Brand Finance, a global brand valuation consultancy, has rated Taj’s parent Indian Hotels Company (IHCL), a Tata Group company, as the ‘strongest hotel brand in the world’ in its annual ‘Hotel 50 2021’ report.
Nearly $23 billion has been lost in brand value by the topmost hotel brands in the world during the pandemic. “Value of world’s top 50 hotel brand has declined by 33% in the aftermath of the COVID-19 pandemic. Despite a 30% decrease in brand value, Hilton remains the most valuable hotel brand in the world. Hyatt is the fastest growing brand, recording a 4% growth in brand value. IHCL, a new entrant in the top 50, is the strongest brand, with AAA rating,” as stated in the report.
Puneet Chhatwal, MD & CEO, IHCL, said, “Taj being rated as the ‘world’s strongest hotel brand’ is a proud moment for the Indian hospitality sector. It is a testament to the trust placed by our guests and the warmth the employees have embodied every day. We will continue to deliver the magic of Tajness to all our stakeholders and elevate the experience of luxurious hospitality.”
David Hugh, CEO, Brand Finance, said, “We are thrilled to announce Taj as the world's ‘strongest hotel brand.’ Despite the challenges posed by the ongoing pandemic, the brand, with a century of history and a custodian of revered Indian hospitality, has remained resilient. Travellers from all over the world have relied on and tested brands in various ways, and Taj has come out on top.”
The top 10 most valuable brands worldwide stated in the report are Hilton, Hyatt, Holiday Inn, Hampton by Hilton, Marriott International, Shangri-La, Intercontinental, DoubleTree by Hilton, Crowne Plaza, and Sheraton. The five strongest brands are- Taj, Premier Inn, Melia, NH Hotel Group, and Shangri-La.
Brand Finance evaluates the relative strength of brands on various parameters such as customer familiarity, marketing investment, corporate reputation, and staff satisfaction. “According to these factors, Taj is the world’s strongest brand. It has a Brand Strength Index (BSI) of 89.3, out of 100, and therefore, an AAA rating.”
In the list of top 50 hotel brands, the top five positions are allotted to US majors, namely, Hilton, Hyatt, Holiday Inn, Hampton Inn, and Marriott, while Taj stands at number 38.
“Taj's successful implementation of its five-year plan — focusing on selling non-core assets, becoming less ownership driven, and reducing reliance on the luxury space — followed by the quick adoption of its new R.E.S.E.T 2020 strategy, which provides a transformative framework to help the brand overcome the challenge of the pandemic, has contributed to the brand's re-entrance into the ranking at the 38th spot for the first time since 2016,” says the report.
Source: Times of India