Home / Articles / Tourism / Dynamic Foresight Yields Exemplary Hotel Results

Dynamic Foresight Yields Exemplary Hotel Results

Cape Town, 27 January 2020 – The President Hotel, situated in Bantry Bay, yielded exemplary results this festive season, despite the downward turn in the South African economy. Occupancy grew by 5.5% from December 2018, with positive growth noted in Average Daily Rates (ADR) and Revenue Per Available Room (RevPAR). The hotel has created the ultimate experience for both local and foreign visitors, with multi-functional and tech-driven elements including high-speed Wi-Fi, and Bluetooth room keys.

The exceptional results have been attributed to the hotel adopting a dynamic pricing model and reassessing key source markets to drive occupancy in quieter periods. In constant pursuit of improving their offering, The President Hotel recently refurbished key areas, putting a modern spin on African cultural influences with bespoke finishing’s complete with sustainable details.

The hotel boasts a new Kiddies Play Area, Reception, The Point Lounge and Deck, Owners’ Lounge and Deck Bar, and refreshed rooms – the new group’s arrival area can be doubled into a cinema room where HotelFlix, the hotel’s new in-room streaming service, can be projected onto a big screen.

“Domestic travellers make up the largest percentage of our key source market, with The President Hotel noting a 43% increase in domestic guests in 2019,” comments Jeremy Clayton, Director of The President Hotel and board member of the Federated Hospitality Association of South Africa (FEDHASA).

“South Africans are very price-sensitive, so to have a competitive rate in the market assisted us in achieving this growth,” added Clayton.

Confirming peak bookings well in advance, the hotel achieved 80.6% occupancy by the close of 2019, with high occupancy levels experienced from 24 December 2019 until 06 January 2020. The hotel’s unique positioning and climate in the sought-after Bantry Bay, surrounded by Cape Town’s top attractions, have guests coming back for this perfect combination of luxury accommodation with incredible views.

Flexible family policies and enhanced family experience with packages tailored to their needs saw a 6.14% increase in children guests to the hotel in 2019, with families noting the President Hotel as their preferred hotel destination. With a dedicated team of childminders and an evening sitter service available, parents are encouraged to enjoy fine beverages and cuisine on offer at the hotel.

Traditional markets revealed a decline in occupancy over the past year, with United Kingdom guests declining by 3%, USA visitors were down by 7%, and German visitors declining by 28%. The uncertainty of Brexit and unforeseen elections in the United Kingdom resulted in the UK decline, whilst a drop in German group bookings and series markets resulted in the considerable drop off from German guests. Indicating a shift in booking trends, President Hotel did note an increase in German travellers booking through online agents. Other key markets that recorded a decline in 2019 included India, China, France and Italy.

“This is not to say that these markets declined in travelling to the destination, and is rather a result of President Hotel’s strategy to broaden our focus this past year,” noted Clayton.

The President Hotel’s revised source market strategy reaped positive gains from Israel (35% increase), Saudi Arabia (74% increase) and a general uptick from African countries including Angola, Zimbabwe, Nigeria, Botswana and Namibia.

“Slowing economies both locally and abroad create a challenging environment for hotels and tourism on a whole. Through adopting an agile approach to pricing, reassessing our key source markets and strategising far in advance to secure MICE (meetings, incentives, conferences and events) business has positively contributed to an overall lucrative year. With forward bookings looking positive up until the end of April, we hope to continue to see the recovery of the Western Cape’s exceptional tourism offering,” concludes Clayton.

As a member of the Preferred Hotels & Resorts family – the world’s largest independent hotel brand representing more than 750 distinctive hotels, resorts, and residences across 85 countries – The President has established its iconic status for capturing the best of Cape Town through unique luxury offerings and bespoke experiences of the Mother City to business and leisure travellers.

%d bloggers like this: