Hotel prices to rise at lower rate in 2023 in major business events cities -report

Must read

Joe Biden pays tribute to victims of California mass shootings: ‘As a nation, we have to be there for them’

 President Joe Biden led a moment of silence at the White House on Thursday in honor of the victims of separate shootings that killed 11 people...

FDA pushes to make COVID-19 vaccinations easier. At the top of the list: One annual booster instead of two

The U.S. is poised to make COVID-19 vaccinations more like a yearly flu shot, a major shift in strategy despite a long list of...

Hasbro to cut 1,000 jobs as the pandemic-era toy-buying boom cools now that kids are back in school

Hasbro, one of the world’s largest toymakers, said it would cut 15% of its workforce, or about 1,000 jobs, after a disappointing holiday shopping...

A chemical plant’s polluting poisoned a generation of children in a small town. The settlement that the state just made has residents up in...

In hindsight, it’s clear that something was very wrong in this suburban town at the Jersey Shore, where many people worked at or lived...

Economic Indicators 12 minutes ago (Oct 05, 2022 01:06PM ET)

Hotel prices to rise at lower rate in 2023 in major business events cities -report © Reuters. FILE PHOTO: Paul Abbott, CEO of American Express Global Business Travel rings the opening bell to celebrate his company’s listing at the New York Stock Exchange (NYSE) in New York City, U.S., June 22, 2022. REUTERS/Brendan McDermid/File Photo

MADRID (Reuters) – Hotel prices will keep increasing in 2023 in most of the key cities for business events worldwide as demand for in-person meetings after pandemic disruptions grows, though at a slower pace due to a worsening economic outlook, American Express (NYSE:) Global Business Travel said in its annual forecast.

Corporate travel managers and buyers have been dealing with difficulties in securing accommodation at good prices, while hotels struggle with inflation and talent shortages amid a rebound in tourism and business events, the consulting firm said.

“While hotels can continue to benefit in 2023 from pent up demand for in-person meetings and events, the global economic outlook is unlikely to allow them to achieve rate rises on the same scale as seen in 2022”, the report added.

Rates in London are forecast to rise by up to 6.2% next year as hotels face inflationary cost increases for labor and energy, the study said. In Paris, room rates may rise up to 10%, as the French capital is set to host events such the Rugby World Cup and will be in preparations for the 2024 Summer Olympics.

New York should see hotel prices increase by 8.2% in 2023, driven by demand for in-person meetings and sustained by resilient leisure demand, it said.

Cities like Madrid and Barcelona will increase hotel prices in line with the rest of the main business cities in Europe, with average hikes of around 7.2% and 6.6%, respectively.

The company said forecasting hotel prices after two years of pandemic-related travel disruptions and uncertainty over the global economy was challenging, and that the data team combined historical transaction data with macroeconomic factors to generate the prices forecast for 2023.

More articles

Latest article

Joe Biden pays tribute to victims of California mass shootings: ‘As a nation, we have to be there for them’

 President Joe Biden led a moment of silence at the White House on Thursday in honor of the victims of separate shootings that killed 11 people...

FDA pushes to make COVID-19 vaccinations easier. At the top of the list: One annual booster instead of two

The U.S. is poised to make COVID-19 vaccinations more like a yearly flu shot, a major shift in strategy despite a long list of...

Hasbro to cut 1,000 jobs as the pandemic-era toy-buying boom cools now that kids are back in school

Hasbro, one of the world’s largest toymakers, said it would cut 15% of its workforce, or about 1,000 jobs, after a disappointing holiday shopping...

A chemical plant’s polluting poisoned a generation of children in a small town. The settlement that the state just made has residents up in...

In hindsight, it’s clear that something was very wrong in this suburban town at the Jersey Shore, where many people worked at or lived...

Health effects of cannabis products are too uncertain for regulating the fast-growing market like food or supplements, FDA says

The Food and Drug Administration said Thursday there are too many unknowns about CBD products to regulate them as foods or supplements under the...