Clarion — Get Together
As a midscale focused-service hotel brand for the social and business gatherings, Clarion® helps people get together.
Today’s Clarion property operates using a model that features full-service amenities with focused-service food and beverage (F&B) offerings to help drive revenues and reduce costs.
Unless otherwise noted, all figures and statistics in this document are from the Clarion Franchise Disclosure Document, dated April 1, 2014, or from internal data of Choice Hotels International, Inc. This advertisement is not an offering. For New York: An offering can only be made by a prospectus filed first with the Department of Law in the State of New York. Such filing does not constitute approval by the Department of Law. For Minnesota: Clarion #F-1673. A copy of the Franchise Disclosure Document may be obtained through contacting Choice Hotels International® at 1 Choice Hotels Circle, Suite 400, Rockville, MD 20850, franchise_sales@choicehotels.com.
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About Clarion
Choice HotelsŽ is well-positioned to help owners of existing full-service properties improve returns with a cost-effective conversion opportunity. Clarion is focused on being the hotel provider to the corporate and groups market – meetings, weddings, reunions, vacations, and more. Clarion provides the right functional solution to costly food and beverage operations by offering a targeted program designed to reduce overhead cost.
343 Hotels Open Or Under Development Worldwide*
79% Brand Awareness Among Consumers*
51.6% Gross Room Revenue Contribution via Choice Hotels Central Channels**
*Source: Millward Brown Advertising Tracking Study full-year 2013. Millward Brown is a global marketing research firm specializing in advertising, marketing, communications and brand equity research. **Source: See Clarion Franchise Disclosure Document dated April 1, 2014. For the 43 hotels that were included in this sample, 20 hotels or 46.5% met or exceeded this amount. INDIVIDUAL RESULTS MAY VARY.
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A Prominent Global Full-Service Brand
Number of Hotels*
Clarion is a leading global full-service brand with more locations open than some comparable hotel chains.
*Source: Smith Travel Research as of February 2014. Smith Travel Research is an independent research firm servicing the travel industry. www.strglobal.com.
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A Large Global Footprint The Clarion brand family has grown by 60% in system size over the last 10 years, despite the economic downturn.
Open Properties Worldwide
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Clarion — Get Together Brand Vision Capture Corporate & Group Travel
Brand Mission Clarion Helps People Get Together
Product Full-Service Amenities, Focused-Service F&B
Campaign Get Together
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New “Signatures� help to define key brand features and amenities, further differentiating the Clarion brand among competitors in the gatherings and groups travel segment.
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Tactical Sales Support with Clarion The Clarion brand team can help with: 1. 2. 3. 4.
Starting a sales plan Capturing local business Leveraging property location Looking for fresh ideas Regional Sales Training Summits that provide expert training in leveraging local markets and networking opportunities. Third-Party Sales Experts to provide “on the job” training, classroom training and cold calling practice. Monthly Sales Webinars that focus on niche markets like team sports and reunions as well as “how to” tips on winning business. Coaching Hotline that helps find local leads, provides ideas for sales campaigns, and offers advice to overcome sales challenges.
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Clarion — Get Together What does Clarion do for you? • • •
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Group/Corporate Business Emphasis Designed to Optimize Efficiencies for Conversions Midscale “Focused-Service” Platform § Limited Operational Requirements § Scalable F&B Service Innovative F&B Support and Solutions
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Clarion Today Repositioning the Product for Business and Leisure Market
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New Brand Positioning
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New F&B Standards
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New State-of-the-Art Electronic Menu Program
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New Online Custom Collateral Market
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New F&B Training Curriculum
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New Consumer Marketing
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New Local Sales Materials
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Leading F&B Resources Satisfying guests and making money with midscale F&B is challenging, yet critical to attracting corporate and groups business. With other brands, you’ll either be on your own or have to pay extra for the kind of support that the Clarion brand provides free of additional charge: •
Free F&B Online Resource Center featuring hundreds of pages of industry studies, checklists, templates, guides and more
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Free Catering/Sales Training for everything from breakfast service to F&B optimization
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Free Catering/Wedding eMenus
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Free In-Hotel Food Solutions Partnerships
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New F&B Program The Clarion brand’s new F&B platform has a minimum of three main elements that establish a common service level but can flex up for high demand.
Catering & Lounge
Full Hot Breakfast
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Evening Meals & Pick Up Meal Service
Bistro C The New Fast-Casual Dining Concept of Clarion
Casual
Convenient
Community Connected
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Counter-forward and casual restaurant/lounge
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Hot breakfast, dinner, drinks, basic catering and carry out
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Designed to fit a wide range of existing spaces, décors and asset types
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Simplified kitchen based on ventless cooking technology
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Bistro C – The Concept One-Room Concept Designed Around the Consumer •
A Fast-Casual System With Easy-to-Integrate Kitchen Equipment
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Integrated Bar & Dining Seating Mix
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Multiple TVs
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Free Wi-Fi
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Coordinated Look & Feel
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Market-Based Menu Pricing
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Prepared & Retail Foods Menu Selection
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Efficient Labor Model
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Bistro C – The Benefits Helps Position Your Hotel for Greater Appeal to Corporate and Groups Business
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Revenue Generation
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Low Back-of-House Costs
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Consistent Good Quality
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Low Complexity
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Efficient Operation
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Purchasing Flexibility
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Bistro C – The Look
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Discounted Royalty Fees plus Cash Incentives For a limited time, qualified applicants can receive discounted royalty fees and cash incentive at opening!
Incentive Program Highlights* Discounted Affiliation Fee
Discounted Royalty Fee
Incentives
$25,000 Affiliation Fee
2.25% Royalty Fee, for the First Two Years
$35,000 Cash Incentive
(which is $15,000 off the brand standard fee)
(which is 2% less than the brand standard fee)
If hotel opens within 3 months of contract execution
$25,000 Cash Incentive If hotel opens within 6 months of contract execution
*Terms and conditions apply. See Clarion Franchise Disclosure Document dated April 1, 2014, Item 10, for qualifications and details.
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The Power of Choice Hotels Choice Hotels is one of the world’s largest lodging franchisors, with 75 years experience and more than 6,800 properties open or under development in 35+ countries worldwide.
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The Power of Global Reservations Systems
ChoiceHotels.com
Mobile Channels
Global Distribution Systems (GDS)
Customized Hotel Property Pages
Mobile & Global Positioning System (GPS) Presence
Strong Search Engine Presence
First Global Lodging Company iPhone App
More Than 150 Million Visits in 2013
Among First Industry iPad Apps
Travel Agency Preferred Status
50+ Million Mobile Site Visits in 2013
American Express速, Carlson Wagonlit Travel, Amadeus, Sabre, and more HelmsBriscoe Partnership
Call Centers Dedicated Toll-Free Number Commission-Free Reservations Global Locations Call Forwarding Program
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Online Travel Agents High Third-Party Website Visibility Cost-Effective Scale-Driven Agreement with Booking.com, Travelocity, Orbitz, Hotels.com, and more
The Power of Service & Support Choice Hotels offers top-notch service and support to drive performance.
Global Sales
choiceADVANTAGE速
Field Support
Training
Dedicated Sales Teams
Web-Based Property Management System Remote Web Access 24/7 Link to Central Reservations Systems Rate & Inventory Management 24/7 Help Desk Support
Field-Based Brand Performance Consultants (BPCs) Revenue, Market Share & Guest Satisfaction Goals Assistance Virtual Franchise Services Assistance Operations Resource Center
Expert Training Programs
Incremental Corporate, Leisure & Group Reservations Direct Sales, Telesales & Sales Blitzes Targets Travel Planners Variable Key Account Rate Plans
Procurement Services Qualified Vendors Program Simple Purchasing Process & Low Costs Procurement Manager Guidance Interior Design Assistance
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Online ChoiceU.com Courses & Resources In-Person Workshops & Certification Programs
The Power of ChoiceHotels.com More than 150 million guests visited ChoiceHotels.com in 2013.
ChoiceHotels.com, along with other Choice Hotels marketing channels, generated more than
ChoiceHotels.com continues to have high website conversion rates.
$3.1 billion in system-wide gross room revenue in 2013.*
ChoiceHotels.com drives an Average Daily Rate premium over reservations from other channels.**
*Source: See Clarion Franchise Disclosure Document dated April 1, 2014. Figure represents the revenues delivered through the Choice Hotels Central Reservations System (CRS) as well as non-CRS marketing channels. **Source: See Clarion Franchise Disclosure Document dated April 1, 2014. The average ADR for Clarion hotels in 2013 was $88.15 while the average ADR through our Central Reservations System was $90.08. For the 43 hotels that were included in this performance sample, 20 hotels or 46.5% met or exceeded this amount. INDIVIDUAL RESULTS MAY VARY.
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The Power of Loyalty – Choice PrivilegesŽ Membership has doubled since 2009. Worldwide Members (millions) More than 19 million members worldwide! Comprehensive loyalty program of Choice Hotels that rewards guests for their business. Designed to drive incremental business and improve guest loyalty.
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The Power of Marketing Leading Reservations to Your Hotel at Every Step
Industry-leading multi-brand marketing campaigns that are designed to tackle changing consumer buying pattern and deliver incremental business. More than $212 million spent system-wide on programs and promotions in 2013 designed to increase brand awareness and drive hotel reservations.* More than 15 billion media impressions in 2013, driving users to visit ChoiceHotels.com.
*Source: Figure is based on accounting records of the System Fee in 2013 and has been compiled in a manner consistent with generally acceptable accounting principles. See Clarion Franchise Disclosure Document dated April 1, 2014.
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The Power of Clarion Marketing Clarion’s brand marketing program consistently communicates the “Get Together” brand message.
Multi-Brand TV Advertising
TV Program Sponsorships and Online TV Commercials
Online, Mobile and Tablet Advertising
ClarionHotel.com & Property Pages
Paid & Organic Search
Targeted Email Marketing
SmartMarketing – an online toolkit of cost-effective professional materials and programs to help hotels execute local marketing
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In-Hotel Targeted Email Consumer Marketing Touch Points
Thank you Choice Hotels Franchise Sales: ChoiceHotelsFranchise.com | franchise_sales@choicehotels.com
Š 2014 Choice Hotels International, Inc. All rights reserved. 14-162/04/14
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Choice Hotels Franchise Sales: ChoiceHotelsFranchise.com | franchise_sales@choicehotels.com
Š 2014 Choice Hotels International, Inc. All rights reserved. 14-162/04/14