LAS VEGAS — InterContinental Hotels Group and Las Vegas Sands have inked a deal to bring the Palazzo and Venetian resorts under IHG’s luxury InterContinental brand.
The companies announced the alliance Monday at the opening of IHG’s annual conference for owners and investors in the Americas. The alliance takes effect early next year.
Although the Las Vegas resorts will retain their independent identity, they will gain access to IHG’s sales channels, websites and 52 million-member Priority Club Rewards program. The properties will be called InterContinental alliance resorts.
"This is very advantageous to us," said Michael Leven, president and CEO of Las Vegas Sands, noting that he expects the alliance to drive up rates and group bookings
In the past, Leven said, most major as Vegas hotels have operated outside of the global branding arena and its associated sales channels. But since the downturn, which hit Las Vegas hard, he said the advantages of such an affiliation have become clear.
"This really should have come up earlier," he said. "We simply cannot reach enough customers as two independent hotels."
Marriott recently signed the soon-to-open Cosmopolitan in Las Vegas to its Autograph Collection, which represents a variety of independent hotels.
Unlike Marriott, however, IHG is not looking to launch a new brand or collection, said Jim Abrahamson, president of the Americas for IHG. Still, he said IHG is looking for other opportunities around the globe to sign "select, established" resorts to the InterContinental brand.
Abrahamson said the alliance with Sands will give IHG customers "access to leading luxury resorts in Las Vegas."
"Las Vegas is the most requested destination for our Priority Club Rewards and Ambassador members, and these resorts epitomize the glamour of Las Vegas and provide world-class experiences that perfectly fit with what our guests want from InterContinental Hotels & Resorts," said Abrahamson.
The hotels, which combined have more than 7,000 suites, are both rated as Five Diamond properties by AAA.