More Thai people visit ski resorts than before Covid-19 pandemic
Club Med celebrated a year of resilience and significant achievements in 2023, marked by strong growth and financial performance.
The group's 2023 results solidify its market leadership in snow and sun holidays globally, with a robust outlook for 2024.
Business volume reached €1,981M in 2023, up 17% from 2022 and 16% from 2019. Resort operating income hit €174M, a 64% increase from 2022 and 70% from 2019.
Resort capacity grew by 6% from 2022, with 97% upscale or very upscale capacity (+10 points vs. 2019). Club Med welcomed over 1.5 million guests in 2023, up 16% year-over-year, driven by Asian travel rebound.
The average room occupancy rate rose to 70% (+3.4pts from 2022). Operating margin increased to 9.5% (+50% vs 2019) due to an upmarket strategy and business model optimization.
By mid-2024, all Club Med Resorts will transform to a 100% Premium or Exclusive Collection.
The first half 2024 bookings surged +14% vs 2023, already at a record level.
In the ESAP region, business volume doubled year-over-year (+102%) and grew 6% vs 2019. Guest numbers rose 43% vs 2022, reaching pre-pandemic levels.
The momentum continues with strong trends at Club Med Kiroro Grand, the fourth Mountain Resort in Japan, opened in December 2023. Thailand and Southeast Asia markets, excluding Singapore and Malaysia, have shown significant growth, especially in the ski and mountain business, solidifying leadership in mountain destinations.
The Cluster saw remarkable 74% growth compared to 2022, reaching pre-pandemic levels, with Thailand contributing approximately 65% of the total business volume. Ski and mountain business proportions are expanding across markets, with increasing percentages per market from 2019 to 2023:
Thailand: from 33% to 50%
Indonesia: from 29% to 35%
India: from 6% to 19%
Other new markets: from 24% to 44%
Thailand's ski business is on a significant upward trend, growing 75% compared to 2019, attributed to effective diversification strategies. Volume expanded to Club Med ski resorts in Hokkaido and other destinations, notably in Europe, with an impressive 330% increase compared to 2019.
This growth is partly due to the revenge travel phenomenon and the success of the ski and mountain business (+75% vs pre-pandemic), supported by the opening of Club Med Kiroro Peak in December 2022 and a diversification strategy introducing new ski destinations, particularly in Europe.
Reflecting on 2023, Club Med's CEO Rachael Harding stated, "Our exceptional results demonstrate market leadership in premium, all-inclusive holidays, especially in Mountain Resorts. Embracing 'That’s l’Esprit Libre', we create experiences allowing guests to disconnect and fully embrace the present. This includes well-designed spaces, curated activities, festive ambience, and our international team. With expansion plans, we cater to today and tomorrow's travellers."
Bruno Courbet, Thailand Country Director, noted, "Club Med's all-inclusive offer shines, especially in ski destinations. Diversification and expansion, including visa ease to China and Canada, and direct flights to family-friendly spots, enhance our holiday experiences for discerning clients."
