Accor reveals 'record' 2012, 266 new hotels opened

By Peter Ruddick

- Last updated on GMT

Related tags: Franchising, Accor

Global hotel operator Accor opened 266 new hotels in 2012
Global hotel operator Accor opened 266 new hotels in 2012
Global hotel operator Accor has revealed it opened a record 266 new hotels in 2012 as the company's move to managed and franchised venues helped grow gross revenue by 11 per cent.

Revealing its results for the twelve months ending 31 December 2012, the France-based business announced gross revenue was up by 25 per cent for its managed and franchised hotels with annual like-for-like revenue for the group as a whole jumping by 2.7 per cent.

The strong performance for the business has continued throughout the year - like-for-like revenue in the fourth quarter of the year was up by 2.5 per cent.

Development

Revealing the growing contribution from the group's management and franchise fees, Accor explained 2012 had been another record year for development with 38,085 rooms opened in the year - 85 per cent of which are in buildings not directly owned by the company.

Across the world, the group beat its target of opening 35,000 rooms during the year.

The 'record' development has been driven mainly by emerging markets, including in Latin America, but also the 'robust changeover dynamic of existing hotels in Europe'.

28 per cent of the new rooms were opened in Europe. 

"In an economic environment that remains uncertain in Europe, and with demand still strong in most Asia Pacific and Latin American countries, Accor enjoyed a solid revenue performance in fourth quarter 2012, in line with prior-quarter trends," a company statement explained.

"The Group continued to transform its business model, with the rapid development of its hotel base.

"This transformation will be sharply accelerated between 2013 and 2016, with the objective of operating 40 per cent of rooms under franchise agreements, 40 per cent under management contracts and 20 per cent in owned and leased hotels," the statement added.

UK

The asset-light strategy adopted by Accor has been evident in the rapid growth in the UK of the MGallery and Mercure brands in particular.

Elsewhere, Ibis and Novotel concepts are also being expanded, including in London,​ and this year saw the opening of the first UK venue operated under the upscale Pullman brand.

Across the group, gross revenue grew in both the upscale and midscale and economy sectors with the economy sector holding up in Europe (up 0.8 per cent). Upscale and midscale segment hotels in Europe also posted increased revenue - up 1.3 per cent.

In the UK, revenue per available room (RevPAR) jumped by 4.7 per cent in economy branded venues - it also rose in upscale and midscale properties, by 2.3 per cent.

Related topics: Business, Hotels, Trends & Reports, Venues

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