Holiday Inn Dreaming of a Rebound
Holiday Inn could hardly be considered a hip hotel. But in the ’60s and ’70s, it was the category killer, with a new inn opening around the world every three days. The first hotel for the age of mass travel, it was the go-to lodging for everyone from families (kids clamored to stay there because of the pool every property had) to rock stars (Elton John wrote an ode to the chain, and the Who had such a rollicking party at a Holiday Inn in 1967 that its members were rumored to have been banned for life; today’s W would kill for that honor). Heading into the 21st century, the brand got a bit threadbare. With more than 3,000 franchisees needing to be kept in line, standards deviated. You never knew what you might get when you stepped across the threshold. Other hotel brands, such as Hampton Inn and Marriott’s Courtyard, began to attract business guests in particular with fresh new buildings, efficient business-travel-friendly design and larger rooms.
Two years ago, Holiday Inn, the largest division of InterContinental Hotel Group (IHG), recognized that it risked being marginalized and embarked upon a total refreshment of the brand: a new logo, a new bedding program, new showers and new marketing and advertising. Holiday Inn is a franchise brand, meaning owners pay a licensing fee and a percentage of their revenues, while the corporation takes care of marketing, advertising and reservations. Those owners will collectively invest $1 billion (including $60 million from IHG), making this the largest brand revamp in hotel history. “Everything you touch and feel is new,” says Jim Abrahamson, IHG’s president of the Americas.
