Overall hotel guest satisfaction has declined since last year but has improved in the area of costs and fees, according to the J.D. Power and Associates 2011 North America Hotel Guest Satisfaction Index Study. The decline in overall satisfaction in 2011 reflects that hotel improvement efforts and investments are lagging behind rising customer expectations, says the firm.

"Unlike the airline industry, in which prices were raised aggressively amid limited seat supply and high demand, the hotel industry has enacted more modest price increases and has had spare room capacity," says Stuart Greif, vice president and general manager of the global hospitality and travel practice at J.D. Power and Associates. "The benefits of higher occupancy have outweighed taking a more aggressive posture on average daily rates, as putting 'heads in beds' has taken priority."

The following hotel brands rank highest in guest satisfaction within their respective segments:

• Luxury: The Ritz-Carlton (for a second consecutive year)
• Upper Upscale: Embassy Suites Hotels
• Upscale: Hotel Indigo
• Mid-Scale Full Service: Holiday Inn
• Mid-Scale Limited Service: Drury Inn & Suites (for a sixth consecutive year)
• Economy/Budget: Microtel Inns & Suites (for a 10th consecutive year)
• Extended Stay: Homewood Suites (for a second consecutive year)