IHG Acquires Kimpton
 

This sounds interesting. I wonder if they're keeping the Kimpton brand?

IHG agrees to acquire Kimpton Hotels & Restaurants to create the world's largest boutique hotel business

I think this is great for IHG members.

IHG is very low on having hotels with any character.

Completely agree this is great news. Will be a nice complement to Hotel Indigo and some great locations (particularly in California and the west where IHG is lacking too many decent hotels). Seems that it will remain a separate brand run by the existing COO.

Are we sure these hotels will join the IHG rewards program?

They haven't said anything yet, but are there any IHG hotel brands that don't allow IHG rewards at all the hotels under a given brand? IC hotels Ambassador program may be canned at some point; and even if it weren't eliminated, I doubt that IHG is going to want to have Priority Club/Rewards, the Ambassador program and a Kimpton program.

I am pretty sure we'll see these hotels join the IHG rewards program, but I'm just guessing like I guessed earlier yesterday that it would be IHG buying Kimpton.

Why? People chose hotel over the reasons of value, convenience, price, location, service and brand loyalty. Only a tiny small fraction of people chose hotel over character.

I like a hotels character, and thankfully many IC's have that. I think the poster was referring to the low end properties in the chain such as HIX. That said, I've even stayed at some HIX's that weren't purpose built that had a little character of their own. And of course there are several Indigo hotels that already fit this bill.

Excellent news!

Even if some Indigo hotels are pretty nice, I think that they are not exactly boutique hotels per se (ie: trendy, stylish and not only small by size).

Kimpton hotels may be more really boutique hotels (even if we are far from Hyatt's Andaz or Marriott's Edition.

Big, big, big news!

IHG will of course integrate them into IHG rewards since they want to grow the brand overseas. I expect integration probably mid to late 2015.

Also, it fills a strategic hole for them in many US cities. What IHG brand with some cachet below an Intercontinental is there in Boston? Nothing in Philly, at all. Not much in the Phoenix area, though I will give you that SF will have many. Anything in DC other than the Intercontinental and the Crowne Hamilton -- now look at it in the downtown core and the sister city suburbs! I was wondering when DC would get an Indigo and now that issue is superfluous! Look at coverage in the business areas in Chicago and LA now!

This move fills a needed hole that IHG had which many of the other major US chains did not have for it now puts an IHG flag on an upscale footprint in many US downtown city business and leisure centers.

Not exactly the strategic move of all international chains who need to attract new GenY customers with lifestyle brands (W with Starwood, Mama Shelter and Sofitel So with Accor, Andaz with Hyatt, Edition with Marriott, etc.).

This is not a niche segment anymore as this generation of customers is expected to represent 40% of customers in the next 5 years.

This would be great news for me on the earning side if the Kimpton properties were just a touch cheaper for work. They're about 20% too high right now in most cases, because I often don't need the great locations which Kimpton typically selects.

But for redemption... if they can put some of the smaller Kimptons at 40k, I'll be thrilled.

I spent my first night as a married man in a Kimpton hotel.

The Alexis Seattle.

As a Kimpton user (albeit my second or third choice most of the time) I like this as it makes ICG more attractive to me as my alternative chain. I like the Kimpton brand as it means unique properties with very guest oriented service. Adding the expanse of the ICG properties makes them a better shot at being my go to (after Hilton).

The email that Kimpton sent me about their Karma program says that nothing is changing yet to that program but they indicate that changes will occur and that they will ensure they respect the value of my loyalty and accumulated Karma awards.

I agree, this is a great move by IHG to increase its presence in the business hotel market in major cities.

I think Kimpton would immediately become my second-favorite IHG brand (after IC), and probably the only one other than IC I would sometimes stay at.

Well... I am hoping that the IC Ambassador and Royal Ambassador status scheme is extended to the Kimpton brand, instead of the IHG gold/platinum which doesn't give much benefit.

http://www.ihg.com/hotels/us/en/glob...porate/kimpton

The way I see it is they will keep the loyalty programmes separate for the time being...

IC Ambassador and Royal Ambassador need to go away. There needs to be only one loyalty program with multiple levels for IHG. Hopefully this purchase, with a chain with another loyalty program, will push them closer to that goal.

NO! Never. Intercontinental is a special chain of hotels that should not be mixed up with HI's, HIX's and the like. If anything, change the name Kimpton to Intercontinental Boutique and apply the AMB and RA to it.

So how are the mini-bars at Kimpton hotels anyway? :p

Ahh.....that was my very first luxury hotel I ever stayed at!

Back in 2000 (I was about 21) we used to drive up to Seattle for raves and we would always stay there! I LOVE that place!!! ^^^

There is absolutely no reason to believe that the integration of the Kimpton program will change anything in the policy of IHG regardings its IHG Rewards and Ambassador loyalty programs.

If one program means XYZ being the top their, and XYZ can be had by getting a $49/year credit card, then no thanks. IC Royal Ambassador, now, can only be had by people showing true loyalty and spending lots of money at IHG and IC hotels. And, the recognition of this status is commensurate with that.

Well there is not a "Kimpton" hotel. The names of the hotels vary with some repeated names (Like Monaco) that adhere (loosely) to a certain style. But really Kimpton is an eclectic collection of hotels and small hotel chains.

But I think you are on the right path. The Intercontinental brand and how IHG has maintained it separate from the lower service level HI and HIX's is exactly how I think Kimpton's hotels should be fit into IHG. It would allow for IHG to maintain many of the features and aspects of Kimpton hotels and the recognition and benefits of being a loyal Kimpton guest. But there will be some branding issues. Do they put "Intercontinental" into the names of each hotel, or do they let the Kimpton group of hotels be its own subclass in the luxury end of IHG's services?

Not gonna happen.

They could simply create the "Kimpton Collection" name, such that all the hotels in the Kimpton Hotel and Restaurant Group group will be part of the Kimpton Collection.

60% of hotels worldwide (except for the US where it is only 40%) do not belong to a chain.

That is why hotel groups try to attract independent hotels (same story for Autograph Collection with Marriott or MGallery with Accor) to :
- increase their market shares in a poorly consolidated market
- face competition against internet site like Booking.com (which to some extent are doing the same business as franchise hotel groups: not owning hotels but having powerful booking systems)
- meet GenY customers who are looking for more creative/less standard hotels.

I'm Marriott Platinum Elite as well as IHG Platinum Elite...My status means just as much, in its own way, at a Fairfield Inn as it does an Autograph Collection or Renaissance Hotel...and every Marriott brand hotel in between. There is no reason to have 3 different loyalty programs as will soon occur. My status, and I assure you that I stay at more IHG hotels in a year than you do, should be the same at all IHG brands...period...under ONE program.

Agreed: having (essentially) no status at IC's is bad enough, but to have that at two chains would be even worse. I recognize that folks who are very loyal guests at those brands deserve something, but there has to be some way to standardize it a bit chain-wide.

If they take away the exclusivity of RA, then there will be no value to RA. Same at a lesser degree for AMB. IHG please do not dumb down your excellent program to the masses.

Ambassador has no exclusivity -- AFAIAC -- when anyone with a couple hundred dollars can get it. RA is exclusive and has become more so -- but I wouldn't be surprised if it becomes so exclusive that it gets axed.

A couple hundred dollars is its own form of exclusivity. But as I said, less so. ;)

People have been saying RA would be axed for years, but it's been going on for what, 20 years or more even back to the old Six Continents days. I think there are enough serious business travelers that IC enjoys and they won't get rid of the program.

I agree the rest of IHG rewards is poor and benefits are uncertain on a property by property basis. I only stay at IHG properties for RA, take that away and I take away my 100+ nights.

If anything IHG should extend RA recognition with clearer tangible upgrade benefits at non IC properties (this already happens at selected CP's)

Just logged into the IHG home page. There is now a "Kimpton Hotels" button to click on the top of the page.

Well, it is just a (discreet) link to the corporate internet site announcing Kimpton now part of the IHG family.

No ability yet to book a stay at Kimpton on ihg.com

It took IHG about 3 months to integrate Candlewood (their last brand acquisition) into what was then Priority Club back in 2004 so hopefully this sets a precedent. The press release states the transaction doesn't close until early 2015 so there certainly won't be booking via any IHG channels until then.

Yes, but if all goes according to plan and a realistic rate of integration, one should be able to use the free nights generated by Into the Nights by 4th quarter of 2015 and perhaps earlier!

The Kimpton acquisition was finalised today so hopefully the work now starts to integrate into IHG Rewards.

http://www.ihgplc.com/index.asp?Page...15&NewsID=3372

FAQ's on Kimpton Website
 

Somewhat hidden but helpful:

https://www.kimptonhotels.com/ihg-faq

Anyone hear anything more recently? I hear crickets...