Editorial
Dear Insiders,
Are your BBQs in demand, too? Barbecues are becoming increasingly popular this summer, says the Institut Allensbach in a new survey... But that is only a marginal note. There is some news from Choice Hotels concerning expansion and brand development. In order to cover some more ground, the franchise chain is following various approaches. The drawback: even for insiders, things are getting ever more confusing.
A survey of the Munich University of Applied Sciences confirmed findings in the development of the luxury hotel market. An interesting fact: when it comes to defining luxury, chain hotels put more emphasis on technology, while individual hotels set greater store by personal service. Burkhard von Freyberg, who has been working as a freelance consultant since the turn of the year, analysed this in collaboration with the Munich University of Applied Sciences.
hospitalityInside.com introduces the new "Newcomer" column today: in this section, we will introduce people who have changed positions or slipped into a new role or who have newly entered the market. They may be company consultants, real estate developers or even young chairmen - like Markus Semer: 32 years old and Strategy Chairman of Kempinski Hotels since May. He "translates" the visions of CEO Reto Wittwer incorporating them into the planning of the group.
A newcritical view of existing tourism architecture in our cities and towns would benefit all parties involved, says leisure time researcher Felizitas Romeiss-Stracke. She knows that the travellers have increasing demands regarding the architectural design of travel destinations. She calls it "depression architecture" which confronts travellers nowadays. In her new book, she demands that the design of buildings, places and areas lead to a plus in competition for tourists.
And as summer time is also holiday time, we are presenting a new judgment about an old question: Are parents allowed to take unused holiday even after parental leave? Our legal expert knows the answer.
Have a successful week.
Yours, Maria Puetz-Willems
Editor in Chief
Ideas? Comments? maria@hospitalityInside.com
Dear Insiders,
The gas coupon was only meant to be a PR gag, but now it turns out to be attracting guests in weak times. With this idea, a hotelier is tapping the pulse of the guests. We have asked tour operators and hotel groups about the effects of the increasing gas and kerosene prices on German travel behaviour. 2009 seems to become a tough year for resort hoteliers.
The next summer season is to confirm the new "Hideaways" concept of A-rosa Resorts. After separating from its city hotels, the resort hotel group of Horst Rahe is restructuring its marketing policy starting from scratch. A-rosa's focus on health is reduced.
For the designers of the new 25hours in Frankfurt, the design of the new, unpretentious hotel next to the main station was almost self-explanatory. Their partner, Levi's, gave clear guidelines. The famous jeans brand was customised for young guests and for those who have stayed young; the result is the first Levi's hotel in the world. How do you convert this cult brand into a lobby or hotel room? The Managing Director of Levi's gives an explanation.
The visual appearance of the 25hours by Levi's is the result of an inspiration of creative designers. Big chains opening new hotels "on the assembly line" subject to the constraint of company standards always have strict guidelines for designers. They can select individual modules from so-called "construction kits". Among others, Le Méridien, Best Western and IHG explain their strategies.
The autumn conferences are coming: the International Hotel Conference in Rome is booked up once more. And as a consequence, there will be much accolade for Georg Rafael, who will receive this years "International Hotelier Global Citizen" award. Again, hospitalityInside.com will be media partner of this event.
Yours, Maria Puetz-Willems
Editor in Chief
Questions? maria@hospitalityInside.com
Dear Insiders,
A question from an Austrian reader about "the Lindner who is so quickly expanding in Austria" gave me cause to talk with one of the most creative German hoteliers about the dry topic of finance. And so I learned how the family run hotel group had made the transition from lease to management company and had profited from synergies within its own company network - e.g. fund finance. Otto Lindner is among the most communicative hoteliers in the country; a man who speaks freely and with an open hand. Lindner Hotels & Resorts has tripled in size over the last eight years; now the German first class chain has set its sights on expanding abroad.
The biggest hotel group in Austria, Austria Trend Hotels, profited greatly from the Football European Cup and plans on expanding more rapidly abroad - also with partner Motel One at its side. Although ATH's attention falls again and again to the resorts, the Group sees its focus firmly fixed on city hotels in the future, also in Eastern Europe.
That the expansion desires of the luxury chains surpass market needs is being felt quiet markedly by Elmar Greif in St. Petersburg. He first got to know the Tsar city as Kempinski GM; today, he lives and works for the second time in St- Petersburg. Now he intends setting up his own hotel academy.
Quite apart from Russia's St Petersburg, the Ukraine has a dearth of hotels. International brand names are few and far between. Our correspondent Macy Marvel, Professor of Economics at the Hotel Academy in Lausanne takes a look at the hotel market in the Ukraine.
Until next Friday!
Yours, Maria Puetz-Willems
Editor in Chief
Questions? maria@hospitalityInside.com
The summing up of the European Football Championship in Switzerland clearly shows one thing: the event brought a lot of PR for those who were involved, but hardly better business compared to last year. The exact statistics have not yet been determined either in Austria or in Switzerland five days after the final whistle, but the conclusion of the hoteliers clearly resembles those of the Germans after the Football World Cup two years ago. Hotels in the vicinity of the stadiums were lucky, or hotels, as in the case of the Giardino in Ticino, which served as the team hotel of the Germans and was able to protect itself by contract.
The dribbling of the players has come to an end, and all eyes are now fixed on South Africa and the next World Cup. Well, this is not quite the reach of the world's biggest tour operator TUI with its new resort hotel brand of "aqi". The 3 letters represent 3 stars, but TUI calls it budget. This contradiction will need to be solved just as TUI needs to let its new low-cost hotels not look like too meagre business hotels. After all, it derived its new concept from the success of budget hotels in the cities. The partner gives reason to hope for escape from the cool chain standards: an Austrian family company that has been equipping noble yachts and jets. It remains to be seen whether it will become a dream team or a parallel to the unequal pair of Bill Marriott and Ian Schrager: after the initial euphoria regarding the common new boutique brand, they are kissing and beating one another.
Despite a four-year plan, the pilot project of the CitizenM container hotel in Amsterdam shows that not everything was taken into account from a guest point of view. Guy Dittrich, our architecture and design specialist, stayed at the new luxury budget hotel one day longer than me, and took a close look at the building and interior.
"After years of rising transaction volumes, it seems that we have reached the limit," resumes Markus Beike, Director Germany of Christie + Co. one year after the beginning of the credit crunch. He draws a conclusion in figures. In the reports, the most recent statistics about the current hotel real estate development in Europe fits perfectly to this: the pipelines of hotel chains are decreasing!
The GDI-Institut in Switzerland is also closely following the trends. We have talked with one of the two authors of the new "Statusfaction" study: as the social levels are increasingly drifting away from each other, it is all the more difficult to cope with a guest "like Bill Gates". For my part, I find another point highly interesting: the institute exposes bonus programmes to be discriminating! Clear words are still the best... We hope that we managed to point out how things are connected this week as well.
At hospitalitySolutions, you can read today how the IT specialist MICROS-Fidelio sets the course for the future with connections to reservation portals. Enjoy reading!
Yours, Maria Puetz-Willems
Editor in Chief
Your opinion? maria@hospitalityInside.com
Germany qualified for the final of the European Football Championship Wednesday evening. This is the reason why we are summing up the first part of the mega event: What did the European Football Championship bring the tourism and hotel industry in Austria? Disillusionment, noted our correspondent Fred Fettner. We will find out for you by next week what things look like in Switzerland at the time of the final.
The twitching of the Swiss Rosebud Group could be described as a long lasting, clumsy flank game. It finally sold two of its hotel pearls to an Arabian company. In doing so, the way for these hotels could be clear for a game with definite strategies.
The psychological pressure of taking a penalty is comparable to the efforts of the team of CitizenM. For four years now, the company from the Netherlands has worked on the concept of this fascinating luxury-budget design hotel. One year ago - as it was mentioned to us on the sidelines - bad boys of the industry tried to steal the know-how. No wonder the management is not willing to publish detailed figures about the development and building. But I am sure: this penalty found its target!
The concept of Elke Schade, Managing Director of the Neue Dorint GmbH, resembles the tactics of a highly sensitive coach. She wants to win through consolidation, consolidation and consolidation again. And all this without losing touch of the needs of the single player.
The kick-off for more intense thoughts about business travel costs is provided by the most recently published business travel analysis 2008 of the Business Travel Association of Germany. This should be all right with the hotels: they profited from the development of the business market last year.
I only hope that we are not in the offside with this week's issues!
Yours, Maria Puetz-Willems
Editor in Chief
Comments? maria@hospitalityInside.com
Dear Insiders,
What kind of funding programmes are suitable for companies in Germany with respect to renovating buildings? Finally, the federal government wants to reduce carbon dioxide emissions by 40 percent by 2020 compared to the base year 1990. Our colleagues of the "hotelbau" magazine looked into the matter of funding heating and insulation of buildings. Today's article including an overview chart stating the funding programmes also marks the beginning of a new content partnership between hospitalityInside.com and hotelbau.
Hotels aiming at increasing the value of their property through quality should also trust in collaboration based on partnership of all parties involved. A discussion panel at this year's "ITB Hospitality Day" already discussed this issue, and Deloitte has now brought it to the table in detail again. Many hoteliers already take the right decisions based on intuition, while the potential for an increase in value is still far from exhausted.
The same is true of two completely different issues, which are rather emotional: marketing via human senses and strategical observation of sleeping as such. Learn from London's noble department store Harrods, which has engraved itself in the hearts and souls of its customers with its unique "Senses" campaign. Brand consultant Kerstin Bestmann took part and comments on the new trend. The British Travelodge chain has hired the first Sleep Director of the world and found out interesting details as a result of analysing sleeping and sleeping habits. This is why a "cuddly cushion" has been recently offered.
The first major spa market study presented at the "Global Spa Summit" in New York a few weeks ago, also deals with the relation between reality and perceived reality. The approach of tackling this issue is worth praise, but caution is advisable with regard to the market figures.
Furthermore, today's colourful issue is complemented by colourful pieces of news.
Yours, Maria Puetz-Willems
Editor in Chief
Questions? maria@hospitalityInside.com
Instead of dry facts, colourful lifestyle content will determine today's issue. A spontaneous interview with Sue Brush, Vice President Westin, reveals how Starwood proceeds in terms of strategy with this brand as well. The consistent merchandising concept we know from Starwood's 5-star design brand W carries the "experience" label with the full-service brand of Westin. All the basic things business guests get in touch with are supposed to appear fresh and peppy. That is why the "Heavenly Bed" is now followed by the "Heavenly Spa", the "Heavenly Suite" - and all of Westin is in seventh heaven. These are the figures of success that catapult the lifestyle concept onto cloud number seven.
A particular Spanish contractor is also reflecting on lifestyle, as he wants to convey to his health guests beauty "from the inside to the outside" - via macrobiotic nutrition and appropriate wellness treatments. At first sight, many things sound similar, but there is a new, different form of smooth prevention behind this. We have noticed that macrobiotics is not as well-know in these parts, and that is why today's issue features two articles about this project and idea, which could be of interest to other health hotels as well.
Even Austria comes up with another new lifestyle hotel. It is really amazing how many clever individual proprietors this country has. For a short time now, three young entrepreneurs have been livening up the scene in Linz. They have started on time, as the picturesque town is the 2009 European Cultural Capital. As locals, they will hopefully have a better market appraisal than the Quintanilla/Alfonso family that moved here from Florida and opened the DaySha boutique hotel in Bad Ischl last autumn. Now, the family allegedly is in trouble.
In the end, let me draw your attention to the International Hotel Conference, which will take place in Rome in October, and for which hospitalityInside.com will act as media partner once again. We will be happy to be on site for you at another top-class location for meetings and exchanging ideas, in order to provide you with the latest first-hand information every week. By the way, Rome is worth it! It is not a show of grey suits, but a show of great content. Just in keeping with the IHC motto: "The dress is casual, the thinking is not!"
Have a great week!
Yours, Maria Puetz-Willems
Editor in Chief
Your opinion? maria@hospitalityInside.com
Last week, hospitalityInside.com mingled with international architects, developers and hoteliers in Lucerne in order to get a feel both for how star architects change the silhouettes of entire world cities and for the real significance of new buildings in historical and new cities. So much was to be heard and seen in Luzern: Private investors set the architectural image and even lifestyle in entire districts. Subtly, the brands move in - and the DaimlerChrysler district and Nike Park, for example, are born. It's not difficult to imagine then the influence a hotel can have on the appearance and life of a specific district or even an entire city. Dubai is a mammoth example, the VW city Wolfsburg with its Ritz-Carlton Hotel another albeit smaller one. But what hotel investors have the courage to move away from traditional thinking in architecture? Urs Karli, hotelier from Lucerne, did exactly that. And he gives just a little away about the work and its rewards with star architect Jean Nouvel.
Fantasy is needed - also from Berlin based planers who are to re-style Stalin's datcha in Sotchi into a Kempinski Hotel. Kempi would prefer to say nothing at all about the project for the moment, but from a real estate developer and tourist perspective, it all seems very exciting. The project is what hotel history and hotel stories are made of.
Union Investment will presumably not be financing such hotels. At least, this is what the investment company's sober statements with regard to hotel finance would lead one to believe. Behind the Union Investment are the hotels held by the former DIFA fund - some news here.
As part of the series on our first readers' trip to Dubai, this week the GM of the desert resort Al Maha has his say on how his guests see luxury and the environment. And our guests report on how they found the journey. In the last three editions, we've not told everything about where we've been and what we did. This you can experience for yourself in 2009 when the whole trip will be repeated with another small and select group. Personal connections - as we ourselves know today - are the best basis for quality exchange of information. Keep an eye out for further announcements....
All the best,
Yours, Maria Puetz-Willems
Editor in Chief
Your opinion, please! maria@hospitalityInside.com
The topic of design obviously appeals to many in the industry. And design on budget is even more attractive. That today's edition is quite "design heavy" is admittedly a coincidence of this week's news topics, the result, though, is indeed a mark of the times. More and more managers and guests are turning their backs on the monotony on offer from the chains. In Bremen, a real estate economist and a hotelier are putting the final touches to a budget design concept: With the new brand Prizeotel, they want to see just how much quality can be provided for just 59 Euros per room. They also plan the property in accordance with sustainability criteria. The concept certainly sounds good. Motel One, with its own budget design concept just a few years old, will look on with interest - as we all do - to see just how quickly good ideas find creative sequels in the shortest periods of time.
From its base in Austria, Vienna International takes the plunge into Germany - and not with any old concept, but with its two year old design brand angelo. Colourful it is, which in a city like Munich, is certain to find its admirers. Whethere service and location are enough to justify single room rates upwards of 130 Euros is debatable though. Only one city railway stop away is the brand new budget design hotel Motel One, whose rooms cost only half as much and offer not a whole lot less service for it.
We also took the opportunity presented by the angelo opening to ask a few questions of Rudolf Tucek, CEO of Vienna International. He spoke of the Group's strategy and expansion plans. The Austrians are emerging from their hideouts!
hospitalityInside.com too is coming increasingly into public view. We're very pleased to report today that our work as supplier of quality and reliable information has once again been rewarded. As of October 2008, we will assume responsibility for the "Hospitality Industry Dialogue" at the hotel conference at the Expo Real in Munich. After organising the "Hospitality Day" at the ITB in Berlin for the last 3 years and this year taking our first steps towards the ITB Asia, the responsibility at the Expo in Munich provides the perfect supplement in our internationally growing network. Our activity at the Expo now means that hospitalityInside.com is represented at Europe's biggest tourism fair, the second largest in the world. We look forward to forming new synergies with our partners! Our subscribers are certain to be the first to profit.
Hotel groups still ogling with business in Asia should be careful to read the offer made by the Messe Berlin this week: The special offer for a 3x3sq.m exhibition stand is only available in cooperation with hospitalityInside.com. Don't forget to tell your colleagues! All information is freely accessible by clicking on the word "more" in the ITB Asia logo.
And finally we'd like to draw your attention once again to our readers' trip to Dubai. One of our guests at the theme day "Human Resources" was Ulrich Wilhelm from Konen-Lorenzen in Ajman/Dubai. He describes the current staff situation in Dubai. And not everything's looking so rosy.
Enough material to read, learn and discuss!
Until next week!
Yours, Maria Puetz-Willems
Editor in Chief
Questions? maria@hospitalityInside.com
Dear Insiders,
Horst Schulze and his first Capella Hotel in Germany - it opened last Monday - are just as much in the media spotlight this week as the Dolder Grand in Zurich, which once again opened its doors just four weeks ago. With regards to the Capella Breidenbacher Hof in Duesseldorf, we'll have to wait to see whether the Group has learned from its mistakes from Lake Woerther in Austria. It seems Horst Schulze's past as former President of Ritz-Carlton still weighs heavy: If he fails in placing the Breidenbacher Hof as the luxury hotel in Duesseldorf right from the very start, many will be smirking smugly to themselves: Originally, plans were to operate the Breidenbacher Hof as a Ritz-Carlton hotel, then Schulze got in on the action. He knew the investors from before. Internally, the relationship between the current Ritz-Carlton President Simon Cooper and Schulze started to feel the strain and the two came to a settlement two years ago.
The Dolder Grand, the legendary Grand Hotel above Lake Zurich, saved for an incredible sum of money, stood and continues to stand in the headlines. Our correspondent in Switzerland, Silvia Pfenniger, has been closely observing developments through its first four weeks, has visited the hotel herself and has many sobering facts to report.
Fred Fettner in Austria - his attention caught by the many recent events in the Alpine republic - has researched the topic of "Gay Tourism" and has discovered results which should motivate every hotelier to pay closer attention to appealing to this target group.
In response to our sobering Budapest report last week, today we bring you an article on the situation of Hungary's spas. Here too Hungary is struggling: No demand is anticipated for new spas and subsidies are awarded only to the few developed destinations.
On our own account: hospitalityInside.com successfully completed its first reader's trip in May! In case you're interested in a repeat Dubai trip, which we now plan for 2009 as a result of the positive feedback we received, take a look at our programme and read our first Dubai report in which the German Industry & Commerce Office Dubai says why Europeans often misunderstand Dubai! Conversations and thoughts like those presented in the interview were all part of our travel concept.
hospitalityInside.com moves to the destinations about which we write in order to ensure first hand information. For this reason, we'll be supporting the Slovenian Times as media partner in its investment congress for the West Balkans in June!
And finally, our successful cooperation with the ITB Berlin will continue in Asia this year. hospitalityInside,com will be media partner at the 1st ITB Asia, which will take place in Singapore in October. We'll also accompany further activities within the framework of the trade far. Read more about this today and keep an eye out for future announcements. There's lots of news to report!
Yours, Maria Puetz-Willems
Editor in Chief
Questions? maria@hospitalityInside.com