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September 08, 2008

 

Welcome to NYC -- Your Mediocre Hotel Room is now $500 Per Night

I admit to traveling less of late (and I wear the badge of losing my super elite airline status with aplomb). After all, I'm no longer the road warrior consultant of my youth and I long for nights at home with the family versus those dodging bed bugs in shady hotels in the middle of nowhere or even five star establishments in metropolitan areas. One of the cities I've been visiting less recently than the past is New York. And I've been isolated from hotel prices in the city because I usually end up staying with friends or family in the area. But last week on a trip, my schedule was too tight to stay anywhere but a hotel. As my schedule was crazy and because someone else made the reservation, I did not even look at the price until check-out, which exceeded $500 including tax (and the gym was ten bucks extra). Now, this was not the Ritz or even some funky Ian Shrager hotel where razor-thin fashionistas sneer at business types like myself (but it's worth the brush off for the eye candy effect). No, it was a mid-range Westin that could have used a good dusting and a vacuum (not to mention some new hardware on the sink that had two speeds -- Niagra Falls and stop).

When I asked around, I quickly discovered why prices were so high everywhere in the city -- it's those Europeans who have come to spend their pounds and euros to see New York. In fact, in the hotel lobby, I barely heard a word of American English among the guests. German, French, British and Irish accents dominated in the hotel as well as the surrounding streets, where shopping bags from famous stores seemed to be tucked away under every tourist's arm. So I suppose for our economies sake, being a low-cost tourist destination has its advantages. And as someone who loves globalization, I suppose I should be happy. But if this keeps up, I'll be sleeping on a street corner next time I visit Manhattan.

- Jason Busch

Comments
What was your sourcing strategy? You clearly did not optimize your bids, successfully outsource, or seek a LCC. I do see you completed a supplier evaluation (mediocre and two speed sink) but, it appears you may have failed to use a service to help ensure lowest total cost.

I recently stayed at the Roosevelt in midtown (a nice place) for $225. Yes, the wireless internet connection was $15 but, all-in-all it was a good value. Great location next to Grand Central Station. With more travel planned there, may I need to engage a buying co-op to leverage my spend.

Let those that benefit from a weak dollar pay the higher rates. If you do your homework you can still have room service rather than settling on curbside service from a stay on the street (although... staying on the street appears to be a popular option in Manhattan, too!).
# Posted By Mike O. | 5/21/08 10:43 AM
My wife and I managed to get the Iroqois for about $350 per night over Christmas week. It was our 20th wedding anniversary so we splurged a bit. Nice place, very clean but small.

And yes - everywhere we went we were stuck in queues behind some Brits wrestling with giant shopping bags saying "wow - the entire country is 40% off"
# Posted By Karl Waldman | 5/21/08 11:49 AM
Dear Husband, we are very happy to have you home least of all not having to quarantine your belongings from your nasty bed bug friends. But there is no excuse for not practicing spend management in/out of the home. That trick is the one that we have tried to avoid on our overseas travels (you know the American price vs. the local price trick).

So consider your stay a contribution to our economy. But let's thank the Big Apple for taking a bite out of our trade deficit...and as any gracious host might do, maybe we can offer calamine lotion as a hotel amenity to take care of the other bites? :)
# Posted By Lisa Reisman | 5/21/08 12:44 PM
Jsaon, fellow sourcing cheapskate, I am disappointed :)

don't tell your wife, but here's a secret...stay where cheap European students stay...The Americana Inn on 38th ...good location...but tiny rooms and here's the bummer - community rest rooms.

if you don't mind that and rooms can sometimes be noisy ...only $ 120 a night -

for a while the Courtyard near Times Square was in the $ 200 range...but have not stayed in the city for a year ...staying across the river or near LGA also is at least a $ 100 cheaper if you are only there for a night
# Posted By vinnie mirchandani | 5/21/08 4:17 PM
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