Travel

Hyatt will more than double its revenue from China over the next five years, CEO says

Key Points
  • Hyatt Hotels President and CEO Mark Hoplamazian says the group will double its presence in China over the next three to five years.
Hyatt is expanding its footprint in China
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Hyatt is expanding its footprint in China

Hyatt Hotels will more than double its revenue from China over the next five years as the hotel chain seeks to gain a firmer foothold in the burgeoning hospitality market, the company's president and CEO said.

"If I look over the next four, five years, we will fully double our presence here moving from the 58 hotels or thereabouts that we have today to more than double that number," Mark Hoplamazian told CNBC.

"And from a financial perspective — also quite important for us — more than $50 million of fee revenue coming out of greater China that will more than double over the next four to five years again because of our growth," Hoplamazian added.

Hoplamazian was speaking to CNBC's Eunice Yoon in the Chinese city of Xian which recently welcomed a new Grand Hyatt hotel.

The American hospitality group plans to release more than 20,000 new rooms into the Chinese marketplace across over 90 hotels, he said. About 70 percent of Hyatt's guests in the country are Chinese travelers.

"The government has done a great job of identifying business centers where you've got new early stage companies and innovation centers opening up. So if you look at Xian, for example, there is more and more focus on bringing technology companies to Xian," said Hoplamazian.

"And I think that is going to be a key reason why some of these so-called second-tier cities are going to be cities in which you'll see a lot of development." he said.