Skift Take
Is Best Western's bet on a franchise model, its first in 70 years, a sure thing? We'll have to give SureStay some time to prove itself as a viable brand alternative for franchisees in the economy and midscale spaces, two categories that are often overlooked by the industry.
For the first time in its 70-year history, privately held Best Western Hotels & Resorts is getting into the franchise business by applying a traditionally retail business — white labels — to the hotel industry.
Similar to how some manufacturers might sell a white-label product to certain retailers, SureStay Hotels Group will be a white-label hotel product. SureStay will operate as a separate subsidiary of Best Western, allowing individual hotel owners to have access to Best Western's infrastructure (sales, marketing, revenue management, training, their own website, etc.) and distribution channels, without having to adhere to stricter Best Western hotel standards or pay as much as they would for a management agreement.
There's no mention of Best Western in any of the hotels, and SureStay will also have its own website and mobile app.
Within SureStay, there are three brands to choose from — SureStay Hotel (Premium Economy), SureStay Plus Hotel (Lower Midscale) and SureStay Signature Collection (Midscale Soft Brand).
Of the name, CEO David Kong told Skift, "These segments don't provide much assurance to consumers out there — there's no comfort or reassurance because it's basically a price buy. We have to differentiate ourselves through superior customer care and provide that reassurance whether it's through TripAd
