By Staff writer
New report shows overnight visitors to emirate splash out nearly twice the average of 11 other cities
Visitors to Dubai are by far the highest spending tourists in the world, splashing out nearly twice the average of 11 other major cities around the world including New York and London, according to new research.
Savills' latest 12 Cities report found that around 901 million domestic and overseas visitors were attracted to the twelve cities examined during 2015, spending a total of 1.05 billion nights in hotels or other accommodation.
It said average accommodation costs per stay were the highest in Dubai at $553 per person while Shanghai was the cheapest option of the 12 cities covered at $173 per person.
The research also showed that overseas visitors, who had an overnight stay in Dubai, spent an estimated $4.7 billion in restaurants and cafes.
In terms of spending on retail, this figure reaches $9.7 billion which dwarfs the total amounts spent in the 11 other global cities measured, with Dubai ahead of London, New York, Tokyo and Paris.
The report also said that prime real estate prices in Dubai have slumped by nearly 11 percent in the year to June while prime rents fell by more than 6 percent.
David Godchaux, CEO of Core Savills, said: “The research shows the highest spending visitors, by far, are Dubai’s, who spend nearly twice the average of our 12 cities.
“In Paris and Dubai, visitors swell the population by over 10 percent, creating demand for guest accommodation. It is also notable that the biggest visitor cities are also the most expensive for living and workspace. All this demand puts pressure on scarce land supply.”
George Nicholas, global head of hotels at Savills, added: “As global tourism continues to rise demand for bed space in many city markets is now outstripping supply.
"The net result of this is that we’re seeing a shift in where investor appetite for hotel assets and platforms stems from, with Asian capital in particular coming to the fore in Europe over the past 12 months.
"We continue to receive significant interest from Asian investors, particularly those from China and Hong Kong, for hotels in London and across Europe’s gateway cities.”
There's a pretty obvious reason for this - can you guess what it is?
Maybe something to do with restaurants knocking out GBP6 bottles of wine for GBP100......!!
Was interesting to hear some friends from UK, staying at one of the nice hotels on Jumeirah Beach during the European half term break, saying that no one was buying drinks etc. around the pool - the cost is simply too expensive.
I think Savills should've consulted Telco prior to publishing the results. I'm sure he wont be happy! Oh dear....
Is that because it is so overpriced in relation to other tourist cities?
No need, check my other personalities. Still waiting your replies on how Dubai economy is uncoupled from oil (more people waiting for you, or may be more of me / James, who knows)
Anyhow if your reading skills and your attention span were not so poor you would remember that we actually bring our people to Dubai for meetings because it is cheaper for us.
And yes, we are high-spenders.
Maybe they should build like the biggest mall in the world, no scratch that. Biggest in the whole universe.....it will be awesome.
@Telco. "Cheaper for us" and "we are high spenders". You just contradicted yourself. In fairness, your comments have always been illogical.
"Cheaper for us" hotels are substantially cheaper here than in London or Paris.
"high spenders" team flies business, hotels are 5 stars and we like good restaurants. All of them are cheaper here.
Illogical, you are the non-oil dependent king of it.
Rest of people are making some interesting points, maybe you could try to answer them too.
Again, Dubai is a great place for a meeting and a horrible one to run a business from thanks to the level of incompetence in many organisations and the lack of a modern legal framework.
Not that you would know.
@Telco. Don't blame Dubai for your failure. Where you have failed others have succeeded....
Compared to London Dubai is dirt cheap (for visitors)
As long as you do not buy any of the overpriced staff the retailers try to push.