This article is Part III of a look at the lodging/hospitality industry.  In Part I on TalkMarkets I provided an overview of the industry: the differences between owners of the physical lodging properties and the management companies that actually train the staff and do the hiring, firing, maintenance and so on. The third leg of this triad consists of the big “flags” like Hyatt (H), Hilton (HLT), Intercontinental (IHG), Marriott Intl (MAR), Wyndham Worldwide (WYN) and Accor SA (ACCYY ) that bring the guests to the properties even though they seldom own the hotels themselves.  It’s a good place to begin if you want to understand this rapidly-consolidating industry.

In Part II on TalkMarkets I discussed the latest assault on hotel profitability: the rapid growth of Airbnb, VRBO, and online travel agencies (OTAs.)  I concluded that most hotel owners, managers and branders were doing the right things to stay on the green side of the grass.  I also recommended a hotel property owner I think is particularly well situated to survive and grow.  You may find that article a valuable preamble to today’s discussion as well.

In this article I’d like to circle back to a company that I do not see as keeping up with industry trends; indeed, I see them doing a lot of things wrong.  That company is the once private, then publicly-traded, then private again, and now public again Hyatt Hotels Corporation (H ).

It pains me to reach this conclusion; Hyatt instituted its frequent guest program (“Hyatt Gold Passport”) in 1987, 30 years after Jay Pritzker began the company with a purchase of a motel, the Hyatt House, at Los Angeles International Airport.  Jay Pritzker was a legendary dealmaker and his brother Donald a fine manager and soon other purchases of lodging properties followed.

Hyatt enjoyed good profitability as well as good growth, both domestically and internationally.  I was just ending my career as a road warrior in 1987 when I chose to make Hyatt my personal first choice of flag hotels.  Now retired from a large company running my own business, no corporation pays for my stays.  Because of their fine properties and stellar service, Hyatt has until recently simply been my go-to-first hotel company for both business and leisure travel.

I should be clear that the actual Hyatt-branded and often Hyatt-managed hotels are not the problem.  In the USA, the company’s Hyatt Regencys, Grand Hyatts and Park Hyatts compare favorably to luxury hotels anywhere.  Having been a guest in many Hyatt competitors’ top offerings, I still find these Hyatts among my top stays and recommend them to others for a special vacation or business treat.  I imagine you will recognize many of them, and see why Hyatt until recently has done so well:

Grand Hyatt Kauai

Grand Hyatt Seattle

Hyatt Carmel Highlands, a stately older property with amazing views of the Big Sur coastline

Photo credit: Hyatt.com

Hyatt Regency Sonoma Wine Country

Grand Hyatt San Francisco

Hyatt Regency Westlake CA

Hyatt Centric The Pike Long Beach CA

Hyatt Regency Newport Beach, a gem of an older property a 15-minute walk to Balboa Island

Photo credit: Hyatt.com

The Manchester Grand Hotel San Diego

Hyatt Regence Mission Bay San Diego

Hyatt Regency Lake Tahoe

Photo credit: Hyatt.com

Hyatt Regency Scottsdale

Park Hyatt Beaver Creek

Photo credit: Hyatt.com

Hyatt Denver Tech Center – a great south town location, perfect for business

Hyatt Regency Lost Pines (near Austin TX)

Hyatt Regency Hill Country (near San Antonio)

Hyatt Centric French Quarter & Hyatt Regency, both in New Orleans

Grand Hyatt Tampa Bay, FL

Hyatt Regency, Coconut Point, FL

Hyatt Regency Sarasota

Hyatt Regency Orlando  Airport – the only “special” airport hotel.  After flying all day from the West Coast nothing beats taking a walkway, then an elevator to your hotel.

Photo credit: Hyatt.com

Hyatt Regency Grand Cypress, Orlando FL

Hyatt Regency Coral Gables, FL – a perfectly situated and quiet old-world delight

Hyatt Centric Key West

Hyatt Regency Atlanta – Portman-designed, opened in 1967, still a wonder with its 22-story atrium lobby

Photo credit: Hyatt.com

Hyatt Regency Fairfax VA – some rooms on the 3 ^rd floor feel like you are in your treehouse

Hyatt Regency Reston VA – In “town” – but it’s a compact happenin’ little town

Grand Hyatt Washington DC

Hyatt Regency Chesapeake Bay, Cambridge MD

Hyatt Regency Baltimore Inner Harbor – walk to Camden Yards, Little Italy and the National Aquarium

Hyatt at The Bellevue, Philadelphia

Grand Hyatt New York

Hyatt is not nearly as strong internationally as many of its competitors but it still has some legendary properties.  I will miss them all, US and global, given that I am unlikely to continue staying at Hyatt-branded properties as often – for the reasons I list below.  As for some of the company’s fine international locations…