The euro, the standard currency of the European Union, has been in a long tailspin. According to a recent article in the Miami Herald, European currency has fallen 10 percent against the dollar this year. Where you once paid $1.40 to buy a single euro, today the price is a paltry $1.10.
What does this mean to the American consumer? Don’t expect to see a drop in prices of luxury European goods, like the coveted Chanel bag or status Mercedes-Benz. For one thing, retailers fear price reductions will cheapen the brands. More importantly, demand remains high, obliterating the need for discounts.
While some hoteliers are concerned about the impact on South Florida tourism, Jeffrey Soffer, whose hospitality holdings include the legendary Fontainebleau Miami Beach and iconic Turnberry Isle Miami, remains optimistic.
For Europeans, the U.S. is perceived as a safe, family-centric destination. Florida’s amenities, including theme parks and beaches, make travel here very appealing. Shopping is also a big draw, particularly the malls where quality goods are abundant and affordable. According to Soffer, decreasing oil prices may also potentially lower air fares and the cost of road trips.
Fun in the sun, safety, unique experiences and a plethora of shopping opportunities are not the only draw. According to Nicki Grossman, president and CEO of the Greater Fort Lauderdale Convention & Visitors Bureau, there will be an increase in European tourism because of new flights connecting Fort Lauderdale and several destinations overseas.
Sounds like a very sunny forecast for summer 2015.