Soft Brands and their impact on the hotel industry
Source: http://www.tfgassetmanagement.com/news/hospitality/the-march-of-soft-brands-and-their-transformational-impact-on-the-hotel-industry.aspx
Franchising has risen in popularity across the hotel industry in recent years providing operators with a cost-effective means of breaking into new markets. It provides owners access to a powerful brand but allows them to manage their properties themselves.
While it provides owners the flexibility to operate their own properties under a recognised brand, there are "brand standards" - significant rules, procedures and restrictions.
This has given rise to the proliferation of soft brands, or "umbrella brands", employed by established international hotel operators to meet the demand for unique hotel experiences.
They appeal to hoteliers who don't want to be beholden to the such strict standards while gaining the benefits of being part of a strong distribution network. Some of the best-known examples are The Autograph Collection by Marriott Hotels & Resorts and the Ascend Hotel Collection by Choice Hotels.