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The Skift New Luxury newsletter is our weekly newsletter focused on the business of selling luxury travel, the people and companies creating and selling experiences, emerging trends, and the changing consumer habits around the sector.
Before buying the Fairmont, Raffles, and Swissôtel brands in 2016, AccorHotels wasn’t really known as a high-end operator.
Granted, it had the likes of Sofitel and Pullman but it was lacking in options. The $2.7 billion deal changed all this, making Accor a much bigger player in the luxury market.
The pending acquisition of Mövenpick Hotels & Resorts, announced Monday, helps move the needle even further. Mövenpick gives AccorHotels a deeper footprint in the upper upscale space.
Is it possible that Accor might want to add more luxury brands to its portfolio in the future? Maybe. Saudi conglomerate Kingdom Holding Co. owns 33.3 percent of Mövenpick and 6 percent of Accor. It also has a sizable stake in Four Seasons Hotels and Resorts.
Four Seasons would certainly cost a lot more to buy than the $567 million Accor paid for Mövenpick but with its capacity for dealmaking we probably shouldn’t rule anything out. On the other hand, even Accor has to answer to shareholders when it comes to fiscal responsibility.
— Patrick Whyte, Europe Editor
5 Looks at Luxury
Accor Pushes Further Into Luxury With $567 Million Mövenpick Deal: Where there is smoke there is fire and Sebastien Bazin’s comments at Skift Forum Europe last week hinted at an imminent deal.
Luxury Hotels and Tours Get a Family-Friendly Makeover: Affluent families increasingly want to take the kids with them on vacation instead of leaving them at home, so luxury hotels are coming up with creative ways to keep the kids entertained and parents satisfied with their experience.
Airlines Would Prefer Passengers Stop Stealing Their Bedding: On the one hand, airlines are improving the flying experience — at least for business class — so much that passengers want to take a piece home with them. On the other, blanket theft is bad for the bottom line. We’re pretty sure carriers don’t have this problem in coach.
China’s Ctrip Invests in a U.S. Company That Wants to Bring Back Supersonic Travel: Why did Ctrip invest in Boom? We’re not sure, and neither is the writer for this story. It seems like a strange choice, no? Remember, this is a company that owns sites like Skyscanner and Trip.com.
U.S. Hotel Company Changes Name to Shift Toward Luxury Properties: Hoteliers are obligated to follow the money and consumer trends, even if that means dissing the name of one medieval castle in favor of another.