As expected, we continue to see a huge uptick in leisure travel around the United States as the fear and restrictions of COVID have dissipated. Trips have begun to return back to larger cities like New York, DC, Chicago, LA, and San Francisco – taking some demand away from the warmer destinations like Miami, Austin, and Phoenix especially as the summer weather come. What about business travel and corporate meetings and events you might ask?
Business travel is coming back as you have probably seen on your own travels, however nowhere near 2019 levels. Estimates are around 40-50% of the market has returned and there is not the type of massive growth anticipation expected that has been seen with leisure travel. Some analysts say that levels will never reach 2019 levels for business travel or it will take until 2025 to see that. We have noticed an increase in “bleisure” travel which combines business and pleasure, along with less frequent but longer trips to maximize time away. How does this all relate to trial travel?
Generally, you will see higher prices in 2022 than in 2021, and in some markets, rates are creeping back up to or above 2019 rates. Hotel profitability is now quite high for those that survived as they have learned to balance the reduced staffing and occupancy with higher rates. Overall, it will still be a buyer’s market for the rest of 2022 and early 2023, but costs are going to be higher, and as expected hotels are tightening the deposit and cancellation terms as the business continues to improve. We always advise beginning the hotel search process as soon as you have the information regarding a potential trial stay. Labor remains a major issue with hotels and we are seeing delayed response times and reduced services and amenities throughout the country. It is imperative to complete due diligence and fully vet your options before signing any agreements.
Through our market research, combined leverage, and industry intel, Hotels for Trial can ensure your trial team is getting the best accommodations with the best rates and terms. The amazing part is that our services are of no cost to the firm as we get paid a commission from the hotels. Find out why over 25 of the nation’s top litigation firms have partnered with us for their trail travels.