InterContinental Hotels Group (IHG) has announced plans to introduce a new midscale hotel brand aimed at filling a gap in the U.S. market. Currently operating 12 brands—fewer than some comparable hotel groups—IHG designed this new concept to serve an underserved segment estimated to represent more than 14 million guests and roughly $20 billion in annual industry revenue.
According to Richard Solomons, CEO of IHG, the new brand will complement IHG’s existing midscale offerings, including Holiday Inn and Holiday Inn Express. “This new brand builds on IHG’s leading position in the midscale segment,” Solomons said, “addressing the needs of a rapidly growing and underserved category. We believe it will shape the future of this unique midscale market and extend our track record of innovation and brand development—delivering the right offering for guests, owners and shareholders.”
The brand’s name, logo and full visual identity will be announced later in the year. Initial indications are that the launch will begin in the United States, positioned at a price point roughly $10–$15 below Holiday Inn Express.
Room configurations in the prototype include a 220-square-foot king room and a 275-square-foot queen room, both designed with built-in workspaces and open closet storage with a luggage shelf. Guest bathrooms emphasize an excellent shower experience, while in-room technology features smart TVs and options that allow guests to stream content from their personal devices. Public areas are planned and arranged to support working guests, reflecting the growing demand for flexible workspaces within hotels.
Guest-facing technology will include mobile check-in and check-out, IHG Connect enhanced WiFi, and a range of in-room entertainment options. The brand will also offer a complimentary breakfast program with signature branded options, paired with a premium coffee experience to enhance value and guest satisfaction.
The concept is optimized for new construction on lots averaging around 1.5 acres. The prototype envisions a compact, efficient hotel of 95–100 keys with a minimum of three stories, providing a scalable footprint suitable for suburban and urban fringe locations. IHG plans to make the brand franchise-ready in the fall of 2017, with initial hotel construction slated to begin in early 2018 and openings targeted for 2019.
With this move, IHG aims to capture travelers looking for midscale accommodations that combine value, comfort and modern technology. The brand is positioned to attract both leisure and business travelers seeking a straightforward, work-friendly stay at a slightly lower price point than existing midscale options.