DOHA: Residents in Qatar and tourist coming here got more options in terms of choosing hotels in 2015. Qatar's hospitality sectors saw 13 new hotels last year with most of them falling in the category of either 4-Star or 5-Star.
"In total, 13 new hotels opened in 2015, adding approximately 1,900 keys to the hospitality sector. Of the current supply, approximately 84 percent is categorised as either 4-Star or 5-Star," said Johnny Archer, Associate Director Consulting and Research, DTZ Qatar. "This reflects a 10 percent increase in supply over a 12 month period, following two years of little new supply," he said.
Increasing supply of hotel rooms in Qatar is good news for its hospitality sector because it will support growing tourism sector. The tourists flocking to Qatar will get lot of options to choose in terms of quality and variety. Qatar has emerged as important destinations in terms of business tourism because of increasing number of business events. Qatar is hosting many international exhibitions, seminars and conferences, attracting professionals from across the globe.
According to Qatar Tourism Authority data, in July 2015, the total tourist numbers over the first half of the year reached 1.53 million reflecting a 7 percent increase on the corresponding period in 2014.
However opening of new hotels resulted in decline in occupancy rates in hotels. Data of the Ministry of Development Planning and Statistics (MDPS) show that by fourth quarter monthly average occupancy levels had fallen compared to the previous year. The fall was most noticeable in November 2015. November recorded average occupancy levels at 70 percent compared to 83 percent in the same month last year.
"A key factor behind this fall has been the increase in supply as new hotel developments completed throughout the year," said Archer.
Going forward, Qatar is expected to see more hotels starting their operations here. "DTZ research indicates that supply of hotel apartments is expected to increase by more than 100 percent by the end of 2018," said Archer.
Experts say that Qatar's hospitality sector offers huge potential for growth for affordable hotels-mainly 2-star and 3-star hotels as country's hospitality market currently is dominated by four and five star hotels.
© The Peninsula 2016
