US hotel rates to rise next year
By IANSMonday, October 25, 2010
NEW YORK - Hotel rates in the US are expected to increase by an average of 10 percent next year, a media report said.
Air fares are also likely to increase, but rental-car fares would stay the same because of heavy competition and a huge inventory of such cars, Xinhua reported citing the Los Angeles Times.
The forecast is based on price predictions for airline tickets, hotels and car-rental rates for over 500 cities worldwide, according to the report by the American Express Business Travel (AEBT), the corporate travel division of the American Express Co.
Although more businesses are expected to send employees to meetings next year, event planners will make it cheaper to attend by hosting less-expensive conferences with fewer amenities, said Christa Degnan Manning, a director of insights and research for AEBT.
That translates into more business meetings at smaller, lower-cost destinations such as Austin, Texas, and Phoenix, instead of expensive metropolitan cities such as New York and San Francisco, the report said.
