InterContinental Hotels Group (IHG) is seizing the opportunity to capitalize on the lucrative midscale segment with the launch of its newest brand, Avid hotels.
IHG expects construction to begin early next year with a debut slated for early 2019.
First announced back in June, the new brand will target guests shopping in the $20 billion midscale market with a price point roughly $10 to $15 less than IHG's Holiday Inn Express chain.
Avid hotels will initially focus on the U.S. market but could expand internationally if there's enough demand.
[CALLOUT]
"We built our Holiday Inn Express brand into a hugely successful, leading midscale brand. Now, with the introduction of Avid hotels, we're set to add another one and extend IHG's leadership position in this segment," said IHG CEO, Keith Barr, in a statement.
"With 14 million potential customers looking for the type of hospitality avid hotels will offer, this new hotel brand represents a significant growth opportunity for IHG and our family of owners."
Avid will do away with traditional hotel features and amenities, including meeting spaces, suites and pools. Instead, the brand will focus on public and communal areas as well as enhanced guestrooms.
Highlights will include light reducing shades, sound-reducing elements and open storage spaces. Avid properties will also offer complimentary breakfast and food and beverage options for guests on the go.
"By not giving them what they don't want, we can give them more of what they really want," IHG CEO of the Americas, Elie Maalouf, told Hotels. "And also give owners a value proposition and construction cost that makes a ton of sense for them."
[READMORE]READ MORE: How to Book IHG Hotels for Less[/READMORE]
The prototype design comprises 95 to 100 rooms spread across a minimum of three stories.
So far, IHG has received more than 150 letters of interest for the new brand.
IHG also announced Monday that it has been listed on the 2017 S&P Dow Jones Sustainability Indices, receiving industry-leading scores in a handful of categories, including climate strategy, code of business conduct, human rights, stakeholder engagement, and customer relationship management.
For the latest travel news, updates and deals, subscribe to the daily TravelPulse newsletter.
Topics From This Article to Explore
