Business tourism will be worth more than €1 billion to the economy by 2013, more than double its current value, according to a Fáilte Ireland forum set up to promote the Republic as a destination for business visitors.
However, the imminent closure of three Dublin hotels could derail efforts to market the city to overseas businesses, Fáilte Ireland chief executive Shaun Quinn warned.
The Fáilte Ireland business tourism forum's ambitious forecast assumes that the number of business visitors will increase steadily from 295,000 in 2006 to almost 600,000 in 2013.
The completion of the National Conference Centre in 2010 is expected to bring in an additional 20,000 visitors in its first year, rising to 54,000 in 2013.
The Open Skies deal to liberalise transatlantic air routes, a favourable change to the VAT regime on business accommodation expenses and increased marketing activities overseas are also expected to boost numbers.
Revenues from business tourism amounted to €447 million last year, with the average value of each visitor estimated at €1,380, or €293 per day. The amount of money each visitor spends is expected to decline by 2 per cent as a result of shorter average stays, however.
The forum said that it was concerned by short-term capacity constraints and lack of city-centre hotel beds in Dublin. The Berkeley Court Hotel and Jurys in Ballsbridge are expected to close in August, while it is likely that the Burlington will close next January. All three sites were sold to developers.
The three hotels provide 2,100 sq ft in banqueting facilities.
This space will be comfortably exceeded by the National Conference Centre site, which will provide 4,800 sq ft in exhibition and banqueting facilities, as well as a 250-bed hotel.
But the next three years will see a short-term reduction in bed and banqueting capacity, Mr Quinn said.
"Although the number of new hotel rooms is increasing, they tend to be on the periphery of the city," he added. This is not ideal for business tourists.
Speaking at an industry briefing yesterday, the chairman of the business tourism forum, Peter Malone, said that business tourists were increasingly important as they spend more money than other tourists.
But he added that the forum remained concerned about the lack of venues catering for 1,000 people or more.
