From Bristol247
Bristol hotels had little to cheer this Christmas at what was the end of a “concerning” year, according to a new survey.
During December, occupancy levels in Bristol hotels dipped 0.7% from 59.5% in 2010 to 59.1% in December 2011, while room rates experienced a drop of 1.8% from £64.55 in December 2010 to £63.41 in December last year.
Overall, this meant that rooms yield fell 2.4% on the previous year, from £38.41 in 2010 to £37.48 in December 2011.
Looking at the year as a whole, 2011 was a disappointing year for Bristol hoteliers as a 1.0% dip in occupancy from 71.4% to 70.7%, coupled with a 0.3% fall in room rate from £64.48 in 2010 to £66.25 last year, resulted in a 1.3% drop in rooms yield – falling from £47.47 to £46.84.
Neil Dimes, partner in charge of the South West office of PKF Hotel Consultancy Services, said: “These results suggest that 2011 was a tough year for Bristol hoteliers who are doing all they can to battle against the economic headwinds that are affecting all parts of the UK economy.
“Unfortunately, the Christmas period failed to deliver much festive cheer for Bristol hotels and they finished the year with a dent in their rooms yield overall.
“January is often a difficult for hoteliers, following the Christmas rush, although such a significant drop in room rate in quite concerning. It is clear that hotels have been forced to slash rates dramatically to attract price conscious corporate and leisure customers. This approach is helping to increase occupancy but at the expense of yield.”
The New Year brought with it further challenges for Bristol hoteliers. Although occupancy rose 5% from 59.1% in January 2011 to 62.0% in January 2012, rooms rates plummeted by 14.1% from £63.62 in 2011 to £54.65 in January this year. Overall, this meant rooms yield fell 9.8% from £37.58 in January 2011 to £33.88 in January 2012.
