Editorial
Dear Insiders,
For the first time ever, Moevenpick Hotels held a press conference at the ITB; and the 60 journalists that attended confirmed that there was certainly a demand for hotel news. Since the crisis though, very few chains have used this PR chance before international media in Berlin.
Moevenpick also had no such announcement to make, but reported "only" from the regions and of the amendments to its concepts. Together with information we gained from our visit to Moevenpick's headquarters in Zurich, this week's edition contains an article on the new flight route of the Swiss "Möwe".
Before the ITB, I spoke with David Fattal and Daniel Roger on the further expansion of Leonardo Hotels: a new sub-brand is arriving, and expansion into France and Italy becomes reality.
As a host, one of the most pleasant dialogues at the ITB hotel conference was with four gentlemen on the "CEO panel with father and son". Dieter & Daniel Mueller from Motel One and Chanin & Siradej Donavanik from Dusit Hotels were present. Susanne Stauss summarises their views on family businesses and the markets. From today, you can see this panel as well as all other "Hospitality Day" discussions as video on the ITB/Trade Fair Berlin website. Simply click here. Our summaries and the videos are accessible for all users.
Today, we also publish another analysis of German and Austrian travel behaviour, current statements from the Maldives and news from the Spanish Meliá chain the Indian Leela Hotels. The German Hotel Association yesterday also released its industry report.
2012 will obviously also be a challenging year for open-ended funds. The difficulties of this asset class. - The full editorial …
Dear Insiders,
The true news value in this year's investment conference and ITB Berlin lies in the not readily available news. Likewise, the continuous pipeline announcements by the global players at the IHIF do not change anything. Only when industry subjects are handled seriously and more deeply, possibly at the "ITB Hospitality Day" by ITB, does it become clear that the hotel industry is in the increasingly powerful stranglehold of financing and distribution/technology. Read the summaries of IHIF and ITB - including a spontaneous survey among exhibitors if hall 9 should be closed at the weekend in future.
Starting today and then every Friday, we will summarise another panel from the ITB hotel conference under "Network". Hopefully next week, I can also refer you to the respective web-video links. Simply click on the respective banners on our homepage.
The 46th ITB brought us another step forward as a hospitality platform, thanks to the 1st joint stand, "hospitality X-PERTS Lounge". The co-exhibitors' feedback.
Today, you will also read the first extracts from the press conferences and interviews in Berlin, e.g. details about the new Super 8 room and the latest travel forecasts. Of course, more news will follow in the next issues and we will provide you with the details and backgrounds you expect from us. - The full editorial …
Dear Insiders,
The IHIF investment conference in Berlin is over without big news; ITB ends the first half with the trade visitor period today. The "ITB Hospitality Day" hotel conference was again a great success recording 1,450 participants. And a great number of interested guests visited the first hospitalityInside joint stand, the "X-PERTS Lounge".
Several of our team members are still in Berlin, which is why you won’t be able to find detailed background stories and reports before next week, when all information and interviews will be reviewed and evaluated. One current piece of news, though: Wyndham is launching its American Super 8 budget brand in Germany and Poland.
The Biathlon World Championships in Ruhpolding, Germany will also go on for several days. A critical look at this mega event and the ones to follow to find out in what way both the destination and its hotels benefit from them.
Current closed funds performed relatively well and investments in niche hotels was partly rewarded.
Courage is also needed to establish "learning partnerships" among executives and their subordinates. Accor introduced this approach at its German headquarters and had the experiment evaluated by a university.
In contrast, the German Federal Labour Court didn't hesitate to pronounce a judgment contradicting the decision in the "Emmely case". The bond of trust between employer and employees is once again a topic of discussion. - The full editorial...
Dear Insiders,
Will we see you in Berlin? Next week, IHIF and ITB will be the two magnets of the industry. Here you can read where our joint stand at ITB is located and where you are able to obtain our ITB SPECIAL.
Berlin is booming and is mentioned in the same breath with London and Paris. Prior to ITB - the current economic data and the plans for the old and new airports.
Not far away from Berlin, the Grand Hotel Heiligendamm is located at the Baltic Sea. August Jagdfeld, initiator of Fundus Funds, has filed for insolvency for the luxury hotel. Millions of grants were burnt, the investors conned out of their investments.
Some hotel managers feel defamed by negative or wrong hotel reviews in the internet. However, they are actively managing criticism but do not really know when it is a forgery. A university carried out a detailed survey for the ITB, we obtained the results in advance.
At the ITB, Turkey will surely present itself as a fantastic country for travelling. In Istanbul, all renowned hotel operator names have been presented by now. Considering the new competition, the established ones are upgrading and it will be hard for newcomers. There, the key to success is the location.
Come and visit the "CEO Panel" at the ITB hotel conference next Thursday. The heads of Dusit and Motel One have brought their sons with them. What does the younger generation think about the hotel industry? All news about the "ITB Hospitality Day" will be publicly available for everybody on our website at "Network" after ITB. From the news: Horst Rahe is launching a new resort brand; Orient-Express, Meliá, Motel One and others published their 2011 results, and there are new market figures available for Europe and Switzerland. See you in Berlin! - The full editorial…
Dear Insiders,
In Istanbul and Turkey international hotel operators are now upping the expansion tempo. The few Turkish investors in love with hotels have one thing in their favour: Land! An initial summary from the investment conference in Istanbul, more will follow.
In Switzerland, the Swiss electorate will decide on the "Second Homes Initiative" on March 11. In the worst case, this will put an end to hotel mixed-use projects and will block finance. Another poor scenario looms.
The digital world of travel presented by Google and Facebook is somewhat ghostly. Several speeches at the HSMA E-Marketing Day have drawn attention. In relation to HRS the young mobile app provider JustBook has secured an injunction.
In future, hotel groups will fight to attract graduates, not with the legal system but with their own campaigns. This will be the subject of a panel discussion at the ITB hotel conference on March 8, entitled "War for Talent: The Mass Exodus from the Hotel Industry." More on clicking on the ITB button or on Network.
Accor, Choice and Rezidor have posted their Annual Results 2011 and Accor founder Dubrule has established a new hotel group.
Cornell alumni are invited to the traditional ITB Breakfast and hospitalityInside is already thinking about October: Those wishing to participate in the joint stand "World of Hospitality" at Expo Real in Munich should take advantage of the early-bird rate. - The full editorial…
Dear Insiders,
At the eMarketing Day by HSMA on Monday it is bizarre to hear how Google and Facebook would like to bring mankind into their digital clutches while on the other side, hoteliers are still distributing guest questionnaires with "Smiles" by hand. And how hoteliers get excited about the 2% commission rise with HRS, while Google and Facebook will presumably pull the fur over their ears with the cost per click model.
The discussion in the background does not question HRS, but the entire distribution model of the hotel industry: Intermediaries have long been paid for bookings carried out, but the search and social media giants are based on the click volume – without booking assurance.
HRS still has no reason laugh. The German Federal Anti-trust Commission has gotten into it with a warning on last Friday. It touches on the main pillar of the HRS commercial model: The stringent price parity. We have spoken with the German Federal Anti-trust Commission and the HRS Managing Directors, Robert Ragge and his colleague, Michael Simon, were also given another opportunity to present their perspective. We then gave rise to comments on the HRS answers by an experienced distribution expert: by Bruno Wolf.
Also in Austria, one is moved to pity over the power of HRS and their respective Austrian affiliate, Tiscover. Indeed, the hoteliers and destination experts must also take the blame themselves: "From Leader to Loser".
The current discussion was not yet foreseeable when we placed the subject of distribution on the agenda of the ITB hotel conference. It has now become even more fascinating. In the panel, "Distribution: More Power for Fewer Suppliers?, " HRS, Sabre, Expedia and Justbook mobile will take part in the ITB Hospitality Day. More on our front page or under "Network".
Today and in time for the ITB, we would also like to introduce to you in more detail the co-exhibitors of the first "hospitality X-PERTS Lounge" in Hall 9, Stand 109. You will also find their profiles and main focuses on our front page or under "Network". Meet the top companies from IT, HR and Consulting!
Because the latest distribution discussions have priority unfortunately, the promised report on the investment conference in Istanbul must wait one more week.
Moreover, this week brought a lot of research following the dismissal of the Steigenberger CEO, as reported in our "Breaking News" on Wednesday. Today, you will read an extensive evaluation on Steigenberger's situation today.
Dear Insiders,
"Owner agreement" has become an emotive term in the franchising scene. Especially American chains are frequently criticised for putting European investors through the mill with their agreements. Surprisingly, US chains are handling this subject in various ways and are showing different degrees of flexibility.
Inspired by the subject of brands, Martin Schaffer of Kohl & Partner from Vienna sent us a guest contribution about brands in Alpine resorts. Why are international chains able to master resort business in Miami but not in Bad Aussee? He answers this question with the hard facts and a comparison of figures.
Franchising, brands and resorts in Turkey and Central Asia were also much debated keywords at the 2nd Hotel Investment Conference in the colourful and booming city of Istanbul, from where I just returned. But there will be more about this subject next week.
Today, holiday destinations can be innocently thrown into a crisis over night, e.g. if there are political riots in the country or hotels are actually being attacked by terrorists. How safe are hotels, and what are operators doing for the safety of their guests? These questions will be answered during a talk at the ITB Hospitality Day on March 8.
Last, but not least: Joachim Jungbluth, specialist lawyer for employer's rights, explains a decision about holiday entitlement of employees after longer phases of illness.
Also, you will find brand new figures about the tourism and hotel market in Europe and Germany. - The full editorial…
Dear Insiders,
Continental Europe's first Indigo arrives with freshness and style. The IHG boutique brand takes its place alongside today’s most attractive midscale trendsetters such as aloft and Hampton. I did manage to get a peek at one of the rooms this week.
Rudolph Tucek has no worries when it comes to his own brand, Cube Hotels, but complicated relations with Vienna International are beginning to impede his plans.
Among the more rapidly developing companies today are those focussing on "collaborative consumption". Car pooling is one of them. The hotelier can jump on the bandwagon here.
Do you head an innovative, attractive company? Then you have a good chance of reducing staff turnover. One study surveyed 108 hotel staff.
In four weeks, many of us will be packing our bags and heading for Berlin: The ITB is around the corner, and prior to that the IHIF investment conference. For the ITB, I have organised the hotel conference for the 7th time. The programme is fixed - and today we give an overview of the day and provide details on the first two panels on "brand chaos" with top participants from Marriott, Jin Jiang and Interbrand. From today, we will present a different talk round each week. Click every Friday on the "network" button or on the ITB logo!
Cornell and EHL alumni should save the date for the annual ITB reception! Click on the Cornell banner at the front page! - The full editorial…
Dear Insiders,
When a much-travelled tourism journalist like my colleague, Peter Hinze, illuminates connections between the hotel market, the economy and politics, one feels "right in the middle". Having the German language in common was certainly a good bridge between him and Bernold Schroeder, the new CEO of the largest hotel group in China, Jin Jiang. The group wishes to also soon belong to the top 10 hotel chains worldwide!
The new CEO of Vienna International in Vienna is also inspired by thoughts of expansion and markets: Since development in East Europe remains still, he is approaching the established markets with ambitious plans.
In Austria, the longtime tourism fair ACTB has ceased to exist. The organizers will change its format.
Does it all make sense? This question also positions itself toward many environmental activities, e.g., with "green" seals. HOTREC Vice President, Susanne Kraus Winkler, and hotelier, Otto Lindner, provide colleagues' tips and warn about actionism.
In Germany, "Fury Hoteliers" – so named by a creative journalist colleague - have appealed for a "Week Free of HRS" because the OTA had raised their commission toward their 250,000 hotel partners the last week. For me, the only question posing itself here: Who do these hoteliers actually hurt - beside themselves? What is the use of a week free of HRS if they do not get out completely? And where was their fury years ago when they signed the HRS contracts with the unequivocal clauses? In my eyes, this reaction precisely reflects the semi-professionalism anew that those outside the hotel industry happily reproach.
Please, do not initiate a week free of hospitalityInside! - The full editorial…
Dear Insiders,
First it was energy and human resources, now distribution costs have a stranglehold on hoteliers. This week, HRS raised the booking commission for its 250,000 partner hotels from 13 to 15 percent. All hotel.de partners that have joined HRS since October have to swallow even harder.
This news livened up discussions on how strong hotels depended on increasingly powerful OTAs. The fact that HRS is now giving its hotels to Amadeus and therefore strongly increasing its range, went almost unnoticed. However, the new alliance between Amadeus and HRS means a historic turning point: the beginning of mergers of GDSs and OTAs.
At the moment, everything seems possible. It seems hotels are almost trying to free themselves desperately from the clutches of the distribution giants. Room Key, the new platform established by the six major US hotel chains, has the same purpose in mind. However, European hoteliers don't share the enthusiasm Room Key's Marketing Manager displays in an interview with us.
We have gathered a large number of opinions across the industry on these top distribution issues. Definitely exciting!
Our report on Sunstar Hotels in Switzerland is of more quiet dimensions, as the chain has silently started to acquire individual resort hotels across the country.
The main news items: Accor's revenues 2011, Colony's challenging thoughts on Accor's real estate management as well as the lawsuit between HolidayCheck and A&O Hostels. - The full editorial…