Hong Kong’s hospitality industry gears up for mega event surge

Sector strategizes to capitalise on increased event-driven tourism.

With a significant rise in mega events anticipated this year, Hong Kong’s hospitality sector faces the challenge of effectively monetizing these occasions to enhance consumption and spending. Shaman Chellaram, Asia Senior Director of Valuation & Advisory Services at Colliers Hong Kong, shared insights on how the sector can prepare for and capitalise on the influx of visitors these events are expected to bring.

“Understanding the major source markets and the profiles of attendees for each of those events is absolutely crucial,” Chellaram emphasised. He pointed out the necessity of tailoring services to meet the specific needs of diverse visitor groups, which can significantly impact revenue generation. “This will enable the sector to better target the visitors accordingly,” he added.

Chellaram also highlighted the current staffing challenges in the hospitality sector, stressing the importance of high-quality service to create memorable experiences for guests. “The hospitality sector has to ensure their staff are well trained, and ready to address the different needs of various visitors,” he stated.

When asked how the hospitality sector can further capitalise on mega events, Chellaram suggested, “Being creative with your marketing and aligning with the key events that resonate with your brand is essential.” He also recommended integrating local cultural experiences with event offerings to enhance the overall guest experience.

Chellaram further advised that marketing efforts should begin early to allow potential visitors ample time to plan their trips. He suggested that hospitality providers incentivise longer stays by highlighting the unique aspects of Hong Kong alongside what their particular hotel or service can offer.

Regarding specific events to focus on, Chellaram named several, including the Clockenflap music festival and Hong Kong Fashion Design Week, noting their potential to draw both regional and international tourists. He also pointed out the significance of the Global Financial Leaders Summit for the luxury hotel sector.

Addressing the preferences of different demographic groups, such as Millennials and Generation Z, Chellaram noted, “You’ve got a lot of budget-conscious experience-driven travellers.” He emphasised the importance of offering a place of belonging and opportunities to socialise with like-minded individuals, which are particularly appealing to younger travellers.