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Panama Tourists Do Not Come Back

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Written by Matt   
Friday, 12 June 2009 09:35
Under-promise and over-deliver. It's a customer service motto I first learned working as a waiter at a famous seafood chain in Baltimore, Maryland. The restaurant was frequented by tourists, the occasional old couple, and a large contingent of local hoodlums that wanted to show their girls a classy night on the town. My boss, an overweight man who went by the name Jimbo, revealed this slogan as the secret behind his personal success. "You don't get them there promotions," he said, pointing to the badges affixed next to his employee plaque, "without knowing a thing or two about customer service. Under-promise and over-deliver. That's all I'm gonna tell ya's." I wanted to point out some ketchup on his lapel - it had fallen as he tried to gobble up a handful of waffle fries. When destinations are new, adventurous travelers arrive by chance. If they like what they see, they go home and tell their less-adventurous friends about it, the most adventuresome of whom actually follow suit and visit. These quasi-adventurers then go home and convince even less-adventurous friends the place is worth visiting. The cycle continues until destinations like the coast of rural Mexico are transformed by the things that make the world's least adventurous travelers feel at home: things like chain hotels and English signs and the famous El Shrimp Bucket where you can buy twenty-four fried shrimp and get a free commemorative beer coozy. That's when Cancun became Cancun with a "C".

Before we start trying to figure out where Panama sits on the traveler bell curve, it can be useful to observe how expectations come into play: particularly in the last five years of Panama's evolution as a travel and investment "mega-destination." Since there's no true way to measure expectations, I'm saying it's best quantified by the return rate of a visitor (ie. if expectations were met or exceeded, people return. If expectations were not met, there's no reason to come back).

Enter attention-grabbing quote by soon-to-be Tourism Minister Salomon Shammah (who I really want to meet by the way) in the most recent edition of El Visitante: "Salo, who was the creative director of Martinelli's campaign, is a self-proclaimed statistics man. And the statistics, he says, show that the majority of people who come to Panama as tourists - real tourists - do not come back. Shoppers return, he says, not tourists."

Why aren't tourists coming back? It's because their expectations are not being met.

I've heard it time and time again: We thought Bocas was going to be hip or We were expecting Panama City to be more modern. We thought the service would be better or The real estate is not that cheap. I could go on and on. The amount of hype that inflated people's hopes about the tiny Isthmus of Panama has been astronomical and it wasn't just with regards tourists. While part of the image was fueled by the monumental advertising scheme of IPAT (millions of dollars spent unveiling "the path less traveled" to cab-goers in NYC yet forgetting a plan of attack on home turf) the other part was by the investment sector (calling it "the new Miami" and "Dubain of the Americas"). This textbook over-promising left innocent little Panama to the mercy of visitors who, upon expecting delicious Dom Perignon, were delivered a bottle of Boones.

Besides the main cities, Panama's interior is so deficient of hotels and tours that it can be painful. And while I'm not blaming Panama for this (I am aware that it's a young country in this field), it is proving to be a serious malignancy in the growth of the nation; analogous to me arriving at a table of gangsters and telling them, in advance, I would proceed to be the best attendant they'd ever have. "Where my apple martini at fool?" is something I remember them saying. I don't know why, but the guys from the hood always loved to order apple martinis.

The early Panama I remember was one of mystery and intrigue. People visited out of curiosity, expecting no more than to arrive in a dirt-floor country and see some Canal. They were pleasantly surprised to find one or two cute hotels dotted along the coast, or an unknown beach no one had visited in years. They were astonished to uncover Panama's nuances precisely because they weren't expecting them. That beguile has long been replaced though by a hype that's cancerous to Panama's reputation: talking a good game then flopping miserably in execution. Not only can over-promising and under-delivering stunt Panama's visitor return rate, it can simultaneously (and falsely) speed up Panama's position in the popularity cycle: fast-forwarding to appeal to the masses yet forgetting the crucial steps that are supposed to come in between.

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sad, but true
written by casey , June 12, 2009
How can we expect to command $3,000 per M2 prices for city and beach condos if the country's service sector can't be bothered to say, "please & thank you"? It's going to be a real challenge to change the country's mindset from "easy money" (canal, banking) to "hard work" (tourism). Does Martinelli get it? One would hope, as building a supermarket chain from 'nada' cannot be easy. If I were to write down just a few of the horror stories our travel agency's customers have endured, your readers would be shocked. That being said, the tourism potential of the country is immense...but currently, for intrepid travelers only.
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written by Paul McBride , June 12, 2009
Matt, although I agree with nearly everything you say, you make the same faulty observation I hear repeated over and over - "And while I'm not blaming Panama for this (I am aware that it's a young country in this field)". That's pure horse pucky. I've personally been involved in promoting tourism to Panama for over 12 years and this lame excuse has been used since I first arrived. How long can a country hide behind the phrase "tourism is in its infancy here" before it's held accountable for its actions (or in Panama's case, the lack of action)? I've seen a succession of tourism directors, and now ministers, use this as an excuse for their abject failure in developing a viable tourism industry here. And now we have a tourism ministry that spins arrival numbers to make the outlandish claim that Panama is breathing down the neck of Costa Rica as Central America's most popular tourism destination.

The simple fact is that Panama’s tourism industry has been developed to benefit a select number of companies and individuals with interests in Panama City and the nearby beach areas. How much assistance and promotion do you see from the tourism ministry in the interior of the country? None.

I would argue that Panama has exactly the kind of tourism industry that it wants - one that benefits the few at the expense of the many.

We can only hope that the tourism ministry under Ricardo Martinelli will pay more attention to developing a viable and sustainable tourism industry that reaches beyond Playa Blanca.
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Alan
...
written by Alan , June 14, 2009
Another great article Matt, thanks.

The end game for overpromise and underdeliver is you go back to where you started but this time, no one listens anymore. This may be the ultimate destiny for Panama as the people have no vested interest in providing a high level of service and why should they? Most have never been anywhere to experience the differences or felt the need to "over service" It may be a losing proposition to think Panama can or will change to meet N. American or European standards. The result may be that Panama goes back to being just what it wants to be and the rest of the world will just see it as a 2-3 world country. Housing prices will crash and become affordable again. The music will play on and the party continues.



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Thanks for the comments
written by Mateo , June 14, 2009
Thanks all for the comments - to address Paul, I suppose what I was trying to say is that tourism is a comparatively young (in age) industry here (compared to banking, trade..etc). I wouldn't say it was an excuse as much as a fact (unless you'd say the tourism industry here is developed and mature). I would even argue that the little tourism promotion we see outside PTY and beaches has been due not to greed but to a) ignorance and b) laziness. Not only do the politicos lack foresight/vision, they also would rather not drive 5 hours to get to a beach. These two things probably explain why few own property in the interior and in turn why the interior is not promoted.
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Panamanians are just plane rude
written by Charles , June 17, 2009
Matt,

Again, great observations, but no news here. Come on people, just say it. Panamanians, in general, are just rude. They lack common courtesy, manners, and frankly just don't give a flying rat's ass about anyone beyond themselves and perhaps a small group of friends. They don't care if they have kept you waiting, they don't care to return your phone calls or emails, the don't care to keep you waiting, they don't care if you have enjoyed your meal or not....they simply really don't care.

The 2nd and 3rd world and tourism infancy excuses also simply don't fly anymore as I have been in many poorer countries than Panama where the tourism is in an infancy period and the customer service is light years ahead of Panama.
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What excuse?
written by Mateo , June 17, 2009
Charles, I still have trouble understanding why people are considering "Panama being in its infancy" an excuse? If I were to say, "the Panama service industry is uneducated because they don't have the resources," that would be an excuse or "Panama's tourism industry is young because they don't have enough tourists to practice on." Those are excuses.

Maybe it's been misinterpreted, but my quote states that the amount of tours and hotels in Panama (compared to a country with developed tourism infrastructure) is so low that its affecting people's urge to return. I am fully aware of other third-world countries that have a similarly small amount of tourism establishments yet that practice great tourism efforts. And I suppose that's where we can all agree: Panama is not one of them :-
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I see what you're getting at
written by H. Elder , June 17, 2009
I think some commenter's have misread the text and Matt's comment sums this up perfectly. The "excuse" you all are referring to is in Panama's service sector (the govt's non-existent interests of betterment and perhaps the inborn attitude of the national) as opposed to the hotel/tour industry (where, while there are few incentives to do so, at least entrepreneurs can/have open up shop). I think it can be used as an "excuse" by officials who want to justify low numbers and distort unsavory statistics, but I also think it's simply an observation (a factual one) by the rest of us foreigners, residents (me), and reporters (Matt).
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I agree with Paul
written by Boquete Safari , June 18, 2009
There are enough tour companies in Boquete to keep the most adventurous tourist happy and busy for a week or two, depending on whether they needed a day of rest between the: white water rafting, rock climbing, volcano hiking, horseback riding, cloud forest safari’s, river kayaking, ocean kayaking, deep sea fishing, surfing, wildlife explorations, bird watching, coffee tasting (which can take several days if you are a coffee aficionado and want to really understand why Panama’s coffee has won so many awards—including the highest price ever at auction). I agree with Paul, where is the promo for all of this great stuff to do. Not to mention the world class chef’s; Charlie Collins at the Panamonte, or Craig at Rancho de Caldera. Check out this article from the Times on Line about the food in Boquete: http://www.timesonline.co.uk/t...t=0&page=1

In November there is going to be a tourism expo in London, presented by The World travel Market. If you look at the list of exhibitors, Panama will be present. If you look at the list of who will be there from Panama, they are all from Panama City. APT (Autoridad de Turismo de Panamá), decides who is representing Panama; Boquete, and the other regions outsider the City, didn’t make it. http://www.wtmlondon.com/page....oSection=1
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Answer: Easy
written by Sumfin Furryvrone , June 18, 2009
Its puredeadshite in Panama. Analyse as much as you want but it simply is puredeadshite in Panama. Suitable for backpackers, whorecatchers and stupid Venezuelans spending fast dwindling Chavezdollars. Puredeadshite.
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Customer Service?? Get a life!
written by S , June 19, 2009

In Panama, there is the city and there is the reset of the country (interior).

The city is highly overpriced, lacks services, crowded, noisy(!!), polluted and badly planned.

Don't tell me you haven't smell sewage while walking on the prestigious Balboa Ave?

The apartments that are selling for ton of dollars don't even have the basic finishing touches like aligned doors, fixtures, ceilings, etc. Still, you see Panamanians selling them as 'state of the art' buildings in their fliers?

This is the 'advanced' city! So, waht do you think the interior looks like?

Most of the interior cities and towns are bare bone cities.

Take the infamous Altos De Maria development that had been touted as the ultimate retirement example. It's 1 hour away from the main highway where there is nothing around. Infact, I missed the entrance to it twice coz it was so un-noticeable!

Residents there would constantly have to travel to Panama city (2 hours) to buy stuff and/or watch a movie or do something coz there is nothing on premises.

What if you needed medical help? How about loss of water, power and/or internet service??

I don't know what the hoopla is for?

It's all propaganda by the real-estate industry to suck your dollars away from you.

Happy retirement!

S.



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cultures
written by paul mmm , June 23, 2009
we should all keep in mind the difference in cultures ??
I'm a gringo- but don't consider myself prejudice
I recall getting horrible ( what I thought??) customer service in Medellin Co.
In the city of smiles ??
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forgot
written by paul mmm , June 23, 2009
In Costa Rica I think they offer up customer serice, with a gun in your face...
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paul mmm:
written by Sumfin Furryvrone , June 30, 2009
customer service in Panama starts and ends with your gun in her face
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We love Panama
written by Ricky , July 24, 2009
For us that were borned or lived a great deal of time in this country, must tell you, There is no othre place like Panama, of course there is alot to improve regarding tourism, etc, but if you really spend time in this young country, get to know some people, hang around, you never want to leave, BELIVE ME!!!!!!!! Panama 4 ever
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Buyer Beware in Punta Duarte
written by Donna Gauman , August 20, 2009
Not only has Panama become overpriced for what they are offering at hotels, resturants and goods in general, the real estate market is off the charts! Unfortunatly I was scammed by real estate developer Peter Huss in the Punta Duarte area. I am writing this so hopefully this does not happen to you! He promised a titled oceanfront lot with title 3 1/2 years ago when he took my deposit and has never delivered my lot or refunded my deposit to me. It seems that selling real estate in Panama is a license to steal and no one does anything about it. It truly is corruption at it's finest. I will never step foot back in this overpriced, dirty, rude country again!!!
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We are sorry, but you have to understand...........
written by Ricky , August 21, 2009
I am a Panamanian and have traveled around; I know what you mean by poor service, we do not know what customer service is, we are in pampers, you can not compare us with the U.S because we are a young country and have to learn a lot!, please give us a break, give us some time, we are going to better ourselves.........

Thanks

www.dejavuinvestment.com

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written by Stan , September 21, 2009
The writer above is correct when he says Panamanians are just rude. They are. I walk from my place in Rio Hato to the local supermarket and constantly have to dodge the cattle... I mean the Panamanians who don't even have the courtesy to move over a little so I can have a sliver of the sidewalk...or what goes for a sidewalk. Once in the store, they block the aisles and won't move aside just a tad so you can get by. Then you have to constantly dodge them like wild electrons. They will never pause or yield in a car or on foot to anyone nearby. I can't remember the number of times when I have been walking across a side street, a Panamanian driver comes whipping around the corner in a vehicle and instead of pausing a second or two to let me get to the other side (or passing me from behind) he will cut directly in front of me almost hitting me as he passes by. Incredibly, incredibly rude and dangerous. They only care about themselves. And yes, they never return phone calls or emails.
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Peter Huss
written by Panamanian , October 08, 2009
Donna Gauman Call me back... I know to Peter Huss, I hate him.... Peter is a big screammer
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Insight
written by Ric , January 19, 2010
Matt, being from Baltimore I think you captured the mindset of people here brilliantly. I want to think you worked at Phillips in Harborplace, While I haven't been to Panama yet, I am considering a vacation there with thoughts of retiring in Panama in a few years, I've been reading other peoples blogs and just came across yours. Thanks for being honest and frank in your writings; all too many people/companies paint a very rosy picture of lush living for next to nothing with unlimited help to do everything for you on the cheap!
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baltimore sewer service
written by Jason T , April 14, 2011
Panama City is worth 2 or 3 days...actually more, if you have months on your hands....you can see so many of the areas near panama that pertain to the canal if that sort of thing interests you, but the canal is so huge, you do not see anything close up unless you are actually on a boat going through.

Baltimore Sewer Service
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Last Updated on Friday, 12 June 2009 09:41
 
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