Choice Hotels’ Cambria Brand: From Upscale Struggles to Market Competitor

Choice Hotels has made significant strides in expanding its upscale portfolio with the Cambria brand, originally launched in 2005 to break away from its well-known midscale and economy offerings like Quality Inn and Comfort Inn. While the brand initially faced challenges entering the upscale market, it has since grown to 74 open properties with another 62 in development, according to Indy Adenaw, Senior Vice President at Choice Hotels.

The Cambria brand’s journey wasn’t without its hurdles. After its debut in Boise, Idaho, in 2007, its all-suites design—aimed at young, high-income urban professionals—proved difficult for developers to embrace in major cities due to the larger room sizes. The brand’s uptake was slow until 2014, when a redesign introduced more varied room types and revitalized public spaces. Lobbies were revamped with a focus on bars and local influences, while guest rooms were updated with larger, spa-like vanities and minimalist decor, enhancing both guest satisfaction and operational efficiency.

One of the key obstacles was securing financing for new construction projects. To address this, Choice Hotels introduced a conversion model, allowing developers to reflag and renovate existing hotels under the Cambria brand. This strategy streamlined the process for developers to secure loans, significantly boosting the brand’s growth. Choice Hotels invested over $400 million between 2017 and 2021 to open Cambrias in major markets.

Despite its traditional asset-light business model, Choice Hotels now owns seven Cambria properties, allowing for a more hands-on approach to brand refinement. The conversion model has proven particularly effective in urban areas, where developers have repurposed landmark buildings, such as a former office in Dallas, to create new Cambria hotels.

Building on its urban success, Choice Hotels introduced a new design in 2021 to bring Cambria to secondary and leisure markets. Adjustments were made to ensure cost-effectiveness, including reducing kitchen sizes and menus to cater to the unique preferences of guests in these regions.

Today, Cambria stands as a strong competitor in the upscale market, driving comparable revenue per available room to rival brands such as Courtyard by Marriott, Hyatt Place, Aloft, and Hilton Garden Inn. The brand’s evolution from initial challenges to market success showcases Choice Hotels’ adaptability and commitment to expanding its reach in the hospitality industry.

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