Inns North spans the North

by Doug Ashbury
Northern News Services

NNSL (Dec 22/97) - Inns North is the largest aboriginal-owned hotel chain in North America, according to its manager Ted Bailey.

Bailey joined Inns North, a division of Arctic Co-operatives Ltd. in April 1996, coming from Vantage Hospitality Group, a Vancouver-based hotel firm which operated six fly-in resorts in western Canada.

He has a Masters of Management and Hospitality from Cornell University and a long history of hotel management. Bailey's father was general manager at Toronto's Park Plaza.

Reporting to Arctic Co-op's CEO, Bailey is responsible for managing the group of 21 hotels scattered across the North and staffed by about 200 people.

He's on the road -- or in the air -- 32 weeks a year. He even covers the Inns North booking line.

"There's an Inns North in the Northwest Territories' most northern community, most southern community, most eastern community and most western community," Bailey said. He is talking about Grise Fiord, Broughton Island, Sanikiluaq and Fort McPherson respectively.

After division on April 1, 1999, all but four Inns North hotels will be in Nunavut.

"We're trying to provide an identifiable chain of hotels."

Only a few years ago, Inns North's future was uncertain.

In 1989, the Inns North program was established. In 1994, half a dozen co-op hotel managers met to discuss the future of the Inns North program. In 1995, tenders for business plans were issued and a Montreal firm would later develop an Inns North strategy.

Over 1997, the chain of hotels has had an occupancy rate of about 65 per cent, Bailey said.

Bailey preferred not divulge financial information but did say the hotel group is on budget to break even for the 1997 calendar year.

Arctic Co-operatives is a non-profit organization returning surplus to community members.

Government guests have historically made up a big part of the chain's revenues but that stream is narrowing, Bailey said.

Revenue from this source has dropped 26 per cent in the last year.

More than off-setting the decline has been the tourist dollar.

Money from tourism is up 35 per cent over last year, he said.

To promote Inns North and the packages they have to offer, Bailey spends several weeks attending trade shows.

In 1998, Bailey said he has budgeted $60,000 to promote the chain.

In the coming months, Bailey will be at trade shows in Vancouver, Chicago, Toronto, Quebec, Japan, Germany, Holland and London.

Staying at an Inns North is pricey.

But, said Bailey, for an average of $200 plus GST a night, guests get three meals, transportation from and to the airport as well as in-room amenities. Coffee and local telephone calls are free.

Even if the hotel is new, carries all the amenities, is recognized by the traveller, there is still a challenge, he said.

"How do I get someone to spend money to come North, the cost can be in the thousands."

To draw tourists North, Bailey said Inns North has to market itself as part of a Northern experience.

"Many of our locations offer outfitting packages."

Sea kayaking and trips to the edge of the ice floe are among those packages. There are also snowmachine or dog sled trips to the magnetic north pole out of Resolute.

There's even talk of visiting Santa at the magnetic north pole as a marketing move.

Trips out of Pond Inlet are among the most popular. If you are looking to book a trip out of the Inns North there, look to 1999. That's when bookings next open.

"I can get somebody to Gjoa Haven to meet an artist, buy a piece of his art and I can get him dinner with the artist, for less than the price of a similar piece of art in a Winnipeg gallery," Bailey said.

Out of Sanikiluaq, Inns North has booked 10 people on an eco-igloo Valentine's Day weekend. The group will go out on the land, build igloos and spend the weekend living a cultural experience.

Bailey also said he sees himself operating out of the North. The Inns North division is located in Arctic Co-operatives' Winnipeg offices.

Inns North is currently building a much-needed new hotel in Sanikiluaq. The brand new hotel is located down the road form the current building. It is anticipated it will open in February.

"The old hotel will be donated to the community to use a shelter," Bailey said.

Currently, there are 10 requests for new hotel buildings within the chain.

Another new move -- Arctic Co-operatives recently added a jewel to the chain, the High Arctic Lodge in Resolute.

Jill Herbert who works for Yellowknife-based consulting company Genesis Group, recently stayed at Inns North's Resolute property.

"It was amazing," she said.

And there will likely be many more moves by Inns North.

In the coming years, look for Inns North to hang its new signs in places like Igloolik, Coral Harbour, Baker Lake, Rankin Inlet, Clyde River -- or maybe all of these Northern communities.