Vietnam is one of three countries Singapore-based Vanguard Hotels has targeted for expansion in the affordable lodging segment (the others are Philippines and Malaysia). In Vietnam, the focus will be on Wink, a contemporary brand designed for millennials with the help of Bangkok-based branding agency Quo. Vanguard teamed up with Vietnam-based Indochina Capital and developer Kajima Corp. to launch the brand last fall.
Wink, with its minimalist and tech-heavy guestrooms, food cart-style foodservice and multi-purpose open lobbies designed for working and socializing, is tailored to the tastes of younger Vietnam-based travelers. “Luxury and premium brands always talk about foreign arrivals, but we don’t think that’s as interesting as the growing population of travelers within the country,” said Vanguard CEO Bruce Musick. He expects rates around US$70-$90, a segment he considers “woefully underserved.”
Seven locations are in the pipeline, with plans for 25 over the next five to seven years. Thirteen secondary markets have been targeted and the remainder will be concentrated in Hanoi, Ho Chi Minh City and Danang. Musick thinks a local partner is essential in Vietnam. “There are limits to what foreign investors can do, whereas a local guy can move quickly and make things happen on the ground,” he said.
Contributed by Megan Rowe