January 27, 2006
How Brands Evolve – The Starwood and Hyatt Story
If such a thing as a six star hotel were to exist, the Crillon is it, with its sumptuous decorations and its Michelin rated restaurants, it has been the favorite of everyone from presidents (Roosevelt, Hoover, Nixon) to rock stars (Madonna, Axl Rose).
On January 25 Starwood Capital Group announced the launch of the new luxury hotel brand “Crillon” through its Societe du Louvre affiliate. The flagship of this hotel brand is the Hôtel de Crillon in Paris, which is named after the Count de Crillon whose family held the property until it was converted into the now famous hotel in until 1909. Read more about Starwood's plans at the Jetsetters Blog.
The Crillon name is a very strong one, full of the mystique and opulence of pre-Revolution Paris and this chain is sure to dominate the ultra-high end luxury hotel field. The brand name has a double blessing of not only the use of the famous Crillon name, but also the Tattinger name (James Bond’s favorite tipple), which will grace its bars. I think this is a good example of "buying" upmarket brand equity of a well-known brand name.
Not to be undone, two days before the Starwood announcement, Global Hyatt announced the brand name of its new luxury extended stay brand: The Hyatt Summerfield Suites, which came on the heels of its recent acquisition of the Summerfield Suites and a bevy of other hotels. Like Hilton, Hyatt has now bought itself into the upscale hotel market in one stroke, and while the Summerfield brand name does not carry the same cachet as The Crillon, Hyatt brings its brand equity to over 21 Summerfield hotels already in place and ready to be revamped, a nice addition to the 216 hotels (90,000) rooms it already controls worldwide.
I think it will be interesting to see which hotel makes the next move.
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» Hotel Brands: ITC India Joins the Luxury League from Name Wire: The Product Naming Blog
Indian luxury hotel brand ITC has signed an agreement with Starwood to host its premium "Luxury Collection" brand name on top of its Sheraton-connected properties in India. This gives ITC a serious global footprint. It seems that ITC has long believed ... [Read More]
Tracked on April 13, 2007 11:20 AM