Hotel prices are plunging steeply as the recession bites operators. Photo / Herald on Sunday
Hotel prices are plummeting around the world as operators compete for customers in the face of the global downturn. The latest Hotel Price Index from online hotel specialist Hotels.com shows that by the end of 2008, hotel prices around the world were an average of 12 per cent lower than
a year before.
David Roche, president of Hotels.com Worldwide, reckons, "The latest Hotel Price Index shows the economic downturn is affecting hotel prices on all continents. Hoteliers around the world are being forced to cut rates to fill rooms. The good news is there are many bargains to be had for travellers. This year really will be the year of the deal."
Big falls have been recorded in Prague (down 26 per cent), London (-24 per cent), New York (-24 per cent), Barcelona (-21 per cent), Mumbai (-41 per cent), Reykjavik (-36 per cent), Manila (-32 per cent) and Las Vegas (-31 per cent).
But some big falls have also occurred closer to home. Hotels.com reckons hotel prices in Queenstown fell by 35 per cent, one of the biggest declines worldwide, making it particularly good value. The Hotel price Index also recorded significant falls in Christchurch (-19 per cent), Melbourne (-23 per cent) and Sydney (-22 per cent) making them appealing places for Kiwi travellers to visit.
"For travellers from any part of the world," Roche said, "this is a great time to explore: hotels have not offered such good value since January 2004. The indications are that 2009 will continue to be a good year for travellers."
