Restaurants and hotels stung by more 2009 holiday party cuts

New York /
Nov.November 02, 2009 08:45 AM

As businesses settle into a newfound frugality in the recession era, holiday parties are increasingly becoming a thing of the past. For many companies who cut their 2008 parties in the wake of the Lehman Brothers collapse, the lavish, open-bar affairs won’t yet return, and for others who held steady on their celebrations last year, they are now resigning to the severity of the times. This year, only 62 percent of companies nationwide will hold holiday parties, according to a survey by Challenger Gray & Christmas. In 2008, 77 percent of companies held holiday parties, and in 2007 that number was 90 percent. The decision to scale back isn’t necessarily influenced by a business’ bottom line. Firms in the financial sector are especially concerned about the perception of corporate excess. A Bank of America spokeperson said a holiday party “would not be appropriate.” The change of heart is cutting into restaurant and hotel businesses: they say their private party business is down roughly 20 percent this year, even compared to a crushing 2008. Many are offering up incentives to try to lure companies back in to the market.


Related Articles

arrow_forward_ios
Why real estate shoppers are bagging grocery-anchored plazas
Why real estate shoppers are bagging grocery-anchored plazas
Why real estate shoppers are bagging grocery-anchored plazas
Macy’s CEO Jeff Gennette (Getty)
Macy’s converts 1M sf to fulfillment space
Macy’s converts 1M sf to fulfillment space
(Photo Illustration by The Real Deal with Getty)
Black Friday store traffic jumps, but sales don’t
Black Friday store traffic jumps, but sales don’t
(Illustration by The Real Deal with Getty)
Retail real estate continues climb, reaches record low availability
Retail real estate continues climb, reaches record low availability
1 Wythe Avenue in Greenpoint, Brooklyn and Brooklyn Brewery CEO Eric Ottaway (Google Maps, Twitter/@EricOttaway)
Brooklyn Brewery to expand in move to Greenpoint
Brooklyn Brewery to expand in move to Greenpoint
Target's Brian Cornell (Getty, Target)
Target plans 150K sf stores in footprint expansion
Target plans 150K sf stores in footprint expansion
Kimco Realty's Conor Flynn with The Gardens at Great Neck (Kimco Realty Corporation, Google Maps)
Kimco pays $375M for Long Island shopping centers
Kimco pays $375M for Long Island shopping centers
A photo illustration of Danny Meyer and the Maialino at the Gramercy Park Hotel (Getty, Google Maps, Maialino)
Judge to Solil: Hands off Danny Meyer’s Maialino
Judge to Solil: Hands off Danny Meyer’s Maialino
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...