The brand is targeting the segment as result of strong guest and owner demand driving a 70% increase in room supply over the last four years. The announcement was made alongside IHG’s preliminary full year results, which reported a 6.6% increase in total revenue to $27.4bn (£21.2bn) – with global RevPAR also up 2.5% during 2018.
Keith Barr, CEO at IHG, said: “We have made excellent progress in 2018 executing against the strategic initiatives I set out a year ago to accelerate our growth, whilst delivering a strong financial performance.
“The investments we have made have had a significant impact, allowing us to further evolve our established brands, move quickly to strengthen our portfolio both organically and by acquisition, and create real momentum in our business.”
He added: “Our strategic focus on accelerating our net rooms growth helped drive a net system size increase of 4.8%, and our best performance for both openings and signings in a decade, leaving us well positioned for future growth.”