30 th European Hotel Investment Conference Experience the future. Andreas Scriven Wednesday 7 November

Transcription

1 30 th European Hotel Investment Conference Experience the future Andreas Scriven Wednesday 7 November

2 Today s agenda 09:00 09:10 Chairman s welcome 09:10 09:35 The economic outlook 09:35 09:50 Performance review 09:50 10:30 View from the top 10:30 11:20 Coffee break 11:20 11:40 Brexit: the impact on the hospitality industry 11:40 12:20 Investing in the opportunities of tomorrow 12:20 13:00 Operating through change 13:00 14:00 Lunch 14:00 14:20 Shaping the future: Consumer outlook 14:20 14:40 What next: a vision for the hotel industry 14:40 15:20 Workforce 4.0: empowered & agile :00 Remaining relevant: staying with the guest 16:00 16:30 Close and afternoon tea

3 What you think the future holds Europe UK Barcelona and Amsterdam Investors Investment cycle Risks to the UK hotel industry GOPPAR Barcelona is loosing attractiveness as an investment destination by slipping to 6th place. Amsterdam retains the top spot for the most attractive European city for investment. Institutional investors are expected to overtake private equity as the dominate source of equity. Almost half say the UK is at its peak, 25% already saying it is in a downturn, with Greece, France and Spain still showing growth potential The biggest risks in the next 5 years are considered to be Brexit (#1), shortage of skilled labour (#2) and lack of economic growth (#3). One in four expect a GOPPAR decline in London with a fifth expect the same in regional UK for Source: EHIC delegate research 2018

4 bn European hotel transaction volumes have grown by 5.8% in the 12 months to Q as a result of increasing market liquidity amid growing investor demand European hotel investment volume (2007-Q2 2018) Portfolio 15 Single Asset UK Q2 2017* Q2 2018* Source: Deloitte research, CBRE

5 Are you focusing on the right customer segments? Present Future Millennials and generation Z will age Millennials are a key group of consumers - they travel 4.2 times per year compared to 2.9 times by previous generations and a vast majority want to travel more Who will drive investment growth for these evolving segments? 60+ age group is to more than triple by 2100 and most of them will want to continue to travel, experience a new culture and keep on learning Source: Deloitte research

6 Population (m) Is expansion across Africa on the books? More than half of the global population growth will occur in Africa by 2050 Global population growth ( F) 6,000 Forecast 5,000 4,000 4,850 4,470 APAC Africa 3,000 Latin America & Caribbean 2,000 Europe 1, North America Source: Deloitte research, United Nations, World bank

7 Urbanisation by 2050 additional 1.8bn people will live in cities Pros Cons Increased barriers to entry Real estate prices Rate growth potential Development cost Travel to become easier for more people Pressure on space utilisation Source: Deloitte research

8 Are you equipped to tackle future challenges? How will you attract the right staff? 37 out of 46 countries accounting for >80% of travel & tourism employment globally will experience a talent deficit in the next decade Changing customer experience can you scale up authenticity and standardise uniqueness? Is technology the answer to everything? Source: Deloitte research, WTTC

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