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Hawaii tourism struggles: Executives warn.

In April 2025, Hawaii welcomed 829,000 visitors — down from 833,000 in the same month the year before, with West Coast arrivals dropping 4.8%. Two kona low storms in March had already erased an estimated $300 million in tourism revenue, and the usual summer booking momentum never fully recovered. That’s the backdrop to what Hawaii’s tourism executives are now saying publicly: the islands are losing ground.

Two kona low storms in March 2025 caused an estimated $300 million in tourism revenue loss for Hawaii.

This article breaks down the key warnings from industry leaders — gathered from a UHERO survey of 19 senior executives and a Travel Weekly leadership forum — and what they mean for anyone planning a trip. I’ve woven in what our family experienced during our own visit, and how you can still have a great time while being aware of the real challenges.

Emily’s Take

Yes, you should still go to Hawaii — just go in with eyes open. Costs are higher, some infrastructure is tired, and the reception can feel more complicated than it used to. But with careful planning and a respectful approach, the islands still deliver experiences you won’t find anywhere else.

Issue / ConcernWhat It IsWhere It Shows UpPractical Note
High Costs vs. Perceived ValueRising nightly rates, resort fees, and airfare make Hawaii more expensive than comparable destinationsWaikiki hotels, rental cars, tour pricingConsider neighbor islands or stay in vacation rentals outside resort zones
Infrastructure GapsOutdated airports, crowded roads, and poorly maintained beachesDaniel K. Inouye Airport, Hana Highway, popular Oahu beachesPlan extra transfer time; avoid peak-hour airport arrivals
Marketing & Funding ShortfallsHTA’s $63 million budget lags behind competitor destinations; lost dedicated tax funding in 2019Hawaii Tourism Authority, state legislatureLess national advertising means you’ll need to do your own research
International Visitor DeclineJapan arrivals down ~60% vs 2019; Canada down 30.4%; total international business off about 50%Oahu especially, convention center, luxury retailNeighbor islands less affected; Japanese market not essential for short-term visits
Visitor Sentiment & AlohaNegative social media narratives and residents’ mixed feelings about tourism make some guests feel unwelcomeOnline forums, local news, visitor reviewsSupport local businesses, avoid overcrowded spots, and practice respectful travel

High Costs vs. the Experience You Get

Every executive surveyed by UHERO pointed to the same tension: Hawaii’s prices have climbed faster than the experience has improved. Higher nightly rates, cleaning fees, and resort charges now place the islands in direct competition with Tahiti, Mexico, and even parts of Europe. Some travelers are choosing those alternatives instead.

Waikiki
Tourism hub · Oahu
The heart of Hawaii tourism, but even modest hotels now charge north of $300 a night plus resort fees. The beach remains free and stunning, but the overall cost-to-experience ratio has shifted. For more spacious accommodations, look at vacation rentals in nearby Kapahulu or Diamond Head.

Our family found that staying in a rental with a kitchen — rather than a hotel with mandatory dining credits — cut our per-day cost noticeably. Michael and I compared it to a trip we’d taken to the Caribbean a few years back, and Hawaii’s higher prices were real. But the hiking, snorkeling, and unique landscapes made it worthwhile.

Practical tip

Skip Waikiki hotels for a condo rental in Kihei (Maui) or Kailua-Kona (Big Island). You’ll get more space, a kitchen, and often walkable beach access for less than a standard resort room.

Infrastructure: Airports, Roads, and Beaches

Executives described Hawaii’s airports, roads, and beaches as outdated, crowded, and poorly maintained. The UHERO report specifically flagged these as drags on the visitor experience — not just inconveniences, but competitive disadvantages.

Daniel K. Inouye International Airport (HNL)
Airport · Oahu
The main gateway to the islands, but its aging terminals and limited seating create bottlenecks during peak hours. Rental car shuttles can take 20–30 minutes. Plan to arrive at least two hours before inter-island flights.

The airport situation is something we felt directly — our connecting flight out of HNL was delayed because of gate congestion. Lily asked why the airport looked “so old,” and I didn’t have a good answer. On the upside, once you leave the terminal, the rest of the island still delivers.

Watch out for

HNL’s international arrivals area can get backed up in late afternoon when multiple wide-body flights land. If your itinerary allows, aim for a morning landing to clear customs faster.

Marketing Budgets and a Missing International Market

Hawaii Tourism Authority operates on $63 million annually — a fraction of what Mexico and Caribbean destinations spend. That funding gap widened in 2019 when the state redirected the transient accommodations tax that had previously supported HTA. Meanwhile, international business is still roughly half of pre-Covid levels: Japan arrivals are down about 60% compared to 2019, Canada dropped 30.4% in February 2025, and other international markets are off 13.7%.

Hawaii Convention Center
Conference venue · Oahu
Generated over $27 million in business last year, but it’s now undergoing a $100 million renovation that will keep it partially closed until early 2028. The lack of a fully operational convention space further crimps international group travel.
9.6 million
Total visitor arrivals to Hawaii in 2025, down from the 2019 peak of 10.4 million.

Domestic-only demand isn’t enough to fill the revenue gap. The Travel Weekly roundtable noted that selling multiple islands — especially to younger travelers — is a key growth strategy, but it requires coordinated marketing that the current budget doesn’t support.

Visitor Sentiment: Feeling the Aloha Shift

Several executives voiced frustration with one-sided portrayals of tourism’s impacts. Rising negative social media narratives, combined with public commentary from residents, have made some visitors feel judged for choosing Hawaii. One sign of the strain: Bamboo Restaurant & Gallery on Maui reported revenue down 29% this spring and cut dinners to one night per week.

Bamboo Restaurant & Gallery
Restaurant · Maui
A once-thriving local spot now operating reduced hours due to the downturn. Revenue fell 29% compared to the previous spring. It’s a tangible example of how tourism struggles affect small businesses — and why supporting them matters.
E
At a farmers market in Paia, Lily asked why a vendor seemed a little distant toward us. I explained that some residents are tired of crowds and rising rents — not angry at us personally, but at a system that doesn’t always benefit them. We made a point to buy directly from that vendor and chat about what she grows. It was a small gesture, but Ethan later said it was his favorite part of that day.
— Emily Carter

The Beat of Hawaii report notes that some visitors perceive the islands as more transactional and less welcoming than before. The reality is nuanced: most travelers still report very positive experiences, according to HTA’s VSAT surveys, but the overall mood is more complicated than it was a decade ago.

Navigating Hawaii’s Changing Tourism Landscape

None of this means you shouldn’t go. It means you should plan smarter, budget realistically, and travel with consideration. Here’s what that looks like on the ground.

Budgeting for Higher Costs

Jet fuel prices have roughly doubled, pushing transpacific fares up 20–25%. From the West Coast, expect an incremental $120–145 per person in fuel costs alone. Booking well in advance or using airline miles can offset some of that. Also factor in that resort fees and cleaning charges add $50–100 a night to many listings.

Choosing Where to Stay

Oahu’s Waikiki corridor is the most expensive and the most affected by infrastructure strain. The neighbor islands — Maui, Kauai, Big Island — often offer better value and less congestion. If you’re still weighing which side of the island to sleep on, this interactive map of the island’s hotels and rentals makes it easier to compare against the beach or the trailhead.

Being a Respectful Visitor

Support locally owned restaurants, shops, and tour operators. Avoid overcrowded spots like Hanauma Bay (the lot fills by 7:30 a.m. weekends) and instead try less-visited alternatives like Makapuu Beach. Talk to locals as people, not as service providers. It costs nothing and changes everything.

What to Pack

Heads up: some links here are affiliate links — costs you nothing extra, earns us a small commission. As an Amazon Associate, we earn from qualifying purchases.

We carried the Samsonite Omni 2 Hardside 3-Piece Set on our trip — three sizes covered everyone’s needs, and the spinner wheels handled the uneven pavement at HNL better than a backpack would have. A set like this is worth considering when you’re juggling inter-island flights and want luggage that lasts.

Watch out for

Book travel insurance that covers weather-related cancellations. The March kona low storms caught many travelers off guard, and cancellation policy questions are way up. Read the fine print before you buy.

Before You Go: Hawaii Tourism Questions Answered

Is Hawaii still worth the cost?

Yes, if you plan around the price spikes. Visiting in shoulder months (May or September), booking a vacation rental with a kitchen, and using inter-island flights strategically can bring the overall cost within reach of comparable long-haul trips.

How has the visitor experience changed?

Some hotels and restaurants have reduced services due to the downturn — fewer dinner nights, shorter bar hours, reduced shuttle frequency. Check current hours before you go rather than relying on pre-2024 reviews. The natural beauty hasn’t changed, but the service layer has thinned.

Are locals welcoming to tourists?

Generally yes, but there’s a real undercurrent of fatigue. The best way to counter that is to patronize small local businesses, avoid crowded spots that strain neighborhoods, and approach every interaction with genuine respect. Most people are warm when they feel seen as people, not just hospitality workers.

Should I book now or wait for a better deal?

Airfares are unlikely to drop significantly in the next six months due to sustained fuel costs. If you see a fare you’re comfortable with, book it. Hotels, however, may offer last-minute discounts if bookings remain soft — but that’s a gamble. The sweet spot is probably booking 3–4 months out for the best mix of availability and price.

Seeing Hawaii as It Is

The tourism struggles executives are warning about are real — but they don’t make Hawaii any less beautiful or any less worth visiting. They just make it a different kind of trip: one where you go in informed, spend intentionally, and leave behind a little more than you take. Hawaii travel dreams are still possible — they just look a bit different than the brochure version.

References

UHERO. “Hawaii Travel Industry Executives: Survey Findings.” University of Hawaii Economic Research Organization, 2025.

SFGate. “Hawaii tourism summer 2025 challenges.” SFGate, 2025.

Beat of Hawaii. “Sudden Tailwind Hits Hawaii Travel as Airline Leaders Anticipate Shift.” Beat of Hawaii, 2025.

Travel Weekly. “Executive Roundtable: Travel Weekly Hawaii Leadership Forum.” Travel Weekly, 2026.

If you’re putting together a trip, our guides to free things to do in Hawaii and family adventures across the islands offer practical ways to experience the best of Hawaii without blowing your budget — and without adding to the pressures that have executives worried.

Explore Places to Stay

Feel free to zoom in and out of the map to explore the area and find the best place to stay for your trip.

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Emily Carter

I’m Emily Carter, a travel writer who’s on the road most of the year—sometimes with my husband Michael and our kids, Lily and Ethan, and other times traveling solo so I can focus closely on one place. When you travel with me through my writing, you’ll notice I move slowly, walking local streets, stopping at markets, and paying attention to how a place really feels once you’re there.When I’m traveling with my family, I’m always thinking about what will work well for you if you have kids, and what often gets overlooked. When I’m on my own, I spend more time in neighborhoods, along coastal paths, or in historic areas where daily life unfolds naturally. I focus on practical details, everyday food, and real experiences, so you know what you’ll actually see, hear, and experience when you arrive.

And oh, I may earn a small commission from affiliate links, which helps support the site at no extra cost to you. Thanks for the support!

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