Confidence amongst hoteliers suffer a slight setback, says TRI

4th February 2010, 11:58am

Confidence amongst hotel general managers suffered a slight setback in the first quarter of 2010 as the New Year produced a mixed outlook across the UK, according to the latest Hotel Confidence Monitor by TRI Hospitality Consulting.

UK hoteliers have a much brighter outlook for 2010 compared to the same period in 2009, with more than 55% of respondents either optimistic or very optimistic about their hotel's trading performance over the next three months. Looking back, just 29% of respondents were optimistic or very optimistic about future trading performance in the first quarter of 2009 (Q1 2009).

Occupancy expectations for Q1 2010 remained mixed, with 50% of respondents to the survey expecting a growth in the first three months of 2010. Despite this, more than a quarter of respondents are not anticipating a change in their room occupancy levels for the first three months of the year; with the remaining 24% forecasting a decline.

Meanwhile 65% of respondents anticipate average room rate in Q1 2010 to either remain the same or increase. As a result, rooms revenues in Q1 2010 are anticipated by hoteliers to increase by 55%, compared to 70% of respondents anticipating a decline in rooms revenue in Q4 2009.

David Bailey, deputy managing director of TRI, said: "The feel-good factor of the fourth quarter in 2009 has been tempered by the realism that the UK is making a very laboured exit from the recession and we can expect the road ahead to be bumpy. The positive story for the quarter is the number of respondents who are projecting an increase in performance levels in 2010, particularly in profitability."

The Hotel Confidence Monitor by TRI Hospitality Consulting was conducted by email, via an online survey, between 11 and 22 January 2010. A total of 115 UK chain hotel general managers responded to the survey.

Related Articles:

• 25 Nov 2010 - Hotels in provinces suffer in profitability levels, says TRI
• 02 Nov 2009 - London hoteliers lead the way
• 28 Oct 2009 - London hoteliers boost profits
• 28 Sep 2009 - Holiday makers boost occupancy levels for UK hotels
• 26 Aug 2009 - London Hotel occupancy exceeds 2008 levels
• 24 Aug 2009 - TRI partners with Visit London
• 18 Aug 2009 - UK hotel general managers remain positive
• 28 Jul 2009 - Occupancy levels hold up at London hotels
• 25 Jun 2009 - Recession has less impact on UK hotels
• 22 May 2009 - London occupancy stays above 80%
• 28 Apr 2009 - Lower hotel room rates keep occupancy high

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