by Ross Woods | Jun 8, 2019 | Blog
While the probability of a recession has grown from 11.1% in May 2019 (forecasted in May 2018) to 29.6% in May 2020 as illustrated in the lower graph, our U.S. RevPAR Volatility Index remains in the first or lower quartile. Over the past thirty years or so, the index...
by Ross Woods | Jun 4, 2019 | Blog
Executive Summary RevPAR growth rates and employment growth rates over the 1987-2018 period for the Top 25 hotel markets were used to examine the relationship between employment growth and RevPAR growth. Our findings conclude that while employment growth contributes...
by Ross Woods | May 30, 2019 | Blog
While U.S. hotel profits reached an all time high of $80 billion in 2018, many hotel owners and managers are now turning their attention to cost containment and revenue management initiatives as expenses, such as labor costs, have begun to grow at higher rates than...
by Ross Woods | May 24, 2019 | Blog
The Lodging Industry Investment Council’s recent annual survey found that 67% of LIIC members said that the major threat to hotel investments was low unemployment (availability of labor), a jump from 49% in 2018. In light of their concerns we thought it...
by Ross Woods | May 21, 2019 | Blog, Construction, USA,, USA
The Lodging Industry Investment Council’s recent annual survey found that 64% of respondents said that new lodging supply/general oversupply was the second greatest threat to their hotel investment in 2019. The first major threat, low unemployment (availability...
by Ross Woods | May 15, 2019 | Blog, Pricing
We recently completed a value-based pricing assignment for a client that owns several luxury hotels in the US. The hotels are located in highly competitive markets which were classified as such by the use of the Herfindahl-Hirschman Index. Each of the hotels were...
