Five signs that the hotel meeting business is recovering

Business meetings are back in style. Group customer is on the rise for the hotel business, signaling that the corporate crowd Is getting back out on the road. Joining the party are other groups, such as associations, sports teams, religious groups, social organizations and the military, according to USA Today.

The U.S. Travel Association is predicting a 7 percent increase in meeting and convention spending this year, with a forecast of $90.7 billion. Last year, this measure fell 15 percent, as the effects of the financial crisis and subsequent recession led to cancelations.

To get the big bucks back in the door, hotels and convention bureaus have been rolling out favorable pricing and sweetheart deals, and it’s starting to work.

So, how do we know this sector’s coming back? Here are five hints:

1. The meeting planners say so: A June survey by Meeting Professionals International showed 61 percent of respondents saying “that they’re seeing more favorable business conditions, including attendance, budgets and number of meetings,” according to a USA Today report. Only 15 percent responded this way in August 2009.

2. Hotel groups say so: InterContinental Hotels Group has announced that its group and corporate revenue climbed 10 percent in the first half of 2010 relative to the same period in 2009. Denihan Hospitality Group’s eight New York City hotels are showing an increase in group revenue of 26 percent year-over-year.
3. Even Grand Rapids has good news: The JW Marriott in Grand Rapids, Michigan has sold more than 1,500 group room-nights so far this year, up 20 percent from last year.

4. So does Fort Lauderdale:
In this Florida town, group revenue is up 30 percent at the Harbor Beach Marriott. Corporate deals are still down from last year, but other groups are more than making up the difference.

5. Hotels understand what’s going on: Even though the market is coming back, hotels realize that they still need to price aggressively. Notes George Aquino, general manager of the Grand Rapids JW Marriott Everyone’s felt the turmoil of 2009. We don’t want that to happen again.”

[photo by msprague via Flickr]

Airline law ends long Tarmac delays, fine threat improves performance

The world didn’t end. No logistical disasters emerged. In fact, everything got a hell of a lot better.

Several months ago, the prospect of a maximum three-hour tarmac delay had the airline industry proclaiming the arrival of the four horsemen. They claimed that it would severely disrupt the industry to have to give passengers the option of getting off the plane would lead to chaos. People would be furious by a lone passenger wanting to bring the plane back to the gate, and crews would be forced to operate within the constraints of customer demands (you know … like other businesses).

Well, the airline industry doesn’t appear to be any worse off than it was. In fact, it looks like the new three-hour rule is having a positive effect. Three-hour tarmac delays have effectively disappeared, and on-time arrivals have improved overall. Everything seems to be running better than it was before the airlines faced fines of up to $27,500 per passenger.

How big a different did it make?Well, only four planes sat on the tarmac for more than three hours in April. In March, 25 hit that mark, and April 2009 had an astounding 81 planes on the tarmac for that long.

So, you’re probably wondering if the airlines stacked the deck, canceling flights to protect their stats and mitigate the risk of having to yank planes back to the gate or shell out big bucks fines. Year over year, the DOT reports that cancelations fell approximately 50 percent, with only 3,637 of 529,330 flights getting chopped.

Overall, on-time performance for the 18 airlines that report to the U.S. Department of Transportation climbed to 85.3 percent in April – up from 79.1 percent in April 2009 (and better than March’s 80 percent. Most of the late arrivals were caused by aviation system delays (e.g., bad weather or heavy traffic).

Efficient use of New York airspace and generally calm weather contributed to the improvement. LaGuardia‘s on-time rate surged to 87.4 percent from 67.4 percent. JFK showed a similar improvement – from 67.3 percent to 83.5 percent.

U.S. Airways led the pack in on-time performance among major airlines and followed Hawaiian and Alaska Airlines in the total market. American Airlines was the bottom of the barrel for the large carriers, with its sister carrier, American Eagle, sucking most among all airlines.

Let’s do the math on this. Holding airlines accountable and offering up the threat of hefty fines for mistreating passengers didn’t jeopardize their ability to operate. If anything, it led to improved results. For once, it seems, the government got it right. If that sounds weird, think of an airline that takes off and lands on time. Weird, right?

White Collar Travel Extra: Helicopters signal return of the good life

What do you think a New York area commuter’s time is worth? Some of these guys will spend 14 hours a week or more sitting in buses, trains and cars just getting to and from the city. It adds up quickly. Well, if you take a look at what Liberty Helicopters is charging, a New Yorker’s commuting time is worth $100 an hour.

Ferrying people six at a time from Manhattan into New Jersey, Liberty is charging $200 a day for freedom from gridlock, not to mention the sheer frustration of not seeing the car in front of you move or the agony of being held captive by public transportation schedules. By helicopter, the hike from Port Monmouth, New Jersey to Manhattan takes as little as eight minutes … and the satisfaction of seeing the bumper-to-bumper below is a perk.

The fact that people are choosing this rather pricey form of daily transportation is leading some to believe that the worst of our economic woes are in the rearview mirror. Of course, it doesn’t hurt that compensation at Goldman Sachs, JPMorgan Chase and Morgan Stanley ticked 14 percent higher last year.

If you have to get out of the city for a Newark flight, this might just be the way to go.

Read White Collar Travel here.

Escape from New York: Five tips for leaving the city when flights fail you

New York is no stranger to tourist and business travel. We get lot of guests here, and eventually, their trips must come to an end. When the weather turns harsh, this can be problematic. Spring may be close, but March and April snowstorms happen, and there are always spring showers to make getting off the ground at JFK or LaGuardia a pure living hell. Whether you’re traveling in the northeast corridor or need to get to a different airport to get home, there are options.

I came face to face with this problem around six years ago. I was trying to get back to Boston, where I lived at the time. I was in New York every week on business and by Friday wanted nothing more than to get home. I stepped outside at 2 PM and saw snow accumulating on the street, even despite the city traffic. I checked Delta‘s website and saw that nothing had been canceled. So, I high-tailed out to LaGuardia hoping for the best. After a two-hour cab ride, I hit the Marine Air terminal only to find that the website wasn’t being kept up to date.

I needed some options and the thought of another two hours of taxi rides in a blizzard didn’t thrill me. Back in Manhattan, I figured I could pick up a train on Amtrak from Penn Station (which wound up working out). Along the way, I learned some tricks that can help anyone traveling the northeast or looking for an alternative airport when hope appears to be lost.1. Don’t fear public transportation
There’s no subway to LaGuardia, but there are buses. Catch the Q48 from the main airport or the Q47 from Marine Air (if you’re taking the Delta Shuttle). Get off at Roosevelt Ave in Queens, where the F or 7 train will get you back to Midtown. From there, it’s easy to hit Penn Station (New Jersey, Amtrak) Grand Central Station (Connecticut and New York) or the PATH train (if you want to try your luck at Newark). From JFK, you can catch the Skytrain to the subway, but brace yourself for a very long ride – the fastest I ever made it to Midtown was around an hour and a half.

2. Rental cars are risky
First, when flights aren’t taking off, there will be no shortage of people with the same idea. So, supply will be limited. Also, nasty weather makes for nightmarish driving conditions. You’ll be extremely unhappy behind the wheel, a situation that’s likely to be made worse by traffic. If you want to try driving, take public transportation out to the ‘burbs and use a rental agency out there (call first to make sure they can help you out).

3. . Be mindful of the other side
Getting out isn’t enough: you also have to think about where you’re going. If bad weather’s pounding New York, there’s a pretty good chance the situation in Philadelphia, Newark and Boston is also pretty ugly. If you’re having someone pick you up, call ahead. Arrange for a taxi or town car in advance. Definitely check the situation on the ground if you’re trying one of these airports instead. During my trek to Boston during the blizzard a few years ago, I called a local taxi service and asked to be picked up at South Station – and requested that they ask for my name before letting anyone into the cab. Sound arrogant? Well, it saved my ass. I saw the driver turn at least four people away as I pushed through the crowd, and I have no idea how many people tried before I got there.

4. Giving up may not be an option
Sometimes, it’s tempting to quit and just get a hotel room for a night (or a few, depending on how severe the storm is). Depending on what’s going on in the city, however, this may be a pricey alternative. As with rental cars, you won’t be the only person to think of this. Also, a busy night or weekend can cut available rooms down to nothing fast. If you are able to score some digs, you could wind up paying a fortune. If you do decide to stay in the city, hunt for the boutique hotels that y may never have noticed otherwise: they’re your best bet.

5. Draft your friends and family
During my escape from New York, I called my wife and asked her to book my train ticket for me. Handheld computing has come a long way since then, but it’s still inconvenient to hunt for alternatives on an iPhone or Blackberry. If you have someone who’s sitting in a warm office or home, hit him or her up for a hand. They’ll be able to find hotels or other travel arrangements easier than you will. By the time you get from the airport back into Manhattan, you may have a plan that only needs to be executed.

Big Apple beats the Mouse: New York City tops tourists’ lists

Tourism to New York City dropped close to 4 percent last year. For a city already beleaguered by the financial crisis, this represents lost revenue we really could have used. But, the damage wasn’t as bad here as it was in Orlando, which slipped from its spot as the top tourist spot in the United States. This is the first time America’s cultural and financial capital has been the #1 tourist destination in the country since 1990.

Last year, 45.2 million people passed through New York City, and the projections for 2010 are for an increase of 3.2 percent. And, that’s in what is still expected to be a tough travel market.

[Photo by joiseyshowaa via Flickr]