Luxury Hotelier - April 2008 - (Page 22)

22| Insight Smith Travel Research ADR and currency-rate increases have U.S. travelers spending more lobal lodging industry performance was strong across all segments in 2007. However, each market is affected by unique local factors. Some of these factors, like exchange rate, are outside of the industry’s control, yet significantly influence hotel performance. To allow for better comparison, STR analyzes luxury rate performance in both U.S. dollars and local currency for our select world markets. Over the course of the year, the U.S. dollar moved significantly in relation to other currencies, making certain destinations more or less expensive from the U.S. perspective. Looking at average daily rate growth in U.S. dolCHARLES lars, U.S. luxury destinations SNYDER show a strong ADR growth Charles Snyder of 7 to 12 percent. In dollars, is marketing coordinator for rates in European destinations Smith Travel like Paris increased by 19.8 Research of percent and London by 18.6 Hendersonville, Tennessee. percent. Mumbai and Hong Kong increased at 44 percent and 24 percent respectively. Are U.S. destinations really that far behind the curve? When we analyze the same metric of ADR growth in local currency, we get a clearer perspective. The U.S. markets have moved from the bottom to the middle of the list. We notice that London and Paris are very much in line with U.S. luxury rate growth. Weak dollar-to-pound and dollar-toeuro exchanges have made European destinations more expensive to the American consumer. G Average Daily Rate (USD): Luxury chains, upper-upscale chains and luxury independents for select world markets ADR (USD) % Change Mumbai Hong Kong Moscow Paris London Dubai New York Tokyo Miami Rome Los Angeles $277.04 $220.17 $412.21 $368.80 $346.14 $374.82 $352.72 $200.43 $241.22 $272.67 $188.75 44.4% 24.1% 20.6% 19.8% 18.6% 14.8% 11.7% 11.4% 11.3% 9.5% 7.9% Average Daily Rate (Local Currency): Luxury chains, upper-upscale chains and luxury independents for select world markets ADR Mumbai Hong Kong Dubai Moscow Tokyo New York Miami London Paris Rome INR 11,400.84 HKD 1,717.28 AED 1,375.52 RUB 10462.64 JPY 23,491.12 USD 352.72 USD 241.22 GBP 172.01 EUR 266.33 EUR 196.95 % Change 31.5% 24.5% 14.7% 13.3% 12.3% 11.7% 11.3% 9.7% 9.7% 7.9% 0.4% Los Angeles USD 188.75 SMITH TRAVEL RESEARCH Luxury Hotelier | April 2008 | www.LuxuryHotelier.com http://www.LuxuryHotelier.com

Table of Contents Feed for the Digital Edition of Luxury Hotelier - April 2008

Luxury Hotelier - April 2008 Contents Editor's Letter Inform Network Personalities Insight Properties Inspire Deliver Innovate Development Indulge Advertisers Index Editorial Index Source Listing Dossier

Luxury Hotelier - April 2008

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