NYC resilient to future hotel woes
The nation's top nine hotels are expected to lose $10 billion to competing chains in the next year, according to a report released by a customer growth consulting firm, but an industry representative said hospitality in the five New York City boroughs will continue to thrive despite the projection.
The firm, cg42, surveyed more than 3,000 loyalty program customers and ranked the country's top nine hotel chains, including Best Western, Hyatt and Marriott, based on their greatest risks and vulnerabilities.
According to the report, Carlson, Best Western and Wyndham hotels are the most vulnerable, and are projected to lose nearly $2 billion in traveler spending in the next 12 months. The InterContinental Hotels Group faces the lowest risk.
But Chris Heywood, a spokesman for NYC & Company, the city's leading tourism and hospitality organization, said hotels in the five boroughs are doing better than ever.
"I'm not too concerned as it relates to tourism in New York because we've had record numbers of visitors coming," he said of the report.
Heywood said there were 50.5 million visitors to the city so far this year, exceeding Mayor Michael Bloomberg's goal. Hotel occupancy in the city was the highest in the nation in May at 91.3 %, he said, compared to 89.2 in 2011.
Also in May, the average daily room rate was $290, up from $280 the previous year.