Le Méridien and Nikko Hotels’ strategic alliance paying dividends - 30 per cent increase in Japenese business one year on

Luxury global hotel group Le Méridien has recorded a 30 per cent increase in its business from the hospitality industry’s key Japanese market – just one year after signing its historic global sales, marketing and reservations alliance with Japan’s Nikko Hotels International.

The sales increase has resulted from several sales and marketing initiatives implemented shortly after the alliance was signed on April 3 last year. The initiatives include Le Méridien’s directory being printed in Japanese and distributed to key corporate accounts and leisure operators in Japan; joint directories; an increased Le Méridien presence at travel trade shows and joint roadshows in Japan and the two companies hyper-linking their web-sites.

Le Méridien also has seen a significant increase in number of stays at its properties in the UK, France, Italy and Spain through the JAL Mileage Bank loyalty programme with a year-on-year increase of 42 per cent.

At the time of signing the strategic alliance last April, Le Méridien’s Japanese customer base was 9 per cent of its total business, with the aim of increasing that figure to 12 per cent within three years. Just 12 months into the alliance, the increase is already 11 per cent - representing an increase of 125,000 room nights.

Le Méridien president and managing director, Bernard Lambert, said: "With this 30 per cent increase, Japan is now our third revenue-generating market and we have outperformed the competition. This could not have happened without our partnership with Nikko Hotels, which has contributed to the current success of Le Méridien.

"However, this is only the first phase. For the very near future, we have even more ambitious plans, which include the exchange of staff and closer distribution channels such as reservations and loyalty programmes, plus increased joint sales activity.

"Our strategic alliance with Nikko is unique in the global hotel industry."

The alliance – which includes 22 Nikko Hotels outside of Japan – gives Le Méridien an increased presence in Asia Pacific and certain areas of North America (such as San Francisco and Mexico City), thus giving Le Méridien a combined marketing portfolio of 147 hotels in 63 countries and territories. For Nikko, it offers an increased presence in one of its key markets – Europe – where Le Méridien has 48 hotels.