Business on the Rise for Red Roof®

Americans' love affair with high-quality every and anything at prices they can actually afford has extended to the hotel industry as Red Roof® continues to roll out its modern and sleek NextGen®rebuilds and renovations around the country. The success of NextGen reflects the current trend of consumers' desire for an affordable high-quality experience at budget prices. For instance, the frenzy surrounding Target's offering of high-end designer ware and the brand's new affiliation with Neiman Marcus and the demand in the vintage market for designer clothing at reasonable prices is a testament to the yearning for aspirational experiences in everyday lives. Economy lodging is no exception, and the popularity and success of Red Roof's NextGen is proof of how eager travelers are looking for sleek, modern, technologically advanced but affordable surroundings when on the road.

Last year, Red Roof rolled out the $120 million NextGen®Redesign to properties nationwide that was driven by consumer demands for enhanced technology, electronics, and additional comforts from home such as hardwood floors, more electrical outlets, flat screen TVs and more.

NextGen's success has helped fuel increased revenue for the brand. In a tough economy, Red Roof has seen revenue increase almost 6% year on year and occupancy is up almost 2% in the last year. Red Roof's results indicate that consumers, whether traveling for business or leisure, continue to look for the best possible lodging experience at the best price. And the numbers reflect the trend. Properties that have converted to NextGen have seen a sales lift of 10.6%.

One of the biggest upticks Red Roof has experienced recently is the rise in business travelers staying with the chain with notable increases in business bookings in big cities including Chicago, Boston and Miami. Corporations substituting higher end travel for practicality are also attributable to the growing popularity of NextGen. Business travelers can now have a more upscale experience and corporations can save money by footing a more appealing "travel and entertainment" bill.

"Red Roof has always understood the landscape of leisure and business travel and providing those specific segments with high-quality lodging at prices that are attractive and economical," says Andy Alexander, President, Red Roof Inn. "The NextGen concept has helped us take budget lodging to a new level and tapped into a pool of consumers who want and expect the very best but don't want to over spend for it. We're their perfect lodging choice."

Red Roof is also benefitting from stronger summer travel. With airline prices up this summer and more Americans staying in the U.S. rather than traveling to Europe for their summer vacations, road trips and close-to-home hotel stays are the trend. "The American vacation is very much alive and well. Our bookings in Red Roof Inns across the country validate the 'backyard' travel trend," adds Alexander. To find out more about Red Roof and its NextGen renovations, please visit www.redroof.com.

About Red Roof ®

Red Roof is an award-winning leader in the lodging industry, recognized for creating the innovative Upscale Economy® segment, serving millions of guests each year. Red Roof's portfolio of brands includes Red Roof Inn® and Red Roof PLUS+®, HomeTowne Studios by Red Roof®, The Red Collection®, and Red Roof's dual-branded properties. Red Roof has over 60,000 rooms in nearly 700 properties in the U.S. and internationally in Japan. For more information, visit redroof.com or download Red Roof's free app for iOS and Android devices. To learn about franchising opportunities, visit redrooffranchising.com.

Red Roof's Vision: To provide the best experience and value in the lodging industry for our guests, owners, team members, partners, and communities.

*Pet accommodations policy may vary at some locations. To verify a hotel's pet policy, please review hotel information online at redroof.com or by contacting the hotel directly.