There is almost a feeling of vertigo at the sight of the results of the price comparison. Next to the anxiety tab “few rooms left”, parading huge prices. For good reason: from September 16 to 24, the Rugby World Cup stops at the Allianz Riviera. Result: Impossible to find a night for two for less than 100 euros.
In order to measure this surge, here is the comparison of overnight stays in high season for two people by hotel category. With two-stars, closer to the airport, the night at 91 euros in July drops to 259 euros. Too close to the stadium perhaps? Direction the city center in a three-star. An explosion of 208% and a night at 474 euros. So, when it comes to accommodation near the Allianz, it’s delusions of grandeur: it comes close to 800 euros.
Speculative surge or Riviera seasonality? As a fallback solution, renting is not immune to the laws of the market either.
A phenomenon that is repeated during major events
Bruno Mercadal is vice-president of the Nice Côte d’Azur hoteliers’ union and general manager of the hotel Royal Riviera in Saint-Jean-Cap-Ferrat. To the evocation of a speculative surge in prices he retorts: “It is not fair to use this term because that is not what it is about”. “L’explication”he continues, you have to look for it on the side of the “Azure seasonality”. A specificity of the territory “which experiences a drop in activity in winter where Paris has linear attendance”, exposes the owner of the luxurious hotel. Considering that the Côte d’Azur is the second largest hotel stock in France, the profitability of some 633 establishments (1) relies heavily on high season. “The Cannes Film Festival or the Monte-Carlo rally are a good illustration of this phenomenon, which is also linked to events. The Rugby World Cup is no exception to the rule. Hotels adapt according to the activity, c is quite normal”concludes Bruno Mercadal.
Switching to renting: not without risk
Eric Four is a sales representative for the shoe company Rieker. Once every six months he goes to Nice on the occasion of an exhibition intended for professionals. An unmissable event suddenly disrupted by the explosion in prices. “For a Formula 1 hotel, the night at 50 euros has turned into a reservation at 150 euros. Over several days for a business trip, it’s huge”, he summarizes, disappointed. Only one fallback solution: renting. “A house for seven people” in Riquier, specifies the VRP. The group of colleagues book immediately: 1,100 euros for two nights is rather coveted. Too good to be true maybe? “The risk now is that the owner cancels our reservation to republish an ad with very high prices”, worries Eric Four. Indeed, the owner can decide to cancel a stay up to less than a week before the arrival of the customers. Once this period has passed, financial penalties may be withheld by the rental platform. Fully reimbursed, the traveler is nevertheless left behind.
A risk that the VRP is ready to incur for lack of anything better. Unless renting becomes a real choice? He smiles: “Compared to an individual hotel room, the big house with a garden for a barbecue is perhaps more pleasant. If it goes well, we will definitely come back next year.”
1. According to 2018 figures from INSEE.