Mehdi Hemici (Accor): "The ALL programme is on the right track".

Announced at the beginning of 2019, at the same time as PSG's shirt sponsorship, the details of the ALL loyalty programme were not actually presented until the end of 2019, in December. In other words, a few weeks before the start of the pandemic. Has its growth been affected?

Mehdi Hemici - Indeed, our momentum was completely halted by the pandemic. Of course, during this dark period, the programme somehow continued to be visible through all the matches of the Paris Saint-Germain behind closed doors, where the players wore the new brand on their shirts. But, for example, everything we had planned for our members with PSG had to be put on hold. Then the lights came back on and tourism started up again. We were able to start relaunch the ALL brand around a dual strategy. On the one hand, we are promoting booking with the all.com platform, where all our brands are represented. Through this platform, we are making a very strong promise in terms of better prices and value for our customers. And, for those who are members of the loyalty programme, the associated points. On the other hand, we are highlighting the unique experiences that members of the ALL - Accor Live Limitless programme can enjoy, which will further enhance their loyalty. To achieve this, we now offer more than 2,000 experiences a year across our global network.

What is the current status of the ALL programme? Has it been adopted by your customers?

Mehdi Hemici - What I'm particularly pleased to see is the awareness and understanding of this programme. We surveyed 35,000 travellers worldwide and asked them to say, without prompting, whether or not they knew this brand and what it meant to them. We then measured these indicators against those of our competitors, in particular Marriott Bonvoy. We are on the right trajectory. In terms of brand awareness, ALL reached the level of Marriott Bonvoy a year late. This is logical, as the Marriott Bonvoy programme was launched a year before us. On the other hand, we are ahead in terms of understanding the programme. The ALL brand spontaneously evokes three things in travellers' minds: hotels, a loyalty programme and a booking platform.

How do you compare with Marriott Bonvoy, which boasts over 177 million members?

Mehdi Hemici - Marriott Bonvoy is slightly ahead of us when it comes to associating this brand with hotels, because the Marriott name can be heard in the Bonvoy programme, whereas Accor no longer appears clearly in the ALL programme. Which is still quite bold. Alongside Accor, our corporate, B-to-B and consumer brand is ALL. It's a powerful brand, since we score much higher than our competitors in terms of awareness of what ALL stands for, i.e. a booking platform and a loyalty programme. All this means that we're on the right track. The final question is how to recruit more and more members and further activate our loyal customer base.

How far have you got with recruitment?

Mehdi Hemici - We've had an absolutely record start to 2023. If we look at the acquisition of new members in the first half of 2019 by our former loyalty programme, Le Club AccorHotels, we record growth of 95% over the same period this year. We have doubled this number, mainly through our digital channels and recruitment in our hotels. This means that the programme is more attractive. It's easier for customers to join and they understand the benefits. However, we have not yet won our bet.

And what kind of bet is this?

Mehdi Hemici - Today, between a member and a non-member, the repeat rate is doubled. That's why we aim to recruit as many customers as possible, so that they understand the benefits of our services. the richness of the programme and return to our hotels via all.com. Once they have registered and downloaded the application, we get to know them, support them and anticipate their needs. All these objectives are based on a solid foundation, in particular the fact that all.com is seen as an indispensable tool for hotel reservations. With 5,300 hotels in 110 countries, we are the number one hotel player in many regions of the world. With our 40 brands, we can offer our customers, wherever they are in the world, accommodation that matches their budget and the reason for their trip. Booking anywhere in the world via all.com is almost self-evident. That's the message we're going to get across with the launch of our "That's ALL.com" advertising campaign.

Several major hotel groups, such as IHG and Radisson, have recently overhauled their loyalty programmes, emphasising faster acquisition of points and easier access to different statuses. Conversely, like Marriott Bonvoy, the ALL programme focuses on experiences, passions, sport, music, gastronomy and travel. Why these two philosophies?

Mehdi Hemici - We wanted to be somewhere in between. In other words, with a programme that wasn't just transactional, in line with the idea of enhanced hospitality defined by Sébastien Bazin. And so, with an exciting programmeWe've also signed up to a number of strong partnerships. To achieve this, we have signed strong partnerships (editor's note: with PSG, but also with events giant IMG, show organiser AEG and event booking platform Fever). In 2019, these experiences, which were more limited in number, represented 3% of the points burn. Today, the figure is 12 %. This means that four times as many points are being used by our members to treat themselves to experiences.

From a financial point of view, is it worthwhile for your loyal members to burn up their points through experiences rather than in hotels?

Mehdi Hemici - Expired points may be more lucrative for us financially, but this is not the purpose of a loyalty programme. The virtuous circle is to see points used up before they expire. In this context, our scale clearly gives priority to our core business. In other words, 2,000 points are worth €40 for hotel consumption, whereas 2,000 points are worth just €20 for experiences. Their value is slightly lower, but as an alternative we offer some quite exceptional things, such as the ALL Dream Tournament organised at the Parc des Princes, where members could take part in a football tournament with PSG legends. A customer who commits to an experience has three times more retention than a customer who does not.

But aren't business travellers more interested in the mechanics of a programme, its different statuses and the points earned? Do experiences speak to them?

Mehdi Hemici - It's true, the business traveller is very focused on his experience as a hotel guest, the recognition he can gain within the establishment, and the possibility of accumulating points so that he can stay privately afterwards. But there are many people today who understand that the ALL programme can offer them something else, experiences that they can share with family members, such as going to a concert or a football match. We do a lot of awareness-raising around this.

At the end of the day, it's these experiences that really set ALL apart from a traditional loyalty programme.

Mehdi Hemici - Absolutely. I used to say that loyalty isn't a destination, it's a journey. When we are able to accompany our most loyal customers through their hotel stay but also between each staySo that they can benefit from experiences that remind them of the richness and quality of the programme, we've won. Our customers think of Accor in their everyday lives, and share it with their families and friends. Then, when they travel, our hotels become the obvious choice.

This idea of bringing your programme to life between two hotel stays is also behind the launch of the ALL-VISA co-branded credit card in autumn 2021. How has it evolved since then?

Mehdi Hemici - The ALL card works well. It's important to remember that choosing a credit card is a very personal decision. Even though we say that you can change your card without changing bank, it's not a natural step in France, unlike in the United States or the UK. So it will take longer to mature, but the use of these cards is a great success90%. The people who have taken it up are actually using it, with average expenditure levels much higher than we had imagined. This means that once it has been adopted, it is actually being used. That's a very good sign. Now we need to convert more business and leisure travellers who don't necessarily have this reflex.

Will it be deployed in markets other than France?

Mehdi Hemici - We've started with France, but we're going to develop it further in other countries European, of course.

Will new partnerships be added to the programme in the future?

Mehdi Hemici - In terms of partnerships linked to the frequent flyer programme, we have the largest number of airlines listed compared with all the other programmes. And above all, ALL is the only one to have cross-fidelity agreements. "Miles + Points with three companies: Air FranceQatar Airways and Qantas. At the end of the year, we will be duplicating this action with a fourth airline, this one North American. No other hotel loyalty programme in the world offers this kind of wealth.

As for exclusive experiences, Accor is a partner in two major events soon to take place in France?

Mehdi Hemici - We will be able to offer our members unique new experiences during the Rugby World Cup, which starts in September 2023, and then in 2024 during the Rugby World Cup. Olympic Games for which we are also partners on the organising committee. We're going to give our members the opportunity to attend the competitions and take part in the opening ceremony using their points. It's a way for them to gain access to what is currently unattainable.