Hampton Inn Targeting Smaller Areas

LOS ANGELES-Mid-price lodging giant Hampton Inn has announced a new type of product designed for relatively small markets and says that many of the new facilities will be built on the West Coast.

Memphis, TN-based Hampton Inn is a limited-service lodging chain sponsored by LA-based Hilton Hotels Corp. Phil Cordell, an SVP for Hampton brand management, says each of the new projects will have fewer than 60 rooms and will fit into non-MSA markets of 10,000 or fewer residents.

Such markets, Cordell says, are usually only served by economy brands and could benefit from a mid-priced lodging product that charges between $65 and $75 a night. He cites statistics from Smith Travel Research that indicate one of every 10 lodging stays is in one of these smallerareas, which are often characterized by having either a small college or one large manufacturing plant.

Cordell says that roughly half of the growth of this particular model of Hampton Inns will come along the West Coast, in the Northwest and Mountain States. Cordell estimates that there are roughly 500 cities in the US where the new prototype could work.

The SVP says Hampton is already scouting potential sites and lining up local franchisees. The chain hopes to open its first small Hampton Inn by the first quarter of next year.