Horwath HTL European Hotels and Chains Report 2017
Horwath HTL European Hotels and Chains Report 2017
Horwath HTL European Hotels and Chains Report 2017
CONTENTS
6 FOREWORD
8 INTRODUCTION
14 AUSTRIA
20 CROATIA
26 CYPRUS
30 FRANCE
36 GERMANY
42 HUNGARY
48 IRELAND
54 ITALY
60 NETHERLANDS
66 POLAND
72 SPAIN
78 SWITZERLAND
84 UNITED KINGDOM
FOREWORD
In the compilation of the data, we asked our In order to standardize the data, we looked at
offices to not just rely on available local data, the same KPIs across all countries using the
but to create our own databases from scratch. same methodology.
We were then able to make a sanity check with
reputable data providers like Eurostat which, We looked at the following KPIs:
although a few years old, have comprehensive Total number of chain hotels
numbers on hotels, restaurants, hostels, pensions Total number of chain rooms
and all the rest. Average size per chain hotel in rooms
Country hotels stock (overall supply)
We then dug deeper into each market to get an Country rooms stock (overall supply)
understanding of the players and what size and Average size per hotel in rooms
scope they have. We looked at overall ranking by Chain penetration % by hotels
size in each country, by overall group (hotels and Chain penetration % by keys
rooms) and by brand. Total number of brands
Domestic brands
We broke the information down by domestic International brands
and international groups and brands and then Second tier operated hotels
by scale/style of hotels. International chain hotels
(including double counting)
Finally, for this edition, we broke each country Domestic chain hotels
down to major cities or destinations to give (including double counting)
a deeper understanding of what chain International chain rooms
penetration is. (including double counting)
Domestic chain rooms
For future editions, we will look at including more (including double counting)
ownership details, including business model and
any pipeline coming into a destination.
3,538
8.5%
20.8%
171 13.7%
17.7%
620 317
1,944
9.7%
3,819
2.9% 12.5%
4.9% 360
21% 134
218
24.3% 166
1,401
4.2%
1%
2,351
4
33.3%
3.1%
250
189
200
162
149
146
139
131
150
117
117
111
106
104
99
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41,587
3,000 35,000
33,199
2,351
30,000
1,944
20,102
25,000
18,328
2,000
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12,221
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Domestic Brands
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AUSTRIA
Austria is dominated by independent hotels as only 2.9% of all
hotels and 14.8% of all hotel rooms are affiliated with a chain.
*Source: Statistik Austria/WKO - Zahlen im Mai 2016, Hotels and similar accommodation
DOMESTIC HOTELS
AND ROOMS HOTELS %
Budget & Economy 2,534 20.7%
Midscale 5,152 42.2%
Upper-Upscale & Luxury 4,535 37.1%
TOTAL 12,221 100.0%
Source:
Statistics Austria, Tourimus in Zahlen Mai 2016
DESTINATION TOTAL
HOTELS % ROOMS %
City 201 56% 29,689 71%
Ski / Sports 111 31% 7,455 18%
Thermal 34 9% 3,313 8%
Sun / Lake 14 4% 1,471 4%
Total 360 100% 41,928 100%
8.5%
20.8 %
171 13.7%
17.7 %
620 317
1,944
9.7%
3,819
2.9 % 12.5 %
4.9 % 360
21% 134
218
24.3% 166
1,401
4.2%
1%
2,351
4
33.3%
3.1%
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CROATIA
Even though Croatia has a relatively high percentage
of chain hotels, international hotel brands have been slow
to enter the market. Domestic hotel chains have been well
performing in such circumstances, but the foreseeable
investment cycle will be increasingly reliant on international
hotel brands, adding to further internationalization of the
Croatian hotel industry.
Sinia Topalovi, Managing Director, Horwath HTL Croatia
CHAINS HOTELS
AND ROOMS HOTELS % ROOMS AVG SIZE
Budget & Economy 18 10.8% 2,683 149
Midscale 51 30.7% 8,691 170
Upscale & Upper-Upscale 74 44.6% 14,939 202
Luxury 23 13.9% 5,130 223
TOTAL 166 100.0% 31,443 189
DOMESTIC HOTELS
AND ROOMS HOTELS % ROOMS AVG SIZE
Budget & Economy 75 11.0% 6,524 87
Midscale 317 46.3% 21,008 66
Upscale & Upper-Upscale 256 37.4% 25,261 99
Luxury 36 5.3% 5,277 147
TOTAL 684 100.0% 58,070 85
8.5%
20.8 %
171 13.7%
17.7%
620 317
1,944
9.7 %
3,819
2.9 % 12.5%
4.9 % 360
21% 134
218
24.3 % 166
1,401
4.2%
1%
2,351
4
33.3%
3.1%
250 240
204
200 180
150 135
100 83 82
72
61 58
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CYPRUS
Cyprus is a destination dominated by resorts, a fact that is
represented by our average room size which is much larger
than the European average. The market is still dominated by
local brands and groups, with some International players slow
to enter the market although there are signs of change. Growth
levels for the island are positive though as the financial crisis
settles down and FDI is made.
Christos Michaelides, Managing Director, Horwath HTL Cyprus
8.5%
20.8 %
171 13.7%
17.7%
620 317
1,944
9.7 %
3,819
2.9% 12.5%
4.9 % 360
21% 134
218
24.3% 166
1,401
4.2%
1%
2,351
4
33.3%
3.1%
250 240
204
200 180
150 135
100 83 82
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61 58
50 44
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FRANCE
The French market accounts for an overall room supply of about 650,000, of which
150,000, are in the greater Paris region alone. Although most French hotels are
small, resulting in an average of only 36 rooms, France has one of the highest levels
of chain penetration among the key European hotel markets. Of the national
players AccorHotels and Louvre Hotel Group lead the market with a focus in the
mid-market tier. The recently created, ibis megabrand is by far the market leader,
whereas Mercure and Novotel dominate the Middle tier. International brands are
mainly in the top tier, with market presence mostly concentrated in Paris and the
Riviera.
Philippe Doizelet, Managing Director, Horwath HTL France
DOMESTIC HOTELS
AND ROOMS HOTELS % ROOMS AVG SIZE
Budget & Economy 10,404 56.8% 272,834 26
Midscale 5,945 32.4% 243,269 26
Upscale & Upper-Upscale 1,676 9.1% 119,200 71
Luxury 303 1.7% 20,639 68
TOTAL 18,328 100% 655,942 36
8.5%
20.8 %
171 13.7%
17.7%
620 317
1,944
9.7 %
3,819
2.9 % 12.5%
4.9% 360
21% 134
218
24.3 % 166
1,401
4.2%
1%
2,351
4
33.3 %
3.1%
250 240
204
200 180
150 135
100 83 82
72
61 58
50 44
32
20
6
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UK
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GERMANY
The German hotel market used to be dominated by independently-operated hotels,
but the booming tourism market of the last few decades has heavily increased the
importance of chain hotels. This census, the first of its kind in Germany, reveals a
powerful German chain hotel market with a diverse range of locations and a
variety of chain groups and brands. Incredibly, Germany is now home to almost
180 different brands. Around 35.5% of the total hotel room supply is provided by
chains, both domestic and international. This market sector is still growing,
especially in top city destinations, with many projects in the pipeline.
Christian Ott-Sessay, Managing Director, Horwath HTL Germany
DOMESTIC HOTELS
AND ROOMS HOTELS %
Budget & Economy 636 4.8%
Midscale 5,092 38.4%
Upscale & Upper-Upscale 2,661 20.0%
Luxury 132 1.0%
not DEHOGA classified 4,752 35.8%
TOTAL 13,273 100.0%
8.5 %
20.8 %
171 13.7%
17.7%
620 317
1,944
9.7 %
3,819
2.9 % 12.5%
4.9 % 360
21% 134
218
24.3% 166
1,401
4.2%
1%
2,351
4
33.3%
3.1%
250 240
204
200 180
150 135
100 83 82
72
61 58
50 44
32
20
6
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UK
Hu d
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HUNGARY
Hungary has a relatively high chain penetration index.
In contrast to many CEE countries, hotel brands are not limited
to the capital city, albeit, international chain growth will be
notable in Budapest. There are exciting times ahead for Hungary,
as an increasing number of international brands, from all
sectors, are all scheduled to enter the market in the near future.
Marius Gomola, Managing Director, Horwath HTL Hungary
8.5%
20.8 %
171 13.7%
17.7%
620 317
1,944
9.7 %
3,819
2.9% 12.5%
4.9 % 360
21% 134
218
24.3 % 166
1,401
4.2 %
1%
2,351
4
33.3 %
3.1%
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204
200 180
150 135
100 83 82
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61 58
50 44
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IRELAND
The level of international brand penetration in the Irish market is relatively low, accounting for
about 3% of hotels nationally and 13% of Dublin hotels. There are a large number of domestic
brands, which represent a greater share of the market - accounting for 16% of all hotels and
29% of Dublin hotels. Of the top 10 Brands in the Irish market, half of them are headquartered
here with a combined 38 hotels and over 6,100 rooms.
The Dublin market is entering a development phase again, with the potential for up to
5,000 rooms to be delivered in the next 5 years. The fundamentals for the sector are strong
with record levels of international visitors and one of the fastest growing economies in Europe.
We see great opportunities for new brands as well as new hotel concepts to enter the
marketplace in the coming years as this new pipeline comes on stream.
DOMESTIC HOTELS
AND ROOMS HOTELS % ROOMS AVG SIZE
Budget & Economy 138 80.7% 2,741 20
Midscale 353 206.4% 21,976 62
Upscale & Upper-Upscale 295 172.5% 29,010 98
Luxury 36 21.1% 4,111 114
TOTAL 822 480.7% 57,838 70
8.5%
20.8 %
171 13.7%
17.7%
620 317
1,944
9.7 %
3,819
2.9% 12.5%
4.9 % 360
21% 134
218
24.3 % 166
1,401
4.2%
1%
2,351
4
33.3 %
3.1%
250 240
204
200 180
150 135
100 83 82
72
61 58
50 44
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UK
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ITALY
Despite the relatively low penetration rate, which is stuck
at less than 15% of room stock, there are still more than
200 hotel brands. This is mostly due to the very strong
number of domestic and regional groups. We expect this
solid base of brands will continue to grow, with an
acceleration in 2017-2020.
Zoran Bacic, Managing Director, Horwath HTL Italy
DOMESTIC HOTELS
AND ROOMS HOTELS % ROOMS AVG SIZE
Budget & Economy 8,973 29.5% 138,402 15
Midscale 15,355 50.5% 477,554 31
Upscale & Upper-Upscale 5,609 18.5% 362,553 65
Luxury 442 1.5% 32,729 74
TOTAL 30,379 100.0% 1,011,238 33
8.5%
20.8 %
171 13.7%
17.7%
620 317
1,944
9.7 %
3,819
2.9% 12.5%
4.9% 360
21% 134
218
24.3% 166
1,401
4.2%
1%
2,351
4
33.3 %
3.1%
250 240
204
200 180
150 135
100 83 82
72
61 58
50 44
32
20
6
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UK
y
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NETHERLANDS
Domestic chains have grown stronger and expanded in
The Netherlands, whereas the international chains have
remained more or less at the same level. In only a few year,
Fletcher Hotels increased to over 80 properties and Van der Valk
expanded
to well over 60. Nevertheless, the larger international brands
such
as Hilton, Marriott and Hyatt have achieved serious expansion
with several of their new brands throughout the country.
Ewout G. Hoogendoorn, Managing Director, Horwath HTL Netherlands
KEY STATISTICS 2016
Chain Hotels 620
Chain Rooms 65,446
Average Size per Chain Hotel in Rooms 106
Country Hotels Stock (overall supply) 3,510
Country Rooms Stock (overall supply) 113,813
Average Size per Hotel in Rooms 32.4
Chain penetration % by Hotels 17.7%
Chain penetration % by Keys 57.5%
Total number of Brands 72
Domestic Brands 23
International Brands 49
International Chain Hotels (including double counting) 253
Domestic Chain Hotels (including double counting) 367
International Chain Rooms (including double counting) 35,172
Domestic Chain Rooms (including double counting) 30,274
CHAINS HOTELS
AND ROOMS HOTELS % ROOMS AVG SIZE
Budget & Economy 6 0.3% 504 154
Midscale 197 8.8% 13,659 69
Upscale & Upper-Upscale 357 15.9% 42,565 119
Luxury 17 0.8% 3,793 223
TOTAL 2,246 100.0% 60,521 105
DOMESTIC HOTELS
AND ROOMS HOTELS %
Budget & Economy 615 27.4%
Midscale 1,041 46.3%
(Upper-)Upscale & Luxury 590 26.3%
TOTAL 2,246 100.0%
8.5 %
20.8 %
171 13.7%
17.7%
620 317
1,944
9.7 %
3,819
2.9 % 12.5%
4.9 % 360
21% 134
218
24.3 % 166
1,401
4.2%
1%
2,351
4
33.3%
3.1%
250 240
204
200 180
150 135
100 83 82
72
61 58
50 44
32
20
6
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UK
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N
POLAND
The Polish hotel market has been one of the stars of
Europe recently and there is no doubt that it has good
prospects for the future. The proliferation of hotel chains
in the hospitality market has been increasing and there
are hopes for new hotel brands to enter the country soon.
Dariusz Futoma, Managing Director, Horwath HTL Poland
Data regarding chain hotels is from the Hotel GuideBook report published
by Horwath HTL Poland in October 2016.
CHAINS HOTELS
AND ROOMS HOTELS % ROOMS AVG SIZE
Budget & Economy 861 33.0% 27,763 32
Midscale 1,335 51.2% 57,203 43
Upscale & Upper-Upscale 344 13.2% 34,421 100
Luxury 67 2.6% 8,772 131
TOTAL 2,607 100.0% 128,159 49
8.5 %
20.8 %
171 13.7%
17.7%
620 317
1,944
9.7 %
3,819
2.9 % 12.5%
4.9% 360
21% 134
218
24.3% 166
1,401
4.2%
1%
2,351
4
33.3%
3.1%
250 240
204
200 180
150 135
100 83 82
72
61 58
50 44
32
20
6
0
UK
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N
SPAIN
Spain continues to expand its hotel supply, fuelled by the momentum
created by Spains ever-growing tourism sector, which in 2016 again
beat all previous records. Hoteliers with existing properties continue
to develop, and as many international groups do not have a significant
presence, there is still room for growth in the Spanish market.
8.5%
20.8 %
171 13.7%
17.7%
620 317
1,944
9.7 %
3,819
2.9 % 12.5%
4.9 % 360
21% 134
218
24.3% 166
1,401
4.2%
1%
2,351
4
33.3%
3.1%
250 240
204
200 180
150 135
100 83 82
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61 58
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Hu nd
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SWITZERLAND
Although domestic brands are very limited in numbers,
they still hold an incredible share of the Swiss luxury market.
8.5 %
20.8 %
171 13.7%
17.7%
620 317
1,944
9.7 %
3819
2.9 % 12.5%
4.9% 360
21% 134
218
24.3 % 166
1,401
4.2%
1%
2,351
4
33.3 %
3.1%
250 240
204
200 180
150 135
100 83 82
72
61 58
50 44
32
20
6
0
UK
y
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Hu d
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UNITED KINGDOM
Unsurprisingly, given that it has topped the pipeline charts for the last few years
now, the United Kingdom has seen significant change in hotel supply over the last
year. Not only have we seen new supply come into the market, we have also seen
some of the older supply, of which there is a significant volume, drop out. Also
significant this year, we continue to see a trend towards white label management
companies with the established operators growing their portfolios and an
increasing number of smaller players.
With an estimated 216 new hotels (36,500 new rooms) in the pipeline for the
next couple of years and Brexit just around the corner we expect further churn,
affecting both the quantum of overall supply and the mix of operators. With
smaller companies perhaps most at risk of the almost certain economic squeeze,
expect further consolidation.
Patrick Angwin, Director, Horwath HTL UK
8.5 %
20.8 %
171 13.7%
17.7%
620 317
1,944
9.7 %
3819
2.9 % 12.5%
4.9 % 360
21% 134
218
24.3% 166
1,401
4.2%
1%
2,351
4
33.3%
3.1%
250 240
204
200 180
150 135
100 83 82
72
61 58
50 44
32
20
6
0
UK
y
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Hu d
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