Originally Posted by
OsakaWino
I was mostly just ranting after reading a bunch of posts dissing me as a 25-stay qualifier.
But nevertheless, I can't say I understand the strong emphasis on quantity over quality. I guess it is a good thing that I never tried to go for a career in marketing.
Just like a diversified portfolio of equities helps mitigate for risk exposure and is perceived as helping to provide more consistent and/or superior returns over the longer term, a diversified portfolio of hotel properties helps hotel companies mitigate for risk exposure and is perceived as helping the hotel companies to better weather economic cycles. There are times when the luxury market, for example, takes a big hit, but the bottom and/or mid-tier holds up or otherwise performs better than the luxury tier.
Hyatt's footprint growth shows that it's not aiming for getting out of the Hyatt Place-type market and finds the quantity growth on that end to be useful for its longer term position. Hyatt's clearly not aimed at being a luxury hotel group, nor is it aimed at being the lowest quality and highest quantity property provider in the markets in which it operates.
Hyatt's program seems to have turned out to be more for the crowd of those staying in Hyatt Places for several weeks than for the 25 short-stay types; but this liberalization of Globalist qualification/retention in the US market signals that Hyatt has some doubts that shifting toward Hyatt Place and mid-tier Hyatt working stiff types with its program is doing it all that good. Perhaps Hyatt will realize it's left money on the table by not doing more to court customers like yourself who are staying primarily beyond North America.