What do you imply there’s a recession on the horizon?

The world’s luxurious journey sector was parked en masse this week in Cannes, France, for the Worldwide Luxurious Journey Market (or ILTM) convention.

From the packed flooring of the Palais des Festivals et des Cannes convention venue, you wouldn’t know the worldwide economic system is on shaky floor.

Representatives from manufacturers like Aman and Belmond, in addition to all of the ultra-luxury choices from Hilton, Marriott, Hyatt, Accor and IHG Lodges & Resorts, touted a promising future for the very best finish of the lodge stratosphere.

A couple of themes had been evident from this week’s line-up of shows and conferences on the way forward for luxurious journey. Take a look at the newest from Cannes.

The sustainable second

The luxurious journey sphere isn’t sometimes identified for being greatest buddies with Mom Nature. In any case, premium seats on an airplane do translate to greater emissions per individual in that higher-end cabin.

Nonetheless, each main luxurious lodge operator to take the press stage at ILTM this week touted their varied sustainable practices.

Six Senses, certainly one of IHG Lodges & Resorts’ ultra-luxury manufacturers, is thought for embracing sustainability. That is evident in every little thing from its use of native substances to its elimination of tiny bottles of shampoo and bathe gel (and it was one of many first manufacturers to take action).

Six Senses was forward of the sustainability push even earlier than IHG acquired it. Now, even world giants like Accor are shifting to eradicate single-use plastics at their luxurious resorts.

The youthful look of luxurious

Talking of IHG, its representatives supplied an attention-grabbing statistic on the speedy demographic shift in who’s filling up ultra-luxe resorts.

By 2025, 61% of luxurious customers will comprise Millennials and Technology Zers, Tom Rowntree, IHG’s vp of world luxurious manufacturers, stated. Which may additionally clarify why so many lodge firms are dashing to point out simply how sustainable they’re, as polls present youthful generations sometimes care extra about local weather activism.

“What we’re seeing is a democratization in shopping for conduct inside households in as a lot as dad and mom are consulting with their youngsters, and the kids [are] having an influencing issue on that father or mother’s buying conduct,” Rowntree stated.

Optimism within the face of uncertainty

It looks as if each day brings a brand new spherical of layoffs at main firms worldwide, but it surely was laborious to search out any nerves rattling within the conference corridor.

The attendees included manufacturers like Cheval Blanc (a room at its Paris lodge Friday evening begins at $2,000). It doesn’t seem like blind optimism, although.

An American Categorical and Altiant report launched on the convention reveals practically 60% of rich vacationers plan to spend extra on journey in 2023. Solely 10% stated they deliberate to drag again on journey spending.

Watch your again, Hilton and Marriott

Marriott Worldwide and Hilton, the world’s largest lodge firms, each touted upcoming development to their luxurious manufacturers like Version and Waldorf Astoria.

Nonetheless, a number of the extra attention-grabbing strikes got here from different world powerhouses like IHG and Accor. IHG centered a lot of its luxurious development story on manufacturers like Six Senses and Regent, which sit above the corporate’s historic luxurious model of InterContinental.

Accor’s development technique hinges on manufacturers like Fairmont, Sofitel and Raffles, in addition to way of life ideas below the Ennismore banner — that includes manufacturers like Gleneagles and The Hoxton.

Is it sufficient to make folks ditch their Marriott Bonvoy or Hilton Honors accounts immediately? Most likely not, however these are quickly rising, formidable gamers value contemplating subsequent time you ebook a high-end getaway.

Smaller, unbiased and liking it that approach

Factors and miles devotees, like many people, will doubtless follow luxurious manufacturers inside the community of a respective loyalty program. Nonetheless, it’s placing to see simply what number of smaller collections on the market are simply superb with remaining smaller gamers with robust grips within the luxurious sphere.

The Dorchester Assortment — the proprietor of properties such because the Hôtel Plaza Athénée in Paris, The Dorchester in London and The Beverly Hills Resort in Los Angeles — has 9 resorts open world wide, with upcoming openings deliberate in Dubai and Tokyo.

Cheval Blanc operates 5 resorts. Belmond, one of many larger manufacturers of the smaller gamers, has 35 resorts and several other luxurious trains just like the Venice Simplon Orient Categorical.

Not one of the leaders of those manufacturers appeared notably bothered by the very fact they aren’t related to a bigger model community like a Marriott or Hyatt.

Aman’s continued rise

There’s plenty of thriller to the ultra-luxurious and ultra-expensive Aman Resorts. Nonetheless, loads is occurring on the firm past its current opening in New York Metropolis.

The corporate plans to launch its extra reasonably priced Janu model subsequent 12 months in Tokyo. Additionally, there are non-hotel ideas within the works, similar to a efficiency skincare line. The thought behind it’s that you could have Aman vibes from the consolation of your individual residence (plus Aman already sells issues like candles and fragrances).

The corporate is even exploring a loyalty incentive program, in keeping with Harriet Rowlinson, Aman’s world head of selling. Don’t get too excited by the thought of accruing Aman factors, nonetheless. Rowlinson hinted regardless of the end result is perhaps would lean extra within the course of experiential rewards.

The rise of Regent

There’s been just a little debate within the lodge orbit about IHG’s Regent roadmap in recent times because it acquired the model in 2018.

Some questioned how world it may turn into past its robust model id in Asia (although there are Regent resorts in Berlin and southwest Montenegro). IHG throttled the model ahead this week by asserting plans to reopen the Carlton Cannes subsequent 12 months, beforehand an InterContinental, as a Regent. IHG is doing an analogous InterContinental-to-Regent conversion in Hong Kong.

I took a tough hat tour of the Regent building website in Cannes earlier right this moment and whereas I wasn’t allowed to take pictures of what’s underway, I need to say: That is going to be a significant participant within the luxurious journey house.

Cautious consideration to element in restoring the unique Belle Époque design to trendy glory — together with overhauling a car parking zone right into a lush again backyard with a year-round swimming pool — will make the Carlton Cannes, a Regent Resort, a must-stay within the south of France.

Nonetheless, it also needs to be an indication that the broader Regent model might be an important asset for IHG in successful over luxurious vacationers. What does it do this Six Senses doesn’t? Consider Regent as the posh model that’s going to return with a lot bigger resorts.

“It is luxurious at scale,” Jane Mackie, senior vp of world advertising of luxurious manufacturers at IHG, stated of Regent. “Six Senses has that very a lot sustainability-focused design [and] a bit extra minimalism. With Regent, we do have what we name surprising concord, some surprises within the design, and we at all times say that the lodge design ought to have 10% decadence.”

All aboard

The star of the whole convention was a prepare automotive from Belmond’s Venice Simplon Orient Categorical that was parked exterior the venue.

Not solely was it nice for picture alternatives, however the prepare additionally comes at a time when Belmond is seeing robust development in demand for the posh prepare.

The corporate even plans to roll out new suites on the prepare subsequent 12 months to fulfill demand. It is not the one one working within the house: Accor plans to roll out its personal line of Orient Categorical routes with restored trains in 2024.