Hotels In Canada To Be Linked With International Brand

30th Nov 2000

Canadian Pacific Hotels & Resorts Inc., owners of the Fairmont Hotels & Resorts, Canadian Pacific Hotels and Delta Hotels brands, today announced that the Fairmont Hotels & Resorts brand will be extended to its luxury properties in Canada. Individual hotel names of historic significance will be retained.

Canadian Pacific Hotels & Resorts Inc., which acquired 67% ownership of Fairmont Hotels & Resorts in October of 1999, has been operating its hotels in the US, Mexico, and the Caribbean under the Fairmont brand for the past year, using the Canadian Pacific Hotels name domestically. According to William R. Fatt, Chairman and CEO of the company, there was a need to consolidate the hotels under one flag. ``By putting all of our hotels under one brand, we will be able to create a consistent sales message and grow the company internationally. We are already the largest luxury brand in North America with 37 hotels and approximately 18,600 rooms. This is a Canadian success story, and we intend to build on it aggressively.``

Many of the hotels currently under the Canadian Pacific Hotels flag have historical significance. The company will be retaining these names. ``We recognize and respect that these are not generic hotels—they have individual names that are well known in the communities where they are located.`` said Fatt. ``The Chateau Laurier, the Chateau Frontenac, the Banff Springs—these names are part of our Canadian heritage. Many of them have already changed brands two or three times, without losing their character. With this branding strategy, we will retain the icon names while providing the additional opportunities that the association with an international brand can bring.``

In August of 1998, the company acquired Princess Hotels, with properties located in the United States, Mexico and the Caribbean, and rebranded them under the Canadian Pacific Hotels flag. ``We learned that despite the strong equity of the Canadian Pacific name here in Canada, it was not marketable for international growth,`` said Fatt. ``To be truly competitive we needed a brand that fit with our expansion plans. With Fairmont Hotels & Resorts we gained just such a brand. Now we will be able to keep these properties under Canadian control, while making them part of an expanded network.``

Fatt acknowledges that the Canadian Pacific Hotels brand has historic significance domestically. ``The transition to a brand that is less well known here will take time. However, our corporate office remains in Canada, our global reservations network is here, we are a Canadian controlled company, and a proud member of the Canadian Pacific family.``




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