Released by Carlson Wagonlit Travel and the GBTA Foundation, The 2018 Global Travel Forecast shows hotel prices are expected to be 3.7% higher.
Globally, the 3.7% average increase in hotel prices masks what is actually happening on a regional level. Europe is expected to post strong increases, while other regions are barely keeping up with inflation. Additionally, prices are expected to fall in Latin America and the Caribbean.
Across EMEA, hotel prices are likely to rise – 6.6% in Eastern Europe, 6.3% in Western Europe, but only 0.6% in the Middle East and Africa. Norway is expected to lead with increases of 14% expected for 2018, while Russian hotel prices will rise 11.9% thanks to increased demand from hosting the 2018 Summer World Cup.
Suppliers are progressively moving corporate buyers away from fixed, negotiated hotel rates and toward dynamic rate pricing. There is also a global trend towards “smarter” hotels, with hotels investing in beacon technologies, messaging, in-room entertainment and more. Increasingly tech-savvy guests will use apps to check in and out, unlock their hotel room door, operate the television remotely and control room temperature.