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Business travelers on the brink of scoring free internet access
Having to pay for internet access in hotels is nothing more than moronic. If the revenue is such a big deal, hotels should just slap the $9.99 -- or whatever it is -- onto the room rate and tell us they're giving it away for nothing. But, nothing's worse than spending $250 a night and having to pay another fee to connect to the web, which you're going to have to do even if you're on vacation, let alone traveling for business. The slump in the travel business is giving business travelers more negotiating leverage, which they are using to score free access to the web. The need to put heads in beds, and business travelers still command the big budgets. Back in my corporate travel days, I'd spend $1,000 or more simply on the room ... every week. Most leisure travelers don't come near that on an annual basis -- and my spend was modest compared to executives with the approval to satisfy more discriminating tastes.
So, you'd think hotels would want to keep business travelers happy, right? And since internet access is what's most important to this group of hotel buyers
Some upscale hotels, like the new Andaz chain from Hyatt, are rolling internet access into their rates, while major chains such as Hilton, Marriott and Starwood are giving in to business traveler demands but not changing their policies (to avoid setting a precedent they'll be stuck with when the market recovers).
For the hotel business, giving up the internet money isn't easy. The industry is at its 20-year low point, with revenue per available room-night (RevPAR) off 17 percent last year. The top properties suffered RevPAR declines of 24 percent. So, when Toni Hinterstoisser, general manager of the Andaz Wall Street, calls internet access charges "an easy way to make money," it's clear that the fee is a hard one to give up. Easy money is the best kind when the travel market is in the tank.
For the hotel business, giving up the internet money isn't easy. The industry is at its 20-year low point, with revenue per available room-night (RevPAR) off 17 percent last year. The top properties suffered RevPAR declines of 24 percent. So, when Toni Hinterstoisser, general manager of the Andaz Wall Street, calls internet access charges "an easy way to make money," it's clear that the fee is a hard one to give up. Easy money is the best kind when the travel market is in the tank.
Filed under: North America, United States, Hotels and Accommodations, Internet Tools
Reader Comments (Page 1 of 1)
acetracer Jan 26th 2010 6:05PM
Who pays $250 for a room?
Lauren Jan 26th 2010 8:19PM
lol at "Who pays $250 for a room?"
Seriously, this was news to me. I recently spent a night at the Westin in Seattle and was floored to open my laptop at 10pm to check the news (because the TV wasn't working) only to find it would cost me $15. Granted, I'd scored the room for $69 on Priceline, but I know folks in those $200 rooms a few floors above me were confronted with a $15 fee to surf the web, too.
Internet is free in a $15 hostel dorm room. Duh. Big hotels tacking on fees for internet is just plain stupid. They should be building goodwill with loyal customers in this tight travel market.
Craig Williams Jan 27th 2010 7:42PM
When spending that amount of money for a room, one would expect the Internet free of charge. But in this day and age even the hotels are going ala carte with each and every service. Try to save money by bundling your fight + hotel or + car. car which is ultimately a winning situation for the consumer. For example, I’m supporting a promotion called the Jet and Drive Giveaway. Daily prizes and travel savings. I’m sure there are other great bundles out there—you just have to keep your alerts on.
btw airline online check in has been voted the travel innovation of the decade.