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Entradas Etiquetadas ‘LUXURY HOTELS’

Market Trends

Jueves, 19 de noviembre de 2009 admin Sin comentarios

 

Speaking at The Travel Convention in Barcelona on Wednesday (October 7), PricewaterhouseCoopers (PWC) leisure director Guy Gillon said luxury operators who were managing their cost bases, keeping an eye on their customers, and reacting to changing preferences were maintaining margins and market share.

Luxury travel operators were also riding out the recession because their clientele refused to give up their main holiday.

According to a survey of 7,000 holidaymakers who take luxury breaks, just 18% said they would cut back on their holidays if they had to give something up during the recession. This was ninth behind designer labels, electronics such as TVs, computers and MP3 players, and restaurant meals

The results are in contrast to a similar survey, which polled all demographics. With this sample, 41% said they would cut back on holidays and weekends away first during the recession – twice as many as in the luxury group.

“The high-spending individuals are not moving to packaging or changing length of stay, but they are using the internet to look for the right deal and right location at the right price,” said Gillon.

“While some of these changes may be temporary, the ‘buying clever’ trend is here to stay,” he added.

Other major trends highlighted by Gillon include the fact that as a result of the recession, more than 50% of luxury consumers now search for the best price on the internet, while just under half will ask the supplier for a discount. Only a fifth will downgrade to a cheaper destination.

Gillon said luxury travel business need to improve and develop their websites, and increase their portfolio of products in 2010 in order to survive.

 

Jackie David

 

The following article is relevant to assess  short term future trends in luxury hospitality markets:
ABTA 2009: Luxury operators see 30% growth despite recession

(08 October 2009)

Some luxury operators have seen increase in revenue by as much as 30% over the past two years and just under a 10% increase in margins despite the recession.

Categories: ARTICLES, boutique hotels (en), news (en)

QUO VADIS BOUTIQUE HOTEL?

Lunes, 5 de octubre de 2009 admin Sin comentarios

This article points out what it seems to be  the most significant changes and trends in the boutique hotel´s market structure:
1 – We will see in the near future strong structural changes in the high end hotel business: new hotel formats, new investors´ profile, a more intense competition to attract the attention of customers and deeper changes in marketing channels.

2 – This  Second Generation of Boutique Hotels is characterized by:

- Larger properties (over 20 rooms)

- The incorporation of more infrastructure and services, typical of the conventional 5 stars hotels , such as meeting rooms, corporate services ,spas, and gourmet cuisine among others.

3 – With this new format, the newcomers in the industry will invest with the clear  intent of  attracting  even more customers of conventional 5-stars hotels, by offering similar services but in a context of greater
personalization, privacy and more value added (art, design and aesthetics)

4 – In this context, the big hotel chains are reacting  to retain their customers through the development of new hotel lines  with a “boutique look and feel”.

5 – In summary, two new forces are perceived in the market: a force that pushes up the boutique concept by incorporating in the projects some infrastructure of conventional luxury hotels and a “pushing down” force, coming from the big players, developing new boutique hotel lines

And in the middle of the battle, we find the first generation boutique hoteliers who will have to do their best to avoid customers leaks into these new second generation hotels.
6 – With this new generation hotel, we will see:

- A new architecture , a generation of  professionals who will have to understand the  key elements that are truly appreciated by the customers of a boutique hotel .Those which create competitive advantages for the property

-    The need of new communicational  efforts to achieve  brand positioning and reach of the final customer

-   a complete reconfiguration of the commercial channels as a consequence of the new traveler behavior to choose and book a hotel

7 – We will increasingly witness the consolidation of the concept of
Hospitality based on welfare, lifestyle and experiences

8  – And finally, the challenges  for the coming years will be

-         Adding  infrastructure and services without loosing the charm and the true essence of the boutique hotels

-         Maintaining and increasing  profitability, even in a context  of more competition

-         Keeping the hotel “visible” in the commercial channels such as Internet, online booking systems and for the travel agents and tour operators

Claudio Oliveira

CEO

Ten Rivers & Ten Lakes

Categories: ARTICLES, Experiences (en), boutique hotels (en)