Editorial
Dear Insiders,
The MICE trade fair IMEX again revealed the analysis of event business: Germany maintains its position as MICE leader in Europe and also benefits from much more international business flowing into the country.
In Italy, the hotel industry is characterised by frustration. President of Federalberghi, Bernabò Bocca, gave a speech at the association's general meeting. From this, the entire misery of the Italian hotel industry was clear. Nevertheless, there is hope: Overnight stays were up for the first time in the first quarter of 2014.
In our series on sustainability, the Spanish Meliá Hotels explains this week what it is doing in each of its individual brands as well as at corporate level in various committees.
In keeping with sustainability, this week's edition also contains an article on climate change which will change tourism. "We need a new holiday!" one expert claims.
Swiss citizens also decided last Sunday that Switzerland doesn't need a minimum wage. This lifted a huge worry from the hotel industry's shoulders. The Football World Cup in Brazil moves ever closer. HVS has analysed the hotel market in the land of the Sugar Loaf. In Austria, mass tourism weighs on added value, and a new hotel collection has been created in a joint venture with the Global Hotel Alliance and others.
The first "Spotlight Hotel Investment Poland" also moves closer. The new investment conference, for which hospitalityInside.com is media partner, had some very prominent speakers for its guests, as you will read on our front page. – The full editorial…
Dear Insiders,
More than a decade ago, Emirates managers told me that Dubai would be redirecting worldwide tourist flows. This is coming true. Dubai Airport's passenger figures surpass those of London-Heathrow, and soon, Dubai will take over the title of most frequently visited city of the world from London.
For the eighth time in a row, I was on my annual visit to Dubai, and last week's images resemble those of 2007/2008. The second boom has arrived. But is it good or bad? The fact of the matter is, the Emirate is realizing its vision thanks to billions of dollars, extreme discipline, and perseverance. No other region in the world is able to manage this at the moment, which should be acknowledged, despite all skepticism. Dubai has become purely multi-cultural, a bustling mixture of people from all over the world and no longer a hardware potpourri consisting of glass towers and malls…
Today, my colleague Dania Saadi from Dubai and I are reporting on self-confident Arabian statements, the latest trends in the real estate sector, giant new projects and concrete new hotels. Expo 2020 has triggered an unimaginable boost. And that is why now, in May 2014, there is no criticism at all regarding this new boom, just like in 2007.
The fact that investing in hotels is considered sexy is documented by the most recent and upcoming IPOs of international hotel groups. However, share values often show great volatility. We report about the IPOs of La Quinta and Playa Hotels, Dalata, Prince Hotels, Scandic, and Gruppo Statuto.
Change of subject – change of pace: the new mountain resort For Friends lures us into the mountains of Tyrol. Ukrainian capital, however, demands 5 stars including gourmet cuisine in this idyllic solitude. Will this concept work out?
In addition, we have various contributions on TripAdvisor and Choice, booking.com, quarterly results of Hilton, Meliá, Motel One, Preferred, and the Grand Resort Bad Ragaz – and more!
An editorial note: Some readers did not receive last Friday's newsletter including the headlines of last week's issue. In the meantime, we suspect the reason: we used common terms for same-sex partners in our article on Axel Hotels and several firewalls prevented the forwarding of the newsletter. – The full editorial…
Dear Insiders,
Since the "Arabian Travel Market" in Dubai this week, there are now hotel rooms above the clouds. Maria Puetz-Willems admired the suites and apartments of Etihad Airways on site. As hoteliers, you too will be amazed at the meticulous detail of the hotel atmosphere and services offered in the air.
This edition provides an initial summary of the extremely dynamic tourism fair as well as further news from the Middle East. More from Dubai and from the ATM then next week.
Switzerland was also an issue in Dubai - Arabian investors love the Alpine country. A scientific analysis of the 5-star investors in Switzerland shows their share is growing. The study with its many tables, names, figures and background detail is, however, only available in Germany.
Also attractive for investors is the Spanish hotel brand Axel geared towards the gay market. In an interview given to our Spanish correspondent Beatriz de Lucas, Axel founder Juan P. Juliá describes the key characteristics of his unusual group.
Improved operational expertise by investors is a reason for one trend identified by associations such as Worldhotels and Preferred: More chain hotels are switching to consortia. One of their explanations for this is that investors are focusing more than ever on the ROI on their hotel real estate...
Also this week: Students in Schwerin describe culinary destinations in Germany, hotel groups including IHG, Marriott, Steigenberger and Victoria-Jungfrau Collection publish their quarterly or annual results, HRS surprises with a change to their listings and Adrian Zecha resigns. The internationally highly-regards pioneer changed the luxury world with Amanresorts. After the sale of Aman Group, new managers are now in control. – The full editorial …
Dear Insiders,
The number of events and the flood of information on distribution and marketing have risen steadily for years. The Messe Berlin had one more event on the schedule this year - "provisionally" and therefore hardly noticed by many. Before the ITB, there was a four-hour pre-summit on "Omni Channel Marketing". Speakers - from Facebook to GfK - provided basic explanations and details. I have summarised key statements for you.
Our correspondent Macy Marvel looks at the creeping but crucial changes in online distribution today. He reports on the new relationship between the Internet giant Google and the diminutive Room77 whose software allows individual hotels to advertise in the search engine - side to side with the OTAs. Another complex and trailblazing issue.
It will now take a further two years until the path is cleared for the new Buergenstock Resort near Lucerne. It will be 2017 before the mega investment by Katara Hospitality is completed. This was clear at the start of construction for the forest hotel. Photos reveal a top standard though. We report on the current state of play for this spectacular resort renovation.
The spectacular Steigenberger headline - namely the desire to operate 60 hotels in Berlin - quickly turned out to be an embarrassing flop this week. And changes in top management at Accor again attract attention. Choice, Hyatt, Orient-Express, Starwood and Wyndham reported - mostly - positive results for the first quarter. And more in today's edition. - The full editorial...
Dear Insiders,
Four Seasons has always had a way of showing others, including larger chains, how to do luxury. Now it will fly its guests with its own branded jet across the globe. A real PR hit and nice wow-effect for spoiled guests!
Remaining true to yourself is also a "luxury" which HRS would like to allow itself in future. By innovation, streamlined structures and selection, Managing Director Tobias Ragge aims to give the group a new profile. In a background interview with hospitalityInside.com, he indicated how HRS will evolve in future alongside Booking.com and Expedia. OTAs were and are a mega discussion point for the European hotel association HOTREC. Now it has established a task force for private room intermediaries. I met President Kent Nystroem just before Easter in Rome, and he and his German colleague Markus Luthe explained the challenges facing the association.
Qatar is among the destinations that continue to pursue their tourism master plan in view of the Football World Cup 2022 and will soon tempt tourists with a mega zoo in the city desert. This is expected to attract millions more visitors to the emirate. And there can only be superlatives here, for instance a 7-star tree-house hotel...
And in other news: Italian Bank has provided Spanish NH Hotels with more power in Italy; Orascom Development has posted serious losses for 2013, Accor and Rezidor report their first quarter results 2014, in Tyrol the winter season failed and at Romantik Hotels and Ringhotels, personnel changes and strategic announcements point to new paths.
And last but not least: Anyone wishing to be part of the joint stand "World of Hospitality" at Europe's leading real estate and investment fair, Expo Real, in October in Munich should get a move on: Early booker discounts will soon expire... more on our start page. - The full editorial …
Dear Insiders,
Fairtrade is a new trend for hotels of all stripes: Offering Fairtrade products and even Fairtrade bedding is environmentally friendly and shows social conscience. And guests are obviously prepared to pay more. Romana Kanzian has collected colourful examples.
Fred Fettner leads us this week into an exotic world: to Sanya in Southern China. As in many emerging markets, beds are being added in their thousands, irrespective of demand. The latter is to be created with mega projects. Top Austrian managers from renowned chains report of their experience on site.
Readers can learn much from the experiences of others, either by reading customer ratings or busying themselves with other opinion leaders. The University of Applied Sciences in Worms recently presented a comprehensive study on customer reviews and fakes after surveying key provider portals and hoteliers in five countries. We have summarised the results and attach the comprehensive analysis as a PDF.
The last talk round at the "ITB Hospitality Day" Berlin, summarised by us today, also looked at the role of hotel reviews, ratings portal analysts and bloggers. Now that user-generated content is generally accepted, everyone is asking how best to filter through the new flood.
All users can read this article as well as our announcement for the premier of "Spotlight Hotel Investment Poland", which will take place at the beginning of June in Warsaw; a brain child of various renowned organisers. hospitalityInside.com will be media partner for the event; a first in Eastern Europe for the magazine. Details on our Page 1.
At the European level, experts also expect positive hotel developments for 2014 and 2015. According to a recent study, there is still a lot of potential for chains in Italy. Wyndham defines its partnership with German Hospitality Alliance new and the new majority shareholder of Kameha will likely focus on other locations to those considered up to now. Last but not least there are new quality standards for Serviced Apartments.
Also, a last call for our 2nd survey on the "Investment Barometer". Use the quite Easter break for a few clicks... Only those who take part will receive the full results!
And one final personal note: If you sent eMails or faxes between 3 and 8 April, and are still awaiting a response, please send again. Some faxes and mails received over this period were automatically deleted immediately after receipt as a result of a server error.
A colourful edition for you this week - the last before Easter. hospitalityInside will appear next on 25 April. – The full editorial …
Dear Insiders,
The budget operators earn good money. Macy Marvel provides the business results and plans of Ibis, Motel One, Louvre, B&B, Premier Inn and Travelodge in an overview full of numbers. Exciting! My conversation with Mark Thompson, Head of B&B Germany, was a pure coincidence concerning time. He gives us an update about the "simple" profile of his successful brand, which plans to continue to open about 12 hotels every year in near future. In addition, a growing number of HNWI are becoming investors. And the online check-in will start in four weeks.
Keyword online: TripAdvisor wants to remain a review platform and is increasingly looking for the affiliation of smaller hotels as well. Whether they will be able to afford the underlying "Cost per Click" model remains open, however.
At the "Online Distribution Panel", the hoteliers were full of self-criticism at this year's ITB hotel convention. The common perception with OTA representatives and pricing experts was the following: for a long time, it has been about the price but now it is about price controlling.
Online and the misuse of data are very close as the keynote speaker of the "ITB Hospitality Day" explained: the KPMG expert warned the hoteliers of data attacks. It is no longer like James Bond but reality, he warned urgently.
All hospitalityInside users are able to read the two ITB summaries; the other contributions are only available in the magazine for subscribers.
And today's pieces of news in the magazine are the following: Accor and its Mercure franchisee RIMC have a quarrel; the city hotels in Spain are suffering considerably; the EU introduced proposals for visa facilitation in the Schengen States; the last-minute app HotelTonight also integrates hostel offers now...
The second round of the "Investment Barometer" by hospitalityInside and Union Investment has already started. All those who have promised to participate should do so now... Please register via the banner! – The full editorial …
Dear Insiders,
From China, there are more individual tourists arriving. They no longer want instant noodle soup, shopping and sightseeing tours, but rather "local food" and "local experiences". The panel discussion about the "new Chinese" at the ITB hotel conference provided practical advice for hoteliers. A contribution worth reading for all visitors of our website, on page 1.
A bleak wind is blowing in Switzerland, in the MICE segment too. International mega conventions are even withdrawing from Davos, WEF founder Schwab is threatening once again, and a glaring investment bottleneck prevails in many MICE centres in Switzerland. By contrast, Lausanne is scoring now.
The hotel market in Dubai is booming again. The prices are increasing as well as the construction activities. Expo 2020 is a massive driver for investors and operators.
In Italy, Unicredit supports members of the two large hotel associations; in Munich, Mandarin Oriental invests a sensational 124 million euros in the expansion of the hotel and secures a trophy asset this way. Despite increasing indices in Germany for the year 2013, the German hotel association cautions against euphoria. While budget specialist B&B records higher turnovers in 2013, Dorint Hotels published their results for 2012 and reports high losses.
Among the online portals, Kayak is launching off in a new direction and also includes online travel agency offers. The Austrians analysed their destinations again, and Westin Hotels call for meditation: for 15 million dollars, they are now teaching guests and staff members how to relax online and offline. A nice PR campaign, in my opinion. Because who is going to measure the effect?
There are new Trend Questions for our hospitalityInside "Investment Barometer" in cooperation with Union Investment! Please sign in under this link and receive an invitation next Tuesday to participate! Those taking part will receive all evaluations. You can find a brief sample in our "Market Check" column.
Today's colourful selection of subjects shows how the waves of global markets are rolling towards the national markets and how national markets are profiting or suffering from this movement. Feel today's pulse of the market! – The full editorial …
Dear Insiders,
From a journalistic perspective, the ITB 2014 brought no mega news; as a networking platform and place of inspiration though, the world's biggest tourism fair is still able to impress. I wanted to be inspired by a speech entitled "The World 2025" at the Future Day. I returned with goose pimples. Do you wish to see the world in 10 years time through a chip lens and move to full digital control?
The fun factor can motivate, as Ross Harding made clear on the CEO Panel at the "ITB Hospitality Day": The new arrival on the sustainability scene sensitises hoteliers and guests to his cause through parties, amongst other things. Luxury hotelier Bernhard Bohnenberger and Six Senses Resorts have been living luxury and sustainability for years in creative ways. Non-subscribers can also read this article on our Page 1 under "Network" along with the coming summaries of the talkrounds at the 9th ITB hotel conference. This service is provided exclusively by hospitalityInside.
Our article on Steigenberger Hotels today shows, as part of our sustainability series, which concepts classic hotel groups are using in their sustainability drives.
ITB travel analyses reveal: German travellers are obviously difficult to stop, and the Chinese set new emphases. Countries now relaxing their visa requirements - Dubai, India and three African states - now expect a veritable tourist boom. The EU intends to make a statement in this regard next week.
In the hotel market, restructuring and consolidation is meanwhile increasing: Suddenly interest from big names has been announced for a national Italian chain, and the Swiss main shareholder of Victoria-Jungfrau Collection would obviously like to have even more shares. Technology is also a prominent topic - though more on this and on other topics in the following editions. We've certainly brought enough home to think about.
For hospitalityInside and its 3rd joint stand "World of Hospitality", the trade fair in Berlin was again extremely motivating and inspirational. As was the 1st luxury trade fair "Loop" in Frankfurt to which I hurried as soon as the ITB finished. Today's edition provides only a short outline of the later event - more on all that next week.
The mood at the ITB 2014 was good to very good and provides hope for a strong tourism year. Hopefully that will put you too in a good mood! – The full editorial…
Dear Insiders,
Three years ago, the ITB stood in the shadow of Fukushima. This year, it's Ukraine. Today, the 48th ITB is still underway in Berlin. The mood at the world's biggest tourism fair was good nonetheless. The world's individual crises are obviously unable to stop the upwards trend in tourism. Many visitors spent a lot of time at ITB Convention again; the discussions at the ITB Hospitality Day were of solid quality and revealed a lot of details. More about it next week; today, our team is still underway for you in Berlin.
Sentiment at the IHIF investment conference, which always precedes the ITB, was even more positive than last year. Of the CEOs and top managers which I met there, I include today personal comments from NH CEO Federico González on the newest brand strategy of the Spanish hotel group. They underline its five-year plan with several million euros. And Puneet Chhatwal has again been talking about new fund partners and new plans.
Hotelier Samih Sawiris surprised on Monday with investments in two tour operators - after all, he must secure demand for his hotels in crisis countries. Independent of this, but inkeeping with the ITB, Susanne Stauss has analysed the flood of hotel brands from TUI and Thomas Cook and summarised her findings in a table. Just like in the hotel sector, there's also been a lot of movement in terms of brand for tour operators too. Non-subscribers can also this article in an abridged form in our new "hospitalityInside SPECIAL ITB". Click on the banner on our Page 1.
In the investment context, Beatrix Boutonnet looks at what new regulations on closed-ended funds have not yet managed. Many new names have given rise to new confusion.
Hilton, NH, Orient-Express and Scandic have published their annual results for 2013, and at the 25hours Bikini Berlin, owner and operators give details; for Accor, the new CEO Bazin has changed the structure and heads have rolled....
The ITB is followed smoothly by the luxury trade fair "loop" in Frankfurt - we will also provide the most important details from this new event for you next week. And certainly there'll be more from the ITB and IHIF. - The full editorial ...