Pink wreaking havoc in Brisbane

Its nice to be able to blog about particularly busy dates again! After a relatively quiet few months I'm starting to see signs of things picking up again (fingers crossed). Parliament sitting in Canberra is filling the city again, Adelaide surprisingly went nuts over the last couple of days and tonight is close to fully booked in Brisbane.

The reason for it tonight ... sure there is your normal corporate component, but the main reason seems to be the last concert of Pink. She's no Andre Rieu and she's done 150 concerts (ok, not quite that many but it seems like it) so I'm not sure why this particular night is so busy ... but I'm not going to complain.

Australian hotel market ... struggling

A couple of signs that show you how much the Australian hotel market is struggling right now.

1. Adelaide didn't fill for the Clipsal
Usually this is a can't miss event for Adelaide hotels. They can charge what they like for rooms, they can enforce a 4 night minimum stay and they usually fill with a few weeks to go. This year, with a week to go almost all of the hotels still had plenty of rooms so they dropped their rates and their minimum length stay requirements. But it was too late and the city didn't get close to filling.

2. Melbourne didn't fill for the Grand Prix
Again, this is usually a very good event for us and the Melbourne hotels. They charge full rack rates and have a 3 night minimum stay. Some of the hotels filled this year but in the lead up to the Grand Prix you could've got a one night stay on the Saturday night (usually the biggest/most popular night) for less than $200 at a 4.5 star property.

3. Canberra didn't fill for Budget
This was probably the most surprising. Canberra has a lot less 4, 4.5 and 5 star hotels than most of the other cities and usually fills at the drop of a hat when Parliament is in session or there is any sort of event happening. Budget is usually the busiest night of the year for Canberra hotels yet this year most of the 4 star hotels and above didn't fill.

Its clear that hotels aren't making adjustments to the current state of the economy. Companies are being a lot stricter with their corporate travel and aren't willing to pay the exorbitant prices that hotels have demanded in the past. Adelaide and Canberra not filling for their biggest events is evidence of that. The motels and the cheaper hotels that don't add massive event surcharges are still filling, its the top end of town that isn't and needs to make adjustments accordingly.

The next big event on the calendar is the State of Origin. I hope the hotels don't expect to get the rates they have been able to in previous years and start to price their hotel rooms more realistically. Looking at what's currently being asked, I'm afraid they will realise this way too late again ...