Marriott, Hilton and Hyatt have just made this big update for all hotel customers
Historical market conditions have created a perfect storm affecting travelers.
The stock market can be Tanking (with the DOW down 800 points to start the week to date) while inflation is soaring, leading to the largely discussed possibility of an imminent recession. But so far, there is no sign of benefits regarding thethe travel industry. Read the rest to find out which messages of messages for large hotel channels have for customers in the coming months.
Read this then:Marriott makes customers pay more for this, from March 29.
Airlines find it difficult to follow the request for the request.
In the midst of a high demand for plane travel, the airlines have expanded their schedules. Last month,American Airlines announced it would beAdd againFlights to four large cities. And this month, the South West startedOffer a new service as well.
On the other hand, some airlines have made movements in the opposite direction to demand. For example, Delta Air Lines has announced that itcut your summer schedule To deal with the same market conditions. In an internal memo, the airline explained that it shouldcut off schedules Until August as a means of improving its reliability, because the carrier has trouble keeping the pace of what the memo describes as an "extreme demand" of passengers who flock to the sky.
Read this then:Marriott hotels get rid of this, with immediate effect.
The hotel industry is considering its hottest summer in history, according to leaders.
And so far, at least, the hotel industry does not see any impact of financial fears which dominate the headlines either. Instead, its best executives say that the hotel industry is on the right track for one of the hottest seasons of all time. In fact, Hilton CEOChris Nassetta predicts that the hotel chain "will have thebiggest summer We have never seen during our 103 years of history this summer, "according to CNBC.AE0FCC31AE342FD3A1346EBB1F342FCB
He explained the two main factors that maintain high demand: leisure travelers have shared economies and that business balance sheets are very profitable.
Travelers should expect high prices based on these trends.
Faced with such a demand for hot travelers, hotels have increased their prices in accordance with market conditions, just like other industries. "The price has increased for everything, so we are not different from the one when you go to a gas pump or to the grocery store or any other aspect of life," Nassetta told CNBC. "It's discretionary."
CEO of MarriottTony Capuano shared the same feeling, advising travelers to expect high prices. He noted that during the Memorial Day weekend, a key metric was up compared to pre-countryic circumstances: company income per available room increased by around 25% in 2022 compared to 2019. And this number was even higher for its luxury properties, such as brands Ritz -Carlton and St. Regis - which experienced a 30% increase in rates in the first quarter of this year compared to 2019.
More specifically, he said, travelers should expect higher rates in high demand leisure and coastal destinations. With so much repressed request, travelers intend to high -end travel and bucket list.
Barr, the CEO of IHG Hotels & Resorts (the parent company of brands, notably Intercontinental and Holiday Inn) said that it expected that the demand continues to develop this summer. And consequently, it also expects the tariffs to the rooms also increases, in parallel with the increase in inflation and other costs.
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Demand - and prices - are likely to increase even more now than the United States has increased the international requirements of coated tests.
Demand could increase even more now that the United States has abandoned its cocovable test requirements for visitors from abroad, which presents itself to one of the last countries to do so. This will probably bring more money from international travelers, who tend to spend more than national visitors, president and chief executive officer of Hyatt Mark Hoplamazian said to CNBC.
Overall, he said: "In all areas, all activity segments and leisure all shoot all cylinders."
Read this then: Never register at a hotel without asking, say the experts .