While most travelers tend to be on the lookout for cheap traveloptions, be they cheapairplane tickets, discount hotel rooms, discounttravel deals, or cheap vacation packages, oneof the ironies of the hotel industry is that the more luxurious, expensivehotels tend to charge for in-room Wi-Fi whereas less expensive, economy typehotel chains do not.
In a break from that trend, Loews Hotels and Resortsannounced in January that it has started offering free in-room Wi-Fi at all ofits properties, making it one of the first major luxury hotel brands to takethis move despite forgoing significant revenues.
While Loews Hotels acknowledged that it was giving up acouple million annually in Wi-Fi fees, Loews contends that this loss will bemore than offset by increased loyalty and repeat business.
Ironically free Wi-Fi has been offered by lower pricedchains for quite a while, but luxury hotels have been reluctant to move in thatdirection. Why? Because they can; which means thathistorically their guests have been willing to pay for this amenity.
One of the reasons corporate guests who stay at luxuryhotels tend not to mind Wi-Fi fees is because often they are not the ones payingthe bill.
Industry experts warn that charging for Wi-Fi even at tophotels is an irritant similar to checked luggage fees that airlinescharge. Such fees lead customers to feelthey are being nickeled and dimed, not something a luxury brand wants to beknown for.
Loews decision to offer free Wi-Fi is part of a broaderprogram to positively differentiate its brand from its competition. This chain spent $250 million on upgrades atits hotels last year alone.
Basic Wi-Fi is now available for free in rooms, lobbies,restaurants, and at the pool areas of all 18 Loews hotels and resorts in thechain. This service will also bestandard at all of the chains new properties including Chicago andOrlando. Meeting space WiFi willcontinue to be only available for a charge and will be sold to groups bookingthose areas.
Previously Loews guests had to pay either $15 or $20 perday for Wi-Fi, depending on the location of the hotel. While the basic Wi-Fi connection speed is nowfree, guests wanting to stream more than one movie at a time or download a 100page PowerPoint presentation will likely want to pay to upgrade for a fasterconnection.
Faster connection time will cost $15 per day.
The higher connection speed will be free to members ofLoews loyalty program. Competing higherend hotel brands, such as Intercontinental, have made any version of free Wi-Fiavailable only to loyalty members.
Experts expect Loews decision to offer free Wi-Fi toencourage more hotels to follow. Hotelsurveys consistently list free Wi-Fi as one of the amenities most highly valuedby guests.
www.cheapfares.com