Finding a great value hotel is a crucial step for most travelers, but your search for affordable accommodation will prove far more tasking if you plan on visiting some of the world's most expensive cities. Locations like Moscow, Lagos, Rio De Janeiro, and Mexico City, are not for the faint of pocketbooks.
According to the latest bi-annual hotel survey from Hogg Robinson Group (HRG), the award-winning international corporate services company, hotel prices appear to be stabilizing, as 23 cities showed a year on year increase in 2012, compared with 33 cities in 2011.
"The results of the hotel survey present an intriguing picture of where businesses are channelling travel spend. Macroeconomic weakness and uncertainty are driving room rates down across mainland Europe, but the significant growth in room rates across the Latin American region indicates a shift in business priorities towards high potential destinations." Stewart Harvey, Group Commercial Director At HRG said in a statement.
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"Businesses are not necessarily spending less on travel, but they are certainly looking for ways to make existing budgets work harder. As demand drives hotel prices up in emerging regions, we are working with clients to help negotiate the fairest rates, and maximise the returns from travel-related expenditure."
HRG trends revealed Moscow as the priciest city for hotel stays, with rates climbing to 3% in local currency since 2011. It has held the top spot for eight consecutive years.
In a surprising twist, Lagos, Nigeria, was a close second. The expense is attributed to "the high volume of inbound business travel connected with the oil industry." Security has also played a major role in the soaring price of hotel rooms. "Travellers to Lagos are also conscious of the city's well-documented security issues and are more inclined to stay in five-star accommodation." The survey stated.
Latin American cities haven't fared well in the first half of 2012. "Mexico City reported the highest increase in room rates at 30% in local currency, as growth in demand, coupled with a lack of new openings, drove an aggressive increase in average achieved rates. Across the wider Latin American region, Rio de Janeiro and Sao Paulo reported rate increases of 15% and 23% respectively."
All results are based on a combination of industry intelligence, actual room nights booked and rates paid during January to June 2012 compared to the same period in 2011.