The tens of thousands of delegates attending Offshore Europe in Aberdeen massively boosted the revenues of Scottish hotels in September compared to the rest of the UK.
Revenue – based on the average price – for Aberdeen’s hotels nearly doubled, rising 40.8% during September to have the highest figure outside London, according to the latest report by accountancy firm BDO.
The firm’s monthly hotel survey found that Scottish rooms yield – the industry term for revenue – rose by 13.5% in September compared to an increase of just 3.7% in England; and 1.6% in Wales.
Alastair Rae, BDO partner, said: “The improvement in revenue figures for Aberdeen was quite remarkable, due to a 25% increase in visitors to the bi-annual SPE EU Offshore Fair – attended by over 63,000 people over four days.
“This highlighted just how significant oil and gas is for the continued prosperity of the hospitality sector in the city.”
The figures will come as no surprise to many who complained of sky-high prices being charged by hotels in Aberdeen for the duration of the event.
Mr Rae added: “If hoteliers know there is a major conference coming they will seek to charge based on rate card as opposed to doing some sort of deal.
“It is straightforward supply and demand economics – make hay while the sun shines.”
Revenue rose in Aberdeen by 40.8% to ÂŁ92.65 per room, 8.2% to ÂŁ81.55 in Edinburgh, 7.5% in both Glasgow and Inverness to ÂŁ60.54 and ÂŁ57.07 respectively.
Occupancy rose 5.8% in Inverness, was up 5.8% in Edinburgh and up 0.2% and 0.1% in Glasgow and Aberdeen respectively.
Occupancy during the month rose 3.3% in Scotland, 3.8% in England and 3.6% in Wales. “Aberdeen aside, Scotland had a very successful September with healthy, and similar, revenue improvements across the other three cities.
“Edinburgh and Inverness both managed good revenue increases at the same time as occupancy rose which is indicative of a strengthening market,” said Mr Rae.
“Scotland reported revenue which was almost ÂŁ18 higher per room than regional UK and occupancy almost six per cent higher, both of which indicate the strength of the market north of the border.”