It is up to 35% lower than pre-Covid-19 levels.

Hotels in Dubai raise average room rates from January 2021

• Tamani Marina has started to raise the average prices by 20-25% for future reservations.

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Officials in the hospitality sector revealed that a large part of the hotels operating in Dubai will start raising the average room rates as of January 2021, pointing out that the new prices will be the highest since the beginning of the new Corona virus (Covid-19), and they come in light of the expected levels of demand. And future reservations have.

They stated to Emirates Today that despite this, the new price increases vary from one facility to another, according to their operational conditions, and they remain, on average, 25-35% lower, compared to pre-Covid-19 levels. , Indicating that hotels received good reservations for the months of January and February 2021 from the local and international markets, especially the Gulf market.

To raise prices

In detail, the CEO of "Time Hotels Group", Muhammad Awadallah, said that "the group will start from the beginning of next January to raise the average daily price for hotel rooms", indicating that the new prices will be the highest since the beginning of the emerging "Corona" virus pandemic ( Covid-19), and in line with the expected levels of demand in the tourism sector.

Awadallah pointed out that the new prices will remain below the levels of the pre-pandemic period, stressing that the hotel sector achieved good occupancy levels during November and December 2020, in terms of the average return that was affected by the repercussions of the pandemic, similar to all international markets.

He explained that "the hotel sector in Dubai is characterized by flexibility to maintain price competitiveness, according to the levels of demand," adding that "Dubai is a prominent destination for internal and external tourism, and it has proven its ability to offer innovative products in line with the current conditions to maintain business continuity and generate returns."

Future reservations

For his part, General Manager of Tamani Marina Hotel, Walid Al-Awa, said, “The hotel has started to raise the average prices from now at a rate ranging between 20 and 25% for future reservations, while current indications are that most hotels will adjust their average prices as of the new year, as a result. Normal for higher demand ».

Al-Awa added that "hotels received good reservations for the coming months of January and February from the local and international markets, especially from the Gulf Cooperation Council countries," stressing that the improvement in prices will increase the revenues for hotels.

He said, "Despite this, prices are still 25% lower, compared to pre-(Covid-19) levels," indicating that the business visit is gradually increasing, which is a supportive indicator for the hotel sector.

Al-Awa stated that “some hotels are still seeking to raise occupancy rates, regardless of the price level under the current circumstances,” indicating that promotions for future reservations have in turn contributed to raising demand during the coming period, at a time when domestic tourism is expected to play a prominent role. In the coming period.

Price adjustment

In the same context, Medhat Barsoum, General Manager of the Capitol Dubai Hotel, said that “a large part of the hotels operating in the local market have resorted to adjusting the average daily price as of next January, while some have raised prices since mid-December, for future reservations. That will take place from 2021 ».

Barsoum stated that «the price adjustment was based on the rate of confirmed reservations for the coming months of domestic or international tourism, especially from some regional markets, such as the Arab Gulf states», indicating that the percentage of bookings on flights coming to Dubai also witnessed greater growth, compared to the months Past.

He explained that «prices are currently reduced by 25% for hotels located in distinctive areas, or beaches, compared to pre-pandemic levels and in this period in particular», pointing out that this percentage drops to more than 35% for hotels in the city.

He said, "The new prices take into account the margin of future demand."

Barsoum said that these increases come after the significant decline in average daily prices for hotel rooms following the "Covid-19" pandemic at the beginning of this year, and not in Dubai alone, but in all prominent tourist destinations around the world.

• Hotels received good reservations for the months of January and February 2021 from the local and international markets.

• The hotel sector in Dubai is characterized by flexibility to maintain competitive prices according to the levels of demand.

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