»»Demand for Luxury Hotels Not Affected by Sliding Economy

Smith Travel Research, which tracks hotel performance, reported that in the U.S. luxury hotel occupancy averaged 72.2% in March, the best in any hotel category. Luxury hotel also was more profitable than any other hotel segment; average daily rate was $323.80 (up 5.6% from March 2007) and revenue per available room rose 1.5% over last March.
These figures show the demand for luxury hotels is not as affected by the economy as other hotel categories.

usatoday.com listed few trends selected by industry analysts in this hotel segment

- Personalized experience
Many high-end hotels are giving hotels a less formal and more individual feel. Jim FitzGibbon, president of worldwide operations for Four Seasons Hotels and Resorts, an industry leader, says: “you have to create an experience for the customer and not just put them through a (cookie-cutter) system.”

- An influx of luxe brands
Big names such as Hyatt and Ritz-Carlton launched heir own high-end boutique chains, Andaz and Reserve, respectively. Marriott is partnering with boutique godfather Ian Schrager on a new project. Boutique-style brands, including W Hotels, Thompson and the Gansevoort Hotel Group are expanding.

- High-tech toys
With guests getting more electronically sophisticated, luxury hotels are answering the demands of technology with cutting-edge furnishings and gadgetry (from TVs embedded in bathroom mirrors to remote controls that control temperature, TVs and curtains with a flick, to fingerprints or eye scans serving as a room keys).

- A new emphasis on value and recognition
With heated competition and the cooling economy, guests’ expectations are more acute […] concierges are being used more like personal assistants.
(source)


 

»»Luggage: Checking vs Shipping

With increasingly airlines charging for a second checked bag, flyers start to consider a luggage delivery service. orbitz.com listed advantages and compared costs of the shipping option.

- A luggage delivery service pick up your packed luggage at your door, wrap and ship it, track it, ensure it gets to your final destination in perfect condition.
- However luggage shipping is an option suggested for domestic travel. Delivery to international destinations could suffer delay, because of customs matter. Just few shippers guarantee an international delivery date.

orbitz.com also compared service and cost of some luggage shippers for shipping a 30-pound bag going from NYC to Miami via the slowest route.
It found Luggage Free– one of the most popular shippers, would cost you $50 for a 30 pounds bag shipped domestically for 5-business-day arrival; the cost includes $1,000 coverage in the event of loss or damage.
FedEx and UPS would cost only $20.15 (including home pick-up, but it has to be packaged by you).
orbitz.com found Luggage Free is the cheapest full-service option. It charges only $1.65 per pound for 5-business-day shipping.

However expedited shipping (1-2 day) would be at least double or triple the cost of the slowest shipping listed above.

Finally, the article also suggests some key questions to ask if you ship your luggage:
- How much is my bag insured for if it is lost, stolen or damaged?
- Are there any contents that are not covered (e.g. gift cards, jewelry, electronics equipment)
- What is the process of being reimbursed for loss, theft or damage? How long does it take from the time my claim is filed to reimbursement?
- How do you help me if the bag is lost or delayed on its way to my destination? Do you cover the cost of critical replacement items?
- What guarantees do you offer for timely arrival (if international, be sure to include customs delays)?
- Are there any hidden or extra fees that are not included in the quote?
(source)


 

»»Marriott Courtyard Hotel Opens in Hong Kong

Marriott has opened its first Courtyard hotel in Hong Kong. This new 245-room Courtyard by Marriott Hong Kong, is located in the Sai Ying Pan district on Hong Kong Island.

The location provides easy access to the financial district in Central as well as to Hong Kong Convention and Exhibition Center in Wanchai.

The hotel offers a free shuttle bus service between the Sheung Wan, Central, Admiralty and Wanchai districts.

For Business travelers, Courtyard by Marriott Hong Kong features a full business center with two work stations, boardroom, executive lounge and 24-hour fitness center. Furtherly, each of the 245 guestrooms comes with high-speed internet access.
Room rates start from US$199 per night.


 

»»The Status of In-flight Wi-Fi Internet Access

As in-flight cell phone service has been blocked so far by Federal Aviation Administration, increasingly airlines in the U.S. are poised to offer wireless Internet access inside their planes.

By making use of a variety of technologies, the airlines are aiming to offer people in-flight same capability they enjoy at home or in the office.
Analysts predict business travelers will like the service; a recent Forrester Research survey showed 55 percent of travelers on flights of four hours or more said they would be interested in paying for in-flight wireless access.

San Francisco Chronicle reports on the status of in-flight wireless Internet access for U.S. carriers.
- Alaska Airlines: Testing wireless Internet access this summer
- American Airlines: Testing service on 15 planes by mid-year
- Continental: Testing limited wireless next year
- JetBlue: Currently testing one plane offering limited Yahoo e-mail, IM chat and BlackBerry e-mail service
- Southwest Airlines: Testing service on four planes in late summer
- Virgin America: Testing service late this year
Regular Wi-Fi service could begin on many of the airlines by the end of this year.

- Costs -
The cost of the domestic Wi-Fi service is still being worked out. Most of carriers are working with their technology suppliers to set pricing. Aircell, which is providing the wireless service for American and Virgin America, is looking at charging $12.95 for flights longer than three hours and less for shorter trips.

- Revenue opportunities -
Wi-Fi could end up becoming a new source of revenue for airlines. A few examples: Virgin America is using the new connectivity to provide Internet access to its seatback entertainment systems; Virgin is also tapping game developers to create networked games that can be played by passengers in the same plane and by travelers on different flights.

- Workload for flight attendants -
Flight attendants likely will have to field technical questions for the first time. They’ll also have to police against passengers viewing inappropriate content online. Example of inappropriate use could be users trying to download large files. As Skype and other Internet phone services will be disabled to ensure peace and quiet in the cabin. (source)


 

»»A Shortage of Luxury Hotels in Manhattan

Despite about 20 hotels were scheduled to open in Manhattan in 2008, no one of them seems to be aiming at luxury segment. With one exception, the Mark Hotel, at 77th Street and Madison Avenue in Manhattan, which reopens later this year after an extensive renovation. Its room rates will start at around $1,000 a night.

Manhattan
(photo by atomicshark licensed under
the Creative Commons license)
.

The New York Times quoted Bjorn Hanson, who tracks the hotel industry for PricewaterhouseCoopers, saying about hotels opening in Manhattan in 2008: “They’re either very small, or they’re not at the price point the Mark will be at,”. He adds “it is still a very positive time to open a hotel in Manhattan, especially at the high end.”

James Sherwin, who recently took the job of general manager at Mark Hotel, said one of his goals would be to keep prices from slipping.
He explains: “Today, hotels are likely to lower prices whenever demand softens. But by doing you potentially take in people who aren’t necessarily the caliber that the business is based on.” In short, he said, “I’m a great believer in, if necessary, letting the occupancy drop a bit, but keeping your rates as you wish.”

Mr. Senbahar, co-owner of Mark Hotel, says: “People are willing to spend the money, but you’ve got to make it stress-free for them. That’s basically the game plan.”

Mark hotel won’t have to manage its own dining room because it has formed a partnership with Sant Ambroeus, an Italian restaurant on Madison Avenue, which will open a branch inside the hotel. (source)