Poor broadband and mobile signal ‘costing rural Welsh tourism millions’
A UK‑wide study by VodafoneThree estimates that tourism‑related small and medium‑sized enterprises (SMEs) in Wales are losing up to £69 million annually in potential revenue due to patchy connectivity.
The research looked at 50 UK staycation hotspots — including Tenby, Porthcawl and New Quay — and found that better broadband and mobile signal could boost takings for Welsh tourism traders by thousands of pounds each year.
While the study focused on named destinations, the findings are likely to apply to other rural and coastal areas in South West Wales, such as Gower, Laugharne, Saundersfoot and the Pembrokeshire Coast, where visitors often report poor signal and slow internet speeds.
Impact on local businesses
According to the research, 17% of Welsh tourism SMEs said poor connectivity stopped them taking full advantage of this year’s extra footfall, while 7% said they actually lost business because of it.
With more than two‑thirds of tourism businesses relying on social media to attract customers, poor signal can limit marketing reach, slow down online bookings and payments, and frustrate visitors expecting reliable Wi‑Fi.
The report suggests that with improved connectivity, many businesses would:
- Increase social media marketing
- Offer better customer Wi‑Fi
- Introduce online booking or virtual queuing systems
- Use AI‑powered customer support tools
Potential gains
The study estimates that:
- Tenby’s 210 tourism SMEs could each gain around £34,000 a year with better connectivity
- Porthcawl’s 235 SMEs could see an extra £42,000 each
- New Quay’s 110 traders could gain nearly £40,000 each
Applied to similar‑sized destinations in South West Wales, the figures suggest a significant untapped economic boost for the region’s tourism sector.
Andrea Donà, Chief Network Officer at VodafoneThree, said:
“Tourism plays a critical role in boosting local economies across the UK, with improved connectivity accelerating their growth to the tune of £1.5 billion a year. That’s why we’re investing £11 billion in building a network that provides reliable, quality connectivity to all corners of the UK — particularly in rural and coastal areas where demand surges during the summer months.”