OAG Travel News

With 11 brands in some 100 countries and growing, the unassuming French group seems set for world domination in the hospitality sector. Jonathan Hart reports

The French, it is sometimes argued, have always hidden their colonialist tendencies under a bushel, quieter or less spotlighted than other nationalities.

Similar qualities might be argued for Accor, a dominant force in the global hospitality industry but not generally recognised as such. A name that sits somewhere near the surface of the subconscious, and purposely so in an era where globalisation with brand-first identity is the accepted corporate norm.

The recent launch of Pullman Hotels brings the Paris-based conglomerate's brand portfolio into double figures in almost 100 countries, the average traveller expected to absorb little more than the fact that with all the familiar business trappings, it is fashioned around an updated, hi-tech interpretation of the luxurious steam trains of a bygone age.

The fact that Accor is the parent company of Pullman or any other of the French company's brands that might be tailored to his or her needs, budget or location at any particular time, is frequently overlooked.

Yet delve beneath the surface and you'll find Accor's central aegis stamped all over more than 4,000 hotels, ranging from budget motels to upper upscale palaces. And not just in occasionally apparent French style or touches. In an industry that confusingly can be segmented between investors, owners, managers, franchisees or providers, Accor is the whole global ball of wax. Hotel conceptualist and designer, too, plus plenty more besides.

Accor modestly describes itself as Europe's leading hotel group and global provider of corporate services. In fact, only 50% of the group's properties are in Europe, split roughly half and half between France and the rest of the EU.

With a further 28% in North America and 11% in Asia/Pacific, you'll find few hotel groups repre-sented in so many countries, with more than 170,000 employees across the world. Or discover few, if any, with separate services feeding business and public institutions with expense management systems, voucher schemes and environmental programmes in more than 40 countries.

Accor's hotel division alone operates on a non-stop roller coaster, creating fresh ideas, developing and tweaking concepts, identifying new areas of opportunity, maximising returns, buying and divesting itself of real estate, and frequently retaining management contracts and investing in new properties. All in a 36-hour week.

An example of this was the group's takeover of the 52 hotels in Germany's Dorint group early last year and feeding them into its network, before later divesting itself of 57 of its properties in France and Switzerland to invest elsewhere, while retaining management of the sold hotels.

Largely shielded by its well-known brands, Accor operates by constantly shuffling, repositioning, upgrading or adding to its multi-tier pack to feed forecast market demands.

As a new hotel business model recently presented to investors and analysts shows, it has five current priorities. These include adding brands to further segment and increase market share in the European mid-scale sector; doing the same in Europe's budget sector; expanding franchises and capitalising on a new motel room concept in the US; growing the parent company's footprint in emerging countries with more economy and mid-scale hotels; and further segmenting upscale and luxury brands worldwide to cover more fragmented demand for products and services.

Allied to this is a plan to double the pace of growth to add a further 200,000 rooms to the portfolio by 2010. All suggesting that a swathe of new travellers will be joining the new French revolution. Even if they don't know they're staying at an Accor.

Accor brands

Hotels

Sofitel: defined as upper upscale with all luxury amenities; 190 properties in key locations worldwide
Pullman: new business savvy/ meetings brand; convivial, stylish, hi-tech; 45 in 23 countries, being expanded to 200 properties by 2015; ultimately 300 or more
Novotel: contemporary business/leisure hotels close to transport networks; 388 in 39 countries
Mercure: all-purpose, flexible mid-market brand; 750 in 49 countries
Suitehotel: recently introduced three star chain with low-cost Internet access; rooms designed to be privatised and/or adaptable to customer needs. Up to 100 hotels in Europe by 2012
Adagio: mid-market, fully equipped, hi-tech apartment brand; 21 in four (European) countries; 50 by 2012
All Seasons: launched in Australia; non-standardised economy chain of 50- to 100-room hotels in city centres and key locations; 40 in Europe by mid-2008, 10,000 rooms by 2010 and further expansion planned worldwide
Ibis: budget, 24-hour service hotels; 761 worldwide
Etap: budget hotels with unlimited breakfast buffets, 24-hour vending machines; 366 in 11 European countries
Formule1: budget chain; 373 in 14 countries
Motel 6: budget motel chain; 850 in North America and growing

Travel Brands

Accorthalasia; Compagnie des wagon-lits; GR Servicos de Alimentacao; Club Med; Pullman Orient Express; Groupe Lucien Barrière; Lenôtre; plus travel agencies, restaurants, casinos

Accor Services

Ticket Restaurant (vouchers);
plus others
Website: www.accor.com