LEISURE and hospitality operators in Yorkshire are predicting strong growth over the next three years, according to a new survey of 200 board directors of companies operating in the leisure, entertainment and hotel sector.

Growth Prospects for Leisure and Hospitality, a survey produced by RSM Robson Rhodes's Leisure & Lifestyle Team, in conjunction with Leisure & Hospitality Business, reveals 73 per cent of operators expect market growth despite events of September 11 and fears of a recession.

But the survey also revealed that operators may not be taking advantage of alternative funding methods and are not adequately researching customer needs or keeping track of the competition.

Gordon Lane, leisure partner at RSM Robson Rhodes, warned: "In an industry where customer preferences are so important, a combination of lack of research into customer needs and poor knowledge of what the competition is doing is potentially dangerous."

The survey revealed that funding was a major barrier to achieving business objectives. Despite agreeing that the customer comes first, a significant 20 per cent of those surveyed do not undertake research into the types of customers that visit their venues. And nearly 25 per cent do not have customer service performance measures in place.