Wednesday, November 11, 2009

Best way to book hotels

       What's the best way to book a hotel? That's becoming trickier as hotels try everything they can to drum up business in one of their most challenging years.Average daily hotel rates in the United States are expected to drop 9.7 per cent for the year, to US$96.43, according to Smith Travel Research, which tracks the industry. That would be the steepest year-over-year decrease since Smith began tracking hotel data in 1987. To fill rooms, hotels are offering special sales on their own web sites, turning to third-party sites like Expedia.com to sell excess inventory and even quietly acquiescing to travellers who call up or walk in and haggle.
       "It would not be unusual for travellers to find rates as much as 40 per cent below last year if they're a little bit resourceful and flexible," said Bjorn Hanson, a hospitality professor at New York University."Each hotel is trying to manage its inventory and occupancy and rate uniquely," he said, which creates more opportunities for travellers.
       To see how low hotels will go, I recently tested out four booking methods across a range of properties in New York City - one of the most expensive hotel markets in the United States - by comparing prices for a Thursday night in October on the hotel's own website,Expedia.com and the reservation phone line. For good measure, I also hoofed it to the hotel itself and haggled with the front desk. In each instance I did not reveal my affiliation with The New York Times and presented myself as just another traveller.Of the five hotels I compared, only one - the venerable Four Seasons New York - stuck to the same rate. It was a whopping US$855 a night for a "moderate room" on the hotel's website,US$855 on Expedia.com and US$855 when I called. What happened when I showed up in person?"Eight-hundred-fifty-five dollars," a front-desk clerk assured me in a thick Central European accent."That would be our cheapest, ma'am." he added, when I demurred over the price. A female clerk nodded in agreement, hardly looking up from her computer to glance at the dishevelled traveller who dared to ask for a discount. Harrumph."Alright," I said in the most exasperated tone I could muster, then quickly pivoted on my heels
       for a deliberate exit.
       The Ritz-Carlton New York, Cen'Most hotels offer
       tral Park was more accommodating,a best-rate at least on the phone. Initially, the reservation agent quoted US$795 for guarantee that a king - the same rate found on Expedia and its own web site. But promises guests
       when I said,"I was hoping for somean additional 25
       dropped the rate US$100, showing thing lower," she immediately per cent discount that even luxury hotels are willing to cut a deal if you ask. But that's if a lower rate is against Ritz-Carlton policy, I later found within 24
       for comment."The policy of the learned when I called the company hours of booking'Ritz-Carlton Hotel Company is for rate integrity across all channels of distribution whether made online,toll-free reservations or through travel professionals," Vivian Deuschl,a spokeswoman, said."The hotel erred in quoting a rate lower than US$795."
       But was it a mistake? About a week later, the reservation line once again extended the US$100 discount when I asked if there was anything cheaper than the initial US$795 quoted. So it can pay to pick up the phone.
       A phone call to the Westin New York at Times Square also paid off. First the reservation agent quoted a rate of US$479 a night,about US$10 higher than the hotel's web site (Expedia was sold out).But the reservation agent offered to search for corporate or other discounts. My AAA membership brought the rate down to US$455.08 - something that did not occur to me while I was searching on the hotel's site. I also went in person to the hotel, but by the time I arrived at 7pm, it was completely sold out.
       In one case, a web search yielded the best price. Expedia offered the cheapest rate at the Courtyard New York Manhattan/Times Square South at US$322 a night, US$57 less than the price for the same room type on the hotel's own web site, the reservations line or at the front desk.
       Expedia said it doesn't try to outdo its suppliers."We don't view ourselves as competing with the hotel itself," said Tim MacDonald,general manager of Expedia.com. But he acknowledged that it happens sometimes, as when a hotel offers Expedia a low rate and shuts down the sale on its own web site.
       John Wolf, a spokesman for Marriott, which owns the Courtyard,said the hotel reloads its rates on Thursdays, so there may have been a lag in the case of my discount."What happened to you was a fluke," he said.
       Like most major hotel chains, Marriott offers a best-rate guarantee that promises guests an additional 25 per cent discount if a lower rate is found within 24 hours of booking. But that policy applies only to its own booking channels, not third-party web sites. That might explain why the Courtyard's gray-haired desk clerk frowned and shook his head when I slapped the Expedia printout on the counter and asked if the hotel could match it.
       But who, you might ask, really books a hotel by walking in the same day with suitcase in hand. More people than you might think.On a typical weeknight, the Courtyard gets 15 to 20 walk-ins for its 244 rooms. Still, even if you booked well in advance, it's worth inquiring about the cheapest rate that evening before you check in.
       It was pouring rain by the time I arrived at the upscale 60 Thompson Hotel in SoHo. Maybe my drenched state worked in my favour because even though the lowest rate listed on the hotel's web site had been US$499 for a room with a king-size bed, the front desk knocked off another US$20 when I asked for a walk-up rate.(Still,it would have been cheaper had I booked by phone earlier in the day. A reservation agent was able to find a queen for US$459, but by the time I stopped by the hotel that evening, the queen had already been taken.)
       It turns out that 60 Thompson has a more liberal pricing policy than some of the large chain hotels in the test. While the boutique hotel group also strives for rate parity across booking systems,Stephen Brandman, co-owner of Thompson Hotels, said that rates greatly depend on availability and seasonality and change several times a day."We have an average occupancy of over 90 per cent year round," he said,"and this can only be achieved by lowering prices when demand requires and raising prices when demand permits."
       The lesson? No matter what kind of hotel you're booking, it pays to shop around. To get a baseline, first compare rates online at the hotel's web site and at sites like Expedia. Then pick up the phone and ask for a deal. The reservation agent may discover a lower rate you couldn't find online on your own.
       Also, consider signing up for an organisation like AAA. A membership costs about US$58 including a one-time enrollment fee and tends to pay for itself with discounts of 5 to 15 per cent off the best available rate at many hotel chains. And for due diligence, ask the front desk for its best rate before you check in. There's nothing to lose by asking, and you may end up with a lower rate or a better room.

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