Bucharest-based Crowne Plaza hotel posted turnover worth $7.5m in the past fiscal year (which ended in September, according to international records). Turnover did not budge since last year, although the hotel had forecast a 13% increase, up to 8.5 million dollars.
"Introduction of the value added tax for international tourism and the effects of 9/11 were the main causes behind the revenue stagnation," Mioara Gheorghe, Crowne Plaza sales and marketing manager told Ziarul Financiar.
Crowne Plaza is owned by Ana Group, led by businessman George Copos, and is managed by representatives of international chain Six Continents. Hence, the financial results are calculated in accordance with the fiscal year used by the group, which ends on September 30.
For next year, Crowne Plaza forecasts a 10% increase in revenues, considering the good results posted in the past two months.
"The market is being conquered by the three-star hotels, so we have to cut prices to keep up," the marketing manager at Crowne Plaza said.
Competition on the Bucharest market of five-star hotels has become fiercer since the end of 2000, when the Marriott Grand Hotel opened for business. Moreover, in 2001 and 2002, several new hotels (although smaller) were launched, such as Ibis, Sky Gate, Class or Duke, which vie for the same customer segment the Crowne Plaza is tailored for, namely businesspeople passing through Bucharest.
George Copos has recently told Ziarul Financiar that he is planning to float a stake in Ana Hotels on the Bucharest Stock Exchange. The businessman holds the main stake in this company through Ana Group, which owns almost 80% in Ana Hotels. Another significant shareholder is Nord SA Bucharest.
According to Mioara Gheorghe, Ana Hotels includes only the Crowne Plaza and a Bucharest pub, La Belle Epoque. Unification with the other tourism assets of Ana Group will be completed early next year.
Ana Group also holds Eforie Nord-based Astoria and Europa hotels and Sportul, Bradul and Poiana hotels, Ana Teleferic company and a ski academy, all located in Poiana Brasov.
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