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DoChara's Ireland Blog
Random Writings about Ireland and the Irish
Tuesday
June 7 2005
Don't visit Ireland....
.... just yet.
At least not if you are planning a once in a lifetime trip. Wait. Go to the Caribbean this year, leave Ireland for another time.
Now, before the Irish Tourist Board read this and dispatch hit-men, I'd better explain myself fast! For many of our visitors Ireland is a place they come back to again and again but for a sizable minority it's a once in a lifetime trip, one that has been planned carefully and budgeted for over a long time. And no one could claim any more that it is a cheap destination.
The biggest cost for most visitors is accommodation, prices are high, though there is value to be had if you look. But this IS going to change. The biggest indicator of this is simply the number of new 'rooms' due to come on stream, enough to increase the number of rooms by more than a third.
So, if people are frantically building hotels like this it must be because of massive shortages and huge demand in the market, right? Dead wrong.
The reason is the very generous tax breaks offered by the government for this type of development. In many cases hotels are planned or are already under construction without much regard to the market in which they will operate. In some places, Kilkenny for example, capacity is expected to more than double in the next 3-5 years. It is seriously doubtful that this number of rooms can be filled outside of the absolute peak times. Another one on the wayEverywhere you go in Ireland hotels are popping up, sites are being cleared and 'coming soon' notices appearing.
Already this is having an effect. As it accelerates, and the signs are it will, downward pressure on rates is inevitable, especially outside the peak Summer season. Middle range hotels are now more numerous than they ever were and this is the fastest growing sector. But it is not where the best bargains will be in the near future.
What's happening is that people, especially business travellers, who would previously have stayed in 4 Star hotels are 'downgrading' to high quality 3 Star 'few frills' hotels. Since they never used most of the frills anyway and can save 50-70% in the process this is a no-brainer. So it is the four stars that are already having, and will continue to have, trouble filling beds, and this, folks, is where the action will be.
On the other hand, why wait? Come now and with a bit of luck the bargains will be coming on stream just as you arrive back for your second trip!
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