Motel 6 veteran Jim Amorosia last year was named CEO of the budget-hotel brand, which is owned by Accor and whose name stems from the per-night room rate at its first hotel in 1962. Amorosia is instituting design improvements at about 10% of the chain's 1,100 North American hotels this year, with hopes of rolling out the upgrades to the rest of the chain over the next few years. He talked about the changes and the budget market with hotels editor Danny King.
Q: What kind of improvements are being planned for Motel 6 properties?
A: It depends on the particular market. [A full retrofit would include] new wood-effect flooring, new coloring, accents in lobbies, changing all the signage, flat-screen TVs -- the guest is very aware that something's occurred. There are also some sustainable developments: solar [energy] systems used for common areas, roof reflectors to reduce heat, HVAC change-outs. Slightly older assets may change out windows to double- or triple-pane.
Q: How do you persuade the hotel owners to make the necessary investments?
A: Our franchisees are in a hand-in-hand relationship with us. The owner-operated group was already putting in the improvements before we required the franchisees to put them in. They saw the returns we were getting. The franchisees were lining up at the gate to get the opportunity. We've been very pleased by the acceptance of the guests.
Q: You've been with the company for a quarter-century. Has the typical Motel 6 guest changed?
A: The guests still want everything they know they need and nothing that they don't. They don't want to pay for something they don't use. We don't put into that price things like free breakfast, and if someone wants something, we put it in at a nominal charge.
Q: Some analysts have said that budget chains won't recover as quickly as higher-end hoteliers because the travel-spending rebound will be predominantly through wealthier customers. Where does Motel 6 lie in all of this?
A: I'm looking forward to a terrific 2012. We're very pleased in the growth we've seen in the first quarter; it's higher than what we projected. Whether it matches up with the upper-end chains, I can't answer that.
Q: A recent Hotels.com survey said free wireless Internet access is the most preferred amenity among U.S. hotel guests, yet Motel 6 charges $2.99 a night for it. Could that change?
A: One can never say never, but we've seen increases in our WiFi take. The guest is happy to pay the nominal amount, and even with that fee, we're still the lowest price of any major chain.
Q: Last year, Accor said it would try to sell a number of Motel 6 properties as part of its effort to reduce debt and added that it would consider selling the chain outright. What's the status on those two processes?
A: We're in the middle of that. Where we do sell, we try to sell back to the franchisee, but it really depends on the particular type of product. Accor is open to all possibilities at this point in time. There's nothing active, but they're certainly going to listen to offers.
Q: Do people still think that longtime Motel 6 spokesman Tom Bodett runs the company?
A: There might have been a time way back when where it might've not been as clear, but I think the American public's aware that he's a spokesman. But the employees still want to leave the light on for the guest.
For hotel and hospitality news, follow Danny King on Twitter @dktravelweekly.