All-inclusive pioneer talks differentiation in the mountain resort space, as well as pipeline.
INTERNATIONAL REPORT – Club Med recorded more than $2
billion in sales for the first time in its history, just ahead of the company
celebrating its 75th anniversary this year. It said it has completed a 20-year
transformation to an entirely premium and luxury portfolio and has significantly
expanded its mountain resort footprint.
Travel Weekly Hotels Editor Christina Jelski spoke with
Carolyne Doyon, CEO of Club Med North America and the Caribbean, to get an
update on what’s next for the all-inclusive pioneer.
Travel Weekly (TW): Following last year's strong
performance, how is Club Med faring so far this year?
Carolyne Doyon: We had record results in 2024 ($2.38
billion in sales). This happened despite being compared against very strong
post-COVID years, when we had what we called revenge travel. And we have a very
loyal base of clients: Around 45% of our clients worldwide come back to Club
Med. We also just closed our first semester [Q1 and Q2], which was positive
compared to last year, and we had record Q1 results worldwide.
TW: How has Club Med differentiated itself in the
mountain resort space?
Doyon: There’s no other [all-inclusive product]
bundling airfare, transfers, ski lessons, child care, dining, entertainment and
all other activities in one price tag. Once you factor in flights, your condo,
your ticket for your ski lift, lessons and so on at a non-all-inclusive resort,
and you compare that side by side [with Club Med], the value is tremendous. And
the skier of today is not the same as before. Now, these are families where not
everyone skis, or skis at the same level. At Club Med, one parent can ski while
the other does snowshoeing or yoga.
TW: How do you handle the seasonality of mountain
resorts?
Doyon: Some of our mountain resorts, we open them for
two seasons a year, the ski season and summer season. We have 17 resorts in the
French Alps, for example; out of those, we open usually five or six again from
June to September.
In North America, we do open Club Med Charlevoix almost all
year round; we do two seasonal closures of four or five weeks each time between
the seasons. We also look at complementary markets, because it helps us to
maintain a good occupancy rate throughout the year. Sometimes for North
Americans, there’s a dip in travel [when kids head] back to school or after
Christmas and New Year in January.
In our mountain resorts in Europe, there’s also a dip just
after New Year. So, what we have [focused on is building] the South American
market, because for Brazilians, it’s their summer vacation. So, we are full the
entire ski season, with different nationalities. And our Brazilian guests ski
maybe three to four hours a day, then they want to discover, shop, eat and
enjoy life.
TW: Are there expansion projects in the pipeline?
Doyon: We’re looking to open a ski resort every year or
every two years. We have San Sicario in the Italian Alps, and that should be
[opening in] December 2028. We’re also [exploring the possibility of] a second
resort in Quebec. And there’s something we’re looking at in the U.S. We’re
looking at opening our South Africa resort next summer, and that’s going to be
our first surf-and-beach safari resort. We also have a second Malaysian resort,
which will be in Borneo, on our road map.
The client we’re catering to is affluent or very affluent
and looking for a hassle-free vacation, where things are taken care of for
them. They also want to get out of the normal all-inclusive geography. So, that’s
why we’re pushing to continue to develop the mountain product, because it’s a
very strong differentiator, and continue to develop our worldwide footprint,
looking at destinations like Oman, or new destinations in Asia and so on.
Note: This story first appeared in Travel Weekly