Hanoi’s revenue from hotel market falls in Q1

The revenue on each room of five-star hotel saw the strongest fall of 17% while the fall was 13% and 12% for four-star hotel and three-star hotels respectively, the local newspaper DiaOcOnline.vn reported.

According to the report, the average revenue in the hotel market in Q1 fell 13% compared to Q4 2010. In particularly, the revenue on each room of five-star hotel posted the strongest fall of 17% and then 13% at four-star hotel and 12% at three-star hotels.

The fall in revenue was attributed to the inflation and the depreciation of the dong as well as the fluctuation of the bank interest rate, causing impacts on the demand of the market during past time.

The room capacity as well as the rental price also saw a fall in all types of hotel. In comparison to the same period last year, the room capacity decreased 2% and the average rental price increased 1% in the whole market.

The average room capacity in the whole market was down 6% and the room price down 4% from the previous quarter. Four-star hotel reached the highest capacity with 64% and followed by five-star hotel at 58% and three star at 57%.

Currently, Hanoi has 11 five-star hotels, 10 four-star hotel, and 26 three-star hotels, providing more than 7,000 rooms to the market.

Hanoi’s Tu Liem district has the biggest volume of rooms with about 48% of the total supply and then Ba Dinh district with 14% market share and Dong Da district with 11% market share.

In the future, the market will have more supply when Hanoi carries out 43 hotel projects. – Vietbiz24

Tags: Vietnam hotels