Doubletree Club Climbs To First In Midprice With F&B

<B>Doubletree Club Climbs To First In Midprice With F&B</B>

By Bruce Serlen

Squaring off at the top of the midprice chains with food and beverage category in this year's survey were three well-known brands, well-known if not in their own right then for the image and reputation of their more established parents. Competing in a crowded field of 14, the three in order of ranking are: Doubletree Club Hotels, Four Points by Sheraton and Courtyard by Marriott.

The journey to the top was most pronounced for Doubletree Club Hotels, which occupied the number four spot in the 1999 survey. Four Points by Sheraton and Courtyard by Marriott, on the other hand, were already in the winners circle. All three estimate business travelers comprise 75-80 percent of room bookings.

While midprice chains that offer food and beverage have their own distinct niche, they aspire in many ways to the full service and other quality assurances of the upscale brands. To that end, last year they deployed new technology and self-service offerings and enhanced other amenities to provide even more value for the business travel dollar.

At Doubletree Club, the distinguishing characteristic is that the focus on the business traveler is evident as soon as you walk in the door. "What we've done is move the business amenities front and center--from the guest room right to the lobby," said David Horton, vice president of marketing. "In other words, the lobby doubles as the business center along with the lounge area and restaurant. All the business features in the lobby are self-service, which business people say they prefer because of convenience and efficiency." Also in the lobby are four small conference rooms.

Not surprisingly, Doubletree Club Hotels earned the highest score in the survey for the quality of its business center. Similarly, it beat the competition for having the most helpful and courteous staff and on the overall relationship between price and value.

Likewise at Courtyard by Marriott, the emphasis is on providing business services in a "semi self-service" way, though the lobby remains lobby-like. "Our franchise is with the business traveler," said Michael D. Hutter, brand vice president. "In fact, thanks to close scrutiny of guest feedback, we feel we were invented by the business traveler and that's how we continue to evolve."

At Four Points by Sheraton, the emphasis is more on personal service. "Very often, the business traveler wants all the amenities of a full service hotel, but for whatever reason--price, location--that isn't possible, so we provide the most reasonable alternative," said Jane Mackie, vice president of brand marketing.

Four Points hotels, which are mostly located in second and tertiary markets, are smaller than full service Sheratons and staffing levels more modest. "But they get the job done," said Mackie. "There may not be a bell staff for delivering faxes, for example, but the front desk goes out of its way to ensure that business travelers receive them right away."

The three chains all have elaborate growth plans, including international development on the part of Four Points and Courtyard. "There's a need for moderately priced lodging outside the United States, where corporate travel buyers can feel comfortable sending their people because they know they can get a level of service consistent with what we provide here," said Hutter. There are already Four Points in Europe, Israel and Africa and Courtyards in the United Kingdom, Germany and China. Expect to see a push into Latin America next, particularly in Mexico and Argentina.

It's no coincidence that the three chains have the parent companies' name as part of the brand, according to Lalia Rach, director of the Center for Hospitality, Tourism and Travel Administration at New York University.

"Many new brands don't have a strong identity and it lessens the chance they'll survive. In the cases here, business travelers who may not have any association with the names Club Hotel, Four Points or Courtyard will invariably recognize--and have associations with--Doubletree, Sheraton and Marriott," Rach said. "It's a kind of insurance."

Corporate travel buyer Linda Riley agreed. "It helps to have the brand name included because it gives the traveler a point of reference," said Riley, who manages corporate travel for International Dairy Queen in Minneapolis and is president of the Minnesota Corporate Travel Association.

But there's also a risk if the sub-brand doesn't measure up--for whatever reason, according to Rach. "You run the risk of disappointing the guest and, ultimately, diminishing the reputation of the parent brand," she said.

There's also another, less obvious, factor at play, according to one travel manager. "By including the parent name, it alerts travelers that they can earn points in the parent's rewards program by staying at the property. This is a very persuasive draw for many travelers because they get to keep the points," said Rose Alvies, travel coordinator for ING Security Life in Denver.

"The problem is that the property may not be on the preferred list for that destination--and travelers need to book listed properties if we're to make our budget numbers," said Alvies, who is also president of the Rocky Mountain Business Travel Association.

Given the size and market share commanded by the midprice chains' parent companies, it makes sense for the brands to negotiate national accounts under the parent companies' umbrella. In the case of Doubletree Club Hotels, that means Hilton Hotels; for Four Points by Sheraton it means Starwood Hotels & Resorts Worldwide; and for Courtyard by Marriott it means Marriott International.

"In this way, we're able to cover all the corporate travel buyer's needs, brand by brand, and make sure the program works as a whole," said Four Points' Mackie. "It's one-stop shopping at its best and the more volume you bring to the table, the better position you'll be in.