The FIFA World Cup kicks off on June 11 and will be spread across Canada, Mexico and the United States.
WASHINGTON — The anticipated hotel boom tied to the upcoming FIFA World Cup may be falling short of expectations, according to a new report.
The American Hotel & Lodging Association released a report on Monday, highlighting the challenges faced by hotels across the U.S. in the lead up to the international soccer tournament. The report said that, across host cities, hotels have not seen strong bookings and that domestic travelers are outpacing international visitors.
“Hotels across host markets have spent years preparing for the World Cup, and while there is real excitement, the data points to a more nuanced outlook,” Rosanna Maietta, president & CEO of AHLA, said in a news release. “A range of factors have tempered early optimism, though forward indicators show there is still meaningful opportunity ahead.”
According to AHLA, the FIFA room block cancellations, international travel barriers and rising costs have contributed to the shortcomings.
“To fully realize that potential, the U.S. and FIFA must ensure a welcoming and seamless experience for international travelers. That means avoiding unnecessary cost increases on visas and transportation to and from the games, and discouraging local jurisdictions from adding last-minute tax hikes that hurt the games and consumers. And our message to consumers is clear: now is the time to book your hotel.”
The FIFA World Cup kicks off on June 11 and will be spread across Canada, Mexico and the United States. Eleven cities across the U.S, including Atlanta, Boston, Dallas, Miami and more will host games this summer.
Kansas City had the highest number of hotel owners, roughly 85% to 90%, report below expectations, just trailing behind a typical June or July without any major events. In Boston, Philadelphia, San Francisco and Seattle, nearly 80% of respondents said booking pace was less than expected, with some calling the tournament a “non-event” due to FIFA room releases and weak international fan visits.
According to the report, Miami and Atlanta have reported the strongest numbers with just 50% of hotelier respondents saying the bookings are in line or ahead of expectations.
Some tickets remain on sale for the World Cup, though prices remain high, topping out at $4,105 for the U.S. opener against Paraguay in Los Angeles.
Prices are also subject to change as FIFA adopts dynamic pricing for the first time at the World Cup, adding to fan frustrations.
FIFA has been accused by fans of a “monumental betrayal” on ticket costs, but soccer’s governing body has repeatedly defended its pricing strategy.
“There are expensive tickets, yes, and there are also affordable tickets,” Infantino said Thursday in addressing the FIFA Congress in Vancouver, British Columbia. “And what is important is that all the revenues that we generate from the world go back to you, go back to the entire world and finance football in all of your countries, and you know it better than me, in big majority of our countries, we could not have organized football the way we know it without the grants and the revenues and the Forward program.”
Fans have been further angered by the addition of more expensive categories as the tournament approaches. Many of the tickets still on general sale are for the more expensive categories.