Would you pay 32% more for 8M2 larger hotel room?

Would you pay 32% more for 8M2 larger hotel room?


Sure, if I stay a week+, travel with my family, etc... there are surely occasions where 32% higher prices are justified....

But what if the two options are effectively identical, and your purpose of travel is 1 night stays?

SpotQuest we are intrigued by understanding (and studying deeply) the opportunities (and constraints) to position your hotel brand (higher) in a sustainable way, benefiting both owner of asset, hotel operator and guest...

Most brands operate two of their leading brands in buildings literally next to each other.... We will publish a series of insights during the next few weeks on this specific case.

Let's take one of the more unique examples....

IHG Hotels & Resorts operate at one of the largest airports in the world, Heathrow London, two of their main hotel brands, Crowne Plaza? Hotels & Resorts and Holiday Inn Express in the same building, with even some shared facilities (such as elevators... )

Their product, and overall USPs and value proposition are effectively identical....

as per 15th May 2024, source


For those who have never been at Heathrow airport and/or these two hotels.... One can walk straight from the airport within 5-10 minutes directly into these two hotels, as they are connected with a walking corridor directly to Terminal 4 Heathrow Airport. Given excellent connectivity (trains directly to London downtown), these two hotels offer an excellent location for many different purposes of travel and budgets.


But given above facts.... Would would you pay 32% more?


as per 15th May 2024, source

Would a competing (non IHG) brand yield a higher profit for both hotels?

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Ronald Egelman

Hotel Development

6 个月

Interesting points Hannes Bos. :)

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