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Case Studies

Network Planning

From market repositioning to new hotel openings and existing site modifications, network planning is one of the greatest – and most daunting – opportunities for investment and growth in the hotel industry today. In seeking to expand brand footprints, hotel executives must be able to assess, prior to a high-stakes, high-risk investments, the incremental impact of expansion on the portfolio as a whole.

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Among the issues facing hotel executives seeking network expansion are:

  • Which brands are well positioned for future growth in key US markets?

  • How can a brand  most effectively expand its  hotel footprint in international markets?

  • What specific potential new hotel locations in a given market are the best opportunities for each brand?

  • How would adding a new hotel in a specific location affect key performance metrics including RevPAR, length of stay, profit, and franchisee ROI?

  • How will a new hotel opening or a competitor closing affect surrounding hotels?  What would be the impact of our accepting a hotel franchisee who would otherwise open a hotel with a competitor?