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Expected revenue boost for Paris hospitality 'underwhelming'

Paris was expected to have 11 million visitors during the Olympic games
Paris was expected to have 11 million visitors during the Olympic games

The eyes of the world may be on Paris for the Olympic games, but for many local hotels and restaurants, the boost to revenue has been "underwhelming".

Empty tables, mostly-uncrowded trains and quieter-than-usual tourist attractions make the experience more manageable for visitors; but for many of those working in the city centre's hospitality industry, the mood is low.

"It's difficult for us," said Luca Moreau, a manager at La Methode bar close to the Pantheon.

"All the people go to see the Olympic Games, but they don't take the time for drinks or dinner. So it's been very disappointing. It's too expensive (to run)."

He said he believed everyone in the industry "thought it would be better".

"Now we have a big mistake here," he added.

Luca Moreau is a manager at the La Methode bar in Paris

It is a sentiment echoed by Noemie Lagrasta, a member of staff at Les Insouciants restaurant in the usually-bustling Latin Quarter.

"It's very quiet. It's not reliable enough to be open some days because we still have to pay employees."

She also points to the disruption caused by the Opening Ceremony's "security zone" as being particularly challenging for bars and restaurants in the city centre, but acknowledged that footfall has improved since.

The expected Olympics uplift in revenue for hotels also has not quite materialised as hoped in the industry.

In recent weeks, hotel operators have been making a final push to lure last-minute travellers by lowering prices and dropping minimum stay requirements.

It comes after accusations of price gauging aimed at some hotels, with reports that rates were initially set artificially high during the period of the Olympics.


One hotel manager, Marie Pereiras from the Grand Hotel Saint Michel, told RTÉ News she was forced to lower prices due to lack of demand.

"Bookings have been quite complicated (during the Olympics), because the rates were very high. And so we had to change the rates at the last minute. We are fully booked now.

"All the hotels in Paris have the same problem" she said.

"Yes, we are very disappointed, but I think it is the problem of the government. They said we should expect millions and millions of people here. That's why the rates were very high at the beginning."

Latest figures from the Paris Tourism Board show average hotel prices have fallen to €218 per night during the period of the Olympic Games, down from €258 when the barometer was last checked on 24 July and €342 earlier in the summer.

The move to slash prices - or indeed correct prices - appears to be working. Occupancy is now high - hovering around 90% last weekend according to the Paris tourism board.

La Methode bar close to the Pantheon

Irish fans in Paris have been impacted by the price fluctuations.

One woman from the west of Ireland booked her accommodation back in February, at a cost of €350 a night for a double room.

"It is annoying, because everyone is here to support their country. Maybe that added cost could have gone towards tickets for another game instead."

Last-minute bookers appear to have had better luck - with another woman telling RTÉ News she only booked her accommodation last week and "it wasn't overly expensive, and in a great location".

They are among the estimated 11 million visitors to Paris during the Olympics, a figure Corinne Menegaux, the director-general of the Paris Tourism Board, said remains on track.

"The numbers are really in line with what we expected - we said around 11 million people coming, approximately 13% of that foreign people. So I think we will be exactly in line with that.

"We knew July would be a little slow because it's always like that just before the Olympics. But during the Olympics, we are really waiting for a peak of arrivals, so this is probably the case."

She also acknowledged that some hotels and restaurants may be "quieter than usual" due to the geographical spread of the Olympic venues, which have been "drawing visitors elsewhere".

Overall, she said the games would provide a long-term boost to the city as an investment in the image of Paris.

"I think more than the number of people (here presently), the global feeling is really good. Everyone is very happy, very enthusiastic. So it's really joyful."


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