(ATTN: UPDATES with details in paras 6-7)
By Choi Kyong-ae
SEOUL, July 2 (Yonhap) -- Singapore-listed hospitality firm Banyan Group is considering local acquisitions or joint ventures (JVs) with South Korean brands to strengthen its presence in Asia's fourth-biggest economy, a company executive has said.
Banyan Group, formerly Banyan Tree Holdings Ltd., has operated one hotel, Banyan Tree Club & Spa Seoul, in Korea since 2010. Last month, it began to manage two new ones -- Cassia Sokcho and Homm Marina Sokcho -- in Sokcho, located by the east coast of the country.
The Banyan Tree, Cassia and Homm brands are part of Banyan Group's 12 global brands, under which it operates 80 hotels and resorts, over 60 spas and galleries, and over 20 residences in over 20 countries.
This file photo provided by Singapore's Banyan Group shows Philip Lim, senior vice president in charge of Regional Operations and Group Specialist Services at the group. (PHOTO NOT FOR SALE) (Yonhap)
"Our strategic decision to expand in Korea aligns with Banyan Group's overarching growth strategy, which focuses on high-growth destinations worldwide," Philip Lim, senior vice president in charge of Regional Operations and Group Specialist Services at the group, told Yonhap News Agency in a recent interview.
Banyan is considering local acquisitions or JVs with local brands as part of its strategy to expand its presence and meet the unique needs of the Korean market, the executive said.
"While we remain open to exploring acquisitions in the corporate and real estate sectors, our focus extends beyond these traditional boundaries," he said. "We are particularly interested in synergistic partnerships and investments that align with our core competencies in hospitality and lifestyle offerings, such as spas and galleries."
And there is a growing trend among avid Korean travelers toward exploring destinations closer to home. By expanding its presence in Korea, Banyan aims to be conveniently located for its target audience, the Singaporean native said.
Given Korea serves as a gateway to Northeast Asia and holds substantial influence in the global tourism market, the success and learnings from Banyan's operations here will help enhance its offerings, which can be adapted to other markets in the Asia-Pacific region, he said.
The country's advanced infrastructure and innovative culture is regarded as an "excellent environment" for Banyan to showcase and grow its diverse portfolio of brands.
Banyan Tree Club & Spa Seoul (PHOTO NOT FOR SALE) (Yonhap)
Cassia Sokcho (PHOTO NOT FOR SALE) (Yonhap)
Banyan is set to begin operating two additional hotels -- Cassia Saekdal Jeju and Banyan Tree Haeundae -- next year to meet the evolving needs of travelers, particularly in a post-pandemic landscape where domestic and regional trips are increasingly popular.
In Korea, Banyan Tree Club & Spa Seoul is owned by Hyundai Group, with Cassia Sokcho and Homm Marina Sokcho, 150 kilometers east of Seoul, owned by individuals.
Banyan Group became famous for its pool villa hotels and resorts under the Banyan Tree brand, which provides luxurious experiences. But its diverse portfolio also caters to various budget ranges, travel occasions and preferences.
"Each of our brands, including Angsana and Dhawa, is designed with its unique positioning and caters to different traveler segments," Lim said. "For instance, Cassia focuses on extended stays with flexible living spaces, whereas Homm offers 'home-away-from-home' accommodations."
As for business environments here, Korea is dynamic and competitive, with a strong emphasis on innovation and quality. And it also offers a flexible landscape, which can be advantageous for rapid business expansion, the company said.
"It's important to recognize that each country presents its unique regulatory requirements and market characteristics, necessitating a tailored approach to operations and compliance," he said.
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