Aussie appetite for luxury growing, says Starwood
Aussies were once widely considered a backpack-toting breed, but now the number of affluent travellers with a fondness for luxury brands is on the rise, according to Starwood Hotels and Resorts.
Speaking to Travel Today at the 2014 Starwood Australia Expo, vice president sales Asia Pacific Alison Taylor identified Starwood’s Sheraton brand as the most well-known in the local market. But while it remains a favourite, a distinct shift is underway.
“Sheraton is seen as a long-term friend but we’re now seeing great growth at the luxury end,” Taylor said.
“St Regis, W and Luxury Collection brands are now the top three favourite brands when going outbound.”
Starwood also launched its Luxury Privileges Program just over a year ago which has been received well by luxury operators in the local market.
“We’ve really repositioned ourselves as the luxury operator of note,” Taylor said.
“Now people understand the brands, where they are and what the footprint is and that we are the luxury operator.”
With more than 170 properties across its luxury brands and a very active pipeline of new hotels coming online, Starwood describes itself as the largest luxury hotelier with its range of properties setting it apart from other competitors, according to vice president global leisure and luxury sales Chris Austin.
W is targeted at the “global trendsetter”, while St Regis fuses “legacy with modern technology” and Luxury Collection is “more about the indigenous experiences”.
“Most of our competitors are single brands,” Austin said. “They’re very good competitors obviously, but I can’t think of another brand that can offer a b2b customer or and end user guest 170 locations or the same diversity that we have across our luxury brands.”
The company has invested time and money in understanding the shifts within the luxury segment with female affluence and family travel emerging as significant trends, he revealed, adding the challenge is to ensure the brands grow in line with these trends.
"For a long time there was the perception that Australians will travel with a backpack, but now it’s a major market with an affluent customer base," Austin said.
"So just as we would look at Brazil or Moscow, we’re looking at Australia because it's an important growth market supporting our luxury brands."
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