Home Inns Hotel Group has added yet another mid-range hotel brand Home Inn Plus to its brands family.
The new Home Inn Plus was featured alongside Home Inn’s existing mid-range hotel brands, Yitel, in the last Shanghai Biennale. Home Inns CEO Jian Sun said that rising consumption has prompted hotels to rethink their strategies and scale up for the future. “Although we certainly must develop mid-range hotels, the market is nevertheless limited and will be saturated within five years. So we aim to win customers by improving quality,” he said. Besides the two mid-range hotel brands, Home Inns also has Home Inn, Motel and Fairyland brands covering low to high-end markets.
Huanmei Consulting CIO Hunayuan Zhao sees that launch of Home Inn Plus and the upgrading of the Yitel brand are beneficial to Home Inn Group’s move to rationalize its brands. “Location and property quality determine a hotel’s room rates. As average room rates and average occupancy rates for mid-range hotels in China are sliding in 2014, Home Inns is faced with the challenge of how to respond to a changing market,” he said.(Translation by David)
