Marriott Has Big Plans For Asia

Sunday, May 01, 2011

Simon Cooper doesn't immediately know the exact number of hotels he oversees as managing director of Marriott International Inc. for Asia-Pacific. "It changes everyday," he explains. The last count was 130 Marriott hotels, including several under the Renaissance and Ritz-Carlton brands. Seventy more hotels are under development in Asia and an additional 110 are in the early planning stages. Half of these new properties will be in China; the rest being split evenly between India and Southeast Asia.

Career: In 1989 he became executive vice president of OMNI Hotels in the U.S. He joined Marriott International in 1998 as president of Marriott Lodging Canada and senior vice president of Marriott Lodging International.

Education: M.B.A. from the University of Toronto. Honorary Degree of Doctor of Laws from University of Guelph.

Extracurricular: Golfer and member of the Royal and Ancient Golf Club of St. Andrews in Scotland.

* More in Managing in Asia In April, Mr. Cooper unveiled the latest addition: the Ritz-Carlton Hong Kong, which occupies floors 102 to 118 of the International Commerce Centre overlooking Victoria Harbour. Mr. Cooper sat down with Amy Ma to explain his plans for Asia. The following interview has been edited.

WSJ: What are your strategies for the different brands under the Marriott International umbrella? Mr. Cooper: We've chosen six core brands that we're expanding into China: the Ritz, Marriott, JW Marriott, Courtyard, Marriott Executive Apartments, and Renaissance. We don't want to do one of anything unless we can do 100 .

WSJ: Which brands do you think wouldn't work for China? Mr. Cooper: We are not doing any Fairfields in China because there's a lot of price compression, a thin space between the price of low-end and high-end brands. In India, however, has a much more robust middle market, and so we do have a Fairfield in India.

WSJ: The new Ritz-Carlton Hong Kong has a very modern aesthetic compared to the old Ritz-Carlton Hong Kong, which closed three years ago and had more of a classic look. Why the transformation? Mr. Cooper: Before, the standard to executing a good hotel was to have that iconic dark wood and what I'd like to call "pictures of my dead family" on the wall. But about 10 years ago, we realized it wasn't working, and every hotel should look different. Today, we strive to be consistently inconsistent. For example, we used multiple interior designers for our bars, restaurants, and rooms, so there was a clear threshold people could cross to enter a new experience.

WSJ: What are some unique needs for the China customer? Mr. Cooper: We do a Courtyard for China that is very different from the North American suburban Courtyard hotels you think of. In the States, it's about having a nice, hot breakfast. In Asia, there needs to be at least two restaurants and a meeting space. It's a lot more full-service.

WSJ: Tell me about the competition for finding good staff among the different hotels in Asia.

Mr. Cooper: This is the most competitive battleground for human talent in the world. You can find developers, architects, and get stuff built. But for your staff, it's a real fight. In China, a good reputation isn't necessarily enough for employees when they are faced with a good offer. And because of movement in wealth, we might hire a lot from one province one day, and need to get labor from another the next. With that said, we still had 16,000 applications for jobs at the Ritz-Carlton before it opened in Hong Kong.

WSJ: How do you scout your locations? Mr. Cooper: When it comes to locations in China, it's sort of "you're damned if you do, and damned if you don't". If you miss an opportunity, it'd be way too expensive to enter later on. When we first thought about the Marriott in Sanya, it was a real stretch to sell the idea to headquarters in Washington. There was nothing there at all. But you have to trust that when the government says they're going to do something, it'll get done. You have to believe in that vision.

WSJ: What is your biggest concern for the future? Mr. Cooper: Cost increases in China is a big worry. With fewer entrants going into the labor force and a growing economy, there's a significant labor lost issue there. In India, it's the opposite, there's a huge new generation of labor force that's relatively well-educated. I could see manufacturing moving out of China into India someday, for example.

Resume Career: Mr. Cooper entered the hospitality industry in 1972 and worked for Canadian Pacific Hotels and Resorts. He later served as President and Chief Operating Offer of Delta Hotels and Resorts until 1989, when he became Executive Vice President of OMNI Hotels in USA. He joined Marriott International Inc., the parent company of Ritz-Carlton, in 1998 as President of Marriott Lodging Canada and Senior Vice President of Marriott Lodging International.

Education: Mr. Cooper grew up in England and earned his MBA from the University of Toronto. He holds an Honorary Degree of Doctor of Laws from Canada's University of Guelph.

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