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February 16, 2007
John Q. Hammons - An Unfinished Legacy
John Q. Hammons, Founder, Chairman and
Chief Executive Officer of John Q. Hammons
Hotels & Resorts, LLC, who was recently
honored at ALIS with the Lifetime
Achievement award, needs no awards to remind
him about the importance of innovation and
hard work. For 49 years, this nearly 88-year-old
visionary, dynamo, risk taker, philanthropist and
developer of nearly 200 properties in 40 states,
continues to make deals happen everyday. He
has no intention of slowing down and shared
that right now he is probably working on 15
different deals in 11 states and has roughly
$1.48 billion in the new construction pipeline.
Hotel Interactive spent valuable face time with
Hammons before he received his ALIS award
and learned that his experience and wisdom are
as critical to the hospitality industry today as
they were in the 50s when Hammons first
noticed Del Webb's Highway Houses along
Route 66 on a trip to California and decided to
develop his own properties.
Hammons entered the hotel industry in 1958
when he joined with Roy E. Winegardner to
purchase his first 10 Holiday Inn franchises
from founder Kemmons Wilson. Together they
formed Winegardner & Hammons Incorporated
(WHI) of Cincinnati, OH, a hotel development
company, in 1961. In 1969, with nearly 36
Holiday Inns completed under the WHI banner,
Hammons formed John Q. Hammons Hotels.
Today, the company operates properties under
brands like Embassy Suites, Renaissance,
Marriott, Radisson, Residence Inn, Homewood
Suites, Holiday Inn and Hampton Inn and
Suites. Hammons company owns or manages 72
hotels in 24 states and Hammon's vision has
made the organization the leading independent
manager of hotel meeting space in the country,
with more that 1.8 million square feet of space
in their portfolio.
In addition, John Q. Hammons Hotels, LLC. has
been recognized for outstanding service to the
disabled community. The company has
upgraded in excess of 700 rooms and its
investment today is probably nearly a million
dollars. In 2004, Hammons received the Murray Award from the Society for Accessible Travel
and Hospitality (SATH) for the company's efforts.
John Q. Hammons' success was no accident. It was built around his strong instincts about the
market and the importance of location; his gut feelings about when to purchase and build
Hammons philosophy remains – "No matter the circumstances, forge ahead," he said. "From an
early age, I was blessed with a strong desire and drive to be successful," And he shared a series of
four tipping points in his career that were defining moments for him. "These defining moments
have taught me the importance of embracing change, committing to quality, giving back and
always keeping your word. It's a one that I am happy to share.
Hammons first tipping point had to do with his wanting to earn money selling rabbit pelts. He
built rabbit traps and checked them every morning at 6 a.m. He averaged about six catches a day
until one day he discovered all of his rabbits were gone. Hammons discovered that another boy
had been getting up at 5 p.m. to steal the catch. He easily solved his problem by getting up at 4 a.
m. and that became a philosophy – success was worth getting up early.
Hammons second tipping point has to do with studying and creating markets. "A good location
means nothing if there is not a market to support it," Hammons said.
He referred to his discovery of the Del Webb Highway Houses during that trip to California and
the formation of his original company, Winegardner & Hammons. "We became one of Holiday
Inn's largest franchisees, eventually developing 67 Holiday Inns," Hammons said. "I quickly
became passionate about the hotel business because you could impact the marketplace in a
positive way."
The need to specialize, his commitment to quality and the importance of paying special attention
to the customer's needs, carved Hammons third tipping point. "I founded John Q. Hammons
Hotels in 1969," he said, "Even though Holiday Inn helped me recognize great success, I switched
gears after seeing economy hotels popping up next to each other... I focused on the upscale
market, primarily building Embassy Suites and Marriott properties with convention centers. I
decided to build quality hotels that would exceed customers' expectations."
Hammons added that he knew by building the property right, locating it correctly and giving the
customers what they wanted, they would buy.
His last tipping point related to building hotels in uncertain times. After 9/11, for example, when
hotel development came to an abrupt halt and stagnation set in, Hammons forged ahead. He found
an abundance of labor and materials, he knew the economy would rebound and that people would
begin to travel more. He built more than 14 hotels after 9/11 and they were all in service by
summer of 2005.
"The proof that this decision was worth it is evident now," Hammons pointed out.
"Today the cost of steel has ignited, increasing some 25 percent. By continuing to develop hotels
during an uncertain time, our company saved $60 million. No matter what the economy does, no
matter the circumstances, forge ahead."
John Q. Hammons tipping points are the cornerstones of his and his company's success. His hotels
are dominant in their markets and are strategically located near demand generators – state capitals,
universities, airports, corporate headquarters and office parks in secondary and tertiary markets.
"Over the course of my career, I've invested in resorts, a riverboat casino and other private
projects," Hammons said. "Between 1971 and 1973, I bought 8 sites in Germany, Madrid and
Amsterdam.
"We don't build unless we know what the market demands and how it will sustain itself. I've only
made five purchases where the market wouldn't do what I hoped it would."
Of his competition, Hammons believes that many of his competitors don't share the same
motivation he does. "They're just not as determined to be successful as I am. I've always been
very active. I want to move things along."
He believes the Internet is over his head, but he likes it and believes that we'll be shocked by how
much it will change the hospitality industry.
As John Q. Hammons approaches this next year of his career, he is looking forward to his 51st
consecutive year of attending the final four in basketball and his 52nd year of attending Cincinnati
Reds spring training. And he'll continue his routine of being on the road at least 2 or 3 times a
week, as he told us.
Commenting on his Lifetime Achievement Award, Hammons said, "It's a great honor to be
recognized among industry leaders that I have admired, but my legacy is not yet finished. I have
exciting plans to still accomplish in the hospitality industry and in my philanthropic endeavors. "
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