Hotel operators have received criticism on how fees are displayed to consumers and been accused of engaging in fraudulent and anti-competitive practices by misleading consumers in advertisements, which prevent comparative shopping, and charging millions of dollars in hidden fees. "The process to update and align our technology is under way," Hilton said in a letter to U.S. Senators Amy Klobuchar and Jerry Moran. The senators introduced the bipartisan Hotel Fees Transparency Act in the U.S. Senate in July, with the aim of cracking down on hidden fees and establishing federal guidelines for pricing.
Here is how Hilton Worldwide Holdings Inc. (HLT) and InterContinental Hotels (IHG) have performed compared to their sector so far this year.
Hilton (HLT) focuses on conversion opportunities and capital-light business models to drive growth. Also, the rise in RevPAR outlook bodes well.