Leading Meeting Professionals

Professional Convention Management Association

June 01 2015

Here’s What You Can Expect From Hotel Rates This Summer

By David McMillin

If you’re going somewhere this summer, chances are it’s going to cost a few more greenbacks that you might expect. According to new data from TravelClick, 75 percent of the top 25 North American markets are seeing increases in committed occupancy, and 90 percent are experiencing increases in average daily rates.

“There is a bright outlook for the coming summer travel season as we’re seeing strong year-over-year increases in the group, business and transient segments,” John Hach, Senior Industry Analyst at TravelClick, said.

So how much more can you expect to pay? Across all segments, TravelClick predicts a 5.3 percent ADR increase in the third quarter. On the group side, the ADR increase is a bit more manageable, clocking in at 3.5 percent versus last year.

SEE ALSO: Will This New Hotel Brand Be Able To Engage Millennials?

Where You Can Find Cheaper Rates In The Summer

Hotel rate increases aren’t going to feel overwhelming everywhere, though. Here’s a look at 10 destinations where prices actually drop by as much as 64 percent during the hot months.

1)    Scottsdale, Arizona

2)    Miami, FL

3)    Breckenridge, CO

4)    Palm Springs, CA

5)    Naples, FL

6)    Phoenix, AZ

7)    Fort Lauderdale, FL (By the way, there is a great reason for everyone in the meetings industry to go to Fort Lauderdale in June.)

8)    Kihei, HI

9)    Davenport, CA

10) Siesta Key, FL

The Hotel Amenity Game Is Getting More Competitive

While hoteliers can celebrate any signs of ADR growth, the TravelClick data doesn’t automatically deliver good news for everyone on the supplier side. Hach highlighted that travelers are scrutinizing deeper details than the initial per night price tag.

“We are seeing that consumers are looking for a combination of price and value when selecting hotel rooms,” Hach said.

“Inclusions such as free Wi-Fi and meals are now often taken into the total cost consideration when making hotel decisions, especially on family vacations where budgets may be tight and hotels needs to make sure they are catering to travelers’ demands in order to maximize bookings,” Hach added.

Want to know how crowded your travels will be on the way to your destination? Check out “What You Need To Know About Air Travel This Summer.”

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