Dear Insiders,
Choice Hotels' conventions are always a good place to meet happy franchisees. They're also good for learning about the practical tools which the American franchisor has developed especially for these franchisees. This is the opinion of Sarah Douag too after the European convention in Amsterdam this week. "We increased the budget, hired new people in sales and support, launched new revenue management tools... and making big investments is our top priority for this region," COO Pat Pacious said.
Europe is also in the sights of the Chinese. "The Chinese government no longer sees hotels as a big risk," the corresponding panel at the Expo Real hotel conference reported. Such statements push the increasing interest from Chinese investors, though don't explain how these investors think. Deals often fail as a result of a clash of cultures. China experts gave some valuable tips for initial interaction.
Baerbel Schwertfeger this week also recounts her impressions from an extended China trip and her stay in the Peninsula Shanghai. As architectural work, it's a reminiscence of Shanghai, as hotel a shelter for China's rich: For them, there's dim sum with chopped tiger prawn and sea cucumber, crowned with beluga caviar, for the first time produced in China.
Samih Sawiris is frying smaller fish in Andermatt: The planned Swiss destination resort is growing step by step, in spite of all prophecies of doom. After Chedi, now it's Rezidor's turn as second hotel operator. It is set to open in 2018. By then the Ski Arena Andermatt-Sedrun will also be extended. Birgitt Wuest describes construction progress.
Vienna International is to become "Vienna House"; CEO Rupert Simoner is changing everything - and has also created a new brand: Vienna House Easy. Initial details on the plans were provided yesterday. And in other news: Airbnb has introduced liability insurance for its hosts, AccorHotels opens further for external companies with its business portal, and Miles & More launches a hotel portal through a partner in the US.

Our autumn survey on the "Investment Barometer" in collaboration with Union Investment is still underway! Please remember to take part! Participants will receive the full analysis. – The full editorial..

Dear Insiders,
Many of us are now working through the conversations and contacts from the Expo Real. Us as well. In addition to the short mood description last Friday, today a few details on real estate developments in general hotel developments in particular.
Euphoria and records can't be denied, but the big show is over as everybody is much more sensitive than in 2008. Fitting with this is our extra-news mix on the Expo Real which reflects projects and opinion. Beatrix Boutonnet noticed these fine nuances at the trade fair and identified the same at the conference panel on "cheap money". We will report on all talk rounds from the Hospitality Industry Dialogue one after the other over the coming weeks.
The Expo Real statistics also revealed for us: From a total pool of 37,857 trade fair participants, once again more of them indicated their interest in hotel real estate. If that's not good news! All details in our magazine articles.
For all users and subscribers, we have today presented the goings on at our joint stand "World of Hospitality" and at our evening event "BRICKS & BRAINS" in picture shows. Enjoy a game of 'guess the name'! See our front page.
A coming together of financiers and hoteliers in Italy is not quite as usual as north of the Alps. Our correspondent Massimiliano Sarti identified massive differences in know-how and approach in a talk-round with some big names.
Since franchisors and franchisees currently all seem to be all love and hugs, moving hand in hand through the world of hotel expansion, Susanne Stauss asked - prior to the Expo Real - how friendly the two sides actually are in day-to-day business. Their statements put the friendship in perspective.
On Tuesday, Accor opened a hotel complex comprised of an Ibis and a Novotel and presented the two owner-operated hotels as a new "laboratory" for new ideas; Novotel in particular breaks with its previous image. At the same time Accor managers Laurent Picheral, Fabien Valentin and John Ozinga underlined their new-found taste for hotel ownership. AccorHotels certainly has money for its tastes: In Paris, the name of the hotel group will adorn a huge sports and art arena at a price tag of EUR 4.15 million per year. In Spain, the city of Barcelona has showed some understanding: It has now relaxed its construction ban for hotel projects.
Our autumn survey on the "Investment Barometer" in collaboration with Union Investment is still underway! Please remember to take part. Just a few clicks won't hurt and it's a big help for the sector! After all, we want to remain sensitive to movements on the market. See above. - The full editorial …

Dear Insiders,
Better deals than crisis - that was one of the core sentiments from the many conversations I had with developers, investors, consultants and hoteliers at this year's Expo Real. The real estate and investment fair was two days of turbo paced business.
Sometimes, there was a feeling that there was no tomorrow. Sole consolation: Behind closed doors, insiders were beginning to speak of market players who were pushing the hotel real estate scene faster towards the next bubble with their inflated prices. Many experienced hotel developers and financiers are therefore exercising greater caution. For chains with new brands and hard-working franchisees, the Expo Real was a real party. If there were properties still available, they would all expand even quicker.
Our joint stand "World of Hospitality" once again proved to be a magnet for the sector - at the tables of the 23 co-exhibitors, discussions were lively, as they were at many other hotel stands nearby. We therefore asked a number of exhibitors for their impression.
Premier Inn presented the model room with which the success-spoiled British group intends to conquer the Germany market. In my opinion, the product is much too conservative for Germany. At the hotel conference there was lots of talk of dynamic markets, of digitalisation and of IT-supported services. We will report on these and many other issues and trends in more detail in our next editions.
The 18th Expo Real reported 2.4% more visitors than in 2014. This also reflects the pulse of the sector.
If you didn't have time to participate in our "Investment Barometer" in collaboration with Union Investment, then you can still participate online. After the Expo, the question is more relevant than ever: How are investors reacting to increased competition in the German hotel investment market? Take part, click on this link! In return, you'll receive the complete analysis.
But there are other topics today too: Italy is working on its "Macron" law against the OTAs, Germany has relaxed its Registration Act, in London ratios for the hotel industry are stagnating or falling, in Cuba hotel groups are queuing up... And our correspondent Baerbel Schwertfeger visited an Amanresort in China in which guests only stay for the Facebook pictures. Luxury lifestyle Chinese style. – The full editorial …

Dear Insiders,
The hotel real estate and transaction market in a haze of hype... Experts believe business this year will be even better than in 2014. As a result, most expect an exceptionally busy Expo Real. Europe's leading real estate and investment trade fair begins in Munich on Monday - with even more hotel players than last year!
We are also there, and with us 23 co-exhibitors at "World of Hospitality" and 150 guests at our networking event. The number of hotel exhibitors in hall C2 has increased - a clear sign that the hotel industry is no longer to be overlooked at the Expo Real.
Parallel to this, the hotel conference has become increasingly international and high-calibre. This year 27 experts will take the stage for the "Special Real Estate Forum". The conference is open, free of charge, to all trade fair visitors.
hospitalityInside subscribers who would like to drop by at the "World of Hospitality" should ask for our colleague Anne-Laure Duval. She will also be pleased to accompany visitors through our "Investment BAROMETER": Our 5th survey in collaboration with Union Investment was launched online yesterday and it continues "live" at the Expo Real. How hot is competition in Germany? What do you think? Log in! Help us to improve the sector's profile!
On our Page 1 today you will also find our bilingual SPECIAL with information about the trade fair, on the stand, on the hotel conference and with articles from our online magazine released for the trade fair only. Printed copies can be found at our stand, at the conference forum or in 50 Munich hotels.
Right in time for the Expo Real, the Austrian consultancy Michaeler & Partner reports the results from a bank survey seeking to identify the errors leading to hotel failures. Some of the findings are surprising, others less so.
And what will the future bring for contracts? Will everything change apart from the contract? Martin Schaffner from MRP Consult in Vienna in his guest contribution today forecasts performance controls for brands.
Real estate/investments are the big topic of this year. The second topic remains distribution. Google has suspended its Hotel Finder and changes its model: The search engine will become an OTA. How Google intends to do this, what hoteliers think about it and what contradictions arise... Sarah Douag tests the strength of the online power package: This should slowly also be of interest to investors and hotel owners. In hotel distribution, entire continental plates are on the move at present, as if before a huge earthquake.
Furthermore, there are more news, e.g. about developers in new positions, the boom of city trips or the slow start of the AccorHotels distribution platform for all hoteliers.
We'll meet in Munich and/or as usual next Friday online!

Dear Insiders,
The Expo Real Munich is moving closer, and HospitalityInside is already looking forward to many conversations with you - at the stand, at the networking event or at the conference. Today, I present the final programme for the hotel conference. There players discuss issues that are also part of today's edition.
The Chinese Jin Jiang Group last Friday completed the merger with budget chain Plateno and has this week acquired the budget chain 7Days. It will be allocated to Plateno. No clarification has been provided to the rumours surrounding IHG and FRHI though.....
Baerbel Schwertfeger's report proves today that many Chinese hotels are doing well, at least that's the impression given by General Managers of the Ritz-Carlton and the Four Seasons Shanghai/Pudong. She met Rainer Buerkle and Rainer Stampfer in Shanghai. They too are watching Jin Jiang.
In the more mature European market, hotel groups often find their profile in the niche. And it's exactly this that Roeland Vos is looking for for Belmond. Starwood's former Europe President and new Belmond CEO is back in operations, full of energy: "Belmond will not be a brand for everyone," he says. And he doesn't want to sell any more properties, but rather buy them. We talked to him on the phone.
Tour operator FTI also wants to reposition its hotels and has created the brand "Labranda" for that purpose. FTI boss Dietmar Gunz with the details. The change in tourist flows this summer shows that the situation for Mediterranean resorts isn't getting any easier. Following the terrorist attacks, RUI has obviously decided to leave Tunisia completely. And Doha is checking, planning and analysing its own hotel development until 2022: the time is rather limited.
In the US, Sarah Douag discovered a gold mine, so-called "ancillary fees", extra revenues which are not generated from renting a room. A current study reveals: US hotels this year earned USD 2.47 billion through these fees. And where are the Europeans here? Are additional fees for internet, luggage, mini-bar, gym or preferred check-in not an issue? It's certainly an exciting read.
The hotels have also drawn attention from funds. More and more special funds are being set up or are working their way into this difficult asset class. Overall, a very welcome development. Beatrix Boutonnet lets fund managers from Union Investment, Deutsche AWM, Deka, Real I.S., Invesco and Patrizia have their say. Enjoy reading! – The full editorial …

Dear Insiders,
Where are the refugees supposed to live? While the EU has no solution to this question, German and Austrian cities and communities have to react. And they are cooperating with hotels. Maritim leased its hotel in Halle for three years, H Hotels are already accommodating refugees at three locations, and the Austrian Hotelier Association helps wherever it can... However, we think that more could be done. Which other industry is able to cope as easily with the multicultural mix and offer workforces easy access under the most varied conditions?
The contribution of Susanne Stauss shows the dramatic side of our society that prevails at present; therefore, it seems a little cynical to talk about the nice sides of the hotel industry at the same time: about lifestyle hotels where the spoilt Gen Y cannot get enough entertainment and enough of the good life. But this success is the result of the brand creators' hard work in the end. Therefore, some weeks ago, also in view of the premiere of aloft in Germany, we talked to brand managers of Starwood Hotels und IHG about what should be considered for these lifestyle concepts.
Lifestyle hotels are nice meeting spots, as long as the hotel "booms". As soon as the hotel is empty, as the W Verbier at the end of June, lifestyle is no longer fun. Then, dark corridors and large rhinoceros artworks easily fail to have the desired effect. During her visit in the Swiss Alps, Baerbel Schwertfeger did not experience any of Starwood's spirit.
Maybe, the W Verbier would have been better off as a "pop-up" hotel. This funny term refers to temporary hotels, which can be set up as individual boxes or classical hotels at the beach or in the city within a few hours or days. They are able to adapt to any purpose, ambience and desired size. Sarah Douag introduces clever providers.
The merger of Expedia and Orbitz has been officially approved yesterday: another concentration in hotel distribution is impending. An internet talk provided positive comments about Airbnb, for once. The Alpine regions continue to work on common marketing goals under the name of "The Alps", and a study analysed the wave of bike riders in the Alps. In Thailand, Dusit CEO Chanin Donavanik will leave his position in January; additional current particulars involve development. The full editorial ...

Dear Insiders,
For four weeks now, the "Macron Law" has been in force in France which gives hoteliers back their freedom over OTAs. By act of law, old contracts are rendered invalid and the hotel must come to a new agreement with the OTA. Booking.com obviously hasn't understood this though and has simply sent a contract supplement. You can read the letter sent to hoteliers here - cheek! Sarah Douag explains why this approach is unlawful and how the hoteliers can fight back.
That the air for OTAs is getting thinner and that they must become more creative is also seen in a decision by HRS. It will invest a high seven-figure sum in a start-up whose app makes digital check-in/check-out and payment a reality. In Sardinia, regional authorities have demanded subsidies back from 30 hotels - a total of EUR 35 million. This has put medium-sized hotels under enormous pressure. A grotesque story from a chaotic country.
aloft has an upbeat story to tell: On Tuesday, Starwood Hotels officially presented its midscale lifestyle baby in Munich. Yesterday it was Stuttgart's turn. This is the aloft premiere for Germany. I was there in Munich. The location is top, and the concept in theory too.
Bavaria's capital remains attractive - also for small groups. Quite unnoticed by the Munich scene, an Austrian brand has taken residence directly before the city tram and underground station of Moosach: Harry's Home. A mix of hotel and apartment hotel here.
The Austrian hoteliers are creative: Now, Florian Weitzer has launched a new product in Vienna in the Imperial and Royal style with Leberkas and Champagne. For the backpacker and the hipster... Again a new facet.
Youth travel is booming, and a report on providers in this price-sensitive segment today shows how ancillary earnings can be increased here. And in a reader's letter today, Prof. Christian Buer predicts that young travellers will stay away from Barcelona if new stylish hotel projects are put on ice. He gives other negative examples.
Participants of the Cornell German Chapter Meeting last Saturday saw what forces this eccentric and colourful industry can unleash. At the Annual Meeting, they all listened attentively to stories from Munich top caterers and hoteliers and were given insight into Gen Y and management. The summary can be found on our page 1. – The full editorial …

Dear Insiders,
Airbnb's strategy "Taking not Sharing" becomes clear today in the second instalment of our big background report by Sarah Douag: She looks at how the platform has successively moved into the classic hotel business. And TripAdvisor appears to copy the concept of Airbnb as well as the bad behaviour.
Airbnb will continue to cause the industry a headache. Professor Frédéric Dimanche from Ryerson University in Canada provides encouragement to the professional hosts though: "Just be hospitable!" he says. And it's exactly this that the aggressively expanding Airbnb and co. will not be able to manage.
Also today, our legal expert Joachim Jungbluth contributes Part 2 of our series on the minimum wage focussing here on the legal aspects of the duty of documentation. Just how sharply this bureaucracy monster will push up personnel costs is a question looked at by the University of Heilbronn and Susanne Stauss has also asked hoteliers how they plan to deal with the change. It remains frustrating, especially in high-end catering, which feels particularly hard hit.
Airbnb, the German Minimum Wage Act and the bed tax/VAT are excellent examples of how often, and also unexpectedly, the industry falls under fire. Meanwhile, rarely a week goes by without a new knock: The mayor of Barcelona has just stopped 40 hotel projects saying that Barcelona is not to be become like the tourist-plagued Venice. And in the US, Google has secretly tested an alert which shows customers falling hotel prices and thus prompts rebookings...
Loud complaints and silent suffering are guaranteed, though this not the right way to meet these challenges. More forceful lobbyists would be desirable here, though are lacking. The hotel chain and the private hotelier are only helped here through research and by spending more time thinking about position and strategy of the hotel. - The full editorial ...

Dear Insiders,
Off we go again after the summer break - into the autumn of trade fairs and the last crucial revenue-generating months of 2015! The good weather over the summer has invigorated our correspondents and experts in their analysis of background issues, all of which affect the hotel industry at its very core. Our correspondent Sarah Douag and I have for weeks been disturbed by the unfair comparison of Airbnb with the hotel chains - mainly fanned by US media reports, all of which appear to idolise Airbnb. We asked European experts and take an objective look at the phenomenon. In two articles today and next week, we ask: Where's the value of Airbnb?
Our legal expert for labour law Joachim Jungbluth is just as analytical today and next Friday with regard to new German minimum wage legislation. The minimum wage has been mandatory in Germany since January and has caused many a discussion, as articles next week will show.
Karl-Heinz Kreuzig from bbg-Consulting Düsseldorf is also analytical when he talks of cross-subsidies and reserves in earnings management in a guest contribution today. "Whenever large hotel groups post their semi-annual or annual results, the questions pile up," the consultant says.
The BAT "Leisure Monitor" looked at stress factors in leisure time yesterday; one consultancy based in the US looked at turnover among CEOs and at remuneration of the world's top 38 managers. A table lists the millions and the incentives.
Good news for the sometimes frustrated Germans: Their hotel market ratios are finally moving closer to European averages. The Grand Resort Bad Ragaz has performed very well in the difficult Swiss currency environment, and Orascom has also taken huge steps forward.
Among our personalia today are somewhat longer than usual - also because we cover a number of switches missed in our two-week break.
We now move into the organisational home straight for Expo Real Munich. The number of co-exhibitors at our "World of Hospitality" joint stand has settled at 23. The current list can be found on our page 1. Further information on the Expo and on the hotel conference will follow. – The full editorial …

Dear Insiders,
The global hotel real estate market is booming, as is the European and German market. Buyers are increasingly willing to conclude cross-border transactions, as the analysis by JLL today shows.
In light of such global movements, capital investment companies are becoming more international, even if the investment focus remains clearly defined in geographical terms. The best access to "limitless" capital is still the move on to the stock exchange. And it's exactly this step that Primecity Investment ventured last October. Revenues generated by the company, which is specialised entirely on hotel assets, rose by 159% within the space of a year, and the number of hotel assets doubled. Four weeks ago, the parent company Aroundtown Property Holdings also went public; today it has a market capitalisation of two billion euros. This brings new weight to the game. Primecity CEO Philipp von Bodman explains what such a capital base means for rapid cash-driven hotel expansion.
The GCH Hotel Group based in Munich has nothing more to do with Grand City Hotels, whose initial letters still form its name. GCH is now open for every hotel and hotel group looking for professional, brand-driven marketing. Vice President Commercial, Bart Beerkens, explains the new profile and new services.
"The air is often thick with testosterone," one of our career women says today in reference to the atmosphere at meetings. In today's third and final instalment of our series on career women and the promotion of women in the workplace, we look at team work, bullying, networks and young women. We will look at further women's issues in subsequent editions: Our readers have asked specifically about the issue of motherhood and young women. I'll be happy to look into it!
Since last week, Expedia has been trying to push through its interpretation of parity in contract. Hotel associations are resisting fiercely. In Vienna, the Austrian Hotel Association is discussing how to deal with the OTAs. Distribution expert Carolin Brauer explains the various OTA channels with a White Paper. All of this is one of our releases today.
Further news includes semi-annual and quarterly results from Design Hotels, Hyatt, Marriott, Meliá and Motel One; and how France is currently benefiting enormously from the Tour de France. Yesterday, German Novum Hotel Group talked about its take-over of the small Winters Hotel Company: a deal that underlines the current hotel hype.
With this issue, we start into our two-week summer break - and will be back again on August 28 with the next issue. From then until Christmas, every Friday will be your hospitalityInside day again!

We wish you pleasant holidays.
Maria Puetz-Willems & and the hospitalityInside-Team!