Businesses expect increase in tourism

A midsummer survey of hotels and visitor attractions in the mid-west region has found that more than a third of businesses believe…

A midsummer survey of hotels and visitor attractions in the mid-west region has found that more than a third of businesses believe they are not benefiting from tourism as much as last year. However, Shannon Development believes the overall tourism season has been "reasonably good".

The Shannon Pulse survey of 83 respondents, carried out by the MRBI for Shannon Development, found that 42 businesses believe overall trading from January to June to be up on last year, while 30 businesses believe they are having a worse season. Most businesses predict that holiday and leisure business for the full year will be up on 1999 levels.

The respondents were managers of large and small tourism businesses, including hotels, B&Bs and activity centres in the Shannon region. This includes Clare, north Kerry, Limerick, north Tipperary and south Offaly.

Mr John Leonard, Shannon Development's tourism development officer, said the overall perception was more positive than in 1999. But increased competition was believed to be a major factor in the downturn for some businesses, particularly B&Bs and self-catering concerns.

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The attraction of foreign holidays was drawing domestic business away and making it less important relative to overseas tourism. "We have such a strong economy, more are leaving on the bridge that is bringing incremental growth," he said.

He added that North America and Britain were continuing "to carry the growth for this region", aided by favourable exchange rates.

The survey found that the weakest performing overseas markets were France and Germany, a pattern which has emerged in recent years. Just 15 per cent of businesses experienced growth in the French market and 47 per cent experienced a downturn. A third of respondents said German business was down, with another third reporting growth.

"I actually think Germany has come back a little. It is stronger than France, which is something that has not happened in a while," Mr Leonard said.

For businesses which found they had performed better overall this year, more than a third cited increased marketing as a factor. "Among those whose overall business was down, 40 per cent attributed their downturn to a broader base of competition within their area," the survey report stated.

Mr Leonard said the west in general was not suffering as much from short-stay holidaymakers going to Dublin and the east coast. Improved services to Shannon and Cork airports had made a difference.

There had been no discernible effect from the reduced rail services at Limerick and Tralee due to the industrial relations dispute.

"In terms of market share, the west has come back a bit. A lot of that I would link to access. Access has begun to open up in the last few years."

He added that although only 45 per cent had responded, the "impression survey" was statistically valid.

The chief executive of Limerick Chamber of Commerce, Mr Brendan Woods, said retailers were reporting a buoyant trade for the time of year, and hotel business was on a par with other years.

But Ms Col Carmody, secretary of Roscrea Heritage Society, said business was slow compared with last year. "Our own area is so-so. It is good one week and not good the next week."