The Huazhu Partner Conference was held in Changsha recently. Ji Qi, founder of Huazhu Group, said at the meeting that the hotel industry is currently in an "era of resilience", and another period of hotel investment has emerged. The advantages of brands and chains are becoming more and more prominent, and the chain rate of hotels in China has been gradually increasing in recent years.
At present, the chain rate of China's first-, second-, third-tier and fourth-tier cities is % and 14% respectively, compared with more than 70% in developed countries, China's third- and fourth-tier cities have more room for growth.
Through field visits to 172 prefecture-level and county-level cities in the past three years, Ji Qi further summarized the hotel investment logic of the "Resilient Era" as "four lows" and "four precepts", that is, low-line market, low cost, low investment and low leverage, and abstain from impetuousness, high and high-spirited, and avoid high-profile. Hotel investors should also choose "good brands, good products, and good rents" to prevent risks in hotel investment in lower-tier cities.
At the meeting, experts in the hospitality industry believed that the consumer market of the hotel industry is undergoing significant changes, and at the same time, social networking has given birth to more niche tourist destinations. While destination hotels are booming, the creation of lifestyle products has become the consensus of the hotel industry. Strengthening R&D and innovation, and continuously providing more diversified and high-quality tourism accommodation products and services can help the high-quality development of the hotel industry.
Since the beginning of this year, Huazhu Group has received more than 2 guestsWith 500 million visitors, it has covered 96% of China's prefecture-level cities and 42% of county-level cities, with an average of 4 Huazhu hotels opening every day. As of September 30, 2023, the Group operated 9,157 hotels in 18 countries, with 885756 rooms in operation, and operated 31 hotel and apartment brands, covering the luxury to budget markets.
Huazhu Group.