How independent hotel management works

Trilogy Hotels is a local operator with deep market knowledge and the ability, if desired by owner, to tap into the global resources and distribution of the world’s largest hotel brands via franchising. We handle everything with the brand. You have one point of contact—us.

The Trilogy operating model

An environment where everyone plays to their strengths.*

Global Hotel Brand Benefits

Revenue Generation

Global distribution, global loyalty, global S&M, global brand activation

Cost Control

Purchasing power, favourable terms with key global suppliers such as OTA’s

Focus

Global focus, driving brand equity & market penetration, loyalty program

Trilogy Hotels Benefits

Revenue Generation

Bespoke, hotel-specific S&M, market specific revenue management

Cost Control

Street smart local management, hotel-specific purchase agreements, clustering, labour productivity, removal of non-essential brand costs

Focus

Local focus, driving Owner & Guest satisfaction, team engagement & growth, detailed performance metrics, and improved Owner returns

*This is the ecosystem when a brand is franchised.

“The key benefit of the Independent Management model is all parties playing to their strengths. Global Brands focused on brand penetration and global distribution, and Independent Management focused on hotel-specific revenue strategies and detailed cost control.”

—Scott Boyes, Trilogy Hotels CEO

Advantages of the Trilogy model

Our model allows hotel owners and operators to make agile decisions through a local lens. As a result, hotel owners feel connected to their investment and are able to take on a more entrepreneurial approach.
Term

Term

Generally shorter than a traditional HMA
Termination

Termination

Owner friendly in costs and restrictions, enhancing liquidity and value
Structure

Structure

Horizontal structure with corporate teams directly involved in the business unit
Owner Engagement

Owner Engagement

Flexibility for owner to have input into how outcomes are derived
Brand

Brand

Ability to selectively engage with brand initiatives only where there is a direct benefit
Value

Value

A focus on top line and profitability delivers enhanced owner returns and asset value
Operations

Operations

Less restricted and able to respond quickly to macro and property conditions improving profitability
Fees

Fees

Flexibility and alignment of interest between owner and operator through fee structure

Why the Independent management model

A case study

The rise in popularity of the Independent Management Model in Europe prompted HVS to publish an article in January 2023 explaining the key factors behind the increase in popularity and a case study on the outcomes derived from the independent management model.

Profit & Loss Improvements
Profit & Loss Improvements

Within the article a hypothetical profit & loss assessment highlighting the comparative outcomes for each model was included (see inset).

EBIDTA Increase
EBIDTA Increase

The article concluded a 3rd party operating model delivering a premium of 18% at the EBITDA level (assuming the same top line).

Improve Asset Values
Improve Asset Values

The adoption of the model in Australia and New Zealand has the potential to unlock cash flow and improve asset values for investors.

Hotels we manage

We are honoured to be entrusted by Owners with the management of the following outstanding properties. Our bespoke approach empowers our three key stakeholders Owner, Team and Guest, to achieve operational efficiency and performance excellence.