August 2014 Report on the Development of Boutique Hotel Brands in China’s Hotel Industry

　　(1) The former Beijing GL Hotel, owned by COFCO Property, will be renamed W Hotel and officially come under the management of Starwood Hotels & Resorts Worldwide. Industry insiders believe this move is part of COFCO Property’s strategy to divest some underperforming hotel assets. It also signals the growing marginalization risk faced by domestic high-end hotel brands.

　　(2) Starwood Hotels & Resorts Worldwide announced an agreement with Hainan Jianfeng Tourism Development Co., Ltd. to develop China’s first W Resort — Sanya Haitang Bay W Resort — in the most popular and quintessentially Sanya-style northern wing of Haitang Bay, Sanya. The resort is expected to open in 2019.

　　(3) Recently, Industrial and Commercial Bank of China held an online and offline payment product launch event in Beijing’s Financial Street. The Shuxiang Hotel Group signed a cooperation agreement with ICBC, gaining the opportunity to directly provide hotel and catering services to nearly 4.12 million corporate clients and 259 million individual customers of the bank.

　　(4) Huajiantang, a boutique hotel brand born in Lijiang, Yunnan in 2009, plans to establish 14 locations across major Chinese tourist destinations, with four of them set to open soon.

　　II. Analysis of Boutique Hotel Brand Influence in August

　　Indigo is an international chain of boutique hotels under InterContinental Hotels Group, the world’s largest hotel company. Since the opening of the first Indigo-branded hotel in Atlanta, USA in 2004, there are now 52 operational properties and 47 in the pipeline, spread across North America, Europe, the Middle East, Africa, and Greater China. Since entering China in 2010, Indigo has opened four hotels (including those in Hong Kong, Macau, and Taiwan) and has seven more in development.

　　Indigo Hotels are known for their fresh design, personalized service, and unique integration of local culture, offering guests endless inspiration and a delightful stay. From the artworks on the walls to the locally inspired cuisine, every detail reflects the essence of a true boutique hotel experience, guaranteed to refresh and surprise.

　　Take the first Indigo Hotel in China — Indigo Shanghai on the Bund — as an example. Located at the 140-year-old Shiliupu Wharf on Shanghai’s Bund, the hotel’s design employs a timeless and fusion approach. Whether in the lobby, front desk, corridors, or guest rooms, the old Shanghai neighborhood culture blends seamlessly with views of the Huangpu River, capturing the charm of 1930s Shanghai while also presenting the openness and vitality of a modern international metropolis. In terms of guest service, the seated service style and open front desk create a relaxed and friendly atmosphere. For the stay experience, guests can enjoy the “Riverside” leisure space for tea and reading or watch classic films in the “Movie Space Capsule.” It is this locally inspired design and service philosophy that enables Indigo to deliver an extraordinary travel experience and fully embody the essence of boutique hospitality.