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O Hotels.com Hotel Price Index (HPI) é um inquérito periódico de preços de hotéis nos principais destinos principais cidades em todo o mundo. O HPI é baseada em reservas feitas na Hotels.com, e os …

O Hotels.com Hotel Price Index (HPI) é um inquérito periódico de preços de hotéis nos principais destinos principais cidades em todo o mundo. O HPI é baseada em reservas feitas na Hotels.com, e os preços apresentados são os efectivamente pagos pelos clientes, em vez de taxas de publicidade. O IPH usa uma média ponderada com base no número de quartos vendidos em cada um dos mercados que opera dentro Hotels.com A dimensão internacional da Hotels.com, tanto em termos de clientes e destinos torna o HPI uma das referências mais abrangente disponível, uma vez que incorpora tanto a cadeia e hotéis independentes, bem como auto-suficiente e de cama e pequeno-almoço propriedades.

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  • 1. The Hotel Price Index TMReview of global hotel prices: 2010
  • 2. IntroductionThe Hotels.com Hotel Price IndexTM (HPI®) is a regular survey The international scale of Hotels.com (in terms of bothof hotel prices in major destinations across the world. The customers and destinations) makes the Hotel Price IndexHPI is based on bookings made on Hotels.com and prices one of the most comprehensive benchmarks available, asshown are those actually paid by customers (rather than it incorporates both chain and independent hotels, as welladvertised rates) in 2010. as options such as self-catering and bed and breakfast properties.Now in its seventh year, the HPI® is respected as thedefinitive report on hotel prices paid around the world andincreasingly used as a reference tool by media, analysts,tourism bodies and academics.• The HPITM tracks the real prices paid per room by Hotels.com customers around the world using a weighted average based on the number of rooms sold in each of the markets that Hotels.com operates in.• Approximately 110,000 properties in more than 18,000 global locations make up the sample set of hotels from which prices are taken.
  • 3. Foreword David Roche President of Hotels.comOn the rebound?Reading our seventh annual Hotel Price Index reminded meof a joke about two economists meeting at a conference.First economist: “How’s your wife?” First, business travel, and the associated convention trade, is back. This is reflected in higher occupancy levels for theSecond economist: “Relative to what?” major business centres and higher star rating hotels. ByAfter the worst trading conditions most in the market had October last year, occupancy in London was running atseen, our 2010 story shows a market in recovery, and allows over 90%, with Barcelona, Paris and Amsterdam all runningus, for now, to call the bottom of it at around the turn of at over 80% (TRI Hospitality Consulting). The HPI shows2009. Such pronouncements are all relative. The average the increase in prices from these higher occupancy ratesprice of a hotel night grew by 2% globally last year. However, in most major business destinations – from the boomingsince the fall was so prolonged and steep, guests were still Asian markets of Singapore and Shanghai to London androughly paying what they would have done six or seven New York. Even Las Vegas, a watchword for knockdownyears ago. Whilst the high volume of promotions we saw in prices in the recession, saw a significant rise in prices as thethe depth of the crisis has dried up somewhat, there are still convention business returned.deals to be had. Second, although the return of the business travellerAverages tend to mislead. Any recovery story would ring accounts for the biggest swing in occupancy, and thereforehollow in say Ireland or Spain, where local economic pricing, this isn’t just a business story. Travel in generalproblems have spilled over into the hotel market. Meanwhile, staged something of a recovery. International arrivalswe can see much stronger recovery in global business grew over 5% in 2010, having fallen by 4% the previouscentres, and both Asian and luxury markets look buoyant, year (WTO). Those who are travelling are spending more.despite significant increases in capacity. Viewed from Occupancy in luxury properties in the US, for example, isHotels.com – as good a vantage point as any given the running between ten and fifteen points higher than in thebreadth of our supply and sales - the story of 2010, and lower star categories. Although we’ve once again compiled alikely 2011, has four key themes. list of the cheapest places for a luxury stay, it’s a shorter one than it would have been eighteen months ago. The Hotel Price Index Review of hotel prices in 2010 1
  • 4. So if the occupancy story has signs of strength, why aren’t So overall, 2010 I think is the story of a recovery, even if it prices recovering more strongly? is one that had, and is likely to continue having, particular twists and turns. The pages of this report contain the usual Here, the previous point about misleading averages is stories for each destination, from World Cups to Icelandic worth remembering – in many places in the survey, they volcanoes, and their impact on the price of a hotel. One thing are, albeit from low bases. The other force acting on prices is for certain. As we pass our 20th anniversary in 2011, the is supply, which has continued to expand, if a touch more team at Hotels.com is more determined than ever to offer selectively, through the downturn. London is in the process consumers great deals and all the information they need to of adding 12,000 rooms in the run up to the 2012 Olympics, book the right hotel. with a particular focus on the luxury sector. Paris expects a 70% increase in luxury hotel capacity in the next two years (Smith Travel Research). STR also reported 310 hotels under construction in Europe at the mid-point of our survey. This trend is more than mirrored in the faster growing Asian and Latin American markets. So, although financing has undoubtedly been tighter, building has continued, and may well continue to act as a brake on prices in the future. Lastly, promotions, whilst still widespread, have become more selective. The pricing trends in this report still reflect hoteliers’ use of attractive discounts to attract consumers who have grown used to discounting across many shopping categories. This likely permanent change in consumers’ mindsets means that promotions and deals are unlikely to dry up, and will again form some sort of bulwark against trends that would otherwise see faster rises in the price of a hotel.2 The Hotel Price Index Review of hotel prices in 2010
  • 5. Contents 1. Global price changes in 2010 Overall By region 2. Global city destinations Prices across the world’s cities Highest price rises and falls 3. Price changes by country 4. Focus on the UK 5. Prices paid at home and away 6. Where to go for £100 a night 7. Average room prices by star rating 8. Luxury for less 9. Travel habits Top UK destinations for UK travellers Top overseas destinations for UK travellers Top UK destinations for travellers from overseas The Hotel Price Index Review of hotel prices in 2010 3
  • 6. In the HPI report, we focus on two main sources of data: The report largely compares prices paid in 2010 with prices paid in 2009. The first section (chapter 1) shows the global Hotel Price Index for 2010. The second section (chapters 2-9) shows hotel prices across the world as paid by UK travellers in Pounds Sterling. The Index is compiled from all relevant transactions on This shows the changes in real prices paid by consumers, Hotels.com, in local currency, weighted to reflect the size of reflecting both movements in exchange rates and hotel each market. By representing hotel price movements in an pricing. index, Hotels.com can illustrate the actual price movements as felt by consumers without foreign exchange fluctuations distorting the picture. The Index was started in 2004 at a benchmark of 100, and includes all bookings across all star ratings.4 The Hotel Price Index Review of hotel prices in 2010
  • 7. 1. Global price changes in 2010The average price of a hotel room around the world rose 2% European prices stay flat in 2010in 2010 but was still only at the level it was in 2004 when theHotels.com Hotel Price Index was launched. • Prices paid by travellers for hotel rooms in Europe stayed flat compared to 2009.The small rise took the average cost of a room to 100 on theIndex, the level it was six years ago. • Prices had fallen for seven consecutive quarters going into 2010 so the stabilisation during the year willPrices remained flat in Europe, rose just 1% in Latin America be welcomed by hoteliers.and the Caribbean and fell by 2% in Asia. However, theaverage was boosted by a 2% rise in North America. • The Hotel Price Index for Europe stood at 99 at the end of 2010, flat from the previous year. That means that the average cost of a room in Europe is now 1% less than it was in 2004 when the Hotel Price Index was launched and 20% lower than when the average European price peaked in Q2 2007. Figure 1 HPI quarterly breakdown for Q1 2004 to Q4 2010 globally 130 120 Index Points 110 100 90 80 Q1 04 Q2 04 Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 Q4 05 Q1 06 Q2 06 Q3 06 Q4 06 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q3 10 Q4 10 The Hotel Price Index Review of hotel prices in 2010 5
  • 8. Figure 2 HPI by quarter, by region, Europe, Asia - Pacific, North America, Latin America and Caribbean 2004 - 2010 180 Asia - Pacific Caribbean 160 Europe Index Points 140 Latin America 120 North America 100 80 Q1 04 Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 Q4 05 Q1 06 Q2 06 Q3 06 Q4 06 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q3 10 Q4 10 Q2 04 North America shows small increase • Prices for the Caribbean rose by 1% year-on-year. The stabilisation came after two years of successive • Prices paid by travellers for hotel rooms in North America falls in 2008 and 2009. At the end of 2010, the HPI for (the US and Canada) rose 2% in 2010. The North the Caribbean stood at 114 points, still 16 points down American HPI stood at 98 at the end of year. on its 2007 peak. • The year started with the ninth consecutive quarterly • Prices across Latin America also rose by 1% taking its fall of 2% in the first quarter but then picked up with HPI to 111, still 22 points short of its 2007 high. increases of 3%, 4% and 3% respectively in the second, third and fourth quarters. Stronger demand from both leisure and business travellers seems to have Asia sees overall price falls despite growth emboldened hoteliers to raise rates. in Chinese economy • Despite the small rises, room rates were still 2% lower • Average prices paid for hotel rooms in Asia - Pacific fell than when the HPI was started in 2004. 2% during 2010.6 The Hotel Price Index Review of hotel prices in 2010
  • 9. • However, the Hotel Price Index for Asia - Pacific in 2010 North America stood at 115, 15% higher than when the HPI was launched in 2004. This shows prices overall have increased during the period from 2004 to 2010.• The Index is back to Q3 2009 levels but the region now exhibits a very varying landscape. For example, Thailand suffered from political unrest and having a relatively large supply base; Japan faced challenges in the continued slow domestic economy and a strong currency; Singapore on the other hand recorded significant increases thanks to the strong bounce back of corporate travellers and new tourist attractions and Shanghai price points were boosted by the successful World Expo. ChinaWhen Is A Deal Really A DealThe closer the 2010 HPI is to its 2004 starting point of 100the better the value. North America offered outstandingvalue with average prices less than they were six yearsago, with the HPI standing at 98. This was despite anoverall 2% increase, fuelled by rising occupancy levels,especially in more upscale hotels, and shrinking discounts.However, even though Asia saw overall price falls of 2%,there was less value to be had compared to 2004 with the2010 HPI 15% higher.Travellers looking for good deals should avoid bookingat peak times if at all possible and be aware of currencyfluctuations. The Hotel Price Index Review of hotel prices in 2010 7
  • 10. 2. Price changes in global city destinations The following sections reflect the real Pound Sterling (£) A World Cup double whammy prices paid by travellers from the UK during 2010 – compared to prices paid in Pound Sterling a year before. England’s disappointing early exit from the 2010 World Cup tournament in South Africa wasn’t the only thing travellers UK travellers faced a tough year in 2010 with price rises in had to contend with in 2010. There were big price rises in many of their favourite destinations. This could in part be Cape Town to £122 (28%) where many England fans were explained by the diminishing value of Sterling but it was also based, and in Johannesburg to £120 (7%) as demand due to hoteliers raising rates and offering fewer discounts. soared. Price changes also seemed to reflect the volatile state of the The World Cup effect is something for fans to be aware world economy with cities in struggling western countries of – not least for the 2022 competition in Qatar, with Doha seeing falls but fast-developing nations such as Brazil, China already one of the most expensive cities at £169 after a and India all witnessing double-digit percentage increases. 5% rise. Moscow, a host city for the 2018 tournament, also proved costly at £149. Middle Eastern promise The oil-rich Middle East had two cities (Muscat and Doha) Muscat in the top three most expensive destinations, reflecting both the small number of hotel rooms and the strength of demand for premium accommodation from both business and leisure travellers. Despite economic problems, Dubai was also in the top 20 at £120 a night on average, finishing the year with just a 1% fall in prices year on year. This was largely fuelled by hotels at the top end of the market. Another Emirate, Abu Dhabi, also featured in the most expensive list despite prices falling a huge 27% to average £116 a night.8 The Hotel Price Index Review of hotel prices in 2010
  • 11. America still appeals despite price rises Miami saw a 14% increase to £119, a trend reflected by other Florida destinations such as Orlando at £63 after an 18% Leisure and business travellers still flocked to the US despite jump. having to contend with big price increases in some of their favourite destinations as the Pound struggled against the Another popular destination, Las Vegas, registered an Dollar as the year developed. average hotel price of £71 - a 20% hike. Overall though, prices were still lower than 2004, providing some great value New York was one of the most expensive cities in the world options. The flat oil price also helped keep demand for hotels for UK visitors after a 12% rise took the average hotel price to healthy as it made road trips more affordable. £166, and Washington DC saw a similar jump to £132. Figure 3 Growth in average UK salary compared to HPI 2004 - 2010 20 15 Seven years of value for UK travellers% Growth Rate 10 UK travellers could get more value for 5 money when booking hotel rooms in 2010 than they did seven years before 0 when the HPI launched. Average salaries have jumped 19% since 2004 -5 – yet average hotel prices are still at the same level. 2004 2005 2006 2007 2008 2009 2010 HPI Index % Difference: 2004 - 2010 Average UK Salary Growth Rate: 2004 - 2010 (ONS) The Hotel Price Index Review of hotel prices in 2010 9
  • 12. A mixed picture for Europe Figure 4 Average hotel prices in 2010 compared to 2009 Destination Average Average % Change Monte Carlo became the most expensive European city at price per price per year on £170 after the average hotel price took a 9% leap year on room room year year, followed by Geneva at £152 per night (up 7%). There per night per night were similar rises for Paris (up 8%) and Amsterdam (up 9%). 2009 2010 Rooms in Germany’s financial centre of Frankfurt hit £102 Muscat £217 £185 -15% on average per night (up 14%), indicating a high corporate Monte Carlo £156 £170 9% demand to do business there. Doha £160 £169 5% However, the economic uncertainty in some Eurozone New York £148 £166 12% nations was reflected by price falls in Dublin (down 7%) and Maui £154 £163 6% Athens (down 3%). Geneva £142 £152 7% Eastern European cities also saw price drops with Zagreb Moscow £148 £149 1% (down 20%), Sofia (down 19%), Bucharest (down 13%), Valletta £126 £143 14% Tallinn (down 11%) and Budapest (down 8%). Moscow was Bergen £111 £142 29% one of the places to buck the trend with a 1% rise to average Tel Aviv £119 £139 16% £149 per night. Rio De Janeiro £108 £139 28% There were some big rises in up-and-coming destinations Washington £117 £132 12% in the list of the world’s most expensive places. Prices in the Venice £130 £127 -3% Maltese capital of Valletta went up by 14% and by 16% in Tel Nairobi £107 £126 18% Aviv. The Norwegian city of Bergen experienced a 29% rise, as leisure travellers came back after the recession of 2009 Singapore £97 £123 26% pushing up prices. Cape Town £96 £122 28% Paris £112 £121 8% Dubai £122 £120 -1% Johannesburg £112 £120 7% Miami £104 £119 14%10 The Hotel Price Index Review of hotel prices in 2010
  • 13. Destination Average Average % Change Destination Average Average % Change price per price per year on price per price per year on room room year room room year per night per night per night per night 2009 2010 2009 2010Sao Paulo £84 £118 41% Cancun £80 £98 21%Abu Dhabi £159 £116 -27% Istanbul £93 £95 3%LONDON £104 £114 10% Toronto £82 £94 15%Oslo £105 £114 9% Vienna £87 £94 8%Rome £110 £114 4% New Orleans £80 £93 17%Stockholm £100 £113 13% Shanghai £69 £91 33%Milan £97 £108 12% Athens £94 £91 -3%Mumbai £103 £106 4% Buenos Aires £79 £90 14%Amsterdam £97 £106 9% Brussels £86 £89 4%Jerusalem £122 £105 -14% Melbourne £78 £87 11%Vancouver £96 £105 9% Guangzhou £78 £86 11%Los Angeles £100 £104 4% Marrakech £80 £74 -7%Tokyo £106 £104 -3% Reykjavik £76 £72 -6%Honolulu £96 £103 8% Las Vegas £59 £71 20%Hong Kong £81 £103 27% Warsaw £66 £70 5%Copenhagen £111 £103 -7% Dublin £73 £68 -7%Sydney £85 £102 21% Prague £65 £67 3%Chicago £101 £102 2% Budapest £70 £65 -8%Cairo £108 £102 -5% Orlando £54 £63 18%Frankfurt £89 £102 14% Bangkok £60 £58 -3%San Francisco £89 £99 11% Tallinn £60 £54 -11% The Hotel Price Index Review of hotel prices in 2010 11
  • 14. Figure 5 The biggest percentage price rises in 2010 compared Cape Town with 2009 Destination Average Average % Change price per price per year on room room year per night per night 2009 2010 Sao Paulo £84 £118 41% Shanghai £69 £91 33% Biarritz £96 £128 33% Bergen £111 £142 29% Cape Town £96 £122 28% Rio de Janeiro £108 £139 28% Hong Kong £81 £103 27% Sydney £85 £102 21% average room rates, largely as a result of the strong Brazilian currency and booming economy. These factors Cancun £80 £98 21% were also reflected in China with Hong Kong witnessing Colombo £73 £88 21% a 27% rise and Shanghai a 33% increase. Jaipur £52 £62 21% • Las Vegas, synonymous with knockdown prices during Las Vegas £59 £71 20% the recession saw a 20% price rise as the convention Anaheim £66 £79 19% business returned. • The heaviest rises year-on-year for UK travellers came • A hotel room in Jaipur on the Golden Triangle tourist in the non-Euro destinations. Hotel rates served as route surged 21% in price to average £62 a night and a good barometer of the growing importance and the average rate in Cancun leapt by a similar amount development of cities in rapidly-developing countries. benefitting from new luxury hotels and British Airways launching a direct flight to the resort. • Rio de Janeiro and Sao Paulo in Brazil saw staggering increases of 28% and 41% respectively in12 The Hotel Price Index Review of hotel prices in 2010
  • 15. 50% 40% 30% 20% Rio de Janeiro Hong Kong Cape Town Las Vegas Sao Paulo Shanghai Colombo 10% Anaheim Cancun Sydney Biarritz Bergen Jaipur 0% Muscat Casablanca Leipzig Kiev Sofia Zagreb Phnom Penh Detroit Chennai Osaka Abu Dhabi -10% -20% -30% Figure 6 The biggest percentage price rises and falls in 2010 compared with 2009Figure 7 The biggest percentage price falls in 2010 Destination Average Average % Changecompared with 2009 price per price per year onDestination Average Average % Change room room year price per price per year on per night per night room room year 2009 2010 per night per night Kiev £119 £99 -17% 2009 2010 Leipzig £70 £58 -17%Abu Dhabi £159 £116 -27% Casablanca £93 £78 -16%Osaka £93 £69 -26% Muscat £217 £185 -15%Chennai £105 £78 -25%Detroit £78 £60 -23% • Abu Dhabi was the city in which prices paid by UKPhnom Penh £67 £52 -22% travellers fell furthest, according to the Hotels.com HotelZagreb £103 £82 -20% Price Index. The average price for a room in the EmirateSofia £78 £64 -19% plunged by nearly a third (down 27%) to £116 over the The Hotel Price Index Review of hotel prices in 2010 13
  • 16. course of the year. This was fuelled by a combination of growth in the number of rooms, as new hotels opened, and a drop in the number of corporate travellers visiting, due to the economic downturn. • Eastern European cities saw big falls, offering excellent value for UK travellers. Zagreb, where prices fell 20%, Sofia 19%, Kiev 17% and Leipzig 17%, all featured in the Toronto £94 15% top ten list of biggest fallers. San Francisco £99 11% New York £166 12% Las Vegas £71 20% Los Angeles £104 4% Buenos Aires £90 14%14 The Hotel Price Index Review of hotel prices in 2010
  • 17. Global hotel price changes 2009 - 2010 Moscow £149 1% Dublin £68 7% London £114 10% Geneva £152 7% Paris £121 8% Monte Carlo £170 9% Milan £108 12% Beirut £140 13% Tokyo £104 3% Marrakech £74 7% Shanghai £91 33% Doha £169 5% Dubai £120 1% Hong Kong £103 27% Muscat £185 15% Mumbai £106 4% Bangkok £58 3% Singapore £123 26%Rio De Janeiro £139 28% Johannesburg £120 7% Sydney £102 21% Cape Town £122 28% Melbourne £87 11% The Hotel Price Index Review of hotel prices in 2010 15
  • 18. 3. Price changes by country Prices rose in more than three quarters of popular countries At the other end of the scale, Morocco was the biggest faller favoured by UK travellers, albeit from a low level in 2009. (down 10%) and Iceland was also badly hit (down 6%), largely as a result of the volcanic ash cloud in the early part of the Russia retained its place as the most expensive country for year. UK visitors with average room rates reaching £132, followed closely by Switzerland (£131) and Brazil (£129) which saw a Eastern Europe again offered good value with Poland the 24% leap in prices fuelled by high demand and a strong local cheapest country for UK travellers with rooms averaging £64 a currency, a possible shape of things to come for football night, Hungary at £65 and Czech Republic at £67. supporters travelling to the next World Cup in 2014. The most expensive Eurozone country was Italy where the The biggest percentage price rise of 26% happened average room rate rose 3% to £107. France on £101 (up 3%) in Singapore, partially on the back of new luxury hotel pipped the Netherlands on £99 (up 6%). Ireland was the developments. There was a 21% rise in the average hotel cheapest Eurozone country for UK travellers at £69 (down 4%). price in China, reflecting its economy’s phenomenal growth, and in South Africa, largely as a result of the World Cup, with Moscow average room prices hitting £118. Australia experienced an 18% jump in the average room price, partly due to its strong currency, but hotels still offered good value at £95. There was a similar picture in New Zealand with a 13% rise, but the average room price was still just £65. North America saw increases in the US where the average room rate rose 4% to £105 and in Canada where the average rate rose 10% to £100. Further south, there were also rises in Mexico to £94 (up 6%) and in Argentina £91 (up 10%).16 The Hotel Price Index Review of hotel prices in 2010
  • 19. However, Switzerland retained its place as the most Destination Average Average % Changeexpensive European nation for a hotel room at £131 a night price per price per year on room room year(up 6%), followed by Norway at £120 (up 12%) and Croatia at per night per night£115. 2009 2010 United States ofDespite seeing a 2% rise, a hotel room in the UK cost on £101 £105 4% Americaaverage £83 a night, £12 below the average in the countries Sweden £96 £105 9%surveyed, perhaps indicating one of the appeals of the Denmark £110 £102 -7%“staycation” holiday for travellers looking for competitive France £98 £101 3%deals at a time of shrinking household budgets. Canada £92 £100 10%Figure 8 Average room prices and changes in 2010 Netherlands £94 £99 6%compared with 2009 by countryDestination Average Average % Change Japan £105 £98 -6% price per price per year on Greece £92 £98 6% room room year per night per night South Korea £91 £98 7% 2009 2010 Turkey £93 £97 4%Russia £131 £132 1% Australia £81 £95 18%Switzerland £123 £131 6% Indonesia £90 £94 4%Brazil £104 £129 24% Mexico £88 £94 6%Israel £123 £128 4% Austria £86 £93 8%Singapore £97 £123 26% China £76 £92 21%Norway £107 £120 12% Finland £96 £91 -5%United Arab Emirates £125 £119 -4% Belgium £90 £91 1%South Africa £98 £118 21% Argentina £83 £91 10%Croatia £115 £115 0% Egypt £87 £90 4%Italy £103 £107 3% Taiwan £102 £88 -14% The Hotel Price Index Review of hotel prices in 2010 17
  • 20. Destination Average Average % Change New York price per price per year on room room year per night per night 2009 2010 India £84 £86 3% Germany £84 £85 1% UNITED KINGDOM £81 £83 2% Portugal £82 £81 -2% Spain & Canary Islands £81 £81 0% Malaysia £66 £78 18% Figure 9 Average room prices and changes in 2010 Iceland £79 £74 -6% compared with 2009 by price rises Morocco £80 £72 -10% Destination Average Average % Change price per price per year on Ireland £72 £69 -4% room room year Czech Republic £65 £67 3% per night per night 2009 2010 Hungary £70 £65 -8% Singapore £97 £123 26% Thailand £66 £65 -2% Brazil £104 £129 24% New Zealand £57 £65 13% South Africa £98 £118 21% Poland £65 £64 -1% China £76 £92 21% Singapore Australia £81 £95 18% Mexico £88 £94 6% United States of £101 £105 4% America Turkey £93 £97 4% Egypt £87 £90 4% France £98 £101 3%18 The Hotel Price Index Review of hotel prices in 2010
  • 21. Figure 10 Average room prices and changes for 2010, Dubaicompared to 2009 by price fallsDestination Average Average % Change price per price per year on room room year per night per night 2009 2010Taiwan £102 £88 -14%Morocco £80 £72 -10%Hungary £70 £65 -8%Denmark £110 £102 -7%Japan £105 £98 -6%Iceland £79 £74 -6%United Arab £125 £119 -4%EmiratesIreland £72 £69 -4%Portugal £82 £81 -2%Thailand £66 £65 -2% The Hotel Price Index Review of hotel prices in 2010 19
  • 22. 4. Focus on the UK Hotel room rates rose on average by 2% - from £81 to £83 Other notable rises include those seen in Wolverhampton (up a night - across the UK from 2009 to 2010, a percentage 27%) and Stoke-on-Trent (up 28%) which has seen increased increase mirroring the global pattern. visitor numbers since the football club entered the Premier League in 2008. However, the overall picture masks some dramatic price movements across the country. At the other end of the scale, the Welsh cities of Cardiff (down 6%) and Swansea (down 14%) saw sharp falls to £76 Many of the major tourist destinations saw some of the and £69 respectively. highest percentage price rises, as more budget-conscious Britons stayed at home and a return of US travellers after the fall in 2009. Prices in London rose 10% to £114 and Oxford 9% to £99. Lake District destinations also witnessed increases with prices in Bowness-on-Windermere hitting £142, up 23%, London and Ambleside £113, a 6% rise as hoteliers were confident enough of visitors to put up their rates. The most expensive place was St Andrews in Scotland at £162 a night on average – a 20% jump, partly caused by the British Open golf tournament. St Andrews pushed Bath from the top spot, with the spa city falling to fourth place in the table. Hotels in towns and cities near the M4 corridor – home to the UK’s growing IT industry – saw double-digit rises: Bracknell (up 18%) and Reading (up 15%). However, the steepest rise was in Norwich where prices rose 38%.20 The Hotel Price Index Review of hotel prices in 2010
  • 23. 120 150 180 0 60 30 90 St Andrews Bowness-on-Windermere London Bath Ambleside St Peter Port Edinburgh Oxford Cambridge York Brighton UNITED KINGDOM Average price per room per night 2010 (£) Newcastle-upon-Tyne Bracknell Norwich Liverpool Manchester Cardiff Inverness Bournemouth Cheltenham Bristol Reading Price rise year on year (%) Glasgow Southampton Swansea Belfast Leeds Birmingham Sheffield Stoke-on-Trent Figure 11 Average price per room per night and price rise and fall in 2010 compared to 2009 across the UK Nottingham Bradford WolverhamptonThe Hotel Price Index Review of hotel prices in 2010 Price fall year on year (%)21
  • 24. St Andrews Destination Average Average % Change price per price per year on room room year per night per night 2009 2010 Oxford £91 £99 9% Cambridge £95 £94 -1% York £87 £86 -1% Brighton £82 £84 2% UNITED KINGDOM £81 £83 2% Newcastle-upon- £79 £82 4% Tyne Bracknell £68 £80 18% Figure 12 Average room prices and changes in 2010 across Norwich £56 £78 38% the UK Liverpool £75 £77 4% Destination Average Average % Change Manchester £75 £77 3% price per price per year on room room year Cardiff £81 £76 -6% per night per night Inverness £70 £76 9% 2009 2010 St Andrews £135 £162 20% Bournemouth £69 £73 7% Bowness-on- Cheltenham £69 £71 2% £115 £142 23% Windermere Bristol £70 £71 2% London £104 £114 10% Reading £62 £71 15% Bath £110 £113 2% Glasgow £72 £71 -2% Ambleside £106 £113 6% Southampton £61 £69 13% St Peter Port £110 £105 -5% Swansea £81 £69 -14% Edinburgh £96 £101 5%22 The Hotel Price Index Review of hotel prices in 2010
  • 25. Destination Average Average % Change Edinburgh price per price per year on room room year per night per night 2009 2010Belfast £66 £68 3%Leeds £66 £66 0%Birmingham £57 £61 6%Sheffield £60 £60 0%Stoke-on-Trent £46 £59 28%Nottingham £54 £57 6% Figure 13 Average room prices and changes in 2010:Bradford £55 £51 -7% ScotlandWolverhampton £36 £46 27% Destination Average Average % Change price per price per year on Brighton room room year per night per night 2009 2010 Edinburgh £96 £101 5% Stirling £86 £78 -10% Aberdeen £74 £77 5% Inverness £70 £76 9% Glasgow £72 £71 -2% Perth £56 £68 22% • Prices in the Scottish capital of Edinburgh rallied by 5% in 2010 to average £101 a night. More flights The Hotel Price Index Review of hotel prices in 2010 23
  • 26. into Edinburgh Airport, the British Open golf tournament, Aberdeen Edinburgh Festival and marathon all attracted record visitor numbers in 2010. • The average price paid in Inverness was also substantially up, this time by 9%, taking room rates to £76 on average. This came on the back of a surge in demand from travellers heading to the Scottish Highlands. Perth, on the key A9 route northwards, also saw a huge 22% spike to £68. • Aberdeen finished the year posting a 5% rise in prices even though there had been a 5% fall in Q2 as hotels tried to sustain occupancy. • However, it was not all good news for Scottish hoteliers with Stirling suffering a 10% drop to £78 after a strong 2009 with the Homecoming events. Glasgow saw a smaller 2% drop as a result of a fall in conference business at hotels and therefore lower business bookings.24 The Hotel Price Index Review of hotel prices in 2010
  • 27. UK hotel price changes2009 - 2010 St. Andrews £162 20% Glasgow £71 2% Edinburgh £101 5% Newcastle-upon-Tyne £82 4% Belfast £68 3% Leeds £66 1% Manchester £77 3% Liverpool £77 4% Leicester £49 1% Birmingham £61 6% Norwich £78 38% Cardiff £76 6% London £114 10% Portsmouth £78 0% Brighton £84 2% The Hotel Price Index Review of hotel prices in 2010 25
  • 28. 5. Prices paid at home and away US travellers are the biggest spenders on hotel rooms when UK travellers are joint eighth in the table of biggest spenders, they travel abroad, according to the Hotels.com Hotel Price splashing out on average £95 abroad along with the Index. They spend an average £104 a night on hotel rooms Swedes. However, they spend £12 less - £83 a night - on when they head overseas, £1 more than Russian travellers. domestic hotel rooms. At the other end of the scale, South Africans are the savviest The biggest domestic spenders are the Norwegians and when outside their borders, parting with just £56 a night, Singaporeans who both spend an average £117 a night on according to the report. hotel rooms at home. Travellers from India are those with the best eye for value within their own borders, spending just £59 when in a domestic destination. Las Vegas Udaipur26 The Hotel Price Index Review of hotel prices in 2010
  • 29. Figure 14 Average room prices paid by travellers when Nationality Average price Average pricetravelling within their own countries versus those paid paid per room paid per when travelling room whenoverseas in 2010 within own travellingNationality Average price Average price country abroad paid per room paid per HOME AWAY when travelling room when within own travelling Mexico £71 £74 country abroad France £70 £87 HOME AWAYNorway £117 £98 Ireland £70 £94Singapore £117 £85 Spain & Canary Islands £67 £90Russia £106 £103 India £59 £96Japan £97 £100Denmark £97 £91Sweden £95 £95Brazil £93 £93South Africa £91 £56Australia £90 £99Netherlands £84 £87UNITED KINGDOM £83 £95Italy £81 £91USA £74 £104Portugal £74 £99Germany £74 £86 The Hotel Price Index Review of hotel prices in 2010 27
  • 30. 6. Where to go for £100 a night With the emphasis on value for money, travellers with £100 a night to spend on their hotel room could choose from a wide Figure 15 The star rating that can be purchased with £100 selection of destinations as they searched for luxury for less. per night in the world’s top cities Nine cities now offer five-star hotel accommodation for £100 Destination GBP 100 a night, with five within a four-hour flight from the UK. Those Buenos Aires 5 prepared to travel further afield can sample the best for less than three figures in Buenos Aires, Guangzhou, Jakarta and Guangzhou 5 Santiago. Jakarta 5 In comparison, £100 will buy you a three-star hotel room in Marrakech 5 London and only one star in New York. Santiago 5 Warsaw 5 Buenos Aires Budapest 5 Lisbon 5 Tallinn 5 Bangkok 4 Prague 4 Berlin 4 Cairo 4 Beijing 4 Dublin 4 Las Vegas 4 Helsinki 428 The Hotel Price Index Review of hotel prices in 2010
  • 31. Destination GBP 100 Destination GBP 100Madrid 4 Amsterdam 3Melbourne 4 Chicago 3Vienna 4 Copenhagen 3Dubai 4 Stockholm 3Istanbul 4 Cancun 3Shanghai 4 LONDON 3Barcelona 4 Moscow 3Mexico City 4 Nice 3Sydney 4 Rome 3Taipei 4 Toronto 3Bali 3 Singapore 3Frankfurt 3 Tokyo 3Munich 3 Los Angeles 3Cape Town 3 San Francisco 3Edinburgh 3 Vancouver 3Hong Kong 3 Miami 3Mumbai 3 Montreal 3Milan 3 Venice 3Orlando 3 Paris 2New Delhi 3 New York 1 The Hotel Price Index Review of hotel prices in 2010 29
  • 32. 7. Average room prices by star rating Hotels.com analysed the average prices paid for hotel rooms Figure 16 Top 10 most expensive cities for 5 star hotels across different star ratings in the world’s top cities. 400 The data demonstrates where UK travellers can find best value. It also highlights those cities where shopping around 350 for the best deal can yield dividends: in some cases, travellers can end up paying more for a property with a lower 300 star rating. 250 Pounds (£) The Polish capital of Warsaw offers the best deal on luxury for less with five-star accommodation costing just £75 a 200 night with Marrakech in Morocco serving it up for just £15 more. Jakarta provides four-star luxury for only £65. 150 San Francisco At the other end of the scale, New York offers the most 100 Los Angeles Cape Town Jerusalem expensive five-star and four-star hotel rooms at £400 and New York Geneva 50 Venice £217 respectively. Geneva is the second most expensive Tokyo Paris Nice five-star provider on £300. London offers it for £212. 0 Warsaw Hotel star ratings explained There is no universal star-rating system. Each country has its own, and in some cases, such as the UK, more than one. This means travellers should be aware of a possible disparity of standards and facilities when booking rooms with the same star ratings in different countries.30 The Hotel Price Index Review of hotel prices in 2010
  • 33. Figure 17 Average hotel room prices by star rating during 2010 DestinationDestination Istanbul £42 £65 £92 £133Amsterdam £76 £89 £113 £152 Jakarta N/A N/A £65 N/ABali N/A £45 £105 £159 Jerusalem N/A £81 N/A £225Bangkok £26 £30 £66 £115 Las Vegas £30 £46 £82 £131Barcelona £66 £85 £98 £157 Lisbon £46 £59 £78 £101Beijing £37 £39 £68 £128 London £64 £88 £127 £212Berlin £56 £56 £76 £115 Los Angeles £67 £90 £164 £265Boston £86 £119 £153 N/A Madrid £60 £73 £83 £135Budapest £35 £42 £63 £101 Marrakech N/A £50 £64 £90Buenos Aires £41 £79 £97 N/A Melbourne N/A £56 £88 £129Cairo £91 £36 £78 £118 Mexico City £32 £54 £102 N/ACancun £39 £85 £131 N/A Miami £62 £101 £160 £206Cape Town £94 £70 £108 £240 Milan N/A £72 £113 £203Chicago £71 £91 £116 N/A Montreal £69 £101 £129 N/ACopenhagen £70 £92 £110 £155 Moscow N/A £85 £135 £196Dubai £48 £50 £84 £180 Mumbai £45 £72 £106 £146Dublin £51 £58 £73 £130 Munich £62 £84 £103 £158Edinburgh £70 £87 £104 £153 New Delhi £26 £53 £132 £171Frankfurt £61 £74 £103 £160 New York £120 £167 £217 £400Geneva N/A £119 £151 £300 Nice £70 £82 £140 £238Guangzhou N/A £63 £90 N/A Orlando £38 £65 £114 £170Helsinki N/A £89 £88 £134 Oslo £90 £104 £119 £147Hong Kong £39 £71 £109 £188 Paris £74 £108 £167 £296 The Hotel Price Index Review of hotel prices in 2010 31
  • 34. Destination Venice Prague £40 £48 £63 £113 Rio de Janeiro £97 £127 £212 N/A Rome £76 £92 £116 £210 San Francisco £66 £95 £130 £262 Santiago N/A £85 N/A N/A Sao Paulo N/A £90 £199 N/A Seattle £74 £100 £139 £147 Seoul N/A £69 £121 £170 Shanghai £26 £60 £92 £174 Singapore £48 £94 £129 £200 Stockholm £63 £87 £119 £140 Rome Sydney N/A £65 £100 £160 Taipei N/A £65 £100 N/A Tallinn £31 £37 £54 £102 Tokyo £60 £86 £155 £299 Toronto £66 £89 £129 N/A Vancouver £70 £96 £132 £171 Venice £62 £100 £139 £221 Vienna N/A £73 £84 £144 Warsaw N/A £55 £69 £75 Washington £82 £119 £140 N/A32 The Hotel Price Index Review of hotel prices in 2010
  • 35. 8. Luxury for lessThe falling cost of luxury 15%) and five-star (down 4%) to £78 and £118 respectively.Travellers searching for the best in hotel accommodation Nearer to home, Dublin’s mounting economic problems werewere able to benefit from dramatic price falls across the reflected in price reductions in four star hotels, dropping 6%world in 2010. to £73. Helsinki in Finland also registered a 9% fall for four- star to £88 and 2% for five-star to £134.For example, Marrakech saw a big 9% fall for a five-starroom to just £90 a night and a 3% fall in the four-star Those looking for the high life but wanting to spendcategory to £64. The Estonian capital of Tallinn saw four-star substantially less than they did in 2009 should look noprices drop sharply by 13% to just £54 - the cheapest in the further than the Hotels.com HPI guide to “Luxury for Less” inreport. Five-star accommodation in Venice was 11% cheaper the table overleaf which shows where in the world four-starin 2010 than 2009 at £221 a night on average, the biggest and five-star hotel prices have fallen the most.percentage fall in this category. Five-star was 7% cheaper in MarrakechBudapest at £101 and a four-star room was 3% less at just£62. Prague experienced a 3% fall in this category to £63.Copenhagen also posted a 5% drop for four-star but priceswere still relatively high at £110.However, those prepared to fly longer distances could reallycash in on rooms at the upper end of the luxury spectrum.There was a 17% drop for four-star rooms in the Taiwanesecapital of Taipei to £100 and Bangkok saw a 4% fall to £115for five-star luxury, possibly as a result of the political turmoilaffecting the Thai capital. Dubai’s financial troubles and theincrease in capacity saw good four-star deals at £84 – a 7%plunge – and Cairo registered falls for both four-star (down The Hotel Price Index Review of hotel prices in 2010 33
  • 36. Figure 18 The falling cost of luxury: where prices at top-end Figure 19 Affordable luxury: 15 destinations with the hotels fell by the greatest extent between 2009 and 2010 best-value five-star hotels in 2010 Destination Star Rating Average Average % Change Destination Destination price per price per year on Warsaw £75 Melbourne £129 room room year per night per night Marrakech £90 Dublin £130 2009 2010 Budapest £101 Las Vegas £131 Taipei £120 £100 -17% Lisbon £101 Istanbul £133 Cairo £92 £78 -15% Tallinn £102 Helsinki £134 Tallinn £61 £54 -13% Prague £113 Madrid £135 Venice £247 £221 -11% Berlin £115 Stockholm £140 Guangzhou £99 £90 -10% Bangkok £115 Vienna £144 Marrakech £98 £90 -9% Pisa £117 Mumbai £146 Helsinki £97 £88 -9% Cairo £118 Seattle £147 Budapest £109 £101 -7% Beijing £128 Oslo £148 Dubai £91 £84 -7% Dublin £78 £73 -6% Copenhagen £116 £110 -5% Cairo £123 £118 -4% Bangkok £120 £115 -4% Lisbon £81 £78 -3% Marrakech £66 £64 -3% Prague £66 £63 -3% Budapest £64 £62 -3%34 The Hotel Price Index Review of hotel prices in 2010
  • 37. 9. Travel habitsTop UK destinations for UK travellers Figure 20 Top UK destinations for UK travellers Rank DestinationLondon was the most popular domestic destination, 1 Londonaccording to the Hotels.com Hotel Price Index. 2 ManchesterManchester and Edinburgh came in at number two and 3 Edinburghthree, swapping places from 2009. 4 BirminghamBirmingham and Glasgow completed the top-five list of the 5 Glasgowmost popular home destinations for UK travellers. 6 Liverpool 7 Cardiff 8 Bristol London 9 Leeds 10 Brighton 11 Bournemouth 12 Nottingham 13 York 14 Belfast 15 Newcastle-upon-Tyne 16 Blackpool 17 Oxford 18 Sheffield 19 Southampton 20 Aberdeen The Hotel Price Index Review of hotel prices in 2010 35
  • 38. Top overseas destinations for UK travellers Figure 21 Top overseas destinations for UK travellers New York was the most popular overseas destination for Rank Destination Country UK travellers in 2010, despite rising hotel prices. In fact there 1 New York United States are five US cities in the top 20 list, with Las Vegas, San 2 Paris France Francisco, Los Angeles and Orlando also featuring. 3 Dublin Ireland Paris was the second-most popular overseas destination 4 Las Vegas United States and top European city for UK travellers. However, other top 5 Amsterdam Netherlands European city-break destinations also feature prominently 6 Rome Italy with Dublin, Amsterdam, Rome, Barcelona and Berlin all in 7 Barcelona Spain the top 10. 8 Dubai United Arab Emirates Other destinations on the list include the Far East cities of 9 San Francisco United States Hong Kong, Bangkok and Singapore. 10 Berlin Germany Marrakech was at number 18 in the list with its affordable 11 Prague Czech Republic luxury and relative proximity to the UK. 12 Los Angeles United States New York 13 Hong Kong China 14 Orlando United States 15 Madrid Spain 16 Bangkok Thailand 17 Venice Italy 18 Marrakech Morocco 19 Budapest Hungary 20 Singapore Singapore36 The Hotel Price Index Review of hotel prices in 2010
  • 39. Top UK destinations for travellers from Figure 22 Top UK destinations for overseas travellersoverseas Rank Destination 1 LondonThe top destinations for visitors to the UK are fairlypredictable with London, Edinburgh, Manchester, Liverpool, 2 EdinburghGlasgow, Birmingham, Belfast and Brighton the eight most 3 Manchestervisited places. 4 LiverpoolThe university city of Oxford, with its limited supply of hotels, 5 Glasgowproved more popular than rival Cambridge and the university 6 Birminghamcity Bristol made number 10 on the list. 7 Belfast 8 Brighton Manchester 9 Oxford 10 Bristol 11 Leeds 12 Aberdeen 13 Cardiff 14 Nottingham 15 Newcastle-upon-Tyne 16 Gatwick Airport 17 Cambridge 18 Bath 19 York 20 Bournemouth The Hotel Price Index Review of hotel prices in 2010 37
  • 40. About Hotels.com As part of the Expedia group which operates in all major For further information markets, Hotels.com offers more than 130,000 quality hotels, B&Bs and serviced apartments worldwide. If a customer For more information/press enquiries or spokespeople, can find the same deal for less on a pre-paid hotel, please contact: Hotels.com will match it. Hotels.com benefits from one of the largest hotel contracting teams in the industry negotiating Alison Couper the best rates for its customers, plus there are 1.8m reviews +44 (0)20 7019 2360 from users who have actually stayed in the hotels to ensure acouper@hotels.com customers make an informed choice when booking. Hotels.com has recently launched its Welcome Rewards customers loyalty programme in the UK, where customers Kate Hopcraft can earn a free night for every ten nights stayed (subject to +44 (0)20 7019 2165 Welcome Rewards terms and conditions as set out at www. khopcraft@hotels.com hotels.com). Hotels.com was voted top in the ‘Service’ and ‘Customer Friendly Website’ categories by the German Institute of Service Quality in January 2011. Travellers can Cordy Griffiths book online or by contacting one of the multilingual call +44 (0)20 7019 2268 centres on 020 3027 8146. cgriffiths@hotels.com The company currently operates more than 75 Hotels.com sites around the world including 31 sites in 24 languages across EMEA. The European sites launched in the UK in 2001 and now attract several million unique users every month and thousands of people now book bed nights through Hotels.com every day.38 The Hotel Price Index Review of hotel prices in 2010
  • 41. © 2011 Hotels.com, L.P. The Hotel Price Index (HPI®), this report and its contents are the copyright of Hotels.com, L.P. All rights reserved. Any reproduction of this report or its contents must acknowledge www.hotels.com as the source.

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