Strong Business Travel Drives Up Average Room Rate Worldwide By 4 Pct in 2011

KUALA LUMPUR, March 13 (Bernama) -- Strong business travel market helped drive up average room rate worldwide by 4 per cent last year, according to Hotels.com's Hotel Price Index. In a statement Tuesday, Hotels.com said the continuing strength in corporate travel helped boost demand and room rates, although prices were still generally lower than in 2005. "The hotel sector is a good barometer for the global economy as a whole. "The prices are up because demand for rooms is on the rise -- a sign of higher levels of business and consumer spending," said David Roche, president of Hotels.com. Hotels.com said last year, prices fell two per cent in Asia year-on-year. It, however, rose in Pacific (8 per cent), North America (5 per cent), Latin America (4 per cent), Caribbean (3 per cent) and Europe and Middle East (2 per cent), it said. Hotels.com said the overall increase reflected a continuing trend of steady recovery after a 13 per cent tumble in 2009. The index, which was launched in 2004, is based on bookings made on Hotels.com sites around the world and tracks the real prices paid per hotel room per night (rather than advertised rates) for about 142,000 properties in over 19,800 locations in over 85 countries. The latest index compares the 2011 prices with 2010's. -- BERNAMA