Hotels in America, notably Hilton, Marriott and InterContinental, have been bullishly promoting their concept of dynamic pricing to would be customers. Under this model, rates can differ from night to night according to demand. It is based partly on how airlines can operate their pricing policies and stems from the hotels’ understandable aim to reclaim pricing control of product and increase revenues.

One senior Hilton Hotels executive in America is on record saying this system is here to stay. But there is evidence in Europe that the model is not catching on. One leading hotel market analyst, Mike Mannix of Carlson Wagonlit Travel said hotels were enjoying no success with it this side of the Atlantic.

“I don’t know of any customers who have accepted any form of dynamic pricing from hotels,” Mr Mannix, director of CWT hotel solutions group, said. “I think hotels are coming to the realisation that it is not here to stay in fact.

“Dynamic pricing may have a role in how to construct their deals for their customers but when it comes down to volume/destination where there is leverageable spend, the corporates still want differentiation. They want to see differentiation in their rates.”

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