Data from PKF Hospitality Research show hotel revenue rising 4.8% in 2010 with profits rising 9.8% in the same year as hoteliers managed to contain costs, posting only 3.4% growth in expenses from 2009 to 2010. "While overall expenses did grow 3.4%, occupied rooms grew by 6.2%. Thus, expenses measured on a dollar-per-occupied-room basis actually declined in 2010, indicative of productivity enhancements and cost controls," said Robert Mandelbaum of PKF.
Major hotel brands are upgrading their services to cater to Chinese guests in response to a continuing rise in Chinese business travel into the U.S. "We've seen a 50% increase in the business, which is obviously a strong indicator not only of the potential but clearly of the future," said David Townshend, senior vice president for global sales at Marriott International.
Choice Hotels International is working with Southfield, Mich.-based agency Doner in a campaign that focuses on the company's booking site. The new logo and theme line of the campaign, "Your Voice. Your ChoiceHotels.com," will be used in TV and digital campaigns, as well as in-hotel advertising. "This campaign is a reflection of our commitment to listening" to guests and giving voice to the value-seeking traveler, said Bruce Dincin, Choice Hotels' senior director of marketing and advertising.
Since its grand opening in December, the Bok Homa Casino in Sandersville, Miss., has reaped profits of more than $18 million. Its owners, the Mississippi Band of Choctaw Indians, now want to expand and turn their casino into a resort destination.
As the industry downturn lingered, the average U.S. hotel saw a 35.4% decline in profits in 2009, the steepest decline recorded since hotel profit figures have been tracked, according to a report from PKF Hospitality Research. The report showed 95% of hotels experienced a decline in room revenue and total hotel revenue from 2008 to 2009, causing extensive hotel loan delinquencies, defaults and foreclosures.