B&B Hotels revenue up 18.2% to $652 million in record year
Max Luscher, Managing Director of B&B Hotels
B&B Hotels celebrates record growth in 2018 with 50 new openings and a growing footprint all over Europe.
A revenue hike of 18.2%, a 14% growth in the number of beds, a presence expanded to 12 countries and close to 500 new jobs – this is the summary of Groupe B&B Hôtels’ year 2018, making it the most successful since the company was founded.
Rapid expansion in Europe
Altogether, the French chain launched more than 50 new hotels last year.
Apart from further expanding in its key the markets of France and Germany, new openings in Belgium, Switzerland and other European countries brought the group’s total number of properties up to 476 worldwide.
Fabrice Collet, CEO of Groupe B&B Hôtels, said: “Our growth is based on a clear concept of offering high-quality rooms at advantageous rates. We provide our guests with efficient service, great design and all comforts modern travellers need.”
“Our dedication to this concept will help us further grow in Europe and beyond, in city centres, suburbs and smaller cities. It is our goal to become leaders in the short stay segment,” Mr Collet goes on to explain.
In France, B&B Hôtels saw the largest growth in market share among all hotel companies in 2018. No other budget hotel group has grown faster than the French company since 2012.
With 279 hotels and more than 21,700 rooms, B&B Hôtels is now one of the top three hotel operators in France.
Due to its steady growth, the hotel chain created more than 500 new jobs last year, one third of them in France.
Excellent results in the German market
In Germany, B&B Hotels GmbH is the market leader in the budget hotel segment.
Since 2012, the company has grown three times faster than the market as a whole and today the German subsidiary’s portfolio consists of 126 hotels with over 12,800 rooms.
In the first quarter of 2019, B&B Hotels reported a $9 million increase in sales to a total of close to $50 million. Compared to the first quarter of 2018, revenue increased by a total of 23%.
Room utilization is currently at 57%, up 1%. The average room rate increased by approximately $1.12 to around $75.
Max C. Luscher, Managing Director of B&B Hotels GmbH, is satisfied with the start of the year: “In the first quarter, we were able to open three more properties than planned and had high occupancy. In the first months of the year, key figures are usually lower compared to the other quarters. In particular, the increase in occupancy shows us that we are on the right track for our vision of becoming the most popular budget hotel brand in Germany.”
“Our TrustScore is currently at 83 points and the referral rate has increased to 94%. Regarding these key figures, we are already the market leader. We are also pleased that we can consistently implement our design concept, another thing our guests really like about us,” Mr Luscher further elaborates.
With the planned new openings, the portfolio of B&B Hotels will comprise a total of 138 hotels in Germany by the end of 2019.
Let’s take a look at a few other projects currently underway by B&B Hotels:
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