- 87 - postulations: that, generally, brand name is a less significant factor to hotel guests than location; chain hotels constitute a much smaller percentage of the international market than that of the U.S. hotel market; smaller hotel chains have lower brand awareness; there was no premium paid for Hyatt International hotel rooms over competitors’ rooms; there was a small number of guests from the United States (who would be familiar with the Hyatt name) traveling to the Asia-Pacific area where most Hyatt International hotels were located; the percentage of U.S. guests in most Hyatt International hotels was below market average; and the Hyatt International group management fees were lower than average. We do not accept the Mercer conclusion that the Hyatt name has no value in the context of international operations. Hotel location may be an important or possibly even a primary factor in a guest’s hotel selection; however, it has been shown that brand name is an important factor in attracting certain categories of guests. BVS found that trade names are important for incremental business, even where most of the reservations were secured through local contacts. Petitioners argued that Hyatt International hotels earned no premium on the rates they charged as compared to other competing hotels. Hyatt International hotels, however, competed favorably with luxury hotels, including those run by Hilton International, reflecting that the HyattPage: Previous 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 Next
Last modified: May 25, 2011