Hotel Company to Launch New Franchise for Holiday Inn Express Brand
The Intercontinental Hotels Group is launching a new franchise model for their Holiday Inn Express brand in China that is aimed in increasing the pace of expansion in the competitive medium ranged market. The new model which is tailor fitted to the Chinese market are providing owners with benefits of operating a franchise model that have additional benefits and features coming from the IHG managed models.
Intercontinental Hotels Group has signed their first Franchise Plus agreement with Shanghai Yaqi Business Hotel Co. for a 260 room Holiday Inn Express in Hongqiao area in Shanghai. The company said that the move is an answer to the need of a rapid rise of the middle class in the past years that led to significant demand for mid scale hotels. According to Kenneth Macpherson the CEO of IHG China, that the launch of the Holiday Inn Express brand is an important milestone in their business and they are confident that the new model will be an engine of growth for the company and with its business partners in the coming years.
Holiday Inn Express is the fastest growing mid scale brands having more than 2,400 hotels globally and 620 in the pipeline. Since its opening in China in 2004, Holiday Inn Express quickly became a leader in the mid scale hotel segment in 30 provinces and municipalities. The IHG continues to be a market leader that operates 268 hotels across 100 cities and by outperforming the market and increase in the number of rooms helped in gaining a strong revenue increase with the company.