A survey conducted by the Association of Serviced Apartment Providers (ASAP) amongst its 56 members has revealed strong levels of optimism for growth in the UK and Ireland during 2013.

74% of members expected their businesses to increase overall during 2013, and 50% of those expected an increase of up to 10% this year, whilst 20% expected an increase of over 10%.

19% of members said that they expected their businesses to stay at the same level as last year.

Many of ASAP’s members are introducing new added value benefits for clients this year. These include:

• Earlier check-in and later check-out times
• Discount vouchers for local restaurants/bars/spas/tourist attractions
• Continental breakfast
• Gym membership – discounted membership or vouchers to access local gyms, or free gym on site
• Complimentary Wi-Fi, depending on length of stay
• Loyalty programmes
• Butler service
• Free parking
• Free movies

Many of the above incentives are available for direct online bookings only.

In terms of rates, 59% of members are increasing their rates this year, whilst 32% will be holding their 2012 rates.

Several members have plans to expand their portfolio of properties in 2013, which is a further indicator of the optimism in the sector.

London, the Thames Valley (including Reading & Bracknell), Cambridge and Derby are identified as key growth areas.

Said ASAP chairman David Smith, “It is very encouraging that, in spite of the challenging economic situation, the majority of our members are expecting a good level of growth for their business in 2013 and are finding new ways to deliver additional value to their clients”.

The association’s latest occupancy figures confirm that the overall average net weekly rental figure for London for 2012 was  £1105–a 17% increase on the 2011 level with overall average occupancy for London at 83%, just one percentage point below that of the previous year.

For other regions overall occupancy for the year was 79%, a one percentage point increase on 2011, with the average net weekly rental being £606, just under one percentage point lower than last year.

October was the month that delivered the best occupancy for the final quarter of the year; 89% for London and 82% in the regions.

Keep up with this growing sector in the Spring 2013 issue of Re:locate with features on the international serviced accommodation picture, London as a relocation destination and a special focus on managing global people.

Source: Re:locate Magazine