Days Inn Group signs new deals, eyes middle class

Updated: 2011-10-24 11:26

By Wang Linyan (chinadaily.com.cn)

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As of October 2011, Frontier Group has successfully signed two new hotels under the Days Inn brand with Zhigao Group and Tianci Group. The signings of Days Hotel Zhigao Huainan and Days Hotel Tianci Jian Men Guan signified the beginning of a new partnership for Frontier Group.

Days Hotel Zhigao Huainan, expected to open at the end of 2012, will be a four-star hotel located in Huainan city, Anhui province. Zhigao Group plans to invest in an area of 2,000 acres in the Huainan Animation Technology Industrial Park.

Days Hotel Tianci Jian Men Guan, a four-star hotel located in Guangyuan city, Sichuan province, has already begun trial operations. The hotel is set in the Northern Sichuan hot spring resort area.

The portfolio of Singapore-based Frontier Group include hotel projects investment, management, leasing, franchising and consultancy services. In 2004, Frontier Group entered into the hospitality market in China, and set up representative offices in Beijing and Shanghai.

"Since entering the Chinese market in 2004, we have spent the past seven years successfully developing Days Inn China into one of the top brands of China's upper-mid tier hotel market. As early as 2003, we were able to foresee the success of upper-mid tier hotels due to China's development prospects and a gap in the mid-market hotel sector. We decided early on to forgo high-end luxury brands in order to develop hotels that would meet the needs and lifestyles of China's rising middle-class. The responses of the consumer market and our competitors have shown us that we are indeed moving in the right direction,"said Frontier Group President Ted Fang. Frontier Group will continue our investment and development in China, bringing new investment philosophies to each of our future projects."

In addition to the new projects, Days Hotel Group opened four new hotels this month, including Days Hotel & Suites Changsha City Center (5-star), Days Hotel Suzhou (4-star), Days Hotel Changsheng Jiangyin (4-star), and Days Hotel Legend Mudanjiang (4-star).

Days Inn China CEO Harry Tan believed that local governments' willingness to invest will play a large role in China's economic development process over the next 10 years, and competition will no doubt become more intense.

Tan said that second- and third-tier cities are experiencing vibrant economic development, which creates a demand for hotels, especially internationally branded chains."The current market trends are an affirming reflection of the clear-cut positioning of our hotels in the upper-mid tier hotel market," he said.