Taj Hotels, Raffles ink marketing alliance

Taj Hotels Resorts and Palaces, south Asia's largest hospitality chain, and Raffles International have entered into a strategic joint marketing alliance to develop cross-promotional opportunities for both companies to harness each other's strengths in their respective markets of dominance.

Raffles Hotels and Resorts has 12 luxury hotels and Taj has 14 luxury properties. In the first phase, the alliance would promote each other's luxury hotels.

Jennie Chua, chairman and chief executive officer, Raffles said, "It's like a marriage... at the same time each other has the space to promote one's own brands also."

Unlike other international hospitality chains that have established a brand name here, Chua said, "We don't have any plans to set up a property here."

Under the alliance, both Taj Hotels Resorts and Palaces and Raffles International will develop reciprocal and joint marketing activities that include joint participation in trade shows across Asia Pacific, Europe and America, sales events, culinary promotions and niche marketing programmes.

The second phase would include Taj group's business and leisure hotels and Raffles Swissotels. Raymond Bickson, managing director of The Indian Hotels Company said, "This is certainly a win-win alliance for both companies. It will give us the opportunity to work with the Raffles International network to create greater awareness of the Taj brand in key global markets."

Bickson added that it's the way forward for the future and so this alliance is important to us.

Indian Hotels Company does not have any plans to enter into a branding alliance with other global hospitality chains. Last year, East India Hotels, the second-largest hospitality chain entered into a branding and marketing alliance with Hilton International. ITC Hotels also has a alliance with Starwood Hotels.

The Taj group is also looking at entering similar marketing alliances with European Hotel chains. Says a senior Taj executive, "We are in talks with two Europe based Hotel companies. We expect the alliance would materialise by the end of this year." For its St JamesCourt hotel, Taj has a marketing alliance with Crowne Plaza.