Read us | Listen to us | Watch us | Join Live Events | Turn Off Ads | Live |

Click on your language to translate this article:

Afrikaans Afrikaans Albanian Albanian Amharic Amharic Arabic Arabic Armenian Armenian Azerbaijani Azerbaijani Basque Basque Belarusian Belarusian Bengali Bengali Bosnian Bosnian Bulgarian Bulgarian Cebuano Cebuano Chichewa Chichewa Chinese (Simplified) Chinese (Simplified) Corsican Corsican Croatian Croatian Czech Czech Dutch Dutch English English Esperanto Esperanto Estonian Estonian Filipino Filipino Finnish Finnish French French Frisian Frisian Galician Galician Georgian Georgian German German Greek Greek Gujarati Gujarati Haitian Creole Haitian Creole Hausa Hausa Hawaiian Hawaiian Hebrew Hebrew Hindi Hindi Hmong Hmong Hungarian Hungarian Icelandic Icelandic Igbo Igbo Indonesian Indonesian Italian Italian Japanese Japanese Javanese Javanese Kannada Kannada Kazakh Kazakh Khmer Khmer Korean Korean Kurdish (Kurmanji) Kurdish (Kurmanji) Kyrgyz Kyrgyz Lao Lao Latin Latin Latvian Latvian Lithuanian Lithuanian Luxembourgish Luxembourgish Macedonian Macedonian Malagasy Malagasy Malay Malay Malayalam Malayalam Maltese Maltese Maori Maori Marathi Marathi Mongolian Mongolian Myanmar (Burmese) Myanmar (Burmese) Nepali Nepali Norwegian Norwegian Pashto Pashto Persian Persian Polish Polish Portuguese Portuguese Punjabi Punjabi Romanian Romanian Russian Russian Samoan Samoan Scottish Gaelic Scottish Gaelic Serbian Serbian Sesotho Sesotho Shona Shona Sindhi Sindhi Sinhala Sinhala Slovak Slovak Slovenian Slovenian Somali Somali Spanish Spanish Sudanese Sudanese Swahili Swahili Swedish Swedish Tajik Tajik Tamil Tamil Thai Thai Turkish Turkish Ukrainian Ukrainian Urdu Urdu Uzbek Uzbek Vietnamese Vietnamese Xhosa Xhosa Yiddish Yiddish Zulu Zulu

Hotel rates on the rise in Latin America, debt crisis fallout hits Eurozone

The strongest growth in hotel rates in the first half of 2012 took place in Latin America, whilst hotel prices across the Eurozone either fell or remained flat, according to the latest bi-annual hotel

Print Friendly, PDF & Email

The strongest growth in hotel rates in the first half of 2012 took place in Latin America, whilst hotel prices across the Eurozone either fell or remained flat, according to the latest bi-annual hotel survey from international corporate services company Hogg Robinson Group (HRG).

Although the HRG survey reveals a fragmented global picture, the international hotel market appears to be stabilising, showing a 1% variance across the top 50 cities, compared to 4% during the same period in 2011. Twenty-three cities showed a year on year increase in rate, and three have maintained the same rate. This is compared to 33 cities which showed a year on year rate increase in 2011.

Trends noted by HRG include:

For the 8th year in a row, room rates in Moscow are far and away the highest of any destination monitored by HRG. Hotel prices in the Russian capital have risen 3% in local currency over the past year.

Lagos emerged as the second most expensive destination due to the high volume of inbound business travel to Nigeria connected with the oil industry. Travellers to Lagos are also conscious of the city’s well-documented security issues and are more inclined to stay in five-star accommodation.

Mexico City showed the highest increase in room rates at 30% in local currency, as growth in demand, coupled with a lack of new openings, drove an aggressive increase in average rates. Across the wider Latin American region, Rio de Janeiro and Sao Paulo showed rate increases of 15% and 23% respectively.

Hotel rates in India were driven down by the country’s economic slowdown and lack of capital for new investments. Mumbai showed an average room rate decrease of 7% and Bangalore 21% in local currency.

The financial crisis affected average room rates across the Eurozone, leading to rate decreases in key European cities, notably Barcelona which saw rates fall by 22% in local currency. Madrid and Dublin also showed 2% and 6% rate decreases respectively.

The UK saw a 2% room rate increase, primarily driven by high rates in London and a select number of regional cities, including Liverpool where room rates jumped by 8% following increased economic activity in the region.

Key destinations in the USA, including New York, San Francisco all saw average hotel room rates rise in the first half of 2012, as business activity increased in line with economic performance.

Print Friendly, PDF & Email