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US hotels rate to be risen

02 February 2011 08:44 (UTC +04:00)

Baku - APA-Economics. An improving American economy is set to trigger an increase in room rates in the US as the hotel industry looks to cash in on the recovery, etravelblackboard reported.

An upturn in business and leisure travel, combined with a relatively fixed supply of rooms, has seen hotel chains such as Marriott International, Hilton Worldwide and Starwood Hotels and Resorts already increase average daily rates, the Washington Post reported.

"We continue to see strength in pricing," Marriott International president Arne Sorenson told attendees at the Americas Lodging Investment Summit in San Diego.

According to Smith Travel Research, the average daily rate in US hotels at the end of 2010 was up by less than one dollar on 2009, but the company is predicting a 4.2 per cent increase in 2011.

"There is positive pricing power in the market because the demand fundamentals are a lot more healthy," Smith Travel Research told conference attendees.

US hotel prices look set to rise, a little

According to the newspaper, business travellers will more likely be affected by higher room rates than those in the leisure market.