80% to 95% of Bucharest hotels' customers come from the business sector and most tourists coming to Bucharest are foreigners, with estimates in this regard pointing to 75-80% of overall arrivals in 2006.
The conference and banqueting segment, generated by the same business sector, accounts for different shares in Bucharest five-star hotels' turnovers, from 30% to 50%.
Under the circumstances, the most profitable hotels of Romania, besides having the advantage of being the biggest, are also the most luxurious, mainly targeting those who do not pay for accommodation from their own incomes. Luxury hotels, represented by the six five-star hotels (Howard Johnson, Grand Plaza, JW Marriott, Intercontinental, Athenee Palace Hilton, Casa Capsa and Crowne Plaza) have around 1,467 available rooms together of the total 6,400 rooms on the market, reads a report on the Bucharest real estate market put together by CB Richard Ellis Romania (CBRE).
Full story in ZF
What's next? Other international chains will soon follow. Word is Kempinsky, Hyatt, Four Seasons, Sheraton or Leading Hotels of the World will soon join the party. Suprising? Not really.
The question is: do local hotels stand a chance? Probably, if they invest tons of money to offer the same service levels, if they promote themselves on the international market (online booking services might not be such a bad idea) and if they change their business model and realize returning customers are worth more than one time customers that you manage to trick.
Good luck you all!
Labels: Bucharest, Business Tourism, Tourism, Travel