As the RACK room rates crumble in major markets, I would assume that quality and service will be under seige as well. Consider the cost of not selling a room versus selling the room at a reduced rate: simple right? Not exactly, REVPAR, revenue per average room, is the issue as always--hoteliers want to cover costs and turn a profit--discounted rooms hurt the chances of that being a reality.
We need to remember that nothing is free when it comes to a hotel--the cost of the WSJ or the USATODAY at the door, the Concierge, the Lounge, the pool--all are factored into the rates.
So, when wishing things were better--and we can hope they will be--the bottom line impacts all of us.