When I learned of the closure earlier this year, I was not surprised but contemplated how much energy and resources had been invested in the project so the venue could open before the 2008 Beijing Olympics. It was personal for me as I was the project manager for the Kengo Kuma-designed hotel in the heart of the Sanlitun area in Beijing. This is not an obituary of the death of a commercial product, only a reflection of the reality of the high-end hospitality market in mainland China.
Hong Kong is no exception to this challenge. On the surface, the Hong Kong hospitality sector’s overall average occupancy rate of around 80 per cent seems to indicate a healthy recovery. However, if we discount the low-to-mid-end products, luxury hotels’ occupancy rate stands at about 54 per cent, meaning they are only half-full.
Tourist types are plenty and it would not be rational to assume any strategy can change the budget travellers’ habits. To truly look for impactful fiscal gains from the tourism sector, we need to focus our targets on the high spenders. 02:12 Hong Kong Sevens: sell-out crowd for last rugby event at iconic stadium Hong Kong officials need to put a proper strategy in place to attract the right spenders.
Game-changing paradigms require deep market understanding, research, creativity and transparency. A complete and synergistic ecosystem is needed, from the service sector to hospitality to retail to event planning, to attract worldly and cultivated travellers. Many of th.