Lintercontinental Hotels' Larry Light Leads a Global Marketing

Total Page:16

File Type:pdf, Size:1020Kb

Lintercontinental Hotels' Larry Light Leads a Global Marketing Viewpoint InterContinental Hotels’ Larry Light Leads a Global Marketing Transformation Larry Light, appointed a year ago as Chief Brands Officer of InterContinental Hotels Group (IHG), has the rare ability to take the complicated and not merely make it simple, but also make it meaningful. He has enjoyed an extraordinary marketing career as agency executive, brand champion, advisor, author and academic, but may be best known for his contributions to McDonald’s while CMO from 2002-2005. Not only did he galvanize a global brand behind “I’m Lovin’ It,” adopted from DDB’s Heye & Partner of Unterhaching, Germany as part of a breakthrough agency competition, but the expression has made its way into the local language of 47 million customers and has become McDonald’s longest-enduring tagline-turned-mantra. Larry Light was Lunquestionably instrumental in the company’s outstanding marketing turnaround. Today, he is leading a transformation spring in Palm Beach, Larry mission to build brand preference. at InterContinental Hotels Group, Light captivated an audience for He emphasized that achieving one of the world’s largest hotel 45 minutes, as he described the brand preference is not simply companies. IHG provides over process of “brand leadership about “how you manage a 157 million guest nights per year marketing,” which he characterizes marketing campaign,” but even through a total of 4600 properties in as both a process and a mindset. extends to how you compensate nearly 100 countries via a portfolio In fact, he believes that the goal to employees. He asserted, “Last of 9 hotel brands at varying price build strong brands should be a week, 300 job descriptions and points, including: Holiday Inn, business accountability, not merely responsibilities were changed to Holiday Inn Express, Hotel Indigo, a marketing accountability. In other reflect the rallying importance of Crowne Plaza, InterContinental, words, the business plan and the building brand preference. This Staybridge Suites, Candlewood brand plan should be one in the week, a new rewards system for the Suites, EVEN Hotels and HUALUXE same. organization will be put in place Hotels and Resorts. to underscore the goal of building He described how InterContinental brand preference. Next week, 4,600 His concepts at IHG are continuing Hotels Group is undergoing General Managers at each of our to reinvent our thoughts about tremendous cultural change by hotel properties will be retrained. marketing and the significant role aligning all of their objectives— GMs are the ultimate brand that it plays in business. whether matters of design, managers; they create the image of As a keynote at the ANA’s Brand construction, personnel, IT, or our brand onsite.” Masters Conference held this marketing-- behind a singular 32 THE INTERNATIONALIST www.internationalistmagazine.com 33 According to Larry Light, we now To understand a better global model objective is BUILD BRAND live in a collaborative, social-media for brand-building, Light suggests PREFERENCE. According to society where people share their lives that brands consider the following Light, “How we manage the through experiences, reviews, blogs, three issues, which may engender business is not simply how wikis and commentaries. This is company “culture shock,” but will we do marketing. Whatever transforming how we organize our lead to contemporary global brand someone’s job description, we businesses. Sharing, he underscores, success: need their personal innovation is not partitioning, which he and creativity to make this describes as the disease of the silo 1. What is the brand’s North Star? plan happen. Freedom in mentality. Shared responsibility has a How is it defined? What is its a framework, based upon significant impact on how we should ambition? This brand definition a common brand set of approach organizational structure should be inspiring enough so boundaries, inspires innovation. and brand management. there is a gap between where it Great ideas do not give a damn is now and where it ultimately where they come from.” In fact, he is convinced that former wants to be. He asks, “Why models about the globalization of aim for less?” This compelling Larry Light knows that his “3 box marketing from a central core and and coherent brand ambition model” also engenders fast results. its evolution of “Think Global; Act is a shared responsibility and “When the entire organization Local” are not only outdated, but can is owned by everyone who shares responsibility for building a no longer lead to brand success for participates in the brand across strong brand, not just the marketing most organizations. He calls these all functions and all geographies. department, the brand ambition past structures the “one-box model” is the same throughout the world. and the “two-box model” in reference 2. Define the brand framework. Keep in mind that nothing is as to checking off centralized or dual Although this is designed to effective as relevance, so this allows global-local options. achieve organizational alignment local markets to innovate within a and shared responsibility where framework. Everyone talks about For the majority of brands today, he everyone contributes whether how China is different, but we believes we now need a “3-box model” global, regional, or local, there watched our Crowne Plaza group that reflects more interconnectedness are brand standards-- iconic there create brilliant marketing and more personalization among elements of the brand—that are which resulted in 7% growth in 60 people with stronger individual non-negotiable. A “culture of days. It is possible with a shared passions; not a world that is more equals” needs to immediately commitment, a global brand “standardized.” The goal is to provide understand when the brand is ambition, and local relevance. This “freedom in a framework.” Ticking “out of bounds.” is not a long term dream; if the the boxes now means forgetting whole organization is aligned, it can about a centralized core (1 box) 3. Deliver results by focusing achieve measureable results in the or global-local tension (2 boxes); on outcomes, not tactics. In short term. And continually taking instead, the focus is on delivering short, THE BUSINESS PLAN care of the short term does lead to shared commitment, a global brand AND THE BRAND PLAN long-term success.” ambition, and local relevance. ARE THE SAME. IHG’s “We now live in a collaborative, social-media society where people share their lives through experiences, reviews, blogs, wikis and commentaries.” 32 THE INTERNATIONALIST www.internationalistmagazine.com 33.
Recommended publications
  • Ihg's Global Presence
    IHG’S GLOBAL PRESENCE AMERICAS Open Hotels Pipeline Hotels Rooms Hotels InterContinental 48 16,408 7 Kimpton Hotels 61 11,238 17 EUROPE & Restaurants Crowne Plaza 164 44,116 17 Open Hotels Pipeline AMEA Hotels Rooms Hotels Hotel Indigo 46 5,932 32 GREATER CHINA InterContinental Open Hotels Pipeline EVEN Hotels 6 1,010 6 31 9,724 6 Hotels Rooms Hotels Open Hotels Pipeline Holiday Inn 723 122,352 125 Kimpton Hotels 0 0 1 & Restaurants InterContinental 69 21,203 27 Hotels Rooms Hotels Holiday Inn 2,154 192,371 488 Crowne Plaza Crowne Plaza InterContinental 39 16,315 22 Express 92 20,887 14 73 20,749 21 Hotel Indigo Hotel Indigo HUALUXE 4 1,096 22 Holiday Inn 21 1,910 18 2 323 14 25 6,791 3 Crowne Plaza Resort Holiday Inn 290 47,741 35 Holiday Inn 79 18,359 43 79 28,051 38 Hotel Indigo 6 740 11 Holiday Inn Club 26 7,601 0 Holiday Inn 234 28,578 58 Holiday Inn 34 7,583 35 Vacations Express Express Holiday Inn 77 24,051 44 Staybridge Holiday Inn Holiday Inn 226 24,185 131 1 88 0 14 2,953 5 Holiday Inn 75 18,477 95 Suites Resort Resort Express Candlewood Staybridge Staybridge 362 34,192 108 7 1,000 5 3 425 4 Holiday Inn 6 1,820 6 Suites Suites Suites Resort Other 84 21,797 11 Other 1 141 0 Other 6 4,456 0 Other 6 2,472 1 Total 3,925 487,993 945 Total 677 110,069 137 Total 280 76,051 149 Total 292 93,022 239 GLOBAL NUMBERS TOTAL TOTAL Open Hotels Pipeline Open Hotels Pipeline WORLDWIDE DEVELOPMENT Hotels Rooms Hotels Hotels Rooms Hotels PIPELINE InterContinental 187 63,650 62 Holiday Inn Express 2,497 247,009 676 Kimpton Hotels 5,174 1,470 61
    [Show full text]
  • Project Name City State Fairfield Inn & Suites Marion AR El Tovar Hotel
    Project Name City State Fairfield Inn & Suites Marion AR El Tovar Hotel Grand Canyon National Park AZ Hyatt Regency Scottsdale AZ Oasis at Death Valley Death Valley National Park CA Springhill Suites Windsor Locks CT Mayflower Hotel Washington DC DC Courtyard by Marriott Buena Vista FL Opal Sands Resort Clearwater FL Tapestry Collection Daytona Beach FL Gullwing Beach Resort Ft. Myers Beach FL Amara Cay Resort Islamorada FL Hampton Inn Jacksonville FL Hilton Garden Inn Jacksonville FL Hampton Inn Kendall FL Courtyard by Marriott Key Largo FL Holiday Inn Express Largo FL Bellasera Resort Naples FL Park Shore Resort Naples FL Port of the Isles Naples FL Homewood Suites Ocala FL Hilton Garden Inn Orange Park FL Hilton Garden Inn Orlando FL Lido Beach Resort Sarasota FL Longboat Key Resort Sarasota FL Springhill Suites Tallahassee FL Residence Inn Treasure Isle FL Holiday Inn Express Augusta GA Chicago O’Hare International Airport Chicago IL DoubleTree Schaumburg IL EVEN Hotels Tinley Park IL Double Tree Wood Dale IL Edward Rose Carmel IN Home2 Suites Carmel IN Bethlehem Woods Fort Wayne IN Canterbury Nursing and Rehab Center Fort Wayne IN Hampton Inn LaPorte IN Holiday Inn Express Marion IN Home2 Suites Richmond IN Hampton Inn Shelbyville IN Gillespie Conference Center South Bend IN The Inn at Saint Mary’s South Bend IN ALOFT South Bend IN Hilton Garden Inn South Bend IN Home2 Suites Whitestown IN Wingate Blueash KY Hampton Inn Danville KY Quality Inn Elizabethtown KY Homewood Suites Florence KY LaQuinta Florence KY Home2 Suites Georgetown
    [Show full text]
  • IHG® Celebrates Seventh Straight Year As a Best Place to Work for LGBTQ Equality
    2/10/2021 IHG® Celebrates Seventh Straight Year as a Best Place to Work for LGBTQ Equality SEARCH... INDUSTRY UPDATE PRESS RELEASE 29 January 2021 IHG® Celebrates Seventh Straight Year as a Best Place to Work for LGBTQ Equality Company Scores Top Marks Again on the Human Rights Campaign Foundation’s Annual Corporate Equality Index 3 min share this article Photo: IHG IHG® Hotels and Resorts, one of the world's leading hotel companies, has earned a 100 percent score on the Human Rights Campaign Foundation's Corporate Equality Index (CEI) and been recognized as a Best Place to Work for LGBTQ Equality for the seventh year in a row. The results of the 2021 CEI showcase how 1,142 U.S.-based companies are not only promoting LGBTQ-friendly workplace policies in the U.S., but also for the 57% of CEI-rated companies with global operations who are helping advance the cause of LGBTQ inclusion in workplaces abroad. The CEI rates companies on detailed criteria falling under four central pillars: non-discrimination policies across business entities; equitable benets for LGBTQ workers and their families; supporting an inclusive culture; and, corporate social responsibility. WE USE COOKIES TO ENSURE YOU GET THE BEST Advertisements EXPERIENCE ON OUR WEBSITE × https://www.hospitalitynet.org/news/4102761.html 1/4 2/10/2021 IHG® Celebrates Seventh Straight Year as a Best Place to Work for LGBTQ Equality Elie Maalouf, Chief ExecutiveSEARCH... Ocer, Americas, IHG, said: "While the past 12 months have presented the hospitality industry with uncertainty and extraordinary challenges, IHG remains steadfast in its commitment to inclusivity and promoting a welcoming environment where all colleagues feel seen, heard and respected.
    [Show full text]
  • 2018 Hotel Brand Reputation Rankings: USA & Canada
    REPORT 2018 Hotel Brand Reputation Rankings: USA & Canada October 2018 INDEX Introduction 4 Methodology 6 The Importance of Brand Reputation 7 Key Data Points: All Chain Scales 8 Key Findings 9 Summary of Top Performers 10 ECONOMY BRANDS Overview 13 Top 25 Branded Economy Hotels 14 Economy Brand Ranking 15 Economy Brand Ranking by Improvement 16 Economy Brand Ranking by Service 17 Economy Brand Ranking by Value 18 Economy Brand Ranking by Rooms 19 Economy Brand Ranking by Cleanliness 20 Review Sources: Economy Brands 21 Country Indexes: Economy Brands 22 Response Rates: Economy Brands 22 Semantic Mentions: Economy Brands 23 MIDSCALE BRANDS Overview 24 Top 25 Branded Midscale Hotels 25 Midscale Brand Ranking 26 Midscale Brand Ranking by Improvement 27 Midscale Brand Ranking by Service 28 Midscale Brand Ranking by Value 29 Midscale Brand Ranking by Rooms 30 Midscale Brand Ranking by Cleanliness 31 Review Sources: Midscale Brands 32 Country Indexes: Midscale Brands 33 Response Rates: Midscale Brands 33 Semantic Mentions: Midscale Brands 34 UPPER MIDSCALE BRANDS Overview 35 Top 25 Branded Upper Midscale Hotels 36 Upper Midscale Brand Ranking 37 Upper Midscale Brand Ranking by Improvement 38 Upper Midscale Brand Ranking by Service 39 Upper Midscale Brand Ranking by Value 40 Upper Midscale Brand Ranking by Rooms 41 Upper Midscale Brand Ranking by Cleanliness 42 Review Sources: Upper Midscale Brands 43 Country Indexes: Upper Midscale Brands 44 Response Rates: Upper Midscale Brands 44 Semantic Mentions: Upper Midscale Brands 45 Index www.reviewpro.com
    [Show full text]
  • Member-Benefit-Broch
    TRAVEL & VEHICLE SERVICES PRODUCTS Save up to 25% on Avis car rental rates. Receive expertise and guidance with the Save $15 on a $50 annual fee or $25 on Call 1-800-331-1212 or visit selection of health insurance plans from a $100 Rewards fee. Get one additional avis.com/mdfb for more information. BDG. Call 1-800-741-4234 or visit month and a second membership card BenefitDesignGroup.com free. Call 1-800-248-9012 or visit Save up to 25% on Budget car rental rates. mdfarmbureau.com/products Call 1-800-527-0700 or visit Receive a $50 enrollment bonus, www.budget.com/fb 5% cash back and competitive rates Save an average of $2,000 on for more information. on your electric bill. upfront cost of hearing aids. Call 1-877-580-3915 for more Call 877-344-7744 or visit Save up to 20% on over 5,000 information. ChoiceHearingAids.com/md-farm-bureau Choice brand hotels. Call 800-258-2847. Receive a full-range of Save $5 on an annual Ascend Hotels - Cambria Suites - Comfort Inn & Suites - financial services subscription to The Delmarva Sleep Inn - Quality - Clarion - MainStay Suites - Suburban and apply for a Farm Bureau credit card with no annual Extended Stay - Econo Lodge - Rodeway Inn Farmer newspaper. Visit fee. Receive membership dues reimbursement if spend americanfarm.com see the publications. threshold is met. Save up to 15% on Hertz rental rates. hertz.com/rentacar/reservation Save 30 cents per gallon on Save up to 75% on prescription drugs at heating oil, kerosene, gasoline over 68,000 pharmacies.
    [Show full text]
  • Supplementary Information 30 September 2020
    Hotel Indigo Venice - Sant'Elena, Italy Supplementary information 30 September 2020 © 2020 All Rights Reserved 1 Index • RevPAR – 30 September 2020 • 2020 current trading – RevPAR, ADR & Occupancy • Hotel & room count – at 30 September 2020 • Pipeline – at 30 September 2020 • Room count & pipeline growth drivers © 2020 All Rights Reserved 2 Explanatory notes – RevPAR & Pipeline RevPAR, occupancy and ADR are on a comparable basis, based on comparability as at 30 September 2020 and hotels that have traded in all months in both the current and prior year. The principal exclusions in deriving these measures are new openings, properties under major refurbishment and removals. These measures include the adverse impact of hotels temporarily closed as a result of Covid-19. All RevPAR and ADR data is quoted at US dollar constant exchange rates. IHG's pipeline comprises hotels in planning and under construction but not yet opened; a contract for these has been signed and the appropriate fees paid. © 2020 All Rights Reserved 3 Comparable RevPAR – 3 months to 30 September 2020 Fee business and owned, leased & managed leases Fee Business Owned, Leased & Managed Leases Constant US$ Hotels RevPAR ADR Occ % Hotels RevPAR ADR Occ % 2020 Growth 2020 Growth 2020 %Pts 2020 Growth 2020 Growth 2020 %Pts InterContinental 44 28.07 (81.8%) 160.54 (23.3%) 17.5% (56.4) Kimpton 52 39.60 (79.5%) 173.82 (26.1%) 22.8% (59.5) Crowne Plaza 136 24.49 (72.4%) 95.47 (26.0%) 25.7% (43.2) Hotel Indigo 55 51.52 (58.2%) 124.44 (24.5%) 41.4% (33.4) EVEN Hotels 7 19.10 (85.5%)
    [Show full text]
  • T'd$Rë"Ui'o'hë3
    t'd$rË"ui'o'HË3 filûV 1 I 2019 Project Overview CITY OF ()ÂK CREEK rîOtll"4 ti¡! lf r¿ {lri \ih- The following business plan centers on the development of an avid Hotel by IHG (Intercontinental Hotel Group), featuring 95 guest rooms units, which is IHG's latest franchise hotel offering in the midscale hotel market. The cutting-edge facility will feature modern guest rooms, and social connectivity including an open, and large lobby area where guests can conduct business and work, socialize, and eat breakfast. The hotel will also feature a workout room/gym for exercise. It is expected that the avid Hotel by IHG will employ the equivalent of approximately 25 full-time employees, and the hotel will be open 24 hours, 365 days per year. The avid Hotel is under development by John Schlueter (Frontline Commercial Real Estate), the landowner of the property, Bruce Kinseth of Kinseth Hospitality Companies (KHC), an Iowa based hotel development and hospitality management company, and Kraig Sadownikow of American Construction Services based in West Bend, Wisconsin. The avid Hotel by IHG is to be built immediately to the south of the Steinhafel's Superstore - Furniture Store, located at the northeast quadrant of the interchange of Interst ate 94 and Ryan Road, in Oak Creek, Wisconsin (the address of the subject hotel property is listed as 9315 South 13ú Street, Oak Creek, Wisconsin). V/ithin Oak Creek there are a number of new commercial and real estate developments that are bringing more employment to the area including the 2.5 million square foot Amazon fulfillment center located at Ryan Road and 13th Street, about %mile from the proposed avid Hotel.
    [Show full text]
  • Supplementary Information 31 March 2020
    Supplementary Information 31 March 2020 Proprietary and confidential – further reproduction or distribution is prohibited​ © 2020 All Rights Reserved 1 Index • RevPAR – 31 March 2020 • 2020 Current Trading – RevPAR, ADR & Occupancy • Hotel & Room Count – at 31 March 2020 • Pipeline – at 31 March 2020 • Room Count & Pipeline Growth Drivers © 2020 All Rights Reserved 2 Explanatory Notes – RevPAR & Pipeline We have disclosed fee business (franchised & managed) and owned, leased & managed lease RevPAR, occupancy and ADR on a comparable basis, based on comparability as at 31 March 2020. Fee business comparable RevPAR, occupancy and ADR reflects performance this year compared to the same period last year for hotels that have traded in both years. Owned, leased & managed lease comparable RevPAR, occupancy and ADR reflects performance this year compared to the same period last year for owned, leased & managed leased hotels that have traded in both years. This excludes new builds, brand changes, properties closed for major refurbishment and completed disposals. All RevPAR and ADR data is quoted at a constant US dollar conversion rate to avoid distortions created by the fluctuations in the year on year exchange rate. IHG's pipeline comprises hotels in planning and under construction but not yet opened; a contract for these has been signed and the appropriate fees paid. © 2020 All Rights Reserved 3 Comparable RevPAR – 3 Months to 31 March 2020 Fee Business and Owned, Leased & Managed Leases Fee Business Owned, Leased & Managed Leases Constant US$
    [Show full text]
  • 2017Abc Premier Hotel Program
    2017 ABC PREMIER HOTEL PROGRAMTM Including: 2017 Participating Hotel Chains | Premier Privileges - Corporate Luxury Program Block Space Program | Loyalty Guide Swissôtel The Stamford The Plaza, New York Singapore Feel Welcome From the elegance of to the legendary opulence of New York’s The Plaza to the magnificent, Swissôtel The Stamford in Singapore, our iconic properties provide unparalleled luxury and superlative service in some of the world’s most celebrated destinations. For reservations, please book your ABC rate code. GDS chain code FW For more information, please visit www.AccorHotels.com Welcome TO THE 2017 ABC PREMIER HOTEL PROGRAM We are pleased to present the 2017 ABC Premier Hotel Program. Our unique program already is the broadest in the industry, but this year it is bigger than ever. Our global hotel network covers 8,800 cities in 163 countries, including 381 participating hotel chains and thousands of independent properties. ABC’s Premier Hotel Program offers more than just volume. Our hotel team has structured programs that equip you to provide value to your clients. More than half of the participating hotels are in our Better Than BAR program, providing a discount off the best available rate when you book using the ABC rate code. Premier Privileges, our corporate luxury program, connects you with over 520 participating 4- and 5-star properties offering high-touch services and amenities to meet the needs of your most demanding corporate and VIP travelers. The Premier Block Space program includes contracted inventory in 173 major business markets, setting aside rooms so you can book them for your clients in sold-out situations.
    [Show full text]
  • Kalibri Labs/CBRE Chains Scales (Price Tiers) - United States
    Kalibri Labs/CBRE Chains Scales (Price Tiers) - United States Luxury (Upper-Priced) Hard Rock Four Points Clarion Best Western Budget Host 21C Museum Hotels Hilton Grand America Cobblestone Hotels Cabot LodgeClarion Budget Suites of America AKA Hilton Grand Vacations Great Wolf Lodge Comfort Inn Canadas Best Value Inn Budgetel Andaz Hotel Indigo Heartland Inn Comfort Suites Candlewood Suites Country Hearth Inn Concorde Hyatt Hesperia Country Inn & Suites Citrus Days Inn Conrad Hyatt Centric Hilton Garden Inn Diamond Resorts Clarion Suites Downtowner Inn Fairmont Hyatt Regency Homewood Suites Dolce ClubHouse Econo Lodge Four Seasons Joie De Vivre Hotel Monterey Group Doubletree Club Crossings by GrandStay Econo Lodge and Suites Grand Hyatt Kimpton Hyatt House Drury Inn Crystal Inn Extended Stay America InterContinental Le Meridien Hyatt Place Drury Inn & Suites Executive Hotels E-Z 8 Jurys Luxe Worldwide Iberostar Hotels & Resorts Drury Plaza Hotel Extend a Suites Family Inn JW Marriott Marriott James Hotels Drury Suites Fairbridge Inns Good Nite Inn Loews Marriott Conference Center Larkspur Landing Elba Fiesta Inn Green Tree Inn Luxury Collection Millennium Marriott Vacation Rentals Eurobuilding Hotels Future Inns GuestHouse Inn Mandarin Oriental New Otani Miyako Fairfield Inn GrandStay Residential Suites Haven Hotels ME Omni Monte Hampton Inn Greystone Hotels Home-Towne Suites Noble House Hotels & Resorts Pan Pacific Monte Carlo Inns Hampton Inn Suites Hawthorn Suites by Wyndham Howard Johnson Park Hyatt Red Carnation Morgans Hotel Group
    [Show full text]
  • Enlarge Image
    $162.2 BILLIONU.S. Hotel Bookings in 20181 EXAMPLES OF HOTEL BRANDS HOTEL COMPANIES’ COMMENTARY ON OTAS 67% Like any travel agency, OTAs are valuable [in] that they can deliver share of hotels booked infrequent travelers during need times or to hotels and markets • Bulgari • Autograph • Hilton Hotels & • Hilton Garden Inn • InterContinental • Holiday Inn Express • Ascend Hotel where we are less well known. Marriott uses OTAs less often than through hotel websites, • The Ritz-Carlton Collection Hotels Resorts • Hampton by Hilton Hotels & Resorts Hotels Collection • The Ritz-Carlton • Tribute Portfolio • Waldorf Astoria • Tru by Hilton • Kimpton Hotels & • Holiday Inn Resort • Cambria Hotels & the typical industry hotel company. IN FACT IN 2016, OTA HAS Reserve • Design Hotels Hotels & Resorts Restaurants • Holiday Inn Club Suites METASEARCH “ • Homewood Suites ACCOUNTED FOR APPROXIMATELY 10% OF MARRIOTT AND central reservation • St. Regis • Gaylord Hotels • Conrad Hotels & by Hilton • HUALUXE Hotels Vacations • Comfort Inn Resorts and Resorts • W • Courtyard • Home2 Suites by • Staybridge Suites • Comfort Suites STARWOOD COMBINED ROOM NIGHTS SOLD WORLDWIDE. • Canopy by Hilton, • Crowne Plaza Hotels systems, or directly • EDITION • Four Points by Hilton • Candlewood Suites • Sleep Inn • Curio — A Collection & Resorts Stephanie Linnartz, EVP & Global Chief Commercial Officer, Marriott International (03.21.2017) • JW Marriott Sheraton • Hilton Grand • Regent • Vacation Rentals by 1 by Hilton Vacations • Hotel Indigo Choice Hotels • The Luxury • SpringHill Suites • Voco through the property • Tapestry Collection • EVEN Hotels Collection • Fairfield Inn & Suites • LXR Hotels & • Avid • Quality by Hilton Resorts • Holiday Inn Hotels • Marriott Hotels • Residence Inn • Clarion (~$108.7 billion) • DoubleTree by Hilton • Motto • Westin • TownePlace Suites • MainStay Suites THE OTAS ARE PLUS OR MINUS 10% OF OUR BUSINESS.
    [Show full text]
  • King of the Hotel Franchisors
    BY ANDREW LATTO quality investor InterContinental Hotels King of the hotel franchisors Hotel franchisors offer investors an attractive combination of quality and growth. Andrew Latto, CFA, looks at InterContinental Hotels as an investment opportunity. Listed hotel operators are activity rather than franchisee Accor) have seen their market share increasingly becoming franchisors. profitability. increase from 19% in 2012 to 24.9% This offers a capital-light and low- InterContinental Hotels in 2018. They also account for 58% risk business model. The sector (LON:IHG) is a leading franchisor, of the global hotel-development benefits from growing business with brands that include pipeline. and leisure travel, with demand InterContinental, Crowne Plaza from emerging markets a key and Holiday Inn. US-listed hotel Quality investors driver. chains have also gone down the Quality-focused investors like In the movie The Founder, Ray franchising route. to invest in franchisors. The Kroc told the McDonald brothers: Marriot International Inc Fundsmith Equity Fund owns a 5.6% "There should be McDonald's (NASDAQ:MAR) generated the stake in InterContinental Hotels everywhere ...franchise, franchise, majority of its revenue from Group. Cedar Rock is the largest franchise." The hotel industry franchise operations in 2018. Three shareholder with an 8.2% stake. has taken this message to heart. quarters of Hilton Inc's (NYSE:HLT) Cedar Rock says that it seeks to Franchising frees up capital and total fee income is franchise driven. invest in quoted companies that it delivers a reliable income stream. The top five hotel chains (IHG, believes capable of compounding in Revenue is driven by franchisee Wyndham, Hilton, Marriott and value indefinitely.
    [Show full text]