Demand for U.S. hotel predicted to decline; rates to follow?

A new study recently released by PKF Hospitality Research (PKF-HR) forecasts that demand for U.S. hotel rooms will decline for the next two years.

This is not good news for the hotel industry but may be good news for travelers. In an attempt to bolster sagging occupancy rates hotels will be forced to lower rates and look to other incentives to generate revenue.

It may take a while until the general managers take a close look at their slumping revenue figures and falling occupancy rates before we see room rates drop but there should be some bargains available.

Happy travels.