Home' Hotel Management : HM FEB 2017 Contents It’s such an exciting time for travel and tourism in Australia. 2016 saw over 8 million
visitors by October, an 11.5 per cent increase year-on -year and 2017 looks set to continue
in this trajectory. The tourism industry has been identified as one of the key growth
engines for the future economy, and reflecting on the past 12 months there are certainly
many encouraging signs that this growth is materialising.
In terms of hotel trading, Melbourne and Sydney will continue to perform strongly
this year, with significant developments such as the new International Convention Centre
(ICC) Sydney providing a renewed platform for larger scale events, and a new influx of
travellers. It is clear that a strong calendar of both Business and Leisure Events bring key
cities to life and continue to be fundamental to the healthy trading of the hotel sector.
New flight routes will also enable increased access for business and leisure travellers
from our key international markets. Cairns for example, a destination which experienced
outstanding growth in 2016, is set to benefit from additional inbound flights. We are also
seeing cities across New Zealand continue to go from strength to strength for owners and
investors, and I anticipate that New Zealand will continue to flourish as a market in the
With the anticipated increase in arrivals into several key cities, there’s an opportunity
to take domestic and international travellers further afield, to magnificent regional
locations such as the Hunter Valley. The opening of Crowne Plaza Hunter Valley
Resort ’s Conference and Events Centre has afforded the destination with the region’s
biggest venue capacity (1,000 pax) and a new opportunity for attracting larger groups.
Whilst the tourism arrival numbers paint a positive picture for the industry it is
important to remember that we compete for attention with many other desirable
destinations. It was encouraging to see various tourism and accommodation associations
rally together to ensure that the Federal Budget protected investment for Tourism
Australia, relaxed visa regulations, froze the Passenger Movement Charge and reached
a reasonable outcome on the infamous Backpacker Tax. There is still work to be done
in critical areas such as the introduction of appropriate regulation of new shared
accommodation platforms, a priority for resolution in 2017.
In 2016, IHG announced a multitude of developments, and this is set to continue
The world’s fastest growing hotel brand, Holiday Inn Express has now launched in
our market, and is set to appear in major business and leisure travel destinations across
Australia and NZ. Holiday Inn Express Brisbane Central will open in early 2017; Holiday
Inn Express Adelaide Hindley Street in late 2017 and Holiday Inn Express Melbourne
Southbank in 2018. New Zealand will also receive its first Holiday Inn Express, with
Holiday Inn Express Christchurch City Centre scheduled to open in early 2018.
This year will see the highly anticipated opening of InterContinental Perth, an
exciting re-entry for the InterContinental brand to the Perth market, and in time to
welcome global jet-setters arriving on Qantas’ direct flights from London! We are also
excited to bring the Crowne Plaza brand back to Christchurch, one of several new
Crowne Plaza hotels in our pipeline.
We’ve recognised the appeal of boutique and lifestyle brands for travellers in Australia
and New Zealand, and in response to this, we have announced the arrival of Even Hotels
to key Australian and New Zealand capital cities and economic hubs. This is the first
portfolio from the brand to be developed outside the United States and is an industry
first; no other hotel brand provides a holistic wellness experience under one roof. We
know that ‘health and wellness’ is one of the fastest growing industries in Australia,
making this the perfect place to grow the brand.
Hotel Indigo has long been earmarked as a key brand to launch in Australia, due to
the high demand from domestic and international travellers for a boutique-style brand
which offers the global standards, system delivery and rewards benefits IHG delivers.
Number of hotels & rooms (Globally):
5,099 hotels / 754,265 rooms
Number of hotels & rooms (Asia-Pacific):
445 hotels / 133,211 rooms
Number of hotels & rooms (ANZSP):
40 hotels / 9,281 rooms
Number of employees (Globally): over 350,000
Year first hotel opened: 1949 (global) / 1962 (ANZSP)
Brands in the organisation: 10 (InterContinental Hotels
and Resorts, Kimpton Hotels and Restaurants, Hualuxe
Hotels and Resorts, Crowne Plaza Hotels and Resorts,
Hotel Indigo, Even Hotels, Holiday Inn Hotels and Resorts,
Holiday Inn Express, Staybridge Suites, Candlewood Suites)
Head office location (global): Denham, UK
In November 2016, we announced the signing of Hotel
Indigo Brisbane Fortitude Valley, marking the launch of
the brand to this market.
With a positive outlook for the industry and IHG’s
strongest pipeline in a decade, attracting and growing
the best talent will continue to be a priority area for
us. IHG’s structured and focused approach to People
Development remains a key attraction tool, with
innovative learning platforms, such as our video based
Frontline training and our new General Manager learning
platform Fuse, providing reasons why people stay with
us. I am particularly passionate about our Future Leaders
programme that enables us to accelerate the development
of our best and brightest, within Australia or abroad.
Our approach to Digital is another major focus for
2017. We recognise the importance of constantly upgrading
our direct digital channels (which include our brand.com
websites and mobile app), which are collectively IHG’s
largest channel. It’s undeniable that mobile is where we will
continue to see the most growth in bookings, and the global
scale and strength of our digital capabilities enable us to
offer strong levels of system delivery.
Our system scale and strength, coupled with the global
recognition of our brands, resulted in recent properties such
as Holiday Inn Queenstown Frankton Road and Crowne
Plaza Alice Springs Lasseters joining the IHG family and
we believe this is a trend that is set to continue.
In 2017, a strong local travel industry, increased access
from international markets and exciting new developments
particularly in the lifestyle segment, will be some of the
long-term factors which underpin our success in Australasia.
We will focus on delivering on these opportunities, whilst
continuing to strengthen our base with our partners and
prioritising the development our people.
Chief Operating Officer - Australasia and Japan
60 HM The Business of Accommodation
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