Traveling Blog: Europe Weekend Review: Accor Mulls Airline Investment + Highest Paid CEOs

June 9, 2018

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Editor's Note

There's a famous quote from Virgin founder Richard Branson which goes: "If you want to be a millionaire, start with a billion dollars and launch a new airline." The lesson is airlines are stupidly expensive to run. They're also extremely sensitive to geopolitical and economic fluctuations. Just consider the number of airline bankruptcies.

With that in mind, it's hard to see the rationale for AccorHotels' interest in buying the French government's 14.3 percent stake in the troubled airline group, Air France-KLM. Yes, Accor is flush with cash after selling a large chunk of its property portfolio, but couldn't it find a better way to spend the money? What about buying a rival hotel chain or even an online travel agency? Even CEO Sébastien Bazin is struggling to see the benefit. "I still don't know if it makes sense," he said after the chain's interest became public.

Neither do we.

— Patrick Whyte, Europe Editor

Rethinking the Tech Stack: Hotels Find Hidden Benefits as They Seek to Streamline Revenue and Distribution

AccorHotels, Airbnb, and everyone else in travel are clearly thinking about what it'll take to be the "super brand of travel" before other mega brands like Amazon and Google deepen their own investments in the travel space.

The Highest Paid Travel CEOs in Europe in 2017

European travel CEOs are paid well by most standards — but not compared with their peers across the pond.

Behind the Hype of Qantas' Grand Plans to Fly Nonstop to London and New York

You have to give Qantas some credit for its public relations strategy. It will be at least four years before the airline launches "hub-busting" flights to New York or London from Sydney but the airline already has almost everyone in the airline industry talking about its plans.

Thailand-Based Hotel and Restaurant Giant Minor to Take Over NH Hotels

AccorHotels and the rest of the hotel industry have some competition in their respective quests to get bigger.

Emirates President Won't Rule Out More U.S.-Europe Nonstop Flights

It's funny. Fifth Freedom flights — those are routes where an airline flies from a place other than its home country — account for roughly 1 percent of Emirates' capacity, according to the airline's president. And Emirates has only two such routes to the United States. But it's a hot topic among airline insiders, and it doesn't sound like that will change.

AccorHotels Buys Catering Tech Company Adoria

Catering is a key growth area for AccorHotels and this deal complements a number of others it has done in the sector.

Video: Thomas Cook Group CEO on the Slow Evolution of a 177-Year Legacy

The pace of Thomas Cook Group's evolution seems glacial, but that's part of being a legacy and enjoying the associated brand recognition and market share.

Air France and KLM Will Stay Together Despite Recent Turmoil: KLM CEO

KLM CEO Pieter Elbers is honest. He knows some of his employees question why KLM, which is thriving, needs its long-term marriage to Air France. But Elbers knows that in airlines, the biggest carrier usually wins. Plus, he knows there's no other way forward. For better or worse, Air France and KLM are probably together forever.

PerfectStay Raises $17 Million for Distribution Tech: Travel Startup Funding This Week

This week's roundup of travel startup funding includes a Paris-based travel distribution technology company, a San Francisco-based corporate travel booking tool, and a London-based maker of property management software.

Rest of the World

Skift's Top Travel Startups to Watch 2018

Better, faster, stronger. We pinpointed 20 venture-backed companies — mostly young — that promise breakaway potential. These startups prove that innovation is happening everywhere, from Atlanta to Ramallah to Queensland.

Marriott CEO on Tech Giants: 'We Are in an Absolute War for Who Owns the Customer'

Marriott CEO Arne Sorenson, along with his fellow hotel CEOs are right: It's not the "disruptors" like Airbnb that are the biggest threat, but the already established tech giants like Amazon, Google, Facebook, Tencent, Alibaba, and others that are the real competition for the hotel industry.

Bermuda Court Overturns Same-Sex Marriage Ban in Win For Tourism Industry

The Bermuda Triangle is legendary for making things mysteriously disappear. But one thing that wasn't lost in Bermuda this week was a legal understanding that a ban on same-sex marriage is bad for business and morally wrong in 2018.

Television Host Anthony Bourdain Is Dead at 61

Anthony Bourdain's impact on travel and food really can't be measured.

It's Not Just Airbnb — HomeAway Starts Adding Hotels Too

While Airbnb has been brashly adding independent hotels, HomeAway has been quietly doing the same — although it has been using an entirely different business model given its ties to parent Expedia. Curation may have its place, but all of these companies realize that the more inventory and choice they give consumers, the more likely they are to spend on a stay.

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