WHITE PLAINS, N.Y. -- St. Regis, one of the most famous names in
the hotel industry, will more than double its presence by this
summer.
Starwood's St. Regis Luxury Collection started the year with
only two properties carrying the St. Regis name: the flagship St.
Regis in New York and a resort in Aspen, Colo. This year will see
three additions: the St. Regis Washington opened on April 12 and
St. Regis properties in Houston and Philadelphia will open in May
and July, respectively.
Doug McKenzie, vice president and brand manager for St. Regis
Luxury Collection (which includes the five St. Regis properties and
more than 50 other hotels in 22 countries), said that Starwood is
looking to bring the St. Regis name to other markets. Although
declining to be specific, he said Starwood is looking at potential
properties.
Candidates are hotels in international gateway cities or in
upmarket resorts (such as the St. Regis in Aspen).
Sean Hennessy, director of the hospitality and leisure practice
at PricewaterhouseCoopers, a New York-based lodging research firm,
said that Starwood is looking to expand the St. Regis name because
the luxury segment of the market is projected to be very strong for
the next few years.
Although few people can afford a $600 hotel room, Hennessy said,
there are relatively few ultra-luxury hotels competing for
customers within that segment. And the combination of few rooms and
high rates can be is very profitable, in part because an increase
in room rates falls straight to the bottom line.
For instance, the cost of cleaning a room stays constant, so a
rate increase of $1 means that the hotel gets an additional dollar
without incurring further cost.
Starwood is being cautious about the development of the St.
Regis name. McKenzie, who has been involved with the entity now
known as St. Regis Luxury Collection for about 27 years, discounted
the notion that bringing the St. Regis moniker to more properties
would tarnish its image.
Because hotels in the St. Regis Luxury Collection are encouraged
to reflect their locales, McKenzie said the St. Regis properties
will remain unique. The St. Regis Washington will have a Washington
flavor, just as the St. Regis New York has a New York touch.
"Starwood is focusing the hotels on the highest quality level,
and it is trying very hard to not have the hotels be regimented or
in strict conformity with a brand standard," Hennessy said. "[The
company is] trying to allow individuality in the properties in that
high-level segment."
Service in the new St. Regis hotels will be modeled after the
standards established by the St. Regis New York. This means that
employees of the new properties have to be re-trained in how things
are done at a St. Regis.
Rebecca Andrew, director of brand integration for St. Regis
Luxury Collection, is one of the key people in this process. Andrew
shuttled between Starwood headquarters (in White Plains, N.Y.) and
the St. Regis Washington, making sure that the training process was
going smoothly. The Houston property is next on her list and,
presumably, the St. Regis Philadelphia soon thereafter.
"Some of the things that set us apart are the ways we are able
to anticipate guest preferences and needs, and the ability to do
that is only made possible by having standards in the way we
operate," said Andrew, who joined Starwood in September after
previous stints at New York's Waldorf-Astoria and the New York
Palace.
For example, employees are trained to find out as much as
possible about a guest at the time of reservation. According to
Andrew, this means what kind of bedding a guest prefers, what time
he or she expects to arrive (so a fruit plate can be placed just
prior to arrival) and preferences for the minibar.
These details are discussed in a meeting of all department heads
the day before customers arrive. This daily meeting "is probably
the most important thing we do," according to Andrew.
The St. Regis is known for its butler service. The butler takes
care of many of the guest's needs prior to arrival and during the
customer's stay. This kind of accent on service means that
customers come back: Andrew estimated that 75% of the St. Regis New
York's business, a high percentage, comes from repeat
clientele.
Because St. Regis Luxury Collection is focusing on the
development of the St. Regis name, it might be easy to forget that
there are more than 50 other properties in the brand that don't
carry the name, and some of these are among the most famous hotels
in the world.
Hennessy said that with new construction prohibitively
expensive, conversion probably will be the primary method for
adding St. Regis properties. The new Washington property, for
example, was formerly the Carlton and the Houston property was
known as the Luxury Collection Hotel, Houston. The Philadelphia
hotel most recently was a Ritz-Carlton hotel, although Starwood
owned it.
Further growth of the St. Regis name is still in the future, and
currently the St. Regis Luxury Collection is concentrating on
getting its newest St. Regis properties up to the standard they
expect.
When will the new St. Regis properties be considered a success?
Andrew's answer: "When we have people from the St. Regis New York
staying in Washington or Houston and Philadelphia and going back
there as well."