Big-City Hotels Suffer a Relapse

Air Travel Woes Keep Occupancy Down in D.C., Elsewhere

Hospitality analysts and tourism promoters said the industry's comeback has stagnated as leisure and business travelers still are reluctant to return to large cities, six weeks after the September terrorist attacks on the Pentagon and in New York.

"It's rebounded from what we saw after the 11th, as hotels emptied, but the rebound has slowed down now," said Mark Lomanno, president of Smith Travel Research in Hendersonville, Tenn., which released figures this week. "The industry was hoping every week was going to be better than the week before and now we're starting to see it slow."

In cities such as New York, Washington and San Francisco where occupancy rates at hotels dropped to 20 and 30 percent -- and in some cases into the single digits -- immediately after the attacks, some previously booked group business is starting to return. But those markets still are not recovering as quickly as drive-to destinations.

http://www.washingtonpost.com/wp-dyn...2001Oct25.html

Number of Mass Layoffs Rises in September

http://www.nytimes.com/reuters/busin...y-layoffs.html

The sad part about so many layoffs is that they were larged attributed to our overreaction to 9/11. Silly rules, hassles of flying, parking garages, etc. Shutdowns, restrictions, new rules all have contributed to reduced travel for leisure and business, all with little and in most cases, no change in REAL security.

So sad what we have done.

If this is true, why am I having such a hard time getting a good rate in Seattle in January for a couple of midweek one night stays

I think Forbes had an article re: this. Rates have largely stayed up because hotels subscribe to the marketing school that it's harder to raise prices once they are lowered. They would rather take a short-term loss because they think by keeping their prices high, it will mean more money for them in the future.

I keep hearing this everywhere, yet have seen little effort by the hotels to attract customers.

I've been trying to get a decent weekend rate in DC for the past six weeks, because I want to "help out" and like staying in DC on weekends, but its not worth paying $100/night to save the 1.5 hour drive from Richmond. I'd rather just drive up more than once if the option is paying a high rate.

Give me a good weekend "getaway" promotion and I'd be happy to come up to DC, but complaining about 20% occupancy while you're still charging full price violates every principle of supply and demand I'm aware of...

I never thought that a hotel collection like Park Hyatt would be almost given away through Priceline but it has started to happen. According to Biddingfortravel.com people a winning the SF Park Hyatt for $57 a night. Things in San Francisco must really be bad.

Things in San Francisco are really bad.

Priceline is definitely the way to go for hotels these days. It seems true that hotels are keeping their rates high, however they do seem to be accepting really low bids from priceline. I've never been a big fan of priceline, mostly because I like to know choose where I'm staying, but the deals are good enough now that I think its the only way to go.

Interesting thought about Priceline ... I concur & am not a fan of that company, but might try it.

Downtown Savannah rates were vile last weekend, and Las Vegas rates on the Strip were rancid this weekend. The promos from premium NYC hotels that I've seen are along the lines of "normally $325 a night, now just $249" .... thanks, no.

I'll stay with my low-key, but solid-quality and budget-friendly Doubletrees.

,,,,,

The very nice convention-oriented Seaport Hotel in Boston lists well over $200, but often has Priceline rooms in the $85-$100 range when no conference is there. This was both before and after 9/11 - I was supposed to be there 9/11-9/13 and never made it and I got it again for mid-October. Free high-speed internet access in the rooms, and yummy yogurt-covered cranberries in the minibar!

Go to www.biddingfortravel.com and look around for research about the city that you want.

I had expected that, but haven't had any luck at all with priceline. I've gotten $50 rooms at the Capitol Marriott on PL before, but I haven't been able to get even a $60-70 bid to go through. Past $75 I may as well just pay a real rate and get the points!

FWIW, this relapse, at least in spots, is beginning to look up a bit it seems. Checking into the St Regis Club at EH last Friday, I was told that they were overbooked and that if I like they will be happy to walk me over to the St Regis!

FWIW -- the Priceline rates pre-attacks in Boston were as low as $50-$60 per night for 3* hotels in Boston Back Bay and Financial District. The rates have been this good all year.

Currently, I'm staying in another prime city at $45-ish 3* rates via Priceline. Marriott, Hilton, and Hyatt are the usual outcomes. I understand why the hotel chains won't lower their directly-booked rates (hard to increase them later), and I choose to save the money via Priceline.