Hotel stories straight to your inbox:

Are You Staying in Hotels Anymore?

November 3, 2008 at 12:25 PM | 11 Comments

We've been hearing this for a few months now: With the economy tanking and the unemployment rate rising, people are tightening their purse-strings and closely counting their coins. Some are forgoing the frivolous expenditures like dry-cleaning their dog's clothing or cutting back on $450 rounds of golf. Others are clipping coupons, using generic brand goods and just making use of what they've already got.

One of the biggest industries that takes a hit when people decide to scale back their disposable income spending is travel. Hotels already have a dismal outlook (even the luxury ones!) as occupancy is going down, after several years of it nowhere going up.

So, we can't help but wonder: how are you feeling about all of this right now? Hotels--especially the more high-end ones--are not that much different from a designer dress or a pair of expensive shoes. They are considered by many to be a luxury; a privilege rather than a necessity.

With that said, if you're bypassing the Louis Vuitton store and have cut out your expensive latte habits, have you stopped traveling and staying in hotels these days too? Why or why not? If the economy doesn't affect your decision to travel, how does it affect your choice of hotel?

Tell us how the economy is affecting your hotel habits here.

[HotelChatter OpenThreads are a place for readers to get in here and talk about hot stories and issues of the day in an open forum. If you are already a HotelChatter member log in to comment, if not become a member for free and comment away.]

[Photo: Tracy Olson]

11 Comments

  1. juliana

    HotelChatter
    November 3, 2008 at 12:30 PM




    looking for deals

    right now, i haven't really scaled back any of my hotel habits. if anything, i am excited by all the deals going on. like $149 for the bellagio. but i'm still looking around on hotwire and priceline for cheap rates when i need to stay in a hotel.

    i am also mulling a trip to Hawaii in february. but i think that we are going to rent an apartment rather than stay in a hotel. that is definitely a much cheaper way to do it. and then, it will also feel like i'm not "at work."

    oh and i need a hotel for NYC in a few weeks so i was going to start looking today. we'll see what i come up with.

  1. abigailmschilling

    HotelChatter Member
    November 3, 2008 at 12:59 PM




    re: looking for deals

    I agree with Juliana--I'm excited about all the deals! The economy isn't costing me much yet because I don't have a lot of stocks, I don't buy enough food for higher prices to make a difference, and I already keep my driving to a minimum, so my travel budget has stayed the same. I find myself traveling MORE because there are such good deals.

    [ Parent ]

  1. juliana

    HotelChatter
    November 3, 2008 at 4:54 PM




    speaking of hawaii..

    this just came out today: Hotel occupancy rates crater in Hawaii

    Hotel occupancy rates in Hawaii cratered to 63 percent in September. That is the lowest level since the 9/11 attacks in 2001.

  1. vivavienna

    HotelChatter Member
    November 4, 2008 at 4:22 AM




    no good deals in europe - yet

    longtime reader, first post :-)

    My private travel patterns haven't changed yet. What I am looking forward to, though, is hotel deals in Europe. So far, hotel rates in the countries/cities I travel are pretty steady, and often even overpriced. While the Four Seasons Budapest certainly is a nice hotel, EUR 600 per night is somewhat over the top.  First indication of the deals to come arrived yesterday: received a 3rd night free offer from the Dolder Grand in Zurich.

  1. philadelphiaguy

    HotelChatter Member
    November 4, 2008 at 8:56 AM




    No Go for Vacas

    While a little while back, it was all, "Oh this one has an infinity pool" or "This hotel's right downtown," now it's all about one little button on the hotel searches for me..."Sort By Price." If I'm doing any personal travel these days, it's going to be wherever I get the best bang for my buck, plain and simple.

  1. Tim L.

    HotelChatter Member
    November 4, 2008 at 9:18 AM




    Great time for Priceline

    There's always a silver lining and the big one I'm seeing is that there is a lot more inventory on Hotwire and Priceline and it's much easier to get your bid accepted (on the former) or find plenty to choose from on the latter. Lot's of enticing deals on LuxuryLink.com as well. I'm still staying in hotels, but not paying retail. It's a buyer's market again.

  1. mchoe

    HotelChatter Member
    November 5, 2008 at 3:29 AM




    Luxury Link

    definitely check out Luxury Link.  you can find deals for under 50% retail.

    also, check out the hotels site directly, you'll see many have slashed their rates and promoting special offers at a steep discount.

  1. SDSTi

    HotelChatter Member
    November 6, 2008 at 2:20 PM




    Look at the Hotel's Site

    My hotel is now offering not only a price match guarantee from what you find on those third party sites, but also offering FREE BREAKFAST if you make your reservation online.  Check it out.  www.thesofiahotel.com  

  1. SurfinBird84

    HotelChatter Member
    November 7, 2008 at 1:10 PM




    MGM Grand Discounts

    I know the MGM Grand in Las Vegas is running great rates right now - starting at $59/night.

    If you go to their website, and type in promocode MGM021 you'll get $35 activity credit, 2 VIP Passes to Studio 54 or Tabu, and 15% off spa services.  Or if you type in promocode MGM023 you'll receive rates as low as $59.

    Check it out!

  1. Chelsea

    HotelChatter Member
    November 13, 2008 at 12:46 PM




    Cabo Hotels still expensive

    While some hotel prices are dropping, high end places like Cabo hotels or other luxury destinations are still relatively expensive. As much as I love hotels, I really do think "frivolous" things like going on vacation are definitely out at this time. It just doesn't seem to make sense to go on vacation even if it is less expensive than usual.

  1. Loyalty Traveler

    HotelChatter Member
    November 22, 2008 at 9:53 AM




    Too Many Bargains

    I have to stop myself from jumping on the great rates I keep finding for hotels that were so much more expensive just last month.

    The new InterContinental Monterey on Cannery Row has rates under $120 per night.  When I met with management at this hotel in May the outlook was for $400 per night by 2009.  Ocean view rooms are under $175 for many weekday nights over the next few months.

    San Francisco - Le Meridien Hotel in Financial District has dropped weekend rates to $119 per night.  This is the lowest I have seen for this property.

    The historic Palace Hotel San Francisco had periodic rates as low as $99 back in 2006 then shot up to an average $200 per night.  Rates have dropped back to $136/night.  Think of the rate cut as an opportunity to get drunk at Maxwell's in the Palace and trip on the Maxfield Parrish Pied Piper bar wall mural.

    The luxury properties like Post Ranch Inn in Big Sur and Pebble Beach Lodge, Spanish Bay, and Casa Palmeiro haven't slashed rates yet, but employee cuts have already occurred due to low reservations.  Rates or better value packages are to be expected for the winter season.  And the Monterey/Big Sur coast had a rare (for any time of year) four consecutive days in the mid-80s last week.  This could be a toasty winter on the California central coast.

    Luxury rates are taking a holiday and this is the time to take advantage of great rates for many hotels you might not have considered over the past few years.

Leave a Comment

Not yet a member? Click here to become a member.
Already a member? Login below:

Nickname:

Password:

Send us a tip