Comparative analysis of the scale of China hotel industry and key enterprises in 2020:
Jin Jiang International (Holdings) Co., Ltd. VS BTG Homeinns Hotels (Group) Co.,Ltd.
Jin Jiang International (Holdings) Co., Ltd. VS BTG Homeinns Hotels (Group) Co.,Ltd.
With the improvement of China's economic level, the growth of people's demand, the emergence of hedonism and the pursuit of high-quality lifestyles, people's requirements for tourism accommodation have gradually increased, which has enabled the rapid development of China's hotel industry. In 2019, the number of hotels in China reached 338,000. In 2020, affected by the epidemic, the number of hotels in China has declined. In 2020, the number of hotels in China was 279,000, a decrease of 58,800 from 2019, a year-on-year decrease of 17.4%. But from a long-term market perspective, as the epidemic improves, people's travel needs will greatly increase, and China's hotel industry will resume growth.
According to the data of the "China Hotel Industry Market Research and Market Competition Strategy Report 2021-2027" released by Zhiyan Consulting, the number of hotel guest rooms will also decrease as the number of hotels in China decreases.In 2020, the number of hotel guest rooms in China was 15.326 million, a decrease of 2.294 million compared with 2019, a year-on-year decrease of 13.0%.
In terms of hotel levels, the number of budget hotel guest rooms in China in 2020 was 9.424 million, a decrease of 2.072 million of 2019;The number of midscale hotel guest rooms was 2.594 million, a decrease of 216,000 from 2019;The number of luxury guest hotel rooms was 1.078 million, a decrease of 28,000 from 2019;The number of high-end guest hotel rooms was 2.23 million, an increase 23,000 rooms from 2019.
It can be seen that the number of high-end hotel rooms is the only type of growth.
It can be seen that the number of high-end hotel rooms is the only type of growth.
Comparative analysis of leading hotel chain companies: Jin Jiang International (Holdings) Co., Ltd. VS BTG Homeinns Hotels (Group) Co.,Ltd.
After years of development, some of the most representative and outstanding companies such as Jin Jiang Hotel and BTG Hotel have emerged in China’s hotel industry. Jin Jiang Hotel was established on December 13, 1994, headquartered in Shanghai, BTG Hotel was established on February 12, 1999, headquartered in Beijing, Jin Jiang Hotel was launched earlier.
In the 2021 China hotel chain TOP50 ranking list, Jin Jiang International Group ranked first, and BTG Home Inns ranked third.
From the perspective of total assets, the total assets of Jin Jiang Hotels and BTG Hotels will decline to varying degrees in 2020. The total assets of Jin Jiang Hotels in 2020 was significantly higher than BTG Hotels. In 2020, the total assets of Jin Jiang Hotels was 38.64 billion RMB, compared with 2019, a decrease of 230 million RMB; the total assets of BTG Hotel was 16.63 billion RMB, a decrease of 480 million RMB from 2019.
From the perspective of revenue, due to the impact of the epidemic, the operating income of Jinjiang Hotels and BTG Hotels declined significantly in 2020.The total operating revenue of Jinjiang Hotel in 2020 was 9.9 billion RMB, a decrease of 5.2 billion RMB from 2019; the total operating income of BTG Hotel was 5.28 billion RMB, a decrease of 3.03 billion RMB from 2019. Although the total operating income of Jinjiang Hotels declined significantly in 2020, it was still higher than that of BTG Hotels, and its leading position in the industry was prominent.
From the perspective of attributable net profit, due to the impact of the epidemic,the hotel industry suffered heavy losses in 2020.In 2020, the net profit attributable to Jin Jiang Hotels and BTG Hotels fallen sharply. Among them, BTG Hotels was even more pronounced, with negative growth for the first time.
From the perspective of gross profit margin, due to the impact of the epidemic, the gross profit margin of Jin Jiang Hotels and BTG Hotels fallen sharply in 2020. The gross profit margin of Jinjiang Hotel in 2020 was 25.7%, which was a 64.2% decrease from 2019; the gross profit margin of BTG Hotel was 12.6%%, which was a decrease of 81.1% compared with 2019. Although the gross profit margin of Jinjiang Hotel declined significantly in 2020, but it was still higher than that of BTG Hotels.
From the perspective of revenue structure, the operating income of Jin Jiang Hotels and BTG Hotels is mainly derived from hotel operation and management business.In 2020, Jin Jiang Hotel’s hotel operation and management business revenue was 9.648 billion RMB, accounting for 96.51% of total operating revenue; BTG’s hotel operation and management business revenue was 5.029 billion RMB, accounting for 95.21% of total operating revenue.
In terms of the number of hotels, the number of Jinjiang Hotels is significantly higher than that of BTG Hotels. From the perspective of structural distribution,the number of franchise hotels of Jin Jiang Hotel and BTG Hotel is relatively large.In 2020, Jinjiang Hotels has a total of 934 directly-operated hotels, accounting for 9.93% of the total number of hotels; a total of 8472 franchised hotels, accounting for 90.07% of the total number of hotels. BTG Hotels has a total of 789 directly-operated hotels, accounting for 16.12% of the total number of hotels, and a total of 4106 franchised hotels, accounting for 83.88% of the total number of hotels.
In terms of the number of hotel rooms, the number of guest rooms in Jinjiang Hotel is significantly higher than that of BTG Hotels. From the perspective of structural distribution,the number of franchise hotel guest rooms of Jin Jiang Hotel and BTG Hotel is relatively large.In 2020, Jin Jiang Hotel has 105,577 directly-operated hotel guest rooms, accounting for 11.48% of the total number of guest rooms, and 813,919 franchised hotel guest rooms, accounting for 88.52% of the total number of guest rooms. BTG Hotel has 94,462 directly managed hotel guest rooms, accounting for 21.84% of the total number of guest rooms, and a total of 337991 franchised hotel guest rooms, accounting for 78.16% of the total number of guest rooms.
From the perspective of average room rates, the average room rate of Jinjiang Hotels is higher than that of BTG Hotels.From October to December 2020, the average room rate of Jinjiang Hotels was 206.92 RMB per room, and the average room rate of BTG hotels was 187 RMB per room.
From the perspective of the average occupancy rate, the average room rate of Jinjiang Hotels is higher than that of BTG Hotels. From October to December 2020, the average occupancy rate of Jinjiang Hotels was 72.88%, and the average occupancy rate of BTG Hotels was 69.90%.
In terms of market share in the hotel industry, Jin Jiang Hotel is higher than BTG Hotel. In 2020, the number of Jin Jiang Hotel guest rooms accounted for 6.00% of the total number of guest rooms in the national hotel industry, and the number of BTG hotel guest rooms accounted for 2.82% of the total number of guest rooms in the national hotel industry.
Conclusion
Regardless of the size of the company, revenue, profitability, hotel distribution, room rate, occupancy rate, and hotel market share, Jin Jiang Hotel is superior to BTG Hotels. Jin Jiang Hotel is worthy of being the leader in the hotel industry.