An Inter-Comparison of the Holiday Climate Index (HCI:Beach) and the Tourism Climate Index (TCI) to Explain Canadian Tourism Arrivals to the Caribbean

Abstract

Through an empirical investigation of the historical relationship between the destination climate and tourist arrivals in the Caribbean, this study presents the first revealed preference evaluation of a climate index informed by tourists’ stated climatic preferences for coastal-beach tourism (i.e., a sun-sand-surf or 3S travel market). The goal of this multi-organization collaboration was to examine the potential application of a newly designed climate index—the Holiday Climate Index (HCI):Beach—for three Caribbean destinations (Antigua and Barbuda, Barbados, Saint Lucia). This paper provides an overview of the evolution of climate indices, including the development of the (HCI):Beach. To test the validity of climate indices for a beach travel market, daily climate ratings based on outputs from the Tourism Climate Index and the HCI were correlated with monthly arrivals data from Canada (a key source market) at an island destination scale. The results underscore the strength of the new index, with each destination scoring consistently higher using the HCI:Beach, including a stronger relationship (R2) between index scores and tourist arrivals. These findings demonstrate the value of combining stated and revealed preference methodologies to predict tourism demand and highlight opportunities for future research.