TORONTO — For the first time, hotel prices paid in three world regions have overtaken their pre-financial-crisis levels of 2008/2009, with North America, the Caribbean and Latin America setting new records, although the overall global rise is up just 1 per cent in the first half of 2015 compared to the same period in 2014, according to the latest Hotel Price Index (HPI) from Hotels.com.
Contributing to these results are an increase in travellers, higher consumer spending in key areas and strong currency fluctuations.
According to Hotels.com, Canadian hotels reported one of the strongest rebounds, with a 5 per cent increase in prices paid, to an average of $166 per night amongst all travellers, both international and domestic.
The HPI is a regular report of hotel prices in major destinations across the world, tracking the movement in prices that people actually paid for their accommodation and providing insight into the reasons behind these changes. The data is drawn from bookings made on the hundreds of thousands of hotels on the Hotels.com websites worldwide.
Looking at the top 50 most popular Canadian cities for domestic travel, the biggest increases in pricing, upwards of 10 per cent, were found in western cities: Vancouver and Golden, B.C. and Banff, Alta. The largest reported decrease was in Canada's largest oil-producing city, Fort McMurray, Alta. Down 18 per cent year-over-year, the city's economy has experienced its share of hardship since oil prices plummeted in 2014.
Within the 50 most popular international destinations, Canadian travellers to Shanghai experienced the highest increase in average prices paid for accommodation, at 28 per cent more in the first half of 2015. This was followed by U.S. cities Los Angeles and Nashville, at 21 and 20 per cent, respectively. On the other end of the spectrum, travellers found deals in exotic locales like Bali and Florence, paying an average of 18 per cent less in 2015.