Accommodation - Ireland - September 2014

INTRODUCTION
Key themes of the report
Definition
Data sources
Abbreviations
EXECUTIVE SUMMARY
The Market
Figure 1: Indexed estimated total expenditure on accommodation, IoI, NI and RoI, 2009-19
Forecast
Figure 2: Indexed estimated visitor expenditure, NI and RoI, 2009-19
Market factors
Irish hotel prices continue to increase
Decline in Irish consumers booking accommodation online
Smartphones could offer viable channel for accommodation sector
Consumer confidence remains healthy across Ireland
Irish consumers’ personal finances continue to improve
Companies, brands and innovations
The consumer
Hotels with bed and breakfast the most likely to be used for an overnight stay in Ireland
Figure 3: Types of accommodation used for overnight stays in NI or RoI in the last 12 months, NI and RoI, July 2014
Country and rural hotel breaks the main reason Irish consumers are using accommodation
Figure 4: Reasons why consumers have used accommodation in NI or RoI in the last 12 months, NI and RoI, July 2014
Irish consumers prefer to book online directly with accommodation providers
Figure 5: How consumers booked accommodation for their last trip to NI or RoI, NI and RoI, July 2014
Poor reviews the main factor preventing consumers from booking accommodation online
Figure 6: Factors that prevented consumers from booking online with an accommodation provider in the past, NI and RoI, July 2014
Accommodation services and facilities seen as part of the holiday experience
Figure 7: Agreement with statements relating to accommodation, NI and RoI, July 2014
What we think
ISSUES AND INSIGHTS
What opportunities does the improving economic environment hold for accommodation providers?
The facts
The implications
Which types of accommodation hold the greatest appeal to Irish consumers?
The facts
The implications
What are main reasons for Irish consumers booking accommodation?
The facts
The implications
How did Irish consumers book accommodation for their last trip?
The facts
The implications
What factors have prevented Irish consumers from booking accommodation online in the past?
The facts
The implications
TREND APPLICATION
Influentials
Green and Lean
Switch Off
MARKET OVERVIEW
Key points
2014 sees hotel prices continue to grow
Figure 8: Average room prices per night of selected European destinations, 2009-14*
Ireland’s capital cities driving growth in 2014
Figure 9: Average hotel prices per room per night, by city, NI and RoI
Fewer Irish consumers booking hotels online
Figure 10: Consumers booking hotels or other overnight accommodation online, NI and RoI, 2011-14
Smartphones could help to boost online bookings
Figure 11: Consumers who own, or have access to, mobile technology devices, NI and RoI, March-August 2014
RoI consumer confidence continues to grow
Figure 12: Annualised consumer sentiment index, RoI, 2009-14
NI consumer confidence dips slightly in Q2 2014
Figure 13: Consumer confidence index, NI, September 2008-June 2014
NI consumer personal finances improving in 2014
Figure 14: How consumers rate their current financial situation, NI, January-August 2014
Consumers’ finances also improving in RoI
Figure 15: consumers rate their current financial situation, RoI, January-August 2014
MARKET SIZE AND FORECAST
Key points
Growth in visitors to Ireland to continue growing in 2014
Figure 16: Estimated total visitor numbers, IoI, NI and RoI, 2009-19
2014 to see strong growth in overseas visitors to Ireland
Figure 17: Overseas visitor numbers, IoI, NI and RoI, 2009-19
Irish consumers to continue holidaying ‘at home’
Figure 18: Domestic visitor numbers, IoI, NI and RoI, 2009-19
Visitor expenditure to continue growing in 2014
Figure 19: Estimated total visitor expenditure, IoI, NI and RoI, 2009-19
Overseas visitors driving tourism spending in NI
Figure 20: Estimated domestic and overseas visitor expenditure, NI, 2009-19
Overseas visitors spending an average of €455 in RoI
Figure 21: Estimated domestic and overseas visitor expenditure, RoI, 2009-19
Spending on accommodation to increase in 2014
Figure 22: Estimated visitor expenditure on accommodation, IoI, RoI and NI, 2009-19
STRENGTHS AND WEAKNESSES
Strengths
Weaknesses
COMPANIES AND INNOVATIONS
Key points
Examples of innovation
Jurys Inn pilots online hotel check-in to meet customer demands
The Ritz-Carlton uses smell for every branch hotel to welcome returning customers with a happy memory.
The Californian Aloft Hotel introduce a robot bellhop called Botlr
Tourism authorities
Fáilte Ireland
Northern Ireland Tourist Board
Tourism Ireland
Irish Hotels Federation
Northern Ireland Hotels federation
Accommodation providers
Hastings Hotels
Mooney Hotel Group
Hilton Hotels and Resorts
The Doyle Collection
Jurys Inn
Choice Hotels Ireland
Irish Court Hotels
Gresham Hotels
Radisson Blu Ireland
Premier Inn
Holiday Inn
Marriott Hotels
Travelodge Hotels Ltd
THE CONSUMER – TYPES OF ACCOMMODATION USED BY IRISH CONSUMERS
Key points
Bed and breakfast hotels the most popular type of accommodation
Figure 23: Types of accommodation used for overnight stays in NI or RoI in the last 12 months, NI and RoI, July 2014
Married consumers most likely to book hotel with bed and breakfast
Figure 24: Consumers that have booked an overnight stay at a hotel with bed and breakfast in the last 12 months, by marital status, NI and RoI, July 2014
Separated, widowed and divorced consumers using guesthouses and B&Bs
Figure 25: Consumers that have booked an overnight stay at a guesthouse/B&B in the last 12 months, by marital status, NI and RoI, July 2014
Accommodation-only options most popular among young consumers
Figure 26: Consumers that have booked an overnight stay at a hotel with accommodation-only in the last 12 months, by age, NI and RoI, July 2014
THE CONSUMER – REASONS WHY IRISH CONSUMERS HAVE USED ACCOMMODATION
Key points
Seaside and country breaks the main reason Irish consumers are using accommodation
Figure 27: Reasons why consumers have used accommodation in NI or RoI in the last 12 months, NI and RoI, July 2014
Married consumers most likely to use accommodation for country/rural breaks
Figure 28: Consumers using accommodation for country/rural breaks in the last 12 months, by marital status, NI and RoI, July 2014
Seaside breaks appeal to working consumers
Figure 29: Consumers using accommodation for seaside breaks in the last 12 months, by work status, NI and RoI, July 2014
Figure 30: Consumers using accommodation for seaside breaks in the last 12 months, by presence of children in the household, NI and RoI, July 2014
City trips appeal to rural consumers
Figure 31: Consumers using accommodation for city trips (eg for shopping, theatre or sightseeing) in the last 12 months, by location, NI, July 2014
Figure 32: Consumers using accommodation for city trips (eg for shopping, theatre or sightseeing) in the last 12 months, by location, RoI, July 2014
Women and young consumers most likely to use accommodation when attending a wedding party
Figure 33: Consumers using accommodation for wedding parties in the last 12 months, by age and gender, RoI, July 2014
THE CONSUMER – HOW IRISH CONSUMERS BOOKED ACCOMMODATION FOR THEIR LAST TRIP
Key points
Booking accommodation online directly with providers popular among Irish consumers
Figure 34: How consumers booked accommodation for their last trip within Ireland, NI and RoI, July 2014
16-24s in NI least likely to book online directly with accommodation providers
Figure 35: Consumers booking online directly with the accommodation provider, by age, NI and RoI, July 2014
Working consumers most likely to use online-only travel agents
Figure 36: Consumers booking online with an online-only travel agent website (eg Expedia, Lastminute.com), by work status, NI and RoI, July 2014
Consumers aged 45+ booking accommodation by telephone
Figure 37: Consumers booking accommodation by telephone directly with the provider, by age, NI and RoI, July 2014
THE CONSUMER – ONLINE FACTORS THAT HAVE PREVENTED IRISH CONSUMERS FROM BOOKING ACCOMMODATION
Key points
Poor reviews preventing consumers booking accommodation online
Figure 38: Factors that prevented consumers from booking online with accommodation providers in the past, NI and RoI, July 2014
Mid-life consumers most influenced by poor reviews
Figure 39: Consumers that have been prevented from booking with accommodation providers by poor online reviews, by gender and age, NI and RoI, July 2014
Lack of images preventing consumers from booking accommodation online
Figure 40: Consumers that have been prevented from booking with accommodation providers due to a lack of images online, by age, NI and RoI, July 2014
Payment security most likely to put Irish students and part-time employees off booking accommodation online
Figure 41: Consumers that have been prevented from booking online with accommodation providers due to worries about payment security, by work status, NI and RoI, July 2014
THE CONSUMER – ATTITUDES TOWARDS ACCOMMODATION
Key points
Accommodation seen as part of holiday experience
Figure 42: Agreement with statements relating to accommodation, NI and RoI, July 2014
NI Millennials undecided if accommodation enhances the holiday experience
Figure 43: Agreement with the statement “Accommodation and its facilities are part of the holiday experience”, by age, NI, July 2014
Figure 44: Agreement with the statement “Accommodation and its facilities are part of the holiday experience”, by age, RoI, July 2014
Budget accommodation seen as good value among affluent RoI consumers
Figure 45: Agreement with the statement “Budget accommodation offers good value for money”, by social class, NI and RoI, July 2014
Figure 46: Consumers that agree with the statement “Accommodation is just about the basic essentials (eg clean room, a good night’s sleep)”, by social class, NI and RoI, July 2014
Working NI consumers willing to pay more for guest experience
Figure 47: Agreement with the statement “It’s worth paying a bit more to have a better guest experience (eg better customer service, better hotel facilities)”, by work status, NI, July 2014
RoI students prepared to pay for better guest experience
Figure 48: Agreement with the statement “It’s worth paying a bit more to have a better guest experience (eg better customer service, better hotel facilities)”, by work status, RoI, July 2014
APPENDIX
NI Toluna data
Figure 49: Types of accommodation used for overnight stays in NI or RoI in the last 12 months, by demographics, NI, July 2014
Figure 50: Types of accommodation used for overnight stays in NI or RoI in the last 12 months, by demographics, NI, July 2014 (continued)
Figure 51: Types of accommodation used for overnight stays in NI or RoI in the last 12 months, by demographics, NI, July 2014 (continued)
Figure 52: Reasons why consumers have used accommodation in NI or RoI in the last 12 months, by demographics, NI, July 2014
Figure 53: Reasons why consumers have used accommodation in NI or RoI in the last 12 months, by demographics, NI, July 2014 (continued)
Figure 54: Reasons why consumers have used accommodation in NI or RoI in the last 12 months, by demographics, NI, July 2014 (continued)
Figure 55: How consumers booked accommodation for their last trip to NI or RoI by demographics, NI, July 2014
Figure 56: How consumers booked accommodation for their last trip to NI or RoI by demographics, NI, July 2014 (continued)
Figure 57: How consumers booked accommodation for their last trip to NI or RoI by demographics, NI, July 2014 (continued)
Figure 58: Factors that prevented consumers from booking online with accommodation providers in the past, by demographics, NI, July 2014
Figure 59: Factors that prevented consumers from booking online with accommodation providers in the past, by demographics, NI, July 2014 (continued)
Figure 60: Factors that prevented consumers from booking online with accommodation providers in the past, by demographics, NI, July 2014 (continued)
Figure 61: Agreement with the statement “Accommodation is just about the basic essentials (eg clean room, a good night’s sleep)”, by demographics, NI, July 2014
Figure 62: Agreement with the statement “The lack of comfort puts me off caravanning or camping”, by demographics, NI, July 2014
Figure 63: Agreement with the statement “It’s worth paying a bit more to have a better guest experience (eg better customer service, better hotel facilities)”, by demographics, NI, July 2014
Figure 64: Agreement with the statement “Big hotel chains offer a  more reliable service”, by demographics, NI, July 2014
Figure 65: Agreement with the statement “Accommodation and its facilities are part of the holiday experience”, by demographics, NI, July 2014
Figure 66: Agreement with the statement “Budget accommodation offers good value for money”, by demographics, NI, July 2014
Figure 67: Agreement with the statement “It’s worth paying more for accommodation with spa/beauty services ”, by demographics, NI, July 2014
Figure 68: Agreement with the statement “NI/RoI hotels offer better value for money compared with hotels abroad”, by demographics, NI, July 2014
Figure 69: Agreement with the statement “Caravanning/camping is great for spending time outdoors”, by demographics, NI, July 2014
Figure 70: Agreement with the statement “I’d rather stay in places with environmentally-friendly credentials”, by demographics, NI, July 2014
Figure 71: Agreement with the statement “Caravanning/camping is fine for a short break (eg 1-3 days) but not for a longer holiday”, by demographics, NI, July 2014
RoI Toluna data
Figure 72: Types of accommodation used for overnight stays in RoI or RoI in the last 12 months, by demographics, RoI, July 2014
Figure 73: Types of accommodation used for overnight stays in RoI or RoI in the last 12 months, by demographics, RoI, July 2014 (continued)
Figure 74: Types of accommodation used for overnight stays in RoI or RoI in the last 12 months, by demographics, RoI, July 2014 (continued)
Figure 75: Reasons why consumers have used accommodation in RoI or RoI in the last 12 months, by demographics, RoI, July 2014
Figure 76: Reasons why consumers have used accommodation in RoI or RoI in the last 12 months, by demographics, RoI, July 2014 (continued)
Figure 77: Reasons why consumers have used accommodation in RoI or RoI in the last 12 months, by demographics, RoI, July 2014 (continued)
Figure 78: How consumers booked accommodation for their last trip to RoI or RoI by demographics, RoI, July 2014
Figure 79: How consumers booked accommodation for their last trip to RoI or RoI by demographics, RoI, July 2014 (continued)
Figure 80: How consumers booked accommodation for their last trip to RoI or RoI by demographics, RoI, July 2014 (continued)
Figure 81: Factors that prevented consumers from booking online with accommodation providers in the past, by demographics, RoI, July 2014
Figure 82: Factors that prevented consumers from booking online with accommodation providers in the past, by demographics, RoI, July 2014 (continued)
Figure 83: Factors that prevented consumers from booking online with accommodation providers in the past, by demographics, RoI, July 2014 (continued)
Figure 84: Agreement with the statement “Accommodation is just about the basic essentials (eg clean room, a good night’s sleep)”, by demographics, RoI, July 2014
Figure 85: Agreement with the statement “The lack of comfort puts me off caravanning or camping”, by demographics, RoI, July 2014
Figure 86: Agreement with the statement “It’s worth paying a bit more to have a better guest experience (eg better customer service, better hotel facilities)”, by demographics, RoI, July 2014
Figure 87: Agreement with the statement “Big hotel chains offer a more reliable service”, by demographics, RoI, July 2014
Figure 88: Agreement with the statement “Accommodation and its facilities are part of the holiday experience”, by demographics, RoI, July 2014
Figure 89: Agreement with the statement “Budget accommodation offers good value for money”, by demographics, RoI, July 2014
Figure 90: Agreement with the statement “It’s worth paying more for accommodation with spa/beauty services ”, by demographics, RoI, July 2014
Figure 91: Agreement with the statement “RoI/RoI hotels offer better value for money compared with hotels abroad”, by demographics, RoI, July 2014
Figure 92: Agreement with the statement “Caravanning/camping is great for spending time outdoors”, by demographics, RoI, July 2014
Figure 93: Agreement with the statement “I’d rather stay in places with environmentally-friendly credentials”, by demographics, RoI, July 2014
Figure 94: Agreement with the statement “Caravanning/camping is fine for a short break (eg 1-3 days) but not for a longer holiday”, by demographics, RoI, July 2014