Gopal Rao: IHG’s Canadian pipeline strong for 2010

Gopal Rao

WASHINGTON, DC—IHG Canada performed well this past year despite the tumultuous economy, growing its portfolio from 141 to 150 hotels.  And the pipeline for 2010 is strong, with 10 Holiday Inns and 24 Holiday Inn Expresses on the books.

Holiday Inn is forging ahead with its bid to have all hotels sporting the new sign by the end of 2010.  This is no minor undertaking—meeting the new requirements involves changes to everything from linens and bathroom amenities, to the scent in the front lobby, and to new service standards.

“There are bound to be properties leaving the system in this process,” says Gopal Rao, regional vice president, Canada for IHG.  “We are trying to position Holiday Inns in a certain place, and there are always some properties that just don’t fit.”

The brand is actually getting younger when it comes to the age of its properties, he adds.

“Holiday Inn Express is the fastest growing brand bar none,” says Rao.  The brand is particularly suitable for secondary and tertiary markets such as Swift Current, SK.  IHG’s plans for the brand “cover the spectrum from coast to coast”.

For a concept that works, you need to appeal to both developer/owners and consumers, Rao says.  Developers are concerned about whether it is a profitable venture, while consumers want “a great value brand that has everything they want and nothing they don’t want.”  That includes things like high-speed Internet, breakfast, brand new buildings and free parking.
Holiday Inn fits the bill. 

“It’s a simple model that works,” he says.

Canada has three Crowne Plazas, with a total of 822 rooms in the pipeline.  Typically, they are full-service airport hotels.

The company also plans to open a Hotel Indigo not far from downtown Vancouver in time for the Olympics.

And Staybridge Suites is a brand that has tremendous potential in the extended stay market because there are so few in Canada, Rao says.  The seven existing Staybridges include six in Ontario and one in Calgary.
Extended stay works best where there is longtime demand from manufacturing facilities or universities, and the demand is for more than two-night stays.

“It’s a unique brand because it creates demand — people don’t know they need it until they experience it.  Staybridge was the first to have free laundry service, we have the Sundowner hot dinner three times a week, and it really saves money.”

The first Candlewood Suites, IHG’s mid-scale extended stay brand, is open in Montreal and there are two more in the pipeline.

Canadian properties win numerous awards
Here are the award winners from Canada at the IHG Conference held in Washington DC in mid-November.

Developer of the Year in Canada: Afzal Rajan – Zainul & Shazma Holdings (Holiday Inn Red Deer, AB, Holiday Inn Express Hinton, AB and Holiday Inn Express Edson, AB)

Torchbearer Award Winner:

• Holiday Inn Hotel & Suites, North Vancouver, BC

Quality Excellence Award Winners:

• Holiday Inn, Saguenay (Convention Centre), QC
• Holiday Inn Express & Suites, Saint John Harbour Side, NB
• Holiday Inn Hotel & Suites, Ottawa Kanata, ON

Priority Club Excellence Award Winners:

• InterContinental Toronto Centre, ON
• Holiday Inn, Ottawa Kanata, ON
• Holiday Inn Express & Suites, Saint John Harbour Side, NB
• Staybridge Suites, London, ON

Best of the Best Award Winners:

• Executive Housekeeper of the Year: Ann Glidden, Crowne Plaza, Moncton, NB
• Director of Sales of the Year: Tammey McCormick, Holiday Inn Express & Suites, Charlottetown, PE

Community Affairs Award Winners:

• Holiday Inn Hotel & Suites, Vancouver Downtown

Renovation Award Winners:

• InterContinental Hotel, Montreal
• Holiday Inn, Truro, NS
• Holiday Inn Express, Quebec City (Sainte-Foy)
• Holiday Inn Express, St. Jean Sur Richelieu.