Hoteliers often cite the cyclical nature of the hotel industry. Typically, hotels first pick up occupancy and then rate, then a glut of new supply knocks both down, and the cycle begins again. This cycle has been a bit different, however. Hotels in North America currently are in what usually would be "late-cycle market dynamics," with hotel revenue growth coming mostly through rising rates, not occupancy, Starwood Hotels & Resorts president and CEO Frits van Paasschen said in April during the company's first-quarter earnings call.