Editorial

Dear Insiders,
The ITB provided adequate opportunity this year to get to know the "Movers & Shakers" who otherwise prefer to remain in the background. Sarah Douag met both CEOs of Fastbooking - the company that intends to push AccorHotels to become a mini OTA, with its new distribution platform under accorhotel.com. To the French journalist, the two Frenchmen Guillaume de Marcillac and Jean-Luc Chrétien provided lots of detail on contracts with the hotels, on commission, loyalty programmes and innovation. Fastbooking is AccorHotel's "digital lab".
The motto on the MICE market is not to experiment but to react. At the IMEX in Frankfurt this week, the "Meeting & EventBarometer 2016" pointed to growth in the German event market, but no longer indicated any huge leaps. Budgets are also rising, but only moderately. New: China mixes among the top 10 preferred conference destinations worldwide. Current facts and figures today in compressed form.
It was less the figures and more the ideas and peculiarities of luxury hotels which interested the 100 buyers at the B2B luxury trade fair "loop" in the Kempinski Gravebruch/Frankfurt. The third such event, and the third time we were media partner as well, loop is a careful reflection of what luxury travellers really want. More than ever before, perhaps as a result of the special turbulence in today's world, luxury travellers are looking for that special something - and security of course. 100 hoteliers put their pearls on the table, and the buyers go hunting for them. A summary - available for all users - can be found on our Page 1.
There you will also find our summary of the ITB Hospitality Day panels on digital natives. Future researcher Andreas Reiter based in Vienna explained why companies must focus on these young people, on their super-egos and demands.
And other news: The French have choosen the holiday apartment provider HomeAway as their official partner for the Euro 2016; and the hotel industry is up in arms, mainly because there's yet again no mention of tax. Boardinghouse Consulting based in Berlin has published its current comprehensive market report on Serviced Apartments in Germany. And at the same time, Deutsche Hypo has also compiled a market overview on this segment. Preferred Hotels Vice President Philipp Weghmann explains why the consortium is growing now and is able to keep growing. And the Austrians realise that their record overnight stays in winter are over.
Apart from that: Two other events are moving closer in June. Have you already looked at the details on the 3rd conference "Spotlight Hotel Investment Poland" in Warsaw. I like how this is developing into a new industry meeting point for CEE, and this is why we are supporting the small but fine event as media partner. With colleagues from "hotelbau" we are also organising a specialist symposium on "Green Hotels" in Munich. The day is planned as compact workshop with lots of time for questions. All details can be found on our Page 1 - click on the text or on the corresponding banner.
Next week, I will meet some of you at ATM and AHIC in Dubai, so my colleague Susanne Stauss will welcome you here.

Dear Insiders,
The deal's done! Finally. Following approval from shareholders last week, peace has finally returned in the Marriott-Starwood drama. So how will things move forward? Both chains want to begin their joint future with the loyalty programme, then the small Starwood is to benefit from the sales and development power of its big brother. And: All 30 brands are to remain.... But of course, that will first be discussed with owners. What the two CEOs Arne Sorenson and Thomas Mangas plan, where they see mutual strengths and weaknesses is looked at by Sarah Douag this week, who cites from a protocol of investor meetings.
Kike Sarasola, founder of Room Mate Hotels and BeMate, has spun his own strong business model from the weakness of Airbnb&Co with a hotel chain and an apartment chain. Our Italian correspondent Massimiliano Sarti met the entrepreneur and hotel critic in Milan. He exuded happiness and made very clear statements, figures included.
There are businesses where a hotelier earns money without having to do much for it: e.g. renting out unused parking spaces. In France a start-up came up with a simple idea to do just that, and now has over 200 hotels from chains of various sizes under contract. Turning parking into a money machine. Innovative thinking helps. But this is hard, as was seen in the discussion round on Innovation Labs at the "ITB Hospitality Day". 25hours CEO Christoph Hoffmann stood up to criticism from non-hoteliers with his own ideas and viewpoints though.
Scenarios for the future are also provided by the new "Lausanne Report" presented at the Think Tank "Windows to the Future" by the Ecole hôtelière Lausanne this Wednesday - also before renowned CEOs. Macy Marvel gives an initial taste of the upcoming publication.
Despite the attacks, France remained Europe's number 1 tourist destination in 2015. Good motivation for its neighbours. Though Germany is also shifting from one record to another and will presumably also have a strong year in 2016. In Switzerland, the Grand Resort Ragaz ends 2015 with growth, despite the rise of the CHF. Orascom Hotels continues to suffer from the crisis in Egypt though.
Summaries from the ITB talks are available to all users on our Page 1, along with initial descriptions of our next large trade fair commitment - the Expo Real. The joint stand "World of Hospitality" 2016 is also well booked. The next deadlines are in May. – The full editorial…

Dear Insiders,
Where is AccorHotels heading? As of this week, the group counts a new subsidiary - Onefinestay, a pretty, luxurious child. Mega-millions are currently flowing into start-ups - and taking the hotel group far away from its core business.
Does Accor still have time to be a hotelier? Does the self-styled operations man Sébastien Bazin keep a handle on all that he's doing? Or has he just fallen back into his former role as a investment professional? Who does he seek to please? Taken together, the companies acquired today reveal no easily identifiable strategy, in fact the mix rather smacks of a hawker's tray. We had and still have lots of questions.
In the German budget segment, there are even more questions. PKF hotelexperts Munich has just published a new market study, and one conclusion there promptly underlines what I saw for myself this week at the recently opened Moxy Munich Airport and in the new Super 8 Munich City West. Comparing the two shows that value for money in the budget segment is becoming increasingly important. Here, Moxy is too expensive. The darned details make the difference.
Since the Chinese have kept us on our toes for a while, it was nice to hear Eric Wu speak at the ITB Hospitality Day in Berlin for a whole 60 minutes. Wu is CFO of Plateno, China's largest chain. He provided insight into the Chinese way of thinking and their orders of magnitude. Our summary is available for all to read on Page 1 together with link to the video.
The hotel industry in Brussels isn't doing well at all after the attacks. The major German investor Patrizia is still flying the hotel flag high. The Dorint Seefeld, on the other hand, will close next week - fund problems. The Dorint Augsburg is also suffering. On a positive note, gambinoHotels will hoist its own flag in Munich next year: a new player in the economy segment is set to launch. And Best Wellness Hotels Austria is now called Best Alpine Wellness Hotels as it also seeks to grow to include other Alpine regions.
Once again it was a colourful and speedy week. Read it yourself!
Before leaving for the weekend though, please take a moment to take part in our Investment BAROMETER! We sent participant codes on Wednesday. The spring survey will conclude on Sunday. Next week, I will again be in Frankfurt for the luxury B2B trade fair Loop in Frankfurt - and will report as always. And in June you will be welcome to the third edition of "Spotlight Hotel Investment Poland" in Warsaw where you can still easily meet new partners. See page 1 for the details.

Dear Insiders,
Yesterday, the turbulences of the last five months within Kempinski came to an end with the supervisory board changing the CEO: Vice Chairman Markus Semer, 39 years old, is taking over. He enjoys the trust of the shareholders as well as of hotel colleagues and he is supposed to bring peace and motivation back to the business. There was a lot going on behind the scenes, even though everyone was on a speaking ban.
Kempinski's criminal charge against Reto Wittwer last November triggered more than a wave of headlines in the media. Today, the former CEO explains to hospitalityInside.com what has happened since he fighted the suspected fraud and how he finally reached his rehabilitation, by being dispelled from any suspicion in the beginning of March.
Since a year and a half, since the surprising, incomprehensible departure of Reto Wittwer in October 2014, I have been silently following the story and kept researching continuously. The swift decisions and the short and rigorous explanations of the last weeks show: The story is still not completely transparent – the Kempinski owners from Thailand and Bahrain simply pulled the emergency brake. The priority was to avert further damage from the company.
Starwood shareholders should have been at ease in the last days celebrating their rising share prices. Marriott and Anbang have been fighting an exciting bidding battle – until last night. At 1am Central European time Starwood Hotels reported that Anbang will give up. For first details see the article. We will leave this article for today's issue untouched, as it still explains the pros and contras of the different merger options, based on yesterday's information.
Selling is always the focus at OTAs, even if they – as Google – are not yet officially or do not want to be categorized as such. Our summary of the panel discussion at the ITB Hospitality Day in March with Google and Booking.com can be found by our users on page 1; Terri Scriven and Peter Verhoeven show subtle, important distinctions in their expansion strategy.
The hotel association in Germany is now suing Expedia. A new study is out about the anticipated market performances in 2016/2017. Furthermore the ITB delivered new wellness indicators. A sad message which needs to be spread is that the German wellness pioneer Barbara Richter passed away this week. In 2002, we jointly published the trade book "Wellness + Wirtschaft". And I am sure that I will not be the only one who is going to miss her.
These kinds of headlines also remind us that money, greed and power should not always be in focus. Nevertheless, I wish you enjoyable reading today... Last but not least we would also like to invite all hotel real estate experts again to participate in our online "Investment Barometer" in cooperation with Union Investment. On April 10, we will close the survey. – The full editorial…

Dear Insiders,
The small robot was the hit at ITB Hospitality Day in Berlin last week. But it is a strange feeling to have an automated "co-host" like Mario at your side – even if he fascinated everyone with his radiant children's eyes and dancing skills. Mario still appears like a toy and there are no really useful, interactive acting robots available for everyday life yet. But they will come; therefore, software solutions, robots and smart machines could take over up to 50 percent of the jobs in the hotel industry in future, especially in the low-wage and unqualified job segment.
The panel talk after the entertainment by Mario provided food for thought. In the magazine, Fred Fettner examines the subject extensively with facts and figures and also compares Mario with Toshiba's female robot ChihiraKanae. On page 1, you will find a shortened version. And soon, you will be able see the respective videos on the subject at the website of ITB Berlin.
Today, nearly all of our articles are based on interviews and events at IHIF and ITB Berlin. Based on the new nuances at prizeotel, B&B and Super 8 it becomes obvious that the budget players have to sharpen their profile very clearly in order to survive. However, it is funny, that all players – and not only these players – have their own mega expansion plans and are thus increasing the pressure on themselves and others dramatically. This smells like imminent consolidation in the budget segment.
Louvre Hotels Group is slowly emerging from the shadows now. After Jin Jiang's appearance on the scene, CEO Pierre-Fréderic Roulot spoke in public for the first time at the ITB. Very quickly, Sarah Douag was able to elicit a flood of figures and hyper-dynamical plans from him. AccorHotels ought to listen.
What current consolidation looks like becomes obvious by the surprising and almost comedy-like act of the Chinese insurance group Anbang with a consortium backing it up. They are offering two billion USD more for Starwood than Marriott. Very soon, we will know how eager the Starwood shareholders really are.
Maybe, the global greed will cool down soon, as trend researchers have found out that global tourism will grow by 2 percent less in 2016. Terror and refugees are changing travelling behaviours. But China is moving everyone and everything; therefore, Messe Berlin is even launching its first ITB China in May 2017.
The 50th ITB in Berlin was an event of record figures by all means and despite all changes – even in the hotel hall 9 – the spirits were high and business was flourishing. Also the co-exhibitors at "World of Hospitality" had the same impression; in our YouTube video you can view some impressions from the stand and the conference.
At the same time, we would like to invite hotel experts again to participate in our online "Investment Barometer" in cooperation with Union Investment. On April 10, we will close the survey.
After the exhausting days at the exhibition, many participants are recovering during the upcoming Easter days. Just like us! Therefore, the next issue will not be published next Friday but on April 1!

Dear Insiders,
The participants of this year's International Hotel Investment Forum and ITB in Berlin this week appeared extremely dynamic, almost hectic. Capital and IT are driving the hotel industry – nothing else.
One of IHIF's surprises was the news that Rezidor will participate in the German prizeotel brand by Marco Nussbaum with a share of 49 percent. Many considered this a smart deal, and I think: it is a signal to the market that minor creatives should be taken seriously, and it shows these minors what they need to do in order to become fundable.
The brand frenzy won't stop: Althoff Hotels has announced Urban Loft – also ready to expand in Central Europe. At the same time the Althoff Group signed a joint venture with the Chinese giant Plateno Group to expand its Ameron brand in China. 
In the midst of announcements and rumours around AccorHotels, Sarah Douag took a closer look at their agenda – and we think: should Accor take over Carlson Rezidor with its 1,400 hotels, CEO Sébastien Bazin would mark the beginning of Accor's end. Instead, yesterday media speculated about a share deal between AccorHotels and the Chinese Huazhou Group. And there are other new rumours about Carlson Rezidor again...
At the ITB hotel conference, hotel robot Mario proved an absolute magnet – and the debates on digitization, OTAs and loyalty programmes attracted more than 1,700 people in total. Neither the IHIF nor ITB offered any mega news, but instead many good talks and thoughts off the record. Next week, we will report in more detail about all issues that dominated Berlin and the ITB Hospitality Day.
But those who are not in Berlin don't need to worry, we're still tackling many exciting issues: Sarah Douag reports on the growing online hotel reservation fraud, Susanne Stauss covers the increasing number of guests with allergies who make chefs go mad, but usually know how to help themselves. And in a guest contribution, Tina Froboese of BBG-Consulting in Duesseldorf shows how to be more efficient and profitable thanks to well thought-out kitchen planning. Sample calculation included. - Our team will be at ITB today as well. But next week, we'll be back for you as usual...

Dear Insiders,
The ITB is just around the corner. If the hectic this week is an indication of success, then it should be really buzzing in Berlin. Sector gossip will this time focus on Kempinski, that had to publicly apologise on Wednesday for accusations made against its former CEO Reto Wittwer. Yet as we said in our "Breaking News" on Wednesday evening, an end to the story is not yet in sight. Now, initial positions have been replaced from the background.
The issue of digitalisation at ITB conferences is also reflected in our hot-off-the-press ITB SPECIAL, which we release today as eMagazine. The publication will also be available free of charge on the ITB Hospitality Day and can be collected from many of Berlin's hotels, and of course also at our joint stand "World of Hospitality" in Hall 9/109. There you will meet experts in software, eCommerce, media, consulting and the hotel industry. All details can be found via a link in the corresponding texts or in the banner on our Page 1.
This is also true for our "Investment BAROMETER" which we launch today again. Together with Union Investment, we once again pose interesting questions on yield and top locations. You can take the survey live at the stand, or at home online.
The joint stand, initiated by HospitalityInside, this year awaits with something special: Together with the software company HSDS, we are launching a project intended to help managers of small and larger hotels and groups to keep an eye on competition, the market and reviews - and all of that in real time. A new app will offer direct benefit and value; can be used on a smartphone and managed via the new "Hospitality Business Cockpit". Also new: The user only pays for what he or she really needs. A description can also be found on our Page 1. Curious visitors are welcome at the stand.
And now to the magazine: Two weeks ago, Puneet Chhatwal gave us an update on the Steigenberger expansion. Sarah Douag also took a look at the new Jaz in the City in Amsterdam. She was very impressed, even if the target group wasn't yet sitting in the lobby. At Banyan Tree, we had an interview with CEO Abid Butt in the bag, before his contract was then terminated two weeks ago. Let's see what becomes of his strategy approaches. Europe at least, he had fixed in his sights. Choice Hotels has now grown by 16 hotels by way of unusual co-branding with Star Inn Hotels. A surprising milestone for the American franchisee, but the model sounds like a blueprint. arcona Hotels was once owned by Deutsche Seereederei - now, it will return to the group, but in a new constellation. For the mega chains Plateno and Accor Hotels, shareholdings have once again changed. Sébastin Bazin is now getting nervous: Within a few weeks, Jin Jiang has a greater stake than the Qataris!
That and much more in our news today.... Have a good journey, see you in Berlin!

Dear Insiders,
Our budget market series in recent weeks has shown just how close many concepts today are. This prompted me to ask Daniel Mueller, COO of Motel One, how they manage to stay ahead with design and lifestyle - and so stay ahead of the competition. Motel One now consistently focuses on expensive original design. "We have a value surplus!" he says surprisingly. What he means with this and what's new to follow, you can find out in the article.
Italy still has a lot of potential in the economy and midscale segments. And nobody knows this better than the chains; since 2003, they have increased their share of the market considerably. But: National brands still dominate. Now, a discussion has arisen as to what contract form is best for growth. Together with the author, Massimiliano Sarti has analysed the highlights of a large recent market study on Italy.
Have you heard of debt funds? In the US, this alternative means of finance is gaining momentum for medium-sized hotels. Here in Germany, it's still relatively unknown. But that's changing. Why? Our funds expert Beatrix Boutonnet explains.
In the US, Choice Hotels has made a surprising move into the vacation rental business and has become the first hotel group to enter into partnership with local providers of holiday homes. That this segment has lots of potential here in Germany too is confirmed by an analysis of the German Travel Agency Association. In Switzerland, tourism figures for 2015 are now available: sad. Demand from Europe fell back to the level from 1958. But there's cause for celebration for IHG, Marriott and Belmond: their balance sheets for 2015 are strong.
Since the ITB is approaching at a rapid pace, I would like to draw your attention to the OTA Dual, which you can see on Thursday at the ITB Hospitality Day: At 3:45 p.m., Terri Scriven from Google and Peter Verhoeven from Booking.com take the stage. More on our Page 1. - The full editorial…

Dear Insiders,
Morgan Stanley is sending new signals in the resorts sector: A fund by the London-based investment house is set to launch a joint venture with Falkensteiner Michaeler Tourism Group based in Vienna. This solves the problems faced by FMTG in the case of Punta Skala in Croatia. The pair also intends to develop resorts together in South Eastern Europe. At the same time, the hotel group is focussing its concept more on families and wellness - even for city hotels.
Demand for accommodation options with privacy has led to many chalet villages in Austria. Even construction companies have become bed giants here. Fred Fettner describes various schemes for the rental and/or sale of chalets, suites and apartments. Banks like these real estate models.
In the third and final part of our series on the budget market in Germany, we provide various facts and figures on the market players, their expansion and their market penetration as well as comparative figures to other EU countries.
Accor, Hyatt, Starwood, Rezidor and Pandox have published their results for 2015: It was a mixed year for them all. In France, bed growth is unabated; AccorHotels invests again in two young companies, for the resale of 11 Interhotels Due Diligence has obviously begun, and Choice and Hilton show the various strategies with which guests can be prompted to make direct bookings. And at Moevenpick, CEO Jean-Gabriel Peres has surprisingly tendered his resignation.
Are you already making your ITB plans? Have you already registered for the Cornell/EHL reception? More on this on page 1. We also present the next panel of ITB Hospitality Day: Here, it's about Digital Natives and the "investment guest". – The full editorial …

Dear Insiders,
We have already reported a lot about Airbnb, but I'm amazed time and time again just how much one can "learn" from this company: Today, Sarah Douag describes how city officials in large American cities are subtly manipulated with study reports and tax promises and how hosts/apartment owners are reconfigured as "union representatives". Airbnb obviously recruited many lobbyists from the US government circles. Quietly and secretly, a huge Airbnb web has been spun around the entire globe. Wow. But watch out! Who's failed to notice again? The hotel industry! Read about Airbnb's "Guerilla growth strategy" today.
Part 2 of our series on hostels and budget hotels in Germany looks at how hostels are growing in appeal through entertainment and how they are moving ever closer to budget hotels. Both segments currently focus on business travellers. In a nutshell: Both are competing with one another to improve their profile. MKG Hospitality provides additional information here with key ratios for 2015 for the budget market in Germany.
Beatrix Boutonnet asked investors, insurance companies and hotels how they see the current terror risk. Result: Capital has no fear of terrorism. It's all a question of insurance. But not everyone takes such a cool stance, as I know from numerous conversations over recent months. Some asked me quite surprised: "What sort of an answer do you expect? Greed rots the mind. It was the same in 2007/2008." We will see.
2016 at least could be a similarly strong investment year for hotel real estate, analysts recently reported. Tourism experts expect similar results: Germany's official statisticians reported the 6th record year in a row in terms of the number of overnight stays made in Germany. Best Western also explained this week that less growth is on the cards for Germany in its new European structure, though more for Central Europe. In Austria, Innsbruck, the third most important city destination in the country, wants to sharpen its profile. And Wyndham is one of the first chains to publish its balance sheet results 2015.
Last but not least, we are announcing our first joint seminar with our colleagues from hotelbau. In June, we would like to discuss a specific issue intensely within a small circle in Munich: Green Hotels. All speakers will report directly from practical experience. Please find more information on our first page. - The full editorial...