A lot has changed in the past ten years since the depths of the ‘Great Recession.’ In 2008/2009, Airbnb was only just launching and really wasn’t a major player, however, Mark Lomanno explains how things may be a little different the next time around, as consumers booking habits have changed and their accommodation preferences have evolved. When consumers tighten the purse strings, hotel pricing tends to be very reactionary during a recession. It’s not unrealistic to think, if unemployment rises and people need to make tough decisions, this could cause an influx of alternative accommodation inventory as homeowners seek to monetize their own homes to make ends meet. As more supply enters the market seemingly overnight, what sort of impact does this have on hotel pricing in an already distressed market?
Does this type of scenario keep you up at night? Let’s discuss what insights can help you stay better informed on the trends in your market.