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The current chairman and the president of InterContinental Hotel Group’s owners association outline what they want from hotel design and designers.
By H. Mason Fackert, III
As president and ceo of suburban Chicago-based Lane Hospitality and the current chairman of InterContinental Hotels Group’s (IHG’s) IAHI, The Owners’ Association (formerly the International Association of Holiday Inns), Bill DeForrest has a 360-degree view of how the realities of ownership and the requirements of operational standards are impacting both hotel design and portfolio growth. Eva Ferguson, who logged 20 years in the hotel industry before joining IAHI’s staff, knows the challenges of both franchisors and owners. They talked with Hospitality Style during this year’s New York University International Hospitality Investment Conference about the changes they see coming and what designers should do to get their fair share of the business as IHG brands expand around the world.
What will get a designer a commission from IAHI’s members?
Bill DeForrest: One of the paramount things is that the design has to have legs. The slowdown that started in 2008 and continued through 2009 made owners focus on developing a product that would not only be the best product on opening day, but over time.
What would a designer need to address in a presentation to convince your fellow IHG owners that he or she could do that?
BD: As hotel owners, we are retailers in the sense that we have to understand the consumer. We will pay careful attention to the designer who focuses on what our customer is looking for or expects to find in our properties. So my advice would be: Tell us how you see our guests using the space within the footprint and the brand standards we are providing. Then explain how the fundamentals of the concept you are proposing will fulfill that expectation while driving occupancy and revenues. While it’s important to show owners what you want to create in terms of interior design, it’s more important to explain why you think that’s the right solution. The worst thing a designer can do is to give the owner one more iteration of what he or she is doing today. Any presentation should be about what’s going to satisfy our guests tomorrow and well into the future.
What are some of the details that could give a designer an edge?
BD: We need designers to explain how their focus offers a global perspective but still uses local attributes to give the hotel a sense of place and a place in its community. For example, a great guest room experience could be standardized but the common areas could reflect the local personality.
How much say do IHG’s owners have about brand standards and standardization?
Eva Ferguson: A great deal. For the transformation of Crowne Plaza, for example, IAHI endorsed the work-process stream process proposed by IHG to identify regional differences with the brand and create a multi-year plan to enable it to compete better in the upscale market segment. Additionally, Holiday Inn/Express will benefit from IAHI’s work with IHG to identify the next steps to continue and accelerate the momentum for its 2,800 relaunched hotels world-wide, specifically including new food and beverage opportunities. The level of collaboration between IAHI and IHG continues to increase. IAHI is also developing its own strategy to serve owners as IHG expands into new regions and builds out its existing presence.
Would you only hire hotel design specialists?
BD: Let’s say that we highly value designers who have a strong diversity of experience both within and beyond the hotel sector.
H. Mason Fackert, III, is the managing director and ceo of Concord, Mass.-based CVI Capital Holdings and a regular contributor to Hospitality Style
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