Analysis Of Holiday Inn Express

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Holiday Inn Express experienced two great years of gross revenue, bringing in an estimate of $6.3 billion in 2016 and $6.7 billion in 2017, due to a 6% increase. The available information also indicates that the increase of digital usage has brought 1.8 billion mobile phone users and 650 million social media mobile users to Holiday Inn Express. Holiday Inn Express was also able to accumulate $468 million for the licensing fee revenue and $494 million for the IHG Rewards Club revenue. We were unable to discover the necessary financial requests for Holiday Inn Express, since the information was not disclosed in the Intercontinental Hotels Group annual reports.

Below you will find a deep dive of our findings.

HOLIDAY INN EXPRESS
Holiday Inn …show more content…

The gross revenue of Holiday Inn Express come from 26% of IHG’s gross revenue as a profit share ($6.7 billion / $25.7 billion = 26%).

Next, we take 4.9 billion mobile phone owners and 2.5 billion social media mobile users for IHG and multiply each statistic by 26%, which will equal 1.3 billion mobile phone owners (4.9 billion x .26) and 650 million social media mobile users (2.5 billion x .26) for Holiday Inn Express.

The 2017 licensing fees revenue of Holiday Inn Express were calculated by taking IHG’s 2017 revenue of $1.8 billion and multiply it by 26%, which gives $468 million ($1.8 million x .26). We also added the revenue of the Holiday Inn Express IHG Rewards Club Loyalty Program, which brought forth great success in 2017. The contributions generated by IHG totaled up to $1.9 billion and we multiply the total by 26%, bringing a total of $494 million ($1.9 billion x .26).

We therefore triangulate the combined possible revenues of Holiday Inn Express. Even though this is a general triangulation, we believe that it is the best possible estimation after viewing and calculating the acquired

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