What’s hot in F&B

Expect a slow recovery!

PANDOX

What’s hot in F&B

Expect a slow recovery!

MArKet InfOrMAtIOn frOM PAndOx – One Of eurOPe’S leAdInG HOtel PrOPerty COMPAnIeS nO. 2 • 2009

Market information from Pandox

2

Hotel NeWSexpect a slow recovery!The world is starting to look like a slightly better place now for the hotel industry since the credit crunch first hit. The financial market’s view of our business reflects this. In a report from Goldman Sachs – which downgraded the sector in 2006 and has maintained a negative standpoint ever since – the target price for the hotel industry has been upgraded from Sell to Neutral. Starwood has even been upgraded to Buy. This fundamental analysis is based on volumes stabilising first. Some of the major markets in the USA have started to show a slowdown in the rate of decline and the chances of occupancy evening out towards the end of the year have improved. Moreover, it’s assumed that the amount of new hotel capacity resulting from the credit crunch will be reduced over the next few years. All in all, this means that we could be seeing growth in RevPAR for the USA by the end of 2010.

Gradual developmentThe analysis is interesting and the argumentation stringent. It’s also supported by experiences from earlier recoveries. Of course, this opinion is very pleasing; but for the people who believe that their profitability issues will soon be a thing of the past, there could be a trap awaiting.

A normal recovery takes place over a number of stages. Firstly, volumes even out while prices continue to fall. Once the increase in demand is stable, occupancy starts gradually to increase. From this development phase, it normally takes a year before prices start to rise again and RevPAR really starts to pick up. Anyone hoping to see income levels back at 2008 levels soon is going to be disappointed. My cautious guess is that this will take at least five years from the time volumes start to rise. The Goldman Sachs report contains nothing about this. Nor can I find anything about how much of the anticipated demand is to materialise into profitability and increase cash flows. Looking at the current trend, the decline is still continuing. The only market showing a slowdown in the rate of decline is the high-price segment in New York, which is normally early to react to changes in economic climate.

So who wins?The first conclusion made by the report is that the world seems, once again, to be surviving. And once economic activity is on the increase again, demand in the hotel industry will rise – as is normal. The other conclusion is that it’ll take a long time for the hotel industry to return to acceptable profitability levels.

So where are the winners in this sector? Well, the companies which have mainly management and franchise agree-ments have low risk built into their models. They’ll see greater income via their fees when RevPAR rises. But at the same time, the upside is limited. Hotel companies with rental agreements seem to have greater potential; that is, pro-vided that they have efficient operating models. When the market turns, they’ll have good potential for improvement. Passive financial owners with no operating expertise of their own risk losing out. These are in the hands of major inter-national hotel companies which have little incentive to promote the interests of their owners in respect of improved cash flows. This requires emphasis on day-to-day operation with high levels of cost control, handling of special interests such as trade unions, and active support being given to local management teams. Often these companies are lacking exper-tise or resources in these fields. Nowadays they prefer to focus on brand care and what are known as brand standards.

So what options are available in order to buck the negative profitability trend and protect assets? One model is that the banks are becoming more active. Maybe we’ll see a new wave of distressed assets in early 2010?

Separate waysOne of the companies that has attracted attention is the Four Seasons Hotel, which was recently sued by owners in the USA. According to what we’ve been told, there have been constant refusals to adapt prices and outgoings to these hard times, and so profitability for the owners has been wiped out. According to Four Seasons, the motivation behind this is that their brand and standards must never be jeopardised. A spokesman for this luxury brand said in a report that “the owner has to stop running amok, we have more important things to worry about then chasing costs”. This is an example of what happens when brand integrity and the interests of the owners go their separate ways, and it shows what can happen when there’s an imbalance between risk and return. It’s not entirely unexpected that companies operating in the luxury segment are finding it hard to adapt and establish a flexible operating model - the people responsible for their investments are being hit hard!

So it seems that Goldman Sachs are correct in upgrading the sector. At the same time, there’s a lot of cleaning work to be done in the industry before the whole thing blows over. It may be worth reminding everyone that adjustments in the financial markets focus on actual economic changes which will take place a number of years into the future.

this year’s Hotel Market dayI’d also like to take this opportunity to welcome partners, clients, banks, advisors, formers of public opinion and media to our next Hotel Market Day. As defined by tradition, it’ll be taking place at the Hilton Stockholm Slussen, make sure you mark 18 November in your diaries. This year’s main theme will be “Short market trends – what will 2010 be like?”

All the best,Anders Nissen

PS. Stefan Lövgren, one of the biggest and best handball pros in the world, has come to the end of his active career. Stefan was thanked for his supreme efforts at a packed arena in Kiel, where he’s been playing for ten years; an out-standing setting which few Swedes get to experience. As a huge fan of handball, I’d like to thank Stefan for all the top quality entertainment he’s given us all for more than 15 years as a member of the Swedish team, with four golds at European level and one World Championship gold!

MayJust like living at the zoo?! Lindner Park & Resort recently opened its new zoo hotel in Hamburg. This is their 32nd hotel and it has 158 rooms and suites. This hotel is fitted out accord-ing to a range of themes, all taken from the animal kingdom. The scent of dried grass wafts over the Africa floor. The floor inspired by Asia is humid and smells exotic. The spa section is inspired by the Arctic.

Rezidor is opening its Park Inn Don-caster in May. This hotel, with its 87 rooms, is in the business district of the town; and it’s situated within walk-ing distance of the Keepmoat football stadium. This used to be a Purple Hotel.

CitizenM is opening its second hotel in Amsterdam. 215 rooms over a five-storey property located in the Princess district between the World Trade Center and the heart of the city. CitizenM – short for “citizen mobile” – is aimed at modern individualists; anyone from people travelling on busi-ness to tourists fascinated by culture.

Rezidor is establishing itself at the Gare du Midi railway station in Brussels. This hotel will have more than 140 rooms and aims to welcome its first guests in early 2011.

JunePandox is buying Vildmarkshotellet in Kolmården from Parks & Resorts Scandinavia AB. The hotel is situated outside Norrköping – some 150 km south of Stockholm – at Kolmården, the largest zoo in Scandinavia. The hotel has 213 rooms, a large confer-ence facility and a recently completed spa.

Courtyard by Marriott is being launched in Turkey. The first Courtyard, with 262

rooms, is opening at Istanbul’s inter-national airport. The hotel is designed primarily for European business trav-ellers who are looking for all their home comforts and who appreciate modern design.

editorial: Anders Nissen, Annelie Sundström Aguilar, Michaela Borg, Anette PaulssonPandox AB • Box 5364 • 102 49 Stockholm • Tel.: +46 (0) 8 506 205 50 • Fax: +46 (0) 8 506 205 70 • E-mail: pandox@pandox.comVisiting address: Grev Turegatan 44Graphic design and production: n3 KommunikationPhotographs: Ulf Blomberg, Shutterstock and others.Printing: JMS Mediasystem, September 2009. Reproduction only by permission from Pandox.Cover photo: Shutterstock

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Market information from Pandox

3

Hotel NeWS Low liquidity in the market

The market on the market

The global transaction volume over the second quarter increased by 3 % com-pared with the first quarter of 2009. This may be an indicator of brighter times ahead, although it’s too early to be too optimistic. The figures for the second quarter are the first to have shown an increase since 2007.

Europe, the Middle East and Africa represent the biggest decline in transac-tions in absolute figures over the first six months of the year. Sales closed at USD 1.9 billion. This was a decrease of 76 % compared with the first six months of 2008. In America, sales for the same period amounted to USD 1.0 billion, a decrease of no less than 86 %. Asia represented the lowest transaction volume, with USD 0.9 billion; equivalent to a decline of 55 % compared with the pre-vious year.

Of the total number of transactions that took place, only 13 exceeded USD 100 million, compared with 34 over the first six months of 2008. This is due mainly to the fact that it’s still difficult to attract finance for major deals, particu-larly across national borders.

Still lots of pressureHowever, people in the market believe that transaction volumes will increase over the second half of 2009, primarily because distressed assets should appear on the market to a greater extent. At the same time, there are issues talk-ing against this. The RevPAR development for the hotel industry will be under a lot of pressure this autumn, too. This means that potential investors will con-tinue to feel uncertain of the earning ability of the hotel object, and hence of the value of the hotel property. In addition, getting finance will continue to be diffi-cult because of the cutbacks on the capital market. If investors are able to get finance at all, it’ll be expensive on account of the lack of access to capital, and partly because the risk premium for lending for hotel investments is still high.

new hotels in the pipelineDespite the global downturn, hotels are being developed and built all over the world to an extent never seen before. And this is because most investment deci-sions were made before the downturn actually hit. In Europe, key markets such as Moscow, London and Berlin are reporting the biggest number of rooms under construction. Of the total of 94 695 rooms being built in Europe, 5 127 are in Moscow, 4 968 are in London and 4 720 are in Berlin.

There are currently 463 hotel projects in Africa and the Middle East which will result in a total of 124 409 new rooms. There are a few countries dominating the market in the Middle East. The United Arab Emirates is responsible for the single biggest amount of new development, with 169 hotels and more than 58 000 rooms, followed by Saudi Arabia with 42 projects in the pipeline. The key markets of Dubai have 33 319 rooms being planned and constructed, Abu Dhabi has 11 196 and Jeddah has 2 979; and for the most part, luxury hotels are being built. Asia currently has 227 567 rooms under construction over 969 hotels. China and India represent the majority of projects; China with 108 346 rooms and India with 45 323 rooms. Of these, more than 60 % are in the luxury hotel category.

So what about business?The US is continuing to dominate the construction market, and as things stand at present it has more than 500 000 rooms in production despite the market plummeting by 24 % compared with June 2008. Budget hotels represent the greatest reduction, with more than 50 % since June 2008.

But the really interesting question is: just how many projects have been launched in 2009, and on what business foundations?

Kosta Boda Art Hotel will be opening its doors for the first time in late June. Glass artists at Kosta Boda have designed various parts of the hotel. The hotel has 104 rooms and suites, all differing in nature. In the centre of the hotel is a spa designed by Kjell Engman and Åsa Jungnelius. The entire hotel acts as an art gallery, and all the art is for sale.

Rezidor is opening a new Radisson Blu in Bad Reichenhall in Germany in late June. This property, which is located in a large, exotic park, is an old Grand Hotel building dating back to 1846. The hotel has 152 rooms and suites.

Marriott is opening its third Courtyard hotel in Russia. The plan is for the Courtyard by Marriott Paveletskaya, 13 storeys high, to open in 2010 with around 170 rooms. The hotel is being built in south-east Moscow in one of the international business districts not far from Paveletskaya railway station.

Scandic is establishing a presence in Karlskrona, south of Sweden. The 180-room hotel will be opening in the spring of 2010 and have an architec-ture inspired by the sea. The fittings are based on the colour blue, stone, heather and a shape reminiscent of a sail.

Choice is buying Nordic Hotels in Stockholm but retaining the brand. This since the guests want different products, not standardised hotels that all look the same. This purchase will give Choice a further 542 rooms in Stockholm, making it the biggest chain in the city.

InterContinental Hotel Group is open-ing its first Crowne Plaza in Portugal. Hotel Crowne Plaza Vilamoura will be opening in January 2010. The hotel is located right next to the beach and not far from the famous Casino Vilamoura.

JulyMarriott will be opening a Courtyard hotel in Romania in 2011. The hotel will be located in the heart of Bucharest, within walking distance of the JW Marriott Hotel Bucharest, and have 187 rooms.

Rezidor is opening its 50th hotel in Germany in July: the Radisson Blu Hof Hotel in Baden Baden. This prop-erty dates back to 1638 and was origi-nally a Cappuccino order monastery, but it was converted into an hotel in the early 19th century. The hotel now has 139 rooms and seven conference and banqueting rooms.

Hilton is opening its second hotel in Romania, this time in the town of Sibiu. This former spa and resort has been renovated and converted into a 115-room hotel.

Rezidor is opening its second Park Inn in Wroclaw, Poland. The hotel will be opening early 2012, in good time before the start of the UEFA Cup tournament in Poland and Ukraine. The hotel will have 206 rooms.

First Hotels and Thon Hotels are starting a partnership in sales, distribution and mar-keting. This partnership will get off the ground in January 2010 and include 46 First Hotels and 53 Thon Hotels. The partnership will not affect ownership.

Rezidor is opening its seventh Park Inn in Norway. Park Inn Steinkjer will have 110 rooms and be opening in early 2011. With this, Rezidor will have some 6000 rooms in Norway.

AugustHome Properties is buying the Copperhill Mountain Lodge luxury hotel in Åre, ski resort in northern Sweden. A rental agreement has already been signed with Choice Hotels concerning the running of the hotel. This hotel is some 19 000 sq m in area, with over 112 suites with views over the mountains and Åresjön lake.

The global transaction market nosedived the first six months of 2009. This reduction was 78 % lower com-pared to the first six months of 2008. So its development is approaching the level seen in the first six months of 2002, which to date was the lowest over the past decade. How-ever, the trend seems to have been bucked slightly in the second quarter.

Market information from Pandox

4

Focus on the industry

First six months of 2009:

Bleak hotel market

uS first in cycleThe American market – which is first in the hotel economic cycle – showed a decline in occupancy of minus 11 % for the first six months compared with the same period for 2008. Occupancy remained at 55 %. The average price for the same period fell to USD 99, which is equivalent to a reduction of 9 % compared with last year. This means that RevPAR for the entire US fell by 19 % over the first six months.

A more detailed analysis of the second quarter shows that RevPAR was down by almost 20 % compared with the same quarter last year. Prices have fallen by 10 %, while occupancy for the quarter was down 11 %.

The tendency in some of the major cities in the US is the same – RevPAR is continuing to worsen over the second quarter, but at a slower rate.

As far as the various segments are concerned, the luxury segment is seeing the worst effects, with a 28 % decline in RevPAR for the six-month period, fol-lowed by the resort segment, which has seen a decline of 22 %. Development is the same in all segments irrespective of region.

New York has been affected the most during the downturn, albeit from high levels. Occupancy has fallen by 11 %, while at the same time prices fell by no less than 24 % over the first six months of the year. The change in RevPAR com-pared with the same period last year amounts to minus 32 %. Occupancy closed at 73 %, and the average price closed at USD 199.

Over the second quarter RevPAR fell by 33 % in New York, and this is due mainly to the enormous pressure on prices. In June, the decline worsened still further with RevPAR for the month at minus 35 % compared with June 2008. Occupancy fell by 6 % and average prices by 30 %. Given this development, we maybe should be asking who’ll be wanting to pay to stay in all those new hotel rooms being built in New York at the moment? It’s estimated that more than 10 000 new rooms will be opened in 2010.

europe following the trendEurope is following in the footsteps of the US, and the decline seen in the autumn has accelerated in the spring. Of Europe’s capital cities, London has fared best throughout the credit crunch to date. For the first six months of the year, RevPAR has fallen by just under 7 %, and most of this decline is explained away by lower room prices. Averages prices have been under pressure and

fallen by 6 %, and stand at GBP 122 as at 30 June. Occupancy in London for the first six months of the year closed at 78 %. This is equivalent to a reduction of just under 1 % compared with the same period last year, which means that RevPAR closed at GBP 96. London demonstrated further decline over the sec-ond quarter. RevPAR fell by 8 % compared with the same period in 2008, which was due largely to lower prices. June alone demonstrated better figures as occu-pancy actually increased by 2 % compared with June 2008. However, room prices are still under pressure, so RevPAR for the month closed at minus 6 %.

Germany – which saw a high national demand for hotel rooms in the autumn of 2008 and so fared better – has now joined the general downturn. For the period to 30 June, Berlin closed at 64 % occupancy, which is 4 % lower than for the same period in 2008. The average price was EUR 82, which was 10 % lower than in the first six months of 2008. RevPAR in Berlin closed at just under EUR 53 for the six-month period. This is a reduction of 13 % compared with the same period in 2008. Berlin’s second quarter in 2009 is continuing to show a decline. RevPAR has fallen by 21 %, largely due to lower prices. The decline in price for the quarter is minus 17 %. This pattern is also evident in other major cities in Germany, with two-figure reductions in RevPAR. Hamburg is one of few exceptions that’s fared better to date, with a RevPAR decline of minus 7 % up to 30 June.

Paris was also trapped by the downward spiral in the spring. Occupancy for the first six months of the year fell by 9 % compared with the same period in 2008 and closed the six-month period at 72 %. Prices fell by 11 % and now stand at EUR 215 on average, compared with EUR 242 to 30 June last year. RevPAR for the first six months of the year now stands at EUR 155, representing a decline of 19 %. The second quarter of 2009 is showing a continuation in this downturn, and that room prices in particular are what are forcing down RevPAR.

The first six months of the year in Brussels closed at a RevPAR of minus 17 %, due equally to falling occupancy and lower prices. This trend has been underpinned during the second quarter, with RevPAR closing at minus 24 %.

The major cities in Eastern Europe are reporting even gloomier figures. Riga is one of the cities that has faced the very toughest climate for hotels over the first six months of 2009. RevPAR has fallen by 40 %, due to lower prices and reduced occupancy in equal measure. Both Prague and Warsaw have had a RevPAR of minus 30 % for the same period.

It’s been a bleak first six months to 2009, with an extensive international downturn which also seems to be protracted. The hotel market in the US had been in recession for 20 months up to last June. The longest recession ever experienced before – in the early 1980s – lasted for 21 months. The question is whether the

tide will turn now, or whether we have to slop around on the bottom for a little while longer?

Market information from Pandox

5

Vienna has shown one of the more dramatic declines over the second quar-ter. Average prices are down 38 %, while at the same time occupancy is down 11 %. This means that every hotel room is earning minus 45 % less. Where did all the cash-rich tourists go?

Scandinavia also strugglingEven the Scandinavian countries are struggling in the global landslide. Worst affected is Copenhagen, which for the first six months of the year lost 12 % in occupancy, with an average of 57 % for the period. The price has fallen by 8 % to DKK 854, giving a RevPAR for the period of DKK 485. This is a reduction of almost 20 % compared with the first six months of 2008. Over the second quar-ter, the rate of decline increased and RevPAR for the quarter stood at minus 23 %.

Other Scandinavian capitals are demonstrating similar patterns, i.e. an increase in the rate of decline. Up to 30 June, Helsinki closed with a reduction in RevPAR of minus 13 %. Stockholm and Oslo closed at a decline of minus 12 %.

regional cities in Sweden also in declineThe regional cities in Sweden are following the general trend – a decline right the way along the line. Gothenburg’s occupancy for the first six months of 2008 stood at 65 %, which then fell to 58 % over the first six months of 2009. Average prices have been maintained fairly well. This means that the entire RevPAR decline of 9 % is explained by lower occupancy.

Malmö is the regional city that’s come off best so far. Up to 30 June, RevPAR here has fallen by just under 4 %. The entire decline in RevPAR is due to the fact that occupancy fell from 64 % for the first six months of 2008 to 61 % to 30 June 2009.

Risk of further rain showers in the hotel market – make sure you’re kitted out to brave the elements.

Explanation:RevPAR: Revenue per available room. YTD: Year to date

Scandinavia 6 months, % 2nd quarter 2009, %

Copenhagen –20 –23

Malmö –4 –6

Gothenburg –9 –11

Oslo –12 –15

Stockholm –12 –20

Helsinki –13 –17

World 6 months, % 2nd quarter 2009, %

New York –32 –33

London –7 –8

Dubai –36 –34

New Delhi –42 –38

Sydney –13 –14

Beijing –46 –45

Tokyo –10 –11

São Paulo –5 –6

Buenos Aires –19 –25

revPAr CHAnGeS In lOCAl CurrenCy

(Sources: STR Global, SCB, Statistics Norway and Statistics Finland)

Market information from Pandox

6

Pandox market barometer June 2009

The market barometer indicates the selected cities’ position in the business cycle. The assessment is based on an analysis of each city. Consideration is given to macro-developments, the trends of the hotel industry and business conditions, how the hotel market is evolving, and the extent to which the hotel property market is developing and has liquidity. It is important to note that the hotel business cycle is the same in its pattern but different in time.

BrIef deSCrIPtIOn Of tHe VArIOuS PHASeS Of tHe HOtel BuSIneSS CyCle:

GrOWtH b Occupancy is rising relatively rapidly and rates have begun to increase. High potential and low risk.

PeAK h Occupancy continues to rise and rates increase above inflation. Strong potential and low risk that gradually increases to high risk.

deClIne x Occupancy and rates decline due to lower demand or excess capacity. This phase is characterised by low potential and high risk.

WeAKenInG deClIne c The decline tapers off and RevPAR gradually levels out. This phase is characterised by some potential and high risk.

leVel Out v Occupancy rises and rates remain unchanged. High potential with a diminishing risk.

SWedeN

INteRNAtIoNAl

PeAK hMalmö, Jönköping, Umeå

x deClINeLund, Helsingborg, Gothenburg, Stockholm, Stockholm 5*,

Karlstad, Uppsala, Sundsvall, Luleå

GRoWtH b c deCReASING deClINe

v leVellING oUt

PeAK h x deClINeHelsinki, Oslo, Copenhagen, Berlin, Amsterdam, Brussels,

London, Paris, Vienna, Prague

GRoWtH b c deCReASING deClINe

v leVellING oUt

Comments: international

Comments: Sweden

(Sources: STR Global, SCB, Statistics Norway and Statistics Finland)

(Sources: SCB)

All the major cities in Europe are in decline. Looking at developments over a roll-ing 12-month period – on average up to 30 June 2009 – Vienna and Prague are showing the greatest RevPAR decline of minus 23 % and minus 25 % respec-tively. In Vienna, this is due mainly to falling prices. In Prague, on the other hand, it’s due to both falling prices and falling coverage in almost equal mea-sure. Paris and Amsterdam aren’t far behind, both showing a decline of 19 % for the period. London has come off best to date, with a decline of 4 % for the 12-month period.

If we look at a shorter trend, over three months – between April and June – the rate of decline is increasing across the board. Vienna and Prague are subject to the most powerful declines here, too, with negative RevPAR for the period of –45 % and –34 % respectively compared with the same period in 2008.

Most of the major Swedish towns are in the decline phase of the economic cycle. Stockholm 5* is seeing the steepest downward trend. RevPAR development over a rolling 12-month period to 30 June 2009 stands at minus 12 %, and the entire decline is explained by prices that have been forced down. The major city munic-ipalities of Stockholm and Gothenburg come next, with a RevPAR reduction of minus 8 % and minus 9 % respectively. Other cities have also passed the peak, and in most cases both coverage and prices are on the decline.

There are, however, some shining examples. Malmö, Jönköping and Umeå are three cities that are still peaking over the rolling 12-month period. The reason for this is that average prices are still rising slightly. At the same time,

coverage is more or less in line with the corresponding period last year, which means that RevPAR is still continuing to increase slightly.

If we look at a shorter trend – over a rolling 3-month period between April and June – the rate of decline in most towns and cities is increasing. The decline is greatest in the municipality of Stockholm, with a reduction in RevPAR of 19 % for the period compared with the same period in 2008. This is followed by Stockholm 5* on –18 %. Jönköping and Umeå are balancing out, while Luleå is demonstrating a RevPAR of plus 5 % for the period, due entirely to rising aver-age prices.

* Five star hotel

Market information from Pandox

7

Trends of our time

Not on the menu

dId YoU KNoW… Sundry facts from various corners of the hotel world

F&B trends don’t follow the economic cycle. In times when we need to economise, we face some extremely tough demands. It’s not enough for everything to be green and organic; we also have to be able to offer things that don’t actually exist.

Every day we hear conversations of whether or not the credit crunch has bot-tomed out. But even if it has, there’s no economic boom just around the cor-ner. The road back to where we used to be will be a tough one, and in the hotel industry prices are key. Even if demand starts to stabilise, people will still be keeping a firm hold on those purse strings.

So people are becoming more aware of the economy. At the same time, surveys show that people spend less money on alcohol in a recession. Drink-ing overall might not be reduced, but sales of alcohol in restaurants and bars fall while drinking at home increases. This really doesn’t match up with one of the biggest trends in the restaurant industry for 2009. Alcohol came very high up in the annual survey “What’s hot? Chef’s Survey”, run by the Ameri-can National Restaurant Association. Well – not alcohol per se, but alcohol as an ingredient in cooking, and also in the form of specially composed drinks and also organic wines.

A drink all of your ownThe so called signature drinks are really hot in this category. The most famous is James Bond’s Martini, which has to be served shaken, not stirred. The drink should demonstrate who you are; the description of a Martini as a sophisticated, elegant drink suits our action hero. Now adays, every self-respecting restaurant and hotel – and even bartender – has to have one or more signature drinks. 33 % of chefs that where asked, ranked signature cocktails as the hottest drinks trend for 2009. In second place came what are known as functional cocktails – put together from a health perspective – and third came the matching of food with alcohol.

As far as food is concerned, the green, environmentally friendly alterna-tives are no longer a trend – they’re a must! Locally produced, organic, eco-friendly food is manufactured in ways which economise on energy and never lose sight of recycling. Even though it’s considered something of a must, locally grown food comes high up on the list of trends for 2009. Second comes finger food, a trend which is now rather tired. Bite-sized portions of everything from fillet of beef and truffle risotto to gazpacho are served in creative ways in shot glasses or on small mirrors. Third and fourth places are taken by organically produced food and children’s food produced by a nutrition.

… liberated tourists can now head for a new nudist hotel in Germany? Hotel Rosengarten is the first hotel of its kind in Germany. When checking in, guests have to leave all their clothes behind and are then encouraged to go around naked for their whole stay. Practical, hey? No laundry when you get home!

… you can now stay at ecolabelled hotels? Apollo, which is starting to offer travel to Thailand and Egypt, is the first Swedish travel organiser to ecolabel its

hotels. This ecoclassification is tak-ing place via Travelife, a European consortium of travel agencies work-ing to promote more sustainable development of tourism.

… everything is allowed when it comes to bringing occupancy to your hotel? A hotel in California, the high-class Rancho Inn in San Diego, is offering its rooms for USD 19 a night, as opposed to the previous USD 219, under the name “Survival Package”. As you can probably tell from the name, this package is somewhat basic; no lights, no toilet paper, no towels – and not even a bed. That said, though, you can upgrade if you like!

… you now have the chance to experience a very dif-ferent taxi ride in Helsinki? With just a single phone call to Karaoketaxi, you and your mates will be picked up by a luxury car and your party can get off to a flying start with a good old sing. The car can accommodate up to 12 people. How about that as an idea for your next staff get-together?

Secrets on the menuOther trends that seem familiar are the multifunctional lobby containing everything from a bar and restaurant to somewhere for business travellers to meet. There’s also the more relaxed restaurant environment, with staff who dress down, rather than up. Interesting and fun news are secrets on the menu and less is more. Secret dishes which you won’t find on the menu and signature drinks made to unknown recipes are sneaking into the industry. “Less is more” is really nothing new, but making something of it is. A small area and a short menu are hot property right now, and big despite their diminutive size.

Choose wiselyIt remains to be seen which of these trends will match our economic down-turn, or our economic recovery. One thing that’s clear, however, is that res-taurateurs are tying themselves in knots just to entice you and your wallet to visit if you happen to go out for the evening once in a blue moon. The risk is that in their enthusiasm, hotels and restaurants will forget who they’re aim-ing at; or, as Kurt Bjorkman puts it in his blog on the Hotel F&B Magazine website: We all need to get real about… who our customers are (not who we WANT them to be…). We need to check out egos and make it happen for our owners and investors and GUESTS.

Mandarin Oriental Tokyo

Market information from Pandox

8

News from the Pandox sphere

Quality Hotel Park in Södertälje tops Mystery Guest programmeSome hotels are swimming against the tide. We’d like to congratulate Quality Hotel Park in Södertälje City, which is showing positive results in a number of respects. Eskil Eilertsen, Head of Sales and Marketing, says proudly that Quality Hotels are showing the greatest upsurge in respect of their market. This hotel has now attained a top ranking in the Choice Hotels Mystery Guest programme.

High pressure on InterContinental MontrealThe InterContinental in Montreal showed enormous consideration for its guests during this summer’s heatwave. On 18 August, the hotel offered its guests a single room price which was the same as the tem-perature in Fahrenheit (°F) at 4 pm that day. To the great pleasure of many guests, the thermometer showed a temperature of 84.2 Fahren-heit and so CAD 84.20 was all they had to pay for a room for the night!

Official athletics at Hotel Berlin, BerlinAugust saw the transformation of Hotel Berlin, Berlin into an all-inclusive hotel during the World Championships in Athletics. 1 200 com-petitors from 80 nations stayed at the newly renovated hotel – including the team represent-ing Germany and double world record holder Usain Bolt, who took the gold for both the 100 m (9.58) and the 200 m (19.19)! 4 200 meals a day were served, including 600 kg of fruit. In addition, guests drank several thousand litres of water; and they also used more than 50 000 towels and over 5 000 toilet rolls.

This contract was the first to be signed after Pandox bought the hotel in 2006. Hotel Direc-tor Cornelia Kausch and her team provided a fantastic service for the athletes – 24 hours a day. Well done Hotel Berlin, Berlin!

S K O J at Holiday Inn Brussels AirportThis hotel is the forerunner in a new era of business meetings, offering a very original meeting concept. This is known as S K O J, the Swedish word for FUN, which stands for Surprising, K(C)reative, Original and Joy. The S K O J concept can be seen in the design of the meeting rooms, and it’s quite noticeable during lunchbreaks and coffee breaks – and also among the enthusiastic staff at the new Holiday Inn Brussels Airport .

Children dominated Clarion Hotel Grand in Östersund this summerThe Kul och Bus Circus Academy have been working with Clarion Hotel Grand in Östersund this summer. Children had their own check-in desk, lucky bags, children’s menu, play-room, TV games and face painting. Some 1500 children and their parents all helped the hotel to break a record in July, when coverage stood at an impressive 93.6% – congratulations!

Face painting was one of the many activities for children on offer at Clarion Hotel Grand in Östersund this summer.

Jazz at Crowne Plaza AntwerpJazz musician Toots Thielemans is a regular at the Crowne Plaza in Antwerp. In August, he won the prestigious Concertgebouw Jazz Award for 2009, which is a Lifetime Achievement Award for jazz musi-cians famous in the international arena. Earlier winners of this award include George Coleman, Elvin Jones, Benny Golson, Chick Corea and Herbie Hancock.

Hans Wils, Hotel Director of the Crowne Plaza in Antwerp, congratulates jazz musician Toots Thielemans, winner of the Concertgebouw Jazz Award for 2009.

“Meet Happy” at Pelican Bay in the BahamasPelican Bay has got itself a new logo to go with its repositioning initiative. The new logo pro-claims “Meet Happy”, and ties in with the hotel’s brand promise to create positive experi-ences for meeting delegates, wedding guests and all other guests staying at the resort. “Our new logo, a Happy Pelican donning sunglasses, injects a breath of fresh air,

colour and vibrancy into the property” says Magnus Alnebeck, Hotel Director at Pelican Bay, Lucaya.

Usain Bolt, double world record holder (sprint), celebrated his birthday at Hotel Berlin in Berlin.