Everyone knows while planning their pricing structure, that Gulf Food Exhibition occur the 3rd week of February, in Dubai. We know that it is always a citywide convention, that it brings over 50,000 people in town, because the food import products industry is really important for Dubai.
As I wanted to see how the city is behaving in terms of prices, there are still availability for AED 2,000 budget to stay in a decent 4 or 5-star of Sheikh Zayed Road stretch. Maybe I have an unrealistic notion of value for price at hotels, while I notice few 4-star and hotel apartment using an OTA extranet to sell their last rooms and publish a 4 to 5 digits rates during a citywide event, it's really surprising, when they are usually selling with a 3 digits rates all year through.
4-Star Hotel Dubai, selling normally between AED 450-600.00
Gulf Food Price: AED 15,000 for a Deluxe Room
As I wanted to see how the city is behaving in terms of prices, there are still availability for AED 2,000 budget to stay in a decent 4 or 5-star of Sheikh Zayed Road stretch. Maybe I have an unrealistic notion of value for price at hotels, while I notice few 4-star and hotel apartment using an OTA extranet to sell their last rooms and publish a 4 to 5 digits rates during a citywide event, it's really surprising, when they are usually selling with a 3 digits rates all year through.
4-Star Hotel Dubai, selling normally between AED 450-600.00
Gulf Food Price: AED 15,000 for a Deluxe Room
Ramada Hotel Dubai - Deluxe Room - AED 15,000 |
Hotel Apartment Dubai, selling normally between AED 400-600.00
Gulf Food Price: AED 9,000 for a One or Two Bedroom Apartment
Hotel Apartment Dubai, selling normally between AED 300-450.00
Gulf Food Price: AED 5,000 for a Deluxe Room
I am wondering how Dubai Department of Tourism Commerce and Marketing would comment on this. As a hotelier, I always thought that the Rack Rate can only be the highest rate the hotel can sell. But it's seems that in Dubai, it is not being respected. And while I would pay AED 2,000 for a Fairmont, Emirates Tower, The Address, Armani, Rotana, Hilton, i think those snapshots are ridiculous. We are talking about pricing, and not gambling. A client who pays such as rate, will definitely have high expectations, which will end up not being deliver.
I also think that Booking.com should monitor this because on a 20-25% commission for a AED 15,000 sale, you can imagine the commission.
Let's be reasonable for this budget, you would rather sleep at Burj Al Arab - Deluxe One Bedroom Suite at AED 7,480, a usual rate for the season:
I do hope that this practice is monitor by Dubai DTCM, because it brings a bad image to the emirate. Dubai has always been fairly price, and those hotels should get a penalty, for selling way above their rack rate. If only, Ramada / Howard Johnson / Imperial Hotel Apartment would have been smarter by selling a higher room category, it could have reduce the feeling of being "cheated".
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Gulf Food Exhibition - How does Dubai hotels violate their publish rack rates?
Reviewed by Unknown
on
08.14
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