Larry Cuculic, President & CEO of BWH Hotels, in an exclusive interview with Kamal Gill, Editor-Publisher of Today’s Traveller, shares his vision of how BWH Hotels is positioning itself for long-term success in an evolving hospitality landscape.
In an exclusive interview with Today’s Traveller, Larry Cuculic, President & CEO of BWH Hotels, discusses the company’s strategic direction and the evolving hospitality landscape. He shares insights on expansion plans, the importance of guest experience, and how BWH Hotels is leveraging technology to enhance operations and drive revenue. He also reflects on the opportunities and challenges in emerging markets, the growing influence of soft-brand hotels, and the strategies that will shape the future of the company. In an increasingly competitive industry, Cuculic provides a glimpse into how BWH Hotels is positioning itself for long-term success while staying true to its core values of quality, service, and innovation.
TT Bureau: BWH Hotels has set an ambitious goal of reaching 5,150 hotels in five years. Given the challenging development environment, what specific strategies are being prioritized to accelerate growth while maintaining brand integrity?
Larry Cuculic: It’s an excellent question, as I look at the development environment very differently. I look at it at its base, which is: first, you have to exceed guest expectations. That’s the first thing you do. You have to make sure that the guest experience is remarkable and that the guest feels appreciated. You also have to identify what we call the ‘next best guest’ so that you can grow your loyalty base and attract the right people to your hotel—so that you can then exceed their expectations.
Once you provide them those terrific experiences, then you build that guest experience. Once you build a guest experience, you can then drive revenue to those hotels because today’s consumers are very savvy. When you drive hotel success, your development team can go out and tell success stories. It’s not about just sending people out to develop; they have to be able to say, “We can drive brand contribution. We can drive loyalty program revenue. You can be a part of a brand that stands for something.”
When you build great guest experiences, drive revenue, and develop relationships with developers, you create success stories that you can share across all 18 of our brands. What’s interesting about development is that the last thing you want to do is develop a hotel that fails because it’s a small world. People talk, and you want to build a reputation with developers.
We have found that when you make a developer successful, they will build another hotel or convert another hotel. So, guest experiences drive revenue. Develop relationships with developers. Share success stories. That’s how you grow to 5,150 hotels—by having a clear strategy, not just setting a goal.
It’s also about relationships. Here in India, we have a great partnership with Sorrel Hospitality. Atul Jain and Ranjan Bhattacharya do a great job, and they have a great development team and a strong management team. That’s how you get there. You have to set an audacious goal, but you must know how you’re going to get there.
I have a brand management team focused on guest experience. I have a marketing and sales team and a .com team focussed on driving revenue. Hoteliers want to be successful financially. So you have to show them you can help them be successful financially. And then, as you grow, scale, and sign up more hotels, you have more funds and fees as a brand, which allows you to invest more in marketing and sales. It’s what I call the strategic flywheel of success.
TT Bureau: Best Western is a byword for comfort and convenience, especially in stopover locations in the U.S. Do you think a similar strategy would work for developers in India?
Larry Cuculic: Yes, that’s interesting. In the United States, we have successfully adapted that process. We launched a brand called Aiden, which is a boutique brand, primarily in urban settings. To be an Aiden brand, it has to have a competitive edge that will allow it to drive the average daily rate that it should be entitled to.
We conduct development meetings at those hotels where we take hotel owners and developers and show them the potential of repositioning. Instead of just refurbishing the fixtures, furniture, and equipment, why not reposition and invest a little more? We recently did one such event at our new Aiden in San Antonio, Texas, and it was a great success.
We have a brand-new hotel opening up, and I know we need to get it out there on social media. Developers will see how you interact with the ‘next best guest’ feature. For example, we were presenting to a potential WorldHotels owner, and his question was: “How many Facebook followers do you have?” He didn’t ask about revenue. What he wanted to know was: “How are you building the reputation of this hotel? How are you marketing creatively and imaginatively?” So, however you can meet, interact, and showcase, you need to get it out with developers; it’s tremendously important.
TT Bureau: You’ve emphasized efficiency and effectiveness across all areas of BWH Hotels. Can you share an example of a recent operational change or technological advancement that has already shown a positive impact on revenue or guest experience?
Larry Cuculic: We launched a guest management system on January 1st. We partnered with a third party, and it allows us to interact with guests before they even arrive at the hotel. Once they make a reservation, the system automatically engages with them. It enables remote check-in and provides upselling opportunities.
For example, if a guest has booked a King Room, the system might offer an upgrade to a King Suite for $20 more. This not only enhances the guest experience but also drives incremental revenue. Once guests are at the hotel, the system continues interacting with them through their mobile phones. They can access essential information, such as the restaurant hours, breakfast area, fitness centre timings, and pool availability. In other words, we provide guests with a microsite accessible through their mobile phones.
The microsite acts as a personalised digital concierge. Guests no longer need to search for information—they simply open the microsite and immediately find everything they need, from dining options to local attractions. It streamlines communication and eliminates the need for printed materials, making it more environmentally friendly.
The microsite can also feature advertisements from local businesses, particularly restaurants. A local restaurant could pay for the ad placement, allowing guests to discover dining options directly through the hotel’s platform. This creates an additional revenue stream for the hotel while also enhancing the guest experience by providing tailored recommendations.
Another feature is the ability to sell early check-in and late checkout directly through the microsite. If a guest wants to check in early, say at 2 PM instead of 5 PM, they can do so for an additional $20. Similarly, if they’d like to extend their checkout by two hours, they might pay $10. Since everyone asks for late checkout, this allows the hotel to monetise that demand efficiently.
One of the most exciting aspects of this system is its integration with hotel operations, particularly housekeeping. If a guest requests a late checkout through the microsite, the system automatically adjusts the housekeeping schedule. Instead of all rooms needing to be cleaned at noon, it staggers the schedule, ensuring a more even distribution of workload. This means not every guest is checking out at the same time, and the hotel isn’t overwhelmed with all rooms needing cleaning at once. It optimises housekeeping efficiency while also driving revenue from late checkout requests.
Guests can also use the microsite to make simple requests such as, “Can I have extra towels?” or “I need an additional pillow.” Instead of calling the front desk, these requests go into a queue, allowing the appropriate team member—like the assistant general manager or housekeeping staff—to fulfil them efficiently.
This reduces the burden on the front desk, improves response times, and ensures that guest needs are met seamlessly. It’s all about making the experience smooth and effortless for both the guest and the hotel staff. From what we’ve seen, it’s an industry-leading feature. Many hotels are still handling guest interactions more traditionally, relying on front desk calls and printed directories. Our system streamlines operations, enhances guest satisfaction, and generates revenue all at once.
It allows guests to text their requests, get real-time responses, and enjoy a seamless, personalised experience. Whether they want to check in early, request an extra towel, or book a local restaurant, the system is designed to make everything easier for them. It’s an innovation that aligns perfectly with today’s tech-savvy travellers who expect efficiency, convenience, and digital-first solutions.
TT Bureau: BWH Hotels has ambitious plans to double its presence in India, alongside expansion in Vietnam and Brazil. What key factors make these markets particularly attractive for growth, and how does BWH Hotels plan to navigate regional challenges while ensuring sustainable expansion?
Larry Cuculic: When pursuing growth, every region should be looked at and analysed based on where you can and should spend the most time. For example, does the economy support growth? In India, GDP growth is outstanding. Does the government support tourism? That’s a key factor in Vietnam and Brazil. Infrastructure also plays a crucial role. One guest speaker at the HOPE conference mentioned that the perception is that India lacks infrastructure, making tourism difficult. But that’s not true. The government is investing in infrastructure, and that must be promoted.
Vietnam has done an exceptional job marketing itself. They’re promoting their beaches, tourist destinations, and cultural sites. India must do the same. Everyone knows the Taj Mahal, but does everyone dream of visiting it? India needs to plant that seed. Also, people have been to Paris, Rome, and London. They want to see new places. This is where India, Vietnam, and Brazil can attract new travellers.
TT Bureau: With BWH Hotels being the second-largest soft-brand company globally, how do you differentiate your soft-brand offerings from competitors, and what trends do you see shaping the future of soft branding in hospitality?
Larry Cuculic: All of our hotels are independently owned and operated. That’s part of our culture and DNA. Our soft brands are for hotels that want to maintain their independence, reputation, and name. We are perfectly suited to allow and understand that. That’s one of the ways we differentiate.
We also do not have complex brand standards for our soft brands. The one real requirement is that it must be a quality hotel that exceeds guest expectations. That’s what makes us easy to do business with. Our brand standards are easy to fulfill as long as it’s a great hotel. When we meet with a soft brand hotel, we ask them, “Why do you want to join us?” I don’t convince them they need us—I ask what they expect from us. We ensure we can support their needs before making any commitments.
A perfect example is our new World Hotel in Orlando, Florida. It has all the MICE and group business it needs but lacks leisure travellers. That’s where we come in because we are tremendously strong in weekend business.
The other thing that differentiates us is that we generally have one-year contracts. Most major brands require 10- or 20-year contracts. Ours is essentially a five-year contract, but you can give one year’s notice and leave. It’s kind of like a marriage—if you want a divorce, you should be able to get a divorce. If we are not meeting each other’s expectations, they should be able to move on. But most of them stay because we meet their expectations. We are the friendliest soft brand in the world.
TT Bureau: Your analogy of Best Western as a tree with a strong foundation and diverse brand branches is quite compelling. How do you ensure that each of these 18 brands maintains its unique identity while still benefiting from the strength and legacy of the Best Western core?
Larry Cuculic: We maintain each brand’s unique identity through brand standards. Each brand has to stand for something different and must represent that brand differently to the public. SureStay Hotels, for example, are premium economy. The rooms are well-positioned in terms of furniture, fixtures, and equipment, but they are not over-the-top luxurious. It’s a value stay with minimum breakfast standards.
On the other hand, Best Western Premier must have higher-quality FF&E, a better breakfast experience, and a larger lobby space. These brands must stand for what they stand for. You have to ensure brand standards to maintain differentiation, which is important because different brands must have different average daily rates and serve different client expectations.
And the results? Our SureStay brand grew to 442 hotels in just eight years. That speaks for itself.
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