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View Full Version : Are All Inclusive Hotels good for the economy in Tenerife?



Heffalumpy
30-05-2011, 18:00
Do you think that AIH are a pain?

Or do you think they encourage people to spend money?

bonitatime
30-05-2011, 19:07
I think they are a sign of the times. Money is tight and people right now want to know what they are going to spend. There was talk that this spring we had 1 million more guests of which many would have come AI. Even if they spent 10 extra each that as 10 million xtra came to the island.
As a shop owner I see things slightly different to the bar/restaurant owners as the money they have on them is then spent in shops. But talking to clients there are very few who spend no money. They all have a drink or an ice cream or even a meal whilst they are here.

lord_cheeseman
30-05-2011, 19:12
better than having no tourists!

tonypub
30-05-2011, 19:21
id sooner fight hard to get a thousand tourists to spend money than 100.

Pooch and Mutt
30-05-2011, 19:31
Do you think that AIH are a pain?

Or do you think they encourage people to spend money?

me and her used to do all inclusive cos you know exactly what you are going to spend.
no nasty suprises. always found all inclusive excellent value for money, eat and drink all you want, when you want, no extra charges.i know of some bars that have "entertainment" on every evening , they charge 3.50 euros for a bottle of warm dorada, 4 euros for heinken. and they wonder why they are empty.(the bars not the bottles!) the customer will gravitate to the best value for money venues. natural selection.

lord_cheeseman
30-05-2011, 19:37
me and her used to do all inclusive cos you know exactly what you are going to spend.
no nasty suprises. always found all inclusive excellent value for money, eat and drink all you want, when you want, no extra charges.i know of some bars that have "entertainment" on every evening , they charge 3.50 euros for a bottle of warm dorada, 4 euros for heinken. and they wonder why they are empty.(the bars not the bottles!) the customer will gravitate to the best value for money venues. natural selection.

warm beer really ****s me off. I always drink Heineken out of the bottle. If i go into a bar for the first time I always ask to feel the bottle. I'd rather drink a cold beer at 5 euro a pop than a warm beer at 1 euro a pop. Of course getting it for free would be the ultimate but i've yet to find my beer utopia!

Red Devil
30-05-2011, 19:49
I just don't see how AI is much different from Half Board in relation to how it affects local trade?
If you are the type who stays round the pool regardless then AI just means you aren't paying physically for the drinks at the pool bar, not that you have taken the trade from a local bar around the corner, cos you weren't going to go there anyway!
I cant believe there are that many people who stay in the hotel all day every day/night just to get the AI - you will still go to the beach, have a coffee, have a beer, have a wander along the prom, try a bar that looks interesting, eat at a nice restaurant some nights for a change, go on a day trip etc? Unless you are in a very small minority you are hardly likely to nip back into the hotel halfway through the day to claim your free ice cream are you?:)

bonitatime
30-05-2011, 21:41
Unless you are in a very small minority you are hardly likely to nip back into the hotel halfway through the day to claim your free ice cream are you?:)
Dont think you have been on Faņabe beach at 12.30 when the world and his wife goes to lunch.

jogger321
31-05-2011, 10:43
I just don't see how AI is much different from Half Board in relation to how it affects local trade?
If you are the type who stays round the pool regardless then AI just means you aren't paying physically for the drinks at the pool bar, not that you have taken the trade from a local bar around the corner, cos you weren't going to go there anyway!
I cant believe there are that many people who stay in the hotel all day every day/night just to get the AI - you will still go to the beach, have a coffee, have a beer, have a wander along the prom, try a bar that looks interesting, eat at a nice restaurant some nights for a change, go on a day trip etc? Unless you are in a very small minority you are hardly likely to nip back into the hotel halfway through the day to claim your free ice cream are you?:)

I think my experiences of a hotel we stayed at for many years which has gone AI a year ago would suggest otherwise. The pool area is literally rammed full during the day whereas before it was not. People want to get their money's worth. Instead of going down to the beach and buying lunch, ice cream for the kids and drinks at bars they stay at the hotel all the time!.

atlantico
31-05-2011, 10:51
The TV programme 'BENIDORM' promoted AI so much . . . . . . . . everybody wants to do it now !

If another resort/destination offered AI and Tenerife didn't, holidaymakers would go there instead. So rather than working out if AI is good for the economy, its better to agree that it has to be offered to keep up with the competition, whether its a good idea or not.

Ed3229
31-05-2011, 11:02
I like to use the supermarkets when in Tenerife as I can plan when to cook and when to eat out.

lord_cheeseman
31-05-2011, 11:03
The TV programme 'BENIDORM' promoted AI so much . . . . . . . . everybody wants to do it now !

If another resort/destination offered AI and Tenerife didn't, holidaymakers would go there instead. So rather than working out if AI is good for the economy, its better to agree that it has to be offered to keep up with the competition, whether its a good idea or not.

and the money these AI hotels generate can go towards regenerating the surrounding area, which in turn will entice tourists back to tenerife who don't want AI; put off by the fact that the main resorts had become a bit of a dump. Nearly all the dirt patches, scrub land and fly tips in the resorts have been cleared the local government are making a concerted effort make it more desirable. In my opinion the resorts are looking much better than they did 5 years ago, still a long way to go but they are getting there.

WeeJake
18-07-2011, 20:01
Firstly, This is not a "knock" on Tenerife. So those of you waiting quietly in the wings sharpening your knives or your tongues. "Be Still"!!

This has nothing to do with the numbers of tourists flying in on jet planes or how busy individual complexes are, the time of year or anything else statistical that can be thrown in the melting pot. AI has been with us for quite a while now so patterns of some sort or another must be emerging. Well they are to me.

This is a question from one Business Owner to Other Business Owners.

Now Being a Business Owner in Tenerife and having a great many negative thoughts on the impact the All Inclusive Hotel Trade has on "Particular Types of Businesses" in the area . Iīd like to ask the members, their thoughts and find out if you believe there Is a Positive Side to All of This?

To Me, Itīs obvious not all Businesses have suffered, i.e excursions will still be required/requested so therefore wonīt see an amazing difference. Taxi Drivers on the other hand, may see a big difference because they are no longer ferrying passengers to and fro between hotels and restaurants. Bars & Restaurants are definitely feeling the pinch, at least early doors they are. But what about after the bars and restaurants in the hotels close, is anyone getting really busy and staying open much later or have they all had their fill by then and are looking solely to be entertained.

The Estate Agents shouldnīt really be impacted either because their not so reliant on the tourists.

Some of the entertainers I know are really busy, but a lot of them have picked up hotel gigs (this being a positive aspect) whilst others canīt get the work.

Veronicas and Starco still get their trade "I think" but thatīs a whole different client base.

Another aspect of the AI is that "I thought" it would create loads more jobs for the locals. Now I canīt of course speak for everyone but the few Canarians I do know who work in hotels are, in some cases, being asked to do more for less or more work for the same money i.e no additional staff being taken on. (thus a negative aspect).

Have certain areas been hit more than others?

I know this subject has been discussed on more than one occasion but Iīm not looking for anyone who has a viewpoint on how people are running their businessīs and thatīs why their failing. or why you think some businessīs are better than others Iīm interested in those of you who "Have" a business. Those of you who are here working those businesses. And like I said are either having a Negative or Positive effect from it

To me, the ones who may be feeling the knock on effect could be :-
Bars, Restaurants, Entertainers, Taxi Drivers, Food Suppliers, Beer & Spirit Suppliers.

Remember now. Business Owners Only allowed on this one.

Iīm Curious to hear your thoughts.

slodgedad
18-07-2011, 20:13
IMPO. It is the worst thing that has happened to Tenerife for local small business men as most of us are (Self employed or employed by small business)

We have to live with it.

The moratorium that was announced a few years ago has gone largely ignored, I wonder why?

For every law there is a side step.

Gfplux
18-07-2011, 20:17
Slightly off topic.
What about the negative effect on the health who go AI.
Eating and drinking with no restraint can effect your health.
My last holiday in Tenerife was AI. My brain obviously believes that "if I have paid for it I will eat or drink it"
After 10 days of feeling having over eaten, I decided (perhaps) never again. There is no better feeling than when you feel good in your mind but more importantly in your body and AI is not for me.(perhaps)

tonypub
18-07-2011, 20:17
Firstly, This is not a "knock" on Tenerife. So those of you waiting quietly in the wings sharpening your knives or your tongues. "Be Still"!!

This has nothing to do with the numbers of tourists flying in on jet planes or how busy individual complexes are, the time of year or anything else statistical that can be thrown in the melting pot. AI has been with us for quite a while now so patterns of some sort or another must be emerging. Well they are to me.

This is a question from one Business Owner to Other Business Owners.

Now Being a Business Owner in Tenerife and having a great many negative thoughts on the impact the All Inclusive Hotel Trade has on "Particular Types of Businesses" in the area . Iīd like to ask the members, their thoughts and find out if you believe there Is a Positive Side to All of This?

To Me, Itīs obvious not all Businesses have suffered, i.e excursions will still be required/requested so therefore wonīt see an amazing difference. Taxi Drivers on the other hand, may see a big difference because they are no longer ferrying passengers to and fro between hotels and restaurants. Bars & Restaurants are definitely feeling the pinch, at least early doors they are. But what about after the bars and restaurants in the hotels close, is anyone getting really busy and staying open much later or have they all had their fill by then and are looking solely to be entertained.

The Estate Agents shouldnīt really be impacted either because their not so reliant on the tourists.

Some of the entertainers I know are really busy, but a lot of them have picked up hotel gigs (this being a positive aspect) whilst others canīt get the work.

Veronicas and Starco still get their trade "I think" but thatīs a whole different client base.

Another aspect of the AI is that "I thought" it would create loads more jobs for the locals. Now I canīt of course speak for everyone but the few Canarians I do know who work in hotels are, in some cases, being asked to do more for less or more work for the same money i.e no additional staff being taken on. (thus a negative aspect).

Have certain areas been hit more than others?

I know this subject has been discussed on more than one occasion but Iīm not looking for anyone who has a viewpoint on how people are running their businessīs and thatīs why their failing. or why you think some businessīs are better than others Iīm interested in those of you who "Have" a business. Those of you who are here working those businesses. And like I said are either having a Negative or Positive effect from it

To me, the ones who may be feeling the knock on effect could be :-
Bars, Restaurants, Entertainers, Taxi Drivers, Food Suppliers, Beer & Spirit Suppliers.

Remember now. Business Owners Only allowed on this one.

Iīm Curious to hear your thoughts.yes all of the above will be affected,i think resturants more so.the food and drink suppliers will have to adapt to supply the AI hotels or they will be replaced by other companies,people will always need to eat and drink and a hotel dont get free supplies.me personally,well my nearest hotel is an old type hotel,it was only ever 10% full.pretty grim for the owners,very few staff and disgruntled clients.the hotel got an intrest free loan from the local council and upgraded the whole hotel.it is now AI.instead of trying to win money off 100 tourists i now have 1000 tourists to try and tempt through the door,much easier imho.i didnt have entertainment on for a few years but now have,its a case of adapt or die.we have no right to the tourists money,we have to earn it.AI is what the consumer wants,the consumer is king.luckily theres plenty out there who like a quality drink and a change of scenery every now and again.

slodgedad
18-07-2011, 20:24
yes all of the above will be affected,i think resturants more so.the food and drink suppliers will have to adapt to supply the AI hotels or they will be replaced by other companies,people will always need to eat and drink and a hotel dont get free supplies.me personally,well my nearest hotel is an old type hotel,it was only ever 10% full.pretty grim for the owners,very few staff and disgruntled clients.the hotel got an intrest free loan from the local council and upgraded the whole hotel.it is now AI.instead of trying to win money off 100 tourists i now have 1000 tourists to try and tempt through the door,much easier imho.i didnt have entertainment on for a few years but now have,its a case of adapt or die.we have no right to the tourists money,we have to earn it.AI is what the consumer wants,the consumer is king.luckily theres plenty out there who like a quality drink and a change of scenery every now and again.

Unfortunately though, Tony. Some bars with extortionate outlays have suddenly become surrounded by AIs that weren't even a consideration in their business plan.

tonypub
18-07-2011, 20:29
Unfortunately though, Tony. Some bars with extortionate outlays have suddenly become surrounded by AIs that weren't even a consideration in their business plan.in any business your costs need to be under control,if its rent thats the huge outlay then its time to talk to the landlord,he is in business to.with no tenant he has no business.

slodgedad
18-07-2011, 20:43
in any business your costs need to be under control,if its rent thats the huge outlay then its time to talk to the landlord,he is in business to.with no tenant he has no business.

More easily said than done. A lot of Canarian owners would rather see their 'rental' empty than drop the price, or even keep it the same, especially if it has been successful.

The tenant is never credited rather the building and location.

tonypub
18-07-2011, 20:45
More easily said than done. A lot of Canarian owners would rather see their 'rental' empty than drop the price, or even keep it the same, especially if it has been successful.

The tenant is never credited rather the building and location.next time your in newscafe,ask how much rent they pay in the shed/cabin,youll be amazed.:crazy:

Added after 33 minutes:

back to all inc.we are currently benefiting from the middle east uprisings,all these tourists are all inc tourists.if tenerife dint do it,we wouldnt get them,simples.as most of you know tenerife has a returneys rate of something like 70% of first time visitors.all around us we see new this,new that,the tourists love it,tenerife is safe,as safe can be.AI is securing tenerifes long term future as a top destination.there aint many who will stay in the hotel all week,they do spend but not as much but,theres alot more of them to counter that.

Added after 4 minutes:

lol my pit man grammer is oops ,not very good.lol

Loaded
19-07-2011, 06:22
Unfortunately though, Tony. Some bars with extortionate outlays have suddenly become surrounded by AIs that weren't even a consideration in their business plan.

And most of those businesses probably never had a business plan....

Ed3229
19-07-2011, 07:29
Just done a quick like for like holiday comparison with what I paid booking myself and cheap AI deals......

My internet holiday 2 adults 2 kids 14 nights SC (Apartment,Flights/Luggage,Minibus to/from airport,)............Ģ1260.00
Same 14 nights AI in a like for like hotel,flights ect (could not find one as close to the beach as I have booked for my holiday)...Ģ2180....
OK I am taking about Ģ1500.00 to spend so the total will be Ģ2760.00 thats Ģ580 more but I will have a superior holiday with better food,better drinks,apartment will be great(rented from Brit) and I will not have to Queue for my food......So IMO AI is not better..........

Also the AI will cost extra money for trips out so you could add the Ģ580 extra and I have a chance to bring money home.

P.S Tonypub will see some of my Euro's in his bar......:cheers:

johnybravo
19-07-2011, 19:36
I think all inc hotels are very good for economy of Tenerife. Without that many peoples could choose other Islands which have all inc hotels. They are good for big families and for their budgets.

All inc hotels helps improve quality of service in pubs and bars.

slodgedad
19-07-2011, 19:41
I think all inc hotels are very good for economy of Tenerife. Without that many peoples could choose other Islands which have all inc hotels. They are good for big families and for their budgets.

All inc hotels helps improve quality of service in pubs and bars.

Do you really think so.

TenerifeFanatic
19-07-2011, 20:13
I think all inc hotels are very good for economy of Tenerife. Without that many peoples could choose other Islands which have all inc hotels. They are good for big families and for their budgets.

All inc hotels helps improve quality of service in pubs and bars.Ehhhh???????:confused:

marbro8
19-07-2011, 20:15
this question always amuses me because i personally think it's a no brain er, the only people who i see going on an ai are either those who are genuinely on a budget or those greedy *******s who do not move from the bar or buffet all day:eyebrows: i can get cheap flights, a great apartment(although illigal):eyebrows: eat whatever i want drink what i want and go wherever i want, with nice beer at 1.50 euros a pint and a descent meal for 7 euros :spin:

BobMac
19-07-2011, 20:16
I think all inc hotels are very good for economy of Tenerife. Without that many peoples could choose other Islands which have all inc hotels. They are good for big families and for their budgets.

All inc hotels helps improve quality of service in pubs and bars.

You have got to be kidding ??

If they are all-inclusive, they are not going to go out of the hotel to another bar to pay for a drink when they can stay in their hotel and drink as much as they want for free

johnybravo
19-07-2011, 20:46
You have got to be kidding ??

If they are all-inclusive, they are not going to go out of the hotel to another bar to pay for a drink when they can stay in their hotel and drink as much as they want for free

But the rest of the people who go out or local will get better service (at least should) over pubs, bars, restaurants. Those places have to fight this way to get customers (reason not so many customers so they have to work hard to get one). Part of it can be good entertainment as well. All inc increase quality of entertainment over Tenerife !!! Those people will recommend others to come and visit Tenerife just because they had great time in pubs, restaurants etc of course not only there (Tenerife is beautifully). Even If they visit all inc. all taxes form hotels goes stays over Tenerife (I hope so). That why Tenerife can think about building new roads or even rail. Many people will get jobs.

I think the question should be more likely

Are All Inclusive Hotels good for local business in Tenerife?

And my answer is yes and no.

BobMac
19-07-2011, 20:52
But the rest of the people who go out or local will get better service (at least should) over pubs, bars, restaurants. Those places have to fight this way to get customers. Part of it can be good entertainment as well. All inc increase quality of entertainment over Tenerife. Those people will recommend others to come and visit Tenerife. Even If they visit all inc. All taxes form hotels goes stays over Tenerife (I hope so)

Most of the UK package holiday companies are apparently only going to be offering All-Inclusive in Tenerife in the near future. If you take all these potential customers away from the small bars and cafes, they will not survive. The local bars and cafes will also have trouble keeping staff as all these all-inclusive hotels are going to need additional experienced staff to man the bars and restaurants all day.

The locals don't use the tourist bars and cafes, they use the back street premises which are geared up for locals, not tourists.

Some of the old well established restaurants and bars have already gone to the wall as things stand at the moment because of the downturn in the economy, all-inclusive will only speed up the problems for the others.

johnybravo
19-07-2011, 21:03
Most of the UK package holiday companies are apparently only going to be offering All-Inclusive in Tenerife in the near future. If you take all these potential customers away from the small bars and cafes, they will not survive. The local bars and cafes will also have trouble keeping staff as all these all-inclusive hotels are going to need additional experienced staff to man the bars and restaurants all day.

The locals don't use the tourist bars and cafes, they use the back street premises which are geared up for locals, not tourists.

Some of the old well established restaurants and bars have already gone to the wall as things stand at the moment because of the downturn in the economy, all-inclusive will only speed up the problems for the others.

Yes but because of that Tenerife economy will not suffer coz Tenerife having taxes from hotels must spend somehow like building somethings. And those people will get jobs anyway. More All inc hotels will make more hotel jobs and hotel related jobs - delivery companies etc . So money will flow anyway.

This can bring something else good this time for local people. Cheaper rents for bar, pubs, restaurants places. There will be so many empty that owners will beg to rent.

Tenerife economy isnīt only pubs and restaurants !

slodgedad
19-07-2011, 21:32
Yes but because of that Tenerife economy will not suffer coz Tenerife having taxes from hotels must spend somehow like building somethings. And those people will get jobs anyway. More All inc hotels will make more hotel jobs and hotel related jobs - delivery companies etc . So money will flow anyway.

This can bring something else good this time for local people. Cheaper rents for bar, pubs, restaurants places. There will be so many empty that owners will beg to rent.

Tenerife economy isnīt only pubs and restaurants !

Exactly. The Tenerife economy is run by people spending money on the island.

If someone pays two grand to a holiday company in the UK and all that comes to Tenerife is the basic cost of the holiday. (Profit staying in the UK)

How can that possibly benefit the local TAX PAYING economy?

johnybravo
19-07-2011, 21:45
Exactly. The Tenerife economy is run by people spending money on the island.

If someone pays two grand to a holiday company in the UK and all that comes to Tenerife is the basic cost of the holiday. (Profit staying in the UK)

How can that possibly benefit the local TAX PAYING economy?

The Tenerife economy is run by people spending money on the island - yes and they will spend the money but in different way.

If someone pays two grand to a holiday company in the UK and all that comes to Tenerife is the basic cost of the holiday. (Profit staying in the UK) - but that basic give jobs. And more basics money more jobs. And if there was no profit Tenerife hadnīt so many hotels. Profit get everybody but the amount of it thats a different story. Somebody have to earn many over UK as well. Those people working over travel agencies go on holidays as well so they will spent that many anyway. I hope they will do this over Tenerife.
Remember because of these travel agencies Tenerife have at least basic. There is so many lazy, silly people or people with families they will not make holiday on their own. They use travel agencies.

How can that possibly benefit the local TAX PAYING economy? - as I said there is no only tax which will help make more jobs for those who lost own business. You have to read more carefully. There will be plenty of extra hotel and hotel related jobs


"" While the local restaurants and bars don't see a lot of business from all inclusive resort guests, they do benefit from the all inclusive resorts. The tax revenue generated by the all inclusive resorts leads to better airports, roads, schools, medical facilities, etc... The people employed by the all inclusive resorts support families and the restaurants and bars within the local economy ""

"" The small resorts and restaurants in Negril, Jamaica don't see direct money from the guests staying at the all inclusive resorts, but they do benefit from the new road that was partially funded by all inclusive resort tax revenue. They also benefit from thousands of relaxed visitors telling their friends how awesome the beach is in Negril. ""

http://www.allinclusiveblog.com/profiles/blog/show?id=818693%3ABlogPost%3A16050&commentId=818693%3AComment%3A16670&xg_source=activity

BobMac
19-07-2011, 22:03
Yes but because of that Tenerife economy will not suffer coz Tenerife having taxes from hotels must spend somehow like building somethings. And those people will get jobs anyway. More All inc hotels will make more hotel jobs and hotel related jobs - delivery companies etc . So money will flow anyway.

This can bring something else good this time for local people. Cheaper rents for bar, pubs, restaurants places. There will be so many empty that owners will beg to rent.

Tenerife economy isnīt only pubs and restaurants !

Sorry to state the obvious on this but where exactly is this extra money coming from ??

The hotels costs are going to go up because of the extra staff they will need but the guests won't be spending any money in the hotels if they are all-inclusive so how is the hotel going to pay the extra staff ??

If you look at the number of shops, bars & restaurants which are already empty and up for sale or rent, most of the owners won't rent them out or sell them at a reduced rate no, so what makes you think that their attitude will change ? Most of them seem to be adopting the attitude that they will leave it empty and boarded up before they will accept a reduced price for it.

The only time guests will venture out of an all-inclusive hotel will probably be on organized trips and they won't spend any money while they are out unless they absolutely have to.

If my memory serves me correctly, most all-inclusive hotels also have souvenir shops in them so the local shops will also lose out.

johnybravo
19-07-2011, 22:04
Hey where my post disappeard.

slodgedad
19-07-2011, 22:09
Sorry, auto mod blocked it as it does with all new members posts with links in (Over excited spam blocker).

I have put it back in

johnybravo
19-07-2011, 22:19
The hotels costs are going to go up because of the extra staff they will need but the guests won't be spending any money in the hotels if they are all-inclusive so how is the hotel going to pay the extra staff ??


If there will be more all inc. Hotel will earn more money coz all inc is more expensive. Most of the hotels will need more people to prepare more food or more waiters to serving drinks etc. Those product which going to hotel must come form somewhere? There will be plenty of work to prepare and deliver more products to hotels cos they will start using more and more. if they will not do this people will not come back to the same hotel again just because everything was so slow cos not enough time or food wasnīt on time cos the same reason etc. More all inc tourist much more mess in rooms over hotel. Need more cleaners. More people eat more dishes they use. Hotel needs extra cleaners as well to be able to deliver clean dishes on time.

I am not trying to say that this will happen. It is just my theory. It may happen or may not.

slodgedad
19-07-2011, 22:25
So a hotel, in amongst 20 other businesses who used to pay a lot of tax and employ a lot of people directly or indirectly that have had to close, is better for the economy?

Just think about it.

AI customers bring nothing to the island except themselves, free booze and food vouchers (paid for in the UK)

timmylish
19-07-2011, 22:31
First of all, I appreciate the candid response from Tonu on this thread. He is in the front line and obviously has made such changes to ensure survival (or netter I hope!) whether he wanted to do or not!
Im out of the equasion, so to speak, but I,ve always instinctively disliked the idea of AI. With a few exceptions I am of the opinion that the quality of tourist has dropped because of the type attracted to staying around the hotel for the duration to ensure that he gets his money,s worth.
I can see no reason why this type of holiday increases the quality of the bars and restaurants nearby and in fact the reverse is likely to be true. As for creating more jobs in the hotel industry is concerned that is just a big NO NO. Management get more out of the staff currently employed. Also, from what I have ascertained from Russian clients they reckon not only that but the actual service has become worse, which is what I would expect if they are being asked (told) to undertake more work with no increase in wages. As for tips, which as most will realise was a fair proportion of the staff,s income, has now reduced to almost nil! 10% of your wages stopping over-night is a bit hard to live with especially when you also realise that their wages structure was poor anyway!
The actual long term effect on Tenerife is anyone,s guess. No-one, and I mean NO-ONE can genuinely tell us. What we do know is that at present the numbers of bums on seats on aircraft landing at our 2 airports is increasing, albeit minimally. So, in the short term it should be a case of holding on to what we,ve got, encourage as many new arrivals to return in the next 12 months and also hope that the unrest elsewhere (heaven help the populations and I wish them no harm) continues to persuade people to come here, as I believe that once they are in the habit of coming to Tenerife they never lose that habit!
Others are in a better position to comment but I wanted to add my twopence worth.

MaxineC
19-07-2011, 22:39
Some of you are presuming AI guests never leave the hotel, this is not the case... When my son was younger, and just the 2 of us were travelling, I always went to them. Ok, they were few & far between then, and the quality good, but we still regularly ate out and spent money in many of the local businesses, as did lots of the other guests!

Yes, there will always be those that don't step out the hotel, but most will venture out at some point... Some of them may even become the regular visitors/owners of the future, once children have grown up and flown the nest! ;)

johnybravo
19-07-2011, 22:48
So a hotel, in amongst 20 other businesses who used to pay a lot of tax and employ a lot of people directly or indirectly that have had to close, is better for the economy?

Just think about it.

AI customers bring nothing to the island except themselves, free booze and food vouchers (paid for in the UK)

I donīt know that exactly I only suppose. To know that somebody must check and compere that more carefully. It seems be that you are right about it. But market is market.

This is not fair saying that AI customers bring nothing to the Island. Everybody brings money and in my opinion they are likely to spend it outside the hotel. I think the reason why there is feeling that people spending less is because rate pound-euro and not really ai option. I believe in free choice. I donīt like that there will not be possibility to buy sc,bb,hb holiday whey buying thru agencies.

9PLUS
19-07-2011, 22:52
Good in moderation


OK

Muppet
19-07-2011, 23:48
Some of you are presuming AI guests never leave the hotel, this is not the case... When my son was younger, and just the 2 of us were travelling, I always went to them. Ok, they were few & far between then, and the quality good, but we still regularly ate out and spent money in many of the local businesses, as did lots of the other guests!

Yes, there will always be those that don't step out the hotel, but most will venture out at some point... Some of them may even become the regular visitors/owners of the future, once children have grown up and flown the nest! ;)

Sorry Max, I have to disagree with you on this one. The entire principle of AI is that you book your holiday in advance at an AI resort because you know in advance exactly how much it will cost you, and as a result the mentality is that you are determined to get what you paid for.

Just take a look at any Trip Advisor reviews on AI hotels here and time after time you will see people posting that they went out once to the town and didnt like it so didnt bother again.

More often than not, the reasons they didnt like it was because they felt the local areas were "run down" with broken pavements, crappy english out of date bars, looky looky men and so on, on the surface harsh perhaps, but in truth often not far off the mark.

AI has taken traditional bars and restaurants off the streets, which in turn makes areas look run down and deserted. The mistake made I feel was that when the AI industry began to grow 10/15 years or so ago, a local levy per head or bed should have been introduced conditionally as permission to operate. Today, this levy should be being used to lower rates and enable traditional traders to still operate and provide revenue for either local or national authorities to spend on maintenance of local amenities, but it is too late now. AI could have been a great opportunity for the island, but sadly it is not much more than a burdon.

Whilst I am no fan of the UK, which is why I am here, one thing they do have correct is the system of rent reviews. If you are a tennant in a town centre business you do have the opportunity to have your rent reviewed and set in law at a reasonable level. Here however, if your landlord decided to double or treble your rent because he or she feels like it, or even because he or she doesnt like you personally, I believe I am correct in saying that there is no right of appeal. Rent on Locals here is extraordinarily out of proportion to potential revenues and each time a trespaso is sold on the landlords add another 20% - total madness.

MaxineC
20-07-2011, 00:04
I can only talk from my own experiences Muppet, and many of the other guests of the hotel that also didn't tie themselves to just there. Undoubtedly there were people there that made sure they got every pennys worth out of the hotel, but certainly not the majority...

Of course there will always be people that come across and vow never to return, for a variety of reasons, irrespective of the type of accommodation they chose...

Leena
20-07-2011, 11:38
On my last holiday in Tenerife I was staying on one of the smaller resorts and went to a local hairdressers. Another customer in there was staying at an AI hotel where she complained the food was the same every night and by 10 oclock the previous night the guests had drunk the bar dry of gin. The barman refused to let them have the branded gin so they were unhappy. I asked if they had been to any of the local bars and restaurants to which she replied no as they only brought 100 euro with them "in case of emergency" per couple as everything was paid for. She then went on to complain that the resort was very quiet and all the shops and bars had closed down:confused: Incidently the trip to the hairdressers was her treat as they hadnt spent any of their 100 euro!

johnybravo
20-07-2011, 20:20
On my last holiday in Tenerife I was staying on one of the smaller resorts and went to a local hairdressers. Another customer in there was staying at an AI hotel where she complained the food was the same every night and by 10 oclock the previous night the guests had drunk the bar dry of gin. The barman refused to let them have the branded gin so they were unhappy. I asked if they had been to any of the local bars and restaurants to which she replied no as they only brought 100 euro with them "in case of emergency" per couple as everything was paid for. She then went on to complain that the resort was very quiet and all the shops and bars had closed down:confused: Incidently the trip to the hairdressers was her treat as they hadnt spent any of their 100 euro!

These people probably hadnīt so much money so glad that they made it anyway and Tenerife should be happy that they went to Tenerife not somewhere else. At least something in for tax income. Donīt expect that only rich people go on holidays. And you have to understand that not always sc or bb is cheaper than all in.

Added after 10 minutes:


Sorry Max, I have to disagree with you on this one. The entire principle of AI is that you book your holiday in advance at an AI resort because you know in advance exactly how much it will cost you, and as a result the mentality is that you are determined to get what you paid for.

Just take a look at any Trip Advisor reviews on AI hotels here and time after time you will see people posting that they went out once to the town and didnt like it so didnt bother again.

More often than not, the reasons they didnt like it was because they felt the local areas were "run down" with broken pavements, crappy english out of date bars, looky looky men and so on, on the surface harsh perhaps, but in truth often not far off the mark.

AI has taken traditional bars and restaurants off the streets, which in turn makes areas look run down and deserted. The mistake made I feel was that when the AI industry began to grow 10/15 years or so ago, a local levy per head or bed should have been introduced conditionally as permission to operate. Today, this levy should be being used to lower rates and enable traditional traders to still operate and provide revenue for either local or national authorities to spend on maintenance of local amenities, but it is too late now. AI could have been a great opportunity for the island, but sadly it is not much more than a burdon.

Whilst I am no fan of the UK, which is why I am here, one thing they do have correct is the system of rent reviews. If you are a tennant in a town centre business you do have the opportunity to have your rent reviewed and set in law at a reasonable level. Here however, if your landlord decided to double or treble your rent because he or she feels like it, or even because he or she doesnt like you personally, I believe I am correct in saying that there is no right of appeal. Rent on Locals here is extraordinarily out of proportion to potential revenues and each time a trespaso is sold on the landlords add another 20% - total madness.

I am sure that there is plenty pubs bars and restaurant on Tenerife doing great. Ask yourself why?
Donīt expect that people will be financing these crappy ones just to help them build up. Your business are too weak you will die.
Somebody else stronger will take your place over or not. Normal natural wildlife. There is reason why people donīt come over the crapy ones. Not only because there is less tourists they donīt have customers. Even if there will be more donīt expect that they will go there. No they will go to the recommended ones. And people will spend money there and more tourists will not change anything. This will not help survive weak business.

BobMac
21-07-2011, 08:08
These people probably hadnīt so much money so glad that they made it anyway and Tenerife should be happy that they went to Tenerife not somewhere else. At least something in for tax income. Donīt expect that only rich people go on holidays. And you have to understand that not always sc or bb is cheaper than all in.

Added after 10 minutes:



I am sure that there is plenty pubs bars and restaurant on Tenerife doing great. Ask yourself why?
Donīt expect that people will be financing these crappy ones just to help them build up. Your business are too weak you will die.
Somebody else stronger will take your place over or not. Normal natural wildlife. There is reason why people donīt come over the crapy ones. Not only because there is less tourists they donīt have customers. Even if there will be more donīt expect that they will go there. No they will go to the recommended ones. And people will spend money there and more tourists will not change anything. This will not help survive weak business.

Can you please supply an example of an AI which is cheaper than SC or BB on a like for like basis ?? I have never seen one and I don't believe that they exist.

Pubs and bars doing great ?? Yeh, sure. That's why so many have closed down.

The sole reason for anyone booking an AI holiday is that they know exactly what is included and THAT they will only need a minimum amount of spending money for incidentals. No one is going to book an AI holiday then go out of the hotel to eat and drink.

jas
21-07-2011, 09:37
some valid points on both sides here, positive and negative.

Having had four businesses here in Tenerife, all in the pub/restaurant game, i feel qualified to add my pennysworth.

Everyone agrees that Tenerife needs more tourists and that AI has a role to play in that - it appeals to a particular sector of the market. However, that market should have been controlled from the outset, i personally agree with the levy idea supporting the immediate area to that hotel.

The profit gained on all inclusive clients is to say the least tight, hence the reason for local spirits, cheaper food costs, etc etc. However the idea of hotels employing staff in abundance is a non starter. Non AI hotels offer a much higher quality of service as part of their stategy for customer satisfaction and hence return visits. AI hotels have to use self service buffet style operations to contain their costs and as such waiters are little more than cleaners. Speaking from experience, the waiters who work in a hotel that has converted to AI work much harder (no extra staff,in fact staff that initially left the hotel were not replaced) and the satisfaction factor of their employment has been reduced.

To put it in perspective the village of Playa Paraiso some 10years ago when all four hotels were non - AI was a thriving little place even the difficult to find off the beaten track places did well. (At that stage there were only 3 hotels) There was not an empty local to be seen and even the 'crappy' bars did well - each to their own. However look at it now with more than 60% of all the locals empty - the reason being that all the hotels are AI. It is not acceptable to put the blame on bad management on all these bars, restaurants, shops and specialist outlets. I don't think that the new shopping centre has even opened it's doors - nobody wants a local in a dying town. as such the people that do venture out of their AI hotels regard Playa Paraiso as a ghost town. Had the market been limited to one AI hotel in this village i think today you would have seen a differnt picture - yes certainly the bars would have had to upgrade to compete - that I'm all in favour of.

Tenerife has a high loyalty factor with Tourists returning time and time again so we must be doing something right but this unchecked proliferation of AI hotels will starve local communities of the very businesses they fought to set up. Whilst i appreciate that the winter market will leave their hotel and eat out/buy goods etc the summer holiday market is a very different kettle of fish. I am stunned to see tourists leaving their AI hotel with large water bottles filled with beer to sit on the beach with a picnic of food taken from the hotel. These people have no intention whatsoever of buying anything!

I now consider myself truly fortunate that, owing to ill health, we made the decision to sell our businesses. At the time it was heart wrenching but with hindsight, the crisis and AI how lucky were we.

Muppet
21-07-2011, 11:30
I think the above post sums the situation up rather well. The concept of AI has changed since its early days when it was new and novel, at that time holiday makers were still used to getting out and exploring the area they were staying in and yes, stopping off at the local bars and shops. But as time has passed so have the expectations of the tourists - everyone wants everything and more for their money and will stay inside the perimiter fences of their compounds, or, as above, only go out with supplies provided by the Stalag.

johnybravo
21-07-2011, 14:25
Can you please supply an example of an AI which is cheaper than SC or BB on a like for like basis ?? I have never seen one and I don't believe that they exist.

Pubs and bars doing great ?? Yeh, sure. That's why so many have closed down.

The sole reason for anyone booking an AI holiday is that they know exactly what is included and THAT they will only need a minimum amount of spending money for incidentals. No one is going to book an AI holiday then go out of the hotel to eat and drink.

You didnīt understand what I meant.

First quickly example: via travelrepublic

Columbus Hotel - 14 Days check today

Self Catering
Ģ634

All Inclusive
Ģ796

I am not going to discus if the hotel is good or not. But see difference? 162 GBP this is for 1 person.
Are you going to have for 162 pounds breakfast, dinner and supper + unlimited drinks desserts +++ depends what hotel include in all inclusive option for 14 days? I would say not possible and generally taking bb will cost you more at the end of your holidays. You eat as much as you want. I honestly many times booked all inc or hb and only used 2-3 times during my stay. Mainly I eat outside. There is plenty of people doing like that.

Pubs and bars doing great ?? Yeh, sure. That's why so many have closed down. - You donīt read carefully !!!
I didnīt say that all pubs are doing great. I said look at these which are doing great. And arenīt closed.

Added after 5 minutes:


I am stunned to see tourists leaving their AI hotel with large water bottles filled with beer to sit on the beach with a picnic of food taken from the hotel. These people have no intention whatsoever of buying anything!

But the problem is why they have no intention of buying anything? If somebody would give them more money I am sure they would eat drink and partying outside hotel all holidays. Be happy that they choose Tenerife instead different country.

jas
21-07-2011, 15:18
I reiterate what has been pointed out in several posts before in answer to johnybravo that is to say that the AI market appeals to a market sector who want to know exactly what they are getting for their money and that, if necessary, they do not need any extra spending money whatsoever.

Comments such as ' if someone gave them more money' are hardly the point.

It is time that we all recognised that the AI segment of the market (albeit here to stay) induces a mentality of it not being necessary to spend anymore.

Similarly, because of the crisis the british in particular have developed a mentality of not spending unnecessarily. I know people, who by my standards are fabulously wealthy, who have cut their cloth accordingly. My own mother, who really does not have a money worry in the world as far as i can see, and her peer group, have all cut back, in some cases substantially, not because they need to, but because it is now the 'mood' of the country. In other words an induced mentality! The crisis has highlighted that wages are not keeping up with inflation, that the credit card explosion was a false economy, that jobs once thought of as secure for life are disappearing and so on.

These are the reasons why, - not 'somebody giving them more money'

junglejim
21-07-2011, 15:54
My doctor , who is relatively well paid, chose an AI holiday for the convenience of her family group and herself. I wasn't the cheapest AI but it meant that she could relax in her accommodation and if her kids wanted drinks , ice cream, burgers etc. then she wasn't being hassled all the time to open her bag, purse etc. it meant she didn't have to worry about cooking or fetching food in, no set meal times as such and she thought it was ideal for her circumstances having been on different styles of holidays , including Tenerife .
I have seen others in Tenerife who are on AI with the wristbands coming into bars later on complaining of facilities, availability and variety of choice and even one soul who thought their wristband entitled them too free drink in bar !
Some hotels seem to do a reasonable deal i Tenerife whilst others literally scrape the barrel with food and drink , I think you get what you pay for .
I have never been on AI other than on a cruise ship and on one particular ship it was very poor food - what you didn't eat on Monday you got as a soup 3 dayslater !!
There is no doubt in my mind it has changed peoples' attitudes to the local bars and more so restaurants in that they come out from their AI and spend much less in local economies .
My own preference would be S/C and explore local suggested restaurants but since I stay in Tenerife a large portion of year I mostly cook indoors( which I enjoy) and all provisions are bought locally. Nearly all of my drinking is done out in bars as I am not into drinking indoors .
AI is here to stay as it appeals generally to people with limited budgets- the difficulty ahead for bars and restaurants is what strategy will work to get back that share of market ?

timmylish
21-07-2011, 15:55
Jas. I have to say that you have rather succinctly put what I,ve been trying to write for years regarding my misgivings on AI holidays. Thank you very much. I am not going to try to add anything for fear of degrading the posting!

Added after 5 minutes:


My doctor , who is relatively well paid, chose an AI holiday for the convenience of her family group and herself. I wasn't the cheapest AI but it meant that she could relax in her accommodation and if her kids wanted drinks , ice cream, burgers etc. then she wasn't being hassled all the time to open her bag, purse etc. it meant she didn't have to worry about cooking or fetching food in, no set meal times as such and she thought it was ideal for her circumstances having been on different styles of holidays , including Tenerife .
I have seen others in Tenerife who are on AI with the wristbands coming into bars later on complaining of facilities, availability and variety of choice and even one soul who thought their wristband entitled them too free drink in bar !
Some hotels seem to do a reasonable deal i Tenerife whilst others literally scrape the barrel with food and drink , I think you get what you pay for .
I have never been on AI other than on a cruise ship and on one particular ship it was very poor food - what you didn't eat on Monday you got as a soup 3 dayslater !!
There is no doubt in my mind it has changed peoples' attitudes to the local bars and more so restaurants in that they come out from their AI and spend much less in local economies .
My own preference would be S/C and explore local suggested restaurants but since I stay in Tenerife a large portion of year I mostly cook indoors( which I enjoy) and all provisions are bought locally. Nearly all of my drinking is done out in bars as I am not into drinking indoors .
AI is here to stay as it appeals generally to people with limited budgets- the difficulty ahead for bars and restaurants is what strategy will work to get back that share of market ?

Jim. Not wishing to be pedantic I feel your opening line rather contradicts your final two lines. And that is what worries me. Simply, if it were just an appeal to limited budget holidaymakers then sobeit. However when it draws in people like doctors, irrispective of the ease factor, then we should really worry because that could be the final straw for locations like Tenerife. That is the very first, and I hope the very last time, I make such a negative opinion on the future of my Island.

Sundowner
21-07-2011, 16:12
One of the guys I work with got back from Tenerife 2 weeks ago after a weeks AI at The columbus Hotel, He paid just over Ģ800 for 2 adults and 1 child (4 years)
He had never been to Tenerife ( and went on my recommendation) and after looking at flight prices apartment rentals and hotel costs decided AI was the safest option for him and his family. While he was there he visited aqualand twice and the monkey park once and Los Vistas beach a couple of times. His wife brought 4 dresses and 2 pairs of shoes and they ate out every night as they found so many good restaurants, their favourite which they visited twice was called La Terrazza del Mare near Playa de Troya. He said they spent their last night there and his wife cried because she had to go home next day and wanted to stay forever. They are making plans to go back at Christmas, but will not be using AI next time.

Ed3229
21-07-2011, 17:57
One of the guys I work with got back from Tenerife 2 weeks ago after a weeks AI at The columbus Hotel, He paid just over Ģ800 for 2 adults and 1 child (4 years)
He had never been to Tenerife ( and went on my recommendation) and after looking at flight prices apartment rentals and hotel costs decided AI was the safest option for him and his family. While he was there he visited aqualand twice and the monkey park once and Los Vistas beach a couple of times. His wife brought 4 dresses and 2 pairs of shoes and they ate out every night as they found so many good restaurants, their favourite which they visited twice was called La Terrazza del Mare near Playa de Troya. He said they spent their last night there and his wife cried because she had to go home next day and wanted to stay forever. They are making plans to go back at Christmas, but will not be using AI next time.

As I said in a earlier post......Just do the maths..

Just done a quick like for like holiday comparison with what I paid booking myself and cheap AI deals......

My internet holiday 2 adults 2 kids 14 nights SC (Apartment,Flights/Luggage,Minibus to/from airport,)............Ģ1260.00
Same 14 nights AI in a like for like hotel,flights ect (could not find one as close to the beach as I have booked for my holiday)...Ģ2180....
OK I am taking about Ģ1500.00 to spend so the total will be Ģ2760.00 thats Ģ580 more but I will have a superior holiday with better food,better drinks,apartment will be great(rented from Brit) and I will not have to Queue for my food......So IMO AI is not better..........

Also the AI will cost extra money for trips out so you could add the Ģ580 extra and I have a chance to bring money home.

TenerifeTeddy
21-07-2011, 18:32
The most fantastic holidays we ever had were in a 5 star AI spa resort in Grenada, West Indies, everything about the place was superb, and it was truly AI, it was luxurious and anything available on the resort any time was free. Funnily enough, perhaps because of the setting no one abused it. We still went out on all the trips and hired a car to sightsee.

At the opposite end of the scale the first time we came to Tenerife we got an AI deal in Ocean Club in Callao Salvaje. To be fair you get what you pay for and it was pretty dire, but we only wanted to use it as a base to visit friends. All the local bars and restaurants did a roaring trade with the people staying there because they would escape for some decent food and drinks. The AI there was limited to the buffet meals and a few hours local beers and spirits in the evening.

So I guess you pays your money and takes your chance, but IMO if its very cheap there must be a reason.

conway
21-07-2011, 18:54
We have done all inc ten times, however never in Tenerife. We've been to Tenerife 14 times now, the first 2 times in half board hotels (bouganville and Torviscus playa) we thought neither hotel warranted the 4 star rating and have since done our own DIY holiday booking a home from home apartment. We spend three weeks in the summer (only seven more sleeps) and we eat out every night, sometimes also for breakfast and we both like a drink or 3. We come we spend all of our money and enjoy every minute of it! We know we wouldn't want the trap of all inc in Tenerife there are way too many bars and restaurants!

junglejim
21-07-2011, 19:31
I can see your point Timmy but I did say generally , my Docīs choice wasnīt cheap ! My Daughter has been AI mainly in Mexico and the cost was over 1200 quid each but fully worth it when they tried out the local area which was a tourist trap and beyond which was decidedly unsafe , something like parts of the Carribean these days .
I still think in AI you get what you pay for - SC you have a relatively limitless option and comparable expense, especially if you research a Forum like this first !