Hotel occupancy rates are expected to return to pre-pandemic levels this year as tourists return to the road and flights to make up for two-plus years of postponed holiday plans.
However, according to the J.D. Power 2022 North America Hotel Guest Satisfaction Index (NAGSI) Study, the increase in demand and continually rising rates have not been matched by an increase in facilities or services.
As a result, total hotel visitor satisfaction drops 8 points (on a 1,000-point scale) beginning in 2021, owing mostly to unhappiness with pricing, fees, and guest rooms.
“The phenomenon we’re seeing this year tracks closely with the rise in average daily room rates since late 2021, putting hotel property owners squarely in recovery mode,” said Andrea Stokes, hospitality practice lead at J.D. Power. “During the fielding period of the study—June 2021 through May 2022—the average daily rate for branded hotels has risen 34.8%.2 Many hotel owners and operators are using this post-pandemic surge in travel to get back on a steady financial footing, yet they held back on investing in upgrades and improvements during the pandemic. Hotel operators must carefully balance a focus on recovery with the heightened guest expectations that come with higher room rates.”
Key Findings Of The Report:
- Travelers do not believe they are getting excellent value for their money.
- In-room amenities and bathroom quality are deteriorating.
- More visitors are paying for Wi-Fi.
- Fewer frontline employees’ interactions as a result of a labor shortage
Guest Satisfaction Winners in Respective Hotel Brand Segments:
Luxury: The Ritz-Carlton (885) (for a second consecutive year)
Upper Upscale: Hard Rock Hotels (883) (for a second consecutive year)
Upscale: Hilton Garden Inn (868)
Upscale Extended Stay: Hyatt House (857)
Upper Midscale: Drury Hotels (877) (for the 17th consecutive year)
Upper Midscale/Midscale Extended Stay: Sonesta Simply Suites (852)
Midscale: Wingate by Wyndham (849)
Economy: WoodSpring Suites (798)