IHG Hotels & Resorts Introduces Ruby to the U.S., Targeting Growth in Urban Micro Segment

Rhea-AI Summary

IHG Hotels & Resorts (NYSE:IHG) has announced the expansion of its Ruby Hotels brand into the U.S. market, marking its 20th global brand. Ruby, founded in Germany in 2013, currently operates 34 open or pipeline hotels in major European cities. The brand targets cost- and style-conscious travelers in urban centers, offering premium amenities while eliminating unnecessary extras.

The expansion aligns with IHG's ambitious growth strategy to develop more than 120 Ruby hotels globally in the next decade and over 250 hotels in the next 20 years. The brand will focus on major U.S. urban markets through new build, conversion, and adaptive reuse projects, leveraging IHG's distribution network and IHG One Rewards loyalty program.

Positive

• Strategic expansion into the growing 'urban micro' segment in the U.S. market
• Flexible development options including new build, conversion, and adaptive reuse
• Access to IHG's powerful distribution platform and IHG One Rewards loyalty program with 145 million members
• Proven success with 34 open or pipeline hotels in European markets

Negative

• Franchise registration still pending in certain U.S. states
• Faces potential competition in the increasingly crowded urban micro-hotel segment

News Market Reaction

+0.44%

1 alert

+0.44% News Effect

On the day this news was published, IHG gained 0.44%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Premium brand will bring soulful design and efficient, turnkey development to urban markets, building on successful European presence

ATLANTA, Sept. 23, 2025 /PRNewswire/ -- IHG Hotels & Resorts (IHG), one of the world's leading hotel companies, today announces development opportunity availability in the U.S.* for Ruby Hotels (Ruby), its 20^th global brand. As the latest addition to its premium collection of brands, Ruby will offer a new and attractive option for cost- and style-conscious travelers in U.S. city centers. For owners, the brand represents a versatile alternative that is ready made for urban settings often challenged by significant barriers to entry and space constraints.

IHG Hotels & Resorts (IHG) today announces development opportunity availability in the U.S. for Ruby Hotels.

Ruby's U.S. market debut marks a notable milestone in its global expansion, building on its addition to the IHG portfolio earlier this year. Founded in Germany in 2013, Ruby's expanding presence now includes 34 open or pipeline hotels in major European cities. Much like its European foothold, IHG's strategic growth plan for Ruby will prioritize major U.S. urban markets and accommodate a range of project types including new build, conversion and adaptive reuse.

Through its premium urban lifestyle approach, Ruby emphasizes the elements and amenities that guests prioritize while eliminating unwanted extras. Each hotel offers standardized and beautifully appointed room options featuring everything guests need for a comfortable stay, including cozy beds, premium finishes and fixtures, rainfall showers and high-quality bath amenities. Ruby's public spaces additionally welcome travelers and neighbors through locally crafted interiors and destination 24/7 bars serving unique cocktails and barista coffee.

Jolyon Bulley, CEO, Americas, IHG Hotels & Resorts said: "Ruby is a brand built for the future of hospitality. Its success in Europe speaks to the growing demand for flexible, lifestyle-focused hotels in highly traveled locations. Ruby's U.S. introduction will complement our premium portfolio and offer owners a differentiated product with strong economics and scalable growth potential. We're encouraged by the initial interest and buzz around Ruby, which reinforces our confidence in its appeal and ability to thrive in this market."

Ruby's U.S. availability reflects IHG's ambition to grow the brand to more than 120 global hotels during the next decade and more than 250 during the next 20 years. Joining forces with IHG allows Ruby owners to draw on a powerful enterprise platform of distribution and technology systems, as well as one of the world's biggest hotel loyalty programs in IHG One Rewards. IHG expects continued accelerated global growth in the "urban micro" segment, creating opportunity for even greater owner and traveler interest in Ruby.

Lauren Krostue, Vice President, Global Brand Management, Ruby said, "Ruby empowers IHG to connect with a new type of traveler – the individualist who values soulful, character-driven premium stays at an affordable price point. In bringing Ruby to the U.S., we will retain what's made the brand so special in Europe – including its unique design and operating model – while localizing certain elements to reflect market needs. We look forward to introducing the Ruby experience to a new group of owners and guests and showcasing what sets the brand apart in the increasingly popular 'urban micro' segment."

For more information about the Ruby brand and its development opportunities, visit ruby-hotels.com or development.ihg.com.

* The franchise registration for Ruby Hotels is still pending in certain states. IHG encourages interested owners and developers to contact the IHG Development team to confirm local franchise opportunity availability.

About IHG^®

IHG Hotels & Resorts (tickers: LON:IHG for Ordinary Shares; NYSE:IHG for ADRs) is a global hospitality company, with a purpose to provide True Hospitality for Good.

With a family of 20 hotel brands and IHG One Rewards, one of the world's largest hotel loyalty programmes with over 145 million members, IHG has more than one million rooms and 6,700 open hotels in over 100 countries, and a development pipeline of over 2,200 properties.

• Luxury & Lifestyle: Six Senses, Regent Hotels & Resorts, InterContinental Hotels & Resorts, Vignette Collection, Kimpton Hotels & Restaurants, Hotel Indigo
• Premium: voco hotels, Ruby, HUALUXE Hotels & Resorts, Crowne Plaza Hotels & Resorts, EVEN Hotels
• Essentials: Holiday Inn Express, Holiday Inn Hotels & Resorts, Garner hotels, avid hotels
• Suites: Atwell Suites, Staybridge Suites, Holiday Inn Club Vacations, Candlewood Suites
• Exclusive Partners: Iberostar Beachfront Resorts

InterContinental Hotels Group PLC is the Group's holding company and is incorporated and registered in England and Wales. Approximately 385,000 people work across IHG's hotels and corporate offices globally.

Visit us online for more about our hotels and reservations and IHG One Rewards. To download the IHG One Rewards app, visit the Apple App or Google Play stores.

For our latest news, visit our Newsroom and follow us on LinkedIn.

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SOURCE IHG Hotels & Resorts

FAQ

What is Ruby Hotels and how is it related to IHG (NYSE:IHG)?

Ruby Hotels is IHG's 20th global brand, acquired in 2025. It's a premium urban lifestyle hotel brand that offers efficient, design-focused accommodations in city centers.

How many Ruby Hotels does IHG plan to develop globally?

IHG plans to grow Ruby Hotels to more than 120 properties in the next 10 years and over 250 hotels in the next 20 years.

What type of travelers does Ruby Hotels target?

Ruby Hotels targets cost- and style-conscious travelers who value premium amenities in urban locations without unnecessary extras.

What are the development options for Ruby Hotels in the U.S.?

Ruby Hotels offers multiple development options including new build construction, property conversion, and adaptive reuse projects in major U.S. urban markets.

How many Ruby Hotels are currently operating or in development?

Ruby Hotels currently has 34 properties either open or in the pipeline, primarily located in major European cities.