Creating the “Restaurants Where Guests Stay” Market

「At each hotel, we continue to develop locally sourced cuisine and products in collaboration with local communities, while working to create value that enables us to propose attractive experiences. As a result, repeat-guest rates are trending higher across all hotels, leading to a stable booking base.」

「Average room rates also exceeded the same period of the previous year and performed steadily as a result of efforts at each hotel to enhance the value offered by developing cuisine, services and activities that make use of regional characteristics and distinctive features.」

「ADR also exceeded the same period of the previous year and performed steadily as a result of efforts at each location to enhance the value offered by developing cuisine, services and activities that make use of regional characteristics.」

「In addition to solid domestic travel demand and inbound demand to Japan following the reclassification of COVID-19 to Category 5, we worked to enhance the value offered by developing cuisine, services and activities that make use of the regional characteristics of each location. As a result, revenue and ADR both exceeded the same period of the previous year and performed steadily.」

「Although some reservation cancellations resulted from COVID-19 and natural disasters, we strengthened proposals making use of the characteristics of each location against a backdrop of solid domestic travel demand. As a result, all hotels recorded high occupancy, and revenue substantially exceeded the same period of the previous year.」

「At each hotel, plans combining Hiramatsu’s distinctive champagne and wines with meals, as well as premium dinners, have been well received in Kashikojima, Atami, Sengokuhara and Ginoza, and each location has performed steadily. In Kyoto, efforts to attract inbound guests have been strengthened, and reservations from affluent foreign guests have recently begun to come in. At Karuizawa-Miyota, which opened last March, the “Bonfire Lounge” service and villa “Barbecue Plan,” as well as the “Forest Dining Plan” and “Dog Villa Plan” for guests staying with their dogs, have been well received.」

「As travel sentiment improved following the lifting of priority preventive measures and the implementation of tourism support programs by local governments, we strengthened proposals that make use of the characteristics of each location. As a result, most hotels recorded high occupancy and performed steadily. At Karuizawa-Miyota, which opened last March, the “Bonfire Lounge” service and the villa “Barbecue Plan” continued to be well received. In Kyoto, we are also offering an “Okomori Plan” and joint plans with restaurants and traditional restaurants in Kodaiji.」

「In addition to existing hotels outperforming both last year and the year before last, before the spread of COVID-19, the opening of “THE HIRAMATSU Kyoto” and “THE HIRAMATSU Karuizawa Miyota” also contributed, bringing total hotel-business revenue to a record high.」

「Revenue for the nine-month consolidated cumulative period was at a record high for the hotel business as a whole, owing to the recovery of existing hotels, whose sales exceeded both the previous year and the year before, before the spread of COVID-19, as well as the contribution from the new openings of THE HIRAMATSU Kyoto and THE HIRAMATSU Karuizawa Miyota.」

「Kyoto, a tourist destination, continues to face difficult market conditions, but accommodation plans with meals at Kyoto Jūgyū-an and in-room dining plans offering substantial meals in the guest rooms have been well received. “THE HIRAMATSU Karuizawa-Miyota,” the forest grand auberge that opened in March, has also been performing well, receiving praise from guests for its cuisine making the most of the area’s appeal and Hiramatsu’s first dog villa suite, where guests can stay with their dogs, among other features.」

「On 16 March 2021, “THE HIRAMATSU Karuizawa Miyota” (Nagano), the flagship of the hotel business, opened. Under the concept of a forest “grand auberge” and “One Stay, One Full course,” the hotel provides an experience centered on Miyota’s distinctive cuisine, created by bringing together the value of food, people and the land. It received very high praise from guests and got off to a strong start.」

「In addition to the high-value-added concept matching consumer needs during the COVID-19 pandemic and increased demand from the shift from overseas travel to domestic travel, the government’s “Go To Travel” program provided a tailwind, resulting in performance substantially above the same period of the previous year.」

「THE HIRAMATSU HOTELS & RESORTS Ginoza, which was the first among the Company's hotels to introduce measures including flexible pricing revisions based on occupancy rates, has begun to show year-on-year improvements in both occupancy and earnings. The Company will further focus on improving profitability in the hotel business by extending these measures to its other existing hotels.」

「In addition to major changes in the environment surrounding the Okinawa hotel market as a whole, including the emergence of competing hotels following a series of new hotel openings in Okinawa and the fragmentation of demand and confusion in the market resulting from diversifying customer needs, THE HIRAMATSU HOTELS & RESORTS Ginoza (Okinawa Prefecture), which marked its first year of operation, was affected by the arrival of multiple major typhoons. Delays in revising the sales strategy for the Company's hotel in response to these conditions resulted in struggles compared with the same period of the previous year, when advance reservations before the opening had been strong.」

「The 19-room hotel that opened in Ginoza Village, Okinawa Prefecture, on 14 July 2018 became a new resort-style hotel that evolved from a “restaurant you stay in” into an “extended-stay resort hotel.”」

「In the hotel business, sales at the 3 hotels opened in 2016 have remained generally solid, although they have shown some weakness due to the effects of natural disasters and the fact that this season's popular tourist destinations differ from the locations of the Group's hotels. THE HIRAMATSU HOTELS & RESORTS Ginoza, which opened in July 2018, has earned high praise as an extended-stay luxury resort hotel. As the overall Okinawa tourism market entered its off-season in October, its fourth month of operation, we are working to identify new customer needs ahead of the peak season from the next fiscal year onward.」

「The hotel business, which began in earnest in the previous consolidated fiscal year, is being developed based on the Company's unique “restaurant you stay in” concept. The hotels have earned high praise by offering cuisine that draws on the characteristics of their respective locations together with the service cultivated by the Company. Since opening, awareness of the hotels has steadily spread in Japan and overseas, and the number of guests has also grown steadily, resulting in solid performance.」

「In its third year, the hotel business moved to the next stage. THE HIRAMATSU HOTELS & RESORTS Ginoza, the fourth hotel since the business began and the company's first stay-type resort hotel, made a strong start with occupancy close to full capacity after opening on 14 July.」

「During the period, the hotel business, which is expected to form one pillar of the Company's future business foundation, entered its second year of operation, achieved sales above expectations and established the new “restaurant you stay in” market.」

「The 3 hotels, which had been open for 1 year, THE HIRAMATSU HOTELS & RESORTS Kashikojima, opened in July 2017, THE HIRAMATSU HOTELS & RESORTS Atami, opened in October of the same year, and THE HIRAMATSU HOTELS & RESORTS Sengokuhara, opened in December of the same year, steadily expanded their recognition. The hotels created new value unlike any other hotels, and proactive public-relations activities proved effective, with high ratings from guests and various media outlets generating further positive word of mouth. Occupancy rates and average spending per guest also improved more than expected, providing sufficient evidence of progress in the hotel business.」

「The 3 hotels opened in the previous consolidated fiscal year, THE HIRAMATSU HOTELS & RESORTS Kashikojima (opened in July 2016), THE HIRAMATSU HOTELS & RESORTS Atami (opened in October of the same year) and THE HIRAMATSU HOTELS & RESORTS Sengokuhara (opened in December of the same year), earned high praise from customers and various media outlets while steadily increasing their recognition. During the busy summer season, occupancy exceeded expectations, and both occupancy rates and average spending per customer improved steadily.」

「The hotel business, which began in earnest in the previous consolidated fiscal year, is being developed based on the Company's unique “restaurant you stay in” concept. The hotels have earned high praise by offering cuisine that draws on the characteristics of their respective locations together with the service cultivated by the Company. Since opening, awareness of the hotels has steadily spread in Japan and overseas, and the number of guests has also grown steadily, resulting in solid performance.」

「The hotels developed as “restaurants you stay in” combine the traditional hotel function of accommodation with the added value of the restaurant expertise cultivated by the Group, offering a new type of hotel with value that clearly differentiates it from other hotels in the domestic hotel market. The addition of exceptional cuisine, wine and service to comfortable accommodations has earned praise from many customers, and the hotels have made a strong start.」