Domestic, International Hotel Rates Take First Quarter Dip in 2009

Ovation Travel Group, a corporate travel management company, has identified a shift downwards in hotel rates for the first quarter of 2009 at three-, four-, and five- star hotel properties both domestic and international. Per a survey conducted by Ovation of over 92,000 room nights in 30 global destination cities, on average, three-, four-, and five- star properties have lowered their rates by 17.4 percent in the first quarter of 2009 compared to the first quarter of 2008.

RateDecrease01

Ovation identified the following trends:
*    Of the 30 domestic and international destinations surveyed, 26 showed a year-over-year trend of reduced rates at three-, four-, and five-star properties.
*    The cities which showed a year-over-year rate increase for the first quarter were Abu Dhabi (33.7 percent), Dublin (6.2 percent), Milan (5.1 percent), and Tokyo (3.2 percent).
*    Delhi, Dubai, Hong Kong, London, Mexico City, Mumbai, New York, Paris, Singapore and Toronto showed the greatest rate decreases, all over 20 percent.
*    Of the 12 domestic cities surveyed, all showed a year-over-year rate decrease at three-, four-, and five-star properties.
*    In spite of travel-boosting events in Washington, D.C. during the first quarter of 2009 (such as the change in administration and the Presidential Inauguration) the prominent destination showed a year-over-year average rate decrease of -2.7 percent as compared to the first quarter in 2008.

RateIncrease01

The key global destination cities surveyed, and corresponding YOY variance identified in hotel rates, are as follows:

graph



Suggested Articles:

Bridge to the Future, a virtual conference, will include inspiration, networking, education and access to preferred suppliers. Learn more here.

Can't travel without Fido in tow? Carter Hospitality has a new "Happy Hound Program" designed just for dog lovers and their furry friends.

United Airlines has partnered with Smartvel to offer airline customers an interactive map that shows updated travel destination restrictions.