Hilton Hotels Corp. has announced plans for a new brand, Denizen, which will be the company’s foray into boutique-style hotels. The first location is scheduled to open in 2012.
Ross Klein, head of Hilton’s luxury and lifestyle brands, said the addition of Denizen to the company’s prestige portfolio, which also includes Waldorf-Astoria and Conrad hotels, will round out Hilton’s brands. Until now, the Beverly Hills-based company had been lacking a hip, cool brand akin to Starwood Hotels & Resorts Worldwide Inc.’s W Hotels or Hyatt Corp.’s Andaz.
Before joining Hilton last year, Klein led Starwood’s luxury group during the creation of W Hotels.
“What luxury means has changed,” Klein said. “Guests want everything. They say they don’t want to stay in a big chain hotel because they want customized service. But they still want reward points and access to international reservations. We’re going to re-emerge as a smart brand. Smart is the new cool.”
But is it smart to be launching a hotel brand in a recession? It’ll be tough, one consultant said.
“Revenue is declining and financing is almost impossible, especially with new construction,” said Alan X. Reay, president of Atlas Hospitality Group in Irvine.
The location of the first Denizen has not been released, but Hilton is looking at numerous areas, including Hollywood and Beverly Hills. Price points for Denizen have yet to be decided, according to a company spokeswoman.
This is Hilton’s second announcement of a new line this year. In January, the chain unveiled Home2Suites, a midtier, extended-stay concept.
Hilton is moving its corporate headquarters from Beverly Hills to McLean, Va., in third quarter 2009.
Getting Revenge
Revenge Is, an eco-friendly T-shirt company in Los Angeles, is expanding its product line to diversify cuts, graphics and colors and add children’s shirts.
But the company may encounter problems selling its new products with the downturn in consumer spending and the relatively high prices of eco-conscious apparel.
“Eco-friendly clothing is too expensive,” said Janine Blain, vice president of retail consultancy Directives West. “Fast fashion is what is happening, and eco-friendly clothing just can’t deliver that right now. At the end of the day, consumers care more about fashion sense than saving the world.”
In October, Revenge Is started selling black and gray T-shirts made from recycled plastic bottles and organic cotton, and are emblazoned with socially conscious messages such as “Revenge Is Energy Independence.”
“I wanted to make people think about the issues we’re facing,” said Marilyn Barrett, the company’s founder and owner.
Revenge Is plans to start selling more colorful and fashionable adult-size shirts later this month. Children’s shirts will be available starting in mid-April, just in time for Earth Day.
For now, the T-shirts sell online and at a few boutiques in California, Alaska and New York. The price was officially $38, but Barrett has been giving a 20 percent discount on her Web site due to the economy. The original shirts’ price will drop to $28 at the end of March. New shirts will sell for $32 and children’s shirts will sell for $21.
At fast-fashion chain Forever 21, a plain T-shirt sells for as little as $4.50, and T-shirts with graphics start at $10.90.
A Woman’s Intuition
Jaye Hersh, owner of Intuition, a high-end apparel boutique in West Los Angeles known for its celebrity following, is introducing Hollywood Intuition for Target, a value-priced line of accessories to be sold nationally at the Target chain. The line will be in stores this July through spring 2010. Prices will range from $2.99 to $29.99 and will include sunglasses, scarves, jewelry and handbags.
“It’s the perfect time to launch this line,” Hersh said. “It’s for people who can’t make it to my store who may have heard about it from the weekly magazines. This is a way for them to get that product at their home stores. Customers can get the look at the same time celebrities are wearing them.”
Hersh had previously sold a line of high-end merchandise called Target Couture at her boutique. The clothing included cashmere sweaters and displayed Target’s signature red-and-white bull’s eye logo in diamonds and other precious stones. The items were priced from $25 to $3,000.
News & Notes
L.A. denim company J Brand is collaborating with U.K. cheap-chic chain Topshop. The limited-edition jeans debuted last week in London. Frozen yogurt chain Red Mango Inc. has named James Franks vice president of franchising. Franks was previously with Baskin-Robbins and will work out of the Sherman Oaks-based company’s Dallas franchising office.
Staff reporter Maya Meinert can be reached at [email protected] or at (323) 549-5225, ext. 228.
