Dive Brief:
- Choice Hotels International’s upper midscale Country Inn & Suites by Radisson brand saw a 19-point increase in RevPAR Index, a 20% increase in direct online contribution and revenue growth from group and business travelers year over year as of December, the hotel company announced Monday.
- Country Inn & Suites joined Choice’s portfolio through its 2022 acquisition and integration of Radisson Americas. Increased digital traffic and higher booking conversion rates driven by the integration have also led to new hotel development commitments for the Radisson brands, including 38 new Country Inn & Suites added to the pipeline in the last two years, per Choice.
- Following the integration, Choice has made a concerted push in higher-tier segments to cater to shifting franchisee and guest demand.
Dive Insight:
Country Inn & Suites’ performance growth comes after Choice introduced a refreshed guest room design for the brand in 2023, including “sophisticated finishes, subtle color accents and functional furnishings,” according to the company.
Choice found that because of the refreshed design, 84% of guests said they “would likely stay” at a Country Inn & Suites hotel.
Choice has debuted brand enhancements across several of its Radisson flags in recent months as part of its larger push in upper-tier segments. Updated visual identities for its upscale Radisson, Radisson Blu and Radisson Individuals brands, particularly, aimed to “challenge norms in the upscale segments,” according to a January release.
Industrywide, upper-tier hotels are expected to see the highest RevPAR growth this year, driven by changing traveler behavior, STR and Tourism economics forecasted in November.
Beyond design updates, Choice has invested in technology and operational support across its portfolio, including the Choice Hotels Revenue Optimization Consulting Services that has driven property-specific growth for Country Inn franchise owners.
According to Choice, upper midscale hotels that engaged with ChoiceROCS sustained an average 2% more in RevPAR Index year over year, compared to hotels not in the program.
In April, Choice promoted Judd Wadholm as senior vice president and general manager of core brands, tasked with driving the growth and performance of Choice’s nine upper midscale, midscale and economy brands in the U.S., including Country Inn & Suites.
“Country Inn & Suites by Radisson has performed well above the goals we set out for the brand when it joined the Choice family of brands two years ago,” Wadholm said in a Monday statement. “We are committed to a long-term strategy to give this brand an even stronger edge in the competitive upper midscale segment and to unlock additional channels for our owners to help grow their revenue.”
