JB State is in a shambles

• johntoil

  14 Sep 08, 14:51

  JB hotels suffer

  THE Singapore hotels' price-slashing has led to a stalled start for Johor Baru hotels.

  14 September 2008

  THE Singapore hotels' price-slashing has led to a stalled start for Johor Baru hotels. Just last week, some JB hotels reported that they are enjoying up to 60 per cent occupancy as their rates are a fraction of those in Singapore. But as Singapore hotels are cutting their rates aggressively to boost occupancy during the F1 weekend, their JB counterparts have been hit by cancellations. The five-star Puteri Pacific Hotel, which has 500 rooms, had half its 300 tentative bookings cancelled over the last month. It charges RM400 ($166) a night, including breakfast. Its sales director, Mr Kamarul Annuar, told The New Paper that some bookings were forfeited when the customers failed to make full payment. He said: 'It's been doom and gloom for us. We thought we could bank on the Singapore Grand Prix to improve our occupancy, but now we're struggling.' Just last week, 55 Indian tourists cancelled their F1 bookings at the hotel. Mr Kamarul said: 'I know some hotels in Singapore have slashed their rates. If it's cheaper to stay in Singapore, people wouldn't come to JB because they won't need to put up with the Causeway jams.' The five-star Hyatt Regency Johor Bahru, which has filled just 60 of its 406 rooms for the race weekend, has also seen a couple of cancelled reservations. The hotel is offering a three-night package at RM395++ a night. Ms Lily Tham, marcoms manager of the five-star Mutiara Johor Bahru, said that as of 28 Aug, it has filled only 84 of its 332 rooms for the race weekend, but added that Ramadan is a 'low period' for bookings.

  Thank goodness for the Causeway jams, otherwise our hotels face stiff competition from the JB hoteliers. With the crime rates in JB on the uptrend, I am certain the tourists don't feel safe there as well. With the Causeway jams and removal of fuel subsidies, Singaporeans are also avoiding that state. Their economy in JB is adversely hurt.

   

   

   

• FireIce

  14 Sep 08, 17:59

  something is wrong...
  
  i oni know SG hotels are jacking up their rates like phuck
  

  slash rates?
  JB just anyhow try to find reason for their own bad biz???

   

• the Bear

  14 Sep 08, 18:01

  where did that "article" come from?

• FireIce

  14 Sep 08, 18:02

  this is like 拉�出屎怪马桶
  
  if i can't shit, it's the toilet bowl's fault

• Chris88110

  14 Sep 08, 19:33

  Article come froms saturdays newpaper

• shade343

  14 Sep 08, 20:46

  Originally posted by FireIce:

  something is wrong...
  
  i oni know SG hotels are jacking up their rates like phuck

  slash rates?
  JB just anyhow try to find reason for their own bad biz???

   

  
  GOt jack rates meh? Take at look at this:

  
  GREAT F1 HOTEL ROOM SALE

  
  Big hotel discounts draw F1 fans in big way 
  By Crystal Chan

   

  CALL it the Great Formula One hotel room sale.

  ALL SET: Mr Kellvin Ong, general manager of Hotel Rendezvous Singapore, had the rooms refurbished. --TNP PICTURE: MOHD ISHAK

  When the first F1 night race in Singapore was announced, many hotels, anticipating high demand, pushed up their rates for the race period.

  But, with just two weeks to go, some are struggling to fill all their rooms.

  So they have gone on overdrive to boost demand, with several resorting to price-slashing.

  From a high of $1,000-plus, many hotels are now giving hefty discounts of up to 60 per cent to cash in on the F1 fever.

  Leading the pack in the discount race is Hotel Rendezvous, which has reduced its rate from $1,000 to just $430.

  Thanks to the big discount, its room occupancy has shot up from 40 per cent to 60 per cent in just a week for the F1 weekend from 26 to 28 Sep.

  The four-star hotel's general manager, Mr Kellvin Ong, couldn't be happier.

  He said he had to react to market conditions, because 'several competitors are bringing down their rates'.

  Renovated

  The 298-room hotel, a 10-minute walk from the race circuit, is spending about $7 million to refurbish several rooms and its in-house restaurant, Straits Cafe.

  On the rooms yet to be filled, Mr Ong said: 'It's not possible for every hotel to be fully booked for the F1. So if I can fill at least 70 per cent of my rooms, I'll be happy.'

  He added: 'My hotel's usual rate is $480 a night. But we timed the renovations to be completed for the F1 and with our promotional rate, we hope to attract more guests.'

  He added that the renovated rooms come with LCD televisions, self-heating toilet seats and Chopard toiletries.

  Also seeing better business is the 206-room Pan Pacific Orchard, which cut its daily rate from $800++ to $650++.

  The five-star hotel's general manager, Ms Linda Wee, told The New Paper that since the prices were modified a few months ago, occupancy has gone up from 50 to 80 per cent.

  She said: 'We need to stay competitive. Reducing our rates will affect our profits, but there has to be a balance.

  'You can't be running an empty hotel. It's still better to reduce our rates and enjoy higher occupancy than to keep prices unchanged and make a loss.'

  The 778-room Pan Pacific Singapore has also cut its nightly rate from $1,500 to about $850, and has so far received bookings at a good pace.

  The five-star trackside hotel has also reduced the minimum stay period from five to three nights.

  Declining to reveal the number of reservations, Pan Pacific's spokesman said: 'We expect high demand for trackside accommodation as visitors will want to stay close to the action.'

  Other hotels such as Carlton, Peninsula-Excelsior and York have also slashed their rates. But they declined comment when contacted.

  Some hotels, among them Novotel Clarke Quay and Conrad Centennial, are fully booked for the race weekend without having to cut their rates.

  Solid business

  Novotel Clarke Quay's general manager, Mr Heinz Javier Colby, said that his 401-room establishment was already 70 per cent full six months ago.

  Declining to reveal his room rates, he said: 'We contacted our sister hotels in other F1 host cities to find out how much they charged. We didn't impose abnormal fees so we attracted solid business well in advance.'

  He added that his four-star hotel never had to slash its rates.

  Some hotels have maintained their rates but reduced the minimum number of nights that guests have to book.

  This strategy has worked for the five-star Royal Plaza on Scotts, which has sold 92 per cent of its 511 rooms for the race weekend.

  Just two weeks ago, its occupancy was at 75 per cent.

  The hotel kept its nightly rate of $960, but two weeks ago, removed the minimum stay period of two nights.

  Royal Plaza's general manager, Mr Patrick Fiat, said: 'We removed the minimum period as we had already sold 75 per cent of the rooms and we were looking to sell out the remaining rooms.'

  But there is a catch to some of the low rates - the packages may exclude breakfast and transport to the race track.

   

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  S'PORE HOTELS SLASH PRICES

  HOTEL

  BEFORE

  AFTER

  Hotel Rendezvous Singapore

  $1,000

  $430

  York Hotel

  $450 to $500

  $260 to $400

  Carlton Hotel

  $790

  $490

  Peninsula-Excelsior Hotel

  $737

  $420

  Pan Pacific Singapore

  $1,500

  About $850

  Pan Pacific Orchard

  $800

  $650

  Copthorne Orchid

  About $600

  From $335

  InterCon-tinental Hotel

  From $1,000

  $980

  Grand Plaza Park Hotel CityHall

  $800

  $600

  Park Hotel Orchard

  $500

  $380

   

• The rates are for a night's stay and exclude taxes and service charge