In this exclusive interview, Patrick Mendes, CEO Europe & North Africa | Accor – Premium, Midscale & Economy, talks about exciting investments and brands for Romania, the CEE Region and Europe: „Romania is our second most important market in Eastern Europe. We currently operate 22 hotels with over 2,000 rooms there. We have expanded significantly with five new hotels over the past years, achieving 22% room growth. Our ambition is to reach a network of 50 hotels in Romania by 2026, and we are confident in achieving this goal given our current momentum”. Brief pillars for success in the international market? „Hotel investments are closely linked to a destination’s tourism strategy. Success depends on efficient infrastructure, good mobility within the region and a welcoming community. We believe that to create long-term value, any strategy must align with the broader economic, social and sustainability goals of the destination”, he explains.
Celebrating 20 years since joining Accor, how do you feel – how would you define the role of the company in Europe and top 3-5 accomplishments – or even unexpected dreams of the team that is now a tangible reality?
What is particularly rewarding is how Accor has evolved over the past two decades. Twenty years ago, Europe accounted for 80% of the group; today, it makes up around 45-50%. My ultimate ambition as CEO of Europe & North Africa for Premium, Midscale & Economy brands, is to reinforce our position as the market leader in hospitality across the segment, while encouraging more global travellers to discover the unique charm and beauty of this exciting and diverse region.
Looking at the 2024 full-year results of the Accor Group, one of our most remarkable achievements was maintaining record-breaking growth momentum. Consolidated recurring EBITDA came to €1,120 million for 2024, up 12% vs 2023, setting a new record for the second consecutive year. In 2024, the Group recorded revenue of €5,606 million, up 11% compared to 2023. Both 2024 and 2023 have been exceptional years for us, especially following our new organisational structure and strategy. We can clearly see that our new structure with two divisions – premium, midscale and economy on the one hand and luxury & lifestyle on the other – has been providing great leverage, enabling us to unlock the full potential of this vast region.
A significant highlight of 2024 for me was our role as the premium partner for the Olympic and Paralympic Games of Paris 2024. 40,000 of our Heartists welcomed guests from all over the world to our French hotels, and we also managed the Athletes’ and Media. For us, it was crucial to make sure that we showcased our French sense of hospitality as best we can, and I am extremely proud of everything we achieved.
We often talk about moments that we create for our guests that continue to live on far beyond their stay. I had one of those unforgettable moments last year, one that will stay with me forever, which was carrying the Paralympic torch as it journeyed toward the Paralympic Games. It was a magical moment of pride, unity and deep reflection for me.
How do you see the potential of the market in Europe & CEE for brands, products, and new hospitality experiences, which countries and industries – client types drive demand? Recent trends indicate a strong growth for CEE, would you agree, how do you see potential in the emerging regions?
In recent years, our network has experienced remarkable growth across Central and Eastern Europe, enabling us to enter markets that previously had no presence of international hotel chains. We see particularly strong potential for our premium brands and leisure in the Balkans. Countries like Croatia, Serbia, Bulgaria, Romania, Montenegro and Albania have shown significant interest, and the presence of internationally renowned hotel brands helps further accelerate the attractiveness of these destinations.
In terms of our growth strategy, we are focusing on capitals, secondary cities and resort locations. Take Romania, for example – it’s our second most important market in Eastern Europe. We currently operate 22 hotels with over 2,000 rooms there. We have expanded significantly with five new hotels over the past years, achieving 22% room growth. Last year alone, we welcomed ibis Styles Sibiu Arsenal, ibis Styles Venus and Swissotel Poiana Brasov adding even more accommodation options to our Romanian portfolio.
The region still has immense untapped potential, particularly in wellness and leisure. Recent travel reports indicate growing regional tourism, partly due to travellers seeking alternative destinations with outstanding natural surroundings. This trend of seeking options away from overcrowded spots presents a huge opportunity for the industry and in particular for the Balkan region and Eastern Europe.
How can Accor projects enhance the potential of economies, cities – and submarkets? Do you target airport areas, city centers, and new satellite extensions of cities? Other trends include in CEE the expansion of mixed-use destination schemes with a hotel component, from a development perspective how do you see the role of hospitality in the life of cities? Do you have recent inspiring examples, favorite projects or trends you see in certain capitals/regions?
Hotel investments are closely linked to a destination’s tourism strategy. Success depends on efficient infrastructure, good mobility within the region and a welcoming community. We believe that to create long-term value, any strategy must align with the broader economic, social and sustainability goals of the destination.
In many Eastern European locations, we are entering more of our international brands and our goal is to boost local tourism and help emerging destinations reach their full potential. A great example is Debrecen, Hungary’s second-largest city, where we opened Mercure Debrecen in 2022, one of the first international hotels in the city. This year, we are expanding further with an ibis Styles property and the newly signed Handwritten Collection – which marks the brand’s entry in Hungary for the first time.
Choosing the right brand for each location is crucial. Our ibis brand family, for instance, is incredibly versatile – it works well in both major cities and smaller towns, where it can even become the local market leader. In terms of destinations, we see significant opportunities in mountain resorts and seaside locations in both Romania and Bulgaria. We have already made progress in this segment with flagship properties like Pullman Okol Resort and Residences, and Swissotel Sapareva Banya Resort and Medical SPA in Bulgaria. We are targeting both urban and leisure destinations, as several of our brands such as Mövenpick and Mercure also include a resort offer.
What should we expect in terms of new hotel openings – new brands in new cities, how do you see the pipeline in the current context of the economy? How do you see the potential for Romania?
Romania is our second key market in Eastern Europe, a region with one of our most ambitious development pipelines. Our ambition is to reach a network of 50 hotels in Romania by 2026, and we are confident in achieving this goal given our current momentum.
We are especially excited to introduce new brands to the market. For instance, we are bringing the Handwritten Collection to Romania, with the first property opening in Bucharest’s Unirii Square this year, and a second hotel, Tecadra Bucharest Handwritten Collection, planned for 2026. We are also expanding our existing brand networks. Mercure and ibis Styles are particularly dynamic in Romania. In 2025 we plan to open three Mercure properties: Mercure Alba Iulia, Mercure Bucharest Cantemir and Mercure Oradea, followed by hotels in cities like Brasov and Bacau in the next few years. Each Mercure hotel offers a unique experience rooted in local culture, crafts, cuisine and traditions, which makes the brand guests’ favourite.
Following the recent opening of ibis Styles Venus, we are planning new ibis hotels in Otopeni, Brasov, Cluj, Făgăraș and Oradea. Additionally, we are aiming to introduce our design-led TRIBE brand in cities like Brasov, Cluj, and Iasi in the next five years. Currently, we have approximately 20 TRIBE properties across the globe, and the brand has a big ambition to grow in Eastern Europe, where we see huge potential for a brand like TRIBE.
When talking about the other two pillars technology and sustainability – what are the challenges and opportunities in terms of their impact in management, investment and operation?
Sustainability has become a cornerstone of our industry, influencing everything from interior design to meal planning and energy usage. This trend is constantly on the rise and people increasingly want to travel more sustainably.
At Accor, sustainability is embedded in our DNA, and this is why we have some of the most ambitious commitments in our sector. While we have been a pioneer in bringing sustainability to hospitality for more than 30 years, we are now accelerating our global sustainable transformation. We believe it is everyone’s business, and that is why we are engaging our whole environment to act sustainably.
Our strategy focuses on three key pillars: transforming operations to enhance the guest experience, transitioning to sustainable food models, and pioneering new ways of travel. We are committed to carbon neutrality by 2050. Our progress is tangible. 79% of hotels removed 57 single-use plastic items from the guest experience, including disposable water bottles; 60% of hotels are measuring carbon emissions using a dedicated tool; 90% of the top 300 hotels that generate the most F&B revenue have defined their food waste baseline. We are also involved in significant environmental initiatives, such as Novotel’s Ocean Protection Partnership with WWF, which guides hotels worldwide in ocean conservation efforts.
Regarding technology, our philosophy is to enhance both guest and employee experiences through digital innovation. We have implemented handy solutions like Accor Key, enabling room access via smartphone, and contactless services for room service and payments. Our goal is to leverage digital tools to understand our clients better and enhance their stay. We want to increase both customer satisfaction and business and profitability at the same time. Today’s travelers seek more than just accommodation, they want experiences and personalized services. However, we firmly believe that technology should enable rather than replace human interaction. Hospitality is fundamentally a people business, it is about tech with heart. While contactless services will become more prevalent, they will remain an option rather than replacing personal service entirely. For Accor, technology is a vital tool to enrich human interactions rather than replace them.
How about HR – trends, lessons, and priorities from Accor management for the teams in different countries, is the human factor still the most important in the industry – interaction with clients?
Hospitality is about human experience, it is about emotions, connections and a sense of belonging. As the third largest sector globally, representing 10% of all employment and income worldwide, our industry has a remarkable social impact. Most people have either worked in or know someone who has worked in hospitality.
Accor’s network spans approximately 45 brands in 110+ countries with over 5,600 properties, 10,000 bars & restaurants, wellness facilities and flexible workspaces, all continuously evolving. Interestingly, at the entry-level, we often recruit based on personality rather than hard skills. We call our employees „Heartists” – a combination of Heart and Artists – embodying our culture of passion and creativity. It also means expressing your artistry through your personality.
We put people at the heart of everything we do. We have created a strong employer brand and culture that focuses on four key pillars: Be ALL you are, Work with purpose, Grow, learn and enjoy, and explore limitless possibilities. We see hospitality as a strong driver of social mobility, helping people from diverse backgrounds build skills and grow their careers. For us, the future of hospitality is founded on talent, meaningful experiences, cutting-edge solutions and deep-rooted human values, which guide our day-to-day activities and unite our teams.
Looking to the future, what motivates you, which are the most thrilling projects and perspectives?The development dynamics in Eastern Europe are incredibly exciting. In addition to what I previously shared we are also looking forward to opening Swissôtel Bucharest in late 2025, which will be the tallest hotel in Bucharest, featuring 224 rooms and suites across 27 floors, with a rooftop restaurant and panoramic city views. In 2026, we will introduce an extended-stay offering, Novotel Living to Romania, which is designed for guests seeking longer stays while maintaining a home-like atmosphere wherever they are in the world. It will be one of the first properties of its kind in Eastern Europe. These developments represent our commitment to innovation and growth in the region, offering new experiences for travellers while contributing to local communities and economies.
Patrick Mendes graduated from INSEAD and holds an MBA in Management and Marketing from IAE Aix-en-Provence, and a Master in Management from the University of Chambery after studying at the “Hospitality Management School” in Bordeaux.
After an experience in real estate development, Patrick started working for Edenred (Payment & Loyalty solutions) in 1994 supporting business development, and moved from Paris to Lisbon in 2000 to run Edenred Spain and Portugal.
In 2005, he joined Accor, to lead an international team as Senior VP Global Sales & Distribution. In 2011, he moved to Latin America – one of the Group’s key markets as COO Luxury and Midscale brands, based in Sao Paulo. In 2015, he became CEO Latin America and a member of the Group’s Executive Committee.
In October 2020, he took over a global responsibility as Group Chief Commercial Officer (CCO) in charge of Sales, Marketing, Distribution, Digital, and Loyalty.
In January 2023, Patrick joined Accor’s Premium, Midscale & Economy Executive Committee as the division’s CEO Europe & North Africa.
French-born and citizen of the world, a father of 3, Patrick has worked in many geographies (Europe, Asia Pacific, USA, Latin America…) and has extensive global experience from the field to top management positions. In all his roles, Patrick strongly contributed to business performance whilst being a strong advocate of CSR and a Diversity Champion.
Interview key takeaways:
- Twenty years ago, Europe accounted for 80% of the group; today, it makes up around 45-50%.
- Looking at the 2024 full-year results of the Accor Group, one of our most remarkable achievements was maintaining record-breaking growth momentum. Consolidated recurring EBITDA came to €1,120 million for 2024, up 12% vs 2023, setting a new record for the second consecutive year. In 2024, the Group recorded revenue of €5,606 million, up 11% compared to 2023.
- A significant highlight of 2024 for me was our role as the premium partner for the Olympic and Paralympic Games of Paris 2024.
- In recent years, our network has experienced remarkable growth across Central and Eastern Europe, enabling us to enter markets that previously had no presence of international hotel chains. We see particularly strong potential for our premium brands and leisure in the Balkans. Countries like Croatia, Serbia, Bulgaria, Romania, Montenegro and Albania have shown significant interest, and the presence of internationally renowned hotel brands helps further accelerate the attractiveness of these destinations.
- In many Eastern European locations, we are entering more of our international brands and our goal is to boost local tourism and help emerging destinations reach their full potential.
- We are committed to carbon neutrality by 2050. Our progress is tangible. 79% of hotels removed 57 single-use plastic items from the guest experience, including disposable water bottles; 60% of hotels are measuring carbon emissions using a dedicated tool; 90% of the top 300 hotels that generate the most F&B revenue have defined their food waste baseline. We are also involved in significant environmental initiatives, such as Novotel’s Ocean Protection Partnership with WWF, which guides hotels worldwide in ocean conservation efforts.
- We have created a strong employer brand and culture that focuses on four key pillars: Be ALL you are, Work with purpose, Grow, learn and enjoy, and explore limitless possibilities. We see hospitality as a strong driver of social mobility, helping people from diverse backgrounds build skills and grow their careers. For us, the future of hospitality is founded on talent, meaningful experiences, cutting-edge solutions and deep-rooted human values, which guide our day-to-day activities and unite our teams.
- The development dynamics in Eastern Europe are incredibly exciting. In addition to what I previously shared we are also looking forward to opening Swissôtel Bucharest in late 2025, which will be the tallest hotel in Bucharest, featuring 224 rooms and suites across 27 floors, with a rooftop restaurant and panoramic city views. In 2026, we will introduce an extended-stay offering, Novotel Living to Romania, which is designed for guests seeking longer stays while maintaining a home-like atmosphere wherever they are in the world. It will be one of the first properties of its kind in Eastern Europe.
