IHG plans to expand hotel portfolio in Việt Nam from 16 to 40 properties
IHG Hotels & Resorts, a global leader in the hospitality industry, has unveiled ambitious plans to expand its presence in Việt Nam by increasing its portfolio from 16 hotels to over 40 properties, bringing its room count from approximately 4,800 to 12,000.
IHG Hotels & Resorts, a global leader in the hospitality industry, has unveiled ambitious plans to expand its presence in Việt Nam by increasing its portfolio from 16 hotels to more than 40 properties, bringing its room count from approximately 4,800 to 12,000.
This significant growth will include the addition of six new hotels by the end of next year, introducing two new brands to the market, and increasing its brand offerings in Việt Nam from seven to nine.
Rajit Sukumaran, IHG's Senior Vice President & Managing Director for East Asia & Pacific, revealed on Thursday during a media briefing the company’s expansion plans, adding that Việt Nam is experiencing a surge in international travel, driven by new air routes connecting it with various cities across Asia.
Việt Nam welcomed nearly 14 million visitors in the first ten months of 2024, with projections to reach 18 million by year-end, a remarkable 41 per cent increase from the previous year.
He emphasised the company’s commitment to Việt Nam’s tourism growth.
Sukumaran said: “We are thrilled to see travel fully returning to Việt Nam, a country rich in beautiful destinations. IHG is dedicated to growing alongside this market through strong partnerships and leveraging the expertise of our regional and global teams.”
IHG has steadily grown its presence in Việt Nam’s luxury hotel sector over the past 17 years, beginning with the opening of the InterContinental Hanoi Westlake in 2007. Currently, IHG operates 10 luxury properties in eight destinations under its Six Senses, Regent Hotels & Resorts, and InterContinental Hotels & Resorts brands. The company plans to further expand its Luxury & Lifestyle portfolio, with the debut of Vignette Collection in Hội An and Hotel Indigo in HCM City.
Focus on high-end tourists
The company’s leaders reaffirmed their commitment to maintaining its position as a leader in Việt Nam’s luxury hotel sector, offering world-class tourism concepts and experiences.
Vivek Bhalla, Managing Director for South East Asia & Korea at IHG, highlighted the growing demand for lifestyle and luxury brands in Việt Nam and the Vietnamese Government is working to attract wealthier tourists. Especially, the Hanoi Department of Tourism is focused on expanding four- and five-star luxury hotels to meet this need.
He said: “There is significant long-term potential for Việt Nam to attract high-end tourists seeking unique, personalised experiences, and the country is well-positioned to offer that. Local governments are also progressive in their efforts to target this consumer base.”
To appeal to this market, the Government should prioritise upgrading tourist attractions, developing a skilled workforce, and accelerating digital transformation, Bhalla added.
Besides its luxury & lifestyle segment, IHG is also expanding its premium and mainstream hotel brands. The company has five Crowne Plaza properties in the pipeline, alongside rapid growth for its premium voco brand, with Quảng Bình Resort set to open soon. The Holiday Inn family continues to drive growth for IHG, with plans for nine additional properties in Việt Nam, adding to its existing locations in Sài Gòn and Hồ Tràm.
The representative from IHG Hotels & Resorts shared that they see significant potential to introduce more midscale brands to the Vietnamese market, including new names such as Garner, Staybridge Suites, and Holiday Inn Express. This confirms that Việt Nam is a strategic market for IHG.
“We are committed to supporting Việt Nam ambition to be one of the top travel destinations globally,” Sukumaran added. — VNS
