DISCOVER THE WORLD OF MERCURE

APRIL 2011

DISCOVER THE WORLD OF MERCURE…




A strong worldwide brand




A brand with personality committed to quality




A brand serving business and leisure guests




A dynamic brand communication




A powerful distribution and loyalty

2

A STRONG WORLDWIDE BRAND

MERCURE, THE LEADING MIDSCALE BRAND OF ACCOR

Standardized

Non-standardized

Extended stay

Associated expertises

Luxury

Upscale

Midscale 700 HOTELS

Economy

Budget

Outside Europe In Europe

In France

4

MERCURE, THE LEADING MIDSCALE HOTEL OPERATOR WORLDWIDE IDENTITY CARD

The leading operator*in the mid-scale market


50 countries, 25,800 staff




700 hotels & 83,428 rooms




Over 70 000 guests every day in Mercure hotels

The leading brand in key hotel markets


Europe (France, Germany…) Brazil, Australia, …

A real experience


For business and leisure travellers




Great location diversity: from city-centers to resorts




The impeccable standards of a well-known brand




A brand of ACCOR

Shared identity items


Individual hotels with personality and local touches




Unparalleled hospitality know-how




The “Privilège” Room




Meeting rooms, business centers…




Wine and dine: Grands Vins, Cups and tastes, generous breakfast, …

Data as of 1st January 2010 - *in number of hotels either managed or operated by Mercure as of end of 2009

5

MERCURE ON DOMESTIC MARKET – POLAND (End July 2012)

GDAŃSK MRĄGOWO

TORUŃ

POZNAŃ

KARPACZ

WARSZAWA

WROCŁAW LUBLIN

CZĘSTOCHOWA

JELENIA GÓRA

ZAMOŚĆ

OPOLE ZAKOPANE

6

A WELL BALANCED PORTFOLIO BY MANAGEMENT STATUS

Franchised or Managed

66% (78%)

Franchised 40% (48%)

Managed 28% (30%)

Subsidiaries 32% (22%) (%) in 2015

Global network (as of December 2010)

7

A DYNAMIC DEVELOPMENT, 1,000 HOTELS BY 2015

40 OPENINGS IN 2009 IN THE WORLD





BANGALORE - INDIA

18 in Europe 10 in Oceania 11 in Asia 1 in America including Bangalore, Riyadh, Sapporo, Biarritz, Koh Samui, Madrid, Hanoï …

32 OPENINGS IN 2010 in Belgium (Brussels and Louvain), China (Beijing and Shanghai), France (Chartres), India (Hyderabad and Lavasa), Slovakia (Bratislava), Spain (Madrid), UK (London, Southampton)

+/- 300 NEW HOTELS BY 2015 Development to be done in all continents but mainly in Europe and through Franchise (70%) or in ASPAC through management (20%). BEIJING - CHINA

8

A BRAND WITH PERSONALITY COMMITTED TO QUALITY

MERCURE PROMISE A genuine hotel experience guaranteed by a strong brand. Whether you are on a business or leisure trip, Mercure promises your stay will be a success through the unique combination it offers:  the strength of an international network of 700 hotels with guaranteed quality standards  and the genuine experience of hotels, all different, rooted in their local community and managed by passionate hoteliers.

10

THE ART OF HOSPITALITY Mercure as experienced by customers… “Reception is great, those girls are terrific, the minute you walk in there’s a smile, here’s your room number, here’s where you’re going, but not only that, when we asked about stuff, because we’ve never been here before, she knew exactly where to send us.” (Bristol, UK, Leisure)

“The assistance is nice, smooth, fast.” (Sao Paulo - Brazil, Business)

“I feel at home when I see the warm smile of the staff” (Xian, China, Leisure)

“I had a very nice experience, I was traveling with my fiancé, they knew we were engaged, when we got to the room, there was a rose on the bed. I thought it was super cool.” ( Sao Paulo, Brazil, Leisure) Source : IPSOS STUDY DEC. 2009 - JAN. 2010

11

MERCURE’S COMMITED TO MEASURABLE QUALITY Mercure is proud of its diversity but is stringent on quality standards with the worldwide implementation and control of: 1.

Brand Vision mystery audits

2.

Hygiene audits (rooms and F&B)

3.

Guest on line satisfaction surveys with ongoing monitoring

CLIENTS’ SATISFACTION RATES* Satisfied Very Satisfied

41%

“Thinking about your overall stay, how satisfied were you with your overall experience as a guest?” (10-point scale)

*Source: Guest Satisfaction Survey 2009 (MKG/Medallia) (1) Based on average value for five key countries

% of satisfied guests (scores 7-10) % of very satisfied guests (scores 9 -10)

12

THE MERCURE EXPERIENCE

DIJON CENTRE

PERPIGNAN CENTRE

DIEPPE LA PRESIDENCE

VERSAILLES CHATEAU

PARIS GARE DE LYON

13

THE MERCURE EXPERIENCE

LYON LES BROTTEAUX

CASTLE WINDSOR

MADRID SANTO DOMINGO

UTRECHT NIEUWEGEIN

PARIS MONTMARTRE

BRATISLAVA CENTRUM

14

THE MERCURE EXPERIENCE

MERCURE GRAND WARSZAWA

MERCURE HEVELIUS GDAŃSK

15

THE MERCURE PRIVILEGE ROOM

Bath robe

Mini fridge*

Coffee & tea making facility (preferably expresso)

Free mineral water

Free newspaper with Privilege label

* In addition to still mineral water :1 sparkling water, 2 sodas, 1 orange juice – in participating hotels

16

MERCURE WINE & DINE STYLES

BIARRITZ LE PRESIDENT

QUIMPER CENTRE

BERLIN CITY WEST

FRANKFURT NEU ISENBURG

VIENNE WIEN_ZENTRUM

AMSTERDAM ARTHUR FROMMER

17

MERCURE WINE & DINE STYLES

PARIS PORTE DE VERSAILLES VAUGIRARD

ANNEMASSE

BERLIN CITY WEST

CHATELAILLON LES 3 ILETS

EASTGATE HOTEL OXFORD

NUREMBERG FÜRTH

WARSAW GRAND

18

MERCURE WINE & DINE STYLES

MERCURE GRAND WARSZAWA

MERCURE HEVELIUS GDAŃSK

MERCURE MRONGOVIA RESORT&SPA

MERCURE PANORAMA WROCLAW

19

MERCURE WINE & DINE LOCAL FLAVOURS Mercure thrives to offer clients a journey into local flavours either at breakfast, lunch or dinner or even at the bar, but always with quality products.

20

GRANDS VINS MERCURE* Mercure selection of wines at unbeatable prices Also available by the glass. Guests share a moment of pleasure and discovery and choose from our 4 different family of flavours.

The Mercure Echansons are specially trained to provide the right advice…

*In participating hotels

21

A BRAND SERVING BUSINESS & LEISURE GUESTS

AN ATTRACTIVE DIVERSITY OF LOCATIONS & PROFILES Worldwide Downtown Capital & major cities

44%

Secondary cities

28%

Stopover

1%

Suburbs Capitals & major cities Airports

BRAZIL

14% 4%

Sea, country, mountain, resort destinations 12% THAILAND

FRANCE

UNITED KINGDOM

FRANCE

Nb : hotels may belong to 2 profiles so total exceeds 100% ; this breakdown is solely based on location and will be reviewed to incorporate major specifics such as provision of meeting space.

23

AN ATTRACTIVE DIVERSITY OF LOCATIONS & PROFILES Poland

Downtown Capital & major cities

15,3 %

Secondary cities

46,2 %

Stopover

0%

Suburbs Capitals & major cities

7,7 %

Airports

0%

Sea, country, mountain, resort destinations

30,7 % GDAŃSK

POZNAŃ

WARSZAWA

ZAKOPANE

Nb : hotels may belong to 2 profiles so total exceeds 100% ; this breakdown is solely based on location and will be reviewed to incorporate major specifics such as provision of meeting space.

24

AN ATTRACTIVE GUEST SEGMENTATION AND PROFILE BOTH BUSINESS AND LEISURE (worldwide and in % of total revenue)

63% Business 37% Leisure

Business Individual (46%) Leisure Individual (25%) Business Groups (17%) Leisure Groups (12%)

Global network excl. franchisees (12/2010)

AN ATTRACTIVE GUEST PROFILE GENDER

AGE

ORIGIN

67%

64%

PURPOSE OF STAY

INCOME

63%

53% 33%

35% 36%

29%

37%

Female

< 35

35 to 55 > 55

17%

9%

18% Male

39%

Domestic International

Business Leisure

Low

Low Medium Medium High

High

Source: MRCI analysis using GSS, MKG Guest Profile, BPM, CP 2007/8 Countries covered: FR, DE, Bra, UK, China, AUS,NZ, NL, ITL, PL, HU, Thailand, Indonesia, CH (85% of worldwide network covered)

25

A BRAND FOR ALL GUESTS’ NEEDS - WORLDWIDE TAILORED FOR BUSINESS

IDEAL FOR LEISURE

26

A BRAND FOR ALL GUESTS’ NEEDS - POLAND TAILORED FOR BUSINESS

IDEAL FOR LEISURE

27

A DYNAMIC BRAND COMMUNICATION

… WITH A NEW COMMUNICATION PLATFORM • A strong and positive leader tone of voice • A single signature worldwide • An attractive and differentiating creative approach • Expression of the brand vitality and diversity as a strength • A positive and aspirational client promise through the original addition of benefits • A good balance between rational and emotional • A positive message for partners and teams • An easy to use toolbox for roll out A

+

B

+

C

= 29

A FLEXIBLE COMMUNICATION TERRITORY PROMOTING BRAND, PRODUCT AND PROMOTIONS ON BOTH TARGETS : LEISURE AND BUSINESS BRAND

INTERNET

BUSINESS PRODUCTS

OPENING

LEISURE PRODUCTS

PROMOTIONAL OFFER

30

A FLEXIBLE COMMUNICATION TERRITORY

31

A POWERFUL DISTRIBUTION AND LOYALTY

A PROMOTIONAL & DISTRIBUTION MERCURE.COM A new stronger "Glocal" mercure.com


A stronger brand positioning and promotional tool




Clear readable segments and offers




Promotion of network size, choice of offers and international flows




Geo-localised content management to reflect the countries and hotel(s) distribution and franchise needs in 6 languages




Mercure embodied by its teams




Aligned graphically with the communication platform




A new Mercure pricing and promotional structure

The KPI’s vs. 2009


2,2 Million room nights in 2010 (+34%*)




12,8 Million unique visitors on mercure.com (+19%)




540 000 subscribers to Mercure newsletters




660 k€ in search

(*) : Booked on mercure.com and accorhotels.com YTD November 2010

33

A STRONG MULTIBRAND WEB PORTAL AND LOYALTY OFFER Accorhotels.com 73 million unique visitors in 2010 (Mercure)


Accorhotels.com is a major European travel online player with 20% of room nights booked for Mercure hotels

2009

10.8 M€ a year on search marketing


spent on Accorhotels.com and brands websites.

7M subscribers database 23 versions adapted to country needs Mercure’s loyalty offer with Le Club Up to 21% Le Club members penetration for Mercure and still growing


Free loyalty or subscription cards




15% increased average rate and longer stays




Also 2000 hotels in 9 brands + partners

34

A GLOBAL DISTRIBUTION NETWORK Global preferred distribution contracts*


With all main actors in the traditional distribution such as Amex, CWT…




With all main actors of the online distribution such as Expedia, Booking




With main actors in the Business and Leisure field

2009

Professional BtoB teams and tools


34 sales offices in the world - 250 Global sales Executives out of 700 Sales staff – Managing Strategic and Key accounts on all segments




Central sales CRM – Accor Sales Application




Online BtoB applications and booking tools for business travelers, travel agents, mice and leisure professionals

World class call centers


2.7 million calls handled a year




6 call centers handling 13 languages




20% increased average rate vs.direct hotel booking *Clients mentioned are for illustrative purpose and list is not exhaustive

35

More information on www.mercure.com 700 hotels worldwide