Hotel & Catering Review September 2014

HOTEL

& CATERING

REVIEW

News FREE WIFI SERVICES FOR HOTELS Key to the Door NEW LIFE FOR BREAFFY HOUSE RESORT Business Matters HOTEL SECTOR RECOVERY SET TO CONTINUE Conferencing HOW TO DO A ‘WOW’ SITE INSPECTION

SEPTEMBER 2014

HOTELANDCATERINGREVIEW.IE

RECORD GROWTH IN VISITOR NUMBERS WILL THEY STAY FOR THE LONG-HAUL?

I R E L A N D ’ S P R E M I E R M AG A Z I N E F O R T H E H O S P I TA L I T Y & C AT E R I N G I N D US T RY

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09/09/2014 17:22:45

CONTENTS 2

Editor’s View

3

News & Views

14

Key to the Door Openings, Closures, Refurbishments & Acquisitions

18 Supply Line Essential Product Knowledge

20

Cover Story

+10.3% Growth in Overseas Visitors A Springboard for Further Success Official CSO figures for the first half of 2014 confirm growth of +10.3% in overseas visitors to Ireland, an additional 324,400 visitors when compared with January to June 2013.

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Conferencing How To Do a ‘Wow’ Site Inspection

In this month’s article, Ciara Feely, Creator of The Conference Converter System, looks at how the ‘site inspection’ or ‘tour of the hotel’ is a fantastic sales opportunity for personnel within the hotel industry.

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35 Wine

J&C Kenny’s World of Wine Sensi, an Italian wine brand known globally for its dedication to quality and classic wine making techniques, is one of west of Ireland-based J&C Kenny’s most successful and longest serving wine agencies.

36 On the Move

New Appointments, Promotions and Recruitment

business matters Hotel Sector Recovery Set to Continue

The recently launched Crowe Horwath Annual Hotel Survey shows that recovery in the Irish hotel sector continues with all key performance indicators showing improvement in 2013.

Aiden Murphy reports.

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EDITOR’S VIEW

Editor Maev Martin Email: maeve.martin@ ashvillemediagroup.com Telephone: 01 432 2271

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The findings of a hotel price survey by hotels.com made the national news headlines last month. The statistics from the survey could be viewed as both good and bad news by the industry. The good news is that consumer spending is clearly on the up. The bad news is that a perception of uncompetitively high prices could hamper the industry’s efforts to maintain the growth that it has achieved over the past 18 months.

In addition, new research by hotels solutions provider HRS has revealed that Dublin’s average room rate has increased by 16% in the last two years. Compared to Q2 2012 when the average room rate was €88, figures revealed that Dublin’s room rate in the same quarter in 2014 had risen to €102 per night - an increase of €14. The rate increased in the same period in 2013 to 2014 by six per cent.

According to the hotels.com hotel price index, hotel prices in Ireland increased by 10% in the first half of 2014 to an average of €101 per night, indicating further positive signs of recovery in the market. The continued recovery of Irish hotel prices has been attributed to a number of factors, including increased visitor numbers, additional air routes and events-based tourism.

At €111, Killarney is the destination where visitors paid the most, while Limerick is Ireland’s most affordable destination at €74 per night on average. In addition, the Wild Atlantic Way has helped to promote towns and cities along the west coast of the country. Galway was up three per cent to €100, Sligo grew two per cent to €81 and Cork saw a six per cent rise to €91. Dublin hotel prices rose 15% in the first half of 2014 to an average of €107. The impact of the cancellation of the five Garth Brooks concerts in July is not yet reflected in the figures but it is estimated that the capital lost €50m in ticket refunds, empty hotel rooms and missed spending on food and drink by fans from home and abroad.

However, the Irish Hotels Federation has rejected the figures.

Its President Stephen McNally says that less than one out of every 10 room nights booked in Ireland is sold through hotels. com, with the vast majority being sold through other sources, including directly with the hotel, over the phone or through hotels’ own websites. Hotels.com does not typically capture other categories of booking such as the key tour, conference and event market segments. And the CSO figures support the IHF’s claim, as they reveal that Irish hotel prices are running at just under 3.5%. The IHF says that feedback from hotels and guesthouses in Dublin suggests that prices are running ‘slightly ahead’ of this in the capital.

While surveys of hotel prices provide important information for both the industry and the customer, it is also important that they reveal a complete picture of what is happening in the market. A snapshot of a particular segment is always useful but it should be clear that it is precisely that - a segment or a percentage of a much broader market. If anything, the recent survey findings in relation to hotel prices highlight how important it is for people to shop around and not rely on just one source when they are comparing hotel accommodation prices.

“ The good news is that consumer spending is clearly on the up. The bad news is that a perception of uncompetitively high prices could hamper the industry’s efforts to maintain the growth that it has achieved over the past 18 months.”

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www.facebook.com /hotelandcateringreview Editor: Maev Martin Editorial & Production Manager: Mary Connaughton Design: Alan McArthur Layout: Jane Matthews/Jennifer Reid Advertising Design: Colm McDermott COVER IMAGE: Thinkstock.com Stock Photography: Thinkstock.com Production: Nicole Ennis Sales Director: Paul Clemenson Managing Director: Diarmaid Lennon Published by: Ashville Media, Old Stone Building, Blackhall Green, Dublin 7. Tel: (01) 432 2200 ISSN: 0332-4400 All rights reserved. Every care has been taken to ensure that the information contained in this magazine is accurate. The publishers cannot, however, accept responsibility for errors or omissions. Reproduction by any means in whole or in part without the permission of the publisher is prohibited. © Ashville Media Group 2014. All discounts, promotions and competitions contained in this magazine are run independently of Hotel & Catering Review. The promoter/advertiser is responsible for honouring the prize.

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News & Views

NEWS & VIEWS

New Free

WiFi Services for Hotels

Ireland’s largest free WiFi network provider, MyPlace Connect, has rolled out a new service specifically designed to meet the WiFi requirements of the accommodation industry.

Launched in May 2014, this new service sees MyPlace Connect partner with hotels and other accommodation venues to become their free WiFi provider of choice.

MyPlace Connect’s new WiFi service for hotels and other accommodation venues is in addition to the hundreds of locations across Europe, the US and India where it is currently available, including restaurants, cafés and pubs and entertainment venues. As well as hotels and accommodation venues in the UK and France, the network provider has already partnered with a large number of hotels in Ireland. MyPlace Connect has also integrated the world’s largest travel site, TripAdvisor, into the logging on process.

TripAdvisor branded sites make up the largest travel community in the world, reaching nearly 260 million unique monthly visitors and more than 150 million reviews and opinions covering more than 1.4m hotels, B&B’s and vacation rental properties.

Founded in 2011, MyPlace Connect is already Ireland’s largest free WiFi network provider. Since this new service for hotels and other accommodation venues was launched, MyPlace Connect has seen a 15% growth rate per month in the number of new rooms which have been added to their network. Holiday Inn Killarney is one of the hotels availing of MyPlace Connect’s free WiFi service. “Guests now expect hotels to provide free and accessible WiFi as standard,” says Misja Herfurt from Holiday Inn Killarney. “The free WiFi service MyPlace Connect offers is a perfect match for Holiday Inn’s hotel guests. Our guests can use the seamless process provided by MyPlace Connect to connect to the internet, and there is no more handing out of passwords and logins. In addition, we are delighted that MyPlace Connect will be providing free WiFi to our customers in the Clifden Station House Hotel in Galway.”

Sodexo Wins Flagship Education Contract Sodexo has won the contract to provide catering, vending and hospitality for Campbell College in Belfast, one of Northern Ireland’s premier grammar schools. The contract was won following a competitive tender and is for three years. Anne Magill, Business Development Manager for Sodexo in Northern Ireland, said that Campbell College will act as a flagship account for the development of its education business in Northern Ireland. The contract, which was won in May 2014, was mobilised in September 2014 in time for the start of the new school year. Established in 1894 and located in a 100 acre wooded estate, Campbell College has over 1,000 pupils, a mix of day students and boarders, aged between four and 18 years, and is primarily a boys school with infant girls attending the on-site kindergarten. It has boarders from all over the world and is well-known for its rugby-playing prowess and famous past pupils, including C.S Lewis, author of The Chronicles of Narnia.

Pictured at the announcement of the new free WiFi service for hotels are Scott McCann, Hospitality Manager, MyPlace Connect; Misja Herfurt, General Manager, Holiday Inn Killarney; Peadar Gormley, CEO, MyPlace Connect.

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11/09/2014 10:03:43

News & Views Jim Murphy, CEO, PREM Group, in the lounge of a onebedroom suite at Premier Suites Dublin Ballsbridge.

Premier Suites to Open at Merrion Hall Premier Suites opened its newest collection of luxury serviced apartments at Merrion Hall, Ballsbridge, Dublin 4 on September 8th. The Victorian property has been refurbished to create 46 suites, with some also enjoying private entrances and terraces. Set amidst landscaped gardens, the 46 deluxe and superior deluxe suites include penthouse suites and loft style apartments, as well as one and two bedroomed apartments. All come with fully fitted kitchens complete with appliances from Siemens, Fisher and Paykel, as well as a Nespresso machine. Each suite also enjoys individual Wi-Fi bubbles and uncontended broadband together with HD IPTVs offering movies on demand and 100 international channels.

Facilities available to guests include a business centre, guest lounge, fitness centre and concierge service, along with housekeeping, laundry/dry cleaning and grocery delivery services. Part of Prem Group, Premier Suites Dublin Ballsbridge is the second location in central Dublin for the Premier Suites brand alongside Premier Suites Dublin Leeson Street. Prem Group now manages and operates 35 hotels and serviced apartments with more than 3,100 rooms and 1,500 employees.

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Shelbourne Tools Up for Mobile Revolution Hotel TV and hospitality technology company Acentic is currently installing its in-room technology, Panorama NG, into the 265 guest rooms at the The Shelbourne in Dublin.

Acentic Panorama turns hotel TVs into interactive media hubs supporting the BYOD (Bring Your Own Device) and BYOC (Bring Your Own Content) revolution as more guests carry and connect multiple devices. Using Acentic’s Push & Play application, guests can now view and stream movies, favourite music or video content from their own devices to their in-room TV. “As one of Dublin’s most distinguished hotels we pride ourselves on our service levels so it is vital to deliver the latest in hotel technology to keep our guests happy,” says Stephen Hanley, General Manager of The Shelbourne. “Installing Panorama with Push & Play means we are able to offer an exceptional product which allows guests to essentially bring a vital bit of home with them when they visit us. We chose Acentic because it delivers outstanding entertainment technology and wonderful guest choice all backed up by a trusted service and support infrastructure. This, coupled with a commercial package that also offers us incremental revenue generation opportunities, meant it was an easy decision to make.”

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11/09/2014 10:04:14

News & Views

Travel Blogger Undertakes

Challenge

of a Lifetime Hundreds of thousands of people in Scandinavia, and elsewhere around the world, are set to read all about the Wild Atlantic Way. Finnish travel blogger Satu VänskäWestgarth has been invited by Tourism Ireland to take on the ‘challenge of her lifetime’ – cycling the entire Wild Atlantic Way, or 2,500 kms along Ireland’s western seaboard, over the next five weeks. Satu set off from Malin Head in Co Donegal on September 5th.

She plans to cycle approximately 100 kms each day, five days a week, and then take the weekends off to rest. Her aim is to visit almost every corner of the West of Ireland. Satu will document her five-week journey, with daily updates, on her www.todestinationunknown. com/ride-wild-2014 travel-blog, as well as on the popular online magazine, www.skimbacolifestyle.com. Tourism Ireland has set up a dedicated page on its website, ireland.com, about

Satu’s adventure, which she has named ‘Ride Wild 2014’. Readers can also follow Satu’s journey on her social media profiles, as well as on Tourism Ireland’s Facebook page and Twitter stream (using hashtag #RideWild2014).

Finnish travel blogger Satu Vänskä-Westgarth (left) and her cycling companion AnneMarit Storødegård, at Lisfannon Beach, Buncrana, as Satu sets off on her challenge to cycle the entire length of the Wild Atlantic Way.

Munsteronians and Dubs Top Tippers

Munster and Dublin residents are the best tippers in Ireland and Connaught/Ulster residents the worst.

That’s according to research published

by Amárach Research in conjunction with AA Hospitality Services last month.

During Amárach’s poll of 1,000 people living in Ireland, participants were asked about their propensity to tip staff in restaurants, pubs, hairdressers, and beauticians, as well as taxi drivers and takeaway delivery people. Munster and Dublin residents were found to be the most generous tippers in two of the five categories while those in Connaught/Ulster

tipped the least in all but one.

In the two months leading up to the poll the average tip awarded to restaurant waiting staff, for example, was €5.97, the highest amount awarded to the service providers listed. This was followed by €4.14 to bar staff, €3.78 to hairdressers/ beauticians, €2.99 to takeaway delivery staff and €2.95 to taxi drivers.

While enjoying the best tips, more is expected from restaurant staff, Amárach’s research suggests. 43% of those who left a tip following a meal within the last two months said the amount was dictated by the quality of the service they received.

Certain age groups tend to be more generous than others with their tips.

The under 25s, for example, are the biggest tippers in the pub. €6.67 was the average tip given by the sample of participants within this age category in the two months prior to Amárach’s study. This figure far eclipses the amounts given by all of the other age categories and is almost 2.5 times more than the average tip given by the over 55s. However, while falling behind when it comes to a few pints in the local, the over 55s are anything but cheapskates when it comes to dining out where they were found to be the most generous tippers.

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News & Views

(right to left): Emma Neville from BooQi and Irene O’Callaghan, Sales & Marketing Manager, The Quality Hotel Clonakilty.

Cork Hotel opts for Hotel BooQis The Quality Hotel in Clonakilty, Co Cork, recently received its first order of Hotel BooQis. The result of over 12 month’s research into ways to increase RevPAR, BooQi Media Solutions’ HotelBooQi is a credit card size, all-in-one solution that offers an introduction to your hotel and facilities, a customised map of the area with points of interest, and an integrated room key-card holder. The Quality Hotel will give these to guests at check-in so they have all the information they need about the hotel, things to do and places to see in the local area, as well as a map of the town presented in a handy format that fits in the wallet.

BooQi Media Solutions (pronounced Bookie) is a marketing communications company specialising in compact media solutions. BooQis provide potentially complex information in a concise, accessible form which is designed to be carried on the person for frequent reference so they are ideal for guests in any hotel. BooQi have a collection of templates and designs and will create a bespoke BooQi for a hotel. BooQi is a Dutch company with regional offices throughout Europe. Clients in Ireland include Dublin Zoo, Barry’s Tea, Dublin Bus, UCC, TCD, Irish Distillers, and Blarney Castle. Corkman Philip Neville manages their Irish and UK business.

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President Visits Festival Interceltique President Michael D Higgins and his wife Sabina visited the Tourism Ireland pavilion at the recent Festival Interceltique, which took place over 10 days in the city of Lorient in Brittany.

President Higgins was the guest of honour at this year’s Festival Interceltique and its ‘Year of Ireland’. Now in its 44th year, the festival takes place in the heart of the city of Lorient every August. About 200 different events and shows feature traditional Celtic music, singing and dancing, with an audience of about 700,000 people coming together to celebrate Celtic music and culture. Tourism Ireland had a busy pavilion in the festival village, distributing information about holidays to Ireland and featuring Irish music, dance and food. The Mayor of Galway, Councillor Donal Lyons, also attended the festival. Galway has been twinned with Lorient since 1975.

President Michael D Higgins and his wife Sabina with Councillor Donal Lyons, Mayor of Galway, Finola O’Mahony, Tourism Ireland, Caitriona Butler, Irish Ferries, and Serge Fonseca, Tourism Ireland, at the Festival Interceltique.

English Market Serves up New Food Experience for Visitors Fáilte Ireland has joined forces with the stallholders from the English Market, as well as local pubs, restaurants and cafés, in a new pilot initiative to improve the visitor experience in Cork as well as encourage increased visitor spending throughout the city. Recognising that many visitors pass through the English Market, the tourism authority has developed ‘Cork’s English Market Food Experience’, which highlights where the produce sold in the market can be sampled and enjoyed locally. Pubs, restaurants and cafés from across the city are featured in a map which allows visitors to fully discover the tastes of the English Market. The premises will clearly highlight on their menus the letters ‘EM’ beside those dishes that have used produce from the market providers. The initiative ran for the month of August and, if successful, Fáilte Ireland will look to further build the food experience in the future.

hotel & catering review

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News & Views

Creating Business Links

with Canada

Five Irish tourism companies joined Tourism Ireland in Toronto last month for IncentiveWorks, Canada’s largest B2B show for the meetings, events and incentive travel industry, in a bid to grow the number of business travellers from Canada to the island of Ireland. The two-day event was attended by senior representatives of Canadian companies involved in organising international meetings and incentive events.

According to Tourism Ireland’s Head of North America, the significant (almost +70%) increase in airlines seats between Canada and Ireland this summer has presented a new and exciting opportunity to position the island of Ireland as a year-round destination for Canadian business and leisure travellers.

Helen Cole, Tourism Ireland, Séan Carney, Lough Eske Castle, Mary Heron, Aer Lingus, John Healy, Moloney & Kelly Travel, Lynda Reilly, Guinness Storehouse, and Gerry Browne, Killarney Hotels, at IncentiveWorks 2014 in Toronto.

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11/09/2014 11:39:00

News & Views

Creating Business Links

with Canada

Five Irish tourism companies joined Tourism Ireland in Toronto last month for IncentiveWorks, Canada’s largest B2B show for the meetings, events and incentive travel industry, in a bid to grow the number of business travellers from Canada to the island of Ireland. The two-day event was attended by senior representatives of Canadian companies involved in organising international meetings and incentive events.

According to Tourism Ireland’s Head of North America, the significant (almost +70%) increase in airlines seats between Canada and Ireland this summer has presented a new and exciting opportunity to position the island of Ireland as a year-round destination for Canadian business and leisure travellers.

Helen Cole, Tourism Ireland, Séan Carney, Lough Eske Castle, Mary Heron, Aer Lingus, John Healy, Moloney & Kelly Travel, Lynda Reilly, Guinness Storehouse, and Gerry Browne, Killarney Hotels, at IncentiveWorks 2014 in Toronto.

T E C H O T E L

booking, CRM & RestauRant systeM

Get Picasso ‘Property Management System’, ‘Picasso Online Booking Engine’ and ‘YP Intelligence Channel Manager’, which includes the integration of over 600 Online Travel Agencies.

Now it’s even easier

- To increase your profitability with Picasso

Picasso is the most user friendly Booking, Restaurant and CRM System on the market.

• Picasso is easy to work with.

• 24/7 hour support.

• Picasso is continuously developed

by Techotel with new and original features being released all the time.

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H&C_September 2014_News_v2.indd 7

• With the best online booking engine in the industry inc. Google Analytics, customer login and campaign codes, etc.

• 2-way integration with Booking.com, Hotels.com, Hostelworld, BookAssist and Avvio, along with over 600 other channels, through YP Intelligence.

For further information call or email us TODAY for a brochure

Tel. +353 (0)96 22907

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15/8/14 15:02:50

11/09/2014 11:31:00

News & Views

Three Gold Medal Nominations

for River Lee Hotel

The River Lee Hotel is proud to announce its nomination for three Hotel & Catering Review Gold Medal Awards.

The River Lee Hotel was nominated as a finalist in the ‘Casual Dining’, ‘Eco-Friendly Hotel of the Year’ and ‘City Hotel of the Year’ categories, the latter of which is open to a public vote. Ruairi O’Connor, General Manager of The River Lee Hotel, says that being nominated for three of these nationwide awards is a great honour. “We continue to invest heavily in our product and we will spend over €2m this year enhancing the hotel and upgrading vital services such as WiFi, IT equipment and our bar and terrace areas,” he says. “However, it is our highly-trained and friendly staff who are our greatest asset. The nomination in the casual dining category recognises our commitment to providing the best and most locally sourced ingredients, prepared by our hugely talented chef Shane

The River Lee Hotel.

O’Sullivan, and served by our friendly and highly-trained staff. Our nomination in the ecofriendly award category recognises our passion for bringing environmental participation and responsibility into everyday life at our business, while our nomination in the City Hotel of the Year category is hugely significant and important to us as a hotel which has grown with time and with our customers’ needs over its 60-year history.”

Help Raise Funds for Console at Gold Medal Awards Hotel & Catering Review, in association with our charity sponsor, Noel Recruitment, are delighted to announce that we will host our first charity event at the Gold Medal Awards on Monday, September 22nd. Ciaran Austin, Director of Services from Console, will be our guest at the Gold Medal Awards and we are urging everyone attending to please support and donate cash generously on the night.

All funds raised from this event are vital to the organisation and will go directly to Console to fund the following services

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nationwide: 24 hour free phone suicide helpline – 1800 247 247; individual and family counselling service for those bereaved through suicide as well as those who are suicidal; counselling service for children and young people (child psychotherapy); therapeutic support groups; suicide prevention and intervention programmes; education and awareness programmes.

Sponsored pens and envelopes will be handed out during the dinner and we would ask that you print your name in capital letters on the outside of the

envelope before putting your cash donation inside and seal the envelope which will then be collected from each table.

All envelopes will be put into a drum and three lucky winners will be randomly picked out and announced. For your generous support on the night, three great prizes will be on offer, courtesy of Noel Recruitment.

First prize is two tickets to see Lady Gaga, 2nd Prize is two tickets to see Paolo Nutini and 3rd Prize is two tickets to see John Bishop. All prizes are Audi Club tickets to the O2 Venue in Dublin and include

superior Audi Club access, luxurious club bars, reserved table pre-show, interval and post-show, private entrance, and private paid car parking with a dedicated club team.

For advertising or sponsorship opportunities contact Hilary O’Shaughnessy at 432 2231 or email: hilaryoshaughnessy@ ashvillemediagroup.com

Hotel

& Catering

REviEW GOLD MEDAL

AWARDS

2014

hotel & catering review

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11/09/2014 10:09:17

News & Views

Fáilte Ireland Offers Insight into

Visitor Experiences Fáilte Ireland recently published a comprehensive set of reports capturing holidaymakers’ views of Ireland and its regional destinations – the Fáilte Ireland Holidaymaker Study 2013. Analysing the views of nearly 10,000 overseas and domestic holidaymakers who visited 11 holiday areas across the country between May and October 2013, the reports provide insights into what visitors experienced and thought about Irish tourism’s key regions. Visitors explained why they chose a certain destination and how they researched their trip and sourced their information, as well as where they stayed, where they chose to eat and what attractions they visited. Insights provided include:

analysing

1

thousand overseas and domestic

holidaymakers

visiting 11 holiday areas

across ireland

the Fáilte ireland holidaymaker study 2013 Regarding the overall visitor experience of each area, all regions scored above four out of five across a range of factors, including friendliness of locals, landscapes and the availability of things to see and do.

While all regions scored highly for friendliness, ‘Dublin’s doorstep’ (the counties just outside Dublin) shaded it as the friendliest region in Ireland with an average score of 4.93 out of five.

While all regions scored impressively for value for money, when asked where they found exceptional value for money (‘very good value’) when eating out, West Cork (45%) and Clare (42%) scored highly.

Caeman Wall, Fáilte Ireland’s Head of Research stresses the importance of research like this in terms of the future development of Ireland’s tourism sector. “If we want to continue to attract more overseas visitors to Ireland, tourism needs to be ‘visitorcentric’ and based around what they think, what they like and what they want,” he says. “Tourism is having a good year and

is enjoying impressive growth but we can’t become complacent.

If we are to ensure that the current growth rates are sustainable, we need to be providing the right type of holiday experiences, particularly for our overseas markets. In that respect, research like this is a valuable help to all of us in the sector as we continue to develop and improve Ireland’s tourism offering.”

Destroy unwanteD oDour beSt IN the maRKet – moNey baCK gUaRaNtee

While specific attractions were mentioned as particularly memorable moments for visitors to most regions, the overall scenery was the key standout feature of the North West, South East and the Dingle Peninsula.

Scenery was cited as the top draw to visit most regions with the exceptions of Dublin and the Shannon corridor where history and culture were mentioned as the leading reasons for visiting.

Hotels were the leading source of accommodation in all regions with B&Bs putting in strong performances in the Dingle peninsula, the Ring of Kerry, Clare, Galway, Mayo and West Cork.

Hotels, restaurants and pubs were the main venues for eating out - cafés were particularly popular among holidaymakers in Kerry.

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11/09/2014 11:34:03

11/09/2014 11:38:08

News & Views

Spirit Safe Installed at

Tullamore Distillery The long-awaited return of whiskey production to Tullamore is imminent with the recent installation of the custom-made Tullamore Distillery Spirit Safe. The first spirit flowed from the new €35m distillery in mid-September, exactly 60 years after the closure of the original distillery. The annual production of the new distillery will be 1.84Mla of triple distilled pot still and malt whiskeys - the equivalent of about 1.5m cases. As part of the distillation process, the Master Distiller applies their skill and specialist knowledge through the spirit safe to identify the middle cut, or ‘heart’ of the spirit before filling it into casks for maturation. It allows the spirit to be fully analysed by the distiller without compromising the integrity of the distilling process. Only the finest ‘cut’ of the spirit is used, with the first and the last cut, referred to as the ‘top and tail’, retained and added to the next distillation. Tullamore Distillery’s Spirit Safe, which was made by the famous Forsyth Group from the town of Rothes in Moray, Scotland, completed the 775km journey to Tullamore under the care of two of Forsyth’s specialist engineers who expertly installed it at the heart of the still house.

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Inspecting the newly-installed Tullamore Distillery Spirit Safe are Ewen Cameron, Head of Engineering and Denise Devenny, Tullamore Distillery Process Leader. .

Nestlé to Source 100% Sustainable Cocoa in Ireland Nestlé Ireland announced on August 1st that it is on target to achieve 100% cocoa from sustainable sources by the end of 2015, becoming the first major confectionery company in Ireland to achieve this milestone. By working with UTZ Certified and Fairtrade Foundation, over 60% of cocoa purchased by Nestlé already comes from certified farms working with the Nestlé Cocoa Plan. This year alone, certified cocoa will be sourced for famous brands such as Quality Street, Toffee Crisp, Munchies Blue Riband, and Breakaway.

In 2013, Nestlé UK and Ireland bought certified cocoa for Smarties, Yorkie and Aero. Kit Kat 4 and 2 Finger became certified in 2010 and 2012 respectively.

UTZ Certified and The Fairtrade Foundation are both partners of the Nestlé Cocoa Plan.

Corporate Windfall for Dublin & Kerry Fáilte Ireland recently announced that their new fund, which is designed to attract more corporate meetings to Ireland, has secured its first major win. A major US insurance company has chosen Ireland as the location for its 2015 sales force meeting. With over 2,000 delegates staying for seven nights, the event will bring a boost of over €9m to the Irish economy.

The final host city competition was between Dublin, London and Edinburgh with two cities out of the three to be selected. However, destination management company, Odyssey International, working together with Fáilte Ireland, added Killarney as a wildcard entry and struck gold when the decision was made to bring the event to Dublin and Killarney. Fáilte Ireland’s Corporate Meeting Supports encourages multinationals based both in Ireland and abroad to bring their next corporate meeting to Ireland.

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09/09/2014 17:23:36

News & Views

Ireland Gets

the ‘Oz’

Factor

Australian travel agents at the viewing point on Slieve League, Co Donegal, with tour guide Josephine O’Keeffe (second left); Christian Hunter, CEO of Travellers Choice (third left); and Máire Áine Gardiner, Fáilte Ireland (fourth left).

A group of nine top Australian travel agents visited Ireland recently as guests of Tourism Ireland and Travellers Choice, a leading travel company which represents independent travel agents across Australia. The group included the CEO of Travellers Choice. The travel agents’ itinerary saw them enjoy an afternoon at the Dublin Horse Show and take

Tiger Beer Explores Exciting

New Territory

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in attractions like the Book of Kells and the Guinness Storehouse. They also had the opportunity to visit Donegal, including the Sliabh League Cliffs, Sligo, Westport, Connemara and Galway. Given that travel agents and tour operators continue to be an important booking channel for Australian holidaymakers, a key element of Tourism Ireland’s strategy is to work

Beginning on September 5th and running until September 20th, Dublin will transform into a stage for the best contemporary theatre, music and dance shows featuring in the Tiger Dublin Fringe Festival. The Festival will attract over 50,000 people to the city, all of them eager to explore new places, new acts and new experiences. As the proud, new title sponsor, Tiger Beer will inspire that exploration like never before, creating collaborations between artists, bringing pop-up theatre into the on-trade, and stimulating footfall with exciting events and partnerships. Everywhere they wander,

with the travel trade – both online and offline – in Australia, highlighting the island of Ireland as a ‘must-visit’ destination to those influential travel professionals. The most recent figures from the CSO show strong growth of +8% in visitor numbers from Australia and New Zealand for the first six months of 2014.

every corner they turn, every Tigerpromoted venue they are drawn towards will open their eyes again to the wonder of the city and the magnetism of its bars.

The city will be the canvas; the faces of the festival will be projected live onto screens installed in key digital outdoor sites near Tiger Fringe Festival venues and bars.

Street artists will collaborate to bring the Tiger to life in many guises, in a multitude of art forms, encouraging a citywide voyage of discovery to seek out the emerging creativity. And in bars, Tiger will generate innovative experiences to invigorate the night and keep the exploration alive.

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News & Views

Food Service

Cooks Up a Storm for Catex 2015

Almost 60% of stand space is already booked for Catex 2015, according to organisers, The Irish Foodservice Suppliers Alliance (IFSA). Celebrating its 50th anniversary, Catex 2015 will take place at the RDS, Dublin on February 17th to 19th, 2015. Sponsored once again by Bunzl and Calor, it is anticipated that more than 10,000 people will visit the RDS for the 15,000 square metre jubilee show. The industry’s leading suppliers, operators and stakeholders will gather to promote products, exchange ideas, compete in chef, barista and cocktail championships, identify emerging and future trends, and inspire service excellence. Some of the biggest names in the business have claimed their space well in advance of the show next February. These companies include A Taste of Italy, Aryzta Food Solutions, Automatic Amusements, Bailey Hygiene Solutions,BD Foods, Bewleys Coffee & Tea Ltd, Bord Gáis Networks, Brady Catering, Brakes, Bunzl McLaughlin,Business Support Systems, Calor Gas, Captiva Software Ltd, Carbon Removal Systems, Cashguard Ireland, CBE, Churchill, Coffee Perfection, Combico.ie, Coppinger Corporate Uniforms, Corcoran Food Equipment, Delvo Catering Equipment, Derry’s Ltd, Devlins Retail Systems, Easiyo Foodservice, Enviroclad Systems, Food Saftey Authority of Ireland, Forbo Flooring Ltd, Fridge Rentals, GH Enterprises, GLANA, Henderson, Higgins & Company Ltd, Hugh Jordan, Hygiene Management Systems, IFSA, International Glassware & Pottery Ltd, Kendemar Distributors Ltd, Kiernan’s Food Ingredients Ltd, Lyerco, Mainly Menus, Marco Beverage Systems, Matthew Algie, Michael Flannery Catering Supplies Ltd, Milano, Millimetre Designs, Money Point, Murphy Bakery, Catering & Laundry Equipment, National Hygiene Partnership, Nestlé Professional, Nisbets, Noel Recruitment, North South Retail, OBS, Over & Above, O’Hagan Design, Orkin Pest Control, Pallas Foods, Prestige Foods, Rational, RDI Systems Ltd, Redmond Fine Foods Ltd, Rosie & Jim Gourmet Foods, Rubbermaid Commercial Products, Servequip Kitchen Systems, Steelite International PLC, Stephens Catering, Tekspek, Tillwatch, Total Produce, Velox Ltd, Wallbridge Ltd, Weighing Machine Services, Wild Irish Game, and Wireless Solutions.

“The food service Industry in Ireland was one of the biggest casualties of the recession, culminating in the devastating closure of far too many businesses,” says Sean Martin, Chairperson of IFSA. “However, the luckier enterprises managed to not only claw their way out of troubled times, they have emerged more industrious, innovative and forwardthinking than ever resulting in an industry that is putting Ireland back on the map in terms of food service excellence around the world. The fact that this year of positive growth for the sector is coinciding with Catex’ 50th anniversary is simply the icing on the cake.”

Catex 2015 is set to be a three-day action packed celebration of one of the most successful and resilient industries in Ireland

(l to r): Larry Smith of Calor Gas with IFSA Chairman Sean Martin of Bunzl Ireland.

today and visitors will not be disappointed with the range of features, including The Chefs’ Choice Food Village, 2015 National Barista Championships, 2015 National Cocktail Championships, The RAI Live Dining Experience, The Hospitality Heroes Stage and The Euro-toques Live Stage, in addition to the 200+ exhibitors showcasing the latest innovations in food service today.

Guests Favour Bran Flakes Over Fry-Up Irish hotel guests are watching their waistlines and shunning the traditional fry-up in favour of a healthier continental breakfast. That’s according to new figures released by Jurys Inn. The hotel group, which has 29 hotels across Ireland and the UK, analysed the breakfast habits of the one million people that they have dished up breakfast to so far this year. The figures show that while we may think we have a love affair with the traditional fry-up, the hotel group’s British guests are in fact tucking in to almost twice as many sausages, rashers and eggs as us! Meanwhile, we’re eating five times more muesli and bran flakes and topping this off with 25,000 pots of probiotic yoghurt and 15,000 pieces of fruit. The health conscious Irish are also steering clear of white bread, eating just 3,640 slices per week compared to over 5,800 slices of hearty brown bread. Meanwhile, we are also chomping down on 3,500 bananas, with the humble yellow snack taking the top spot as Ireland’s most loved fruit. One million cups of tea were consumed across the hotel group in the first six months of this year alone. Orange juice remains a morning staple, with the Jurys Inn’s Irish hotels pouring an average of 110 litres per week.

When it comes to the full Irish breakfast, in the first six months of this year alone the Irish have eaten 198,000 sausages, 318,000 rashers, 97,000 hash browns and 199,000 eggs!

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11/09/2014 10:12:18

Key to the Door

key to the

door Openings, Closures, Refurbs and Acquisitions

DoubleTree by Hilton Opens 10th London Location DoubleTree by Hilton celebrated the opening of the brand’s 10th hotel in London on August 28th. DoubleTree

by Hilton London - Islington marks the brand’s 10,000th room in Europe, joins Hilton Worldwide’s fastest growing full service brand after a multimillion pound refurbishment, and, alongside the recently opened DoubleTree by Hilton London - Chelsea, operates under a franchise agreement with Jurys Inn. Islington features 229 guestrooms and from October 1st this will increase to 372 bedrooms as the hotel will add a further 143 rooms, including 66

deluxe rooms and 43 executive rooms following a substantial extension. The refurbished ground floor, created by leading international design studio designsquared, includes a contemporary lobby and lounge area incorporating local design features.

According to a spokesperson for the property, the existing management and all staff are being retained. The property can accommodate up to 50 guests in the existing 16 en-suite bedrooms consisting of four luxury suites and 12 standard bedrooms.

UK Investor Acquires Middleton Park Middleton Park House in Castletown Geoghan, Co Westmeath, has been acquired by a UK-based private equity firm. The property - which was brought to market by Savills in late June - attracted a high number of enquiries. The new owners intend to invest in the premises over the coming years to further enhance its facilities.

Kennedy Wilson Acquires Shelbourne Hotel The Shelbourne Hotel has been acquired by US property investment group Kennedy Wilson for an estimated €110m. The acquisition was effected via a pre-pack receivership last month, with Ernst & Young restructuring partner Luke Charleton

Building Begins on Boutique Hotel A new four-star city hotel has begun development in Dublin with plans to open for business next year. The project is owned by Plaza on the Square, where Floridabased businessman Brian Clingen along with Richard Clingen and Dubliner Conor O’Donnell are directors. A site notice states the intention to apply for permission to develop 16-18 Pembroke Street as a 108-bedroom hotel, scaling down from the original 130-bedroom plan. Preliminary work has started at the site just off Fitzwilliam Square in Dublin 2. The five storey 25,000 square foot former Commissioner of Irish Lights building was acquired for in the region of €3.5m by Brian Clingen and associates last year and a further €13m is believed to be earmarked to develop the project. A room rate of €130 a night is envisaged and around 100 staff will be employed when the hotel is up and running. The group is understood to be seeking further acquisitions.

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appointed to handle the process. Ownership of the asset has switched from Jerry O’Reilly and John Sweeney, the remaining owners from a consortium that acquired the hotel in 2004. Other members of the consortium included Bernard McNamara, who was recently declared bankrupt in Britain. The receivership has no impact on the operation of the hotel, with all sums owed to staff, trade creditors and the Revenue Commissioners to be paid in full by the new owners.

The property will continue to be managed by Marriott International.

Hotel Sales to Hit €1bn by Year End The Irish hotel sector is predicted to account for property sales of €1bn by the end of this year as NAMA and lenders such as Ulster Bank continue to dispose of

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Key to the Door

assets in the capital. Ulster Bank alone has an entire portfolio of about 40 hotels, including 10 hotels it is preparing to off-load this autumn. A recent report on the hotel sector compiled by commercial agents Jones Lang LaSalle also forecast that an additional 600 to 1,000 guest rooms would come on stream in the next three years to meet an undersupply of accommodation in the capital. A growing number of international hotel groups are looking to enter the Irish market, including the Malmaison Group, and larger hotel chains, such as the Hyatt.

Lalco To Operate The Westin Dublin Lalco Hotel Group, in partnership with John Malone of Liberty Global,

has signed an agreement to acquire the five-star hotel, The Westin Dublin. The acquisition was expected to close at end of August 2014. The hotel will be operated by Lalco under a franchise agreement with Westin Hotels & Resorts.

The Westin Dublin is the third hotel in the capital to be acquired by John Malone and his Irish partners Lalco, operated by John Lally and Paul Higgins. The others include Trinity City Hotel, Pearse Street and Hilton Hotel, Charlemont Place.

As part of the purchase deal, the current lease on the property, which belongs to Starwood Hotels & Resorts (owners of the Westin brand), will terminate and the hotel will move into a franchise agreement between Lalco Hotel Group and Starwood Hotels & Resorts.

(l-r): Peter Stack, Regional Operations Manager, Jurys Inn, Max Alberto Santillan, Head Chef, and Thomas Doyle, General Manager.

New Life for Breaffy House Resort Breaffy House Resort, Castlebar, Co Mayo has been sold for €3m to Irish hotel management company, Great National Asset Management. The sale was handled by Savills Hotels & Leisure on behalf of the Receiver Michael McAteer of Grant Thornton. Great National Asset Management is an asset manager in the hotel and resort space, operating properties on behalf of major banks and receivers, including AIB and Grant Thornton. The company is planning to spend upwards of €40m on five Irish hotels and intends to run Breaffy and its other acquisitions under the Great National Hotels brand.

The firm’s directors are hotel operations specialist James Sullivan, David O’Connor, who ran developer Sean Dunne’s former D4 hotels business, former Lynch Hotel Group director David Byrne, and David Collins, who set up the Carlton brand in Ireland. Breaffy House Resort comprises two three star hotels - Breaffy House and Breaffy Woods Hotel. Breaffy House Hotel provides 106 bedrooms while Breaffy Woods Hotel has 128 bedrooms.

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11/09/2014 10:13:50

Commercial Profile

VAT Reduction Measure

Helps Create 30,000 Jobs Fáilte Ireland have this month published an analysis which illustrates that the reduced rate of VAT for the hospitality sector, introduced by the Government in 2011, has contributed to an increase of 30,000 jobs, among other benefits.

The research, An Analysis of the Impact of the VAT Reduction on Irish Tourism & Tourism Development, was designed and commissioned by Fáilte Ireland and then conducted by Deloitte.

The report found that the VAT reduction had triggered a number of very positive developments for the tourism sector including: • Employment in the targeted sectors increased by approximately 30,000 with direct tourism employment up by more than 20,000; • Price pass through of the rate reduction to consumers is evident across nearly every category; • Renewed and sustained growth in overseas tourism numbers and earnings; • Increased activity levels apparent across the industry; and • Improved value for money perception across all visitors.

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The jobs created by the measure equate to a benefit to the Exchequer of circa €165m between additional income tax and social welfare savings and these employment gains follow very significant decreases prior to the commencement of the reduction.

Fáilte Ireland estimates that the Exchequer’s tax take on the growth in spending by overseas visitors in 2013 was worth more than €100m.

Additionally, the tax foregone through the implementation of the rate reduction is below initial estimates. For the first 12 months of the measure, there was a net reduction in VAT receipts for the nine per cent categories of €100m. The report also shows that there has been a stabilisation of VAT receipts since September 2012.

“This research underscores the point that this tourism initiative not only worked but brought quite clear

results,” says Fáilte Ireland’s CEO, Shaun Quinn. “Given the ability of tourism to generate revenue and jobs for regions away from the major technological and industrial hubs, the significance of this initiative is doubly important.”

The VAT reduction was part of a suite of measures to support tourism which were introduced in the Government’s Jobs Initiative (2011).

Then, a new, temporarily reduced rate of VAT (nine per cent) was introduced for tourism-related goods and services. The Minister for Finance introduced the VAT rate reduction in July 2011 to boost tourism and stimulate employment in the sector.

A full copy of the report can be viewed on: www.failteireland.ie/research-insights

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Commercial Profile

Fáilte Ireland Announces

(L-R): Javier Iglesias Meijome, Google and Michael Brady, Fáilte Ireland

Google Month

Fáilte Ireland and Google have teamed up to present Google Month - Google for Irish Tourism. The initiative is the latest effort by Fáilte Ireland to show Irish tourism businesses the power and advantages of being online. Google Month is a schedule of online events (or Hangouts) presented from Google HQ in Dublin on the range of digital supports available to Irish tourism businesses. The Hangouts, which will be broadcast

live on the Fáilte Ireland YouTube Channel, are free of charge and are aimed specifically at tourism businesses that may be new players in the digital arena or in the early stages of developing a digital strategy. If you are interested in participating in Google Month please visit www. failteireland.ie/Market-YourBusiness-Online/Google-forIrish-Tourism.aspx or contact Michael Brady at michael.brady@ failteireland.ie

Introductory Session

Introduction

A synopsis of the expected content & benefits of each Hangout

Monday 22nd Sept

10.00am –11.00am

Hangout 1

Google Search

Optimize your online web presence

Monday 29th Sept

10.00am-11.00am

Hangout 2

Google Adwords

Search Advertising

Monday 6th October

10.00am-11.00am

Hangout 3

Google Analytics

Understanding Traffic and Monetization

Monday 13th October

10.00am-11.00am

Hangout 4

YouTube

Getting your business on YouTube

Monday 20th October

10.00am-11.00am

Culture Vultures for Dublin Festival Season During September and October Fáilte Ireland will continue to promote a world-class series of culture, arts, theatre and music events taking place in Dublin as part of the Dublin Festival Season.

Introduced in 2011, the Dublin Festival Season was developed to drive increased domestic and overseas tourism by bringing together what previously had been a fragmented collection of events which were difficult to exploit for tourism. “We believe we can build both domestic and international awareness of the Dublin Festival Season as an iconic ‘must see’ event to potential visitors,” says Orla Carroll, Fáilte Ireland’s Head of Dublin.

Dublin Theatre Festival September 25th – October 12th Performances will take place in venues and locations across the city incorporating theatre, music, dance and family events, as well as artist talks, public discussions, classic drama and artist development programmes.

Open House Dublin October 17th to 19th Buildings of all types and periods will open up their doors for free to allow citizens and visitors to explore the architecture of their city, with special tours by hundreds of professionals and enthusiasts.

Bram Stoker Festival October 24th to 27th Dublin City will celebrate all things ghoulish for the Bram Stoker Festival, with the legacy of Dublin horror novelist Bram Stoker and his gothic novel Dracula providing the inspiration.

For more information visit

www.visitdublin.com/dublinfestivalseason

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11/09/2014 11:06:20

SUPPLY LINE

SUPPLY LINE Essential product knowledge hoshizaki

Great Balls of Ice When bartenders need something to give their drinks an extra special edge, ice machine manufacturer Hoshizaki has a highly original solution - ice balls. The Hoshizaki IM-65NE-Q is a 26kg per day capacity machine with 17kgs of storage. It produces balls of ice rather than cubes and is the only machine of its type in the world. As is common to all Hoshizaki IM ice machines, the IM-65NE-Q utilises a closed cell ice making system that has an automatic rinse and flush cycle. This means that, after every new batch of ice, the water reservoir will drain, rinse and then refill with fresh water. Each ball is made individually by a dedicated jet spray and the storage bin has high density foaminjected insulation to slow down the ice melting. A gasket on the insulated door ensures the tightest possible fit to prevent particles entering the storage bin that could contaminate the ice. For further information visit www.hoshizaki.com

AK Techotel

Smart TV system for Hotels Why change your hotel TV systems when you can simply install SmartUp TV and provide your guests with the very latest Smart TV features and apps, as well as information about your hotel and the services you provide? AK Techotel’s SmartUpTV transforms HD ready hotel TVs into affordable, modern smart TVs. It’s a complete standalone solution that includes the SmartUpTV Box, a unique Hotel Gyro Remote Control, and access to the MySmartUp Portal, giving you complete control over look, feel and functionality. SmartUpTV requires no on-site servers, just a wired or wireless broadband internet connection. It uses a small unobtrusive SmartUp box that works with just about any hotel mode TV - and when you want to upgrade to a slimmer, more eco-friendly TV, you just move the SmartUpTV box to the new set and your guest experience is still as great as it was before.

There are no unwanted menus and feature changes and no missing apps because manufacturer’s licenses have expired – you remain in complete control. AK Techotel are now the main agents in Ireland for SmartUP TV so, along with supplying your PMS, your bar and restaurant system, your online booking engine and your channel manager system, they can also provide your TV system as well. For more information or an informal demonstration of SmartUP TV, call AK Techotel on 00 353 96 22907.

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Cream Supplies

Compostable Disposables Cream Supplies recently introduced a range of disposable items that are compostable.

The disposable items can be recycled together with food waste, breaking down within 12 weeks. Items from Cream Supplies include clear beer and wine glasses, flat and domed lids, holders, stirrers, carry-trays, straws, napkins, kitchen rolls, J-cloths, large waste bags and sugar sticks. Most items can be bought in packs of 30 to 50 each. These disposables are ideal for desserts and drinks for temperatures of up to 40C, and are available in a range of sizes, including full pint and half pint. The range is available from Cream Supplies’ online shop www.creamsupplies.co.uk for next day delivery.

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SUPPLY LINE

Picasso

property & Channel Management System Hotel Property Management Systems (PMS) company AK Techotel offers a comprehensive hotel system in Picasso, a fully integrated bar and restaurant system in Appetite, and their own online booking engine in Picasso Online.

The next logical step for the company was to provide a Channel Management System that allows two-way communication to occur between your third party online travel agencies and your front desk system. With this in mind, AK Techotel recently released their interface with YP Intelligence Channel Manager, allowing two-way communication between the Picasso PMS and over 600 OTAs. Not only can they now offer commissionfree online reservations from the hotel’s own website, they can also feed reservations made from third party OTAs directly into Picasso. These include hotel.com, booking. com, and Expedia, to name but a few. Since its launch, Techotel Picasso has been installed in over 700 hotels and businesses. For more information on any of AK Techotel’s products and services, contact 096 22907 or email info@techotel.ie

TECHOTEL

RDI

Portable Room Steriliser Unwanted odour in a bedroom can be a problem for a hotel accommodation manager but RDI Systems has the answer the RDI Room Steriliser. This portable compact unit is simply plugged in and placed in the room for an hour or more. The RDI Steriliser uses a number of technologies to actually eliminate the micro-organisms that cause the odour. The air is treated with UV and four other technologies, including ‘Quatro Plasma’, that seek out and destroy bacteria in the air, on surfaces and in fabrics. RDI Systems also supply smaller fixed air sterilisers for toilets, stores, and function rooms.

Prices range from €200 to €650 (plus VAT). For further information, call RDI Systems on 1850 400 003 or email info@rdisystems.ie diversey

Eliminating Coffee Machine Residue Used regularly, Diversey Care's Suma Café products prevent and remove the residues in coffee machines that not only impair the taste and quality of fresh coffee but also impact on machine performance and reliability. The range includes cleaning products for all common types of coffee machine, including traditional and automatic espresso, drip filter or vacuum flask, fresh-brew or bean-to-cup vending machines. Products are supplied as tablets or liquids in colour-coded packaging to ensure the right amount is always used with no wastage. Small pack sizes ensure the products are easy to handle, take up minimal space and can be kept close to hand in busy businesses where storage is often extremely limited. The complete Suma Café range has been certified by NSF, the internationally-recognised public health and safety organisation, to meet stringent health and safety standards. Products also carry Halal & Kosher certifications. For further details, visit www.diversey.com

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Cover story

+10.3% Growth in Overseas Visitors A Springboard for Further Success Official CSO figures for the first half of 2014 confirm growth of +10.3% in overseas visitors to Ireland, an additional 324,400 visitors when compared with January to June 2013.

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A

t the launch of Tourism Ireland’s mid-year review of overseas tourism on August 14th, Minister for Transport, Tourism and Sport, Paschal Donohoe, and Tourism Ireland CEO, Niall Gibbons, confirmed that this growth has come from all four market areas around the world (Britain, North America, Mainland Europe and other areas). They outlined what has contributed to this success and, more importantly, what will sustain and build on the growth to year end and into 2015.

“I am particularly pleased to see visitor numbers from Great Britain increasing by +13.6% for the first half of this year,” said Niall Gibbons.

“2014 is also set to be another record year for tourism from North America, with growth of +10.6% recorded for the first six months of this year. And it is very encouraging to see growth

from other important tourism markets, including Germany (+18%), Spain (+22%), Italy (+4%) and our long-haul markets (+13.6%). This reflects the sentiment expressed by our industry partners, including carriers and tour operators overseas, as well as tourism enterprises here at home.”

A comparison of overseas visitor numbers for the first half of 2014, against the same period in 2008 (the previous record year for overseas tourism to the island of Ireland) shows that North America, Mainland Europe and Australia and developing markets have all exceeded the 2008 six-month record by the end of June 2014 (North America +23%; Mainland Europe +1%; and Australia and Developing Markets (ADM) ( +35%).

While Britain still lags the 2008 record performance level, this market is now recovering steadily, with +13.6% growth

recorded in the first six months of 2014, on top of a +6% increase in 2013. A comparison against the first half of 2010 shows very significant increases from all market areas (including Britain +20%; North America +43%; Mainland Europe +40%; and ADM +57%).

This progress augurs well for the future growth of overseas tourism to Ireland.

What Has Contributed to Ireland’s Success?

Tourism Ireland’s global advertising campaign will reach an estimated audience of some 200 million prospective visitors worldwide this year. In addition, Tourism Ireland has a strong online and social media presence. The organisation is now the fourth most popular tourism board in the world on Facebook, with more than 2.25 million fans, the number two tourism board on Twitter, and the number two tourism

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cover story

key role in helping to increase overseas visitor numbers. Each year, Tourism Ireland invites influential travel and lifestyle journalists from around the world to visit the island of Ireland, helping to generate positive publicity about Ireland in the international media, which is about €260m in equivalent advertising value (EAV).

board on YouTube. Also, the introduction of a number of important new routes from our main markets to Ireland this year has been a significant contributing factor to the growth. As an island, direct, convenient and competitive access services are critical to achieving growth in inbound tourism. And positive measures introduced by the Government, including the VAT on tourism services, the air travel tax and visas, have helped the tourism industry to address the issue of competitiveness. They have made it easier for tourists from a wide range of new and developing markets, including some of the fastest-growing markets like China and India, to include Ireland in their travel plans, making Ireland a real contender for this business for the first time.

Of course, positive publicity generated by Fáilte Ireland and Tourism Ireland, plays a

ABOVE: Tourism Ireland CEO Niall Gibbons with the Minister for Transport, Tourism and Sport, Paschal Donohoe.

“A comparison of overseas visitor numbers for the first half of 2014, against the same period in 2008 (the previous record year for overseas tourism to the island of Ireland) shows that North America, Mainland Europe, and Australia and Developing Markets have all exceeded the 2008 six-month record by the end of June 2014 (North America +23%; Mainland Europe +1%; and ADM +35%).”

Building on the Growth To ensure that overseas tourism growth continues, Tourism Ireland is undertaking an extensive programme of promotions around the world, which includes a focus on the Wild Atlantic Way, as well as on major events like Limerick City of Culture and the Croke Park Classic, when up to 20,000 American football fans descended on Dublin for their college football season opener (University of Central Florida v Penn State), on August 30th. Tourism Ireland will also maximise the introduction of new year-round and winter air routes to grow tourism in the shoulder and off-seasons.

A busy autumn promotional schedule will include sales missions to China, Australia, and New Zealand, ‘Jump into Ireland’ travel trade and media blitzes in Chicago, Boston, Los Angeles, San Francisco and Seattle, the ‘Flavours of Ireland’ campaign targeting long-haul markets through UK inbound tour operators, and the World Travel Market in London, the largest B2B event in the global travel and tourism calendar.

“We are determined to ensure that tourism growth continues,” says Niall Gibbons. “We are undertaking an extensive programme of promotions around the world throughout 2014, and we will shortly launch an extensive global autumn campaign to boost business in the off-peak season and carry the growth momentum into 2015.”

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Commercial Profile

tourism ireland’s

AUTUMN PROMOTIONAL BLITZ

TARGETS LATE-SEASON TRAVELLERS AROUND THE WORLD Tourism Ireland has an extensive programme of promotional activity planned for the remainder of 2014, to boost late-season travel to Ireland from around the world. The September to December period usually yields as much as 30% of Ireland’s overseas tourism business. The campaign will highlight the many festivals and events taking place this autumn. It will incorporate a major focus on city breaks, as well as on attracting visitors to more rural areas over the coming months.

Christine Bleakley during filming at Rossnowlagh, Co Donegal, for a new ITV series which will showcase the Wild Atlantic Way. on Classic FM. “This targeted promotion has been specifically designed to highlight

ON LOCATION WITH PHIL SPENCER

autumn breaks in Ireland and to appeal to our ‘Culturally Curious’ audience in Great Britain,” says Vanessa Markey, Tourism Ireland’s Head of Britain. “These are independent, active sightseers who are typically looking to visit new places and expand their experience by

Tourism Ireland has enlisted the help of Phil

exploring landscapes, history and culture.”

Spencer, co-presenter of the hit Channel 4 TV series ‘Location Location Location’, to showcase Ireland as the ideal ‘location’ for British holidaymakers this autumn. Phil was in Ireland recently to produce four new online films which feature Dublin, the Wild Atlantic Way, Northern Ireland and other locations around the island. The films will be promoted on the website of Classic FM, one of Britain’s largest radio stations, over a four-week period this autumn, reaching about 6.5 million people. As well as the online videos, Phil will also promote autumn breaks to Ireland through on-air mentions about the many things to see and do here

22

Phil Spencer with Sofia Hansson, Tourism Ireland, during filming in Doolin, Co. Clare.

Showcasing Wild Atlantic Way

to Millions in Britain Tourism Ireland has teamed up with ITV and Northern Irelandborn television presenter and celebrity, Christine Bleakley, for a new, six-part television series highlighting the Wild Atlantic Way. Filming for the new TV series is under way right now. It will air in spring 2015 and will highlight the spectacular Wild Atlantic Way to millions of viewers, or potential holidaymakers, across Britain.

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11/09/2014 10:24:39

Commercial Profile

Dublin Set to

‘Glow’

in Canada Around 600,000 Canadians will see fabulous images of Dublin this winter in glow magazine, which is the most popular fashion and beauty magazine in Canada. Tourism Ireland in Toronto invited the influential magazine to do two photo-shoots in Ireland. The resulting two, eight-page fashion stories will appear in the November and December editions of the magazine. One story will use locations around Dublin as the backdrop, including Merrion Square, St Stephen’s Green and Henrietta Street. The other eight-page spread will feature Howth, the Sally Gap, and various other scenic spots in the Wicklow mountains.

Model Ineta Sliuzaite with photographer Andrew Soule at 12 Henrietta Street in Dublin during a fashion shoot for glow magazine.

Ireland Does the Business in Germany!

Pictured before the business tourism workshop in Hamburg are (front, l-r): Michelle Blake, The Marker Hotel; Úna Miley, A Touch of Ireland; Aoife Kernan, Tourism Ireland; Michelle Murphy, Kerry Convention Bureau; Melita Williams, Bespoke Northern Ireland; and (back, l-r): Tristan Jacob, Finnstown Castle Hotel; Stephen Williams, Gresham Hotel Group; TJ Mulcahy, Ashford Castle; Thomas Wegener, Aer Lingus; Christoph Haustein, TIFCO Hotel Group; and Bernard O’Reilly, Joe O’Reilly Ireland Group.

Ten Irish business tourism companies took part in a B2B workshop and networking event in Hamburg, which was organised by Tourism Ireland to highlight the island of Ireland as a world-class conference and business tourism destination. The Irish delegation met and did business with 40 senior representatives of German companies involved in the MICE (meetings, incentives, conferences and events) sector.

‘Teeing Up’ World Class Golf in the US Golf in Ireland was in the spotlight in the US recently - at the Barclays tournament of the US PGA competition at Ridgewood Country Club in New Jersey and at the Deutsche Bank Championship at TPC Boston. Tourism Ireland, together with its partners, had a presence at both tournaments, in a bid to grow the number of golf holidaymakers from the US to Ireland. Golf is a major focus for Tourism Ireland in the US and the organisation has a busy programme of promotions underway throughout 2014. Activity has included advertising on the popular Golf Channel, online on golfchannel.com, and in specialist golf publications. Influential American golf writers have also been invited to come and experience our fantastic golf for themselves.

Tourism Ireland Leads Sales Mission to China Eighteen Irish tourism companies took part in Tourism Ireland’s recent 2014 sales mission to China. They met and did business with top Chinese travel agents and tour operators in Beijing, Shanghai and Guangzhou. The objective was to engage with Chinese travel trade contacts who are currently selling Ireland, or who have strong potential to sell the destination, and to encourage them to extend their Ireland offering or to include Ireland for the first time in their 2015 brochures and programmes.

Niall Gibbons (front centre) and Amanda Burns (back, second left), both Tourism Ireland, with the tourism companies taking part in Tourism Ireland’s 2014 China sales mission.

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11/09/2014 10:25:05

Conferencing

How To Do a

‘Wow’ Site Inspection In this month’s article, Ciara Feely, Creator of The Conference Converter System, looks at how the ‘site inspection’ or ‘tour of the hotel’ is a fantastic sales opportunity for personnel within the hotel industry.

T

here is no point in doing an ‘ordinary’ site inspection any more no matter what market it is for but, in particular, if it is for the conference, meeting and event industry. It is becoming increasingly difficult to capture and retain people’s time and attention so when the conference planner takes the time to come to your hotel or venue it is a massive opportunity to impress them.

image and brand. What they will remember is how they felt walking around the hotel.

That is what they will draw upon when speaking with other decision makers so you must make a big emotional impact on them. Here are a few of my best tips to increase your conversion rate and close more sales by ‘wowing’ your potential customers.

1

Prepare - know who is coming and where they are coming from. It is a good idea to collect them, if possible, because that way you are controlling the whole sense of arrival and you have lots of valuable time to build your relationship with them. Get someone else to drive so you can concentrate on listening to them and asking them the right questions.

There are two absolute musts when it comes to doing an effective site inspection. n The client must be able to visualise their event there.

Your main role is to help them do this. A confused mind does not buy. There are a number of different ways to do this, which are discussed below. n You must impact them emotionally. Planners can be persuaded to buy based on how you make them feel. This will determine how they think you will make them look and how you will protect their Ciara Feely

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11/09/2014 10:53:50

Conferencing

“The client must be able to visualise their event there.

Your main role is to help them do this. A confused mind does not buy.”

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30/07/2014 13:58 25/08/2014 14:53:54

hotel & catering review

25

11/09/2014 10:54:08

Conferencing

2

Research them on LinkedIn, Facebook and Twitter See if you can get a sense of their personality as you must adapt to what they want to hear. Are they warm and fuzzy, needing to feel the love? Or are they brief and to the point, wanting to talk about logistics, numbers and all business-related matters straight away? Know all about the company or organisation. Are they in the news? Did they win any awards recently? Do they have a Green Policy?

Circulate a photo of them to all the staff, including the gardener. It is so easy to get photos of people on social media these days. Have the gardener keeping an eye out.

Wouldn’t it be so impressive if he walked up and welcomed them by name. All staff should know their name so they can greet them when they meet them or pass them during the hotel tour.

Ensure that you introduce them to the General Manager and have him join you, if possible, for some of the tour. Introduce them to the conference team and the chef. Have the chef prepare a little taster for them if they aren’t staying for lunch.

Ensure you are waiting for them at reception so they don’t have to ask for you. Even better, be outside waiting for them, with an umbrella if it is raining.

Do a walk through of the hotel yourself an hour beforehand to ensure that the lights are on, the doors are open, and the rooms are set up. You don’t want any surprises. Walking into a dark room and fumbling to find the lights does not make the right impression. All the way through the site inspection you want to show that you have prepared, thought about the business and, most of all, really want it.

If they are short on time, offer them a drink on arrival to walk around with or surprise them with a drink served in the main conference

“What they will remember is how they felt walking around the hotel and that is what they will draw upon when speaking with other decision makers so you must make a big emotional impact on them.”

3

4 5

6

26

maintain that good buzz feeling that they had when they were at the hotel. Don’t overload them with brochures to bring home but give them a little gift or keepsake as a memento of their experience. room. You really want them to spend as much time as possible in this room so they remember it and they have a visual of it when they are back in the office.

It is really important to have the room set up in the style that is their preference for the event. Ideally, set it up exactly to their specifications and numbers.

If that is not possible, set it up for smaller numbers. It is all about making it easy for them to visualise their event at your hotel. That is the important message that you want to leave them with. Address any issues about the room when they are in it. If there are pillars, talk about the best way to set the room around them. There is a certain way to set a room with pillars that is an advantage to the outcome of a meeting. I go through that in my ‘How to do a Wow Site Inspection Workshop’.

Have their logo on the screen of all the conference and meeting rooms.

It will impress them and it is a nice touch. Use their logo colours as much as possible throughout

7

8

and if they have company theme music, play it throughout the hotel!

Ask great questions - what is the number one result you want to get from the conference?

What would you change about last year’s event? What do you want people walking away from your conference saying about your organisation? Then you know how to angle your pitch.

It also lets them know that you understand their needs and their business and want to provide a solution to their problems. I have a list of 15 killer questions to ask a planner that will help you to convert and win a lot more conference business. I share them in my new online workshop on ‘How to Create a Conference Converter Toolkit’.

Follow Up, follow up, follow up. Send what you promised to send straight away - have it in their inbox before they get back to the office.

Send a hand written note to thank them for their time. Go the extra mile in your follow up to impact them emotionally and

9

10

Remember, as you are walking around, the client is thinking ‘can I work with this person? Will they make my life easy or hard?’

So, throughout the entire site inspection process, you should have a plan for proving to them that you are their perfect event partner.

About the Author: Ciara Feely is the Creator of The Conference Converter System.

This is a formula for how to attract, convert and win a lot more conference business. She has just launched innovative online workshops that teach the sales team this building block system while saving valuable time out of the office. The course can be completed from the office or from a mobile device and it is internationally recognised, as participants from around the world have joined the hotel community that Ciara is building online through weekly interactive live Q&A calls. For course details, contact Ciara at Ciara@ConferenceConverter.com, Tel: 086 3611428 or visit www.

ConferenceConverter.com

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11/09/2014 10:54:29

Apple,Pear & Blueber ry Crumble

Serves 6 • Ready in 10 mins Ingredients

• 4 Keeeings Irish Bramley Apples • 3 Pears • 5 tbsp golden syrup • 4 tbsp caster sugar • 1/2 tsp ground cinnamon • 190g plain f lour • 100g brown sugar BRAMLEY APPLES

• Pinch of all spice

The fertile soil and temperate climate of north County Dublin provides a perfect growing environment for Keelings Superior Bramley Apples. Starting in 1942, Keelings have developed apple growing to a fine art with natural pollination and careful cultivation combining to produce a beautifully balanced Bramley, the ‘King of Cooking apples’.

• 100g buttter

The dense texture of Keelings Bramleys means that they retain the right degree of tartness and firmness – perfect for making delicious apple pie, tasty apple crumble and baked apples. Why not use them to add a superb fruitiness to curries?

Pictured above is Brendan O’Sullivan, Apple grower examining the new season Bramely apple crop in Keelings Farms.

• Punnet of Keelings blueberries

Method Pre-heat the oven to 220C/400F/Gas 6.

Peel, core and chop the pears and Keelings Irish bramley apples.

Line the base of a large ovenprrof dish with the apple and pear.

Drizzle over golden syrup, add a splash of water and sprinkle with caster sugar and cinnamon.

Roast in the oven for ten minutes.

For the crumble:

Add f lour, brown sugar and a pinch of all spice into a bowl.

Chop butter into cubes, then rub into the f lour mixture until it forms rough crumbs.

Remove dish from the oven and sprinkle over a punnet of fresh blueberries. Cover with crumble topppiong.

Bake for 15 minutes until golden.

Cooks Tip: use 8 or so small ovenproof dishes instead of one large dish to make smaller portions.

When only the freshest will do...

To order please contact: Dublin: +353 (0)1 895 5301 • Cork: +353 (0)21 496 8088 Wexford +353 (0)53 914 7447 • Belfast +44 28 9032 4236 • www.keelings.com 230793_1C_Keelings_H&C.indd 1

11/09/2014 10:28:28

Business matters

Hotel Sector

Recovery Set to Continue

Recovery in the Irish hotel sector continues, according to the recently launched Crowe Horwath Annual Hotel Survey, with all key performance indicators showing improvement in 2013. Aiden Murphy reports.

O

ccupancy grew by 2.1 percentage points to 65.9%.

Average room rate was up €2.77 to €77.49. Total revenue per room increased by €2,104, to €49,249 and net profit before finance was up one percentage point to 14.9%.

The turnaround in the Irish economy, the improvement in Irish consumer sentiment, and the extra circa 469,000 overseas visitors that came to Ireland in 2013 all assisted in increasing demand for hotel rooms which allowed hoteliers to yield an increase in average room rate.

Putting this performance into

28

context, the Irish hotel sector has managed to regain some of the ground lost during the recession. However, there is still work to be done to reach the peak performance of 2007. Profit before tax per room, at €7,347, is still 21% below profit levels achieved in 2007.

On average, the price of hotel rooms increased by 3.7% in 2013, with the average room rate for all hotels up €2.77. The story of twin speed recovery persists as Dublin hotels continue to outpace the regional hotels. The average rate charged for a hotel room in Dublin, at €90.73, is 40% higher than the average room rate achieved by

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Business matters

“Hoteliers are optimistic for 2014, with 80% of survey respondents anticipating a yearon-year increase in total revenue.�

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11/09/2014 10:29:22

Business matters TAble 1: All hotels 2013

2007 Yoy Peak year difference

Occupancy

65.9%

69.7%

-5.5%

Average room rate

€77.49

€97.69

-20.7%

€49,249

€59,968

-17.9%

€7,347

€9,308

-21.1%

Total revenue per room Profit before tax per room

the improvement in the demand for hotel rooms, with occupancy levels increasing by 2.1% in 2013, is supporting a recovery in the average room rate.

TAble 2: Rooms performance

Source : crowe horwath ireland hotel industry survey 2014

Average Room Rate 2013 2012 YOY

Difference

All Hotels

€77.49

€74.72

+€2.77

Dublin

€90.73

€86.04

+€4.69

Midlands & East

€76.14

€74.28

+€1.86

South West

€76.29

€73.54

+€2.75

Western Seaboard

€64.51

€61.87

+€2.64

TAble 3: Occupancy 2013 2012 YOY

Difference

All Hotels

65.9%

63.8%

+2.1%

Dublin

76.3%

73.9%

+2.4%

All regions excl. Dublin

62.0%

60.4%

+1.6%

hotels in the western seaboard region at €64.51. In contrast, the Midlands and East region had the lowest increase in average room rate in 2013 where average room rates were up just €1.86, or 2.5%, year on year. This region also had the lowest occupancy of the four regions in 2013 at 60.1%. This suggests that the characteristics of oversupply continue in this region and competition between hotels for available business remains strong. As many of these hotels are not in traditional tourism hub areas, they remain reliant on the improving domestic economy to help lift demand. The improvement in the demand for hotel rooms, with occupancy levels increasing by 2.1% in 2013, is supporting a recovery in the average room rate. However, these rates are still a long way off their peak levels. Our survey shows that hoteliers have been yielding

30

higher average rates, where possible, which is supporting a recovery in RevPAR values.

There is still further ground to be made up in growing the average rate, which should occur on the basis that demand is forecast to increase further over the coming years.

The improvement in average room rate has only been achievable on the back of demand levels increasing.

Occupancy levels increased across all regions in 2013, with Dublin hotels recording the highest occupancy level at 76.3%, along with the highest year on year increase in occupancy levels at 2.4 percentage points.

The 2013 results show that each hotel bedroom in Dublin is occupied on average 280 nights per year and also highlights that Dublin is enjoying a significant number of nights where full occupancy is achieved. The

increasing level of demand for centrally-located Dublin hotels suggests that expansions to existing hotels and new build hotels are now a requirement.

The key challenge for hoteliers is to retain the value proposition and competitive position offered over recent years. This is best achieved by ensuring that healthy competition remains and that additional supply is introduced. While we are unlikely to see any new hotel developments outside of Dublin, there will be scope for extensions to hotels or conversions of existing non-hotel buildings in areas where occupancy levels are strong and which show potential for future growth - such as Cork and Galway city centres. The number of investors looking to purchase these prime located

hotels supports the predictions of further anticipated recovery in the hotel market.

Profitability Overall, net profit levels before finance costs increased year on year by 13.1% in 2013.

The comparison of profit growth per region highlights a distinct east to west disparity where hotels in the eastern side of the country achieved double digit growth in net profit before finance while hotels in the West had more restrained profit growth. Profit levels in 2013 were helped by a slight improvement in cost efficiencies, assisted by increased sales levels.

However, hoteliers may find it difficult to retain these margins going forward as they try to control rising operating costs.

TAble 4: Net Profit per Room 2013 2012 YOY (before finance costs) Difference

All Hotels

€7,347

€6,497

+13.1%

Dublin

€11,362

€10,038

+13.2%

Midlands & East

€5,927

€5,144

+15.2%

South West

€5,714

€5,260

+8.6%

Western Seaboard

€5,740

€5,471

+4.9%

TAble 5: Costs as % of Total Sales 2013 2012 YOY

Difference

Food Costs

32.1%

32.9%

-0.8%

Beverage Costs

33.3%

34.1%

-0.8%

Payroll Costs

37.8%

39.4%

-1.6%

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08/09/2014 14:30 09/09/2014 17:26:57

Business matters TAble 6: Undistributed Operating 2013 2007 Peak Year YOY Expenses as % of Total Sales Difference

Administration & General

10.0%

10.5%

-0.5%

Sales & Marketing

4.2%

4.2%

-

Utility

6.2%

4.5%

+1.7%

Repairs & Maintenance

4.0%

4.1%

-0.1%

Total Undistributed Operating Costs

24.4%

23.3%

+1.1%

TAble 7: Food & Beverage Revenue per Room 2013 2012 YOY

Difference

Food Revenue

€16,678

€16,598

+0.5%

Beverage Revenue

€9,241

€8,536

+8.3%

€25,919

€25,134

+3.1%

F&B Revenue

TAble 8:

Source : CSO

Overseas Visitors (‘000) 2013 2012 YOY

by Reason for Visit Difference

Business

1,242

1,182

+5.1%

Holiday Leisure

3,059

2,832

+8.0%

Visit to Friends & Relatives

2,015

1,818

+10.8%

670

685

-2.2%

6,986

6,517

+7.2%

Other Total Overseas Visitors

As part of the 2013 survey, respondents were asked to rank what they feel will be the key challenges for their business in 2014. Rising operating costs were the predominant theme among the challenges selected, which included increases in payroll costs, utility costs, property rates, food costs and competition.

Payroll is a key cost area for hotels and hoteliers are coming under increasing pressure to increase the salaries of existing employees, many of whom took pay cuts during recessionary times. The improvement in the economy also means that hotels need to offer higher wages to retain and attract suitable talent and experience for key roles. Utility costs are another area which has been a top concern for hoteliers in recent years as fuel

32

costs continue to rise annually.

In the peak years when hotels were enjoying total revenue per room of €59,968, utility costs represented 4.5% of total revenue. In 2013 these same hotels generated total revenue per room of €49,249 and utility costs now represent over six per cent of total revenue. Hoteliers have been looking at ways to control this cost area by becoming more energy efficient. Recommended initiatives include conducting energy audits to understand and reduce charges, installing timers on equipment, light sensors, bulk buying of utilities, and reviewing alternative energy sources.

The stand out area where hotels have not been able to maintain costs in proportion to reduced sales is utility costs.

Recovery of First Class Hotels The Irish hotel sector has 835 registered hotels, with one new hotel opening in 2013 - The Marker Hotel in Dublin’s docklands - which introduced an additional 187 rooms to the market. In total, Irish hotels provide 57,362 rooms, of which 88% are classified as either First Class (four-star) or Mid Price (three-star) hotels. First Class (four-star) hotels, which account for 44% of hotel stock, have managed to increase their room sales which generated stronger recovery of profit. In contrast, Mid Price (three-star) hotels, which account for a further 44% of hotel stock, have increased their reliance on food and beverage spend over the last five years which, due to higher associated direct costs and payroll, has meant a slower profit recovery for these hotels.

Both First Class (four-star) and Mid Price (three-star) hotels are vulnerable to any changes in food and beverage spend as it contributes over 55% of total revenue. Overall, food and beverage sales in 2013 were similar to 2012 and this suggests that competition for wedding and banqueting events remains strong between hotels reliant on this revenue source. The overall increase in food and beverage sales was primarily driven by an improvement in beverage sales which increased by 8.3%. In 2013 the number of registered marriages in Ireland fell to

21,770, a reduction of seven per cent or 3,000 weddings, which further added to the competition between hotels.

Key Drivers for 2013 Respondents to this year’s hotel survey were asked to rank the key drivers for their improved performance in 2013. The top drivers were: the reduced VAT rate of nine per cent; improved consumer sentiment; and the increase in overseas visitor numbers.

In 2011 the government temporarily reduced the VAT rate on tourism-related goods and services from 13.5% to nine per cent to boost tourism and employment in the tourism sector. This reduced VAT rate was then extended in October 2013. As a result, hoteliers have been able to offer a consumer price reduction of circa two per cent, maximising the perception of value for money. It is claimed that the reduction in VAT has resulted in circa 30,000 new jobs being created in the sector.

The reduction in the VAT rate coincides with the increase in the number of overseas visitors and the 13% increase in their related expenditure, along with an increase in the number of domestic trips taken in 2013.

In addition to the VAT reduction, the Government provided support to the tourism sector in 2013 by scrapping the air travel tax with effect from April 2014, extending temporary visa entry

“While we are unlikely to see any new hotel developments outside of Dublin there will be scope for extensions to hotels or conversions of existing non-hotel buildings in areas where occupancy levels are strong and show potential for future growth - such as Cork and Galway city centres.”

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Business matters

sector is still very vulnerable to any changes in the domestic economy that may impact consumer confidence.

2014 Outlook Mid-year reviews of 2014 present a positive story with overseas visitors for the first half of the year growing a further 10%, an additional 324,410 visitors. GNP reached a record peak in Q1 2014 and Irish consumer sentiment shows continual improvement. The sustained growth in overseas visitor numbers will boost demand for hotels in Dublin and tourist locations, while regional hotels will benefit from the strengthening of consumer demand. Hoteliers are optimistic for 2014, with 80% of survey respondents anticipating a yearon-year increase in total revenue.

As the hotel sector recovers from the economic downturn, many hotels have been de-coupled from their unsustainable debt levels, a legacy from prerecession times, either through transactions or by re-gearing their loan. These hotels are now in a position to consider re-investing any available cash into the hotel product by agreeing and implementing a capital expenditure programme.

Encouraging re-investment in the hotel product is essential for maintaining Ireland’s attractiveness to the international market and should be a key component in Ireland’s tourism strategy and policy.

There are still a large number of hotels who have not yet reached an agreement on legacy

About the Hotel Industry Survey The Crowe Horwath Ireland Hotel Industry Survey is

Aiden Murphy is the Recovery and Restructuring Partner with Crowe Horwath, who are specialist consultants to the hotel sector.

Aiden is the author of the Crowe Horwath Annual Ireland Hotel Industry Survey. Crowe Horwath is one of Ireland’s leading chartered accountancy and business advisory practices and is the leading business and advisory consultant to the Irish hospitality industry. Crowe Horwath is the representative firm in Ireland of Crowe Horwath International, a worldwide group of independent accounting and advisory service firms with over 640 offices in 100 countries and 28,000 staff.

TAble 9: Type of Accommodation Used 2013 2012 YOY Difference

Hotel

28%

30%

-2%

Guest House/B&B

9%

8%

+1%

Rented Apartments / Self Catering

14%

13%

+1%

Friends/Relatives

28%

28%

-

Other

21%

21%

-

Hotel Guestnights – Domestic Market (ROI)

2013

2012

Source: CSO

arrangements in cooperation with the UK, and promoting The Gathering tourism initiative. The Gathering has been credited with delivering over 250,000 visitors to Ireland and generating circa €170m in revenue. The North American market performed particularly well in 2013 with an extra 14%, or 141,000, North American visitors travelling to Ireland.

The US market is traditionally very important as it tends to represent higher spending guests with longer lengths of stay.

As can be seen in Table 8, overseas visitors coming to Ireland to visit friends and relatives jumped almost 11% in 2013. The increase in overseas visitors staying with friends and relatives may be linked to the high number of diaspora returning to Ireland for The Gathering in 2013.

While an increase in visitor numbers is good news for the tourism sector in Ireland, year on year statistics suggest that guest houses and self catering accommodation are gaining in terms of market share. While overseas bed nights demand increased by 5.4% in 2013, the hotels share of this market fell by two percentage points.

This highlights the risk hotels face in terms of competing with other sources of accommodation.

A further risk is the continued reliance of the Irish hotel sector on the domestic market, with 64% of guest nights generated from the home market.

Improved consumer sentiment has been lifting demand levels for hotels. However, the hotel

carried out on an annual basis.

Information contained in this report is drawn from the financial year ending 2013.

Leading hotels throughout the island of Ireland are surveyed on a number of topics including: room occupancy average; average daily room rate; revenue per room and profit before tax per available room. This is the 19th year that Crowe Horwath has conducted their Irish Hotel Survey. The survey was conducted by post and email between January and May 2014 and survey results cover 20% of Ireland’s hotel rooms.

Total

TAble 10:

Total Hotel Guestnights

21,987

21,346

Domestic Guestnights

14,123

13,917

% of Guestnights generated by the domestic market

64.2%

65.2%

Source : Fáilte Ireland

“Hoteliers are optimistic for 2014, with 80% of survey respondents anticipating a year-on-year increase in total revenue.”

debt issues. These hotels are still under pressure to pay all available cash into servicing their bank loans, which leaves them at a distinct competitive disadvantage. Hoteliers and funders will need to work together to agree a sustainable level of debt that supports the hotel’s growth strategy and to maintain asset value. This will in turn level the playing field for all hotels to compete fairly as the hotel sector continues to emerge from a period of over indebtedness. In summary, the Irish hotel sector has experienced two consecutive years of growth in total revenue per room. This was supported by an improvement in international and domestic demand and a number of government initiatives. It is anticipated that year-end results for 2014 will show further improvement in the market. While profits at Dublin hotels have recovered significantly, there is still a considerable gap to be closed before regional hotels can match the performance of pre-recession times.

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11/09/2014 11:29:54

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This year, celebrating 27 years in business, Noel Recruitment Hospitality & Food Retail Division recruits the very best Directors, General Managers, Operations/Deputy Managers, Ex/Head chefs and HODs. From temp to perm to contract/seasonal roles we have you covered!

For more information or a confidential discussion regarding all of our services contact: Jerry O’Sullivan, Business Manager Ireland T: 086 100 14 44 E: jerry.osullivan@noel.ie Dublin • Cork • Galway • Waterford • Kildare 33908_Noel_A4.indd 1 xxxxxx_1C_NoelRecruit_CMD_H&C.indd 1

Recruitment • Training • Payroll • Consultancy 09/09/2014 10/09/2014 11:31:44 11:33:40

Commercial PROFILE

J&C Kenny’s World of Wines & Spirits Sensi, an Italian wine brand known globally for its dedication to quality and classic wine making techniques, is one of west of Ireland-based J&C Kenny’s most successful and longest serving wine agencies.

Located in the west of Ireland, J&C Kenny Ltd is a family-run company that was founded in 1979 by John and Carmel Kenny. The company grew out of a vision to offer customers a quality service with competitive prices. That was the premise on which the company was built and it is still its driving force today. Servicing the four corners of Ireland, the needs of our customer are at the heart of everything we do. Focusing on exclusive agencies and quality agencies, we strive to bring the best the world has to offer straight to the door of Ireland’s hotels and restaurants.

Kenny. Their diverse portfolio has something for all sectors of the market, from entry level Pinot Grigio and Pinot Noir to stunning Chianti and sensational Prosecco.

One of the jewels in the Sensi crown is the Organic Chianti Campoluce. This wine epitomises the Sensi tradition of combining old and new, resulting in not only a stunning wine but a new philosophy of wine making. With a current shift in the market towards locally sourced, organically grown produce, this certified 100% organic wine is a shining example of the best Mother Nature has to offer. No pesticides or herbicides are used in production - it is a A family business dating back model of ethical farming at its to 1890, this fourth generation finest.

Campoluce translates from of Tuscan winemakers have Italian to ‘light of field’ and cemented the Sensi name is born from the principles of on international markets respect for the environment, through the development of placing the greatest their wine making, farming importance on limiting stress and technology. The ethos to the vine and the soil on of Sensi is that all wines that which it vegetates and letting bear their name must tell a the harvest develop in an story. Sensi produce a vast entirely spontaneous manner. array of wines, all available Winner of the Berliner Wein countrywide from J&C

Trophy 2014 and a bronze medallist at the International Wine Challenge 2013, Sensi

Bolgheri is a truly distinctive wine that embraces classic Italian flavours. A blend of Sangiovese, Cabernet and Merlot, this wine is produced in the vineyards surrounding the castle of Bolgheri, situated in the south-west area of Tuscany. Its vicinity to the sea, combined with the sandy soil, contribute to the creation of ideal climatic conditions that exalt the excellence of this extraordinary vineyard.

Sensi also produce a range of luxury Prosecco that brilliantly plays into glamorous, modern lifestyles, epitomising elegance and prestige. The newest additions to this range are the 18K Gold and 18K Pinot

Noir Rose - two stunning Proseccos that are not only visually impressive with their distinctive packaging but embody luxury and indulgence. Charming and

seductive, Prosecco 18K Gold and Pinot Noir Rosé 18K are the ideal backdrop for framing the most romantic moments or for a decadent cocktail.

They are sheer Italian luxury at its finest.

For further information, please contact aoife@jckenny.ie J&C Kenny, Unit 9, Oranmore Business Park, Oranmore, Co Galway Tel: 091 794308 | Fax: 091 794737 Website: www.jckenny.ie

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ON THE MOVE

MOUNT CHARLES APPOINTS DIRECTOR

JONATHAN MCKINLAY

Ireland’s largest indigenous food service and business support services company, The Mount Charles Group, has appointed Jonathan McKinlay as Director of their Cleaning and Support Services Division.

Jonathan, who originally joined the Mount Charles Group as Business Development Manager from The British Standards Institution in 2011, has been promoted to the role with immediate effect.

“The Cleaning and Support Services Division has grown by 30% in the last year,” says Cathal Geoghegan, Managing Director of the Mount Charles Group. “It has grown from a modest base in 2010 to a position where it now generates annual revenue of close to £4m. With the guidance of our Operations Director Siobhan Lynch, Jonathan has been instrumental in the

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rapid success of this division and his appointment to the newly created role of Director is a strategic move that will see us further focus on its development.”

The news comes just weeks after the announcement that the Mount Charles Group had been successful in winning a multimillion pound cleaning contract with Southern Regional College.

“While the business began as a contract catering company and that still accounts for a significant part of the Mount Charles Group, we are proud to have evolved and grown the catering, retail and vending divisions into profitable divisions in their own right,” says Cathal. “Ultimately, our customers are increasingly looking for a multi-service partner and we will continue to adapt to meet their needs and provide the best possible service.” The Mount Charles Group has begun a recruitment campaign to appoint a dedicated Business Development/Key Account Manager for the Cleaning and Support Services division.

NEW BUSINESS DEVELOPMENT MANAGER FOR O’CALLAGHAN GROUP

GAIL MURRAY Gail Murray has joined the O’Callaghan Hotel Group as Business Development Manager.

Gail, from Howth in Co Dublin, will focus mainly on business development in the corporate sector for the O’Callaghan Hotel Group.

She studied Hospitality Management at DIT Cathal Brugha Street and graduated in 2007. After graduating she was part of the initial team for one of Dublin’s premiere venues, 37 Dawson Street. She is extremely passionate about the hospitality industry and has developed a wealth of experience in the service industry. The O’Callaghan Group has four hotels in Dublin - Alexander, Davenport, Stephen’s Green and Mont Clare - as well as the Eliott Hotel in Gibraltar and the Annapolis in Maryland in the US.

MOVE New Appointments, Promotions and Recruitment

GATHER & GATHER APPOINTS IRELAND DIRECTOR

ALAN RUSSELL

Mitie, the FTSE 250 strategic outsourcing company, has appointed Alan Russell as Director of Operations for its catering business, Gather & Gather, in Ireland. Alan will be responsible for managing Mitie’s existing Irish catering portfolio, as well as growing the Gather & Gather brand in Ireland over the course of 2014. An experienced catering specialist who started his career as a chef in the hotel trade 25 years ago, Alan has enjoyed a long and successful career in the Irish market. Prior to joining Mitie, Alan held senior roles at Sodexo and, more recently, at Compass Group where he was Head of Operations for Business and Industry and Healthcare in Ireland, managing over €35m of business. Mitie’s catering business re-launched its new trading identity Gather & Gather in 2013. The business has more than trebled its turnover over the past two years through new contract wins and the acquisition of awardwinning hospitality company Creativevents, making it the fastest growing caterer in the UK and Ireland. Operating throughout the UK, Gather & Gather operates either as a standalone caterer or as part of an integrated facilities management model, through the wider Mitie group. Mitie has been operating in Ireland since 2010, growing from 60 to over 1,200 people. Catering has been the most recent addition to Mitie’s services in the region.

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Show your business off to 10,000 customers CATEX 2015 promises to be bigger and better than ever as we celebrate 50 years of serving up Ireland’s biggest foodservice show. At the 2013 show 75% of visitors placed a trade order. Don’t miss out!

Book your stand now!

RDS, Dublin, 17 - 19 Feb 2015 catexexhibition.com

An IFSA Event

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