One for anyone planning next year's European holidays.
PwC, as reported in today's Times,
"is forecasting a fall in London occupancy next year from 80% to 77%, with revenue per available room falling 7% to just over £106, as new supply, the UK economy and Olympic comparisons hit trading."
Make of that what you will.
Terrific info - thanks. So far in the game of pricing chicken, Marriott has yet to blink. They are still pricing my London County Hall 323 sq. ft. room above $500 pre-paid and above $560 regular rate per night/vat included (ouch). I'm hanging tough with my cancellable resv. (points) and intend to 'beat the system' with all of the terrific Insiders' input on meals, deals, and steals (attraction freebies).
More info than anyone cares to know, no doubt, but the link below was Marriott's 3Q earnings conference call;
Three things caught my eye from the Earnings Call*, as it relates to this post;
1) Marriott, although anticipating a dip due to lack of Olympic events, remains confident in its capital cities like London and Paris (so unless they see weakness, they probably won't budge).
2) 40% of the first two weeks business (and it was substantial) from the new Essex House in NY was from Marriott Rewards folks, and Marriott views this as a competitive advantage (wow, what if we were a drag on earnings)
3) They are still experiencing softness in the DC market, due to gov't cuts (and we locals see it) - So come on down. Shoe and I are at the Mayflower for less than $100 and similar deals are all throughout the city during holidays and weekends. Just don't even consider Inauguration Weekend - no can do.
*Marriott keeps cruising along financially, but as often the case in the crazy topsy-turvy investment (gambling) world, as a longtime shareholder of MAR, I was able to take some money off the table when they hit $40 - not because they were weakened, but quite the opposite; because they did so well, analysts felt they had hit their price target and moved from buy to hold or neutral. It's like a lodging hedge; as Marriott does better, it's stock price often increases, but so do the hotel room rates. So my stock gains are Marriott's lodging revenues, oh well.
Your local reconnaisance saved me pounds at your local Renaissance (couldn't resist)
Hey, Moscow just topped the Shard in height, do you think the observation deck tour prices have been reduced?
Thanks for keeping an eye out for us Insiders.
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