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August 2011 | Angeline Albert
travel buyers are face rising hotel rates across the globe despite their best efforts
to impose travel restrictions and reduce costs.
prices rose by 4 per cent worldwide during the first half of 2011, according to
analysis by travel management company HRG.
the 50 cities surveyed for the hotel reportpublished today, 33 locations experienced a year-on-year increase in hotel
rates. There was strong growth in Asia, where average room rates rose by 7 per
cent when compared with the same period in 2010. In London, the average cost of
a room rose by 2 per cent.
Harvey, group commercial director at HRG, said in a statement: “Yet again our
survey indicates how important it is for clients to keep control of their hotel
programmes. Despite the fact that many large companies have put in place travel
restrictions and cost reductions, hotel rates in the majority of cities
surveyed increased. Demand is driving the rate.”
Asia Pacific prices increased as a result of the region’s growing economic importance
and the proliferation of financial centres across the region including Hong
Kong and Singapore. This was in sharp contest to the Middle East, where supply
outstripped demand leading to a fall in average rates. Key international cities
- including London, New York and Paris - reported growth in prices.
our research shows that global hotel rates are increasing and have been exhibiting
signs of growth,” Margaret Bowler, director of global hotel relations at HRG. “Looking
ahead, we anticipate that hotel rates will continue to rise if the economy
☛ A full analysis of hotel
rates for 2012 will appear in the September edition of SM