Our strategy
We are focused on unlocking ways to execute our established and successful strategy at a faster pace, and accelerate growth. Our Strategic Model sets out our approach and is central to our commitment to delivering long-term high-quality, sustainable growth in cash flows and profits.
Through our Strategic Model, we focus on value-creation by building preferred brands, delivering a superior owner proposition, leveraging scale and generating revenue through the lowest-cost, direct channels. We concentrate on a targeted portfolio that, together with disciplined execution of our strategy and a commitment to doing business responsibly, will drive superior shareholder returns.
In an increasingly competitive environment, IHG is well placed to accelerate the growth of our core business, as well as maximise returns on new initiatives such as the addition of new brands to our portfolio.
Value creation: delivering industry-leading medium term net rooms growth
Model
- Build & leverage scale
- Strengthen loyalty programme
- Enhance revenue delivery
- Evolve owner proposition
- Optimise our preferred portfolio of brands for owners & guests
Targeted portfolio
- Attractive markets
- Highest opportunity segments
- Managed & franchised model
Disciplined execution
- New organisational design will redeploy resources to leverage scale and accelerate growth
- Initiatives funded by company-wide efficiency programme
- Capital discipline & balance sheet philosophy remain unchanged
Whilst doing business responsibly
Measuring our success
We measure our performance with a set of carefully selected key performance indicators (KPIs), which monitor our success in achieving our strategy and delivering high-quality growth.
How we drive demand
Scale
More than 5,400 hotels and 810,000 guest rooms in almost 100 countries
Brand portfolio
We have 15 brands serving different guest needs all around the world
IHG ® Rewards Club
More than 100 million enrolled members
Web/Mobile
Mobile friendly branded websites, offering over 100 brand/language combinations
Your Rate
Exclusive rates for IHG Rewards Club members when they book direct
76% rooms revenue delivery*
Food and Beverage
Non-rooms revenue, the majority of which is F&B, contributed approximately 15% of total gross revenues for IHG in 2017
Reservation system
9 global call centres around the world, covering 13 languages
Revenue Management
World class systems
Sales force
Global Sales force of nearly 18,000
System Fund
Annual fund to maintain marketing and systems that generate demand for our hotels
*Definition: This figure relates to rooms revenue delivered to hotels through bookings made directly with IHG, bookings by IHG Rewards Club members made directly with hotels, and bookings made via Online Travel Agencies and the Global Distribution System.