The hospitality sector in Dubai and Abu Dhabi will hold strongly in the coming year, swapping visitors from Eastern Europe for those from Asia, an analyst said. Tara Marlow, head of hospitality at Al Tamimi, told Arabian Business that Dubai will remain “strong” in 2011 and “will continue to attract visitors, especially an increasing number through China and other Asian countries.”

She said this was a new trend. “Historically it’s been the Europeans and Eastern European [groups that are] larger but I think things are changing and the Asian countries are starting to increase.”Marlow said resort hotels in Dubai would see their room rates and occupancies hold, but that unbranded budget hotels, especially those in areas like Barsha, would continue to struggle.

“There’s a lot of competition, and they’re unbranded, so people are less comfortable with them and the service levels aren’t at a par to the branded. Good budget hotels with a brand name will always do much better” than those on their own.

Marlow predicted Abu Dhabi would remain “steady” due to an increasing supply of hotel rooms being built throughout 2011 and 2012. “I don’t see any cause for concern in terms of a drop – it’s a really building up its profile,” she said. ”The tourism authority is doing a good job in raising the profile and attracting new events to the emirate particularly culture and sport related. But looking even further there’ll be a gradual increase into Abu Dhabi, and that’ll benefit hotels.”

She didn’t see it overtaking Dubai as a destination. “Average room rates will remain below what Dubai will be able to charge – slow and steady growth for Dhabi, which is in kind of keeping with its plans. They’re very different markets, and they’ll always attract different types of visitors – Dubai is a family hotspot. There’ll be peaks and spikes with AD depending what’s going on at the time. There’s always a peak around Grand Prix.