Hyatt and Homeinns Hotels Group, an affiliate of the Shanghai Stock Exchange-listed BTG Hotels, are in a strategic joint venture to create a new upper midscale hospitality brand built specifically for Chinese travellers.
Described as homegrown and independently managed, the brand is expected to be unveiled in gateway cities such as Shanghai, Beijing, Guangzhou, Shenzhen and other cities in China in the next five years.
The partnership is meant to combine the collective strengths of Hyatt’s global experience in premium hospitality and BTG Homeinns’ scale as one of China’s largest hotel chains.
“There is a definite opportunity for us to make a mark in the growing upper-midscale segment,” said David Sun, general manager of BTG Homeinns Hotels Group, chairman & CEO of Homeinns Hotel Group.
According to China’s Ministry of Culture and Tourism, domestic tourism revenue saw a 13 per cent increase last year, recording nearly RMB5.1 trillion (US$762 billion) in revenue. As income levels continue to rise, China’s middle class is seeking higher-quality offerings and travel experiences.
“With 70 hotels and a pipeline of more than 100 properties in Greater China, Hyatt is committed to a long-term strategy of purposeful growth in the region, said Stephen Ho, president of Greater China, global operations, Hyatt. “This collaboration is expected to provide Hyatt with deep China insights, build brand awareness and grow loyalty with a new set of travellers.”
BTG Homeinns Hotels Group operates one of China’s largest and fastest-growing economy hotel chain – boasting a presence of about 3,900 hotels in more than 400 cities.
In recent years, BTG Homeinns has invested in expanding its portfolio of midscale hotel brands to meet the growing demand amongst Chinese travellers seeking to upgrade their travel experience. It has developed a strong presence of about 600 midscale hotels across China, under brands such as Yitel Premium, Homeinnplus and Homeinn Selected.