Holiday Inn Express held its 2010 rates better than any other major IHG brand with just a 3.6% decline and nightly room rates averaging $92.48 in the Americas. Compare this to the upper upscale Crowne Plaza brand with a 6.5% annual rate decline and nightly rates at $99.85. Crowne Plaza at the upper upscale end of IHG is a relative bargain hotel.
There are minimal rate differences for the three largest IHG brands comprising 83% of the rooms in the Americas. There is less than a 10% difference in average room rate in the Americas with Holiday Inn at the low end of the major brands to $90.96, Holiday Inn Express at $92.48 and the Crowne Plaza at the high end $99.85.
The Americas region biggest year-over-year room rate drop by hotel brands are within extended stay market with Staybridge Suites (8% decline to $93.37) and Candlewood Suites (11.5% decline to $62.49).
InterContinental maintains a significantly higher room rate competitive set with average rates at $153 per night being 50% more than Crowne Plaza in the Americas.
Crowne Plaza rates in EMEA region at $145 per night make the 25,000 point Priority Club awards one of the best value awards. InterContinental average rates are also 50% higher in EMEA region making these award nights good value. Earning points in the Americas and burning points in the EMEA is a good travel strategy for Priority Club members.
Holiday Inns at $114 per night in EMEA are about 25% higher room rates than the $91 for Holiday Inn in the Americas.
Room rates dropped about 5% overall from 2009 to 2010 in both the Americas and EMEA regions while room occupancy averaged about 60% in EMEA to 55% in the Americas.
Rates in Asia are more in line with the Americas than EMEA region.
The drop in the Euro these past few weeks should see the rates in EMEA region drop substantially more in the next quarter if the dollar remains strong.
Data source: http://www.ihgplc.com/files/results/results10Q1/downloads/slides10Q1.pdf
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