Meliá Hotels International began as a resort hotel company in Mallorca in Spain, and is the only hotel chain among the top 20 hotel companies in the world that has its origins in the resort hotel business. Nowadays, Meliá is a multinational company with almost 380 hotels in 43 countries, and around 70% of its operating revenue comes from outside Spain, with hotels outside of Spain making up more than 90% of its future growth pipeline.
This international vocation has undoubtedly been a major strength in maintaining its leadership in an increasingly global market, and has contributed to its growth and diversified risks. However, the 150 hotels that Meliá operates in Spain, and the significant investment by the company in hotels throughout the country, are the most obvious signs of its continued commitment to Spain, a commitment that is further enhanced by the need to capitalize on the magnificent current performance of Spain as a travel destination.
If the estimates of over 80 million international visitors is achieved, Spain will be competing with France and the United States to become the world's leading travel destination. Meliá hotels in Spain have seen spectacular growth in results, with RevPAR (revenue per available room) growing by over 42% in resort hotels in 2016 and 10% in city hotels.
Together with a favourable international situation and Spain’s unique conditions as a destination for vacations, culture, gastronomy and MICE, the company is reaping the rewards of a renovation and repositioning strategy for its hotels in Spain in which it has invested more than 500 million euros between 2011 and 2016 to increase quality, profitability, and the sustainability of destinations. Among the more than 30 hotels already renovated within the framework of this extensive programme, the company highlights the following for their emblematic nature and premium locations on the beach or in the city:
City hotels:
Gran Meliá Palacio de los Duques (Madrid): €20 M investment
Meliá Galgos (Madrid) €12 M
Meliá Lebreros (Seville) €9 M
Meliá Barcelona Sky (Barcelona) €7 M
Innside Bosque (Palma de Mallorca) €9 M
Meliá Madrid Princesa (Madrid) €2.2 M
Resort hotels:
Meliá Gorriones (Lanzarote): €25 M
Meliá Salinas (Lanzarote): €10 M
Meliá Calviá Beach (Mallorca): €18 M
Meliá Cala Galdana (Menorca): €16 M
Gran Meliá de Mar (Mallorca): €4 M
Meliá Jardines del Teide (Tenerife): €6.5 M
The company is also leading the repositioning strategy for several Spanish resort destinations which pioneered tourism development in the 1960s, such as Magaluf in Calviá, Majorca (where it will have invested almost €220 million with partners up to 2018), and Torremolinos, with an investment of 45 million euros, or the recent renovation and rebranding of hotels in Ibiza, which have seen up to 300% growth in RevPAR.
This strategy includes physical renovation, re-branding, and a new sales and marketing strategy, and has already led to changes in the segmentation of hotel guests, with more discerning guests, greater feeder market diversity, a clear increase in the proportion of online sales (melia.com is the company's top sales channel) and a growth in loyalty and improved reputation. Since 2012, in Magaluf, the company reports that room revenue has increased by 98%, RevPAR of the renovated hotels by 83%, purchases from local suppliers by 94% and employment by 45% since 2011.
Other renovated hotels include the Meliá Alicante, Meliá Granada, Meliá Sevilla, Meliá Sol y Nieve, Meliá Marbella Banus, Meliá Royal Tanau, Meliá Sitges, Meliá Maria Pita, Meliá Bilbao and Tryp Gran Vía.
In the words of Gabriel Escarrer, Executive Vice Chairman and CEO, "our commitment to Spain is stronger than ever, and we are taking advantage of the positive current situation to strengthen our products and brands. At Meliá we believe that the country will continue to be an exceptional destination.”
