THE hotel industry is becoming more competitive worldwide because of maturing markets in the West and overbuilding in some Asian countries, so it is essential for properties to be connected to a global reservation system which will give them access to a global market.
For smaller hotel chains and individual hotels, the cost of setting up such a system will be an enormous financial burden.
Because of this, Intercontinental Hotels will spin off its Global Partner Hotels and Resorts (GPHR) arm into a separate operating division.
Global Partner, with small hotel chains and independent hotels, will operate as an alliance which will allow smaller operations to be connected to the Intercontinental global reservation system.
Charles Brownfield, head of Global Partner, said setting up a reservation system was cost prohibitive for smaller operations because it was expensive to set up a global reservation system and embark on a worldwide marketing programme.
Global Partner allows a member hotel to take advantage of its worldwide sales force and innovative marketing programmes while retaining its own brand name and customer base.