Hotels across the United States are bracing for a World Cup washout, with bookings significantly below expectations in almost every host city, according to a report by the American Hotel & Lodging Association (AHLA). The findings contradict FIFA's claim that over five million tickets have been sold, a statement FIFA has rejected.
The AHLA blames high match ticket prices, local transport and tax costs, and the political backdrop for deterring visitors. It warns that the anticipated economic boost may fall short. The association represents more than 32,000 properties and over 80% of all franchised hotels in the US.
The report also accuses FIFA of block-booking an excessive number of rooms for its own use, creating artificial demand and inflating prices. After FIFA cancelled many rooms, a vacuum of availability emerged. FIFA said it does not recognise this accusation and maintained that room releases followed contractual agreements.
Disappointment is widespread: 88% of hotels in Kansas City reported underperforming bookings, with similar figures in San Francisco, Seattle, Philadelphia and Boston (75%), Los Angeles (68%), New York (66%), Houston and Dallas. In Miami, 53% were disappointed, and 48% in Atlanta.
The AHLA said hotels made significant investments based on official projections, including a FIFA study predicting 185,000 jobs and $17.2bn (£12.7bn) in GDP. However, fewer overseas fans threaten the economic impact, with just over three weeks until the opening game on June 11. Up to 70% of rooms reserved by FIFA in Boston, Dallas, Los Angeles, Philadelphia and Seattle have been cancelled.
Despite the gloom, the AHLA expects occupancy to strengthen in June and July, noting many fans are waiting for tickets and schedules. Airbnb, meanwhile, says the World Cup is on track to be its biggest hosting event ever.
