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Ahead of the Hawaiian Airlines Made in Maui County Festival on November 1 and 2, 2024, the Maui Chamber of Commerce partnered with SCORE – a non-profit dedicated to mentoring small businesses – to launch a free E-Commerce Bootcamp. This six-session online bootcamp is designed to equip local entrepreneurs with the skills necessary to thrive in today’s digital marketplace.

Maui Chamber of Commerce was thrilled to collaborate with SCORE on this endeavor. SCORE is a renowned non-profit dedicated to supporting, growing, and helping small businesses succeed nationwide. A resource partner of the U.S. Small Business Administration, SCORE provides free, confidential mentoring and business training. Leading this initiative is Kim “Kat” Shepherd, the Southern California and Hawaii District Director for SCORE, who says this pilot program was designed specifically to help Made in Maui County Festival vendors and local entrepreneurs bolster their online presence.

“We created this course because of the makers in Hawaii,” says Shepherd. “We wanted them to be able to expand their customer base to anywhere.”

The weekly online bootcamp took a deep dive into all things e-commerce, from setting up a digital store to managing product listings and ensuring secure payments. At the end of the program, participants will develop and present a detailed e-commerce business plan that applies all the knowledge gained throughout the program. With expert guidance from e-commerce mentors, participants graduate from the bootcamp ready to apply new skills and effectively launch an online store.

The program wass designed to be very engaging, informative, and supportive, setting participants up for success. “It’s not a one way presentation where people are just sitting there listening to someone talk,” says Shepherd. “It’s very interactive. We stop, we ask questions. There are educated people who know the topic who are in the chat rooms to get questions answered live.”

During the first session on September 5, the workshop featured two instructors, a moderator, and three mentors in the chat room. “That’s the great part about this class; it’s an active demonstration. We’re not just talking about it. We’re demonstrating, we’re showing it.”

In addition to e-commerce mentoring, the program helped entrepreneurs sharpen sales techniques and essential digital marketing skills – such as SEO, social media marketing, email campaigns, and paid advertising.

While the program was invaluable for entrepreneurs looking to strengthen their online presence, it was also designed to help small business owners network and build relationships. “We invited people from off island [to the workshop], because my [SCORE] district covers Southern California,” says Shepherd. “We did it to integrate more people. We want [participants] to expand their network and expand their knowledge with other like-minded professionals.”

Shepherd also says the program invites entrepreneurs to find others from across the nation to be cohorts in the program and hold each other accountable.

The first session saw immediate success, with over 200 students. Although the bootcamp was originally promoted as a pilot program, the overwhelming attendance highlights the need for more workshops. “We’re going to do way more of this class in the future,” Shepherd says. “We are definitely going to do a part two of the E-Commerce Bootcamp, absolutely.”

Having a strong online presence is a necessity for small businesses today. Not only has the shift to online shopping accelerated, but an online store can also be invaluable in supplementing brick-and-mortar sales. Here on Maui, the importance of e-commerce for small businesses was underscored during the COVID-19 shutdown and the steep drop in tourism following the August 2023 wildfires. A healthy online presence is one step towards building a more resilient, “future-proof” business.

Programs like the E-Commerce Bootcamp will help Made in Maui County Festival vendors – and entrepreneurs from around the island – establish a strong online presence, enabling them to reach a broader audience and increase sales beyond the local market.

Decreases in tourism on Maui, caused by the Covid pandemic in 2019 and the wildfire destruction in Lahaina on Aug. 8, 2023, continue to challenge Valley Isle businesses. Many Maui businesses and their workers have been scrambling with reduced staff, and many have been struggling to work while coping with the lack of permanent housing.

Numerous businesses who lost their Lahaina locations from the wildfires have moved their operations to other areas on island, with many moving to South Maui and significant interest in Paia and Makawao town. Yet, Maui’s business community still faces an uphill battle on many fronts.

The visitor industry, our major economic engine, was down for the first five months of 2024. Maui’s visitor count went from 1,209,621 to 916,169 or 24.3% compared to the same period in 2023 and down 25.3% from 1,226,608 visitors for the same first five months in 2019. State chief economist Eugene Tian said the decrease in Maui visitor numbers has a rippling effect on tourism statewide, since about one third of the visitors to Maui also visit other islands. Tian notes that tourism usually accounts for 38% of the Maui economy and that its contribution has decreased to 28%. Tian said restoring Maui visitor counts to prior levels will take a while.

While businesses connected to the visitor industry hoped to see recovery in March (as we did coming out of COVID), their hopes did not materialize and March through May were still challenging. However, Dr. Tian noted a pickup in tourism occurred in June where daily domestic passenger counts were down 13%, far less than 24% in previous months. Average daily domestic passenger count to Maui in June 2024 was down by 6,223, compared to 7,030 for the same period in 2023. Tian said the June passenger count is “a good sign.”

Economic observers say the increase in daily passenger count in June was mainly due to the increase in flights to Maui. In May 2024, total number of flights to Kahului was 928 and in June 2024, the number of flights increased to 1,042. Tian said the number of flights will further increase to 1,140 in July.

Additionally, residents are stressed by rising prices in Hawaii, especially in the rental housing market. According to a May, 2024 report from UHERO, a University of Hawaii research organization, information from Zillow shows a 20% increase in rents on Maui in the first quarter of 2024, compared to the same period in 2023. In 2023, a typical three-bedroom unit commanded a rent of $3,800 and for four-bedroom, the median was $5,200. Additionally, as projected in the Maui Chamber of Commerce’s housing summit in October, 2019, Maui exceeded the median home price of $1.2 million in 2024. In continuing the projection, the Chamber estimated that by the year 2042, the median home price would be over $2 million, which would forever change the character of Maui and make it next to impossible for many of our children to raise their families on island or return home. Housing is a critical factor to our workforce and overall economic and social health.

While some work is being done to increase housing inventory, like an 88-unit temporary housing village, operated by a non-profit, in Kahului, and 1,008 housing units planned by the federal, state and county, UHERO said the plans do not come close to meeting the local demand for housing, especially for those displaced from the wildfires who want to live in Lahaina. While movement on housing has been slow, according to a Maui Now report in early July, approximately 28 permits had been issued for people to rebuild their homes in Lahaina.

As a result of housing insecurity, Maui’s population has been decreasing as well. In the first five months of 2024, Maui lost approximately 2,500 people in the labor force. This exodus greatly impacts employment and many businesses are dealing with severe worker shortages. The Maui Island unemployment rate for June 2024 was 4.5%, which increased by .9% from May 2024, and 1.5% from June 2023. Dr. Tian notes the decrease in the labor force may be due to individuals no longer applying for unemployment or from them leaving the state.

We have just passed the 1-year anniversary of the August 8 wildfires and housing and economic recovery remain the top priorities for our community and to have economic recovery and move forward with needed diversification, we must first have housing.

Every June, representatives from chambers of commerce, county governments, elected officials, and food manufacturers from across Hawaii travel to Washington, D.C. for the annual Hawaii on the Hill event, including the Maui Chamber of Commerce! The event is the brainchild of Hawaii Congresswoman Mazie Hirono who recognized the need for Hawaii to have a tasting event at the U.S. Capitol (like other states often do) and worked with her team and the Chamber of Commerce of Hawaii to coordinate the effort. In addition to the pinnacle Taste of Hawaii event, attendees garner valuable knowledge through events like the Talk Story with Senator Hirono, Policy Summit with federal agency leaders, and other important meetings and learn about new opportunities that can be brought back to Hawaii and implemented in our local communities.  

This year, we attended Hawaii on the Hill from June 15-18. We had a great time making new connections and showcasing 8 small Maui County businesses at Taste of Hawaii.  Over the course of 3 short hours, thousands of Congressional members and their top staffers visited Taste of Hawaii and got to experience the incredible tastes of Maui County, including boutique chocolates and cookies, infused Maui honey, oat energy bites, pineapple hot sauce, chili pepper shoyu, iced mamaki ulu herbal tea, and local kombucha and cold brew coffee drinks. 

For some, the event will be the first time their Maui County products have been displayed on the East Coast. We’re excited to introduce them and help to extend their customer reach beyond Hawaii shores. 

Three generations of beekeepers have helped to lay the foundation for Tierra Sierra-Gosin to produce bee-related products, including honey and salves now sold at various locations, including Mama’s Fish House and the Four Seasons Restaurant. Sierra-Gosin has developed a blue spirulina product infused with honey and containing nutrients and vitamins. 

Also being exhibited are two boutique Maui sweets –  Lahaina’s Maui Ku’ia Estate Chocolate and Makawao’s The Maui Cookie Lady ranked by Bon Appetit magazine as among the best cookies in the world. 

Maui Ku’ia Estate’s founder Gunars Valkirs is grateful for the Chamber’s help, after the Lahaina wildfire last year, and feels fortunate that his business suffered little damage compared to many others. His business’ presence at the Taste of Maui shows parts of Lahaina remain open and a vital part of the Maui’s economy. Valkir’s business received the Gold Award in the Asia-Pacific Region in the International 2021 Cocoa of Excellence Awards and the 2022 Good Food Award in the dark chocolate category. 

The Maui Cookie Lady entrepreneur Mitzi Toro featured in The Oprah Magazine and Good Morning America ships to customers in the United States and Europe. Introducing her cookies to political power brokers provides her an opportunity to reach a new group of people. She’s grateful for “a great opportunity for brand awareness and leads.” 

The Maui County exhibit also promises to add heat to one’s island gourmet experience with chili pepper soy sauce from Naike Ltd. of Molokai and HI Spice’s pineapple hot sauce of Maui. HISpice couple Katie Cook and Justin Orr have 18 flavors available at locations, including resorts as well as retail outlets such as Foodland and Food Pantry stores, and 20 ABC Stores on Oahu and elsewhere. Orr has never been to Washington, D.C and thinks it’s a “pretty funny, pretty cool” to have his family’s spice products more well-traveled than him. HISpice, into its ninth year of operation, has eight employees and their goal is to use Maui farm products and expand its manufacturing to provide more jobs on the Valley Isle. HISpice crushes fresh pineapples grown on Maui to make its hot sauce. 

Attendees will have to wash down the heat from hot sauces with another exhibit product – Vitalitea Hawaii’s kombucha and their new and popular Nitro Cold Brew Coffee. Beverages made by Vitalitea Hawaii, a nominee for Maui County Mayor’s Small Business Award’s Exceptional Small Business in 2020, can be found in Wholefoods, Safeway and more than 70 ABC Stores in Hawaii. For William Davis, being selected to participate in Hawaii on the Hill is “huge for us” and a validation of his effort to grow the business he started more than 8 years ago. Davis won an Entrepreneur of the Year award from the Hawaii Venture Capital Association. The Lahaina wildfire reduced his sales, and he’s been looking for ways to develop new products and extend his distribution. 

Maui County’s exhibit also offers snacking opportunities with Coconoats energy bites, a non-dairy granola bar in a bite, with a combination of oats, honey, and macadamia nut butter, among the ingredients. For Coconoats owner Gretchen Geisler, the Hawaii on the Hill taste show is the first time her product has participated in an East Coast event, and she’s excited to be able to extend her product's reach beyond Hawaii.  Her Coconoats in three different flavors, are available at a variety of retail outlets, including Foodland, Hawaiian Moons, Kumu Farms, and Down To Earth. Her product received an award at the Hawaiian Airlines Made in Maui County Festival last year and, she says, it put Coconoats on the map and gave her an opportunity to meet wholesalers. She’s honored that her products are in a show that includes people from across the nation. For more information on Hawaii on the Hill click here: https://www.cochawaii.org/hawaii-on-the-hill/ 

Ryan Ouye recalled his family had only one store on Maui when its construction equipment rental business expanded to Kauai to be a part of the rebuilding of the island after Hurricane Iniki in 1992.His business, Service Rentals & Supplies, now with six stores statewide, received the 2021 Mayor’s Small Business Award for Lifetime Achievement for Maui County - an honor, Ouye said, that brought a smile to his father Richard, the business founder, who passed in 2022. Like many enterprises that have been honored by the Mayor’s Small Business Awards, small businesses like Ouye’s demonstrate resilience and an ability to successfully meet challenges.

The Chamber anticipates that the gala event celebrating the 2024 Mayor’s Small Business Awards, to be held on September 19, will feature some extraordinary nominees as we have seen in the past, and those who have overcome phenomenal challenges due to the wildfires in Kula and Lahaina.

The 2021 Exceptional Small Business award winner Mitzi Toro, owner of The Maui Cookie Lady in Makawao, grew her mail-order boutique business despite the COVID pandemic. Her Lilikoi Cookie was selected for the Food Network Gift Guide, and the French magazine Bon Appetit named her business as among the top cookie companies in the world based on taste tests. Toro’s business has been the subject of stories in Forbes, Men’s Health and O magazine and has appeared on Good Morning America, and on QVC.

Michelle Heller, whose business, Da Kine Paints, received the award in 2022, said she owes the idea of starting the business to her late father who was a painting contractor on Maui. Heller is also the chair of the Chamber’s advisory board to the Construction Industry of Maui trade council. The trade council, representing more than 100 businesses, sponsors the Bob Poulson Scholarship, and awarded three college-bound recipients $25,000 this year.

Venture Physical Therapy owners Ted and Ann Anderson, who received the 2022 Exceptional Small Business Award with 11 to 39 employees, brought scores of employees to the gala event. Ted Anderson told us that Chamber has opened us up to “multiple opportunities to get our message into the community.” Venture Physical Therapy has grown to operate four physical therapy clinics and offers an outreach service that includes visits to a client’s home. They also donate their services to help raise money for Imua Rehab Maui. Ted Anderson continues to volunteer serving as a guest speaker about chronic pain, stroke recovery, and falls.

The awards recognition event began with the Maui Chamber of Commerce in 2002 and expanded to include a partnership with the Mayor’s Office of Economic Development in 2004. At that time, the event was renamed the Mayor’s Small Business Awards and broadened to incorporate our sister islands of Molokai and Lanai. Regardless of the winners chosen, all nominated businesses will be recognized at the event with a large poster commemorating their nomination and work, in addition to having their photograph taken with the Mayor and accolades they will receive during the event program. Nominators will be recognized as well for taking the time to showcase these outstanding businesses and highlighting how they contribute to the community.

Nominations for the 2024 Mayor’s Small Business Awards in various categories are being accepted on or before Aug. 15, 2024. For more information and entry forms, click here: https://www.mauichamber.com/cpages/mayors-small-business

For tickets to the Mayor’s Small Business Awards event, click here: https://www.mauichamber.com/events/2024-mayors-small-business-awards

May 3 was sine die, the adjournment of the 2024 State Legislative Session. Each year, the Maui Chamber of Commerce is very active in both County and State legislative activities. With this being the second year of the State Legislature’s biennium, the session began with 5,536 bills introduced in 2023 and 2024. From January through April during the legislative session, we were busy tracking over 400 bills related to our priorities and submitted over 200 pieces of testimonies, with 40 in just one week.

While we are a business organization, housing is our top legislative priority because housing impacts us all. We have a severe worker shortage and residents moving off island because of our housing shortage, which negatively impacts our local businesses.

Given this, we are thrilled to see the passage of several bills in the 2024 State Legislative Session that will help to add to our housing inventory on Maui by widening building choices, allowing existing property owners to add units, and converting commercial properties to housing units.

House Bill 2090 allows the reuse of commercial buildings for residential purposes as well as having housing units above commercial properties. The bill provides flexibility as we rebuild historic districts that once had many mom ’n pop stores where the owners lived on the top floor. Repurposing buildings could also help to revive commercial center districts and reduce rush hour traffic by allowing some people to live closer to their workplace. Hayden Aluli, an attorney and a co-trustee of the Aluli Trust, with several commercial properties along Market Street in Wailuku, said the new law could help to open new opportunities in Wailuku Town. “It’s exciting,” said Aluli. “It could change the whole fabric of Wailuku.”

Another measure, Senate Bill 3202, allows the number of accessory dwellings to increase from one to two on residential properties statewide, including Maui where the numbers have been limited to one. State Senator Troy Hashimoto said some residential areas, limited by water or space, may not be able to add a second accessory dwelling. But Hashimoto said the situation might be different in Lahaina, where rebuilding might accommodate more density. “It’s a potential tool,” Hashimoto said.

Additionally, Senate Bill 1170 creates a program, where in addition to federal and state entities, counties including Maui County would offer a tax credit program to developers of affordable housing, which can help housing projects better pencil out and be more affordable to build.
Housing developer Chris Flaherty, the managing general partner of the Oahu-based  ʻIkenākea Development, said he supported Senate Bill 1170 because the housing credits could be used in financing the capital required to build the partnership’s projects.ʻIkenākea Development is beginning to develop the affordable housing project at Hale O Pi’ikea in Kihei.

Lastly, Senate Bill 2066, offers another avenue for home builders to use the state 201H-38 process for moderate income residents and fast-tracks permitting and approvals.

We strongly believe we need all tools in the toolbox and out of the box thinking to chip away at our deficit and get housing units built for our residents, which is why we testified on and largely supported these bills during the process. We look forward to seeing the positive benefits these bills have on our housing crisis.