DESPITE a two per cent drop in average room rates, Singapore hotels are still the most expensive in Asia, according to the latest Hotel Price Index by Hotels.com.
Singapore was placed sixth on the index, among traditionally expensive destinations such as Switzerland, Italy, Denmark and France. A hotel room in Singapore cost an average of S$239 (US$189) in 2011, down from S$244 the year before (TTG Asia e-Daily, March 21, 2011).
This year's index also ranked Singapore as the world’s second pricest (destination) for five-star accommodation, with room prices averaging S$494. In comparison, London’s five-star hotel rooms are the most expensive at S$537.
“The hotel industry in Singapore has developed tremendously in recent years. The hotel room inventory has really grown with numerous openings of prestigious hotels targeted at affluent business travellers," said Johan Svanstrom, managing director, Asia Pacific for Hotels.com.
“On top of being a business hub and a stopover for longhaul travellers, the country has also invested in upscale attractions such as the integrated resorts that have proved to be a great hit with tourists – these make Singapore the perfect vacation option for luxury travel.”
Meanwhile, hotels in other Asian cities are becoming more affordable, according to the index.
Reduced demand and occupancy in Japan following the March 2011 earthquake saw room rates there dip by seven per cent, while Thailand room prices suffered a drop after the recent floods.
Chinese cities such as Shenzhen and Shanghai saw a decline in room rates due to oversupply from new hotel developments and currency fluctuations.
Meanwhile, Vietnam, Cambodia, Thailand, the Philippines, Malaysia and Taiwan recorded some of the cheapest rates in Asia last year.