PRICEY hotel rates in Singapore are leaving longhaul buyers at ATF 2013 less enthused with the city-state, despite the recent emergence of several new attractions.
According to the Singapore Tourism Board, average room rates stood at S$261.30 (US$213) from January-November 2012, a year-on-year increase of 5.9 per cent. Average occupancy rate, however, saw muted growth in comparison – a rise of 0.1 per cent over the same period to achieve 87 per cent.
Several longhaul specialists at TRAVEX 2013 said clients were reducing their duration of stay in Singapore or were skipping the destination entirely in their Asia itinerary.
Andrew Morgan, Asia, Middle East & Indian Ocean product manager with UK-based THG Holidays, whose company handles a mix of leisure and corporate travellers and events, said transits in Bangkok were usually preferred “as Singapore is too expensive”.
RTT Triple S Tours & Travels Israel’s managing director, Benny Binyamin, noted that an increasing number proceeded to neighbouring destinations upon arrival at Singapore Changi Airport, with more going to Malaysia or sailing out with Star Cruises.
Wan Mahsuri Wan Ahmad Kamal, vice president – sales of Themed Attractions Malaysia, concurred. “More tourists stay in Johor and visit the theme parks, then go across to Singapore’s Marina Bay area for day trips. This trend is likely to snowball.”
According to her, Johor is gaining favour as it is now home to new attractions such as Legoland and Hello Kitty Town theme parks. The southern-most Malaysian state, less than an hour’s drive from Singapore, offers three-star hotels at about RM250 (US$82.30) a night. Similar hotels in Singapore are priced at least S$200 per night, she noted.
John Hartono, president of US-based Tedjo Express Tours, urged Singapore hoteliers to “get real” as there were many other “wonderful attractions in Asia” and “tourists will not lose much even if they give Singapore a miss”.
Read more in the ATF Daily
