International hotel groups beat hasty retreat from China market
A hotel ranking list based on room counts shows local economy hotel chains topping the charts while major international hotel groups are shrinking in scale.
A hotel ranking list based on room counts shows that economy hotel chains continue to top the charts while major international hotel groups are shrinking in scale.
China Tourist Hotels Association’s “2014 Top 60 Tourism Hotels in China” released this week shows that economy hotel chains that are quicker to expand dominate the top five rankings, and Homeinns boasting 316,175 rooms in 2,810 hotels claims the top rank.
On the other hand, growth is slowing for international hotel groups that previously enjoyed a huge market share and rapid growth in China, and some of them are even in rapid decline. Intercontinental Hotel Group saw its hotel network shrink 33.6%, from 360 hotels in 2013 to 239 hotels in 2014, and slip from sixth to eighth in the ranking.
More astonishingly, Hilton Hotels and Resort’s has plunged from ninth place in 2013 to 29th place in 2014. Hilton’s China presence nosedived a whopping 71.7%, from 184 hotels with 63,739 rooms in 2013 to only 52 hotels with 19,428 rooms in 2014. In just one year Hilton sold or gave up rights to two-thirds of its hotel operations in China.(Translation by David)