Published on : Wednesday, April 1, 2020
Ralph Hollister, Analyst, Travel & Tourism at GlobalData, offers his view on hotel industry whose vulnerabilities are multi-faced but considering its ability to deal with the impacts associated with these vulnerabilities in the past there are high chances it will overcome the pandemic.
He said that it is imperative that hotels across the globe remember how they have overcome a range of past crises such as natural disasters, the SARS outbreak and acts of terrorism when thinking through their strategies to handle the COVID-19 crisis.
He went on saying that as the impact of COVID-19 lessens and demand increases, it is crucial that hotels act in a proactive manner; by effectively managing room rates and marketing offers to maximize revenues.
It is for sure that hotels will re-open and majority are still continuing to accept reservations for stays many months from now to maintain their revenue streams. One predicament hotels face is how to price their rooms during and after the COVID-19 pandemic with most hotel companies currently not rushing in to dropping prices too quickly or too severely.
Following the containment of SARS in 2003 and the hope will be that a similar pattern will emerge after COVID-19 has run its course the hotel industry recovered quickly.
Tags: Hotel Industry