ABVI Celebrates 10 Years And Looks Ahead

While Americas Best Value Inn spent part of its annual convention this week celebrating its 10th anniversary, chain officials devoted more time to looking forward. The membership group, which recently passed the 900-property mark to become the 10th largest hotel chain, plans to keep its focus on fundamentals while growing the brand and enhancing member value.

At the convention’s Wednesday afternoon general session at the Golden Nugget Hotel in downtown Las Vegas, founder and CEO Roger Bloss and CFO & COO Bernie Moyle told the crowd of 800 that the company “broke all the rules this year” by increasing staff and services, despite the downturn in the economy. The 20-percent increase in staff gives the chain a 40-to-1 corporate staff to property ratio, which Bloss and Moyle says is the highest in the hotel franchise business.

As expected, much of the chain’s emphasis has been on marketing, particularly promotions and partnerships, as well as more typical online and offline marketing and advertising. These efforts yielded more than $1.5 million in incremental marketing value in 2009, said chain officials. The overall marketing effort has produced impressive results, with reservations volume growing nine percent this year. In addition, the portion of total reservations through Vantage’s (ABVI’s parent company) websites has increased from 16 percent in 2006 to 36 percent this year.

Even as ABVI and sister brand Lexington beef-up its marketing and service offerings, Bloss and Moyle outlined what they expect from members. The pair issued what they called “the Vantage challenge,” a series of steps all members need to take to ensure continued health of individual properties and the brand. They include nurturing key staff, renovating properties as economically possible, reinvesting in local sales and marketing and keeping tabs on relevant industry trends.

Growth for the Vantage brands in 2010 will center on both the U.S. and internationally. Bill Hanley, who heads Vantage’s international development, said the philosophy is “measured growth and only where it benefits existing members and brands.” Outside of the U.S., the company is focusing on several areas, including Canada, China, India and the Middle East. Recent deals include partnerships with developers in Canada and the Middle East to develop those regions. In Canada, where five ABVIs joined the system this year, a target for 2010 will be the Lexington brand.

Another new initiative in the works is the development of Lexington Vacation Homes, a luxury homes rental business.


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