Would you pay $150 for five-star hotel?
Just how much will a five-star hotel cost you in the near future? Are you willing to pay $150?
“There’s one last big drop in pricing for the industry that starts this September,” Hotwire President Clem Bason said in an interview with Bloomberg News. He is predicting prices of about $150 a night in most US cities.
Many hotels are forecasting average daily rates to fall another one percent next year, Bason said.
That’s because of weak demand and too many empty rooms in new or renovated upscale hotels in areas including San Diego, Las Vegas, Phoenix, Orlando, Hawaii, Mexico and the Caribbean, he said.
Average US daily hotel rates fell 8.7 percent to USD$98.66 in the first half of the year from a year earlier, while occupancy tumbled 11 percent to 54.6 percent, according to data compiled by Smith Travel Research Inc.
“You won’t see any meaningful recovery through the first half of 2010…you might get a little bit but nothing of any scale,” Bason said. “Next year the key word will be stabilization, but not growth.”
Las Vegas is among destinations advertising posh hotel rooms for as low as $66.
Hoteliers in the major convention cities, including Las Vegas, have turned to tourists to fill rooms that otherwise would have been filled by business travelers who have cut back on trips, said Brian Ek, a spokesman for Priceline.com.
By David Wilkening
David
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
Airlines suspend Madagascar services following unrest and army revolt
Airbnb eyes a loyalty program but details remain under wraps
Qatar Airways offers flexible payment options for European travellers
Air Mauritius reduces frequencies to Europe and Asia for the holiday season
Major rail disruptions around and in Berlin until early 2026