As a highly celebrated event, recently voted onto the list of icons of England, the carnival showcases the vibrant culture and spirit of the local community
As London prepares for the vibrant beats and colourful parades of the world-famous Notting Hill Carnival from August 24-26, a new study conducted by the software firm Data Appeal Company has predicted a significant boost to the local and broader London economy.
According to the survey, the Notting Hill Carnival is expected to draw a record attendance of 2 million visitors to the festivities. This notable turnout would potentially cement the carnival’s status as one of the world’s largest street festivals, the statement adds.
As a highly celebrated event, recently voted onto the list of icons of England, the carnival not only showcases the vibrant culture and spirit of the local community but also attracts a diverse audience.
The statement adds that both domestic and international tourists flock to London for this colourful celebration, which has a significant impact on the city’s tourism economy, extending well beyond the immediate event dates.
According to the survey, recent data highlights a significant shift in the demographics of Carnival attendees with a growing international appeal. Traditionally dominated by local participants, the upcoming carnival is anticipated to draw an even larger number of international visitors, building on last year’s trend.
In 2023, the share of international visitors during carnival week saw a marked increase compared to the rest of the year, with particularly strong representation from Germany, the United States and the Netherlands.
Projected sector-specific boosts
The report goes on to examine the specific areas of tourism receipts due to the festival notably food and beverage, hospitality and transportation.
The report says that the largest portion of spending is allocated to food and drink, that takes in 59 pc of all expenses, highlighting the carnival’s role in stimulating local restaurants, food stalls, and beverage vendors.
Hospitality takes in 21 pc of expenses, providing a major boost to local hotels, guesthouses and short-term rentals, says Data Appeal Company, adding that with 20 pc of all expenses, transport is also a major contributor to the local economy.
Hospitality surge and rates spike
The Notting Hill area is bracing for a dramatic increase in hotel occupancy, with Online Travel Agency (OTA) saturation predicted to peak at 84.8 pc during the festival, according to the survey.
This surge indicates extremely high demand, with almost all available accommodation booked in the area. It far exceeds London’s overall expected peak of 23.5 pc during the same period, highlighting the event’s localised impact.
Average hotel rates in Notting Hill are projected to jump by 8.4 pc at the start of the carnival, reflecting the high demand for accommodations.
The economic impact extends beyond the three-day event, with rates beginning to climb several days prior, rising from GBP 154.2 on August 21 to GBP 211.1 on August 23.
Mirko Lalli
The highest average rate is expected on the day the carnival starts, August 24th at GBP 229. Post-event rates in Notting Hill drop dramatically to GBP 150.3 on August 27, a 21 pc decrease from the carnival’s final day.
“The Notting Hill Carnival has a significantly more pronounced effect on the local area than it does on London as a whole. Nevertheless, the Carnival remains a highly attractive event with a huge economic impact on the English capital. No other event in London can rival its high attendance and spending figures in August,” says Mirko Lalli, CEO and Founder of Data Appeal Company.
“This proves that it is no longer just a fun event for residents, as some media outlets claim. It has become an international attraction with global appeal. It is crucial for tourist destinations and all stakeholders, in particular hospitality and F&B operators, to monitor the growth of events and their impact on the territory. This allows them to seize the most profitable opportunities as trends change and to redirect tourist flows to reduce pressure during peak periods,” Lalli adds.
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