Economic Trends

Qatar copes with success; committes work to maintain balance

18 Apr, 2012 By: Jena Tesse Fox
 


A boom in development can sometimes lead to some unexpected problems: Hotelier Middle East is predicting a "rate war" in Doha as developers look to Qatar's capital. Qatar hotel average daily rates (ADR) are projected to slump as hoteliers struggle to maintain occupancy levels amid a record 20 percent increase in supply in 2012.

There were 77 hotels with around 10,000 rooms available in Qatar in August 2011, according to research by TRI Hospitality Consulting unveiled at the Hotelier Middle East Qatar GM Debate, which took place at the Grand Hyatt Doha last week. More than 2,100 rooms are expected to enter the Qatar market before the end of the year.

The Hilton Doha, scheduled to open “in a few days” is among the newcomers to Qatar in 2012. General manager Andreas Searty said that occupancies in the city are regularly around 60 to 65 percent. “So we need to focus on what we do well [rather than dropping rates]. By doing that we can attract new segments and business. We could focus on length of stay in Doha to improve occupancy. Currently guests stay for one or two days only, by attracting [business people and their] spouses, more business generated by conventions, the stay increases,” Searty told the magazine. W Hotel Doha & Residences general manager and area manager Safak Guvenc agreed that dropping rates should be a last resort for hotels.

Another factor in the sudden increase in development may be the Qatar National Convention Centre (QNCC), which opened last November. “QNCC is one of the biggest new market drivers we’ve seen coming to the market,” Hafidh Al Busaidy, general manager, InterContinental Doha said in another Hotelier Middle East article .

But fortunately, steps are being taken to maintain cooperation between the tourism and hotel sectors in Doha. This week is the inaugural meeting of the Qatar Hotels Committee, which launched on Monday at the St Regis Doha with an aim to enable the tourism and hospitality industries in the country grow and develop ahead of the World Cup in 2022, AMEInfo is reporting. Chaired by Qatar Tourism Authority (QTA) Chairman Ahmed Al Nuaimi, the committee comprises of the general managers and representatives of the country's four- and five- star hotels along with senior representatives from the QTA. Ultimately, the new committee aims to promote cooperation between the QTA, the tourism industry and hotel sector as well as enable a coordinated approach to the growth of the industry in Qatar.

Speaking at the meeting, Al Nuaimi said the committee's work will be to enable the tourism and hotels sectors to achieve the aims and objectives of the Qatar National Vision 2030 while also creating a uniform set of policies for the industry.

Topic : Qatar, Doha, Trends
External Source : AMEInfo, Hotelier Middle East, Hotelier Middle East

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