Editorial

Dear Insiders, 2009 is over - a self-critical look in hindsight is good, even though hopes for better times are pushing everyone into the new year. The VAT reduction passed on December 18, is still being strongly criticised by the media. This criticism will remain, as long as the industry does not show solidarity! Our snapshot about who deals with this "tax gift" in what way gives some cause for concern.Occurring questions concerning company succession are problematic, but not insolvable. Once again, nevertheless: entrepreneurs have to deal intensely with details and emotions. An article with lots of subtle tips.Americans have a talent for detecting market trends. This is also true of the spa sector. Not everything can be adapted to the European market, and some things are considered differently here. The top spa trends from overseas.At the start of the new year, we naturally look at several staff issues and lots of hospitalityWhispering.Look forward to 48 new issues this year, and the hospitalityInside team is looking forward to your feedback! What ever happens: we'll keep at it.

Dear Insiders, We picked, among other things, two rather thought-provoking topics for our final issue in 2009 at the close of the year: real estate expert Dr. Joerg Frehse looks back on the hotel real estate hype of the past few years and says: some of the major hotel companies are not entirely innocent as regards the cause of the crisis. At the threshold of 2010, neither complaints nor euphoria are the order of the day – but rather critical self-contemplation.There is also a pinch of contemplation in our humorously written report on the "etiquette courses" for German hotel employees in Switzerland. A hospitality trainer will explain to you the meaning of German terms in rather "flowery" Helvetian German.RIMC, a wellknown hotel operator in Hamburg, has also developed a sensitive feeling for the demands of hotel investors. Gert Prantner and his partner Marek Riegger explain their strategy at the company's 20th anniversary in 2010 – bristling with news. A "silent operator" is speaking.Our other small reports today: Dirk M. Feid, who has been head of Treugast Consulting so far, is building up a new hotel operating group together with new partners; Accor separates the hotel business from the services division; and seven countries have agreed on common European hotel standards in Prague. And more…

Dear Insiders, This week's current tourism figures brought a very successful region into focus: South Tyrol. However, it is difficult for international investors and operators to gain a foothold there. Families rule the country. And the Hoteliers- und Gastwirte-Verband "protects" them by trying to prohibit hotels with more than 80 rooms. A market overview reveals the trends; young hotel manager Jonas Mairhofer from Hotel Alpenpalace confirms many of those trends by way of his activities; a third article about hotels at Lake Garda shows that different rules dominate between Brenner Pass and Verona.Today, in our series of "Small Chains" we portray the Zech Group, which is active in the market with two brands – and therefore follows its own rules following the motto "everything under one roof". Also, German Dorint Hotels are about to define new rules. The new managing board officially started to work last week. Among our news today: the review and preview of the German Hotel and Restaurant Association, the investors' spirit for 2010, the drawback for Samih Sawiris in Andermatt, and much more.

Dear Insiders, top managers from the Accor headquarters in Paris giving straight answers to German journalists is a quite a seldom occurrence. This week, COO Yann Caillère promised that Accor wanted to open itself more to the German market. Insiders should remember this sentence! For my part, I reminded him that Accor's second largest market outside France would welcome an open explanation of the strategy and personnel decisions being taken. The COO certainly gave an interesting and detailed insight into the way Accor is currently juggling contracts and real estate. The next two weeks will presumably also be a balancing act. Until the VAT reduction on overnight stays becomes law in Germany hotels will be treading carefully. Details. At the recent investment conference in St. Petersburg, different approaches to dealing with real estate and investors became clear. The crisis has strengthened each party's standpoint. How nice it is then when a hotel belongs to a king. The legendary La Mamounia in Marrakech has opened its doors again, with much pomp and circumstance. And among today's smaller news: The hotel industry's reaction to the Swiss minaret decision, Sheikh Al Jaber finally becomes hotelier in Austria and in Gstaad, a renowned director couple must clear their desks as the owner falls victim to the economic crisis. Read more here….

Dear Insiders, The official position is still unclear, but Elke Schade will possibly leave Dorint Hotels. The exact reasons behind her possible departure and how the hotel group will move forward with restructuring are still the subject of speculation. Now, the Supervisory Board must convene and decide. The course for the Austrian Arcotel, on the other hand, is clear: Expansion – primarily in Germany. The small chain has streamlined its portfolio and is now fixed its attention on its bigger neighbour. Courageous! The consortium Global Hotel Alliance is also looking to fill gaps. At the moment, the group is very concentrated in Asia. Now, this is to change with new members. The second instalment on our series on the meta-search engine TrustYou today focuses on the advantages for hoteliers.Contrary to popular opinion, staff are still being sought in Dubai and surrounding region. A human resources expert explains why not everyone is welcome though. Also, yesterday Dubai's extremely high debts generated negative headlines!

Dear Insiders, How have you budgeted for 2010? The hoteliers we asked were as slippery as eels when it came to the figures - especially those listed on the stock exchange... At the moment, no-one seems willing to announce results or make concrete statements to the public.Accor doesn't have crystal ball either when it comes to introducing its long-stay brand, Adagio, to Germany. The potential is certainly there.The small group, Abba hotels, are also trying to work out their market chances. And for those finding Europe too small, there's always Africa: The black continent is increasingly being treated as a "secret tip".Two years ago, many hoteliers were full of scepticism when it came to the online evaluation portals. Now, a meta-search engine helps to gain an overview of commentaries from a whole range of websites.And read more about other notable events of the past week….

Dear Insiders, Marriott is slowly making a fool of itself. On Wednesday of this week, it presented its 18th brand. With this, they're even skimming off the private fish from the pond – the independent hotels. Bill Marriott would do better to ensure that he has his existing brands under control. After a few "nebulous" years, Kempinski again seems to have found its line of action. CEO Reto Wittwer and Europe President Gianni van Daalen explain their new focus on expansion and contracts. Behind Russian hotels, there are almost always very rich investors. All the same, the crisis has hit the market hard. The investment conference in St. Petersburg takes a look at the current situation. Europe's stability in the hotel industry is thanks to healthy medium-sized enterprises like the Romantik hotels; they have felt little of the crisis. Good understanding of quality and a strong feeling of responsibility towards the next generation paired with the courage to try new ideas - their recipe for success.A recent health study in Austria and Germany looks at a "healthy" perception of the market in a double sense. Hotels and destinations accord health better chances for the future than classic tourism.These and many more news, read more….

Dear Insiders, Hilton has to prove its patience as well at the moment, as defective steel is delaying the daring construction of two of Hilton's brands at the Airrail Center at Frankfurt Airport. Annoying, but it's too late to back out. The chain needs new flagships for Germany. In Spain, NH displayed its strength this week. For quite a while, it looked as if Hesperia, NH’s competitor, would swallow up NH, and now NH bought Hesperia. We looked into the details of this deal once more. Club Aldiana also thought that bigger presence strengthens power and market position, aiming at more power through more facilities in Austria. But the youngest hotel in the Steiermark region gets its financial power from subsidies. Since last week, Austria’s nerves have been put to the test anyway: Given that German hotels only have to charge 7 instead of 19% of value added tax as from 2010, Europe's leading holiday republic fears growing competition. The crisis is definitely causing a shift in the balance. This also affects relations between operators and investors as summarised in a highly interesting panel at the International Hotel Conference in Venice - highlighting Europe. PKF in Atlanta makes a(n) smug sides blow at the self-glorifying hotel industry. The consultancy has analysed that US hotel managers had ignored all alarm signals of the crisis and continued to blandish their forecast figures. Smile!

Dear Insiders, After many years of pressure, the new German Federal Government will be decreasing the VAT from 19 to 7 percent! This softens the European distortion of competition. German hoteliers should not complain too much. Complaining is relative, as pan-European conferences reveal. At the International Hotel Conference in Venice European hoteliers, consultants and financial experts came together. Their experiences in international markets sometimes sound brutal. The discussions about agreements and financing are the same everywhere. Today and next week, there will be more on this subject.Those who are looking for successful niches might be lucky with health hotels. Nevertheless, even here, development is slower that predicted. Read more about the status quo of the development of medical wellness from the investors' point of view.Concerning Arabella Hospitality Group in Munich, things are on the move again: Wolfgang Neumann, CEO of the hotel group in Munich since April, has set the tone for the future strategy. "Less is more" is the motto; partners and responsible managers will be strengthened.Online giant Expedia harvests global criticism because of its outrageously hard demands concerning Choice Hotels. In the meantime, hoteliers from all over the world encourage Choice to remain tough.

Dear Insiders, The crisis is obviously inspiring investors to demand an increasing say in the operators' business. At least, this is a trend which was apparent in the panel talk about investor-operator relationships at the Expo Real hotel conference. Two other articles deal with the classic form of communication between management and employees today: the Shell oil company and a family-operated hotel from Austria reveal their favourite way of transporting information internally. An interesting comparison between rather dissimilar companies. The American bestseller author Joseph A. Michelli became acquainted with the major ordinations of this communication culture. After his book about Starbucks' coffee culture, he analysed Ritz-Carlton's service culture for one year. A recommendable book, even for industry experts. In our "Small Chains" series, we will introduce Commundo Hotels today, and in our colourful news mix, you will find the latest news from Austria, Switzerland, ITB Asia and about Holiday Inn Express.