ContentsINTRODUCTION 1

METHODOLOGY 5

DEFINITION 6

TRENDSANDISSUES 8Whitespace 8Brandsaspoints 10Returntoassetownership 13Softbranding 16

SEGMENTATIONOFBRANDS 19Star-rating 19STRclassifications 19Chainscalesegments 20Types 20Purposeofhotel 21Examplesofspecificcompanysegmentations 21HotelAnalyst’ssegmentation 23Summary 24

BRANDS 29Onestowatch 142

1

IntroductionThepurposeofthisreportistobringclaritytotheEuropeanhotelbrandlandscapeandprovidereaderswithacomprehensivebrandingstructure.

Thereportinvestigatesthedifferentwaysthathotelbrandsaresegmented:

• Star-rating• Chainscales• Purposeofhotel

Using the information provided in the brand profiles in the report, an illustrative brand landscape for theEuropeanhotelbrandssplitbychainscaleasdefinedbythemselvesisprovided.

ThenextsectionprovidesusefulchartsandtablesoftheleadingEuropeanbrandssplitbysegment;growthoftheleadingbrands,brandsintransitionandnewbrandsandconcepts.

Inthefinalsectionofthereport,thereare100brandprofilesoftheindividualleadingEuropeanhotelbrandsplusanadditional20‘OnestoWatch’.

Table1:LeadingEuropeanhotelbrandstobeprofiledinthisreport(2017)

Brand Company STR

RoomsinEuropeEuropeasshareof

wholeportfolio

BestWestern BestWesternHotels&Resorts M 82,000 27%

Ibis AccorHotels M 82,342 58%

PremierInn Whitbread E 69,297 96%

Mercure AccorHotels UM 63,945 66%

Novotel AccorHotels U 44,469 49%

HolidayInn IHG UM 46,024 22%

RadissonBlu CarlsonRezidorHotelGroup UU 45,600e 80%

IbisBudget AccorHotels E 44,916 80%

HiltonHotels&Resorts HiltonWorldwide UU 42,500 21%

ScandicHotels ScandicHotels U 40,750 100%

NHHotels NHHotelGroup U 37,634 89%

Travelodge Travelodge E 37,000 97%

RamadaWorldwide WyndhamHotelGroup M 31,000 26%

B&BHotels B&BHotels E 28,000 96%

Campanile LouvreHotelGroup M 28,000 100%

HolidayInnExpress IHG UM 29,508 34%

Barcelo BarceloHotels&Resorts U/UM 25,000e 66%

Sol MeliaHotelsInternational M 24,500 97%

MarriottHotels MarriottInternational UU 23,872 12%

IbisStyles AccorHotels M 24,039 63%

Melia MeliaHotelsInternational U 20,500e 64%

CrownePlazaHotels&Resorts IHG U 21,633 19%

HotelF1 AccorHotels E 16,534 100%

PremiereClasse LouvreHotelGroup 19,000 100%

4

Table2:Onetowatchbrandstobeprofiledinthisreport(2017)

Brand Company STR RoomsinEuropeEuropeasshareof

wholeportfolio

7DaysInn PlatenoHotelsGroup E -

AscendCollection ChoiceHotelsInternational U 3,585 27%

CanopybyHilton HiltonWorldwide - 112 100%

ClaytonHotels DalataHotelGroup U 4,540 100%

EvenHotels IHG U - -

GLo BestWesternHotels&Resorts - - -

HomeInns BTGHotels - - -

HualuxeHotels&Resorts IHG U - -

HubbyPremierInn Whitbread E Ninehotels 100%

HyattCentricHyattHotelsCorp UU - -

JazintheCity DeutscheHospitality U Twohotels 100%

Jo&Joe AccorHotels 98 100%

KimptonHotels&Restaurants IHG UU 149 1%

MaldronHotels DalataHotelGroup 1,857 100%

MamaShelter AccorHotels - 677 82%

Metropolo JinJiangHotelsGroup - - -

Moxy MarriottInternational UM 1,000 77%

nhow NHHotelsGroup UU Threehotels 100%

Prizotel CarlsonRezidorHotelGroup - 555 100%

QuorvusCollection CarlsonRezidorHotelGroup UU c.400 50%

RadissonRed CarlsonRezidorHotelGroup c.1000 40%

TrubyHilton HiltonWorldwide - - -

Vib BestWesternHotels&Resorts - - -

Zoku Zoku - 1aparthotel -Note:STR–E=economy;M=midscale;UM=uppermidscale;U=upscale;UU=upperupscale;L=luxury

Source:HotelAnalyst

5

MethodologyThere aremore than 120 profiles on the leading European hotel brands including significant others. Thesesignificantothersare‘onestowatch’dueeithertothefacttheyarenewbrandslaunchedbytheglobalplayers,arenewconceptsorarelargebrandsintheirdomesticmarketsandmaypossiblymoveintoEurope.

Avarietyofdifferentsourceswereusedtocollatealistoftheleadinghotelcompaniesandtheirbrands.Theseincludedthelistoftop325hotelchainsprovidedbyHotelsmagazine,OtusOHBDHotelChainsinEurope,MKGConsultingandindividualcompanywebsites.Forthepurposeofthereport,itwasdecidedtofocusuponthosebrandsthathadoperationsinEuropeorthatwereplanningtodevelophotelsinEurope.Thereportlooksattheleading100Europeanhotelbrands.

Brandsandsubbrands:duetothedifficultyinobtainingdataformanybrandsbysub-brandifnecessary,theywillbeprofiledtogether.ForexampleBestWesterndoesnotprovideany informationonBWPlus,Premier,Collection,sotheywillbeprofiledtogether

Profiles:theinformationprovidedintheprofilescomesfrom:

• Companywebsites• Developmentinformation• InvestorRelations–SECfilings,AnnualReports• Facebook• PRdepartments

6

DefinitionWikipediadefines abrandas “…a collectionof images and ideas representing aneconomicproducer;morespecifically,itreferstothedescriptiveverbalattributesandconcretesymbolssuchasaname,logo,slogan,anddesignschemethatconvey theessenceofacompany,productorservice.Thebrand,“branding”andbrandequityhavebecomeincreasinglyimportantcomponentsofcultureandtheeconomy,nowbeingdescribedas‘culturalaccessoriesandpersonalphilosophies’”.

Brandsinthehotelindustrytodayaremorethantheactualhotelitself;theyrepresentalifestylechoiceandcreate a ‘whole new meaning’ system. Hotel brand experts now aim for ‘loyalty beyond reason’ which isassociatedwithinternationalbrandslikeCoke,Nike,AppleandStarbucks.

Inordertoincreaseprofitability,hotelcompaniesneedtoexpandandinordertodothistheyeithersticktoonebrandortheydevelopaportfolioofbrandsinordertocaptureawidermarket.Aone-brandstrategyhastheadvantage of coherence and economies of scale, while multi-brand companies can target specific marketsegmentswithproductstailoredtotheneedsofthatparticularniche.Also,thereareoftenpotentialsynergiesbetweenthebrandsofonehotelgroup.Forexample,oneindividualmaybelongtodifferentmarketsegments,dependingonwhethertheyaretravellingforbusinessorleisure.

Thelevelofadherencetobrandstandardsisanotherimportantstrategicvariable.Thereisaninherenttrade-offbetweenmaintainingverydemanding requirementsandpromotinga looserconceptofbrandaffiliation.Strictstandardswhichrequirethatallhotelsinthechainhaveaconsistentlyrecognisableappearanceandthattheybemanagedaccordingtodetailedoperatingprocedureshavetheadvantageofensuringabrand’sintegrity.Thedownsideisthatsuchrigiditycanhinderabrand’sexpansion,especiallywhenitisaquestionofconvertingexistinghotelsunderfranchiseormanagementcontracts.Oneexampleistheintroductionofloosely-affiliatedbrandssuchasMarriott’sAutographCollection.Also,increasingly,hotelconsumersarerejectingstandardisationandareseekingoutpropertiesthathaveindividualcharacterorreflectlocalculture1.

Factorsthathavebroughtaboutincreasingimportanceofbrand:

• Manyhotelgroupsaredivestingtheirrealestateinterestsandpursuingan‘asset-light’strategyinordertofreeupcapitalforexpansion.Thereforeownershipofbricksandmortarisgivingwaytoownershipofthebranditself,inbothitsphysicalandintangibleaspects:amajorculturalshiftintheindustry.

• Hotel expansion is intensifying competition; most gateway cities are reaching market saturation withleadingbrandssitedclosetooneanother,andtravellersfrequentlyspoiltforchoice.Therearenowclearsigns that hotel groups are beginning to recognise the importance of brandmanagement within theirorganisationalstructure.

• Loyaltyschemes,traditionallythepreferredtoolforwinningandretaininghotelcustomers,arehavingadeclining impact.Many hotel guests now own loyalty cards for all of themajor chains, therefore suchschemesarenolongeradominantfactorintheirchoiceofwheretostay.

• Brand relationships – as owners continue to expectmore frombrands, theywill not sit by idlywhile apropertytheybelieveshouldbeperformingbetterisstruggling.HighprofilecasessuchastheWaikiki

1MintelInternationalGroup,InternationalHotelIndustry,December2007

16

meanbooking.Anditaddschoicewhenredeemingthoseloyaltypoints.Butscaleisallandcollectionsaretheonlywaytopickupthoseindependentownerswhojustwon’tdothedecentthingandflagup.

ForHilton,thenameisapt.Anothercolourtofillinthebiggerpicture.

HAPerspective,issuefour,3rdFebruary2017

TheAlternatives(tobranding)ThegrowthoftheOTAshasmeantthathotelshavebeenpresentedwithanalternateroutetomarket,whereweighingupthecostofbrandingversusthecostofOTAcommissions.Theoperatorshavelookedtostemthetidewithsoftandcollectionbrands,butthereareyetotheroptions,includingaffiliationbrandsandjustplanstayingindependent.

AttheInternationalHotelsInvestmentForuminBerlinin2017,ownersspokeoutabouttheirconcerns.CodyBradshaw,SVPandheadofEuropeanhotels,StarwoodCapitalGroup,said:“Brandsneedtogooverheadlightaswellasasset light.Costsynergiesaresubsidisingmanyofthesedeals,butthere’snotrickledown incostsavingstoowners.MypredictionisthatGoogleisgoingtobearealdisruptorinthisspace.Inthenext20yearssomethinghasgottogive–thebrandfeesarenotthatdifferenttotheOTAfees.”

BradshawechoedearliercommentsfromDesmondTaljaard,managingdirector,hotels,London&Regional,whotoldtheconference:“Whatwouldabrandhavetobeabletodotoputabrandonahotel?Theyneedtodrivebusinessaboveandbeyondwhatthehotelcoulddoitself.TaketheAtlasHotelportfolio,wedoponderwhethertherewasanyneedtobrandthose,sofarweareleaningonthegreenboxratherthanthered,butwhenI’mchargedforthebrand,loyaltyprogramme,booking.comandIget12%backattheendofthat,Ibegintowonder.

“Theeconomicsaregoingtocomeunderlotsofscrutinywhenthecontractscomeupforrenewal.Everytimeabrandhiresanewbrandleaderitaddsnewcostsforme,theyaddbaconatbreakfast,greencarpet,bluecarpet.It’swonderfulforthatpersons’CVandIhopetheydowell,butitaddscostforme.Brandsneedtokeepthecostofvalueaddedinbalance.

“TheOTAsarethefundamentalcrisisinthehotelsectorinthepast20years.YoucomparethearithmeticoftheOTAandthelimitedservicebrand–arewefacingacataclysmicchange?Peopleneedalotalotmoreweaponryiftheyaregoingtowinthewar.”

The brands have tried to respondwith flexible contracts,with Robert Shepherd, chief development officer,Europe,IHG,tellingHotelAnalystthattheconcernsoftheownershadbeennoted:“Theolddaysofa25,30-yearmanagement agreement that you couldn’t get out of, they’re gone. The point now is around aligninginterests.Unlesswealigninterests,thereisnopointina20-yearrelationship.Bystructuring–whetherthereareperformancetests,whetherthere isahurdlefor incentivemanagement,soyoudon’tearnmeaningfullyuntilyougetacertain levelofGOP.Our feestructuresareabaseandan incentive fee, thebase is lowandcompetitive.Wewilltalktoownersattheoutsetandstarttomakeanagreementbasedontheirinterests.

“Wedon’thavetohavecapitalinthegame,wedon’thavetoownit,butwecanmakesurethatourperformanceis tiedtothehotelperformance.Theremaybeguarantees fort thefirst fiveorsixyears,atwhichpoint theownerwillrefinanceastabilisedasset.”

17

Butthealternativesarealsoresponding.InMayAssociatedLuxuryHotelsInternationalannouncedthatithadadded45hotelsandresortsoutsidenorthAmerica.ThenewsiteswereaddedfromWorldhotels,whichthecompanyacquiredearlierthisyearastheconsortiasectorseekstotakeontheriseofthesoftbrands.

ALHIlookstosetitselfapartfromtheothergroupsofferingsalesrepresentationormeetingservices,workingasanextensiontoitsmembers’onsitesalesteams,beingcompensatedbyadues-basedbusinessmodel,atnocosttothemeetingprofessionalortheirorganisation.

Thegroupfocusesonthemeetingandincentivesmarket,withprimarilyindependentluxuryhotelsandresortsandemergingluxurybrands. InFebruarythecompanyacquiredWorldhotelsforanundisclosedfee,bringingWorldhotels’350memberhotelsandresortstogetherwithALHI’s250,combiningtheirexperienceacrossthebusiness,leisureandMICEsegments.

AssociatedLuxuryHotels’chiefsalesofficerMarkSergot,said:“We’veaddedthese45exceptionalhotelsandresorts to our distinguished portfolio in response to the demand we’ve been experiencing from meeting,conventionandincentiveprofessionalsformoreluxury-levelhotelsandresortsaroundtheworld.

“ALHIhaslongbeenrecognisedashavingtheverybestportfolioofmeeting,incentive,andconventionhotelsandresortsinNorthAmericaforyears,barnone,sowehavebeenbusyaugmentingourportfoliowithfantasticoptionsabroad.Thesenewadditionsarehelpingusexpandthatreputationaroundtheworld.Further,wehavealsoplantedournewestALHIglobalsalesofficeinLondon,asourfirstinEurope,justlastmonth.”

Earlier thisyear sawALHIchairman,DavidGabri,announce that thegroupwaspreparing tobecome“morevaluabletohotelownersandoperatingcompaniesasasignificant,full-service‘softbrand’”.

As the ALHI was expanding into luxury and Europe, Preferred Hotels & Resorts, which operates a pay-for-performancestructure,revealedanewappandmembershiprate,offeringa3%discounttothebestavailablerate,toitsloyaltyprogramme,iPrefer.

Theapp,builtincollaborationwithAmericanExpress,allowsmemberstobookstaysatover600participatinghotelsandaccessspecialofferssuchasmemberrates,updatetheirprofiles,viewtheirstayhistoryandrelatedpointsearnings,andaccessandredeemrewardcertificates.

Memberswillalsogetpushnotificationsforspecialoffers,whileAmericanExpresscardholderswillbeofferedexpeditedprocess throughAmericanExpressCheckout.Additional features soon tobe introduced includeaconcierge chat service and the ability for travellers to reserve services such as spa treatments that can bepurchasedusing“rewardcertificates”.

The announcement was the latest in a string for Preferred this year, including overhauling the loyaltyprogramme,whichitsaidhadledtoa57%increaseinenrolments,a24%increaseinstays,anda23%increaseinroomrevenuegeneratedthroughiPreferbookings.

In2015thecompanymovedtoonebrandunderthePreferredHotels&Resortsflag,withpresidentandCEOLindseyUeberrothcommenting:“Inatimewhenseeminglyeveryhotelcompanyisintroducingnewbrandsthattargetspecificdemographics,wearedoingtheoppositebytransitioningfromahouseofbrandstoabrandedhouse.”

Totheconsumer,allbrandingisbranding.DrCrisTarrant,CEO,BDRCGroup,said“Intheeyesoftheconsumeran‘affiliation’brandisjustlikeanyotherhotelbrandandsobearsdirectcomparisonwiththem.BDRC’suniqueBrandMarginmethodologyclearlydemonstratesthatcomparedtoanequivalentunbrandedhotelinthesame

19

Segmentationofbrands

Star-rating

Although hotels are classified into 'Star' categories (one-star to five-star), there is no standard method ofassigningtheseratings,andcompliancewithcustomaryrequirements isvoluntary.AUShotelwithacertainrating,forexample,maylookverydifferentfromaEuropeanorAsianhotelwiththesamerating,andwouldprovideadifferentlevelofamenities,rangeoffacilities,andqualityofservice.

Whereashotelchainsassureuniformstandardsthroughout,non-chainhotels(evenwithinthesamecountry)maynotagreeonthesamestandards.InGermany,forexample,onlyabout30%ofthehotelschoosetocomplywiththeprovisionsoftherulesestablishedbytheGermanHotels&Restaurantsassociation.AlthoughbothUNWorldTourismOrganisation(UNWTO)andInternationalOrganisationforStandardisation(ISO)havebeentryingtopersuadehotelstoagreeonsomeminimumrequirementsasworldwidenorms,theentiremembershipoftheInternationalHotel&RestaurantAssociation(IH&RA)opposesanysuchmove.

AccordingtoIH&RA,toharmonisehotelclassificationbasedonasinglegrading(whichisuniformacrossnationalboundaries)wouldbeanundesirableandimpossibletask.Asaroughguide:

• One-starhotelprovidesalimitedrangeofamenitiesandservices,butadherestoahighstandardoffacility-widecleanliness.

• Atwo-starhotelprovidesgoodaccommodationandbetterequippedbedrooms,eachwithatelephoneandattachedprivatebathroom.

• Athree-starhotelhasmorespaciousroomsandaddshigh-classdecorationsandfurnishingsandcolourTV.Italsooffersoneormorebarsorlounges.

• Afour-starhotelismuchmorecomfortableandlarger,andprovidesexcellentcuisine(tabled'hoteandalacarte),roomservice,andotheramenities.

• Afive-starhoteloffersluxuriouspremises,widestrangeofguestservices,aswellasaswimmingpoolandsportandexercisefacilities3.

STRclassificationsSTRandSTRGlobaluseChainScalesandtheseareaveryusefulindicatorofwherebrandssitinrelationtooneanother.Thebrands/chainsaresortedbychainscalebasedonthebrandspreviousyear’sannualsystemwide(global)AverageDailyRate.TheraterangesdefiningeachchainscalearedeterminedbySTRitself.

Theyhavethefollowingchainscales:

• Luxury• Upperupscale• Upscale• Uppermidscale• Midscale• Economy

3http://www.businessdictionary.com/definition/hotel.html#ixzz2lesn14iN

20

TherearesomediscrepanciesbetweenwherethebrandmarketsitselfandwhereitispositionedbySTR.Forexample,STRGlobalhasNovotellistedasanupscalebrand,butAccorinitsownmarketingliteraturedescribesNovotelasuppermidscaleormidscale.

Chainscalesegments

Performance in theUS lodging industry is evaluated based upon chain scale segments,which are generallydefinedasfollows:

• Luxury-typicallyoffersfirstclassaccommodationsandanextensiverangeofon-propertyamenitiesandservices,includingrestaurants,spas,recreationalfacilities,businesscentres,concierges,roomserviceandlocal transportation (shuttle service to airport and/or local attractions). ADR is normally greater thanUSD210forhotelsinthiscategory.

• UpperUpscale-typicallyoffersafullrangeofon-propertyamenitiesandservices,includingrestaurants,spas, recreational facilities, business centres, concierges, room service and local transportation (shuttleservicetoairportand/orlocalattractions).ADRnormallyfallsintherangeofUSD145toUSD210forhotelsinthiscategory.

• Upscale - typicallyoffersa full rangeofon-propertyamenitiesandservices, including restaurants, spas,recreationalfacilities,businesscentres,concierges,roomservice,andlocaltransportation(shuttleservicetoairportand/orlocalattractions).ADRnormallyfallsintherangeofUSD110toUSD145forhotelsinthiscategory.

• Upper Midscale - typically offers restaurants, vending, selected business services, partial recreationalfacilities(eitherapoolorfitnessequipment),andlimitedtransportation(airportshuttle).ADRnormallyfallsintherangeofUSD90toUSD110forhotelsinthiscategory.

• Midscale-typicallyofferslimitedbreakfast,selectedbusinessservices,limitedrecreationalfacilities(eitherapoolorfitnessequipment),andlimitedtransportation(airportshuttle).ADRnormallyfallsintherangeofUSD65toUSD90forhotelsinthiscategory.

• Economy - typicallyoffersbasicamenitiesanda limitedbreakfast.ADR isnormally less thanUSD65 forhotelsinthiscategory.

TypesUpscaleluxury:Anupscalefullservicehotelfacilitythatoffersluxuryamenities,fullserviceaccommodations,on-sitefullservicerestaurant(s),andthehighestlevelofpersonalizedandprofessionalservice.Luxuryhotelsfarenormallyclassifiedwithatleastafourorfive-starratingdependingonthecountryandlocalclassificationstandards.Examplesmayinclude:InterContinental,WaldorfAstoria,FourSeasons,Conrad,Fairmont,andTheRitz-Carlton.

Full service: Full servicehotelsoftencontainupscale full-service facilitieswitha largevolumeof full serviceaccommodations,on-sitefullservicerestaurant(s),andavarietyofon-siteamenitiessuchasswimmingpools,ahealthclub,children'sactivities,ballrooms,on-siteconferencefacilities,andotheramenities.Examplesinclude:HolidayInn,Sheraton,Westin,Hilton,Marriott,andHyatthotels.

Boutique/ lifestylehotels:Boutiquehotelsare smaller independentnon-brandedhotels thatoftencontainupscalefacilitiesofvaryingsizeinuniqueorintimatesettingswithfullserviceaccommodations.Boutiquehotelsare generally 100 rooms or less. Somehistoric inns and boutique hotelsmay be classified as luxury hotels.ExamplesincludeHotelIndigoandKimptonHotels

24

Chart1:IllustrativelandscapeforleadingEuropeanhotelbrands(2017)

Summary

Chart2:IllustrativebrandscapeforEuropeanluxuryandupscalebrands

Source:McKenneyResearch

STANDARD

BUSINESSMEETINGS

RESORT/WELLNESS

URBAN

EXTENDEDSTAY

LIFESTYLE

SOFTBRANDED

5-STAR1-STAR

ECONOMY UPPERMARKETMID-MARKET LUXURY

0

0.2

0.4

0.6

0.8

1

1.2

UPSCALE LUXURYUPPERUPSCALE

33

AUTOGRAPHCOLLECTION

Ownership MarriottInternational

Hotel&rooms 111hotelswith24,939rooms

Launched 2010

STRClassification Upperupscale

Geography(rooms)

Operatingmodel(rooms)

Europeaccountedfor4,710rooms Jointventuresaccountedforjustbelow1%

Characteristics • Softbrand• Featuresindependenthotelsandresortsaroundtheworldrepresentingupper-upscaleandluxurypropertieswithdistinctivepersonalities

• Eachisuniqueintermsofproductofferingandtargetcustomers.• Manyareiconicpropertieslocatedingatewayandemergingcitiesinpreferreddestinationsaroundtheworld

Keycompetitors CuriobyHilton,LeadingHotelsoftheWorld,PreferredHotels,SmallLuxuryHotels

Performance AtendDecember,occupancy77.5%,ADRUSD229,RevPARUSD178(NAmericaonly)

Tagline Exactlylikenothingelse

Customerprofile Differentforeachproperty

Developmentplans Pipelinestandsat72propertieswithalmost13,000rooms

Latestnews AutographCollectiondebutsinEstonia(2017)

58% 19%

2% 3%

18% NorthAmerica

Europe

Africa&ME

AsiaPacific

Caribbean&LatinAmerica

7%

92%

1%

Managed

Franchised

Jointventure

34

B&BHOTELS

Ownership PAIPartners

Hotel&rooms 396hotels

Launched 1990

STRClassification Economy

Geography(hotels)

PropertiesarelocatedinEurope–withtheexceptionofonepropertyinMoroccoFrance–69%,Germany22%,Italy7%andSpainandPoland–1%each

Characteristics • B&Bisatthe“high-end”ofthebudgethotelsegment• “Econochic”roomconcept

Keycompetitors IbisBudget

Customerprofile Businessandleisuretravellers.

Developmentplans Planstoopen15hotelsayear

Brandstandards • OneofthetopthreeFrenchhotelnetworkswithonegoalonly:toofferthebestexperienceforalowprice.

• AllthehotelsofferonlyBed&Breakfast(norestaurant),thefastwifiaccessandapantagruelianbreakfastbuffet

Latestnews • AcquiredfromCarlyleGroupbyPAIPartners(March2016)• AcquiredSpanishhotelchainSidorme,adding15hotels(1,367rooms)acrossSpain(October2016)

Europe

100%

139

WHOTELS

Ownership MarriottInternational

Hotel&rooms 51hotelswith14,145rooms

Launched 1998

STRClassification Luxury

Geography(rooms)

Operatingmodel(rooms)

Characteristics • ANewYorkphenomenonthatevolvedintoaglobalpowerhouse• Combiningthepersonalityandcutting-edgestyleofaboutiquehotelwithdistinctpositioning,WHotelshascreatedanentirelynewsegmentinthehotelindustry.Whotelsprovidestheinsideraccesstowhat’snewandnext,offeringauniquemixofcutting-edgedesignandpassionsarounddesign,fashion,musicandfuel.Dominatingthecontemporarylifestylespace,WHotelsconsistentlyoutperformsthecompetition.

• WHotelscanbefoundinthemostdynamicinternationalgatewaycitiesandinsomeofthemostdesirableandexclusiveleisuredestinationsintheworld.

• Location–urbanorretreat

Brandspecificproducts • Livingroom/lounge–WHotelshastakenthetraditionalhotellobbyandmadetheLivingRoomtheepicentreofthehotel’svibe.Providingstylishambience,guestscantakeinthebuzzorcreatetheirownintimatesocialspaces.WHotels'takeonthetraditionalhotelpool,WetDeck,oftenservesasanoutsideextensionoftheLivingRoom.

• WHAPPENINGS-WHotels'SignatureEventSeries,focusingonWHotels'passionpointsofdesign,fashionandmusic,activatesWHotels'LivingRoomsandWetDeckssothattheyremainvibrantandaplacetoseeandbeseen.

• SPA-WHotelsofferstwospaoptionsthatreflectitsvalues:BlissSpa,arenowned,hipdayspafromNewYorkthatisexclusivetoWhotels,andAwaySpa,atailor-madespasolutiondevelopedforWHotelsandEscapesalike

• TheStore-TheStoreallowshotelstopartnerwithlocaldesignersandshopsforalocallycuratedexperience.AnextensiveproductlineupdeliverstheWbrandinatangibleandpersonalwayforgueststotakehomewiththem.

Tagline Insideraccesstowhat’snewandnext

Developmentplans • Hasapipelineof32hotelswith7,874rooms• Islookingtoreach75hotelsby2020• FollowingthelaunchofWDubai–AlHabtoorCity,thebrandissettorapidlygrowitsportfoliointheMiddleEastregionwithfournewhotelsslatedforthecomingyears.TheseincludetwomoreintheUAE:asecondhotelinDubai,thehighlyanticipatedWDubai–ThePalm,andWAbuDhabi;plusWAmmanandWMuscat.

Latestnews • WHotelistodebutinDubai• ExpandingitspresenceinSpainwiththesigningofWMadrid• DuetoopeninBudapestin2020.

64% 20%

10% 6% Americas

AsiaPacific

Europe

Africa&ME

9%

91%

Owned

Managed&UJV

140

WESTINHOTELS&RESORTS

Ownership MarriottInternational

Hotel&rooms 217hotelswith81,249rooms

Launched 1930

STRClassification Upperupscale

Geography(rooms)

Operatingmodel(rooms)

Characteristics • EveryaspectoftheWestinexperienceisdesignedwithtravellers’well-beinginmind,ensuringthatguestsleavefeelingbetterthanwhentheyarrived.Throughinnovative,signatureproductsandprogramscombinedwithinstinctive,personalserviceandintuitivedesign,Westindeliversoneachguest’severyneed,drivingunmatchedguestloyaltyandindustry-leadingperformance.

• Location–urban,suburban,resort,conventionandairport• Ithashighcustomerappealandloyalty

Brandspecificproducts • EachsignatureWestinofferingisdevelopedtohelpguestsSleepWell,EatWell,MoveWell,FeelWell,WorkWell,orPlayWell.Thesearethebrand’s6pillarsofwell-being.Someexampleofferingsinclude:

• TheHeavenlyBed–WestintransformedboththesleepexperienceandtheindustrywiththeHeavenlyBed.ThesuccessoftheHeavenlyBedinspiredthelaunchofourHeavenlyBath,HeavenlyShower,HeavenlySpaandanextensivelineofotherproducts.

• SensoryWelcome–GuestsfeelwellthemomenttheyarrivethroughafusionofrefreshingelementslikethesignatureWhiteTeabyWestinscent,soothinglightingandnaturalbotanicalbeauty.

• SuperFoodsRx–DuringallmealperiodsWestinoffersdelectablynutritiousSuperFoodsRxdishesbypowerfullypairingwholefoodstoboosttheirbenefitsandtheirflavours.

• WestinWORKOUT/RunWESTIN/GearLending-Westinoffersspaciousstate-of-the-artfitnessstudios,grouprunsledbyaRunConciergeandlocalrunningmapsdesignedtohelpguestsexploretheareawhilekeepingupwiththeirfitnessroutine.GuestscanalsopacklightandstayfitwithworkoutGearLendingprovidedinpartnershipwithNewBalance

Tagline Forabetteryou

Customerprofile Businessandleisuretravellers

Developmentplans Hasadevelopmentpipelineof48hotelswith13,260rooms

Latestnews RecentopeningsincludeTheWestinCairoGolfResort&Spa,Jakarta(Indonesia),Doha(Qatar)locationsintheUS–Buffalo,Nashville

70%

20%

8% 2% Americas

AsiaPacific

Europe

Africa&ME

3%

58%

39% Owned

Managed&UJV

Franchised