Wednesday, January 27, 2010

Hotel industry update

Luxury hotels are reporting an uptick in occupancy, but not from group business, leisure travelers. Overall, hotels rates are down 24% this past year and analysts expect them to fall further as overall occupancy continues to reduce.
This is good news for the traveler as hotel rates stay lower but what is even better is that many more hotels are now offering free internet and free breakfast as part of their value add's, especially with groups. With lower revenues, hotels don't want to give up these revenue sources but they are finding that to stay competitive and retain market share, it is what travelers are saying they need. (who doesnt travel with a computer nowadays) I remember when the new bedding packages were all the rage.... and should be. Comfortable beds are important. But I really like these perks too!

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