Abu Dhabi is on target to welcome 1.65 million hotel guests this year after posting a double digit increase in visitors last month, according to the Abu Dhabi Tourism Authority (ADTA). "We are now focused on keeping the momentum going," said Mubarak al Muhairi, the director general of ADTA. Abu Dhabi received 161,004 guests last month, a 14 per cent increase on the same month last year and its seventh consecutive month of double-digit growth, ADTA said.
During the first five months of the year, the emirate had 790,812 guests, representing an increase of 16 per cent on the same period last year. Hoteliers and analysts say that new attractions, as well as Abu Dhabi's growing portfolio of events, are likely to lure more visitors and help fill rooms in the emirate. Last year, Abu Dhabi attracted 1.54 million hotel guests and is aiming to bring in 2.3 million guests a year by 2012.
"We have significantly expanded our Summer in Abu Dhabi family festival to take in Abu Dhabi city and, for the first time, Al Ain," Mr al Muhairi said. "With the planned opening of Ferrari World Abu Dhabi this October and the peak Grand Prix season yet to come, target attainment is well within our reach," he added. Abu Dhabi has about 17,500 hotel and hotel apartment rooms, compared with about 12,500 rooms in May last year.
"Increased room inventory on last year has made the market much more competitive and impacted occupancy and revenue levels," said Mr al Muhairi. ADTA said occupancy levels were at 61 per cent last month, which was a drop of 17 per cent on the same month last year, because of the new supply. Revenue fell by 9 per cent to Dh330 million (US$89.9m). Food and beverage revenue for the first five months of the year rose 14 per cent compared with last year, it said.
"The upside, of course, is that the destination as a whole now sits in a much more competitive position than it was a year ago", which would be a benefit in the long term, Mr al Muhairi said. Rates are down sharply at Abu Dhabi hotels compared with last year and hoteliers say the increased competition is forcing them to be much more creative with their promotions. ADTA has saidthe rapid increase in hotel rooms is part of building a tourism destination and that the capital needs a good selection of accommodation in place before it could market itself.
Domestic tourism rose 18 per cent last month from the same month last year to 67,808 hotel guests, according to ADTA. The number of visitors from the UK, the emirate's largest international market, was up 12 per cent last month compared with April, to 10,031 guests. The GCC market grew by 32 per cent last month, with Saudi Arabia leading the way, with a gain of 44 per cent to 2,915 visitors to Abu Dhabi, ADTA said.
rbundhun@thenational.ae