Hotel fees to rise to record level again this year
Fees and surcharges imposed by hotels are set to rise to a record $2.7 billion this year.
In his annual report, Bjorn Hanson, of NYU’s Jonathan M. Tisch Center for Hospitality and Tourism, attributes the rise in part to more hotel rooms being booked.
However, hotels are charging more in cancellation fees.
Typical fees charged include the basic resort fees, on-site parking, bag storage and early check-in.
US hotel fees and surcharges reached $2.6 billion in 2016. The total amount pocketed by hotels in extra fees has risen ever year this decade, and accounts for about 1.7% of total hotel revenue.
The industry is however seeing fees decline for high-speed internet access as it becomes more ubiquitous.
The increase in cancellation fees has more than offset this, especially with big players like Marriott International, Hilton and IHG all recently tightening cancellation policy rules.
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Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.
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