The enormous challenge to Israel’s hotels
While Israel is facing its biggest crisis ever due to the war, tourism is again challenged by another major blow.
The year 2023 was promising. Hotel occupancy was up and an expectation to serve 3.9 million tourists this year was encouraging.
The reality of the last horrific week made those hopes evaporate. While missiles are being launched towards metropolitan Tel Aviv and airlines are canceling flights, the hospitality industry faces another crisis.
The period after the High Holy Days is considered crucial for hotels. Business travelers, conventions, and delegations are the “bread and butter” of the industry during fall season.
“October, with the flourishing Sukkot tourism, was expected to be the best month ever for our hotel since it was opened almost 10 years ago,” says Avner On, general manager of Waldorf Astoria Jerusalem. “The coming quarter was exceptionally promising and with a blink of an eye the emerging war took us by surprise.
“This sudden drop to almost an empty hotel while we manage maximum staffing, trained for months to come, is dramatic. It will take years for the hospitality industry to recover.
“Both individual travelers and convention planners need time to calculate their plans. And in Israel this timeline is crucial. I am positive however that once the war will be over a significant number of Jewish delegations will visit Israel to demonstrate support.”
Dan Hotels became the first among the public Israeli hotel brands to comment on the situation in a report to the stock exchange on Wednesday.
