Cebu’s major hotels saw high occupancy, profit jump in 2014

March 4, 2015 11:37 am 

CEBU CITY, March 3 — Major hotels in Cebu considered 2014 a banner year with high occupany and jump in profits because of Cebu's positioning as preferred destination for meetings, incentives, conferences and exhibition (MICE) events.

Radisson Blu Hotel Cebu, Cebu City Marriott Hotel, and Shangri-La's Mactan Resort and Spa registered high occupancy rates and revenue performances, describing 2014 as their best performing year ever.

Hoteliers attributed the cancelled MICE and other corporate events in 2013 due to calamities, as one of the strong contributors that made 2014 the banner year especially for international hotel chains.

Radisson Blu Hotel Cebu general manager Nishan Silva said that the 400-room hotel near SM City Cebu posted a 75 percent average occupancy rate for the entire year, with 35 percent profit jump.

Silva said the hotel surpassed every parameter target of its several revenue streams, led by the room and food and beverage revenues.

Several attractive promotions and concept specialty events, complemented by constant improvement of products and services, further stimulated the vibrant 2014 hotel business.

Cebu City Marriott Hotel general manager Patrick Carroll said that aside from the non-stop MICE and corporate events held last year, the enormous growth of the outsourcing sector in Cebu and obvious increased of leisure tourist arrivals from domestic and foreign markets also pulled hotel business up.

The 299-room hotel ended 2014 with average occupancy rate of 75 percent. Its high revenue performance is driven by impressive contribution from rooms and banquet businesses.

"There were a lot of medical missions last year, meetings and businesses mostly from the outsourcing companies with operations in Cebu Business Park and Cebu IT Park," he said.

Carroll said 2014 saw many meetings and group activities which he said could be the meetings and events that were cancelled due to the calamities in the last quarter of 2013.

The largest resort in Cebu in terms of accommodation—Shangri-La's Mactan Resort and Spa in Lapu-Lapu city also posted its highest average occupancy rate and revenue generation in 2014.

Albert Lafuente, the resort's director of sales and marketing, said the hotel posted 77 percent average occupancy rate of its total 530 guest rooms.

Food and beverage revenue contributed 60 percent of the resort's over-all business, Lafuente said.

Lafuente said the resort saw the most number of MICE events in 2014. (PNA)

LAP/EB/

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