Business

Covid-19: Hotels forced to adopt new strategies

The hospitality sector is expected to suffer RM6.3 billion losses this year

Updated 5 years ago · Published on 16 Oct 2020 8:09AM

Covid-19: Hotels forced to adopt new strategies
Hotel Lacrista Melaka is offering a long-term accommodation package at a special price. The hotel was clased from March 18 to June 10. — Facebook pic, October 16, 2020

MELAKA — The third wave of the Covid-19 pandemic that hit the country about a week ago has caused hotel operators to formulate new strategies.

A survey in Bandar Hilir, which is a popular tourist destination in Peninsular Malaysia, found that many hotels are offering various special packages for accommodation, meeting venues and dining to attract domestic tourists to stay at their premises.

For example, Hotel Lacrista Melaka in Jalan Hang Tuah here is offering a 'Breakout Package' which is a long-term accommodation for a double room at a special price and also includes free laundry service for its guests, as well as credit facilities for those eating and drinking at the hotel’s coffee house.

Its managing director, Datuk Rosthman Ibrahim said it is recommended for guests to stay at the hotel for at least seven nights to make full use of the package.

Lacrista Melaka Hotel began operation on January 1 this year. It was formerly the Avillion Legacy Hotel.

Rosthman said following the change in management, facilities and rooms at the hotel have been improved to provide a more comfortable stay for guests.

Following the enforcement of the Movement Control Order (MCO), the hotel was closed from March 18 until June 10 when it resumed operations.

For this month (October), he expected Hotel Lacrista Melaka to suffer a loss of more than 60% from the targeted sales projection but was confident the situation would recover after the Conditional Movement Control Order (CMCO) in Kuala Lumpur, Selangor and Putrajaya ended.

Meanwhile, Hatten Hotel Melaka general manager Datuk Chuck Kassim said introducing packages that provide longer stay, specifically to comply with standard operating procedures on physical distancing, are among strategies implemented to boost the hotel’s occupancy rate.

“We do not know when this pandemic will end and this is one of the immediate strategies we are implementing to attract domestic tourists as the Singapore tourism market is severely affected currently due to the closure of the border,” he said.

Last Saturday, it was reported that the hospitality sector in the country is facing another tough period following the new wave of the Covid-19 outbreak.

The report quoted the Malaysian Hotels Association (MAH) chief executive officer Yap Lip Seng as saying that there would be a drop of about 15% in accommodation rate of hotels for the next two to three weeks,  involving a loss of between RM60 million to RM100 million.

He also said that from a survey conducted, it was found that the country's hospitality sector would suffer losses of about RM6.3 billion this year. — Bernama, October 16, 2020

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