Crowne Plaza: Building on Momentum

3/23/2010 | by Len Vermillion
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While not a relaunch on the scale of Holiday Inn, IHG (InterContinental Hotels Group) is giving another one of its familiar brands a facelift. Crowne Plaza, which began in the 1980s as Holiday Inn Crowne Plaza and became a separate entity in 1994, has been going through a brand revitalization. Last June, a renovation of the brand’s flagship property, Crowne Plaza Times Square in New York City, was unveiled, and it was the start of a brandwide effort to make itself more contemporary.

“The brand’s been around for quite some time now so just through the course of the journey of the brand it was time to relook at it and make sure we are staying current to our guests’ needs and make sure we are providing a contemporary and upscale experience,” says Gina LaBarre, vice president of brand delivery, the Americas, at IHG.

Crowne Plaza, an upscale brand that is aimed at attracting business travelers, particularly in urban markets, has been on an upswing. The brand has been one of the fastest growing upscale brands in recent years. As of the third quarter of 2009, it had 360 hotels globally and 199 in the Americas. The Americas’ pipeline includes 8,000 additional rooms. That growth, LaBarre says, contributed to the revitalization effort. “We have had unbelievable development with this brand; we’ve had record growth,” she says. “So, with new hotels coming in we require them to go through a property improvement plan.”

Already, Crowne Plaza has renovated approximately half of its portfolio. There are about 40 hotels going through the process currently. LaBarre say as hotels join the brand, they are required to renovate before entering the system.

Crowne Plaza Times Square serves as a prototype for the renovations. The property was given ample room for meeting space and trendy food and beverage options. Three concierge floors offer spacious suites with upgraded amenities. It also houses Manhattan’s largest indoor swimming pool and a fitness club.

“That is a flagship property and it conveys exactly the upscale look and feel we want for this brand,” LaBarre says. “It brings to home the ‘Place to Meet’ positioning.” Part of Crowne Plaza’s effort is to be an ideal location for business travelers.

While the brand will still largely be looking at urban markets, it also has found airport locations to be ideal. Recently, the brand opened its third property this year near the Ft. Lauderdale Airport. “We have a tool we use internally that scores markets, so we have markets that are highly sought after. They may be more your urban markets and downtown locations,” LaBarre says. “However, airport markets actually do very well for Crowne Plaza, being a meetings hotel. We entertain all of the deals that come through and some are more desirable than others. Obviously, we’d like to be in the major city centers.”

The revitalization effort isn’t just about physical aspects. The company is making a push to get Crowne Plaza back in people’s minds. The brand is undertaking significant marketing initiatives, such as being the title sponsor of a PGA Tour event. “When you’re targeting business travelers, golf is a high-identity sport,” LaBarre says.

Ultimately, LaBarre says she wants to see people associate Crowne Plaza with an upscale experience at prices that often fall below its competitors. “We want people to see it as a
value in the upscale segment,” she continues. 


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