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Tourism rises as gas prices, temps fall
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FarkRAPID CITY -- The Black Hills began the summer of 2007 with rising fuel prices and fears in the tourism industry that gas prices would persuade summer visitors to stay at home this year.
That hasn’t happened; the South Dakota Department of Tourism reports visitation is up 10 percent this year.
And gas prices? They are falling, not rising.
The prices of some grades of gasoline have dipped below the $3 mark -- with a vengeance in one case. The Concord gas station on west Main Street in Rapid City slashed its price to $2.699 per gallon on Friday, and by Friday afternoon business was very, very brisk at the small, independent station.
Elsewhere around town, gas prices ranged from $2.969 for mid-grade 10-percent ethanol blend to $3.029 for regular gasoline.
Meanwhile, tourism officials reported a good summer season, at least through June. Last week, the state Office of Tourism reported that car counts at visitor centers throughout the state were about 10 percent ahead of last year. Generally, 2006 was a flat year for tourism, and industry officials began 2007 with fairly low expectations.
However, Internet and mail inquiries for the peak summer tourism season were up 17.5 percent over 2006 during March through June, the Office of Tourism reported. In addition, year-to-date inquiries have increased 11.3 percent.
“Our enhanced marketing efforts and increased online presence, combined with a consistent marketing message over the past years, have successfully attracted people and given them what they’re looking for,” said Billie Jo Waara, director of the South Dakota Office of Tourism.
And in July, some of the Black Hills attractions, especially the outdoor venues, reported a drop-off in numbers. Visitors weren’t so concerned about the $3 gas as they were about the 100-degree temperatures.
Conrad Rupert, owner of The Black Hills Maze south of Rapid City, said June traffic at his attraction was very strong. But when temperatures heat up -- the National Weather Service reported 10 days of 100-degee temperatures this year, compared with four days a year ago, which is normal -- tourists are less interested in outdoor activities.
“They’re more likely to go find a cave to tour,” Rupert said with a chuckle.
Steve Kercluik and his daughter, Sydney, traveled from Ontario to the Black Hills last week. On Tuesday, with temperatures well over 100 degrees, they lingered in the air-conditioned snack shop at the Black Hills Maze. “Is it always this hot down here?,” he asked.
Bear Country U.S.A.’s Mike Casey estimated that traffic in June of this year was about 11 percent above last year. Through July 10, the car count at the drive-through zoo south of Rapid City had dropped by more than 8 percent, he said.
Now the temperatures have cooled, gas prices are dropping –- and the 2007 Sturgis motorcycle rally is about to start. It doesn’t get any better that this for the tourism industry.
Overall gasoline prices in the Black Hills have been drifting lower since mid-May and early June, when regular gas topped out at $3.359 per gallon, an all-time record for the Black Hills. Since then, the average price has fallen about 10 percent in the past two months.
At $3.029 per gallon, regular gasoline is 3 cents cheaper than it was at this time last year. However, in the summer of 2006, gas prices were headed higher. Regular gas peaked in the Black Hills at $3.159 during the August 2006 motorcycle rally in Sturgis.
An illustration of where gas prices have gone: In March 1999, gasoline in Rapid City was priced below $1. Five years ago, the price was $1.10 per gallon. In fact, regular gas didn’t top $2 in Rapid City until March 2005. Just six months later, after Hurricane Katrina hit the Gulf Coast, the price in Rapid City breached the $3 mark.
In the two years since then, the price has not gone below $2 per gallon in Rapid City.
Contact Dan Daly at 394-8421 or dan.daly@rapidcityjournal.com
Area motorists were lining up Friday afternoon to get to the pumps at the Concord Station on West Main Street in Rapid City as the station dropped its price for fuel to $2.69 per gallon. (Photo by Dick Kettlewell, Journal staff)
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