Starwood eyes lucrative Chinese tourism market

In addition, Starwood’s coverage is broadening to include more than the major Chinese cities. “Many of our newly-opened hotels in China are in second- and third-tier cities. Aloft Nanhai in Foshan, Guangdong was just opened, and we expect another one in Zhengzhou in July.”

Chung said the company is also establishing themselves in Central China, where there is a lack of international hotel brands and a rising demand for high-quality service. “The upcoming Westin Wuhan Wuchang is a good start for this strategic move, and this trend will continue.” Starwood is also set to expand in Western China, and their St. Regis Lhasa has thus far outperformed expectations.

“Besides that, we opened our first Luxury Collection – the Astor Hotel, in Tianjin last year. It is also doing better than we thought.”

Chung thinks guests today demand more choice, hence why Starwood is committing to broad expansion across China. “People don’t just want to visit major cities like Beijing or Shanghai anymore. They are searching out new destinations,” said Chung.

“More people own their own cars, and high speed train networks are improving, making travelling much more convenient. Many are opting to leave the city for short trips on long weekends.”

The Chinese Government is focused on tourism promotion and Starwood is taking full advantage of this golden opportunity. “Coverage expansion in China can also benefit our businesses abroad,” said Chung. “If guests get to know our brands here and are satisfied with them, they are more likely to choose our hotels when they travel abroad.”