Cendant Hotel Group this week announced a repositioning of its Ramada brand to make the midprice chain more appealing to business travelers. Cendant said substandard hotels would leave the system, though the company declined to quantify how many properties that might entail. There are more than 900 Ramadas in the system, the vast majority of which are in the United States.
"Among several initiatives designed to re-establish Ramada's value proposition, the brand will mandate high-speed Internet access at every property, renovate hospitality areas and upgrade its complimentary breakfast and bathroom amenities," said Keith Pierce, brand president.
The upgrade is an effort by Cendant to distinguish Ramada from its roster of eight other midprice brands in the minds of travel buyers and travelers. The only other Cendant brand to specifically target business travelers is the newer, and much smaller, Wingate Inns International, which was one of the first brands industrywide to offer complimentary high-speed access. High-speed access consistently ranks as a high priority for business travelers.
The move to upgrade the chain comes on the heels of Cendant's September acquisition of Ramada International from Marriott International
(BTNonline, Sept. 15). Ramada hotels outside the U.S. tend to be positioned in the full-service category, many with meeting space and three-meal-a-day restaurants. That deal is scheduled to close by year-end.
Many buyers offered travelers more midprice options to book during the industry downturn that began in 2001. This year's rebound in demand, however, caused midprice chains to be concerned about remaining among buyers' preferred providers.