Global Branding Kirk Kinsell President, Europe, Middle East & Africa Inter. Continental Hotels Group
86% Franchised 14% Owned & Managed
Consumers don’t buy “price tiers”, they make choices based on stay occasions, which our portfolio is designed to serve A solid brand positioning requires a fact-based
7 Distinct Brands Focused on Specific Consumer Categories & Affinities Luxury full service Upscale extended stay Upscale branded boutique In the know The place to meet Get comfortabl e Peace Mainstrea m with F&B Mainstrea m without F&B Mainstrea m extended stay Look again Stay Smart Consider us home No brand blur – No brand confusion
IHG delivers owner value through a consumer-relevant delivery system A great brand must be backed by a compelling owner offer
Consumer Successful Enterprise Business Partners Consumer value proposition Standard operating Culture procedure and values s Franchisee Risk Training selection management Fees and charges Real Estate Financing Franchise Building Contract Interior design and Market & location strategy developme nt Purchasing/ Human supply resources chain Franchisor Fully Documented Business System design Preopening support IT systems Economics Cap. Ex and maintenanc e Brand, sales, and marketing Business Support Franchisee
Bargain Shopper Hand holder Veteran cheerlead er Top needs for all owners: Institutional investor Brand reputation Independe Sales & Marketing support nt Enforcement of quality standards stalwart
Benchmarking best-in-class franchisors revealed three distinct operating models used to drive success: Plug & Play Create the cult Club Pride Empower the owner
• One of the world’s most recognised hotel brands with a global reputation for service, comfort and value • Built on more than 50 years experience • Modern, comfortable facilities and amenities
Holiday Inn in EMEA? Source: IHG 12 months to 31 December 2006 Total EMEA US$ Strong Performance and results!
Bloomsbury Swindon Bloomsbury Holiday Inn exteriors and guestroom interiors vary considerably between hotels. Swindon
Bougival Marseilles This affects the quality and consistency of the product and service across the Region… Marseilles
Hemel Gatwick Express by Holiday Inn offers more consistency due to new builds, with fresher interior designs. Gatwick Hemel
Canterbury Stevenage Canterbury Whilst interior design standards are similar, colour palettes however do vary. . Canterbury Stevenage
Despite our successes, we know there are some core issues with the Holiday Inn brand Brand image Appeal to frequent business travellers Brand awareness and consideration Source: Landis NA/UK/China Study; Interbrand Analysis
Our brand vision Return Holiday Inn brand family to share growth and maintain our leadership position in the “Mainstream” market Create a power brand Become consumer’s first choice as a mainstream hotel Deliver an ROI-savvy investment for owners
Improved Physical Standards & Guest Experience Bold, differentiated look & feel & functionality Hotel Exterior Public Areas Reception Bar Restaurant Guestroom Bathroom Meeting Rooms New Holiday Inn Model Flexible Leisure Environmental Considerations
Key Development Drivers – New Holiday Inn Model Reduced costs From Improved guest experience To Attractive investor returns
Updating an existing franchised service brand is a complex business… Core Brand Proposition Physical Standards Service Standards Communications • Building Footprint • Key Touch points • Marketing Mix • Furniture • Hiring Practices • Communications strategy • Decoration • Training • Field Execution • Measurement/Incentive
Franchise Relations + (Franchisor) (Franchise Advisory Council) = Succe ss Great Franchise Relations
How do we get there? Holiday Inn as the world’s most preferred hotel brand Phase 3 Develop and launch subbrands to broaden the brand footprint Create the hotel brand of the future to lead consumers and competitors Brand refresh and deliver on basics to meet the consumer expectations and competitor benchmarking Phase 2 Phase 1
Jin Jiang Star Grand Hyatt Park Lane
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