High rates in Sri Lanka hurt tourist sentiment
Sri Lanka has many price options on a range of hotels and guesthouses on offer to the foreign traveller and those of Sri Lanka origin but there is growing criticism that the rates are too high.
In one comment on Tripadvisor, a visitor has criticised the ongoing rates meant to attract the high spenders. He said:
“I know this is a topic that comes on and off. I just wanted to share my recent experiences in regards to rates. I usually visit Sri Lanka every year or so and from Sri Lanka (living abroad now). After visiting several hotels I am quite amazed by the rates. I was told many reasons as to why the rates are so high, none of which makes any sense to me like:
1. The War is over so rates are higher! I think a safe environment is something that everyone expects. It is a basic need. In other words this translates to three years ago when rates were cheaper because you could have gotten killed while on vacation, so here is a discount for you, they say. You cannot charge a higher rate because the country is peaceful as it is a basic need.
2. The 2nd reason is there is an influx of tourists; it is a basic principle of supply and demand. Is this really true? Even with better profits most hotels ran less than 60 per cent occupancy. How many of these “so-called tourists” are ex-Sri Lankans with citizenship from other European countries who visit Sri Lanka on 30 day tourist visas? When I visited the hotels I didn’t see full hotels – early check-in and no lines and staff just waiting around. In most of the hotels, restaurants were empty except a few hotels like Cinnamon Grand. Some were busy only due to weddings.
Converting old houses
3. People are converting their houses to hotels wanting a piece of the pie. Just because you add some new bathroom fittings and change the decor you cannot call your house a 5-star boutique hotel or provide basic facilities and called it an eco hotel. Prices for some of these places are over US$200 a night. This is nothing but highway robbery.
I mean I understand this whole concept of the country wanting to cater to high end tourists or someone who would really want to visit Sri Lanka for some unique feature it has to offer regardless of the cost example whale watching. I am myself a hotelier and manage a hotel in California. It seems like the price is set not according to what the country/hotel has to offer but with what people in US or Europe pay for a hotel room in the same star class (star class itself declared by the hotel) and set those rates as the Sri Lankan rate thinking that foreigners can and will afford that. Some will, but most tourists will look elsewhere. There is a general misconception in Sri Lanka that all the foreigners are rich and dumb and it is ok to rip them off in every chance you get. ie two different prices for locals vs foreigners, even at the Temple of the Tooth.
Rip off
Then we talk about our great hospitality. I was also told some of these “so-called boutique” hotels are owned by foreigners to rip off fellow tourists.
There are many 4-5 star hotels in Beverly Hills that are cheaper than Sri Lanka. The problem here is that once you step out from any hotel in Sri Lanka it is not Beverly Hills or Bora Bora. To say it nicely I would say that Sri Lanka badly needs some infrastructure. I didn’t post this just to put Sri Lanka down. It is just sad the direction the country is moving. As a developing country Sri Lanka cannot pick and choose whom they want to serve, at least not at this time.Trying to build more hotels and keep rates high and expect all the millionaires in the world to visit the country is a false assumption. If you create a bubble it surely is going to burst at some point.”