Hotel occupancy in Dubai has gotten off to a good start with 90% of rooms booked the first two months of the year.
Just under 90% of the hotel rooms in the area were booked the first month of the year, with February being even slightly stronger. The average rate charged to travelers increased by slightly more than 7% and the rooms yield ratio improved by 10.4%.
One of the reasons for the increase in tourism for these months is because of the favorable climate that time of year. The popular Shopping Festival takes place in January, and tourists enjoy attending this event. Many conferences are held at this time of year which attracts numerous business people and entrepreneurs to the area.
February was an even better month for hotels and tourism with just over 90% of rooms occupied. The rooms yield ratio was at a record high, and the average rate charged was $334.79 which was the highest in the region. Total earnings for each room was $523.86. This can be attributed to an increase in food and beverage income. Hotel profits increased by 12.7% during this time.
Dubai is the most desirable location in the United Arab Emirates. Many people visit for the purpose of attending a convention or conference. However, there also is an increased demand for leisure holidays in the area. Dubai hosts a lot of festivals and sporting events which attract many travelers on an annual basis.
Abu Dubai enjoyed an occupancy rate of 78% for the first month of the year. In February, the occupancy rate increased to almost 80%. The average price per room was $203.3, which improved the rooms yield ratio to $164.20. This was a major increase for Abu Dubai. The number of conferences held there that month resulted in a rise of 36.4% in the total revenue for each room. As a result, the hotels enjoyed increased profits of just under 73%.
In Al Ain, the number of hotel rooms occupied in January rose by 16%. Total income earned per room increased by 13% at the same time. Increased tourism was likely due to the attractions in the nearby area, including scenic areas not far away from the city.
The largest city and capital of Bahrain, Manama, had an increase in tourism in January. Hotel reservations rose by 23% for the month.
The Kingdom of Saudi Arabia did not experience major growth in hotel reservations for February. The city of Jeddah, in western Saudi Arabia, actually had a very slight decrease in occupancy to just over 78%. The capital, Riyadh, had a slight increase, with a rate of 74.3%. Kuwait welcomed more visitors, with an increase of 6.4%. This resulted in an occupancy rate of 60% for Kuwait.
In Egypt, Sharm El Shaikh had an increase in hotel reservations for January. The rise was 7.7%, which resulted in just under 57% of rooms being reserved. The increase is attributed to economical vacation packages, a stable environment and pleasant weather that time of year. In the city of Cairo, hotel occupancy rose by less than one percent during this time. The occupancy rate there was 42.5% in January.