WICKLOW HOTELS EXPECT RISE IN GUEST NUMBERS
HOTEL and guesthouse owners in Wicklow and across the country are forecasting a good summer for the sector, according to the results of the latest industry survey undertaken by the Irish Hotels Federation (IHF).
The majority (70 per cent) say business is up, compared to the same time last year, with increases in staycations and visitors from overseas markets including North America and continental Europe.
Brian McNamara, Chair of the Wicklow branch of the Irish Hotels Federation, said that although the outlook is encouraging there is little room for complacency.
‘Despite the upturn, not every tourism business is enjoying the same level of success and the hotel sector is still a number of years away from achieving sustainability in certain regional areas,’ he said. Nationally, almost half (49 per cent) of hoteliers are seeing a drop in UK business while one in five say their advance bookings for the rest of the summer are down compared to last year.
According to the IHF survey, the domestic market remains buoyant with many hoteliers seeing an increase in home-grown business compared to this time last year. In terms of overseas visitors, six in ten hoteliers say business levels from the US are up while four in ten are seeing an increase from Germany.
Although the fall in UK visitors appears to have tapered off for now, after the significant fall in 2017 (down 5 per cent year on year), only one in five hoteliers are seeing an increase. With so many still experiencing a drop off in business, Mr McNamara says the UK market continues to be a significant concern.
Employment growth is set to continue in 2018 and Mr McNamara said the tourism industry is on track to creating 40,000 new jobs by 2021.
‘Almost half of hoteliers (47 per cent) expect to increase their staffing levels over the next year with opportunities available across all areas of business, from entry-level positions to jobs for experienced staff,’ he said. The tourism industry is Ireland’s largest indigenous employer. It supports approximately 230,000 jobs - equivalent to 11 per cent of total employment – with more than 60,000 of these jobs in the hotel sector alone. Employment in the tourism sector has grown by over 60,000 since 2011, an increase of 33 per cent, compared to an increase of 13 per cent in employment throughout the overall economy.
Mr McNamara said that the continued growth in tourism has created a welcome renewed interest in employment within the sector. ‘We have made considerable progress in developing varied career paths for new and existing employees that support professional development and advancement with skills that are transferrable internationally.
The improving business levels that the sector is seeing has also given hoteliers increased confidence. ‘It is enabling hotels to invest more extensively in their businesses this year – from refurbishment to expansion, as well as investing in new facilities, services, employment and marketing – which feeds out into the wider economy,’ said Mr McNamara.
Mr McNamara said that continued government supports such as the 9 per cent VAT rate and zero travel tax have been hugely significant in underpinning the recovery of the tourism sector. “The substantial fall in visitor numbers during 2017 from the UK, our largest market with the greatest seasonal and regional spread of visitors, served as a reminder of how vulnerable our tourism industry is to volatility in other economies,” he said. Mr McNamara acknowledged the focussed efforts of the state’s tourism bodies in new product development and market diversification and the positive impact of brands such as the Ireland’s Ancient East and Dublin – a Breath of Fresh Air in providing new and unique value offerings to encourage more visitors.
Brian McNamara said that hotels too were also looking for ways to improve guests’ experiences, beyond investing in infrastructure. ‘Increasingly guests want to holiday in destinations where they can really get to know the area in which they are staying. We are very fortunate as our rich tradition in the arts, history, music and sport across the country provides ample scope to offer immersive experiences,’ he said.