
Interview with Brice Marguet, Developement Manager France, Intercontinental Hotels Group
As of this September, we’re launching an information campaign for a selection of hotels in the French capital. We’re therefore counting on arousing owners’ interest to join our network. That’s the first step.We’ve almost completed the relaunch of the brand on a worldwide basis, which had an effect on 3,200 hotels. It’s one of the largest rebranding programmes in the industry’s history, which called for a billion-dollar investment from owners. This meant that over a thousand hotels in the world had to leave our network in three years because they could not comply with our new standards, but at the same time, 1,200 new hotels have come on board which completely revitalized our network. In France, the process is almost finished. There is however the specific situation of some Garden Court banners that remain. Of the dozen we have in France, three have completed the work necessary to transform into a Holiday Inn or Holiday Inn Express. The others need to take a decision before the end of the year. We can’t allow ourselves to have a hotel in our network that can’t keep up with the pace.You seem particularly interested in setting up the Hotel Indigo brand in a rather urban zone…We are naturally continuing to develop our trademark brands Holiday Inn, Holiday Inn Express, and Crowne Plaza. IHG is also committed to setting up the InterContinental brand in Marseille and Lyon. However, being that it’s difficult to carry out new construction in an urban zone, we decided to launch the Hotel Indigo brand a few years ago which is a conversion concept targeting hotel owners in the city centres that want to franchise to get a sales boost. In Europe, it’s found in major cities. After London, Glasgow, Liverpool, followed by Berlin, Madrid, or St. Petersburg, our top priority is FranceHow do you describe Hotel Indigo?It’s a brand that can be categorized as a Lifestyle Boutique Hotel, with an emphasis on the design and historical location. Its main qualities are its urban location, right near cultural, touristic, and commercial events. They’re not all copies of each other and each Hotel Indigo keeps its unique personality as long as they stay in line with the brand standards and trademark qualities like the majestic 70cm-high bed, 4 inch flat screen TV, a bathroom equipped with an “experience” spa and walk-in shower, parquet or hard flooring… The contemporary décor uses rather bright colours while leaving artistic freedom to the designer and it stays in line with the neighbourhood it is in.Who are you targeting first?Parisian hoteliers. French law requires a large majority of hotels to take on important work to meet fire and security standards as well as handicap accessibility in addition to new hotel norms. We are targeting owners of independent establishments with at least 40 rooms in the capital’s touristy and commercial neighborhoods that want to take advantage of our technical assistance to bring about this work as well as the sales support from the IHG network. They can therefore simultaneously continue their repositioning and assure commercial development.What quality do you have over other franchises?We have come up with an advantageous “package” for Parisian hoteliers that allows them to take advantage of the group’s logistic support for design and partner-contractors for their construction work. It is clear that the banks look more favorably on financing when an international chain’s banner is flying. Certainly, the most important is the access to the Priority Club fidelity programme that has 60 million members in the world. Today, it’s the most attractive and complete programme. Last year, Prority Club clients accounted for 42% of the group’s revenue.Can you guarantee a certain revenue to hoteliers who join your network? A franchiser cannot legally guaranty a certain amount of business. However, our Parisian hotels’ revenue gives us clear indications. In Paris, IHG’s reservation system brings in 60% of a member hotel’s OR, on average. Sometimes it’s more, depending on its location.What are your targets in Paris?
