Hotel owners from Bucharest have to identify new market segments

Hotel owners in the capital have to identify new market segments, in addition to business client segment in order to cover room occupancy and maintain profitability on a decreasing market, stated the executive managers of 5 star hotels in Bucharest, attending the event entitled “The year of changes in hotel industry”, held by HRB Expert magazine.

Friedrich Niemann, General Manager of Athenee Palace Hilton, stated that the demand decreased by 8.3% in the first four months of the year, compared to the same period in 2008, accounting for 26,000 lost nights.

Hotels in the capital registered 22% drop of demand, while competition continues strengthening, said Friedrich Niemann.

He also specified that, in addition to the lower occupancy due to demand, room rates also dropped.

Niemann specified hotel owners have to show flexibility on this market and focus on providing other services to maintain profitability. The solution to business recovery in hotel sector is developing new tourism services concepts and products to attract customers on leisure segment too. City-break or spa tourism are considered attractive for tourists coming on holidays.

Another solution is implying authorities in promoting the Romanian capital Bucharest and developing elaborated marketing strategies, said the representative of Athenee Palace Hilton.

Moreover, in tourism sector synergies should be created between hotel owners, airlines, travel agencies, restaurants and clubs to attract tourists, mentioned Niemann.

Yilmaz Yildirimlar, General Manager of Radisson SAS, considers it is important that hotel owners come up with unique services to attract new client segments in this period. At present, buyers are the one to set prices as many similar products are presented on the market and pressure on services is high, stated Yildirimlar.

Cristopher Shonn, the representative of Kohl & Partner consultancy company, considers services and hotel architecture a representation of life style and the solution for Bucharest to become a more attractive destination is attracting more international brands and developing own brands.

Sursa: Curierul National [22.05.2009], Ziarul Financiar [22.05.2009]