Yeoh Siew Hoon
As intense as it must have been for Benoit Racle and Jean-Yves Minet to meet the teams and get to know the 21 brands that account for 90% of the hotels in Accor's portfolio, the two global brand presidents looked energized and glowing at our early morning meeting at the Movenpick BDMS Wellness Resort Bangkok's cafe overlooking the river.
There was a good reason for that.
"Decaf for me, please," said Racle. "Sparkling water for me, please," added Minet.
Both fit the profile of the healthy-living traveler. Racle, a hospitality veteran who spent the past eight years as vice president, global brand management for W Hotels, does not drink caffeinated coffee and has been alcohol-free for nearly 10 years. "We all travel a lot," he said. "I want to feel as good as I can; and this is the trend for all travelers, that well-being should not be at the expense of travel."
Said Minet, whose skin glows with health, perhaps no surprise given his decade-plus with Estee Lauder: "Statistics show we're going to live longer, and it's about adding life to years, not years to life. People of any age, Gen Z included, are really looking at how they sleep and exercise."
"There's a statistic that says only 11% of youths are smoking in the U.S.," Racle added. "They are also drinking less, and in New York there are alcohol-free bars. So we have to rebuild atmosphere and ambience for people without the alcohol. We have to reinvent ourselves because our guests demand that."
The consulting firm McKinsey & Co. estimates the global consumer-wellness market at $1.8 trillion. Its latest Future Wellness research reports that the wellness market in the U.S. has reached $480 billion, growing at 5% to 10% per year.
"Eighty-two percent of U.S. consumers now consider wellness a top or important priority in their everyday lives, which is similar to what consumers in the United Kingdom and China report (73% and 87%, respectively)," the report said.
A sense of place
Another megatrend that both executives brought up is that of environmental awareness, and it's a trend not limited to the developed world, said Minet, who looked after emerging markets when he was at Estee Lauder.
"I had an opportunity to work in emerging markets in Asia and Africa, and I was really surprised by how much the emerging middle class has evolved in terms of appreciation of sustainability and protecting the environment -- in India, for example," he said.
Added Racle, "Consumers are making choices for the right brand with their wallet. They have more influence now, they know what they want to do."
So even as brands try to build global footprint, they have to understand the nuances of different local markets, especially markets of growth and influence.
"The outbound from India, over the next five to 10 years, will be on a scale like never before," Racle said.