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Accor targets upscale growth

BERLIN, GERMANY: Accor is aiming to grow its upscale and luxury network by 100 hotels in two years across its Sofitel, Pullman, MGallery and Grand Mercure brands.

The company made the announcement at the ITB trade fair in Berlin, Germany, yesterday (Mar 6) and the push would see the number of upscale/luxury hotels in Accor to jump from 300 to 400 by 2015.

“One can now count on a strong European voice in the luxury and upscale market. Our brands combine the best of international standards with French style,” said Accor’s President and Chief Operating Officer, Yann Caillère.

“Our ambition for our brands and their networks are immense and we are ready to expand rapidly in this market.”

He said given the company’s strong leadership positions in Latin America, Middle East, Africa and Asia Pacific, Accor “is well positioned to capture the new and rapidly growing demand from emerging-market clients, seeking a different experience of luxury and high-end hospitality”.

Currently, 42% of the Group’s luxury/upscale hotels are located in Asia Pacific and 35% are in key European cities and development will be “conducted with an asset-light focus with a prominence of management contracts”, according to Accor.

Focus will be on emerging markets, including Latin America, Middle East and Asia Pacific (which alone counts for over 60% of the current pipeline in key countries including China, Vietnam and Indonesia).

The segment’s gross revenue increased by 15% in 2012.

Simultaneously, Accor also unveiled a second tailor-made adaptation of the Grand Mercure brand with the launch of the Maha Cipta brand in Indonesia.

“After the successful launch of the tailor-made brand Grand Mercure MeiJue in China, we are launching Grand Mercure Maha Cipta on a market where we are already the leading player,” said Accor’s Global Chief Marketing Officer, Grégoire Champetier.

“We have tailored Grand Mercure for local travellers looking for regional inspirations. Our clients are expecting brands capable of understanding the diversity and the complexity of their identity. To meet these expectations, we intend to continue the development of the Grand Mercure brand in other key regions.”

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HM flew to Berlin with British Airways. BA flies daily to Berlin the author recommends flying in Club World (Business Class), which features flat-bed seats, hundreds of hours’ entertainment on demand, a great selection of wine and some of the best meals in the sky. For bookings, visit www.ba.com

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