The Story Of Holiday Inn And How Their Franchise Business Model Became The Worlds Fastest Growing Franchises.
The Holiday Inn brand was firstly founded in 1952 in Memphis, Tennessee, USA by a builder Kemmons Wilson. His initial idea was to build accommodation for clients travelling around the USA. The first Holiday Inn was built on Summer Avenue in Memphis, this is the main road to and from Nashville. After the initial success of the Holiday Inn in 1954 Wilson built the chain with another businessman Wallace E. Johnson. Wilson came up with the idea of developing the chain when he had taken a family road trip to Washington DC, he was dissatisfied with the quality and condition of the roadside motels that he and his family had to stay in, that he decided to build himself.
When Wilson saw there was a need for such a service he rapidly began to franchise the business and it expanded radically. Wilson was enthusiastic for the future Low Cost Franchises to abide by his initial ideals of the properties being clean, standard, predictable, family friendly and available to road travellers. The development of the Low Cost Franchises was so quic that by 1958 there were 50 Holiday Inns across the USA, one hundred by 1959, five hundred by 1964 and the 1000th Holiday Inn opened in San Antonio, Texas, USA in 1968. The franchise was the leader in the motel market, it formed a unique booking system for travellers across the USA and put substantial pressure on chief hotel chains at that time. The business model still sets the standard for many leading brands today such as Travelodge, Best Western and Days Inn chains.
The Holiday Inn is still a widely famous company but changing business surroundings saw the franchise lose its lead as the markets dominant force in the 1980s. In 1988 Holiday Inns International was purchased by UK based Bass Brewers, a minute later the rest of the Holiday Inn properties were also bought as Wilson sold the last of his interest in the organisation. Today the Holiday Inn is still owned by the original Holiday Inn Group and rented as a franchise to Intercontinental.
The Holiday Inn franchise is still one of the most well-known hotel chains in the world. So if you are looking for a Franchise Opportunity or a Franchise For Sale in the leisure business then the Holiday Inn should be prominent on your list. The Low Cost Franchises across the world still live up to Wilson’s principles but add much more for today’s market such as restaurants, room service, swimming pools and fitness suites. The franchise has tapped into the business market by offering 24 hour business packages, meeting facilities and offering frequent business clients that chance to receive points towards future stays with their Priority Club Rewards scheme.
Since the take over in 1999 to Intercontinental Hotels Group PLC the product has taken further stages in becoming the market leader once again with the use of technology, marketing and support programs in the Low Cost Franchises. A Franchise Opportunity within this industry and within the Holiday Inn franchise has never been more appealing. If you are one of these people looking for a Franchise For Sale with the Holiday Inn then the total investment cost depends on your district, the ongoing royalty cost is 5% and the term of agreement is 10 years and is renewable.
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