IHG, Iberostar Sign Strategic Alliance Deal
InterContinental Hotels Group PLC and Iberostar Hotels & Resorts have entered into a long‑term commercial agreement for resort and all-inclusive hotels.
The new alliance will see up to 70 Iberostar hotels (24,300 rooms) added to IHG’s system under the Iberostar Beachfront Resorts brand, which will become the 18th brand for IHG. This will boost IHG’s global system size by up to 3%.
The first properties are set to join the IHG system this December and will give IHG guests increased choice in sought-after locations including Mexico, the Dominican Republic, Jamaica, Brazil and the Canary Islands (Spain).
Further properties in Spain and other popular resort destinations in Southern Europe and North Africa are anticipated to join IHG’s system over the course of 2023 and 2024.
Through this strategic alliance, Iberostar will retain 100% ownership, preserving its autonomy and values.
The portfolio of Iberostar properties will gain access to IHG’s enterprise platform, including its distribution channels and the IHG One Rewards loyalty program with more than 100 million members.
IHG in turn will increase awareness of its current brands with a new set of travellers, and meet a clear desire from guests and loyalty members for more resort destinations and the option of all-inclusive stays.
The Iberostar Beachfront Resorts brand will be included in a new Exclusive Partners category in IHG’s brand portfolio, which will sit alongside its Suites, Essentials, Premium and Luxury & Lifestyle categories.
Keith Barr, Chief Executive Officer, IHG Hotels & Resorts, said: “As we continue to expand the footprint of our world‑famous brands, we are always looking at exciting, sustainable growth opportunities in areas that can further enhance our offer for guests and owners.”
Barr continued: “Guests have told us of their wish for increased choice of resort and all-inclusive destinations within our brand portfolio. We are delighted to address that by working with such a well-respected, experienced and like-minded partner as Iberostar, and to see more amazing hotels join our system that continues IHG’s growth in so many of the world’s most attractive markets and destinations. Iberostar has successfully developed a leading presence in beachfront and all-inclusive properties in the Caribbean, Americas, Southern Europe and North Africa over many decades, and we are excited about the opportunities to further grow the brand’s footprint together.”
And he added: “This agreement increases IHG’s system by up to 3%, which helps to deliver on our ambitions for system growth. We continue to explore further opportunities for growth with exclusive partners, demonstrating the strengths and attractiveness of IHG’s enterprise platform.”
Sabina Fluxá, Vice-Chairman and Chief Executive Officer, Iberostar Group, said that: “With this agreement, we set the path to continue the outstanding growth that began 40 years ago with the creation of the Iberostar brand and which has positioned us among the top resort brands in the world.”
She continued: “The alliance with IHG combines our strengths, represents a decisive step forward in the distribution of Iberostar’s beachfront resorts, and reinforces our position as a benchmark in responsible tourism. By working together we will grow our portfolio and we are really looking forward to hosting IHG loyalty members in our collection of premium and luxury beachfront resorts and all-inclusive properties.”
Miguel Fluxá, Chairman, Iberostar Group, added: “This strategic alliance will enable Iberostar Beachfront Resorts to benefit from IHG’s industry-leading technology, deep skills and global scale. Retaining 100% ownership of Iberostar allows us to continue to generate differentiation in the hospitality industry with a long-term vision for our employees, clients, tour operators, distribution partners and local communities that have been loyal to us during all these years. We will continue to stay true to who we are, preserving our philosophies and values of quality and sustainability.”
Iberostar is a family-run business based in Palma de Mallorca, Spain, with more than 65 years’ experience in the hospitality industry, an excellent reputation for operating resorts in outstanding locations, and a strong commitment to quality and sustainability.
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Sabina Fluxá, Vice-Chairman & CEO, Iberostar Group; Keith Barr, CEO, IHG Hotels & Resorts; Miguel Fluxá, Chairman, Iberostar Group; Gloria Fluxà, Vice-Chairman & CSO, Iberostar Group Iberostar Grand Paraiso Iberostar Grand Rose Hall Iberostar Selection Anthelia Iberostar Selection Hacienda Dominicus