Transcript 2012: The performance of the Athens Hotel Sector

Customer Satisfaction Survey
Attica Hotels
Athens-Attica Hotel Association
January 2013
Dr. Aris Ikkos, ISHC
International Setting
Economic crisis
Economic crisis
Economic crisis
% change YTD Dec 2012/2011
The Mediterranean cities of
Athens, Lisbon, Madrid and
Milan show dropping
occupancy and room rate
levels comparing Year-to-date
December 2012 with 2011.
Athens clearly shows the highest
drops, especially on occupancy.
15.0
London
Warsaw
10.0
Munich
Paris
Tel Aviv
Edinburgh
Moscow
Helsinki
The city of Barcelona is showing
increasing occupancy levels as
well as ARRs.
5.0 Copenhagen
Prague
Berlin
Frankfurt
Vienna
Budapest
Rome
Bucharest
-15.0
-10.0
Dublin
-5.0
0.0 Amsterdam
Milan
Madrid
Lisbon
Barcelona
0.0
Brussels
Istanbul
5.0
10.0
Occupancy
-5.0
Thessaloniki
Athens
-10.0
ARR
Source: GBR Consulting, Smith Travel Research
Athens compared to 4 main Mediterranean
competitors YTD Dec 2012 & 2011
ΑRR
Occupancy (%)
RevPAR
Athens
Rome
Barcelona
Madrid
Istanbul
0
20
40
%
60
80
0
40
80
in Euro
2012
Source: GBR Consulting, Smith Travel Research
120
2011
160
0
40
80
in Euro
120
YTD Dec 2012: Occupancy & ARR levels
Athens and Thessaloniki show very low occupancy
levels and ARRs compared to other European cities.
260
Paris
ARR
240
220
200
Tel Aviv
180
London
160
Rome
140
Istanbul
Moscow
Milan
120
Brussels
Copenhagen
Madrid
100
80
60
40
50.0
Athens
Bucharest
Lisbon
Frankfurt
Barcelona
Helsinki
Vienna
Berlin
Warsaw
Prague
Edinburgh
Dublin
Budapest
Thessaloniki
55.0
Amsterdam
Munich
60.0
65.0
70.0
75.0
80.0
85.0
Occuapncy
Greece - Attica
Hotel industry performance in Greece
change YTD December 2012 / 2011 in %
10.0
Resort - Chalkidiki
5.0
Resort - Rhodes/Kos
Occupancy
0.0
-15.0
-10.0
-5.0
Resort - Crete
0.0
Resort
-5.0
10.0
Thessaloniki
Athens
-10.0
OCC: -13.4%
ARR: -7.8%
5.0
-15.0
Other
cities
-20.0
ARR /
TRevPAR
Athens is experiencing a very
difficult year, while also the
hoteliers in the category
“other cities” suffer losses
compared to last year,
especially in terms of room
rates.
The resort hotels overall
perform on par with last year,
with regional differences.
Source: GBR Consulting
Room Revenue YTD Dec (x 1 mn €)
5*
4*
€ -47.4 mn (-37%)
126.6
3*
€ -9.9 mn (-34%)
€ -5.8 mn (-58%)
126.5
10.0
28.8
9.9
29.2
9.3
7.9
104.0
96.1
98.3
7.2
24.3
23.5
21.8
79.2
2007
2008
2009
2010
2011
2012
18.9
2007
2008
2009
2010
2011
2012
4.2
2007
2008
2009
2010
2011
2012
On basis of 28 operating hotel the period 2007-2012 5*: 12, 4*: 10, 3* & 2*: 6
More specifically, the 5 star hotels lost 37% of revenue in 2012 compared to
2007, the 4 star segment 34% and the 3 star segment an astonishing 58%.
Source: GBR Consulting
International Tourist Arrivals
at main airports
Athens, YTD, Dec.
In Greece per region, YTD, Dec.
2012
2011
%
change
Thessaloniki
1,314,231
1,251,433
5.0%
Crete (Iraklio &
Chania)
2,825,572
2,818,368
0.3%
Dodecanese
(Rhodes & Kos)
Ionian Islands (Corfu,
Zakinthos, Aktio &
Kefalonia)
Cyclades (Mykonos
& Santorini)
-927,000 arrivals (-27%)
3,479,680
3,384,958
3,140,811
2,274,235
2,403,099
2,996,573
-6.8%
2,871,524
2,552,818
1,573,758
1,530,347
2.8%
340,264
333,113
2.2%
2007
Other airports
293,998
311,050
8,758,629
8,830,218
-0.8%
Athens
2,552,818
2,871,524
-11.1%
11,311,447
11,701,742
-3.3%
Source: SETE
2009
2010
2011
2012
-5.5%
Total excluding
Athens
Total
2008
Overall, international tourist arrivals have
stabilised in Greece, with the exception of
Athens, where international arrivals declined
almost 11% comparing 2012 with 2011.
Tourist profile and
Customer Satisfaction
Attica Tourist Satisfaction Survey
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Method: Questionnaire
Sample:
– 2012: ~1,500 questionnaires, collected July – November 2012
– 2011: ~1,200 questionnaires, collected July – September 2011
– 2010: ~1,700 questionnaires, collected June – September 2010
– 2009: ~2,000 questionnaires, collected July – September 2009
With the support of:
From Athens Hotel Association Members, 2* to 5* hotels
Presented results by major source country of Athens are based on the weighted
average of 4 years questionnaire results with the exception of the following items:
– crisis influence (2012 only)
– social media (2012 & 2011 only)
– pick up as a transportation option (2012 & 2011 only)
Sample (number of questionnaires over 4 years): USA 1,358, France 325, Italy
176, United Kingdom 417, Germany 220, Australia 346, Spain 232, Cyprus 309,
Canada 289 and Greece 487.
Arrivals & Overnights by major source countries
at hotel like accommodation in Attica (2010)
800,000
700,000
2 nights line
Overnights
600,000
500,000
400,000
300,000
200,000
Average length
of stay: 2.2 nights
100,000
Other Asia
0
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
Arrivals
Source: Hellenic Statistical Authority
Fastest growing source countries
Year
2010
2009
2008
2007
2006
2005
Δ% 10 - 05
Δ 10 - 05
Brazil
25,934
22,007
25,272
21,843
16,129
9,052
187%
16,882
Argentina
15,435
12,144
11,621
11,407
8,112
6,015
157%
9,420
China
39,847
33,156
34,266
35,354
28,958
19,480
105%
20,367
Russia
36,109
37,272
52,477
43,055
29,800
24,843
45%
11,266
Total
117,325
104,579
123,636
111,659
82,999
59,390
98%
57,935
Total
foreign
arrivals
1,946,902
1,957,430
2,070,185
2,182,380
1,940,886
1,735,896
12%
211,006
%
6.0%
5.3%
6.0%
5.1%
4.3%
3.4%
+187%
25,934
+157%
15,435
27.5%
+105%
19,480
Comparing arrival data 2010 – 2005 for Attica, Brazil,
Argentina, China and Russia show the highest growth
rates of +187%, +157%, +105% and +45%
respectively.
The market share of these four countries has grown
from 3.4% in 2005 to 6.0% in 2010.
+45%
36,109
Russia
China
Argentinia
Brazil
Source: Hellenic Statistical Authority
Crisis influence per source country
Did you pay any special attention to the Greek economic crisis
during the preparation of your trip to Athens?
USA
Australia
UK
Overall
Yes
Canada
No
Spain
na
Italy
France
Germ any
Cyprus
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Overall, 37% of respondents indicated that they paid special attention to the Greek
economic crisis during preparation. Americans, Australians and British paid most attention. However,
respondents are those that did decide in the end to travel to Athens. About 56% did not pay any
special attention.
Crisis influence per source country
Did you have any worries that developments in Greece could impact your trip?
Australia
USA
Canada
UK
Yes
Overall
No
Germ any
na
France
Cyprus
Spain
Italy
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Overall, 26% of respondents indicated that the developments in Greece could impact their trip to
Athens. The Australians, Americans, Canadians and British were most worried. About 66%
indicated that they had no such worries.
Perception of safety in the city
Rating on a scale of 1 – 10 on Safety in the City
(1 = totally inadequate; 10 = excellent)
8.0
7.5
7.0
6.5
6.0
5.5
Greece
5.0
Cyprus
4.5
4.0
2012
2011
2010
2009
USA
Canada
France
Greece
United Kingdom
Cyprus
Germany
Australia
Spain
Italy
It becomes clear from the above graph that the perception of safety is consistently much lower rated
by the Greeks and Cypriots, namely below the mark of 5.5, while the foreigners with the exception of
the Italians in 2010 and 2011 rate it above and often well above the mark of 6.
8.0
96%
7.8
95%
7.6
94%
7.4
93%
7.2
92%
91%
7.0
90%
6.8
89%
6.6
88%
6.4
87%
6.2
86%
Greece
Italy
Cyprus
France
Overall Assessment
Spain
Germany United Canada Australia
Kingdom
Recommendation
Assessment
Overall assessment - recommendation
USA
Recommend Athens (%)
The Greeks are very negative in their overall assessment of Athens compared to the major foreign
source markets with a mark of 6.8. As a result, 89% would recommend Athens, which is again the
lowest percentage compared to the major foreign source markets.
Expenditure
Total expenditure per day (€)
299
317
223
114
Germany
128
130
France
Italy
193
198
200
USA
Greece
United
Kingdom
142
Spain
Canada
Australia
Cyprus
Value for Money
7.5
7.0
6.5
6.0
5.5
5.0
Germany
France
Italy
Shopping
Spain
USA
Restaurants
Greece
United
Kingdom
Bar / Cafe
Canada
Hotels
Australia
Taxi
Cyprus
Social media usage
Percentage of travellers using social media in general
57%
57%
Germany
Cyprus
62%
63%
63%
63%
France
Italy
United
Kingdom
Australia
65%
Canada
67%
USA
76%
69%
Greece
Spain
Percentage of usage of three main social media platforms by nationality
79%
68%
86%
89%
83%
91%
81%
89%
88%
72%
22%
19%
18%
19%
25%
21%
37%
30%
25%
22%
18%
11%
21%
14%
30%
23%
20%
25%
13%
35%
Seasonality
Preference for a particular month to visit Athens per nationality
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Age profile
Biggest group of travellers
< 18
18 - 30
31 - 50
>50
Forecast Athenian Hoteliers for Q1 2013
Forecast Athenian Hoteliers for 2013 as a whole
Customer Satisfaction Survey
Attica Hotels
Athens-Attica Hotel Association
January 2013
Dr. Aris Ikkos, ISHC