CPP-LUXURY.COM has recently interviewed Aaron Kaupp, General Manager of the Royal Monceau Raffles about the Parisian luxury hotel market.
How has The Royal Monceau Raffles performed last year and also the beginning of this year?
2016 with everything that happened in the World and in France was a very challenging year., but the 1st quarter of this year is off to a great start and we can see business rebounding slowly.
Has Paris recovered from the recent terror attacks? Has the consumer target changed?
It is still recovering, but coming back slowly. Our consumers are the same and will always be the same, it is a luxury segment and Paris will always be Paris, meaning special a destination you cant stay away from.
Which are the biggest disruptors in your operations nowadays? (ex. AirBnB). Which is the competitive edge of RM Raffles towards such disruptors?
Demand is surely a challenge these days but AirBnB, I don’t consider it to be a competitor as it is a different experience one is looking for, If you are a Palace Guest you choose that for precise reasons, first being service and you can’t find that elsewhere.
What is the impact of technology and digital on your operations – marketing, sales, communications?
Digital and Social Media becomes more and more important and we are really looking into this tool not only as a sales tool but a lifestyle tool.
Do customers expect faster renovations? What is your view on renovations?
Renovations are important to keep up with the Market and with customer needs hence every year we have projects to improve the Hotel and give our customers the best in quality which is a differentiator today.
The opening of Le Crillon this summer will add more pressure on pricing. What is your view on the rate strategy?
I think that first of all all Palace Hotels in Paris compliment each other, there is something for every kind of traveler and their various needs, pricing will not change as we are all have the same goal.
How has the Matsuhisa Paris performed? What kind of customers does it attract?
It is a winning concept and we implemented it as we looked what Paris does not offer, as our clientel is a local one we wanted to offer something for them and it has kept with what we imagined it would, it is doing excellent.
To what extent is staff turnover an issue in Paris?
In a city like Paris, it is a challenge as so many luxury hotels and more coming, so career advances for staff is greater, but it is to us to keep our valued assets and make sure we look after them.
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