News By Tag
News By Location
ZRS Consulting Reports on the Branding Decision for Independent European Hotels
“As stakeholders explore new ways to drive performance growth in their hotel assets, a full understanding and careful analysis of a range of brand options is critical,” says Zachary Schwartz, Principal of ZRS Consulting.
As many brands have divested their real estate and become pure management and franchise companies, they are under increasing pressure to continue growing through other means. Brand proliferation through new channels has spawned brand affiliation groups, linked to the industry’s largest and most recognised players such as Marriott and Choice Hotels. These brands have now joined the ranks of the more traditional marketing representation firms, many of which have been around for decades. “As development managers at the brands look for new inventory and fee streams, almost every quality independent hotel has become a target,” continues Mr. Schwartz.
Simply put, these brands are packaging a mix of reservations support, systems and standards. These services have the ability to enhance and even transform the fate of a hotel operation. However, decisions must be carefully considered, as associated costs can potentially outweigh the upside benefit. Once engaged with a brand, the process of then de-branding can be both damaging and expensive. “Decisions should not be taken in the context of a single offering, instead stakeholders should engage in a dialogue with several groups and then run a financial model to project the net upside for each offer before progressing,”
# # #
ZRS Consulting offers assistance in hotel brand-related decisions and ensures a comprehensive analysis of market alternatives. ZRS Consulting also offers hotel feasibility, investments and strategy services. Strategically based in Dublin, Ireland, but global in reach, this boutique hotel consultancy ensures every engagement is led and executed by the Principal. This guarantees a high level of personal service and senior industry expertise based on 75 completed assignments and involvement in 200+ European and North American hospitality projects.