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POSTED: Sunday, December 14, 2008

Travelers who knock on Hawaii's doors this holiday season will find few innkeepers that will turn them away.

In years past, it was imperative that visitors who wanted to experience a Hawaii vacation or kamaaina that wanted to make an interisland trip would find that virtually all rooms were sold out by July or August. And, they could expect to pay booking deposits, premium rates and sometimes even steep surcharges.

This year there is plenty of room at the inn and visitors to Hawaii have been gifted with a plethora of discounts and value-added perks for the holidays - the likes that have never been seen in this marketplace during the holidays.

“;Overall, Hawaii has always relied on peaks and valleys, but at this point with the economy there are no peaks and valleys. It's all pretty much flat,”; said Elizabeth Churchill, vice president of sales and marketing for Aqua Hotels & Resorts. “;We saw this trend happening this past summer and we've been adjusting prices ever since - even our holiday rates are among the best that we've ever offered.”;

Kendall Kam, an engineer from Nuuanu, decided to take his young family to the Big Island for the New Year's holiday when Starwood Hotels and Resorts slashed rates. Kam, the winning bidder in Starwood's Big Give Hawaii online auction, will pay only $80 per night during his stay at the Sheraton Keauhou Bay Resort & Spa.

The last time Kam and his wife saw interisland rates drop this low at their favorite properties was right after 9/11, he said.

“;We stayed at a resort in Kauai for $99 a night - we thought that was pretty good, but this is even better,”; Kam said. “;Besides, my wife and I really liked the idea of the Big Give Hawaii auction, which benefits the Hawaii Food Bank. It seemed like a win-win for everyone. We get to go on vacation and it benefits the local economy.”;

Hawaii's holiday rates and availability is a sign of the economic challenges in Hawaii and worldwide, said state Tourism Liaison Marsha Wienert.

“;I've been in the business a long time and I can't ever remember hotels offering rates like these over the holidays,”; Wienert said. “;The hotels in Hawaii are offering very aggressive pricing and packages, but it's not just happening here, it's happening everywhere.”;

Despite the great rates and value branding in Hawaii, there's competition for holiday visitor dollars from New York, Las Vegas, Mexico, the Caribbean, Europe and Asia, she said. Destinations around the globe are offering last-minute deals with few blackout dates and up-to-the-minute booking windows, Wienert said.

“;It's hard to know how Hawaii will fare. People are being very cautious in regard to discretionary spending,”; Wienert said. “;We need to continue to talk about the value of a Hawaii vacation and to promote the packages and incentives that are out there now and will continue throughout the first part of next year.”;

Marriott, as well as Hawaii's other large global chains such as Starwood, Westin, Sheraton and Hyatt, are not only offering competitive rates for the holidays, but they are pandering to kamaaina.

“;We wouldn't normally have kamaaina rates available right now,”; said Marriott International Vice President Ed Hubennette. “;There is great value in the market place right now and the word is getting out, but the bottom line is that people still have to want to spend money.”;

Marriott's Grand Wailea, a top Maui hotel, has one or two soldout holiday dates, but virtually all other Marriott properties are wide open even with the upcoming Sheraton Hawaii Bowl on Dec. 24 and the resulting influx of Notre Dame fans from the mainland, Hubennette said.

“;I've never in my career seen a market like this in Hawaii,”; he said.

Competition is so fierce in the hospitality industry that Hawaii's hotels are even competing with each other across the price points, Churchill said. Hawaii's luxury hotel chains like Marriott, Starwood, Hilton and Hyatt have felt more pressure to discount as the uncertain economy has caused some of their clientele to veer toward less-expensive vacation choices. As a result, in an effort to hold onto market share, many of these top hotel brands have sharply discounted rates, offered free room nights even on Christmas and New Year's, and extended their kamaaina specials.

While early on in the current soft cycle, Hawaii's more moderately priced hotel chains like ResortQuest and Aqua Hotels and Resorts saw their guest demographics move upward. In more recent times, they've seen fierce competition from on-beach and luxury properties.

“;Many of Hawaii's on-beach properties have discounted so heavily that the more moderately priced hotel chains like Aqua are competing for market share with them this year,”; she said.

While Aqua has always been known for its competitive pricing model, the company has gone out with its most aggressive specials to date, Churchill said. At the beginning of December, the company offered a 24-hour sale that offered 30 percent off the best available room rates and has recently launched a “;Nifty to be 50”; statehood special that offers $50 for the first night at any Aqua Hotel with a three-night minimum stay, she said.

“;We want to drive consumer decisions,”; Churchill said.

While ResortQuest Hawaii has not had to do any deep discounting on its condominium products due to their popularity with kamaaina, the hotel chain has extended its kamaaina offers and has free night offers even on Christmas and New Year's, said Shari Chang, senior vice president of sales, marketing and revenue management for ResortQuest Hawaii

“;We are still pretty competitive in the marketplace,”; Chang said. “;Even if a 4- or 5-star resort is discounted, the overall prices aren't competitive when you consider what you would pay for food or beverage versus being able to cook your own food in one of our condominiums or dine in at a budget-conscious restaurant where you won't have to pay $25 for a glass of orange juice,”; Chang said.

To be sure, economic woes have given even the most affluent travelers pause, said Jack E. Richards, president and chief executive of Pleasant Holidays LLC.

“;We had one guest cancel an $87,000 family vacation because he was concerned that his business revenues were down,”; Richards said. “;When it gets to these levels, everyone is trying to do everything to get everybody to travel.”;

Pleasant is offering rock-bottom pricing with last-minute bookings to Hawaii throughout the end of the year, he said.

“;We haven't offered packages as good since 2001,”; Richards said, but added that despite rock bottom offers - a three-night stay on Oahu with airfare for under $350 and a three-night stay on the neighbor islands with airfare for under $400 from San Francisco or Los Angeles - overall volume is still down.

 

Gifts of the season

Here are some of the best holiday travel pricing and packaging for kamaaina throughout Hawaii. Few blackout dates or windows apply and rates are competitive.

 

Starwood Hotels and Resorts

Starwood, Sheraton and Westin brands:

Starwood Hotels & Resorts Hawaii is offering a Sunsational Savings promotion which includes a third night free promotion, breakfast or meal credit daily, and in some hotels a free room upgrade.

This offer is available over the Christmas and New Year's holidays and into the first quarter of 2009. Ask for rate plan ID rate code SUN3NF (Oahu, Kauai, Big Island properties) or SUN3NU ( Maui properties).  Online bookings are available at http://www.starwoodhawaii.com.

In addition, the Sheraton Princess Kaiulani in Waikiki has starting rates of $109 a night for a standard guest room and $139 a night for ocean view from Dec. 26 to Jan. 7.

 

Hilton

Hilton Hawaiian Village is offering kamaaina weekday rates of $149 and $165 weekend rates. The rate code is P3 and the above inclusions are valid until Jan. 31, 2009.

» 4p.m. late checkout

» $10 overnight parking rate

» 50% discount on lagoon toys

» 20% discount at Mandara Spa

» 15% discount on dining at select restaurant

  Kamaaina specials at the Hilton Waikoloa Village on the Kohala Coast of the Big Island start at $129 a night.

For reservations, call 1-800-HILTONS or call the hotel directly. Ask for rate code P3 (Hilton Hawaiian Village and Hilton Waikiki Prince Kuhio); rate code KAM (Doubletree Alana Hotel - Waikiki, Hilton Waikoloa Village, Grand Wailea, Embassy Suites - Waikiki Beach Walk and Hilton Kauai Beach Resort); or rate code P1 (Hilton Grand Vacations Club at Waikoloa Beach Resort and Hilton Grand Vacations Club at Hilton Hawaiian Village).

For hotel information, visit http://www.hiltonfamilyhawaii.com.

 

Aqua

Aqua Hotels & Resorts is offering a “;Nifty to be Fifty Statehood Special”; at its 12 hotels in Waikiki that will be valid throughout 2009. The special includes:

» $50 for the first night at any Aqua hotel in Waikiki with a minimum three-night stay. Additional nights start at $119 at Aqua Boutique hotels and $89 at Aqua Lite properties

» Free amenity for guests aged 50 or older, per room

» Free “;Aloha from the 50th State”; 1959-inspired postcard to mail home (or keep)

» Optional AquaSPA mini-massage treatment (30 minutes) for $50

 

Full pre-payment is required at time of booking.  The special cannot be combined with any other offer.  For reservations, see your preferred travel agent or call Aqua toll free at 1-866-406-2782 or (808) 924-6543.

 

  Marriott

» JW Marriott Ihilani Resort & Spa is offering kamaaina a $199 rate until Dec. 31. For reservations, call (808) 679-0079.

» Kauai Marriott Resort & Beach Club is offering a leisure garden rate of $279 with no minimum night stay restrictions. But there is also a special $199 rate for the New Year. For reservations, call (808) 245-5050

» Waikiki Beach Marriott Resort & Spa is offering kamaaina rates of $119 until Dec. 24. For reservations, call (808) 922-6611.

» Wailea Beach Marriott Resort & Spa is offering kamaaina rates of $129 (soldout dates are Dec. 27- 28). Call (808) 879-1922.

» Waikoloa Beach Marriott Resort & Spa is offering kamaaina rates of $149 through Dec. 25 and rates of $225 from Dec. 26 to Jan. 3. Call (808) 886-6789.

 

ResortQuest Hawaii

» Trolley Hop Room & Ride package includes two four-day Waikiki Trolley passes when booking a stay of three or more consecutive nights at ResortQuest Waikiki Beach Hotel or the Ilikai. The four-day pass allows unlimited boarding privileges on all four trolley lines. Additional trolley passes can be purchased on property. The package rates start from $139 per night at the Ilikai and from $160 per night at the ResortQuest Waikiki Beach Hotel.  Rates are valid through Dec. 21.

» Guests at the ResortQuest Waikiki Banyan or the ResortQuest Waikiki Sunset will receive a $50 gift certificate with a four-night stay through Dec. 23. The gift certificates can be redeemed at all Food Pantry, Coco Cove, Whalers General Store, Lamonts Gift & Sundry, EZ Discount Stores, Oasis Lifestyle, Kohala Bay Collections and Products of Hawaii Too locations in Waikiki. Room rates at ResortQuest at the Waikiki Banyan start at $144 per night and ResortQuest Waikiki Sunset at $149 a night. Guests who book a shorter three-night stay at the Waikiki Banyan will receive a complimentary $30 Banyan Breeze Coffee Company gift card.

» Golf suite packages at ResortQuest Shores at Waikoloa and ResortQuest Waikoloa Colony Villas through Dec. 21 also will include one $50 gift card to Ruth's Chris Steak House, two rounds of 18-hole golf with a shared cart, and a coupon book valued at $1,000.

 

Outrigger

Outrigger's Condominium Collection is offering kamaaina 50 percent off published rack rates at select properties on Kauai, Maui and the Big Island though Dec. 21. Kamaaina staying at OHANA Waikiki West and OHANA Waikiki Malia can stay in Waikiki under $100 a night. This deal is inclusive of half-off parking and reduced rates with a local ID. Both the Outrigger Reef on the Beach and Outrigger Waikiki on the Beach offer kamaaina free parking and a $25 shopping and dining credit when they stay two nights or more.  Rates start at $160 per night. Keauhou Beach Resort on the Big Island of Hawaii is offering kamaaina a partial ocean view room and two complimentary breakfasts starting at $135 a night. The Wyland Waikiki is giving kamaaina free upgrades and breakfast at KimoBean Hawaii Coffee.  Rates start at $109 per night. Book online at http://www.outrigger.com or call 1-866-968-8744.