Investment

Kempinski offers taste of China

By Bao Chang (China Daily)
Updated: 2010-09-15 07:51

BEIJING - German luxury hotel group Kempinski Hotels SA is set to launch a new brand in China in a bid to win more customers in the nation.

"It's our first Chinese brand. The first hotel of the new brand will be built in Beijing by 2012," Michael Henssler, president of Kempinski China, told China Daily.

Key International Hotels Management Co Ltd, the 50-50 joint venture established by Kempinski and Beijing Tourism Group, will manage the new hotels.

According to Henssler, the new hotels will be at a five-star level, with their decoration, catering and services tailored to Chinese tastes.

The German hotel group, which has been operating in China for 18 years, plans to open 40 to 50 of the Chinese-style hotels globally.

"Kempinski attaches great importance to Chinese customers' requirements as the Chinese market is growing at a very fast speed," Henssler said.

Currently, revenue generated in the Chinese market accounts for 10 to 15 percent of Kempinski's global business.

At Beijing Kempinski Hotel, around 50 percent of its customers are from overseas, most of whom are from Germany. With the new brand, Kempinski hopes more Chinese guests will come to its hotels.

Apart from the Chinese market, Kempinski is also planning to deploy the new brand in overseas markets, as outbound travel from China is growing at a staggering rate.

"We want to provide Chinese international travelers with a Chinese lifestyle to make them feel at home when they stay in our hotels, no matter whether they are in China or abroad," Henssler said.

By 2020, China will have the most international travelers, accounting for 9 percent globally, according to international tax refund company Global Blue.

Lured by the big potential of the Chinese market, more and more companies are rolling out new brands to suit Chinese tastes.

Denim giant Levi Strauss & Co unveiled its Denizen brand in Shanghai last month, targeting China's young and upwardly mobile consumers. It's the first time the California-based company has launched a new brand outside its headquarters in the United States.

This month, French luxury brand Hermes plans to launch a new line known as Shang Xia, which will only be sold in China.

During Expo 2010 Shanghai, Chanel introduced a handbag shaped like a takeaway carton for Chinese food. Hong Kong-based hotel group, Shangri-La is also planning to open a new Chinese-style hotel in Paris next year.

China Daily