With the fifth wave sweeping France and Europe, how do you see 2022?
Eric Viale - This year with cautious optimism, but with confidence. The advantage is that we now have the lessons and best practices to apply, in addition to advances in science and vaccination efforts. We continue to do everything in our power to help our hotels and owners, but also to work with public authorities to ensure that our sector remains supported. As a business, we have shown great strength throughout the pandemic so far, with our performance and data proving that when people can travel, they do.
As a hotel group, how are you supporting your hotels and customers through these troubled times?
E. V. - By providing our teams with the operational and commercial support they need to capitalise on demand and drive performance, as well as in the areas where we see the greatest resilience. In particular, we focus on on our national marketsWe're always on the lookout for new opportunities wherever we can find them, as well as offering ongoing flexibility for customers and a stronger offering for meetings and events.
How have your hotels fared in recent months?
E. V. - The situation is not without challenges in general, but in recent months we have seen a real dynamic which is obviously still fragile, but which has pleasantly surprised us since last summer. In France, some hotels have even outperformed 2019 thanks to the domestic leisure market.
In this context, has the recovery in business travel and the MICE sector also lived up to your expectations?
E. V. - We are not not attending the funeral of the business trip as we have heard. In the case of major international accounts, the recovery is admittedly a little slower, with some large groups still favouring a hybrid mode of working. But as far as individual business customers are concerned, business trips are still being made, albeit less frequently, but on a regular basis. longer terms. As for MICE, we were pleasantly surprised by the upturn in small local seminars. Our regional accounts produced fairly quickly. Of course, we've learned to work in a hybrid way, but there's always that need to get together.
We are not witnessing the death of business travel, as some have suggested.
How can companies be reassured that their employees are travelling and their events are taking place?
E. V. - Companies need to get together, as we saw in the third quarter. Right from the start of the pandemic, we focused on the safety of travellers, with reinforced health protocols for restore confidence. For our seminar offer, this has resulted in the introduction of the Meet with Confidence programme. This means providing confidence in terms of health, flexibility in terms of bookings and confidence in the quality of services, with the introduction in our hotels of technological solutions for the health professionals. hybrid meetings. Even if we see a return to face-to-face events, this solution could remain a small segment in the future.
Let's move on to the latest news about your group and its presence in France. Is it still a key market for IHG?
E. V. - France is one of the world's most popular destinations, with an extremely rich heritage, a long tradition of hospitality, and a tourism sector that accounts for more than 10 % of GDP. It is therefore a priority market for IHG. We now have 64 hotels and 16 other projects already signed as part of an ambitious development plan, because we have the opportunity to develop all our brands there.
Which segments are the most promising for IHG's development in France?
E. V. - Today, we have a leading position in the luxury hotel sector thanks to our InterContinental hotels in Paris - including Le Grand whose rooms and famous Café de la Paix have just been renovated - but also in Bordeaux and Cannes, Lyon and Marseille. In the last two cities, we have demonstrated our ability to transforming historic buildings into InterContinental hotels and magnify them. Still in the luxury segment, but with a more relaxed approach, we have also introduced the Kimpton brand to France. Widely present in the United States, this luxury lifestyle brand - a segment that is so popular today - has begun to be developed in Amsterdam, the United Kingdom and Barcelona, and is now present in Paris with an emblematic hotel housed within the walls of the former Samaritaine luxury hotel. The hotel boasts an exceptional rooftop, and will undoubtedly be a key factor in the brand's expansion in Southern Europe.
Could your new luxury brand, Vignette Collection, use this strong positioning to launch in France?
E. V. - Our credibility in this segment is clear. Which bodes well for real potential in France for this new brand, which is aimed at owners of exceptional hotels who want access to the commercial power of a major group, while retaining the distinctive identity of their hotel. In Paris, as in the major French cities, there are a number of hotels that are not branded establishments and to which the Vignette brand can give this worldwide visibility.
Beyond luxury hotels, you undoubtedly have ambitions for all your brands.
E. V. - Our confidence in our future development lies in all the opportunities that present themselves in both major cities and medium-sized towns. Let me take the example of Paris, where we have 22 outlets. All our brands coexist there, offering distinct experiences to our customers. Similarly, there are a number of regional towns where several of our signs can be set up in parallel. As for Holiday Inn Express, with this budget brand, we can continue to cover the whole of the country, as it can be adapted to a wide range of destinations.
The last few months have seen the opening of a number of hotels in the south of France. Why this new direction?
E. V. - This can be seen as a covid effect, with a change in consumer expectations, with consumers now more interested in more regional and leisure destinations. We recently opened the second hotel in France under our Indigo boutique brand in Cagnes-sur-Mer. A Holiday Inn Express in Arcachon-La Teste, on the Atlantic coast, has also been inaugurated, while we await another establishment under this brand in Ajaccio. We have also concluded the Crowne Plaza project in MarseilleIn Cannes, a Staybridge Suites extended stay hotel is due to open shortly. This extended stay brand, first developed in the United States, has started to grow significantly in the United Kingdom. It will be making its debut on the French market. We are seeing real demand from customers and investors alike for this type of long-stay accommodation. Hence real potential for Staybridge Suites in France.
Your Holiday Inn family of brands - Holiday Inn and Holiday Inn Express - is evolving rapidly. What's the current state of play and how does it meet the expectations of business travellers?
E. V. - Today, 90% of our hotels have already set up these new areas or are in the process of renovating them. This ambitious project is coming to an end at just the right time, as the pandemic means that customers are increasingly looking for ways to combine leisure and business. At Holiday Inn Express, for example, customers will find a new-generation room that capitalises on the new expectations of business travellers with flexible workspacesThe new range includes a breakfast bar, an ergonomic chair and an intelligent TV. In addition to the brand DNA based around breakfast and quality WiFi, the design is warmer and more contemporary. The same is true of Holiday Inn, which has upped its game to meet the needs of its customers, with a open lobby concept combining in a single design space the reception, the bar, leisure areas where you can relax, and other more business-like areas where you can work according to your needs. Thanks to this open lobby, customer satisfaction has risen by more than four points. This also translates into an increase in catering sales and other ancillary revenues, because customers like it there and spend more time there. All in all, we're very proud of what we've managed to achieve in these complicated times.
