NH Hotel Group’s Post

Hotel Lotte Co., a leading hospitality and travel retail giant in South Korea, is ramping up its global expansion efforts following a successful year for its hotel and resort business in 2023. Lotte Hotels & Resorts, the hotel unit of Hotel Lotte, is planning to open new properties in both domestic and international markets. This includes the introduction of the premium boutique hotel chain L7 in Seoul and negotiations to manage two hotel properties in South Jeolla Province. With a diverse portfolio of hotel brands such as Signiel, Lotte Hotels, L7 Hotels, Lotte City Hotels, and Lotte Resorts, as well as the VL senior home brand, Lotte Hotels & Resorts is strategically expanding its footprint. The company is focusing on Vietnam, with plans to introduce L7 hotels in key cities like Ho Chi Minh and Da Nang following the success of L7 West Lake Hanoi. In the US, Lotte recently rebranded the Kimpton Hotel Monaco Chicago as L7 Chicago By Lotte, marking a significant investment in the market. Additionally, Lotte is preparing to launch a new L7 hotel in Busan, South Korea's second-largest city. Overcoming past challenges related to diplomatic tensions and the COVID-19 pandemic, Lotte Hotels & Resorts is now gaining momentum in its global expansion drive. The company aims to become Asia's top hotel brand, with plans to operate 200 hotels by 2030. Driven by strong financial performance, Hotel Lotte achieved its highest-ever hotel business revenue of W1.3 trillion ($960 million) in 2023, with an operating profit of W468.8 billion ($350 million) solely from hotel operations. This underscores the growing significance of the hotel business within Hotel Lotte's overall revenue mix. To support its expansion plans, Lotte is adopting an asset-light strategy, focusing on hotel management consignment agreements to enhance the global presence of the Hotel Lotte brand. By leveraging this approach, Lotte aims to ensure sustainable growth and strengthen its position in the competitive global hospitality industry. Source: The Korea Economic Daily #GlobalExpansion #LotteHotels #HospitalityIndustry #TravelRetail #L7Hotels #AsiaHotelBrand #AssetLightStrategy

How many hotels with the same brand should one operate in the same micro neighbourhood? Take Accor who operates 6! Ibis Budget Hotels in Geylang, Singapore district, all within walking distance (20 hectare space)... Likely the most densely operation of any single hotel brand, worldwide.... With APAC region poised to grow 1000s of hotels especially in the economy and midscale segment, I am not sure if positioning such well regarded hotel brand as Ibis (and Ibis Budget) in the red light district of Singapore... The ibis, ibis Styles, ibis budget case is obviously truly unique, but there are many examples whereby hotel management companies operate two different brands of their portfolio in buildings literally next to each other (100s of examples) or even more extraordinary, operate two different brands within the exact same building, expecting the guests to use the same elevators (Holiday Inn Express London Heathrow T4 + Crowne Plaza London Heathrow T4 Hotel) In all of the above cases, I am curious what the best and most optimal price positioning strategy should be for these individual hotels, to optimise the asset for their respective owners. The lack of competition would create a sub optimal situation.... At SpotQuest we don't assume, but we put those hypothesis to the test.... Enrol here to get the series of insights in above (and more market and location) studies.... Link to register: https://lnkd.in/dyUGiNnz #LocationIntelligence Munir Al Sharafi Moustafa Manoon SpotQuest TravelGenius Pte Ltd Sachin Chauhan Thibaut Paquet Tom Meyer

Behold the largest Mercure hotel in the world with nearly 1,000 rooms which opens in Singapore today. It's a towering achievement for Worldwide Hotels Group, which started with one budget Hotel 81 in 1995 in Singapore's red-light district, Geylang. Look where it is now – in the city-center with a gleaming ‘Mercure Icon’. It bought the land plot in late 2018/early 2019 for S$562 million. So congrats Carolyn Choo (and also Accor’s Garth Simmons and Andrew Langdon). Read the inspiring story of Worldwide Hotels here: https://lnkd.in/gB7HQ79P The massive hotel on Club Street soars over rows of pre-war houses in the heart of Chinatown close to the CBD. It is guaranteed to be a serious competitor to other hotels, given the attractive location although I understand the largest room size is 22sqm. But hey I've stayed in an 18sqm room at YOTEL Singapore, which totally convinced me it's not what room size you have, but the chops to make the room feel larger than it is. Hopefully rates at this newcomer are 'smaller' too as I keep getting remarks that Singapore is getting to be more expensive (not just the hotel rates). The city definitely needs more midscale hotels such as this, but even more critical are hotels that are a rung or a few rungs below the Mercure or Ibis brands, but done and operated in smart ways. A kind of irony is that Worldwide started as a low budget chain and is perhaps one player that can reinvent the category with all the insights the company has acquired by now. #midscalehotels #Singaporehotels

📈 Evolving Dynamics in Hotel Room Occupancy: A Strategic Insight for Indonesia As we delve into the occupancy metrics for star-rated hotels over the past year, it is evident that the industry is witnessing a significant shift. The data for 2022 and 2023 paints a picture of resilience and growth, particularly in the upper-upscale and luxury segments. In 2023, we saw a solid increase in room occupancy across 3, 4, and 5-star categories, with the 1 and 2-star segments maintaining a relatively stable occupancy rate. The most significant growth was observed in the 5-star category, which experienced a 6.2 percentage point (pp) lift, ascending to 55.1% from 48.9%. This outpaced the 4.3 pp increase of 4-star hotels and the 2.8 pp uplift of 3-star establishments. Moreover, except for the 1-star category, all the star classifications achieved higher occupancy rates in 2023 than their long-term averages. This is a testament to the sector's agility and the evolving consumer preferences, steering towards quality and excellence. As a seasoned hotel investment advisor, I interpret these shifts as indicators of a maturing market with discerning clientele. Investors and hoteliers should note that the demand for luxury and comfort is on the rise, and our strategies should align with these consumer trends to capitalize on the upward trajectory. For those invested in the future of hospitality, the message is clear – there is significant merit in enhancing the guest experience and services, especially in the higher-end market. Let us continue to pave the way for innovation and strategic growth in Indonesia's hospitality industry. 💹 [Source: BPS Statistics Indonesia data and PT. Hotel Investasi Strategis] #HotelIndustry #OccupancyRates #Hospitality #InvestmentInsights #StrategicGrowth #LuxurySegment

Congratulations to the Grand Hyatt Singapore, who re-opened (partially), today, after almost 2 years hiatus, following a multi million USD renovation. Unlike the recent opening of the Peninsula in London, the Luxury market in Singapore is less diverse and significant, resulting in a less pronounced impact to the hotels currently in operation in Singapore (see London Peninsula case study https://lnkd.in/dJUxgjAy) The phased re-opening of the Grand Hyatt also reduces the immediate impact, however, given the size, Grand Hyatt brand credibility, and prime location, one may expect the Grand Hyatt will impact the Orchard Road Hotel RGI and RevPAR significantly, once they re-launched all their inventory. Like in most studies we published thus far, also in Singapore one can observe a very diverse mix of hotels and brands directly competing among each other - see table below. Note Study included all hotels in Orchard road area and leading Singapore Luxury Hotel brands.

🏖️ The last resort ⛵ 🇻🇳 Foreign investors are buying into the Vietnamese resort and hotel realty market, lured by the prospect of a full market recovery, according to experts. 🎯 International investors have bought out Vietnamese properties through mergers and acquisition (M&A) deals, they said. Foreign investors are in the market for top-notch hotels and resorts in urban hubs like Hanoi and Ho Chi Minh City. 🏨 International hotel brands have steadily expanded their presence in Vietnam, increasing from under 50 branded hotels in 2013 to nearly 200 now. 💡 Last year, Marriott International, Inc. signed agreements with Vinpearl, Vietnam’s largest hospitality and leisure chain, for an additional seven hotels and resorts, comprising more than 2,500 rooms. Three of them were conversions, namely Nha Trang Marriot Resort & Spa, Renaissance Hoi An Resort & Spa, and Da Nang Marriott Resort & Spa. 🏗️ Meanwhile, four new builds comprising more than 1,200 rooms are expected to become operational by 2028. 🗣️ According to Rajeev Menon, President of Marriott International’s Asia Pacific Excluding China, the move aims to strengthen the corporation’s presence and better meet demand in the country. 📍 It currently operates 16 hotels and resorts in the Southeast Asian nation, with a strong development pipeline, he said, adding debuts of several exciting brands are expected in the country in the coming time, including the Ritz-Carlton, Westin Hotels & Resorts, Element by Westin, and Courtyard by Marriott. 🤝🏼 Besides, Singaporean-based Lodgis Hospitality Holdings Pte Ltd joined hands with Hanwha Group from the Republic of Korea to invest in hotel projects in several Asian countries, including Vietnam. Lodgis hopes to operate 10,000 rooms by 2025 as compared to the current 1,950 under the Maida Resort, Ixora and Hiive brands in Vietnam and Cambodia. 💹 The Vietnam Association of Realtors (VARS) said that up until recently, the resort realty market was gloomy, with nearly 3,200 products launched into the market in 2023, falling 80% year-on-year, and only 700 apartments absorbed. https://lnkd.in/gTiuRdaY

📈 Growth of Luxury Hotel Rooms in Bali (1973-2022) Bali, the Island of Gods, has been a paradise for travelers and a thriving hub for luxury hotel chains. Over the last five decades, there's been a notable growth in luxury room nights supplied, growing at a CAGR of 6.4%. Let's dive into the trends: Starting Point: The journey began in 1973 with the Bali Hyatt, providing about 105,000 room nights. It adopted Bali-style architecture on its main buildings. The 1980s Expansion: The Oberoi Beach Resort Bali marked its entry in 1978, and by the end of the decade, room nights stabilized around the 130k mark. The Boom in the 1990s: A significant surge occurred in 1991 with the introduction of the Four Seasons and Grand Hyatt. The supply jumped to 377K room nights, almost tripling from 1990! Steady 2000s: The numbers consistently hovered around 790k room nights for most of the early 2000s. Diversification: The period post-2004 saw multiple luxury chains venturing in: 2004: Conrad Bali Resort & Spa 2011: W Bali Seminyak 2013: Sofitel Bali Nusa Dua Beach Resort 2014: Ritz-Carlton Bali 2019: The Apurva Kempinski Bali Current Landscape: By 2022, Bali boasted almost 2.2 million luxury room nights! Insights: The 1990s marked the beginning of Bali's ascent as a global luxury destination with major chains establishing their presence. Despite global economic fluctuations and challenges, Bali's luxury hotel sector showcased resilience, with new brands entering and existing ones expanding. As Bali continues to enchant visitors worldwide, the luxury hotel segment is poised for more innovations and growth.🥂 #Bali #HotelIndustry #LuxuryTravel #GrowthTrends #Hospitality

An interesting article about how major hospitality players like Singapore's Dao by Dorsett are moving into the ApartHotel space. Their flagship property in Singapore, a transformation from Oakwood Premier, now emphasises flexibility, allowing for both short and long stays. The brand’s focus on personalisation and local collaborations, such as fresh produce suppliers and sustainable toiletry brands, further enhances guest experience. Similarly, Quayside JBCC, operated by Oakwood, an Ascott Hospitality brand, will provide guests with an elevated experience. Investing in branded ApartHotels ensures your investment is hassle-free while protecting its value. #LinkedInPost #HospitalityInnovation #Aparthotel #TravelTrends #PersonalizedExperience #sustainablehospitality

📈 Growth of Luxury Hotels in Bali (1973-2022) Bali, known for its picturesque landscapes and rich cultural heritage, offers a diverse range of hospitality experiences. While the island does house grand establishments with several hundred rooms, it's intriguing to see that many luxury hotels have a limited number of rooms, emphasizing exclusivity and intimacy. The original Amans like Amandari, Amankila, and others indeed fall into this category. These boutique luxury hotels, with their unique offerings and personalized services, have undeniably played a significant role in molding Bali's reputation as a premier luxury travel destination. The emphasis on boutique luxury, as epitomized by brands developed under visionaries like Pak Adrian Zecha, ensures guests receive an unparalleled experience, deeply rooted in Balinese culture and elegance. This delicate balance between luxury and authenticity is perhaps what makes Bali stand out in the global hospitality landscape.

📈 Growth of Luxury Hotels in Bali (1973-2022) Bali, known for its picturesque landscapes and rich cultural heritage, offers a diverse range of hospitality experiences. While the island does house grand establishments with several hundred rooms, it's intriguing to see that many luxury hotels have a limited number of rooms, emphasizing exclusivity and intimacy. The original Amans like Amandari, Amankila, and others indeed fall into this category. These boutique luxury hotels, with their unique offerings and personalized services, have undeniably played a significant role in molding Bali's reputation as a premier luxury travel destination. The emphasis on boutique luxury, as epitomized by brands developed under visionaries like Pak Adrian Zecha, ensures guests receive an unparalleled experience, deeply rooted in Balinese culture and elegance. This delicate balance between luxury and authenticity is perhaps what makes Bali stand out in the global hospitality landscape.