Keys to go the franchise way

Keys Hotels has announced that it will use franchise model as part of its expansion strategy to meet its target of operating 52 hotels in India and abroad by 2015-16.
Berggruen Hotels has reportedly already been receiving proposals for franchise agreements. The move, which will allow owners to manage their properties, comes at a time when the owning community is showing signs of great maturity. Keys is marketing the benefits of its brand name and its various sales and marketing initiatives, advanced IT solutions such as centralised reservation systems and customer feedback systems to ensure an upsurge in the performance of potential franchisees.
Speaking on the new business model, Sanjay Sethi, MD and CEO, Berggruen Hotels said, “With a strong portfolio of 31 owned and managed hotels across India and a highly skilled and experienced core management team, we have developed one of the largest sales forces in the country and offer the best-in-class sales and marketing strategies.By franchise associations, we will be able to extend these high-end resources to the large part of the unstructured hotel industry irrespective of their location, and help improve their top line revenues along with gaining deeper penetration of brand Keys in the country.” He further added, “Our franchisees will be valuable to us and we will take utmost care while seeking franchise partnerships to ensure there is synergy in thought process and larger goals for both parties”
Keys Hotels is keen on looking at more partners who can benefit from value-driven approach of the company in franchising their hotels under Keys brand name and has been preparing and sharpening its central infrastructure and marketing backbone to ensure uncompromised support to each of its hotels. Currently Keys Hotels has a total portfolio of 31 hotels of which 12 are in operation while 19 properties are in various stages of development, slated to open in due course of time.