LOS ANGELES — Luxury-hotel chains, the biggest losers in the lodging industry's decline, are giving up some of their hard-won stars to save money.

Starwood Hotels & Resorts Worldwide Inc., the U.S. owner of luxury brands such as St. Regis and W Hotels, will let some of its properties reduce their level of service — and number of stars — until the industry begins to recover, spokeswoman K.C. Kavanagh said. Hilton Hotels Corp. and InterContinental Hotels Group Plc have already cut the ratings for some locations.

"Maintaining stars requires enormous capital investment," said Stephen Bollenbach, who retired as Hilton's chief executive officer when Blackstone Group LP bought the company in 2007. "Ratings aren't based on making good returns on your investment."

Luxury-hotel operators have struggled to attract customers as the recession deters vacationers and forces companies to slash their travel budgets. That should mean lower rates for high-end business and vacation travelers. It may also mean the loss of some amenities, such as welcome gifts, flowers in your room, complimentary newspapers or 24-hour room service.

Hotel operators need to reduce services to conserve cash. Occupancy rates for luxury hotels worldwide fell to 57 percent in the year through July, from 71 percent in the same period a year earlier, a bigger drop than for other types of accommodation, according to Smith Travel Research.

The average daily room rates at the most luxurious hotels around the world fell 16 percent to $245.13, the Tennessee-based hotel-data company estimates. Prices for mid-range hotels fell 13 percent to $87.12.

"Consumers want the best deals that they can get," said Jeff Higley, a vice president at Smith Travel Research. "Most luxury hotels are facing occupancy shortfalls, they are lowering rates to entice consumers to come in. There rarely has been a better time to stay at a luxury hotel than right now."

In the U.S., travel guides such as the one provided by the American Automobile Association and the Mobil Travel Guide give star or diamond awards. Internationally, there is no standard classification. Ratings are given in some countries by hotel industry associations.

To qualify for five stars, the highest rating, hotels must provide "an exceptionally distinctive environment offering consistently superlative, personalized service," according to Mobil Travel Guide. There should be a welcome gift and "something noteworthy and thoughtful" should be left on the pillow during turndown service, while ice buckets need to be glass, metal or stone and must have tongs.

Room-service customers who order wine by the glass should be presented the bottle as the wine is poured in the room. Bar or lounge customers must be automatically offered "at least two types of premium quality snacks," according to the guide. If the hotel has a pool, guests going for a swim should be escorted to their chairs and offered refreshment.

"A lot of things we all got drunk over can be eliminated and reduced to being less intrusive and hence more economical," said Lewis Wolff, co-chairman of Martiz, Wolff & Co., owner of such luxury hotels as the Ritz in St. Louis, a Four Seasons in Toronto and another one in Houston and the Carlyle in New York. "If a five-star hotel was downgraded to a four star, most people would be just as happy."

Hilton abandoned the five-star rating for its Hilton Plaza in Vienna this year and deliberately does without an official rating at another hotel in the city, said Claudia Wittmann, a spokeswoman for the U.S. company. Wittmann said the company abandoned the star rating at its hotels in part because of the different standards required in each country.

Starwood is also trying to eliminate some of the frills at its luxury hotels. Based in White Plains, N.Y., it has seven five-star sites in the U.S., including the St. Regis at Fifth Avenue and 55th Street in New York. The company's five-star hotels also include Le Royal Meridien in Mumbai and the St. Regis in Beijing.

"Given the current economic climate, we may allow an individual property to adjust its services to below the agreed star rating," Kavanagh said. She would not name any of the hotels.

The properties would be required to return to a grading system as soon as possible, she said.