The latest Hotel Price Index (HPI) by Hotels.com reports a 9% price increase for Australia (in GBP). This shows how expensive Australia has become for overseas visitors, considering that the overall average room rate performance across Australia in Aussie dollars increased by only some 3.5% in 2012.
The HPI also reports that, unsurprisingly, prices in Perth have increased strongest, at 22%, whilst Sydney increased by 8%, Melbourne by 7% and Brisbane by 4% only.
Another interesting fact is the comparison of prices in 5* hotels. San Francisco is reported as having the most expensive 5* hotels at £397. Paris ranks 8th at £290, London 15th at £232, Dubai is 25th at £203 and Sydney 29th at £191. A similar ranking applies to 4* and 3* hotels, indicating that Australian hotels are by no means expensive on a global scale. This supports our belief that, in view of current high room occupancy levels and despite the high increase to foreign visitors, Australian hoteliers should continue to push room rates higher.