Bloomington, Minn.
– Carlson Rezidor Hotel Group's Radisson brand plans to complete renovations
across its portfolio in the United States and Canada this year, turning the
final corner on its five-year plan to reinvigorate the brand in the region.
Speaking here last month at the Americas brand's Americas
annual business conference, Carlson Rezidor Americas president Thorsten
Kirschke said that about 75 percent of Radissons in the United States have
undergone renovation since Carlson launched its "Ambition 2015" plan
in 2010. By the end of this year, renovations of all properties should be
complete, making Radisson "the most renovated … upscale brand of an
international nature in North America," he said.
During that same period, Radisson also has been removing
underperforming hotels from its brand. With 4,200 new rooms opened in 2013, it
was the first year since that process began that Radisson opened more rooms
than it removed, Kirschke said.
The brand has begun to see tangible results from those efforts,
Kirschke said. Its score in J.D. Power and Associates' 2013 North America Hotel
Guest Satisfaction Index Study increased more than any other hotel brand. It
also had the most improved score of any upscale hotel brand in Business Travel News' 2013 Hotel Chain Survey.
Carlson Rezidor Hotel Group chief commercial officer Suzy Riesterer
said she's also seen an impact on the corporate sales side, although she
expects to see more when negotiations for next year's programs begin this
summer.
"We've seen a lot of acceptances of our hotels into
[requests for proposals] this year, and we're still getting some trickling in
yet " Riesterer said. "Because some of the hotels were just in the [renovation]
process this last quarter, we might expect the biggest jump to come next year,
when we enter the RFP season with a significantly renovated portfolio."
Riesterer added that Carlson Rezidor plans to add nine new
global salespeople to its team in 2014 and also should benefit on the corporate
side from its recent addition as a preferred partner in the Americas for HRG.
Radisson continued to grow its upper upscale Radisson Blu
brand in 2013. Although it remains a brand situated largely outside of North
America, it added two properties in the United States last year: one at Mall of
America here and the converted Radisson Blu Warwick Hotel in Philadelphia. Radisson
Blu also opened properties in Kuwait; Maputo, Mozambique; and Sochi, prior to
the 2014 Winter Olympics.
For the entire Carlson Rezidor Hotel Group, systemwide
revenues in 2013 increased by 4 percent year over year, to $7.5 billion.
Carlson increased its share of revenue from global distribution systems, direct
bookings and digital channels—which now accounts for 65 percent of room
revenue—by 4 percent compared with 2012, the company reported.
Signings for new hotels were up 43 percent compared with
2012, including 33 new hotels adding a total of more than 6,400 rooms in
Europe, the Middle East and Africa. Two-thirds of Carlson Rezidor's new hotel
signings were in such developing markets as Brazil, China, India, Indonesia and
Russia, according to the company.