Wednesday, 11 January 2017
Trump's Brand is Dying
I've just been looking at deals available on hotels in New York this month. Interestingly the various Trump hotels seem to be offering very good deals suggesting that they may be struggling to sell rooms. Now admittedly January is a slow month and the hotel business often have to offer very good prices to up their occupancy rates. But you might imagine that the Trump hotels would be bucking that trend.
So here is an interesting notion. Whilst it is probably true that Trump's new hotel in Washington is doing well on the back of diplomats, world statesmen and businessmen attempting to curry favour with the incoming president, the rest of the empire may have suffered as a consequence. An already tarnished brand may be looking very ragged indeed thanks to President Trump.
He has his fans of course, that's how he got elected after all. But are they necessarily the sort of people who could afford his prices? For everyone else? Would you be seen dead in one of his hotels or resorts these days? I would never have gone near one even before his run for the presidency. Now many many more people may have come to the same conclusion. What was previously just distaste may have turned to outright hatred. Hatred and anger do not sit well with a brand selling luxurious dream holiday experiences.
President Trump is still not yet inaugurated but could it be that his whole empire may soon be struggling against bankruptcy? Has he holed his business below the waterline? For most of his career Trump has been a brand attached to a huge overdraft. Now its a growing overdraft attached to a brand akin to Ratners or Bernie Madoff. The Trump pyramid scheme may be about to collapse. Unless of course he secures Russian loans........