Abu Dhabi hotels report upturn in guest arrivals

Abu Dhabi’s 156 hotels and hotel apartments are nudging closer to the emirate’s 3.1 million guest target for this year with figures just released by Abu Dhabi Tourism and Culture Authority, TCA Abu Dhabi, showing that 2,838,842 guests checked into the destination in the first 10 months of this year – a 25 percent uplift on the same period last year.
Guest nights from January to October were up 20 percent on last year, totalling 8.5 million, with occupancy climbing 6 percent to 74 percent.
Hotel revenues in the first 10 months increased by 14 percent to AED 4.869 billion (US$1.325 billion). Room revenues accounted for AED 2.488 billion (US $677 million) – which was up 14 percent while food and beverage rose 11 percent to AED 1.843 billion (US $502 million).
"October performance helped significantly with this growth," said Jasim Al Darmaki, Acting Director General, TCA Abu Dhabi. "During the month, guest arrivals were up 18 percent year-on-year, guest nights rose 13 percent while revenues lifted 4 percent which should all be viewed against a background of 9 percent more room availability in the market.
"Given the packed events programme the emirate has in November and December, this upward momentum is likely to continue and this year’s guest arrivals target looks well within our means." According to Al Darmaki, two prevailing issues are at the forefront of TCA Abu Dhabi’s promotion efforts – increasing length-of-stay and building average room rate.
"The two are interconnected on a supply and demand basis. Length-of-stay is a key indicator of the destination’s appeal and currently we have slipped this year by 4 percent while our average room rate has dipped 3 percent . Our focus has to be to get the message out to as wide an audience as possible that there is more to do in this emirate than ever." Abu Dhabi’s current average-length-of-stay is 2.99 nights while the average room rate in October was AED416 (US$113).
Al Darmaki said the 2014 hotel performance is also set to benefit from increasing air links.
"NIKI Airlines has just launched a daily direct service from Vienna to Abu Dhabi opening up the Austrian market to us while Etihad Airways is now flying non-stop daily from San Francisco and will begin thrice-weekly flights from Dallas, Texas, in December, greatly enhancing our potential from the US.
"On top of this we have new product in the market in the shape of Yas Mall, the emirate’s biggest shopping complex which further lifts the Yas Island proposition. Retail is a major attraction for tourists, particularly those coming from within the GCC region and with certain overseas markets who appreciate the fact that they can shop tax free here. In addition there, are still a host of major events to come this year, culminating in the hosting of the Volvo Ocean Race fleet and activities at the Destination Village on our Corniche from December 12th." Domestic tourism continues to perform well with a 22 percent uplift in the first 10 months of this year. India remains the destination’s top overseas market with a 33 percent increase in guest arrivals, followed by the UK, which delivered a 22 percent arrivals increase and Germany, from where guest arrivals climbed 11 percent .
"German arrivals are likely to benefit from the December 1st launch, by air berlin, of daily flights from Stuttgart to Abu Dhabi," added Al Darmaki.
Saudi Arabia is now the emirate’s fourth largest international market, and its best regional performer. The number of Saudi Arabians checking into Abu Dhabi accommodation has gone up 33 percent in the past 10 months to 99,330.