Jetsettersblog

KUALA LUMPUR – Tune Hotels.com –Tune Hotels.com, the limited service hotel brand providing a “5-star sleeping experience at a 1-star price”, has entered into a strategic partnership with Evolution Capital Public Company Limited to franchise a roll-out of 44 Tune Hotels.com hotels across Thailand, China, Bangladesh, the Philippines, and Indonesia.

Evolution Capital, listed on the Stock Exchange of Thailand, is a real estate investment advisory and management firm focused on the hospitality and branded residential sectors, with ownership interests in resorts currently under development in Thailand.
Under the terms of the strategic partnership, the first 24 Tune Hotels.com hotels are targeted to be in development by early 2010 and operational by 2012 with staggered roll-out of the subsequent 20 hotels to be completed by 2013.

Mark Lankester, Group CEO of Tune Hotels.com said, “This expansion affirms our confidence in Thailand’s tourism and strong commitment to the Thai market. Despite its recent troubles, Thailand remains a great prospect for both leisure and business travelers. With its combination of lower living costs together with an increase in the number of flight deals, it is no surprise it is consistently ranked ‘Best Value for Money’ by the Country Brand Index (CBI).

Thailand has become the globally leading tourism destination for those seeking to stretch their hard-earned income, and it’s a natural fit for Tune Hotels.com to expand our limited-service brand of hotels here. An investment in building hotels is never to be made with a short term view, and while there have been challenges, we believe the Thai government is committed to promoting tourism as one of the most important sectors within the Thai economy and we’re delighted to have found the right local partner in Evolution Capital to work with Tune Hotels.com in assisting the government in that effort. “
Simon Gerovich, Managing Director & President of Evolution Capital, said, “With the proliferation of low-cost air carriers such as AirAsia, passengers are now able to travel, in many cases for the first time, between Asia’s major cities at incredibly competitive prices, but they are challenged by having to pay ‘full service’ prices for hotel accommodation when they arrive.

Travellers these days are more savvy and inquisitive – they want to get out and about, and see as much as they can and because they are spending less of their time in their rooms, they are understandably opting to spend less of their budget within the hotel itself and more on and at the destination’s attractions.

The economy sector of the market in Thailand, and indeed in most parts of Asia, is largely dominated by domestic chains and individual hotels that have variable standards, lacking the consistency of service and facilities that all travelers demand.

There remains a huge demand for clean, safe branded low-cost accommodation in Asia’s most popular destinations.

The Tune Hotels.com limited service model has proven itself to cater very well to this demand and we are very excited to partner with TuneHotels.com in spreading this fresh concept throughout a growing number of destinations in Asia.”
Gerovich continued, “Evolution Capital has always sought out unique investment opportunities in the hospitality industry. The Tune Hotels.com model really stands out in many ways, but particularly in how it gives consumers far greater right over the management of their resources, not just financially but also environmentally. With the spread of environmental conscientiousness there is a corresponding interest in ecologically-responsible consumption.

The Tune Hotels.com pay-as-you-use system for air-conditioning, laundered towels, and other energy-consuming amenities allows travelers to opt in or out of services which have an impact on the environment.

These add-ons are available for a small fee, and should guests choose not to take these options, not only do they save money but also contribute to preserving mother earth’s resources. This directly encourages a less wasteful, more conscientious lifestyle, which an increasing number of travelers and consumers are keen to adopt. TuneHotels.com is an extremely exciting hospitality model and we are delighted to be rolling out this new experience across the region.”

Mr. Gerovich concluded, “Tune Hotels.com’s branded limited service concept presents a great opportunity for Evolution Capital to tap into the value-based travel boom.

Unlike in North America and Europe, here in Asia there has been relative under-investment in the budget hospitality sector, which is a proven business model worldwide.

By placing branded limited service hotels in strategic locations, we shall cater not only to international long-haul travelers but also to the short-haul Asian travel markets.

This is part of the travel market which is underserved by hotel developers, even though this particular market sector is less susceptible to unforeseen adverse global events and economic volatility.

This under-investment creates an opportunity for Evolution Capital to deliver a branded, demand-driven, quality product to the public while also generating attractive financial returns. By leveraging Tune Hotels.com’s proven brand, team expertise, and operational model, Evolution Capital expects that such investment will present significant growth in the near future.”
Mrs. Juthaporn Rerngronasa, Deputy Governor Marketing Communications, Tourism Authority of Thailand, applauded the strategic partnership between Tune Hotels.com and Evolution Capital PCL to bring the limited service hotel brand Tune Hotels.com into Thailand.

Mrs. Rerngronasa said, “The TAT believes that Tune Hotels.com’s arrival into Thailand will do much to grow the pie of tourism dollars in total, non-Thai as well as Thai. With the Tune Hotels.com limited service concept encouraging guests to spend less within the hotel itself, more spending power will be activated outside the hotel, within the local business ecosystem.

With more consumers opting to have a ‘5-star sleeping experience at a 1-star price’ so that they can spend their hard-earned income on shopping, dining and recreational pursuits outside the hotel, I can only imagine that this partnership will be lauded not only by consumers, but also Thai companies catering to both the leisure and business tourism markets.”

Mrs. Rerngronasa continued, “We have studied the Tune Hotels.com model, and its optimised use of all resources, right from its space-efficient building design, to the omission of costly, underutilized full service facilities, all the way through to Tune Hotels.com’s innovative pay-per-use concept for energy consuming amenities like air-conditioning and laundered towels.

The Tourism Authority of Thailand commends Tune Hotels.com in-built commitment to responsible tourism, welcomes Tune Hotels.com’s new pay-per-use concept and hopes the propagation of such conscientious consumerism will further develop Thailand’s responsible tourism strategy. ‘’

Similar to low-cost carrier airlines, Tune Hotels.com employs a self-service online booking system that encourages guests to book as far in advance as possible on www.tunehotels.com to enjoy exceptionally low prices.

Tune Hotels.com’s rates are kept low by employing a ‘limited service’ concept where underutilized hotel-operated facilities like swimming pools and gyms are omitted and cost savings are passed on to the guest.

For more information email michelle.iking@tunehotels.com , biresh@tunehotels.com  or info@evolution.co.th , and for hotel bookings visit www.tunehotels.com