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Why Marriott, Hilton and Hyatt say hotel prices are only going up

Despite high inflation, a softening economy, and fears of a recession, the hotel industry is not seeing any slowdown. It’s the exact opposite, with Hilton CEO (US.HLT) Chris Nassetta predicting that the hotel chain will “have the biggest summer we’ve ever seen in our 103-year history this summer.” Marriott (US.MAR) CEO Tony Capuano said that over Memorial Day weekend the company’s revenue per available room, which measures hotel performance, was up about 25% in 2022 compared to 2019. In Marriott’s luxury portfolio, which includes hotels like JW Marriott, Ritz-Carlton, and St. Regis, those hotels saw nearly a 30% increase in rates in the first quarter of 2022 compared to 2019. Hyatt (US.H) president and CEO Mark Hoplamazian said on “Squawk on the Street” on Tuesday that foreign travelers to the U.S. spend a lot more than domestic travelers, and that the testing requirements were “creating friction.”

why marriott hilton and hyatt say hotel prices are only going up 2022