hotel featured in a circular last month.

Pink Beach Club was one of five hotels and restaurants in the monthly American Express circular "Expressions'' sent to cardholders with monthly statements.

Yesterday, hotel managing director Mr. W.A. (Toppy) Cowen said he was "delighted'' with the promotion.

The short feature, which describes the hotel's "sumptuous dinners'', coral beaches and distinguished guests was worth a fortune in advertising terms, Mr.

Cowen said.

"We couldn't have afforded this type of advertising,'' he said.

Pink Beach began accepting American Express card payment for accommodation and other hotel services earlier this year. Mr. Cowen sees the move as another way the hotel has improved its services and provided value for money without cutting rates.

Mr. Cowen said July was dismal for hoteliers and one of the worst he had seen in his 18 years in the business. August was looking stronger, but hotels had to keep up an agressive approach to attracting business.

"We have had to change to keep up with of travel trends. We are doing things we never did before.'' Added incentives at Pink Beach include special golf packages, fruit and wine in rooms, air conditioned taxi tours and membership with the Bermuda Aquarium.

The aim, Mr. Cowen said, is to stave off the self-destructive cycle of cutting rates.

"We did not want to become known as a destination that has price sales because then people come to expect them. We do not want to cut our prices unless it is absolutely necessary so we add in incentives instead.''