Hotels in Singapore reported spectacular results over the weekend of the inaugural SingTel Singapore Formula 1 Grand Prix. A review of hotel performance by Deloitte, the business advisory firm, shows that revenue per available room (revPAR) on the final day of the event rose 376.4% to US$570. Occupancy reached 87.9%, the best performing day during the month of September, while average room rates increased just short of 300% to US$648. The two days leading up to the main race also reported strong occupancy and average room rates as the city saw an influx of visitors.
The Singapore Grand Prix was a historic night as it marked the first night race in the history of Formula 1. Over 100,000 spectators were expected to have cheered on the drivers, and the Singapore Tourism Board anticipate an incremental revenue of around US$70 million will have been generated from the event, as well as the intangible benefits the city will receive from being associated with the premium brand that is Formula 1.
Commenting, Alex Kyriakidis, Global Managing Partner of Tourism, Hospitality & Leisure at Deloitte said: “There is no more prestigious global sporting event that a city can host over a single weekend and hoteliers in Singapore were certainly celebrating the success. The Grand Prix will have showcased the city as a top end leisure and tourism destination, catapulting it onto the world stage.”
Alan Switzer, Director in the Sports Business Group at Deloitte said: “The SingTel Singapore Grand Prix was one of five races to be held in Asia during the 2008 season. With India and South Korea reportedly aiming to host a Grand Prix in 2010, there may soon be seven Asian based races compared to only one ten years ago”.
Marvin Rust, Managing Partner for Hospitality in Deloitte UK concluded: “By 2015, Singapore aims to be a powerful tourism hub, welcoming 17 million visitors spending S$30 billion. High-profile events such as the Formula 1 Grand Prix and the Youth Olympics in 2010 will be some of the many events raising Singapore’s profile over the next few years. In addition, the opening of the first integrated resort in 2009 and the expansion of Singapore Airlines Airbus A380 routes to London and Tokyo earlier this year, will put Singapore firmly on track to achieve its Tourism 2015 target”.