Irish Hospitality Sector Steps Up To Meet Economic Challenges

Tuesday, 02 December 2008 – The economic downturn and resultant decline
in consumer spending has presented the Irish hospitality sector with a
unique opportunity to reinvent itself, according to Ireland’s leading
provider of on-line marketing, web design and web reservations software.

Limerick-based Avvio, who provide software and services to 85% of
Ireland’s 5-star hotels, said the pressure being placed on accommodation
providers to boost flagging business has resulted in them adopting a
collaborative approach to reversing the sharp drop in domestic and
foreign visitor numbers to Ireland.

David Collins, Commercial Director, Avvio, said that the current
economic climate has forced the Irish hotel industry to rethink its
strategy for generating business and look for solutions that add value
and enable their business to be remodelled, re-engineered and
strategically repositioned for growth.

“Hotels looking to secure business at a sustainable cost of sale can now
avail of new online channels to market” he added.

In recent weeks, Avvio has powered two new hospitality websites, which
offer hundreds of deals on hotel rooms across Ireland.

Hoteldeals.ie, developed by Irish hotel consultant David O’Connor,
features a range of deals on spa weekends, dinner specials, golf breaks,
mid week and weekend breaks, as well as a host of last minute offers.
Already a large number of Irish hotels have signed up to the service and
the site will continue developing its hotel base over the next number of
months.

Meanwhile, Avvio has signed a contract with one of Ireland’s leading
Corporate Hotel Booking and Venue Search companies, MustBook.ie, to
power its hotel booking service for corporate clients. This is the
first online booking system of its kind in Ireland specifically for the
corporate market. At a time when companies are coming under increasing
pressure to reduce costs, the free online booking and venue search
service is already attracting interest from hundreds of companies and
organisations.

“The success, to date, of these two websites is evidence of the
accommodation sector’s shared desire and ability to adapt to new
challenges,” commented Mr. Collins, who has worked in the hospitality
sector for over twenty years

He continued, “The sector has realised that it cannot afford to
jeopardise Ireland’s attractiveness as a tourist destination at a time
when economists are issuing almost daily warnings of an extended
economic slowdown. The provision of demand-led room rates across the
board is helping to strengthen the considerable efforts of regional and
national tourism promotional agencies in showcasing Ireland to the
domestic and overseas markets, and thus will bring long-term benefits
for the entire accommodation sector and the wider economy.”

Avvio, which boasts over 700 clients, began trading in February 2002 and
currently employs over 40 people at its offices in Limerick and Dublin,
as well as having a sales presence in London and Bangkok. The firm
delivers online results for some of Ireland’s best-known hotels,
including Ashford Castle, Dromoland Castle, The Merrion Hotel, The K
Club, The Dylan, Bewley’s Hotels and Moran Hotels.

Meanwhile, Avvio this week announced plans to expand its own
International and domestic operations through a Business Expansion
Scheme.

Mr. Collins said, “In order to accelerate the deployment of our offering
through strategic international partnerships and channels, both
geographically and vertically, we are seeking capital to move us into a
higher gear now.”

“We will accelerate our growth by doubling the business in size every
year for each of the next three years, executing a global franchise
model over the next year, continuing to invest up to 20% of turnover in
world class R&D, partnering with the best and most cost effective local
partners for non-software services; and achieving Return on Investment
on a par with blue chip tech companies,” commented Mr. Collins.

He pointed out, “Avvio is a wholly owned Irish company that has managed
to double turnover in each of the last two years, has continued to
invest heavily in world class software and services, and has expanded
its team from 25 at the start of the year to 43 skilled professionals,
all of whom have been trained up to the level we need to compete in
International markets.”

Mr. Collins said that the firm had also appointed a reseller in Asia and
has been encouraged by some early sales wins from the region.

“We hosted a highly successful stand at the biggest trade and travel
fair in Europe in London last month where we launched our new brand, the
fruits of which we expect to see in early 2009. We are also continuing
to work closely with a network of strategic advisors in the UK.”

With its Business Expansion Scheme, Avvio is seeking a minimum
investment of EUR5,000 from external investors, with a deadline of
December 31st. Further information on Avvio is available from LoCall
1890 302000, invest {at} avvio(.)com or at www.avvio.com.

-ENDS-

Notes to Editor:
- David Collins, Commercial Director, Avvio, is available for
interview and further comment. Photo opportunities can be arranged on
request. High-resolution images of Mr. David Collins are also available.
Please contact Mark Dunphy of Dunphy Public Relations on 086-8534900.
- Two Limerick brothers own Avvio. Brian Reeves (Managing
Director) and Frank Reeves (Technical Director) were previously
shortlisted for the Ernst and Young Entrepreneur of the Year Awards

Mark Dunphy
Dunphy Public Relations
www.dunphypr.com
media {at} dunphypr(.)com
00353-868534900