Starwood Hotels and Resorts Worldwide Inc (Starwood), a global hotel company, said it remains bullish about China, with the nation expected to become one of its top three markets around the world in the next 10 years.

As a major part of its commitment to China, the first international hotel company to enter the nation recently unveiled its new branding position worldwide, including China.

"China's economy is steadily picking up, and inbound and outbound travelling is growing which encourages us to build more hotels here. I also believe this growth . is unstoppable," said Miguel Ko, president of the Asia-Pacific region.

The firm has 25 hotels covering five brands Sheraton, Westin, Four Points, St. Regis, and Le Meridien. It also has another 25 hotels under construction which will be opened by 2009.

"I predict that in the next three years, it is very likely we will get more than 50 hotel management contracts in China," he added.

According to Ko, Starwood is proud of its local hotel business performance. "They are profitable. The average margin is above 50 per cent," he said.

Sales from Starwood China hotels now account for 20 per cent of the firm's sales around Asia, and that figure is expected to climb to 50 per cent in the next 5 to 7 years.

Around the world, Starwood has eight brands in total, and "we will introduce all the others into China in the next three years, but our focus is more on the existing brands."

Sheraton, the strongest brand of the company, has 16 hotels in operation in China and 12 being developed.

In the last few years, Starwood has seen increasing interest in China in its other brands such as Westin, St. Regis and Four Points, a brand aimed at travelling middle-managers.

"We will also introduce a new brand Aloft. It is trendy, easy to build up with low investment, and I believe it will become popular in the next five years," said Ko.

To gain customer loyalty and make itself different, the company this year began a worldwide branding campaign.

"International hotel brand images are becoming fussy, they share many things in common so customers will shop around and easily change for a lower price," Ko said. "But a strong brand can deliver a promise, making consumers less sensitive about price and translating into loyalty."

In the last few months, Starwood has been working hard redefining its brands and developing innovative signature services that communicate each brand's unique positioning.

"We now believe we should not be just in the business of selling beds or guestrooms, but rather experiences and memories," said Ko. "Our associates will act as our brand ambassadors."

In the months to come, the company will introduce various initiatives reflecting this redefined positioning.

As the first international hotel company beginning its local operations in 1985, "we are also a leader in branding, as the whole hotel industry is still not focused on it."

Source: China Daily