NewWorld Development Company Limited
EXECUTIVE VICE-CHAIRMAN’S REPORT
26
have become major contributors
to the results of the Group’s hotel
operations segment. The large-scale
renovation at Grand Hyatt Hong
Kong is currently underway with
good progress. The renovation of
approximately 158 guest rooms under
phase two of the renovation has
commenced in the first half of 2015.
Despite the impact on occupancy
rate caused by the renovation of
guest rooms during the year under
review, the hotel’s average room
rate achieved HK$3,268 per night.
Benefiting from the continual growth
of conventions and exhibitions,
Renaissance Harbour View, which is
adjacent to Hong Kong Convention
and Exhibition Centre, reported
satisfactory occupancy rate which
increased by 1.5 percentage points
year-on-year to 78%, with solid
performance in its average room rate.
Kong over the past few years. There
were also adjustments in the overall
occupancy rate and average room rate
of hotels in Hong Kong. In particular,
the adjustments to high and medium
Tariff B hotels were more prominent,
whilst adjustments to those Tariff
A hotels, which target business
travellers, were relatively minor
under the robust economic activities
in the region and the drive from the
customer loyalty programme, in
addition to the limited availability of
new supply of hotels in the same
tariff grading in recent years. To
embrace opportunities presented by
market changes, some international
hotel brands actively upgraded their
hotel facilities and improved their
services, in order to uplift customer
experience and satisfaction.
The Group’s premium hotels targeted
at business travellers in Hong Kong
HOTEL OPERATIONS
Under the Central Government’s
a n t i - c o r r u p t i o n d r i v e a n d t h e
policy adjustment regarding the
grant of multiple-entry permits to
Shenzhen residents, coupled with
the fluctuations of global currency
exchange rates and the Middle East
respiratory syndrome in South Korea,
visitor arrivals at Hong Kong showed
slackened growth. According to the
statistics of the Hong Kong Tourism
Board, for the first six months in
2015, the number of inbound visitors
totalled 29.3 million, an increase
of 2.8% year-on-year. The change
in external market environment
and policy changes in the region
have varied the previous pattern of
development of the tourism and
hospitality industry, with heavy
reliance on the rapid year-on-year
growth in visitor arrivals at Hong
