Critique of “When Hotel Discounts Are No Bargain”.
The article describes how the “discounts” that hotels are offering for group rates are not actually discounts at all. Most people believe that they are receiving the best offer when they reserve a group rate for a convention or conference. Travelers are beginning to realize that they can get much better deals on hotel rooms if they search on the internet. Web sites such as Expedia and Hotels.com are becoming increasingly popular. Hotels are beginning to realize that they are losing customers because of their high prices. Some are charging two registration fees to travelers who do not stay at their hotel. Other hotels give discounts to encourage travelers to stay with them. Although there are many advantages to staying at the hotel where the convention or conference is being held, an increasing amount of tourists are avoiding the official group rate. .
I understand why many people are starting to shop around for the lowest price. In our slumping economy, travelers can not always afford the lofty prices that many hotels are charging. Although staying in a cheaper hotel has its advantages, offsite conventioneers have to find transportation to the conference site and may miss out on networking opportunities between meetings. Networking is one of the most important parts of the hospitality industry and should not be sacrificed to save a few dollars a night. Hotels often need to raise their rates to reserve meeting rooms and to organize the event. Without an increase in rates, the hotels would not make a profit on conventions.
I have learned that many successful people in the hospitality industry are prosperous as a result of the people that they know or have met during their travels. The opportunity to meet different people is very high at conferences and conventions. That is why I believe that convention-goers should pay the extra money to stay at the meeting site.