The hard hit sector may find some stability with the pricing structure and could follow the cruise industry’s lead in upselling amenities to add to the profits.
As hoteliers wrestle operating margins and scrutinize promising market niches in a quest for incremental growth in a recovering tourism economy, the all-inclusive business model that has long proven successful in destinations such as the Caribbean and Mexico is suddenly a hot topic in the U.S.
“I can’t name names, but I can report that multiple—emphasize plural—major hotel companies have hired us to explore all-inclusive strategies, including currently,” said Scott Berman…industry leader…at PricewaterhouseCoopers in Miami.
… “It’s easier to accurately predict revenues and food-and-beverage costs,” he said. “The downside is an inability to upsell and generate additional revenues,”
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Photo credit: The Club Med all-inclusive resort in Bali, Indonesia. Norio Nakayama / Flickr.com