Confusing federal policy announcements and public statements that offended many Canadians all combined to strike a serious blow to U.S. tourism this spring, but Vero Beach, which often seems to exist in a charmed bubble, largely bucked the trend.
While a few beachside establishments reported a drop in activity in the first three months of the year, most seem to have held their own, with some reporting record revenue.
Scott Varricchio, chef and owner of the popular seaside restaurant Citrus, said his business “crushed it” this season.
“It was by far my best season, plus I had my 10 best individual revenue-making nights of the 15 years we’ve been open,” he said.
Lee Olsen, general manager at the iconic Driftwood Resort, said that his overall business was up 8-to-10 percent over last year. Likewise at Seaside Grill in Jaycee Park, co-owner Andy Studebaker said he saw an increase in business this year compared to last.
“February and March were very busy,” he said.
At Maison Martinique, co-owner Colleen Carr said January was slow, probably due to chilly weather, but business rebounded in the second half of February and March.
Fewer Canadian visitors and economic turmoil did put a brake on some beachside businesses.
“Business is not what we anticipated it was going to be at the beginning of the year when we did our budgets,” said Rob Benetti, general manager of Costa D’Este Beach Resort. “There is still decent occupancy, but average rates aren’t what we expected. People just aren’t spending as much.”
Online travel site Expedia reported earlier this month that overall travel in the U.S. dropped 7 percent during the first quarter of 2025, with inbound bookings from Canada down 30 percent.
“There’s no doubt that Canadians were offended [by public statements belittling Canada],” said Varricchio, adding that he noticed fewer Canadian visitors this year, including members of his own family.
“There are four or five Canadian couples that I have seen here every year for 15 years, that I didn’t see once this season. And these are Canadians with means,” Varricchio said.
Olsen, at the Driftwood Resort, said one longtime Canadian time-share family told him they will likely visit Mexico next season. “These are second-generation time-share owners,” Olsen said.
“They’ve been coming here for 30-plus years. We shall see what happens between now and next January.”
Beach attendance was down more than 30 percent in the first quarter compared to the same period last year, according to city and county reports, but that was mainly due to a cooler than usual winter that included the coldest January in Vero since 1985 and at least one record low, when the temperature dropped to a non-beachy 39 degrees on March 22.
By contrast, tourism bed tax numbers for February were up 22 percent over last year, from $577,112 to $700,411, according to Ben Earman, vice president of tourism & marketing at Indian River County Chamber of Commerce. The numbers for March have not been tabulated yet, he said.
“Travel may see some changes due to the economy and costs, traveler demand, and traveler interests, but “we plan to get out in front of any issues and let the international travelers know that we are open, we accept them, and we haven’t changed anything that we do,” Earman said.
Indian River partners with St. Lucie and Martin counties on international advertising, splitting costs three ways, Earman said, adding that all three counties plan to increase international advertising in 2025-2026.
Photos by Joshua Kodis
