Editorial

Dear Insiders,
The British budget hotel chain Premier Inn intends to have a higher quality presence in Germany than in its domestic market. That fact that the Whitbread subsidiary can always function as end investor though could be a considerable advantage in the very cautious German market. "We are buying!" is for me then the headline of the day.
Competition is hotting up. This was also made clear during Accor's extra press conference during the Expo Real. Accor aimed to defy the unstoppable announcement marathon of other players and provided some full performance data. Nevertheless, budget rival Motel One has today again made a special announcement: In 2016, the Motel One New York will open!
Since the big franchise companies were present at this year's Expo Real joint stand "World of Hospitality", there was also a franchise panel at the Hotel Conference. Host Christian Walter identified some interesting differences in the franchise models pursued by Accor, Choice, IHG, Marriott and Wyndham.
An encouraging keynote speech was given by Simon Redman from Invesco Real Estate London at the hotel conference: He praised the hotel industry and described its appeal from the perspective of an institutional investor. His keynote in a slightly abridged form.
You can also see and listen to some of the topics today on our YouTube channel "The hospitalityTV". There, pairs of exhibitors at the joint stand "World of Hospitality" have their say on what motivates them on the German investment market, on market displacement in budget, franchising, architecture and chains... More on this on our homepage.
And more on the international hotel market inside the magazine. – The full editorial…

Dear Insiders,
A positive mood, well-prepared contacts, many deals and a range of awards ... The Expo Real 2013 was buzzing this week. Funds are gaining pace and even among the banks there are a few new players. Once again, there is traction on all sides. This is also true for the hotel industry in which one market attracts investors and hotel operators like no other: Germany.
"Wow, finally a statement for our industry in the property market," one visitor at "World of Hospitality" said as he saw the 200 sq.m. stand in hall C2. Of course, as organiser of the stand, hospitalityInside was very pleased with this, though other statements from co-exhibitors show that the hotel industry really has been established in the minds of other visitors thanks to the successful joint stand. The names of the mega chains at the stand gave a large boost to this new awareness and the entire sector benefits as a result.
Read the first summary today and more detailed reports and trade fair news will follow in subsequent issues. We will also report on the hotel conference "Hospitality Industry Dialogue". The event attracted around 850 visitors. The most popular panels were those on Opportunity Funds, Private Equity & Institutional Investors and the Banks and CEO Panel.
But there are other topics today too: In Chamonix, France, tourism experts recently met to discuss marketing of the Alps. A very sensible approach, but our correspondent Fred Fettner shows how difficult it is to put these good intentions into practice. And our legal expert, employment lawyer Joachim Jungbluth, explains a recent decision from the Federal Labour Court on written warnings.
And Treugast presents its "Investment Ranking" for Germany and Austria, Premier Inn announced a massive expansion drive in Germany, citizenM has found a partner for the expansion in Asia, and the French consider levying a tax on OTAs. – The full editorial …

Dear Insiders,
Expo Real, starting on Monday in Munich, has some news in store and will provide for interesting talks: Wyndham shows its colours for the first time after its deal with Grand City – this week, the two groups announced the re-branding of 17 additional hotels. Now, Ruby Hotels is coming out of the woods as well, a new brand of Michael Struck who wants to elevate Budget Design one step up to "Lean Luxury". A budget evolution seems to be looming on the horizon.
Nearly unnoticed by most people, the large chains have tightened their conditions for loyalty programmes – a consequence from the crisis. Macy Marvel, Economy Professor at the Ecôle hôtelière de Lausanne, analysed these programmes in detail and collected many figures about the mega chains and their activities in this segment. He asks the question: are these programmes actually more than a necessary evil?
Ritz-Carlton appreciates Europe, but is expanding elsewhere. At least, this was the impression Susanne Stauss had after a conversation with Europe's Head Walia Sandeep. Apart from that, the luxury subsidiary of Marriott seems to be meandering along...
In Vienna, a new boutique hotel opened at a top location but does not want to affiliate with any consortium. Generally speaking, consortia are growing further as revealed by a ranking. A Spanish consortium has now become the largest in the world.
Last week, our India correspondent Hoihnu Hauzel talked about the important infrastructure status for the hotel industry. Yesterday, government approved and signed the status file! So, realisation can start soon.
We will meet some of you at Expo Real; and those, who are unable to visit Europe's largest property and investment trade show can browse in our new hospitalityInside SPECIAL EXPO REAL online, which we present to all users on page 1 today. Take a look at the eMagazine and you will see who is present from the hospitality industry. Trade fair visitors are invited to pick up a printed copy of the glossy magazine at the joint stand "World of Hospitality", at the hotel conference or at the stands of our partners. For the first time, the special is also available in all hotels of our trade fair partners in Munich.
Until next Friday with the most important news and reactions from the Expo Real... – The full editorial …

Dear Insiders,
Choice Hotels continue to support their franchisees with new and practical tools. From a strategic perspective though, the large US franchisor still doesn't have the right drive for a sweeping expansion into Europe. Competitive pressures are increasing so managers are questioning locations, standards and contracts for Europe, and in particular for Germany.
I attended Choice's Europe Convention for the third time, this time in Dublin. Shortly afterwards, our correspondent Sarah Douag interviewed the Vice President Choice Europe in Paris and also talked about France where the chain has most franchisees in continental Europe.
In Germany, online services such as Airbnb offering private holiday rentals and accommodation are referred to as "the grey hotel industry". In the international parlance, they are referred to as peer-to-peer websites. Meanwhile, their business models are being analysed and criticised and individual cities are taking rigorous action. Nevertheless, ever new models are being created, especially in the US - including the direct rental of entire villas. Macy Marvel takes a look at the international scene, presents the problems and explains reactions and new models.
It's rare that we busy ourselves with India. Over the next few days, the government there will decide on whether the hotel industry be given infrastructure status. This would make life easier for the industry in many areas, including the finance and purchase of hotels. This national decision will also impact on the development of international chains.
After the general election in Germany, Otto Lindner and others are beginning to wonder about the future of the reduced VAT rate applied to the hotel industr; last minute provider Hoteltonight continues to grow and HRS Chief Tobias Ragge has again expressed his views on the Cartel Office in a small talk round. – The full editorial…

Dear Insiders,
Blackstone is likely to have been happy about the global PR generated last week as Hilton announced its IPO. Hardly anyone asked any questions. The fact is though, that only five percent of Hilton's total value is to be offered to market. In the background then, Blackstone will retain control. Our contribution takes a closer look at the issue and takes down some of the media hype. It's disillusioning.
Employers are also likely to be more sober in future when they provide references for departing staff. Thanks contrary to the employer's own sentiments does not now have to be expressed on reference letters. The German Federal Labour Court has spoken.
For Sonnenhotels, the sun is shining again: The family company has fought its way out of the economic shade. Now, growth is again on the cards. An example from our "Small Chains" series.
And finally, a pet issue: Even the dog is a guest. Resorts welcome dogs, though business hotels are still reluctant, experts criticise. Savvy tourism experts in Austria again prove they have a good nose: They founded the consortium "Tierische Hotels".
Apart from that: Scandic has founded a second chain for Northern Europe, GBI has convinced IHG and Hilton to undertake a double project and the Swiss are travelling more, but making shorter trips and less at home. – The full editorial …

Dear Insiders,
Yesterday's last news is hot news: Hilton Worldwide offically announced to return to stock exchange. The company has filed a registration statement with the Securities and Exchange Commission for a proposed IPO. Owner Blackstone hopes to generate proceeds up to 1.25 billion USD as the IPO proposal revealed. In 2007, before the worldwide financial crisis started Blackstone bought Hilton for 26.7 billion USD and took the company private. This was an all-time record, the IPO again would be a record.  Next spring will become exciting then...
Just a few weeks ago, we reported on "big data". German Linder Hotel reports on how it is focusing on the mountain of data it holds and how it wishes to turn this to its advantage: It combines, quite legally, the data on its bonus programme clients with their profiles on Facebook etc. and so gains a range of new information for new measurable promotions.
Are there more lawyers on a hotel construction sites than construction workers? You could certainly get this impression from our article this week on rising construction costs. Architects and project managers confirm the increasing pressure in construction - to which even the banks contribute!
Less exciting is the "Morning Newspaper" or "Hotel Newspaper". Holiday guests like to know what the weather will be like and what they can do. Yet printed information in time for breakfast can also be expensive, despite advances in software.
Our Swiss correspondent Birgitt Wuest has looked at Hotel News over recent weeks and can report that demand in the Swiss hotel industry has stabilised in the first half of 2013. In Paris, government again plan to raise taxes for luxury hotels only. And in Germany, politicians don't have a clue of the frame conditions of the tourism industry.
And finally, we would like to say that, at the last minute, a further co-exhibitor has registered for the joint stand organised by HospitalityInside at Expo Real at the beginning of October: the British budget chain Premier Inn. This brings the number of hotel groups at the stand to 11, and the total number of co-exhibitors to 18. We are pleased to see how the joint stand raises the industry's international profile at Europe's leading real estate and investment event. – The full editorial …

Dear Insiders,
Is the CEO of your business a financial or real estate expert? Does the CEO get fired every two years? Then your hotel group is in vogue. Or does your CEO have his own Chief Financial Officer and, on top of that, the time to talk to him? Then your hotel group belongs to the old guard! The new hospitality leaders are non-hoteliers. They are seen as creative and non-conventional thinkers. What can these new leaders in the industry do better? How long will this change last? hospitalityInside.com talked to former CEOs, executives and head hunters.
The trigger for this article was last week's CEO change at Accor where the last Colony shareholder took over the operative business. Sébastien Bazin told Accor employees in Paris: "I am here to stay!"
In Austria and in the Engadine in Switzerland, the Italian tourists are staying away. The "Ferragosto", the long vacation, has just ended and confirmed the sad tendency of the first half of the year. 30 million Italians remained at home. Only Germany reports a growing number of tourists from the economically severely shaken country.
When Deutsche Hypo started to finance hotels 30 years ago, there were no reference numbers back then. Today, Deutsche Hypo still finances hotels and it is to remain this way. However, internal pressure makes stricter selection necessary. Executive Board member Andreas Pohl provides an insight into the banks' way of thinking and their standards. Even though many readers have told me horror stories about banks, I am happy to hear a banker express his personal thoughts here. Maybe in this way we shall be able to encourage other banks to tell us more about their dealings with hotels.
The news is as colourful as always and this colourful hospitality world is reflected in the 3rd joint stand of "World of Hospitality" at Expo Real this year. There have never been as many hotels at the trade fair for property and investment as this year! 16 hotel businesses and hotel specialists look forward to new contacts with banks, project developers and investors. Take the 10 hotel groups alone that are represented with more than 27,000 hotels and 3.1 million rooms all over the world! You will find renowned names of the people you can meet at the trade fair on our homepage!
If you want to join the hotel conference on the first day of the trade fair: 32 top-class experts from eight countries will debate the current financial and property subjects of the industry. For the first time, there will be a CEO panel – with 3 CEOs. You will find more information in the report on our homepage! For non-subscribers as well. - The full editorial…

Dear Insiders,
Accor has obligingly waited with the announcement of its new CEO until we returned from our summer break ... And so we are today able to report comprehensively on what happened behind the scenes this week in Paris. It is unusual that a shareholder switches to operations. As Colony Capital representative, Sébastien Bazin has put a lot of pressure on Accor CEOs over recent years, now it’s his turn to be subject to the pressure. Though there’s no need to worry about him, French media describe him as relatively unscrupulous.
Many countries have meanwhile issued warnings against travelling to Egypt. Moevenpick can already see evidence of the collapse in tourism in its results. "It's tough", says Area Manager Alan O'Dea. Orascom chief Samih Sawiris is also very optimistic: He expects "business as usual" for the next winter season.
Ramsey Mankarious provides some insight on movements on the hotel investment market today: Europe will have to accept that money flows of the future will come from Arabia and Asia. The equity expert will also participate on a panel at the hotel conference at Expo Real.
Online lawyer Peter Hense leads us into quite a different world again. He describes how hoteliers can defend themselves against false or unfair accusations on ratings portals - or not.
Of the smaller news today, one or other might appear familiar; like every year, we report on the most important events from the summer break in order to keep our archive up to date. But from now on, we are back with you every Friday until Christmas. I wish you today a pleasant read! – The full editorial …

Dear Insiders,
Only recently, futurologists reported in the "Design Hotels Arena" how 10-year old children "advise" their parents and them on the purchase of individual goods. The influence of internet giants like Google, Facebook, Amazon and others has been increasing constantly.
Here is our summary for you – with increasing worries in view of the current news: the Amazon founder purchases the "Washington Post", a media legend; and Google and Facebook & Co are said to have provided US intelligence NSA with data... The futurologists mentioned precisely these internet giants in the Design Hotels Arena. Those, who do not think of their own interests, social and medial manipulations, are blind...
Today, at the end of Ramadan, we are dealing with an increasing number of travel-keen Muslims. Shaza Hotels is the only luxury hotel group that fulfils their needs of halal and more. The Shaza concept, however, provides this in a new lifestyle concept, which can also be visualised in Europe.
In our series about sustainable hotels, we introduce the Asian serviced apartment brand Ascott today. The brand was able to achieve the target goals of its "green" programme scheduled for 2015 already one year after the introduction. Meanwhile, their guests carry reusable shopping bags instead of plastic bags.
From the news: interesting staff issues, IHG and Motel One earned a lot in the first half of the year, a HSMA survey in Germany reveals the industry's turmoil concerning rate parity, Dubai strongly profited from the Chinese, among others, in the first half of the year, and the Chinese award several countries satisfaction points...
With this issue, hospitalityInside.com starts its two-week summer break. We will be back with our next "hot" news for you on August 30. The hospitalityInside team wishes you good summer business and/or a good rest! – The full editorial …

Dear Insiders,
Why do investors and banks often trust only large international chains? What justifies the bonus enjoyed by the chains over professionally managed private operators? Private and medium-sized enterprises struggle to secure finance today. We have heard horror stories from our readers on exactly these issues. Yet we have left emotion to one side in our article today and asked private hoteliers and consultants to think about their own image and the chains…
Breakfast is meanwhile anything between coffee and croissant and huge buffet... In the resorts, a veritable breakfast competition has been long underway - and has become a question of profitability: We have found a hotel which spends 17 Euro per guest on breakfast!
The new AIFM Directive for funds entered into force in mid-July in Germany; its introduction will mean new costs for companies. Hoteliers also face additional costs from new requirements with respect to barrier-free entry.
Adrian Zecha is obviously not in a position to buy back his Amanresorts from DLF. Hyatt, Meliá and Orient-Express also publish their half-year and quarterly results, and Grandhotel Heiligendamm finally has a new owner since yesterday – and hopefully he will be able to pay the price… As a surprise, after 6 months of searching Four Seasons introduced the group's new CEO yesterday - from the real estate business.
In two months, Expo Real is back. For the hotel industry, Europe's leading trade fair for real estate and investment has become an ever stronger magnet, also thanks to the activities of HospitalityInside. We provide an update on our joint stand "World of Hospitality", on the hotel conference, on networking events and on our marketing special. Partners can still take part. – The full editorial …