Accor

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Accor S.A.
AccorHotels
Société Anonyme
Traded asEuronextAC
LSE0H59
CAC 40
IndustryHospitality
Founded1967
Founders
HeadquartersSequana Tower, ,
France
Number of locations
4,800 (2018)
Key people
Sébastien Bazin (President and CEO)
Brands
€3.61 billion (02/2019)
€2.284 billion (2018)
Total assets€11 billion (31/12/2018)
Number of employees
280,000 (2018)
Websitewww.accorhotels.group
www.accorhotels.com

Accor S.A., doing business as AccorHotels, is a French multinational hospitality company that owns, manages and franchises hotels, resorts and vacation properties.[1] It is the single largest hospitality company in Europe, and the sixth largest worldwide.[2]

Accor operates in 100 countries, with more than 4,800 hotels and 280,000 employees worldwide. Its total capacity is approximately 704,000 rooms. Accor owns and operates brands that cover every segment of hospitality: luxury (Raffles, Fairmont, Sofitel,...), premium (MGallery, Pullman, Swissôtel,...), midscale (Novotel, Mercure, Adagio,...) and economy (ibis, hotelF1,...). Accor also owns companies specialized in digital hospitality and event organization (onefinestay, D-Edge, ResDiary, John Paul, Potel & Chabot,...).[3]

The company is headquartered in Issy-les-Moulineaux, France, and is a constituent of the CAC 40 index in the Paris stock exchange.

History[edit]

From Novotel to Accor[edit]

In 1967, Paul Dubrule and Gérard Pélisson founded the hospitality group Société d'investissement et d'exploitation hôteliers (SIEH) and opened the first Novotel hotel outside Lille in northern France. Novotel, inspired by American motels, was a new concept in France, between high-end palaces and independently-operated hotels, offering comfortable rooms, a restaurant and a parking, with an industrialization model for rapid growth.[4][5]

In 1974, the first ibis hotel was launched in Bordeaux, France. Ibis was then considered a light version of Novotel.[6] In 1975, Novotel-SIEH acquired the restaurant brand Courtepaille and the Mercure hotels. In 1980, Accor acquired the Sofitel hotels (43 hotels).[7] In 1981, Novotel-SIEH entered the Asian market with the opening of a Novotel in Singapore.[8]

1983: Birth of Accor[edit]

In 1983, Novotel-SIEH acquired and merged with the group Jacques Borel International to create the Accor group, which was introduced to the Paris stock exchange the same year.[4] "Accord" means "agreement" in French.[9]

In 1984, Accor bought the Quiberon thalassotherapy center, which became the first of the Thalasso Sea & Spa brand,[10] and acquired the fine catering company Lenôtre the following year.[11] In 1985, Accor launched Formule 1, a brand of super-economy hotels conceived to fit between the uncomfortable no-star hotels and the reasonable standing of 2-star hotels. To achieve this, automated tellers were set up, rooms were shrunken, and only the bare minimum was included in terms of accessories. The hotels themselves were modular blocks manufactured in factories and assembled onsite to optimize costs.[12]

In 1990, Accor acquired the economy lodging company Motel 6 (536 motels in the United States).[9] In 1991, Accor acquired the Compagnie Internationale des Wagons-Lits, which owned Pullman Hotels and Resorts, Altea, and Europcar.[13] Accor also launched its new economy brand Etap hotel.[14] In 1994, Accor merged the Compagnie Internationale des Wagons-Lits with Carlson Travel Network to create Carlson Wagonlit Travel (now CWT).[15][16]

"Asset-light" realignment[edit]

In the mid-90s, Accor shifted its interest towards managing more luxury and premium brands, and moved towards an asset-light model to focus more on brand and product management, and less on property management. Internal business units were rationalized to create large-scale savings on global operations. Economy and midscale brands remained the group's cash cow and enabled it to invest in less profitable but strategic upscale and luxury brands.[17]

In 1997, Accor acquired the casino company SPIC, which became Accor Casino.[14] In 1999, Accor acquired the US-based economy lodging company Red Roof Inn (322 hotels), and announced the creation of Accor Economy Lodging to bring Motel 6 and Red Roof Inn under one roof.[18] In a consortium with Colony Capital and Blackstone, Accor acquired the hotel brands Libertel and Demeure (40 properties in Europe).[19] Accor settled in the United Kingdom with the opening of a Sofitel in the previous Cox & Co bank in Central London.[20]

In 2000, Accor took full control of Century International Hotels and Zenith Hotels International in Asia, bringing its number of hotels to 200 in the Asia-Pacific zone.[21] The Sofitel Philadelphia (former Philadelphia Stock Exchange Building) was inaugurated, the first Sofitel to open in the USA in a decade.[22] Accor bought 20% of the Polish hotel company Orbis.[23] In 2002, Accor settled in Mexico.[24] In 2004, Accor bought a 28.9% stake in the French all-inclusive holidays company Club Méditerranée.[25]

In 2005, Gilles Pélisson, nephew of Accor's co-founder Gérard Pélisson, became Chairman and CEO of Accor.[26] In 2006, Accor sold its shares of Club Med,[27] and Red Roof Inn in 2007.[28]

New multi-brand strategy[edit]

In 2007, Accor launched the serviced-apartments brand Adagio in a 50/50 venture with Pierre & Vacances,[29] relaunched Pullman as a premium hotel brand,[30] and the Australian All Seasons as a global midscale hotel brand. In 2008, Accor launched the MGallery collection of upscale "personality" hotels.[31] In 2010, reviews from TripAdvisor were embedded on some of Accor's property websites, a first in the industry.[32] In 2010, Accor split its hotel activities from its voucher activities, Accor Services (which became Edenred).[33]

In November 2010, Gilles Pélisson was replaced by Denis Hennequin at the head of Accor.[26]

In 2011, Accor revamped the ibis brand by creating ibis Styles (formerly All Seasons) and ibis budget (formerly Etap Hotel).[34] The group sold the fine catering group Lenôtre,[35] and the Compagnie Internationale des Wagons-Lits. In 2012, the group launched the regional premium brand Grand Mercure in China (MeiJue),[36] and sold Motel 6.[37] In 2013, Accor redefined its group business model on two core competencies: hotel operator and brand franchisor (HotelServices), and hotel owner and investor (HotelInvest).[38] The group acquired the premier apartment hotel brand The Sebel.[39]

In August 2013, Sébastien Bazin became Chairman and CEO of Accor.[40]

In 2014, Accor bought a 35% share in Mama Shelter (5 hotels) whose chief designer is Philippe Starck, [29] and the group signed a strategic alliance with the China Lodging Group (Huazhu Hotels Group - 1900 hotels) to develop its hotel brands in China.[41] The group started to roll out the digital check-in process in all of its hotels.[42]

Integrated hospitality platform[edit]

In June 2015, Accor changed its name to AccorHotels and announced the rollout of a new digital strategy to federate its brands.[43]

AccorHotels acquired FRHI Hotels & Resorts in 2015, owner of the Fairmont, Raffles, and Swissôtel luxury hotels.[44] In 2016, AccorHotels acquired the concierge and loyalty service John Paul,[45] the London-based short-term vacation rental company onefinestay,[46] 30% of the German 25hours Hotels, and 30% of the Miami-based accommodations provider Oasis.[47] AccorHotels also launched Jo&Joe in 2016, a new hotel brand custom-made for the millenials,[48] and the group signed a strategic alliance with Singapore's Banyan Tree.[49] HotelInvest was spun off.[50] In 2017, AccorHotels acquired the B2B hotel service provider Gekko,[51] the private sales website for hotel deals VeryChic,[52] and merged Squarebreak and Travel Keys into onefinestay,[53] and launched the MoodMatch app on its website through a partnership with Travelsify.[54] In 2017, AccorHotels also acquired 50% of the iconic brand Orient Express in a move to relaunch it as a luxury hotel brand.[55]

In 2017, the group announced its strategic intention (dubbed Accor Local) to broaden its marketing segmentation to locals, instead of targeting only visitors and travelers.[56] It also diversified its portfolio of assets with the acquisition of the fine catering company Potel & Chabot,[57] and the event and entertainment organization company Noctis (renamed Paris Society).[58]

In 2018, AccorHotels sold 55% of HotelInvest for €4.4 billion[59] and launched a tender offer to take full control of Orbis.[60] AccorHotels acquired the Mantra Group (134 hotels under the brands Mantra, Peppers, Breakfree, Art Series),[61] the Mövenpick Hotels & Resorts (84 hotels in 27 countries),[62] and the restaurant reservation and table management company ResDiary.[63] AccorHotels partnered with Katara Hospitality to set up a $1-billion Africa-focused investment fund.[64]

In 2019, AccorHotels changed its name back to Accor and announced the planned launch of a new loyalty program (ALL - Accor Live Limitless) encompassing all of the group's brands.[65] The 21c Museum Hotels acquired the previous year were added to the MGallery collection, giving Accor 8 new properties in the US.[66] Accor merged its previously acquired digital marketing companies for hotels Availpro and Fastbooking to create D-Edge Hospitality Solutions,[67] and took full control of Orbis.[68] Accor launched the new midscale hotel brand Tribe.[69] After buying 50% of the SBE Entertainment Group (owner of Mondrian Hotels) in October 2018, Accor and SBE jointly launched the luxury hotel brand The House of Originals,[70] and the premium hotel brand Hyde in Australia.[71]

Company[edit]

Description[edit]

Accor is a French multinational hospitality company that owns, manages and franchises hotels, resorts, and vacation properties. It is the single largest hospitality company in Europe, and the sixth largest worldwide.[3]

Accor operates in 100 countries, with more than 4,800 hotels and 280,000 employees worldwide. Its total capacity is approximately 704,000 rooms. Accor owns and operates brands that cover every segments of hospitality : Luxury (Raffles, Fairmont, Sofitel,...), premium (MGallery, Pullman, Swissôtel,...), midscale (Novotel, Mercure, Adagio,...) and economy (ibis, hotelF1,...). Accor also owns companies specialized in digital hospitality and event organization (onefinestay, D-Edge, ResDiary, John Paul, Potel & Chabot,...).[3]

Accor S.A. is headquartered in Issy-les-Moulineaux, France, and is a constituent of the CAC 40 index in the Paris stock exchange.

Brands[edit]

Hotel brands[72]
Segment Name Since Partner
Luxury Raffles Hotels and Resorts 2015 FRHI Hotels & Resorts
Orient Express 2019
Banyan Tree Hôtels and Resorts 2017 Banyan Tree Holdings
Delano 2018 SBE Entertainment Group
SO/ 2007
Sofitel Legend 2007
Fairmont Hotels and Resorts 2015 FRHI Hotels & Resorts
SLS 2018 SBE Entertainment Group
Sofitel 1980
The House of Originals 2019 SBE Entertainment Group
Rixos 2017 Rixos Hotels
Premium Mantis 2018 Mantis Group
MGallery Hotel Collection 2008
Art Series 2018 Mantra Group
Mondrian 2018 SBE Entertainment Group
Pullman 2007
Swissôtel 2015 FRHI Hotels & Resorts
Angsana 2017 Banyan Tree Holdings
25 Hours 2017 25hours Hotels
Hyde 2019 SBE Entertainment Group
Mövenpick 2018
Grand Mercure 2012
Peppers 2018 Mantra Group
The Sebel 2013
Midscale Mantra 2018 Mantra Group
Novotel 1967
Mercure 1973
Adagio 2007
Mama Shelter 2014
Tribe 2019
Economy BreakFree 2018 Mantra Group
Ibis 1974
Ibis Styles 2011
Ibis Budget 2011
Jo&Joe 2017
hotelF1 1984
Other brands[72]
Brand Description Since
onefinestay Mobile application for short-term rentals of upscale apartments and houses. 2016
Mamaworks Coworking spaces (France). 2017
Wojo Coworking spaces (within the group's hotels). 2018
John Paul Digital and tailored concierge services. 2016
Potel & Chabot Upscale catering. 2017
Paris Society Organization of events and entertainment. 2017
D-Edge Hospitality Solutions Digital marketing solutions for hotels. 2015
Gekko B2B hotel reservations management solution. 2017
Verychic Private sales of hotels and luxury stays. 2017
Adoria Platform for the catering industry to optimize supply management. 2018
ResDiary Reservation and management of restaurant tables. 2018

Financial results[edit]

Financial results
Year 2010 2011 2012 2013 2014 2015 2016 2017 2018
Revenue 5,948 6,100 5,649 5,425 5,454 5,581 5,631 1,937 3,610
Net income 3600 27 (599) 126 223 244 265 441 2,233
Net debt 730 226 421 231 159 1,488 1,888 1,153

Management[edit]

Board of directors[edit]

As of May 2019:

  • Sébastien Bazin (Chairman and CEO of Accor)
  • Iris Knobloch (President Warner Bros Entertainment France, Vice-President of the board of Accor)
  • Sheikh Nawaf Bin Jassim Bin Jabor Al-Thani (Director)
  • Aziz Aluthman Fakhroo (Director)
  • Iliane Dumas (Director representing employees)
  • Sophie Gasperment (Independent Director)
  • Chantale Hoogstoel (Director representing employees)
  • Qionger Jiang (Independent director)
  • Nicolas Sarkozy (Independent Director)
  • Patrick Sayer (Director)
  • Isabelle Simon (Independent Director)
  • Sarmad Zok (Director)

Executive committee[edit]

As of May 2019:

  • Chairman and CEO: Sébastien Bazin
  • Deputy CEO, Hotel Operations: Chris J. Cahill
  • Deputy CEO, Finance, Communications and Strategy: Jean-Jacques Morin
  • Chief Digital Officer: Maud Bailly
  • Chief Talent & Culture Officer: Arantxa Balson
  • Chief Development Officer: Gaurav Bhushan
  • CEO Food & Beverage, Lifestyle: Amir Nahai
  • CEO New Businesses & Chief Disruption, Growth Officer: Thibault Viort
  • Group Chief Transformation Officer: Laurent Picheral
  • Chief Marketing Officer: Steven Taylor
  • CEO Europe: Franck Gervais
  • CEO Asia-Pacific: Michael Issenberg
  • CEO Latin-America: Patrick Mendes
  • CEO Middle East & Africa: Mark Willis
  • CEO North and Central America: Heather McCrory

References[edit]

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External links[edit]