South African hotels beat their European, Asian and Middle Eastern counterparts by increasing their occupancy rates, a survey has found.

The Hotel Benchmark Survey found South Africa's hotel occupancy rates had increased to 69 percent last year. This represented growth of 4,4 percent in occupancy rates compared to a negative 1,1 percent in the Middle East, a negative 0,4 percent in Asia and 2,3 percent growth in Europe.

"We have regularly been questioned in recent years about the appropriateness of rates charged in South Africa," Rob O'Hanlon, the Deloitte South Africa partner for travel, tourism and leisure said yesterday.

"Given that the rates are already low by global standards, it is evident at a macro level that South African hotel accommodation is competitively priced. This evidence ties in with the impressive performances that our clients are recording over the current season," O'Hanlon said.

Federated Hospitality Association of South Africa (Fedhasa) members had been involved in an ongoing debate about ensuring the balance between achieving an acceptable return on investment and keeping South Africa competitively priced as a long haul destination, Fedhasa Cape chairperson Nils Heckscher said.

Source: SAPA / 31 jan 2005

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