Virginia capital sees America’s largest hotel rate drop this month

NORTH AMERICA Richmond, Virginia, posted a 4% drop in average booked hotel rates on discount online travel agent in December year over year, the largest such decline in North America. Providence, Rhode Island, posted the biggest rate gain, 26%.

The capital of Virginia is facing a decline in group and business travel, and local hotel rates continue to fall as a result. The average 4-star hotel in Richmond has booked at US$79 per night on Hotwire this month.

Oklahoma City, Oklahoma, has seen hotel rates drop 3% this month year over year, with a 3.5-star guestroom selling for US$84 per night. Making its premiere on Hotwire’s rate-drop list at number three is West Palm Beach, Florida, where prices are down 2% year over year. Business travel to this city has dropped more than usual this year, and hotels will further discount inventory to capture as much leisure demand as possible.

In fourth place is Colorado Springs, Colorado, down 2% year over year. Salt Lake City returns to Hotwire’s price drop list after being absent for several months, also dropping 2%.

On the other end of the spectrum, Rhode Island’s capital and most populous city takes the top spot in the price increase list with a jump of 26%. Providence is seeing an uptick in travelers and hotel prices due to several popular wintertime festivals. A 3.5-star guestroom there is selling for an average of US$85.

Niagara Falls places second for biggest December pricing gains, as it continues to see fuller hotels versus last year due to continued transient and small group business. The scenic resort is up 24% year over year, with a 4-star guestroom averaging US$105.

Toronto, Miami and Charleston, South Carolina, round out the top five rate jumps of December, at 22%, 22% and 21%, respectively.

The Hotwire Hotel Rate Report runs results during the second week of each month. Results are calculated by looking at Hotwire stay dates for select regions in the current month and comparing prices in the current month against Hotwire prices in the same month in the prior year. Prices are compared within the same star categories for consistency, and the percent change in price for each region is generated as an overall average of the changes in those categories.