Hotel worldwide supply: global growth of hotel chains remains stable [2/3]

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The Chinese economy brand, which is now part of the fold at BTG, the leading Chinese tourism group owned by the municipality of Beijing, plans to benefit from this strengthening of the structure to continue its expansion on the national territory. After a relative pause, at the bidding of its CEO David Sun, two years ago the presentation of the new concept Home Inns was followed by an intensive launch policy. Rivalry is now evident with the two groups that have been competing since the beginning: Jin Jiang International, which is the property of the City of Shanghai and operates 7 Days Inn, and the Hanting brand generated by Huazhu, or China Lodging Group founded less than ten years ago by Ji Qi, founder and chairman of Home Inns.

Third on the podium, with a similar umbrella brand policy, Best Western manages to slip in between the two Chinese economy brands, nonetheless it has lost ground with respect to last year. As a cooperative membership association that is increasingly demanding regarding the commitment of its members, Best Western began a new segmentation policy with a restricted launch of the generational brands Vib and Glö. But the trend is now towards rigor in terms of respecting standards, particularly regarding its upscale division with Best Western Premier and Best Western Plus. Thus, properties that are unable -or do not wish- to pursue this quality upgrade have no choice but to leave the group. Globally, and especially in the United States, this has caused Best Western’s supply to shrink by nearly -6%, and the chain to drop below 300,000 rooms worldwide.

Ibis – the mega brand covering both the Budget and Styles brands – remains comfortably in 5th place with a steady...