CanuckFlyHigh

I for one would not be happy if IHG bought Fairmont, their Kipton deal seems like a mess! Look what has happened in San Francisco.

ptownca

Curious minds want to know, what has happened ?

AMRivlin

7 of 9 Kimpton's in SF left the brand/group.

The issue I have with Kimpton is they lack uniformity across the brand. Each hotel is VASTLY different. I actually wonder why IHG wanted that in their portfolio. (I guess that is a topic for a different thread)

While I doubt the veracity of the links in this thread, if FRHI is to join a larger group I don't see the Fairmont or Raffles brand being merged with the IC brand.

(The prince and colony capital bought the FRHI group in the mid 2000s for 3.9b, if any of these reports are to be believed, he is now selling a larger more robust company for 2.9b, that seems like a poor business decision, unless he is retaining 30% stake or similar.)

dw

Agreed-- the number of flags under the big chains has truly proliferated, and if Marriott is comfortable running what now seems like 20 brands, I don't see why it would be any different under IHG.

FlyerTalker683455

MARIOTT is doing an exceptionally lousy job with their brand confusion. I see Marriott backtracking on it in the not too distant future.

AMRivlin

What does having more than 5 even do for you?

1 - Luxury Brand
2 - Boutique Brand
3 - Business Traveler Brand
4 - Value Brand
5 - Truck Stop Brand

Anything else is already covered above, No?

This is why FRHI in my mind has a solid branding strategy with 3 levels and not trying to be more than they are. I do think they should unify their loyalty programs to grow brand awareness, and I am confused by Swissotel is trying to do, with their Australia, USA, and Japan market, only having 1 in these countries without a chance to grow the brand beyond that.

I could see Swissotel getting swallowed into another brand if FRHI is indeed bought out.

Marriott - 19
Wyndham - 12
Hilton - 11
Accor - 11 *lumped brands
IHG - 9 *lumped HI
SPG - 9
Calrson - 7

So if you include FRHI's 3, Four Seasons, Mandarin Oriental, Shangri-La, Movenpick, GHA's 35 distinct brands, you have over 115 BRANDS. Too much.

FlyerTalker683455

What does having more than 5 even do for you?

1 - Luxury Brand
2 - Boutique Brand
3 - Business Traveler Brand
4 - Value Brand
5 - Truck Stop Brand



Maybe a resort brand And long stay brand . But that about covers it.

Jasper2009

It's not a matter of whether IHG keeps the Fairmont brand.

The issue is that IHG's and Fairmont's hotel portfolio, corporate culture, customer service, loyalty programs etc. are hardly compatible.

I predict a major deterioration of service on all levels and a major devaluation or elimination of the Fairmont loyalty program in the mid-run should this deal go through.

IMO the Fairmont brand stands for:

- luxury and/or landmark hotels (at least 80-90% of their hotels; a few of them are somewhat run down)
- a good to very good loyalty program
- excellent customer service on all levels (incl. reservations / CS)
- FPC and hotel staff who often make the effort to find a mutually agreeable solution (e.g. extension of certs, upgrade to higher suite in return for booking a higher rate etc.)
- a company which treats its employee very well

In contrast, IHG (IMHO) stands for:

- a selection of mostly generic, upscale, business hotels (IC) (other brands are obviously less impressive)
- an ok loyalty program with mediocre elite benefits (except for the unpublished RA level, but even then treatment varies greatly)
- a loyalty program geared towards the mass market with little flexibility
- very average and inconsistent customer service

I couldn't care less if Swissotel were swallowed by IHG (their hotels could be easily integrated into the IC and Crowne Plaza portfolio), but the possible acquisition of Fairmont by IHG is bad news for owners, employees and customers IMO.

PsiFighter37

Outside of my recent stay at the Fairmont Southampton in Bermuda, which I felt was probably the worst Fairmont experience I've had from a service perspective, I have really enjoyed the chain's offerings (even if they are a bit on the older side) and would be saddened if FPC got devalued. Just made non-Club status for the first time and was hoping to enjoy their properties more over the upcoming years!

CanuckFlyHigh

I actually feel like an extremely valued customer of Fairmont. They have exceptional customer service, and employees. To be swallowed up by IHG, would be the end of Fairmont.

ZenWorld

I thought they are not too bad in fit actually.

Seriously, FPC Plat does not get lounge access, while RAs do not get it too at IC.

Swissotel can integrate into Crowne Plaza easily, and it is better that it can be in 1 loyalty program, than 2 unrelated ones like Swissotel Circle and FPC.

IC just need 2 top tier brand in Fairmont and IC. And for once, spending in Fairmont can be rewarded in terms of IHC points. (nothing for both Swissotel and FPC at the moment)

I am both FPC Plat and Swissotel Eleva at the moment, and I am sufficiently upset enough at the dysfunctional split programs (and cross crediting frequently does not post), and I have no incentive to stay at Raffles Hotels, as it is hardly rewarding to do so from both FPC and Swissotel circle loyalty perspective.

At least with IHC, there will also be a lot of points as Raffles hotels are typically pricey.

While I would like Starwood, Hyatt, or Hilton to buy Fairmont group, but between current FPC/Swissotel Eleva vs IHC, I think IHC is still better. But that is my view only.

bigjimbo99

I have a stay at Raffles coming up next May, which I booked under the impression that it will collect the same points as any other Fairmont stay, when paid for with the Chase CC. Am I wrong?

AMRivlin

Raffles earns nothing extra on fairmont chase. Raffles loyalty system is not linked with Fairmont at this time.

rfrost

[QUOTE=Jasper2009;25474211]It's not a matter of whether IHG keeps the Fairmont brand.

The issue is that IHG's and Fairmont's hotel portfolio, corporate culture, customer service, loyalty programs etc. are hardly compatible.

I predict a major deterioration of service on all levels and a major devaluation or elimination of the Fairmont loyalty program in the mid-run should this deal go through.

+1. While I've had some issues with Fairmont service, I've found it far superior to IHG's.
I happened to read that Sunday Times article when I was in London (which ruined my breakfast). IIRC, it predicted that an agreement would be reached very quickly. (Not in the article, but I would assume that regulatory approvals in various jurisdictions would be required, so I don't think that even that's the case, a deal would close all that soon.) I'm wondering, though, about whether to amp up my spend on the Fairmont Visa--I don't value Fairmont Rewards points very highly, but I'm close enough to an Ovation cert for an additional night in a Cat D property that I would not want to see my poi ts converted to IHG points instead; and I'd like to have already hit the $12K annual spend for a free night if they decide to pull it quickly.
Pessimistic though I am, it could have been worse: that same article reported that unsuccessful bidders included Wyndham and Accor.

AMRivlin

[QUOTE=rfrost;25522889]Similar articles also all stated "Expected to close soon" Proving it is all conjecture. Until the Prince agrees to the sale, this is nothing but rumor mill.