Operations

Luxury Hotel Brands On a Major Development Push

Posted on March 21, 2007 by LCT Staff - Also by this author - About the author

NEW YORK CITY — As if it isn't already hard enough to tell some hotel chains apart, hotel companies have launched 24 brands in the past two years, more than any similar period since the 1980s. All but one of the new brands are in the luxury and upscale segments, where demand and rate increases have been highest in the past few years, according to PricewaterhouseCoopers. In luxury hotels alone, 11 brands have been launched, including the Waldorf-Astoria Collection by Hilton Hotels Corp., and LXR by an affiliate of Blackstone Group.

The hotel industry has been on a tear for nearly four years as travel has increased while new hotel construction has been constrained, first by a booming housing market and then by high construction and land costs. "This time the single biggest driver is to appeal to Gen Xers and 'Millennials,'" says Bjorn Hanson, a lodging consultant with PricewaterhouseCoopers., referring to the post-Baby Boomer generations who make up an increasingly significant portion of travelers and demand different amenities and experiences than Baby Boomers.

In 1980, there were 81 different hotel brands, while today there are about 210. About 56% of all hotel reservations are now made on the Internet. As a result, where a brand launch used to require spending tens of millions of dollars on marketing to become recognized and valuable, the scale of the marketing required now can be smaller, Mr. Hanson says.

Source: Wall Street Journal

View comments or post a comment on this story. (0 Comments)

More News

What Judges Look For In OOY Award Entries

Read up on what some contenders have already submitted in their running to become an Operator of the Year.

Atlanta Operator Supports Strength In Numbers

Chad Casey knows industry involvement is a must when discovering new affiliates.

Chauffeur Retention Made Easy: Show You Care

WEB-X-CLUSIVE: The key to happy employees is understanding what they mean to you and your business.

California Operations Combine To Span Regions

Classique Limousines Worldwide in Orange County buys Showcase Limousines based in the Inland Empire.

Renault Purchases Tech Startup Karhoo

The taxi comparison app has found new life with the French carmaker.

See More News

Facebook Comments ()

Comments (0)

Post a Comment

Submit

Blogs

See More

See More

See More

See More

LCT Store

LCT Magazine - January 2017 $12.95 THE MONEY ISSUE COVER STORY: * Dashboard Helps Steer Company Finances * *



Connect

Experience the three annual industry events for networking for business, showcasing vehicles and products, and getting the tools for success.

Read About Your Region

What’s Happening Near You?
Click on any state to see the latest industry news and events in that region.

More From The World's Largest Fleet Publisher

Automotive Fleet

The Car and truck fleet and leasing management magazine

Business Fleet

managing 10-50 company vehicles

Fleet Financials

Executive vehicle management

Government Fleet

managing public sector vehicles & equipment

TruckingInfo.com

THE COMMERCIAL TRUCK INDUSTRY’S MOST IN-DEPTH INFORMATION SOURCE

Work Truck Magazine

The number 1 resource for vocational truck fleets

Metro Magazine

Serving the bus and passenger rail industries for more than a century

Schoolbus Fleet

Serving school transportation professionals in the U.S. and Canada

Please sign in or register to .    Close