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UK hotel managers are more optimistic

27th April 2009, 11:28am

More UK chain hotel general managers are positive about trading at their hotels in the current quarter than they were during the first three months of the year, according to the latest confidence monitor from TRI Hospitality Consulting.

Of the 118 general managers who responded to the survey, 39% were optimistic or very optimistic about their performance in the second quarter compared to 29% when asked about trading in the first quarter.

When the TRI Confidence Monitor was conducted in January, only 16% felt more optimistic than three months earlier.

"These are tentative signs that confidence levels are rising as operators adapt and get to grips with the recession and also find themselves three months nearer to recovery," said David Bailey, deputy managing director, TRI Hospitality Consulting.

Further research found that almost seven out of 10 respondents said they had increased or maintained their marketing budget for 2009.

Nearly three quarters of respondents said they had decreased staffing levels during the first quarter of the year. There are signs, however, that the bulk of staffing cuts have now been made. The proportion who intend to maintain or increase staffing levels is now higher (75 per cent) compared to the results of our confidence monitor three months ago (54 per cent).

Bailey continued: "Although the UK hotel industry has now dropped some way from its trading peak in 2007 and most of 2008, it would be wrong to conclude that all operators are suffering to the same extent.

"Recessionary conditions create winners and losers, and there is a small but significant proportion of operators who still expect to achieve occupancy and revenue growth in the current climate."


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