Travel Leaders: Are Hotel Rooms Getting More Expensive?
The average daily rate for a domestic hotel room increased 4 percent in the third quarter of this year as compared to the third quarter of 2013, and the average daily rate for an international hotel room increased by 1 percent, according to Travel Leaders Corporate data.
"Despite a forecasted increase of 5-7 percent, year-over-year, for the average daily rate of domestic hotel accommodations, our clients are experiencing a smaller increase of just 4 percent,” said Travel Leaders Corporate president David Holyoke. “As an industry, we’re seeing a continuing trend of increasing costs."
Travel Leaders Corporate also reported that the data also indicates that when comparing Travel Leaders Corporate’s top 10 domestic cities – based on the number of hotel room nights booked for its business travel clients – the companies negotiated rate is 20 percent less, on average, when compared to the “best available” rate.
The data shows that when comparing the average domestic and international trip base cost (combining air, car and hotel) there was an increase of 4 percent in the third quarter of this year, as compared to the third quarter of 2013, the firm reports.
For the second straight quarter, Travel Leaders Corporate says the data indicates that the average total base cost of a domestic business trip was more than $1,000, while the average total base cost of an international trip slightly decreased to $2,502.
Other third quarter findings:
- The average domestic airline ticket price increased 2 percent in the third quarter of 2014, as compared to the third quarter of 2013. The average cost of an international airline ticket increased 1 percent during the same time period.
- The average cost per day of a domestic car rental increased 1 percent in the third quarter of 2014, as compared to the third quarter of 2013. The average cost of an international car rental increased 5 percent during the same time period.