I would generally agree with you in a heartbeat, but from my personal experience, "most successful" may not always be hinged on profitability. For instance, I've always been generally a Marriott guy (because of my parents) but I've definitely branched out of the Marriott realm as I've grown up. I would normally stay at CYs given the price, newer feel/amenities, and the warm welcome I would always receive. They always felt clean and reliable, and that worked for me.

However, after staying at the CY in downtown Miami, my wife and I were treated incredibly, and I'm only a Silver Elite. They allowed my wife and I to grab a beverage from the snack area, and when we returned to our (upgraded) room in the evening, there was a tray on the desk full of goodies and snacks waiting for us with a hand-written note from the manager. Was that much for them? Not really, but to us, it was basically brand acceptance. After that visit, I applied for the Marriott card and have enjoyed a slew of their other brands, including FS Marriott, JW, and even their basic FFI. I guess what I'm trying to say is that whether or not CY is their most profitable, I think their model of attracting a newer, younger crowd, along with providing amenities for business travelers, may prove successful in the long run through brand acceptance.

The CY for us is a hotel that we can generally count on to do what is intended - provide a safe, comfortable, and reliable place to sleep. The recent renovations have sold us on CY when we need a basic place to stay, and if we want more, we'll go with a FS or JW.

Call me crazy and I may be way off base here, but that's just my $.02.