Travel is changing. There’s a lot of talk about average rates dropping in many markets, but don’t kid yourself, it’s all about value. Packaging is a wonderful way to add to perceived value without sacrificing your rate positioning in the marketplace. Getting more for less is pretty much a human concept. There is still a lot of business out there; we’ll just have to work smarter to get it.
Keeping up will require a greater emphasis on the hotel’s location and perceived value. Hoteliers will finally realize that people travel to get to a particular location and then, with few exceptions, choose a hotel based upon the best-value deal within that location. Hoteliers will ultimately understand that rate alone doesn’t sell rooms, no matter how low; what one gets for that rate is how we determine “value”. Perceived value sells rooms, not rates.
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