Dominic Dragisich, newly appointed CEO of Choice Hotels as of 31 August, has announced a strategic shift aimed at growth in the United States hotel room market. Addressing a Bank of America conference on Wednesday, Dragisich outlined plans to revitalise room count growth, divest company-owned properties to adopt a more asset-light model, and enhance revenue performance to match competitors like Wyndham.
A New Era for Choice Hotels
Dragisich has expressed a commitment to return to the company’s foundational strategies, moving away from its recent period of acquisitions and brand development. The focus for Choice Hotels will now pivot from acquiring and developing properties to expanding room availability and enhancing overall financial performance.
Over past years, Choice Hotels invested heavily in acquiring brands such as Radisson and WoodSpring, which required significant improvements, while also developing Cambria and Everhome properties to serve as exemplars. This period of acquisition and model development saw a deceleration in room count growth and challenges in revenue generation.
Reporting based on coverage first published by skift.com.