77
ANNUAL REPORT 2015
FRASERS HOSPITALITY TRUST
GLASGOW
Tourism Market
Glasgow is the most populous city
in Scotland and its main commercial
hub. 2.7 million international and
domestic tourists visited Glasgow in
2014, with visitors spending GBP687
million (USD1.05 billion), up 39%
from 2013 according to the Office
for National Statistics (ONS) and the
Great Britain Tourism Survey (GBTS).
Glasgow has overtaken Liverpool
as the fifth most visited UK city
by international tourists and
ranked ahead of Oxford, Bristol,
Cambridge, Leeds, York, Cardiff
and Newcastle in 2014. Glasgow’s
international profile was further
improved through attendance at
high profile events such as the
Commonwealth Games, BBC Radio
1’s Big Weekend and the MTV
European Music Awards as well as
the associated increased destination
brand equity through media
exposure.
International tourists stayed for 3.3
million nights, averaging five nights
per trip with half citing holidays as
the reason for their visit, while 28%
visited friends and relatives and 18%
were business travellers.
British visitors to Glasgow spent
GBP442 million (USD679 million)
in 2014, more than double
2013’s expenditure, which is an
achievement given domestic
tourism spend across Scotland fell
by 0.6%.
International tourists made 622,000
trips to Glasgow in 2014, an
increase of 21% on 2013, spending
GBP245 million (USD376 million),
an increase of 32%. Europeans
(59%) and North Americas
(22%) made up the majority of
international visitors last year.
Hospitality Industry Performance
Glasgow has seen very strong hotel
performance uplift for 2014 and
YTD 2015. 2013 to 2014 saw double
digit increases in ADR and RevPAR
driven by the Commonwealth
Games and other events.
Comparing 1H 2015 to 1H 2015,
occupancy has increased by 1%
to 79.7%. For the full year of 2014,
occupancy increased by 5% to
82.3%. 2013 also experienced a 4%
increase on 2012.
For H1 2015, ADR has seen strong
growth of 8% or GBP5.30 (USD8.14)
to GBP69.30 (USD106.39). In 2014,
ADR increased from GBP61.30
(USD94.11) to GBP71.9 (USD112.47),
an impressive 17% increase. During
the previous year, from 2012 to
2013, ADR had only increased by
3%.
In 1H 2015, RevPAR increased by
9% to GBP55.20 (USD84.74). In
2014, RevPAR increased by 23%
or GBP11.10 (USD17.15) in only
one year in 2014 to GBP59.20
(USD90.88). From 2012 to 2013,
RevPAR had increased by 7% to
GBP48.10 (USD73.84).
According to the Scottish
Occupier’s Survey, a government
index for hotel occupancy and an
alternative to STR data, the weekend
/ weekday difference in occupancy
for Glasgow & Clyde Valley is 79%/
75%. By the government’s index
for occupancy for the Glasgow &
Clyde Valley Area Tourism Board,
occupancy was 77% for the full year
of 2014.
MARKET OVERVIEW
