Scottish Tourism Week kicks off in Edinburgh

Scotland’s hospitality operators are gathering in Edinburgh this week to discuss how the region can capitalise on tourism growth.

A programme of events organised by Scottish Tourism Alliance (STA) to celebrate Scottish Tourism Week will kick off with a Parliamentary reception at Holyrood today (11 March), followed by a two-day conference at Edinburgh’s Assembly Rooms.

The conference is being hosted by journalist and broadcaster Stephen Jardine and will feature experts in marketing, finance, skills technology, hospitality and business leadership.

Speakers will address how hospitality operators can tackle some of the key issues facing Scotland’s tourism sector and take advantage of the opportunities that lie ahead.

On Wednesday evening, Edinburgh venue The Caves will host a dinner showcasing Scottish food and drink in a market style setting.

Visitor demands

STA chief executive Marc Crothall said that Scotland's hospitality industry can't afford to become complacent in the face of tourism growth, pointing out that visitor demands and expectations are becoming more sophisticated.

"Tourism really is everybody’s business and the potential for tourism to grow into one of Scotland’s main economic drivers cannot be underestimated," he explained.

"The 2014 conference is about looking ahead, capitalising on  opportunities and continuing to work with a more joined up approach to strengthen our tourism industry and remain competitive on the global stage.”

Hospitality boom

Scotland’s hotel sector has seen impressive growth in recent months.

According to the latest regional report by business advisers BDO, Scottish hotels had the highest occupancy and revenue levels in the UK at the end of last year.

In November, Scottish hotel occupancy was 74.2 per cent, compared with 72.7 per cent across the rest of the UK, excluding London. Revenue in Scotland was £52.73 compared to a £45.14 regional UK average.

“The hospitality sector in Scotland continued to outperform the rest of the UK as the year drew to a close,” said Alastair Rae, a partner in the Property, Leisure and Hospitality sector at BDO.

“Whilst occupancy overall was largely in line with the rest of the UK it was in revenue that Scotland continues to outshine its neighbours.”

Aberdeen growth

Aberdeen, which De Vere chief executive Robert Cook identified as the ‘new hotel hotspot’ last year, was the stand-out Scottish city in terms of performance.

Revenue in the city was up 17.8 per cent to £78.83 – the highest in the UK outside of London – and occupancy at 81.2 per cent.

However, Rae said this growth was primarily down to the city’s oil and gas sector boosting business revenue.

“An indication that this boom in Aberdeen is business rather than leisure oriented can be seen by the level of revenue,” he said.

“During November the Aberdeen revenue was higher than the revenue for all tourist hotels in London and was considerably higher than any other part of the UK which, naturally, tends to dip in tourism income during November.”

Other Scottish cities

Glasgow hotels also recorded high occupancy rates of 81.1 per cent, although revenue fell 7.3 per cent to £51.41 in the city, while Inverness saw the biggest revenue growth in the region

"Inverness also had a strong performance with revenue growing 29.2% to £37.10, albeit from a relatively low base, and this was due in part to the Scotland Town conference as well as the 80’s Party Concert with Rick Astley," said Rae.

Edinburgh retained its high occupancy and revenue levels.