When hospitality company SBE announced plans for a new hotel brand last January, it also coined a new industry term: “smart lifestyle.”
A partnership with Wyndham Hotels & Resorts, the new “smart lifestyle” brand, dubbed HQ Hotels & Residences, aims to bring lifestyle hospitality to travelers who are often priced out of the competitive market. A first U.S. property is planned for Detroit, but the brand has ambitious expansion goals, aiming to open 50 hotels globally by 2030.
In June, SBE appointed Mike Metcalf president of HQ Hotels. Metcalf joined Sam Nazarian’s hospitality company from Crescent Hotels & Resorts, where he worked for more than 18 years, most recently as chief commercial officer. Hotel Dive sat down with Metcalf to learn more about his plans for HQ, his thoughts on loyalty and what “smart lifestyle” really means.
This interview has been edited for length and clarity.
HOTEL DIVE: What kinds of travelers are you hoping to target with HQ Hotels, and how do you plan to reach them?
MIKE METCALF: We’ve really been focused on Gen Z and millennials, with an emphasis on Latino travelers. And the reason for that is that Gen Z and millennials will be the spenders of travel dollars for the next 40 years, at least. Our plan is to build loyalty with them as they're starting those experiences, and change and evolve with them as they go through their lives. We see them as not only the traveler of today, but the travelers for the near and distant future.
There is a loyalty that exists today with a niche that is not filled, and our intent is that we'll be the lifestyle brand for Wyndham travelers.
Mike Metcalf
president, HQ Hotels
Latinos [are] the fastest-growing population in North America. We're partnered with Mark Anthony, who is a global icon, but I think in the eyes of most of Latin America, he is the entertainer. And same for Sophia Vergara. She's a partner in our brands as well.
What do the travelers you’re hoping to attract want in a hotel, and how are you shaping HQ Hotels to provide that for them?
There is no question that they want experiences. Wherever they go, they're going there to experience whatever that local area has to offer. Our intent is to be in those communities and really be the hub for entertainment and experiences, so from the minute they walk in [to the hotel], they are starting to experience the things that they came there to do.
Which markets are you looking to expand in?
To say it's diverse would be an understatement. We have a deal in Detroit that we've signed. We have one in Switzerland. We have some [hotels] coming in the Midwest, Mexico, Budapest, Daytona [Beach, Florida] … I mean, they're literally everywhere. The level of interest has been really exciting.
What is the thread connecting places as diverse as Detroit and Switzerland? Or do you just think the HQ model is adaptable?
Well, it's built to adapt. And younger travelers are going everywhere. They're going to the mountains, they're going to the ocean. They're just getting in their cars and driving across the country. So for us, we want to be in locations where a younger traveler wants to go to have experiences, and wherever that is, we have the ability through our food and beverage to take our brands anywhere and find the niche for us in a market. As long as it's a location that the younger generation wants to travel to, we will create an environment where we're the hub of the vibe of that area.
Can you explain what SBE means by ‘smart lifestyle’?
Technology is incredibly important to Gen Z and millennials. It starts when they are looking for a reservation and making sure that they can use their phones for everything. Most don't even have a laptop anymore — they use their phone to book travel. So all of our online material will be mobile-adaptable.
And then when they're in the hotel, it's not just about the technology we provide, but making sure that we're providing an environment for them to use their technology, so making sure that there are charging stations everywhere. But more importantly, too, we create Instagram moments as many times as possible, from the time they walk in. We want to make sure that we create places for them to do their Instagram Reels, take their photos, share their trips with their friends, family, followers.
The ‘smart lifestyle’ proposition is also more affordable than other lifestyle hotels, right?
It’s not just affordable, but approachable. We really want to be four- to four-and-a-half-star quality. So they will be nice hotels and very service-oriented, but we don't want to be in that luxury category. We want people to feel comfortable in their jeans or their shorts, and that they can goof around and have a great time. It's about creating a relaxed, approachable environment, and affordability comes with that.
How is HQ Hotels thinking about loyalty?
One of the biggest things that we did to help connect with the world is the partnership that we have with Wyndham. We are their only lifestyle brand. So we're bringing that to 112 million Wyndham members. There is a loyalty that exists today with a niche that is not filled, and our intent is that we'll be the lifestyle brand for Wyndham travelers. So right out of the gate, we'll be connecting with them.
On top of that, once they stay at an HQ, the whole idea is to make it such a great experience that when they go to travel again, we will be their first choice — that beyond a really nice hotel and a comfortable bed, they're also going to have fun, and they're going to enjoy the trip, even when they're there on business.
