 2004. The idea was that our company would have two main functions, bring the tourists in small private customized community based tour groups (as opposed to “packaged”/mass tourism) and coordinate their tours here using existing amenities and services rather than creating a vertical company by building our own hotel, opening our own restaurant, buying our own boat, etc. In this manner not only any profits we made, but actually the majority of the revenue generated through our company would end up directly in the hands of the people that live here and that would increase their awareness of the need to protect the resource that was funding their livelihood, an awareness that was and still is to a somewhat lesser extent lacking. For us, involving the community in what we were attempting to do was one of, if not the key difference between simply making a living/money and making a life in the Galapagos. Most of you are familiar with the many other differences we are wrestling to make.

Here we are eight years later. Our business has been only marginally successful in this regard. Our business is growing, but not at a rate that will likely ever have a significant impact. Our positive economic impact on the sustainable businesses in the community has been limited by our volume of clients. Soon after the inception of our business large international travel companies (Gap, Row, REI, Disneyland et al) began mass marketing budget land based tours to the Galapagos and several wealthy investors from the mainland arrived and built vertical travel companies as described above, neither support local businesses anymore than they absolutely have to and neither is here to do anything but make a buck. Add to that at least twenty other new travel companies have emerged in the Galapagos since 2004 competing for a market that cannot possibly support them all.

Annually our business puts $300,000 into the local economy, plus another $100,000 from the marathon we organize each year. We support only one fishermen’s family and only augment local agriculture by about $10,000 annually. That doesn’t rate even half a feather in our cap for seven years work.

One of our aspirations at the outset in 2004 was that other locals would imitate us. Five have copied our business model and web page practically verbatim, but none of them copied the ethic, developing sustainable economies outside their own. Many people associate eco-friendly with “eco-nomical” which can be true, but seldom is, particularly here in the Galapagos. In order to compete in the market place it takes a lot of extra work to “sell” the value of programs such as “pesca viencial” (fishing with locals) or providing locally grown food (costs more than imported), more extra work to provide those and it often means losing business to companies that do not provide such. So the trend for other Galapagos companies has been instead to simply state somewhere on the company’s website that they are a leader in eco-friendly tourism and at the cutting edge of efforts to preserve the Galapagos.

Developing a business relying on the internet to generate customers in the Galapagos is a tough nut to crack. It is one thing to have a web site it is another to have it prominent in search engine results where people can find it. Of the five companies that have copied us… and I don’t know for a fact that they copied us, what was needed was obvious and not something you would want to patent, but of those five, three have been creative in solving the problem of a web/internet/search engine results presence. They have falsified reviews on trip adviser and trip adviser’s competitors, labeling themselves an “attraction” rather than a tour company. (Trip advisor doesn’t review tour companies), basically they piggy-backed a web presence. Trip adviser and its competitors don’t/can’t do anything about falsified reviews. It is too expensive/outside their business model to adequately police reviews. They are basically just software programs and the guys that keep them running.

We have been in business for seven years. Not everyone, but practically everyone who travels with us leaves here so over the top happy, I sometimes imagine them practically willing to give me their first born son. The first born thankfully usually returns home with them. In those seven years, almost everyone has written us a nice thank you letter, but only three people have gone to all the trouble to write trip adviser. It is time consuming and since trip adviser doesn’t review tour operators, they had to post their reviews in trip adviser’s “forum” section. These other local companies have more positive reviews than they’ve had clients. I’m really not knocking them. Imagine being born here, trying to make a business in tourism, facing all the practically insurmountable marketing challenges. Falsifying reviews on trip adviser is not so egregious in that light. It happens everywhere else in the world too. Opening a restaurant? The first step is falsifying reviews on the internet. I understand all too well the challenges these other local companies face trying to get themselves where people can find them when searching for a vacation to the Galapagos.

What we did to get where we are on the internet was difficult, time consuming and expensive. Now we are the first result in a Google search for “land based tours Galapagos”, “customized tours Galapagos” and on the first or second page of results for many other search criteria. We receive more than six hundred new visitors to our site a month.

Our aspiration that other local companies would be able to or want to imitate us was naive and short sighted. We didn’t understand the market forces that were coming to bare.

About trip adviser, pay most attention to the negative reviews while keeping an open mind that a competitor for a particular business can also write a falsified negative review (it happens) and that trip adviser doesn’t care anymore about falsified negative reviews than they do about falsified positive reviews.

On a related subject, I don’t have any proof of this, my only evidence is the changes in the percentages of types of people that write us, but here is my hypothesis. Most or at least a good percentage of the people with the where withal to travel internationally have already been here to the Galapagos. Galapagos is difficult and expensive to get to, unlike say Hawaii where many people are likely to go several times in their lives. For most people Galapagos is a one time deal. This leaves an available market for the Galapagos of the people with the where withal who haven’t been here or are discovering they might want to come, the people that have recently come into the where withal and the people without the where withal/economy budget travelers.

Over the past year or so there has been a dramatic increase in the number of “budget” and twenty/thirty-something traveler’s writing us. I don’t think in the first five years of our business that we even had one organizing guest of a tour under forty, well maybe a couple in their late thirties. Anyway, this new younger set, tend to write as if we were in Puerto Vallarta, Mexico or Bali, Indonesia, “Do you rent mopeds?” They seem to have no consideration that they are traveling to the last somewhat intact biological refuge on the planet. They want to go “multi-sporting”, want things on a budget and they want me to know they are “shopping around”.

Contributing to or perhaps precipitating this trend are: the large international travel companies who market land based tours with names like “Galapagos on a Shoestring” or “multi-sport Galapagos”, guide books and internet travel websites, blogs, etc. which promote the idea of traveling to the Galapagos as if it is no different than traveling to Costa Rica. The traveling part isn’t any different really. The planning part is quickly becoming similar. What is different of course is the fragility of the ecosystems at the destination’s end.

Perhaps the recent development that has had the greatest immediate impact has been the introduction of yet a third airline servicing the Galapagos, Lan. They opened their marketing of the Galapagos by offering incredibly cheap airfares and land based package deals (marketed mostly in South America). See http://www.flightglobal.com/news/articles/lan-to-launch-galapagos-flights-in-september-339598/ though this article is way off in reporting the number of flights to the Galapagos.

For the first time people can now book their own flights to the Galapagos over the internet and not only that, but can use frequent flyer miles through Lan’s affiliated airlines. You can be sure the other two airlines flying to the Galapagos will also soon be providing this “service”. We often receive letters now, “I have my flights, I’m arriving this date, leaving this date, what do you have for me?” Usually what I have for them is bad news. They’ve booked a round trip flight to Baltra and so will likely be spending the majority of their time in the tourist capital of the Galapagos, a place we send only about half our guests and rarely for more than a night, mostly just to show them the impact of what is happening and an example of how to ruin a perfectly good island.

The solution to the above is in the hands of the Ecuadorean government, but since they aren’t doing nearly enough, it falls to travelers to make educated choices about where, how and with which companies they travel. Our guests or “hearts” as my wife refers to them have done just that and have our unceasing gratitude.

I/we bring tourists here. That is our business (how we feed and clothe ourselves), albeit that we designed our business within a sustainable model as opposed to the non sustainable model which is the Galapagos today. Still, we are bringing tourists, actually more than we ever have, annually more than a hundred a year (not counting the marathon we organize, sustainable, leave only footprints, $ directly to the hands of the inhabitants), 0.075 % of all tourists arriving in the Galapagos, less than one tenth of one percent.

I’ve been asked, I don’t know how many times, “What would you do if you could do anything to save/preserve the Galapagos?”

I don’t have to hesitate. No informed, sensible person would have a different answer.

“Forbid tourism. Shut it all down”. That’s how you preserve a delicate and unique ecosystem as opposed to “cashing in” while it still exists which appears to be the current plan. My plan B for ourselves, I suspect would be moving to a ski resort in Argentina, affluent residents, good schools and recreational opportunities and not too far from my wife’s family who she cannot live without, plus we would live in a place with four distinct seasons, my wife and son would get to know what snow and cold are, spring and fall. Of course we’d be starting from scratch, lose our farm and the business we created. We’d be okay. This reminds me of the loggers of redwoods or salmon fishermen in north western US a few years ago being forced to stop logging and fishing, to find other ways to make a living. I understood. I understand. I don’t think we have to worry about that though. It appears we’ll be allowed to witness what the loggers and salmon fishermen were spared had they been allowed to continue. I’ll do it with my wife and son while continuing to wrestle to make a difference.

Short of forbidding tourism?
  • Up the park entry fee to $500.
  • Create a national web site through which all tours to the Galapagos must be booked through Ecuadorian companies.
  • Require that all payments for Galapagos tours flow through national banks.
  • Require that any tour of the Galapagos must be at least ten days.
  • Eliminate all commercial and sport fishing in the Galapagos. All fish caught in the Galapagos must be eaten in the Galapagos.
  • Tariff all incoming produce to the Galapagos that can be produced here.
  • Stop subsidizing the cost of energy (electricity and gasoline).
  • Tax all incoming sporting equipment at $100 per, bicycles, kayak, surfboard etc. for visitors, companies and locals.
These suggestions would be an economic death sentence to most of our friends and many local businesses, depopulate the islands, end political careers. They would increase our business exponentially, actually have a net positive effect on the Ecuadorean economy overall within three years (obviously not on the economy of the Galapagos as it exists today), increase revenues for the Ecuadorean government and the Galapagos National park immediately, save the Galapagos from the downward spiral of ever increasing tourism and it will never happen. I can send you the economic analysis of the above on request. It is rather startling.

What is far more likely to happen, aside from the degradation of the visitor’s experience is that some strain of avian flu, distemper, dengue, lime disease will cause the extinction or near extinction of some form or forms of fauna that everyone comes here to see. These animals are endemic to islands that up until recently have been isolated from all of the world’s various diseases and so have little or no immunity. After the unique species of the Galapagos start dying, these islands will just be a bunch of hard to get to islands on the equator with barely enough water for swimming pools and certainly not for golf courses, though nobody comes to Ecuador to golf anyway.

Aside from a few scientists, a few economists and the Charles Darwin Foundation (see http://www.darwinfoundation.org/english/pages/interna.php?txtCodiInfo=33), who doesn’t think this is hyperbole?

What gets celebrated in the international press are minimally consequential victories (some would disagree) like the eradication of goats on Santiago (they still run wild on practically every other large island), Lonesome George (the last of his species of giant tortoise) successfully inseminated a giant tortoise of another species, the capture of one or two illegal shark fin fishing boats a year (as opposed to who knows how many others that operate daily), etc.

No one talks much about what has already occurred here. Extinction of many species of giant tortoise’, birds and plants, endemic species that exist here that are on the endangered species list, the decimation of fisheries, no one seems to pay attention to the fact that 97% of the plant mass on the inhabited islands of the Galapagos is invasive introduced species. No one talks about feral cats eating marine iguanas etc.

No one talks about introduced insects perhaps the biggest threat (carmelitas didn’t exist here only 15 years ago, I’ve seen a new aphid introduced in the last three years that is currently denuding the trees that surround our house, not the end of the world as they are introduced species, but the fact that this bug wasn’t here four years ago could be). The amount of domestic animals being allowed to enter the islands is greater than it ever has been. Now you can find hybrid dogs of all varieties in households here, status symbols, Pit Bulls to Pekinese and this is exacerbated by the lack of education/ethical practices with regard to the care and training of domestic animals (they often run freely on the beaches, mate freely in the streets and for the most part are fed poorly) and lack of enforcement of state or municipal ordinances. There is practically no end to the things I could site and I likely missed the most important ones here.

It is true nature adapts, however this is the one place in the world where you REALLY don’t want it to have to. Conversations with officials, business men, politicians et al about all of the above… if the conversation goes on for any length of time, it generally ends (after accessing political and economic “realities”) in discussions about the GaiaCome to Galapagos Tourism theory. Basically man is a bacteria and the planet will take care of itself in the end so what’s the big woo?

My big woo is that this is my son’s and his buddy’s planet. I believe the following, “We do not inherit the world from our fathers. We borrow it from our sons.” And so we continue to slug it out here, continue to offer up the Galapagos with a vision that looks back and forward, but most importantly is about today, with no punches pulled.

Siempre Amor,
Rick, Bere and Roley

CST#2083876-40