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Q3 2009 Hospitality Index Results from Market Metrix

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 Third Quarter 2009 Hospitality Index Results from Market Metrix show that with lower rates and hotels scrambling for their business, guests seem to be getting more for their money.

Compared to 2008, scores for Value changed more than any other measure (+1 to 81.8) across all hotels. Upscale Casinos (+1.5) and Luxury Hotels (+1.4) showed the biggest gains in customer value while Timeshare Accommodations (-0.3) showed a decline in perceived value among their guests. Among hotel brands, Mandarin Oriental (+10), Pan Pacific Hotels & Resorts (+7), and Kimpton Hotels (+6) have achieved the biggest gains in overall customer value, compared to 2008 results.

Customer satisfaction for hotels was highest for Timeshare Accommodations (87.0) with WorldMark by Wyndham (89.5) earning the top spot for the first time. Economy brands (+0.8 to 78.5) have improved more than any other segment in 2009 with Jameson Inns earning the top score (87.5) and Rodeway showing the biggest gain (+3.7 to 80.1).

 Compared to 2008, the brands with the biggest improvement include Mandarin Oriental (+3.0 to 93.6), Kimpton Hotels (+2.3 to 92.2) and Stratosphere Casino Hotel & Tower (+2.2 to 80.9). Gaylord Entertainment (-5.7 to 82.8) and Bellagio (-3.9 to 85.5) have posted the biggest declines in 2009.

Passenger satisfaction with airlines improved (+0.1 to 75.7) in the third quarter despite the struggling economy. High volatility in fuel prices, indifferent service, labor problems, congested airports, and financial challenges have plagued the industry for a long time and even with the current improvement, airlines remain the lowest scoring industry in the MMHI. Virgin Atlantic (87.1) was the top scoring airline. Advertising its In-flight Ice Cream While You Watch Movies on Your Personal Seatback TV Virgin Atlantic impresses customers with better service, lower costs, and innovative products.

The car rental industry (-0.1 to 79.6) continues to face a difficult operating environment with fewer people renting cars and rising costs. Reductions in staff and operational cutbacks continue to hamper service and impact customer satisfaction. Alamo (+1.0 to 79.4) showed the biggest improvement in customer satisfaction while National (-0.8 to 79.5) showed the biggest decline. Enterprise continues their industry dominance with overall satisfaction and loyalty scores well above competitors.

Market Metrix Hospitality Index - Q3 YTD 2009 Winners

Pan Pacific Hotels & Resorts 94.4 Luxury
Kimpton Hotels 92.2 Upper Upscale
Hyatt Summerfield Suites 92.0 Upscale
Holiday Inn Select 81.8 Midscale w/ F&B
Drury Inns 90.7 Midscale w/o F&B
Jameson Inns 87.5 Economy
Wynn Las Vegas 92.5 Upscale casino
Golden Nugget Hotel & Casino 87.0 Casino
Web Sites
Stayridge 88.7 Hotel Brand Web Site
Hotwire 78.8 Hotel Travel Web Site
Virgin Atlantic 87.1 Airline
Car Rental
Enterprise 81.8 Car Rental
WorldMark by Wyndham 89.5 Timeshare

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