Club Med Pacific marks a year of 200% growth in 2023 with an impressive outlook for 2024
NEWS
Healthy demand for Snow and Sun holidays, an aggressive global expansion plan and strong mountain leadership drive Club Med’s optimistic outlook for 2024
19 March 2024, Sydney, Australia: Club Med, the pioneer of premium all-inclusive holidays, is celebrating a year of resilience and significant achievements, with 2023 marked by strong growth and financial performance. The worldwide group’s 2023 results reinforce its market leadership in snow and sun holidays across the globe with the anticipation of a robust outlook for 2024.
Highlights of Club Med’s global achievements in 2023 include a surge in business volume by 17% compared to 2022, amounting to €1,981M, based on upgraded, but reduced resort capacity of 2.3% compared to 2019. Its resorts also witnessed a record surge in operating income amounting to €174M, a staggering increase of 64% compared to 2022, and more than 70% compared to 2019.
More than 1.5 million customers visited a Club Med resort in 2024, a steep increase of 16% compared to 2022, largely due to the rebound of travel across Asia in 2022 following continued Pandemic restrictions.
Club Med’s East South Asia Pacific region doubled its business volume of 102% since 2022 and saw significant upswing in its customer’s base with a remarkable rise in bookings of 43% compared to 2022 – a figure reflective of pre pandemic levels.
This increase in guests was partly due to the revenge travel phenomenon, a strong momentum on domestic travel across Japan & Malaysia, and the success of Club Med’s mountain business (+44% vs pre-pandemic).
Reflecting on the results of 2023, Rachael Harding, CEO of Club Med ESAP Markets, said: “Club Med’s exceptional results are a testament to our market leadership in premium, all-inclusive holidays, especially in our mountain resorts.
“Embracing our refreshed brand identity and campaign, ‘That’s l’Esprit Libre‘, we will continue to create experiences that allow our guests to disconnect from the worries and mental burden of everyday life to fully embrace the present. This will be achieved through doubling down on the essence of holidays with Club Med where well-designed spaces, curated sports and activities, signature festive ambience and our international team of G.Os are synonymous with our premium all-inclusive program.
“With a robust expansion plan, Club Med is well-positioned to cater to the travellers of today & tomorrow.”
Not only has the brand witnessed significant growth at a global and regional level, but the Club Med Pacific market has also achieved new heights with strong demand for its premium all-inclusive resorts. Witnessing a substantial 200% year on year increase in sales, Club Med continues to dominate the mountain holiday market with business volume for both its Japan and Europe ski resorts skyrocketing. With Japan a hot spot for Kiwis, Club Med’s Japan ski resorts recorded a staggering increase in sales by 916% since 2022. Demand for European ski experiences are also continuing to soar with Club Med’s Europe ski resorts boasting a growth of 514% year on year.
Club Med’s Asian sun resorts are proving to be the preference for a warm getaway for Kiwis with sales for its Bali resort increasing by 161% since 2022. The Pacific market is already predicting a successful year with sales for 2024 already predicted to rise by 36% from the previous year.
Michelle Davies, General Manager for Club Med Pacific said: “The results coming from the Australian market have been remarkable. We might not have been the first country to experience the travel boom, but we certainly have made our mark on the world tourism stage.
“The Australian market remains incredibly resilient with Australian families continuing to prioritise travel and holiday experiences, more than ever. As airlift has increased, we witnessed the demand for destinations such as Japan and Bali grow exponentially.
“It seems Australian families are placing high emphasis on Club Med with its all-inclusive model, allowing them to travel further and longer with ski destinations such as the French Alps increasing by 514% YoY.
“As we enter 2024, we know families are looking for wholesome experiences shared together, a touch of luxury and a chance to disconnect and create cherished memories. All core aspects Club Med prides itself on delivering.”
Based on encouraging performance indicators, Club Med gleaned insights on dominant travel trends and guest preferences that will guide business strategies in the months ahead. Some of the travel trends identified in the 2023 results include:
- Reinforced Leadership in Premium, All-inclusive Holidays
In a rapidly evolving travel landscape, Club Med reaffirmed the enduring appeal of its premium all-inclusive holidays in 2023. Despite the macroeconomic uncertainties, geopolitical unrest and the rising cost of living, travel demand continues to soar. As discerning travellers increasingly seek hassle-free, comprehensive holiday experiences, Club Med’s offerings will continue to provide unparalleled value and world-class hospitality.
Following the success of Club Med Tignes and Club Med Val d’Isère in the French Alps, Club Med is prioritising the expansion of its Exclusive Collection portfolio by adding more properties and enhancing Exclusive Collection spaces within its Four-Trident (Four-star) Resorts. The brand’s unwavering dedication to elevate its premium experiences has solidified its position as a relevant, global leader in the all-inclusive segment, reaffirming the allure of carefree and all-encompassing holidays that fulfils the holiday dreams of today’s travellers.
- Commitment towards Sustainability and Eco-tourism
Club Med’s commitment to sustainability continues to take centre stage through its Happy to Care program, from minimising the environmental impact of its operations to empowering local communities. The brand aims to further reduce its carbon footprint, by enhancing waste management practices, such as the elimination of single-use plastic and combatting food waste and championing eco-friendly initiatives across its Resorts to ensure that each guest can revel in an unforgettable holiday while contributing to the preservation of the planet.
Additionally, Club Med commits to eco-certify the construction of all its new Resorts with BREEAM or their local equivalent as part of its continued efforts dedicated to responsible tourism, as well as to obtain Green Globe certification, ensuring both new and existing Resorts are sustainably operated.
- Appeal of Snow Holidays
In a recent snow holiday study commissioned by Club Med, 3,500 respondents unanimously attested that snow holidays are growing in popularity, driven by the thrill of winter sports and the charm of snow-covered landscapes. The desire to escape daily tropical monotony motivates 45% of respondents to embark on these snowy getaways. Exploring new cultures and cuisines at the destination also adds to the appeal, with excursions to local sights, tasting local delicacies, and convenient ski gear rentals being among the top desired additional services for snow holiday enthusiasts. Notably, over 80% of respondents concur that all-inclusive snow holidays offer not only convenience but also a chance to indulge in a variety of activities, reinforcing Club Med’s positioning of a hassle free, all-inclusive experience.
These findings aligned with and were reflected in Club Med’s strong business volume recorded in 2023 and is expected to grow in 2024.
Gearing Up for Growth
Looking forward to 2024 and beyond, Club Med continues its ambition to be the most desirable holiday lifestyle brand and is poised for dynamic growth and expansion with plans to introduce several new resorts in key destinations worldwide.
With further details of new resort openings to be released very soon, renovation highlights include:
Club Med Phuket, Thailand (2024)
Having recently completed the first phase of its room renovations, guests visiting Club Med Phuket can look forward to the completely redesigned Superior and Deluxe rooms, inspired by the natural beauty of Phuket and feature sustainable, locally crafted furnishings.
In 2024, Club Med Phuket will undergo the second phase which includes:
- Family Oasis: As the first-ever Family Oasis in ESAP, this newly extended family zone will feature 32 Family Rooms and a family water play area, specially designed to offer a space for families to relax, have fun and create lasting memories together.
- Enhanced Rooms: Part of the brand’s ongoing commitment to providing guests with the best possible experience, the Resort will continue its room refreshment that is scheduled to be completed by end 2024.
For more information on Club Med, visit www.clubmed.co.nz.
