The Role of Brand Affiliation in Hotel Market Value [Summary]

The research found that hotel brands affect the market value of four hotel brands(midscale with F&B, midscale without F&B, upscale and upper scale). It is advantageous for hotel owners to realize the role of hotel brand in hotel market value when they make a decision for positioning and flagging. For the hotel brand management team, it is strongly recommended to assess brands’ effects on hotel market value in order to reinforce the entire value of the brands. This can lead to the improvement of brands’ franchise sales. Based on those analyses, the owner might consider changing the brand to get better market value in the market. But they need to be careful considering any penalties from the abandonment or availability of the desired brand in the market.