"From a developer’s standpoint, dual-brand properties provide economies of scale," said Navin C. Dimond, President and CEO of Stonebridge Companies/Owner of the Hampton/Homewood property. "And, with brands becoming more and more comfortable with the option, I believe the trend will only continue to grow."
Hospitality services tend to agree for the most part that the variety of rooms offered by the enterprise allow the property to attract a larger range of people to the same place. And being in one building is obviously cheaper than being in two. Plus, the brands can share personnel and common facilities, further driving down operating costs. In this economy that just won't seem to turn over off its belly, bunking up may be a way for companies to maintain several profitable brands going forward.
"The benefits are numerous," said Dimond. "Going back to economies of scale, we can have a single manager and sales team, as well as a singular back of house team. The challenge really lies in maintaining each brand’s distinguishing factors.
Now, a "trend" is called a trend because it is not without concerns or potential pitfalls (otherwise it'd just be "the way," you know?). What about the possibility of the combination blurring the line between brands? Does the whole thing just melt into one incestual atmosphere? Will it work at the management level?
So far, so good it seems, but we'll be sure to keep an eye on how these dual properties perform over the next year or two. In the meantime, write us with your experience if you stay at one.
[Photos: Hilton Hotels]