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SPECIAL REPORT W Hotel by Starwood - Chicago City Center By Michael Andre Adams Independent Nylo Hotel - Plano Texas business.” But in an industry where it’s the norm to be different, who cares what Webster’s has to say? Enter the Boutique Thinking & Lifestyle Lodging Association (BLLA). In January, under the direction of its founder and chair, Frances Kiradjian, Boutique properties are linking together, BLLA released a white paper defining a boutique hotel as being either an inde - but are the links turning into chains? pendent property or part of a small brand or collection. Ask a handful of hospitality profes - agement deal or ownership. “It doesn’t “Per the more official description of sionals to define ‘boutique hotel,’ and necessarily have any implications in terms boutique hotels, garnered from worldwide what you’re likely to get are a variety of of branding or guest experience,” he says. industry research we initiated, boutique opinions that indicate an interesting – and “However, a boutique hotel can also be hotels are described as personalized, cus - evolving – new segment in the industry. independent, or vice versa.” tomized, unique and individual,” Kiradjian “The question has been swirling “You would call yourself a boutique explains. “The most important defining around at a variety of conferences and hotel if you were smaller and did not fit features of boutique hotels are cultural and meetings,” says Kip Vreeland, vice presi - into the general mold of a typical full serv - historical authenticity and that it provides dent of Marriott’s Autograph Collection, ice hotel,” says Luigi Di Ciaccio, a princi - interesting, unique services. Other impor - “and every leader, executive, customer has pal at Luxury Hospitality Consulting. tant defining descriptors of boutique hotels their own definition.” “However, if being different is the first include social spaces such as living rooms, 2 1 “It’s a relatively new term, which usu - step, then personalized service is generally libraries with social rooms and many high- 0 2 ally draws to mind high design and a believed as one of the main characteristics quality in-room features.” Y R lifestyle component, whether it be food of a boutique hotel.” By contrast, Kiradjian’s definition of A U and beverage, nightlife, fashion or “Today, it has little to do with the an independent property is “a single prop - R B E beyond,” says Philip Dailey, general man - size of the property; the term applies more erty with no ownership affiliation with F ager of Hyatt’s Andaz West Hollywood. to the hotel design and guest experience,” ‘other’ hotel properties,” but with a nod e v i t “As we know, the boutique hotel exploded explains Stacy Ragland, vice president of to current industry realities, it may include u c e into the mainstream in the 90s, much to operations for Choice Hotel’s Ascend “more than one property as long as it x E l the credit of hoteliers like Ian Schrager.” Collection. doesn't belong to a bigger group.” e v a An independent hotel is simply a Regardless of who’s doing the defin - r T property that operates as an individual Boutique By The Book ing, the boutique-mania certainly owes a s s e entity, Dailey explains, with no ties to big Webster’s Dictionary defines boutiques as debt of gratitude to founding father Ian n i s u hotel corporations, either through a man - “a small fashionable specialty shop or Schrager, who rose to fame as one of the B 32 Andaz Hotel by Hyatt - West Hollywood, CA Future Home of Edition by Marriott - New York City masterminds behind New York’s legendary who claimed the property was losing tions and experiences, and there are sub - Studio 54 nightclub. money because of Marriott’s management. stantial economies of scale.” Following a 20-month prison sen - “Owners and ownership groups are tence for tax evasion, Schrager and busi - The Best Of Both Worlds looking at ways to improve economies of ness partner Steve Rubell attempted a Still, for many boutique and independent scale,” Kiradjian agrees. “Like anything comeback, setting their sights on the hotel hotel owners, the opportunity to enter into else, they want to collaborate on issues business. They purchased the Executive groups makes good business sense. that affect their businesses as well as Hotel for $60,000 and reopened it as “These hotels want to stay independ - receive the benefits and discounts that Morgans Hotel in 1984. The Madison ent while having access to all that the big- consortiums of any kind offer.” Avenue property featured sleek and stun - brands have to offer – from loyalty pro - But beyond mere buying power, she ning interior designs and a trendy Jeffery grams filled with loyal customers that they continues, the boutiques and independents Chodorow restaurant. can market to, to web sites that are more have a different business model from their Morgans was an immediate hit, and productive than their own vanity sites, to big-brand competitors. “Their philosophy it led the savvy duo to another success training programs that have been refined is sort of ‘anti-chain’ in that they desire to with the Century Paramont Hotel. After over time,” explains Marriott’s Kip create a space and experience for the cus - Rubell’s death in 1986, Schrager started Vreeland. And while Marriott Rewards tomer that has independence in the true the Morgans Hotel Group and opened members can earn and redeem points at sense of the word, which allows creativity properties in Miami, London, San Autograph Collection hotels, Vreeland rec - and flexibility to be able to move swiftly Francisco, Los Angeles, as well as other ognizes that “customers may have to pay and without handcuffs.” New York hotels. By 1998, Schrager was a higher rate at these hotels as demand Hyatt’s Dailey believes that well- the largest private hotelier in New York. increases due to the affiliation.” established hotel chains are getting into 2 In 2005, Schrager left Morgans Hotel Joie de Vivre (JDV) positions itself as the boutique space because that’s what 1 0 2 Group and created the Ian Schrager a collection of both boutique and inde - travelers are demanding. “Above all, this Y Company. His latest venture includes a pendent hotels with their own personality, is the hospitality business and guests are R A partnership with Marriott International design and name, all marketed under the the top priority,” he explains. “Many of U R B called EDITION, developed with the same brand. According to JDV, the idea of the chains, Hyatt included, have hired cre - E F intent of creating a new brand of proper - belonging to a group is more attractive ative individuals with boutique hotel back - e v i ties in cities throughout North and South than being independent. grounds to drive the creation of their own t u c America, Europe and Asia. The boutique “In today’s extremely competitive boutique brands. There’s a strong commit - e x E wave has not been a smooth ride for hotel environment there are many benefits ment to create interesting experiences, l e Marriott in Hawaii, however; the Waikiki to being in a branded collection,” JDV’s with the explicit goal of not homogenizing v a r T EDITION made headlines in August, public relations director Lori Lincoln says. the hotel space.” s s 2011 when Marriott managers were “The hotels can cross-market and sell. After launching boutique hotels such e n i s locked out by the hotel ownership group, They can offer loyal customers more loca - as Schrager’s Delano and SBE’s SLS Hotel, u B 33 SPECIAL REPORT | Independent Thinking Dailey says he joined the Andaz team give high-standard training about how to boutique hotel has to offer. “Many travel because of the assets and possibilities that provide professional service. But here it’s managers do not leave their offices very a well-established organization such as different. Here we are talking about find - often or may not have personally experi - Hyatt can bring to the table to support a ing the right people who not only have the enced a hotel. You can’t judge a hotel sim - new lifestyle brand. academic preparation but they love what ply by its price and the photos on the “They recognize the need for an inde - they do, in order to provide the best expe - Internet. I would encourage travel man - pendent spirit, a bit of autonomy, to build rience ever to a customer. Once found, you agers to become more familiar with bou - the Andaz brand,” he says. “With a trust - make that employee part of your ‘family’ tique hotels as they may underestimate the ed company, large-scale resources, and a in order to make sure they don’t leave.” added benefits of service, décor, etc. and vibrant new boutique brand that’s given Di Ciaccio points to the Swiss College how this impacts the guest experience.” the freedom to thrive, the possibilities are of Hospitality Management, Switzerland’s “Travel managers should be prepared endless.” first boutique hotel management school. to pay that extra dollar to receive in The reason behind the across-the- “Boutique hotels can recruit trainees or exchange the attention to details which board move among the chains to enter the graduates from this young but traditional leads to the “wow factor” from their cus - boutique space, according to Kiradjian, is Swiss College. Here, a Swiss team of hote - tomer when he returns from his trip,” says the need to attract and retain the loyalty of liers and professors with international Di Ciaccio.