Magnuson Hotels reports 220 Wyndham franchise conversions
September 17, 2013
Magnuson Hotels, the world’s largest independent hotel group, today announced the conversion of 220 Wyndham Hotel properties to its low cost brand and marketing platform.
The 220 Wyndham Hotels switching to Magnuson Hotels encompass 40 US states, Canada and UK since August 2005. Approximately 50% of the conversions have occurred within the past 24 months.
Market conditions contributing to the 220 Wyndham Hotel conversions are detailed in a new overview of the US Franchise Deficit. The Magnuson Worldwide report states that as global economic growth slows with simultaneous hotel industry commoditisation, hotel operators seek lower cost substitutes to regain profits.
Magnuson attributes the 2010-2014 five-year economic impact of US hotel franchising at $272 Billion in lost revenues to hotel owners and surrounding communities. The report states that the $272 Billion US Franchise Deficit is comparable to the US Deficit; any slight incremental economic growth is far outweighed by unproductive and unnecessary spending.