The effect of COVID-19 on operating costs: The perspective of hotel managers in Antalya, Turkey

OpenAlex İngilizce

This paper aims to determine whether coronavirus (COVID-19) causes cost increases in accommodation enterprises and, if any, what these costs are. Additionally, executive perspectives were taken on operational budgets for 2020, occupancy rates, profitability, the decision to stay on or off, and expectations for the following year. The case study employed a qualitative research method, a multiple caseholistic design, and semi-structured interviews to elicit data. The data were collected from ten hotel managers in four- and five-star hotels in Kemer, Antalya, and serve as a sample for the study. COVID-19 has revealed the costs associated with hotel security and health measures, hygiene and cleanliness, and technological tools. Apart from these, legal restrictions have reduced the tourism season in hotel businesses from eight to four months. Business occupancy rates remained between 45- 60 per cent. Additionally, there was a 60% negative deviation in the enterprises' budget targets. Hotel managers were more concerned with achieving breakeven, keeping staff employed, and maintaining the hotel's image than with achieving the expected profit.