Richard Bexon Ramblings of a mad man in Costa Rica

So with World economies up in the air and people being more conservative with their money and looking at value v’s cost, Costa Rican Hotels have had to be proactive, or reactive it depends on how you see it.  A lot of hotels have gone crazy and offered 3 for 4 specials, 30% off their rates, low season rates all year.

The problem with Costa Rica was that demand was so high that the hotels were essentially squeezing the market for every $$ they could.  People had the money to spend and when they have money a $300 a night hotel room does not sound too expenive.  However if you have seen your income decrease or your job not as stable as it was before then $300 a night could seem expensive.  Therefore people looking for a Costa Rica Vacation have been looking at cheaper hotels, which has thus meant the more expensive hotels are looking rather empty.  The only way to combat this is either to reduce the rate per night or add value so the value v’s cost balance tips towards value. (continue reading…)