France: the new Eldorado of Chinese people
All the largest French tourism firms are turning to China
Huge Chinese investments in the tourism
The French tourism industry appeal to Chinese investors as the Hexagon is one of the world leaders in this sector.
Club Med, Air France, Compagnie des Alpes, Accor or again Pierre et Vacances are part of the shopping list of several Chinese groups.
New Holiday Clubs, the Club Med bought by Fosun
The group of Chinese investments Fosun recently paid the Club Med, the emblem of leisure and holidays in France.
Currently, Club Med focuses primarily on France because the French are its first customers and because France is the first destination for foreigners.
It is in the Alps that the Club Med appeals the most as there has been 6% more visitors there and an occupancy rate of 90% this year, added with an increase of 3.6% of the turnover.
But it is time to focus on the Chinese market. The idea is to open new Chinese villages and implement some clubs in the territory because the number of Chinese visitors in the group’s resorts is not very high yet.
More flights to China, a partnership with Air France
Air France is currently seeking an Asian partner to improve its travels to China. The company is already linked to Chinese airlines such as China Airlines, China Eastern and China Southern Airlines but it also looks at Singapore Airlines to expand its network.
China would like to improve the international travels of its middle class. That is why Chinese companies are really interested to invest in international airlines.
Skiing in China, a partnership with “la Compagnie des Alpes”
“La Compagnie des Alpes” is a company developing ski resorts in managing their ski areas and funding lifts. She is also involved in amusement parks like Asterix, Futuroscope, Walibi …
This is a new target for Chinese investors as the ski tourism is one of the most promising today in the travel industry.
The Chinese could be 10 million interested in skiing and the company could take advantage of it by building ski resorts in the vast country.
The Chinese group Fosun offered the company an association to help it in this development and thus take 10% of its capital.
More Hotels in China, the war between Chinese investors to buy Accor
Accor, the European leader in the luxury hotel industry with its brands Sofitel, Ibis, Mercure, Novotel and many others, plans to expand in China since the country is still under-equipped in hotels.
But it has already found its Chinese partners: HNA, a private company that can help thanks to its local expertise.
Jin Jiang also, HNA’s competitor, wants to buy the shares of the two main shareholders of Accor. This would give him a little less than 29% of capital.
The problem is that both groups are competitors, that could lead to strong rivalries and conflicts within the group if HNA does not accept the Jin Jiang ‘s funds.
Accor will have perhaps to change its partner in China if it fails to eject Jin Jiang of its capital.
More Chinese tourism residences, Pierre & Vacances and HNA
HNA has other projects in France and focuses on “Pierre et Vacances”, the leader in holiday residences, to which it already bought 10% of the capital.
So China appears to be the first tourism market in the coming years. The Chinese are more and more likely to travel and are often passionate about France. Almost the totality of large French groups are already in partnership with Chinese companies.