Hotel Revenues Expected to Go Up
Projections for U.S. hotels for the next several months are downright perky when compared to economic news overall.
Committed occupancy is up 4.8% and average daily rates are up 4%. That´s according to TravelClick´s October 2011 North American Hospitality Review. TravelClick is a technology provider for hotels worldwide.
Cities showing the most growth in occupancy this year are: Detroit, Charlotte, Houston, Seattle and Philadelphia. Those with declining occupancies are: Minneapolis-St. Paul, Denver, Dallas, Honolulu and Phoenix. Hotel demand for the first quarter of 2012 is up 15 percent. Markets showing strong first quarter growth are Indianapolis, Detroit and Chicago. (Source: TravelClick press release).
Rail Amtrak Adds Free WiFi to 12 More Trains
Amtrak has added free AmtrakConnect wifi service to 12 East Coast trains. Trains that carry nearly 60% of all Amtrak passengers now have free wifi. These routes include trains running between Virginia and Boston; New York, Albany and Buffalo and between New York, Philadelphia and Harrisburg.
Other routes that now have free wifi: New York-Charlotte; Boston-Portland; New York-Rutland, Vt.; the New Haven-Springfield shuttle and Washington-St. Albans, Vt. wifi is now also available on cars with hotspot window stickers on Adirondack, Maple Leaf, Palmetto and Pennsylvanian routes.
Wifi was already available on Acela Express trains and on Cascades service in the Pacific Northwest. (Source: Amtrak press release).
Business Travel Cost
Business travel costs will inch up next year because of the demand for face-to-face business contacts and a shrinking supply of airline seats, hotel rooms and other travel products, according to the annual Global Business Travel Forecast. Travel is essential to business, but companies are being more cost conscious than ever.
- Airlines will continue to trim their fleets, so airfares will probably increase in the low to middle digits.
- Business class airfares will probably increase the most.
- Hotels should be able to hang on to the single digit gains they made this year for business travel rates.
- Mid to upper scale hotel rates will probably increase slightly in North America.
- There will be regional differences, as businesses seek to capitalize on business opportunities in emerging markets such as Latin America and Asia.
The travel industry is trying to regain pre-recession pricing and profitability in the face of economic anxiety, says Christa Degnan Manning, director of Expert Insights Research for Global Business Travel. (Source: press release).