SAN FRANCISCO—Allison Reid, Kimpton Hotels & Restaurants’ new chief development officer for the Americas region, doesn’t have a traditional development background—and that’s an asset she plans to use to grow the brand in up-and-coming markets.
“From a development standpoint, I offer a different experience than most of my predecessors and competitors,” she explained. “I came up through property-level operations and finance organizations. For the past 20 years, I worked at the corporate level with roles in branding, operations, finance, real estate investment, investor relations, owner relations, franchising and development—all of which gives me a strong 360-degree view of the lodging space.”
With six years under her belt at Interstate Hotels & Resorts, as well as her time at Starwood Hotels & Resorts Worldwide where she was SVP of North America development, overseeing acquisition and development efforts for 11 brands—as well as launching three new brands—Reid is well acquainted with the industry.
“The upper-upscale and luxury segments… have evolved over the past 30 years and today includes everything from specialty select serve, boutique and uber-luxury—terms that didn’t even exist when I began my career as a corporate trainee at the St. Regis, NY,” she said, adding that boutique/lifestyle is a segment that resonates with her. “The elevated design, experiential offerings and guest-centric service is an extension of how I try to live my own life. Kimpton has always been a leader in this space and as a former competitor I know the value it brings to its owners, developers, customers, clients and employees.
“When deciding what the next chapter of my career was going to be I was committed to focusing on the things I enjoyed the most: developing strong relationships but also spending more time grooming deal executives, participating on evolving brands and markets,” she said. “I wanted to focus on the quality of my participation as opposed to the quantity of things I’ve done. It’s important to me that a development team possesses an in-depth understanding of a brand and that the brand and operating teams understand the mechanics of a hotel investment. This opportunity at Kimpton allows for exactly that—I’m looking forward to honing in on Kimpton’s unique offerings and brand differentiators.”
For Reid, Kimpton has three major differentiators: authenticity, nimbleness and F&B. “When Bill Kimpton opened the doors at Hotel Bedford in San Francisco in 1981, it sent ripples through the industry. Culturally, the experience you had as a guest was unheard of: heartfelt, highly personal, and best of all—authentic. In a sea of sameness, Kimpton was unapologetically themselves and wholly original,” she explained.
As for the company’s agility, Reid said, “From the operations and investment side, I always admired Kimpton for its ability to be nimble and adaptable to a broad range of geographic and economic markets. Due to the distinct brands-of-one model, multiple Kimpton properties can thrive in one market and often hotels perform better in markets where there are multiple hotels. The design and programming might differ but they have consistently strong performance metrics.”
With regard to food & beverage, she said, “Hotels generally fall into two categories: they have generic and somewhat boring in-house F&B options or they go the way of third-party relationships with celebrity chefs and operators. Both models can add complications and expenses. Kimpton however, has continued to carve out their niche as independent restaurateurs, with successful and buzz worthy restaurants and bars.”
Reid’s immediate plans are to complete a successful onboarding phase—getting to know the operations and brand team, visiting and listening to existing owners and developers—but, she added, “Even from day one the goal is to close deals. The best way to do that is to focus on making sure everyone on the team understands the economics of each deal and the owner/development investment proposition.”
According to Reid, if Kimpton can “effectively convey the brand’s culture and purpose, demonstrate the investment analysis and explain how the Kimpton brand plugs into IHG’s powerful distribution system the sky is the limit. Like today’s customer, owners and developers don’t have to be sold on the Kimpton guest experience, so it’s my job to make sure the investment thesis is clearly explained. 2017 goals including closing deals, building out a pipeline for 2018 and outline a robust three to five-year growth plan.”
Kimpton currently has 59 hotels and 77 restaurants and bars in the U.S., Caribbean and Netherlands, with 18 signed projects in the global pipeline and many more in the discussion phase. Key upcoming hotels include the Kimpton La Peer Hotel and Kimpton Everly Hotel in Los Angeles; the Kimpton Hotel Born in Denver; and Kimpton Kawana Bay Grenada Resort in Grenada. 2020 will also see Kimpton’s first hotel in Paris, France.
As for the future, Reid noted that Kimpton’s growth strategy has always been “thoughtful.” She said, “The best thing about leading Kimpton’s development efforts is that it’s a brand that can be a successful investment in many primary, secondary and even some tertiary markets. One of the best parts of the job is working with owners and developers that have vision for a new market. You get to see the transformation of markets and buildings. There‘s nothing better than working on a transformative project… There’s high demand for up-and-coming cities around the country from urban hubs to coastal retreats. One white space is in secondary markets, which are hungry for a boutique product. By entering this space early on, we’re able to satisfy the demand and contribute to the city’s tourism efforts.
“It’s an exciting time in the market,” she continued. “Developers are literally transforming many cities and neighborhoods throughout the world, providing creative and interesting spaces for guests, local residents and associates,” she said. “Tempe, AZ, is a great example. It’s home to ASU and is also an emerging tech hub with Fortune 500 offices relocating to the area. It was before my time, but Kimpton signed a deal in this market. It will be exciting to bring Tempe its first modern, boutique hotel experience.”
Reid noted that the industry has become crowded, with many brands looking to offer boutique, authentic experiences. “I know firsthand that building a brand isn’t easy. The great thing about Kimpton is that it’s a proven success in many cities and many markets. It has survived many market cycles. It has a loyal following of not only guests, but owner/developers and associates. I will take that over a new entry any day of the week,” she said. “As the originator of boutique experience, I think Kimpton has an authenticity that is hard to emulate. Many interpretations of boutique exist, but it’s not just about the amenities or cool design. Kimpton doesn’t checklist its way into delivering the boutique experience. There’s never been a formula or rulebook for the company. Kimpton’s approach to heartfelt care emanates from happy employees that are empowered to put the guest first.”
Of course, there are industry trends Reid is keeping an eye on. “Guests travel for all sorts of reasons and have different needs and expectations, even on the same trip. As a result, the hospitality landscape continues to evolve, so much so that non-hospitality brands are jumping into the mix. I don’t think we’ve seen the end of consumer brands going beyond their retail footprints and getting into hospitality. There’s already built-in brand recognition and loyalty there,” she said, noting that brands are also capitalizing on the trend of mixing and matching self-service, third-party partnerships and hotel concierge services to create seamless guest experiences.
With regard to the overall health of the industry, Reid is positive. “The fundamentals are strong and there are significant growth opportunities in a number of markets. The reason why boutique hospitality is gaining traction is because of its ability to provide a consistently qualitative experience while also allowing guests to embark on uniquely local experiences,” she said.