The Rainbow Tourism Group’s board of directors have resolved to scale down operations at the loss making Rainbow Beitbridge Hotel with effect from May 31.
It is understood that the 136 room hotel has been incurring loses over the last two years amounting to $2 million forcing the company to close shop in the border town.
The closure of Rainbow Beitbridge Hotel comes five months after African Sun shut down its Beitbridge Express Hotel due to an accrued loss of $507 910 for the past two years. In a statement today, the RTG board of directors said they arrived at the decision to scale down operations following several consultations.
“Market factors characterised by depressed occupancies, low margins as well as high operating costs were the major contributing factors for exiting Beitbridge.
“Operational costs at the hotel were no longer sustainable and since we opened in January 2014, the hotel has incurred losses amounting to more than $2 million,” said the Board of Directors.-state media
4 Replies to “Rainbow Hotel Shuts Down”
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Thats another scenario. Sleeping across the boarder in SA is a lot cheaper than sleeping at Beitbridge in Zimbabwe. I think they need to reduce their rates for them to compete. Hotels acrross limpopo are ranging from ZAR350-ZAR750 ($23-$49) per night bed only. The Rainbow was ranging $70-90 per night bed only. No sane person would then sleep on the Zimbabwean side of the border and this we are losing revenue.
Thats another scenario. Sleeping across the boarder in SA is a lot cheaper than sleeping at Beitbridge in Zimbabwe. I think they need to reduce their rates for them to compete. Hotels acrross limpopo are ranging from ZAR350-ZAR750 ($23-$49) per night bed only. The Rainbow was ranging $70-90 per night bed only. No sane person would then sleep on the Zimbabwean side of the border and this we are losing revenue.
ndoo kumwe kungobiwa kunoita mari munyika uku. Why did NSSA build a multi million dollar hotel in Beitbridge of all places? Was a feasibility study conducted? Did they factor in threats of new entrants like Fastjet (even a rejuvenated Air Zimbabwe) with whom one can fly on a return basis to Johannesburg quicker and for the same amount that they charge per night at that hotel? Is there any idiot who would drive, sleepover in Beitbridge, join the long queues at the border then continue driving to Joburg when for a fraction of the cost you can simply fly into OR Tambo in 1 hour? Who won the tender to construct this white elephant which does not make any business sense? There is nothing going for Beitbridge now or in the new Zimbabwe and some NSSA idiots just decided to spend millions in building a white elephant down kumukosho kwecivilization to cream NSSA cash.
ndoo kumwe kungobiwa kunoita mari munyika uku. Why did NSSA build a multi million dollar hotel in Beitbridge of all places? Was a feasibility study conducted? Did they factor in threats of new entrants like Fastjet (even a rejuvenated Air Zimbabwe) with whom one can fly on a return basis to Johannesburg quicker and for the same amount that they charge per night at that hotel? Is there any idiot who would drive, sleepover in Beitbridge, join the long queues at the border then continue driving to Joburg when for a fraction of the cost you can simply fly into OR Tambo in 1 hour? Who won the tender to construct this white elephant which does not make any business sense? There is nothing going for Beitbridge now or in the new Zimbabwe and some NSSA idiots just decided to spend millions in building a white elephant down kumukosho kwecivilization to cream NSSA cash.