Global hoteliers target powerhouse Chinese travelers
By Cao Qian |
April 12, 2012, Thursday
|
Print Edition
Print Edition
UK-BASED InterContinental Hotels Group and Paris-based Accor SA are leading a trend in international hotel management to capture the surging number of Chinese who have caught the travel bug.
Global hospitality companies that came to the mainland decades ago to serve mainly foreign tourists are now switching gears as China tourists become a powerhouse in the industry.
"We've seen this trend in the hotel industry, and more international players are going to follow suit," said Lily Ng, executive vice president of Jones Lang LaSalle Hotels. "No one should expect success in China without truly understanding the needs of local people."
Chinese mainlanders made more than 2.6 billion domestic trips last year, according to the National Tourism Administration, and that figure may rise to 3.3 billion by 2015.
On March 19, InterContinental, the world's largest hotel management company by property numbers, unveiled plans for its first hotel chain tailor-made for the Chinese traveler.
Important clients
Just a few weeks prior to that, rival Accor SA announced that it has completed recasting its five-star Grand Mercure hotel near the city's downtown railway station to better reflect Chinese tastes and culture.
"These initiatives are certainly evidence that Chinese consumers are gaining more attention from international hospitality players," said Dai Bin, president of China Tourism Academy. "Players seeking expansion do have to cater to the ever-changing needs of local customers who are embracing travel more nowadays."
InterContinental is introducing its new Hualuxe Hotels & Resorts brand. The first of these Chinese-tailored hotels will open as early as 2013, though no sites have yet been disclosed.
InterContinental plans to open hotels under the new brand in more than 100 Chinese cities in the next 15 to 20 years. The focus will be on smaller cities outside the mega-gateways of Shanghai, Beijing, Shenzhen and Guangzhou.
The new brand hotels will focus on Chinese traditions in decor, menus and amenities, while maintaining international standards of service. The offerings will include a late-night noodle bar, traditional tea service and specialty massage.
InterContinental, which already manages 160 hotels in 60 Chinese cities, said it has signed over 20 management contracts with developers of new hotels across the country.
"We are very proud to be launching Hualuxe Hotels & Resorts - a genuine first for the industry and a unique brand developed by our Chinese team that we know will resonate with the very important, fast-growing, Chinese consumer base," Richard Solomons, CEO of InterContinental, said at the launch ceremony last month in Beijing.
He said the new brand will be launched first in China and later expanded abroad to meet the growing number of Chinese who travel overseas.
Accor is taking a slightly different approach by combining European and Chinese elements under one brand. Its Grand Mercure makeover in Shanghai is the first step in the new strategy.
The company, which operates 121 hotels in 47 Chinese cities, said it will eventually make over all its 20 Grand Mercure brand hotels in China. The hotels will feature more Chinese characteristics, such as pinyin nametags for staff, traditional dress for frontline staff, and services such as tai chi sessions and a 24-hour congee menu.
"China is a strategic country for the group and deserves very specific treatment," said Gregoire Champetier, chief marketing officer of Accor. "Our priority is to make our brands fit as much as we can to the different cultures in which we operate."
Tailored services
Jones Lang LaSalle Hotel's Ng said the new approaches to attracting Chinese travelers will be interesting to watch as they evolve.
"It's still a little bit early to say if these customized brands will be popular with both property owners and guests," she said.
The domestic market is not the only backdrop in the battle for Chinese tourist dollars. Hotel management companies are also eyeing the opportunities for tailored services in overseas markets.
Chinese mainlanders made 70.25 million trips overseas last year, said the tourism administration, and that figure may rise to 83.8 million by 2015.
"More Chinese people are traveling, not only within the country, but to global destinations as well, making them an increasingly important clientele for global hotel management companies," China Tourism Academy's Dai noted.
"People are usually inclined to choose a brand that they are familiar and comfortable withand that's what any company needs to tap for future business on a broader scale," he added.
Global hospitality companies that came to the mainland decades ago to serve mainly foreign tourists are now switching gears as China tourists become a powerhouse in the industry.
"We've seen this trend in the hotel industry, and more international players are going to follow suit," said Lily Ng, executive vice president of Jones Lang LaSalle Hotels. "No one should expect success in China without truly understanding the needs of local people."
Chinese mainlanders made more than 2.6 billion domestic trips last year, according to the National Tourism Administration, and that figure may rise to 3.3 billion by 2015.
On March 19, InterContinental, the world's largest hotel management company by property numbers, unveiled plans for its first hotel chain tailor-made for the Chinese traveler.
Important clients
Just a few weeks prior to that, rival Accor SA announced that it has completed recasting its five-star Grand Mercure hotel near the city's downtown railway station to better reflect Chinese tastes and culture.
"These initiatives are certainly evidence that Chinese consumers are gaining more attention from international hospitality players," said Dai Bin, president of China Tourism Academy. "Players seeking expansion do have to cater to the ever-changing needs of local customers who are embracing travel more nowadays."
InterContinental is introducing its new Hualuxe Hotels & Resorts brand. The first of these Chinese-tailored hotels will open as early as 2013, though no sites have yet been disclosed.
InterContinental plans to open hotels under the new brand in more than 100 Chinese cities in the next 15 to 20 years. The focus will be on smaller cities outside the mega-gateways of Shanghai, Beijing, Shenzhen and Guangzhou.
The new brand hotels will focus on Chinese traditions in decor, menus and amenities, while maintaining international standards of service. The offerings will include a late-night noodle bar, traditional tea service and specialty massage.
InterContinental, which already manages 160 hotels in 60 Chinese cities, said it has signed over 20 management contracts with developers of new hotels across the country.
"We are very proud to be launching Hualuxe Hotels & Resorts - a genuine first for the industry and a unique brand developed by our Chinese team that we know will resonate with the very important, fast-growing, Chinese consumer base," Richard Solomons, CEO of InterContinental, said at the launch ceremony last month in Beijing.
He said the new brand will be launched first in China and later expanded abroad to meet the growing number of Chinese who travel overseas.
Accor is taking a slightly different approach by combining European and Chinese elements under one brand. Its Grand Mercure makeover in Shanghai is the first step in the new strategy.
The company, which operates 121 hotels in 47 Chinese cities, said it will eventually make over all its 20 Grand Mercure brand hotels in China. The hotels will feature more Chinese characteristics, such as pinyin nametags for staff, traditional dress for frontline staff, and services such as tai chi sessions and a 24-hour congee menu.
"China is a strategic country for the group and deserves very specific treatment," said Gregoire Champetier, chief marketing officer of Accor. "Our priority is to make our brands fit as much as we can to the different cultures in which we operate."
Tailored services
Jones Lang LaSalle Hotel's Ng said the new approaches to attracting Chinese travelers will be interesting to watch as they evolve.
"It's still a little bit early to say if these customized brands will be popular with both property owners and guests," she said.
The domestic market is not the only backdrop in the battle for Chinese tourist dollars. Hotel management companies are also eyeing the opportunities for tailored services in overseas markets.
Chinese mainlanders made 70.25 million trips overseas last year, said the tourism administration, and that figure may rise to 83.8 million by 2015.
"More Chinese people are traveling, not only within the country, but to global destinations as well, making them an increasingly important clientele for global hotel management companies," China Tourism Academy's Dai noted.
"People are usually inclined to choose a brand that they are familiar and comfortable withand that's what any company needs to tap for future business on a broader scale," he added.
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