Accor, the world’s leading hotel operator, is set to open 20 new hotels next year, most of them listed as economy accommodations, in order to tap into the growing business traveler market in Indonesia, an executive says.
Accor Asia Pacific’s vice president of communications, Evan Lewis, said the expansion would include not only first- and second-tier cities in the country but also third-tier locations, such as Palu in Central Sulawesi.
“We are expanding our hotel services to cover every segment in Indonesia. We are going to see an influx of economy and budget hotels next year,” Lewis said on the sidelines of Accor’s business traveler research event in Jakarta on Wednesday.
“We are entering third-tier cities here because the economy is strong, the industry is spreading out and it requires more accommodations”
He said the company would open their budget accommodation under the brands Ibis Styles, Ibis Budget, and Ibis Hotel, and their mid-range options under Mercure and Novotel brands.
The company plans to open 14 hotels under the Ibis brand in Indonesia’s major cities, including Jakarta, Manado, Semarang, Surabaya and Yogyakarta.
In Jakarta alone, Accor plans to operate five new Ibis hotels: three in Central Jakarta (Gajah Mada, Harmoni and Senen); one in West Jakarta (Daan Mogot) and one at Soekarno-Hatta International Airport, with a total number of rooms ranging from between 120 and 200.
The company also plans to open Mercure hotels in three locations: Harmoni in Central Jakarta; Palu in Central Sulawesi; and Alam Sutera in Serpong, Banten.
According to the company’s data, the Grand Mercure Maha Cipta Jakarta in Harmoni will have 487 rooms, the largest number of rooms among the hotels they will be opening next year.
Similar to the Mercure, Accor’s new Novotel hotels will be launched in three different cities: Banjarmasin, South Kalimantan; Makassar, South Sulawesi; and Tangerang, Banten.
The Novotel Makassar Grand Shayla, which is set to open at the end of next year, will have 250 rooms, the highest number of the three Novotels.
“We have a lot of experience in Indonesia, so we are very optimistic about our continued success with our hotels here,” Lewis said.
He added that they were considering opening a Sofitel, the operator’s luxury hotel chain, in Indonesia after 2015.
Accor first began operations in Indonesia 19 years ago and currently boasts a hotel network of 52 hotels in 20 cities across the country.
Their most-recent hotel was the 201-room Mercure Bali Nusa Dua, located close to the prominent Bali Tourism Development Complex (BTDC), which was opened on Sept. 23.
Accor runs more than 4,200 hotels worldwide under brand names such as Ibis, McGallery, Mercure, Novotel, Pullman and Sofitel.
Its average total occupancy rate across all its hotels stands at around 80 percent.