Galway hotels report best year since the boom
Galway hotels are reporting their best year since the recession hit, with two thirds hosting increased Christmas parties and events, four out of ten planning to hire more staff this year and nine out of ten hoteliers planning to invest in refurbishment.
Spokesperson for the Galway branch of the Irish Hotels Federation, John Ryan, said confidence among hoteliers is steadily improving as the recovery in tourism continues – the industry now supports 15,000 jobs in Galway and contributes some €619m to the local economy annually.
This has been influenced by highly effective marketing campaigns such as The Wild Atlantic Way which have strengthened Ireland’s brand and image as a holiday destination abroad with a pattern of sustained growth from European countries beyond the UK.
“It is heartening that our members here in Galway and elsewhere are seeing growth on the ground from US, German and French visitors. There are good reasons to be optimistic about our key North America and European markets in the coming year as well,” stated the owner of the Ardilaun Hotel in Galway City.
“Irish tourism has seen a record-breaking year in 2016 and there is a lot to celebrate as the most recent Central Statistics Office figures show that 8.9 million overseas visitors have visited Ireland in 2016, up 11% on 2015.
“This is an outstanding achievement and a result of the hard work being carried out by the entire tourism industry in partnership with the national tourism bodies.”
However, there are signs that growth is slowing out of the UK market. While it is too early to say what the effect of Brexit will be, the uncertainty and the fall in the value of Sterling will pose challenges.
“Our tourism marketing strategies must encourage overseas tourists to travel beyond the key urban centres and traditional ‘hot spots’ so that we can extend tourism success across the county,” Mr Ryan stated.
“Many of the consequences are largely outside our control, so it is imperative that we mitigate the risks and potential damage where possible. This is a key task for us in the coming years as we work to deliver sustainable, long-term growth.
“Continued Government support for tourism in the form of investment in marketing and product development will be critical to ensuring that tourism fulfils its true potential for further employment growth.”
The survey among hoteliers shows that nine out of ten (91%) state they recorded increased business in 2016 while over half (57%) of hotels and guesthouses grew their workforce during the year. The barometer also shows that nine out of ten (89%) have plans to reinvest in their properties in the New Year.
The IHF survey found that 82% of hoteliers have reported increased business this year from the home market.
The industry enjoyed an 11% increase in overseas visitors to Ireland during the year, reflecting significant growth in key markets over the past eleven months. This includes individual market growth from North America (up 18%), Britain (up 11%) and the rest of Europe (up by 9%).
However, nine of out ten hoteliers (92%) are concerned about the impact the Brexit will have on their business in 2017 with almost a fifth (18%) reporting a fall in forward bookings from Northern Ireland, while almost three in ten are seeing a drop in bookings from the UK.