Some 71% of U.S. hotels won’t survive six months: Survey
With a resurgence of COVID-19 and renewed travel restrictions enacted in many U.S. states, a new survey of American Hotel & Lodging Association (AHLA) members shows that the hotel industry will continue to face devastation and significant job loss without additional relief from Congress. Seven in 10 hoteliers (71%) said they won’t make it another six months without further federal assistance given current and projected travel demand, and 77% of hotels report they will be forced to lay off more workers. Without further government assistance, nearly half (47%) of respondents indicated they would be forced to close hotels. More than one-third of hotels will be facing bankruptcy or be forced to sell by the end of 2020.
Traveler trends and top recovering destinations
Tripadvisor and travel research firm Phocuswright jointly released the findings of new research into the shifting trends in global travel demand and traveler behaviors. The report, “2020 – A Year in Travel: Charting the Travel Industry’s Path to Recovery,” analyzes Tripadvisor’s first-party data on travel planning behaviors around the globe, as well as consumer sentiment across six major markets.
Millennium & Copthorne fine-tunes portfolio
A year after delisting, London-based Millennium & Copthorne Hotels disclosed major initiatives that will prepare it for a recovery from the recent challenges caused by the COVID-19 pandemic, with one of those being privatization. Its plans include focusing on key gateway cities globally and the 4-star category under three its brand collections, as well as maintaining several hotels in the 5-star and luxury categories; reviewing and fine-tuning its portfolio to better suit future market conditions; and assessing at least three offers. “The sale of any of these assets, if concluded, is likely to result in significant gain on disposal,” the company says.
