Dubai hotel revenues and guests increase 6%

DUBAI — Dubai’s hotel industry posted a six per cent surge both in terms of revenues and the number of guests in the first nine months of 2010, sending a strong message that the hospitality and tourism sector is on its way to a robust rebound after a period of dismal growth in 2009.

The Dubai Department of Tourism and Commerce Marketing, or DTCM, said on Sunday that the number of hotel guests in Dubai touched approximately six million (5,991,660 guests) between January and September 2010, reflecting a six per cent increase compared to the 5,640,703 guests during the corresponding period in 2009.

Hotel revenues during the nine-month period amounted to Dh9.238 billion compared to Dh8.706 billion realized during the same period last year, reflecting an increase of six per cent, DTCM said.DTCM Director General Khalid A. bin Sulayem said the latest increase in tourism figures follows a nine per cent increase achieved during the first half of this year

In the first half of 2010, the number of guests at Dubai’s hotels rose to 4.2 million, driven by rising demand from Asia and the Gulf Arab region. Hotels revenue was up six per cent to $1.88 billion in the first half while occupancy rates stood at 71.7 per cent. Latest statistics released by the DTCM also indicate that the number of tourist reservations for the first three quarters of 2010 reached 18,731,478 compared to 16,378,422 during the same period of 2009, marking a 14 per cent increase.

The number of hotel rooms and hotel apartments increased during the first three quarters of 2010 by 16 per cent; from 59,372 rooms and hotel apartments in the first three quarters of last year to 68,654 this year. Hotel occupancy rates were steady for the first nine months of this year and were almost identical to the occupancy rates achieved during the same period last year.Bin Sulayem said the upswing in the industry was possible due to the extensive marketing efforts of DTCM, and the diverse promotional programmes it introduced across the global tourism market, in addition to the department’s cooperation with private sector organisations locally and internationally.

He thanked the private sector representatives for their efforts and constant cooperation with DTCM to achieve a common goal of boosting Dubai’s tourism sector.The DTCM statement said the number of hotel facilities currently active in Dubai reached 565 compared to 533 in the same period last year, marking a 6 per cent increase.The occupancy rate for hotel apartments increased by two per cent during the first nine months of 2010, reaching 66 per cent compared to 64 per cent for the same period in 2009. DTCM has launched an international campaign to promote the “Definitely Dubai” initiative, aiming to market the Emirate’s tourist attractions across the world in collaboration with major international tourism companies.

This follows a joint meeting between representatives of various hotels and tourism companies. During the joint meeting, DTCM also demonstrated international tourism market trends and their affect on the Emirate’s tourism sector, especially with regard to the operation of direct flights between Dubai and other countries across the world. In 2009, tourism in Dubai, the Middle East trade and business hub, was hard hit by the global financial crisis as consumers tightened spending and slashed their travel budgets.

Signs of the hotel industry’s recovery could be seen as early as the beginning of the 2010. In the first half, the number of hotels increased by seven per cent, while hotel rooms grew 16 per cent to 67,369. According to the latest hotel performance data from Deloitte, Dubai hotels saw a small increase in occupancy in 2010 while Abu Dhabi was down. The report said Dubai’s overall hotel occupancy rate was 69.3 per cent for the year to date in October, up 2.9 per cent from same period in 2009.

Courtesy Khaleej Times