
Club Med Turns 75, Pivots To Upscale And Grows Mountain Resorts
The famous French, all-inclusive resort brand Club Med has been wooing holiday makers for years. In what many might call a summer camp for all ages (and all times of year), Club Med resorts have included everything from onsite recreation and activities to food and drinks. Some may even call it the catalyst for the booming, all-inclusive market among U.S. hospitality brands like Marriott Bonvoy, World of Hyatt and Hilton Honors, all of which have entered this hotel category (especially in the Caribbean).
One of the pool areas at Club Med Michès Playa Esmeralda in the Dominican Republic Club Med
But, as Club Med completes three quarters of a century, it is realigning its portfolio to key in on more of a luxury-focused customer. It even closed some of its lesser performing resorts several years ago, including its only property in the United States.
When the brand first launched, it called its properties villages and focused on an equality-designed approach where everyone enjoyed the same amenities free of charge. As consumers are becoming more segmented in what they are willing to spend and where, Club Med is adding a higher-end category of resorts and accommodations within existing resorts to appeal to that market.
Club Med Gregolimano in Greece recently renovated the entire resort, including its guest rooms and suites. Club Med
All-inclusive resorts are booming, but can Club Med elevate its brand positioning to go after the same, high-end customer that is willing to pay for the likes of a Ritz-Carlton resort? Or is it seeking to fill a gap between the traditional all-inclusive and the growing number of luxury properties that may outprice certain millennial travelers ticking destinations off their bucket list.
This pivot comes from its new Chinese owner Fosun who has led Club Med on a reinvigoration project to elevate its image and draw in more millennials and well-heeled families looking for luxury. Its financial performance tells the story
Club Med in the Seychelles Club Med
The company's latest numbers highlight just how in demand all-inclusive really is. Last year alone, its business volume reached $2.38 billion, up 7% over 2023. This year, the first quarter already saw a 5.7% increase when compared with last year during the same time period.
It also grew its bed capacity by 5%, all of which was in the premium and luxury category, what the brand calls its Premium (four-star resorts) or Exclusive Collection Resorts (five-star properties). The overall number of guests was up 1% to reach 1.5 million people in total last year, and when it comes to those top-tier properties, occupancy rates reached 75% (a 2% year-over-year increase) with the majority being France, China, Brazil, Canada and the United States.
One of the newest resort openings is Club Med Michès Playa Esmeralda in the Dominican Republic. Club Med
expansion of our Exclusive Collection, a curated five-star portfolio that includes resorts, spaces, villas and chalets and our legendary French sailing yacht, Club Med 2.
The Exclusive Collection properties include Club Med Michès Playa Esmeralda in the Dominican Republic, which has four boutique-style villas catering to those seeking the maximum in privacy, and Club Med Québec Charlevoix with premium lounges offering things like private jacuzzis and a private ski room with dedicated concierge.
Club Med in Quebec has quickly become one of the brand's most popular, year-round resorts. Club Med
It's these winter properties, some experts say, that are really fueling the growth. According to the South China Morning Post, Fosun Tourism co-president Andrew Xu sees tourist attractions featuring snow and ice to be a major tourist attraction in China, which could be a potential growth region for the brand.
This year, Henri Giscard d'Estaing, president of Club Med, announced that the Asia-Pacific region would be key to the brand's growth and announced a restructuring of its executives to help achieve that momentum. Just last month, BusinessToday of Malaysia reported that cold weather-destination bookings from the country have jumped by more than 100%.
Club Med Val d'Isère is the newest in its Exclusive Collection of properties. Club Med
While many people associate all-inclusive vacations with fun in the sun on the coastline, Club Med has made great strides in growing its winter vacation resorts, which also draw guests during the warmer months for other activities. It has seen a 20% uptick in demand for these destinations, which now accounts for 35% of Club Med's global business.
Its mountain properties are not just in the Alps or Quebec's ski destinations. They are also in Vietnam, Japan and China. Its most popular beach properties include locations in Bali and the Maldives. Recent renovations
Club Med Gregolimano is fresh from a multi-million-dollar renovation. Club Med
Club Med Gregolimano in Greece is one of the newest to show off the shining new effects of this investment. More than $32 million was pumped into this renovation to upgrade interiors with the help of interior designer Jean-Philippe Nuel, including guest rooms, public areas, restaurants and recreational amenities. Among the newest perks are an adults-only pool, padel courts and spa wellness areas.
Club Med Cancun has a new sports and wellness island with a dedicated palapa for quiet yoga classes, archery, bocce ball, mini golf, multi-sport courts and the iconic Club Med Circus School where guests can participate in their own trapeze lessons and other daredevil acrobatics. Other changes include a new family play area with its own pool and kids bar, pickleball courts, a Mayan-themed splash park, cinema and kids club activities for ages as young as four months.
The pool at Club Med Punta Cana in the Dominican Republic Club Med
By the end of this year, Club Med Punta Cana will have an all-new design with newly renovated rooms, upgraded dining venues and a poolside bar inspired by a Dominican casita. Club Med Phuket now offers archery, scuba diving, Thai boxing, and coming soon, a family 'oasis' with a dedicated waterpark and almost three dozen guest rooms for parents traveling with kids. Where are the Americans?
Club Med Charlevoix in Quebec Club Med
Club Med says all-inclusive experiences are driving 'increased momentum' among American guests, especially at resorts like Club Med Québec Charlevoix and those in the French Alps. Last year, it saw a 16% increase in business volume for North America's mountain resorts. Overall, North America represented a 5% year-over-year increase in business volume highlighting brand awareness among American travelers.
The lounge of the Club Med Vittel Golf Ermitage in the France Savoy Alps Club Med
The majority of guests at Club Med properties are French, and even the staff usually hail from France or French-speaking countries in addition to the local destination. The fact that Americans have not caught onto the idea of Club Med just yet may be due to the fact its brand name is not as well-known within the U.S. and it does not have a formal loyalty program like its primary competition.
What it does offer, however, is European touches no matter where you go, which may appeal to some American travelers looking for something more elevated than an all-you-can-drink pool party.
The newly added "Zen" adult pool at Club Med Gregolimano in Greece. Club Med
And that's just what Club Med is trying to change about the all-inclusive image. Some properties boast adult-only pools without a bar, like the new pool added to its resort in Greece.
Other Europeans are also catching onto the Club Med ethos with British travelers being especially intrigued by the brand's winter destinations, according to an article in The Telegraph. What's next
The circus school at Club Med Magna Marbella in southern Spain Club Med
All of this growth has also been fueled by home-grown tech tools that it is using to reach a wider range of customers. It launched a WhatsApp channel using artificial intelligence, which Club Med's Richard De Villa tells Travolution addresses over 40% of questions. The brand also launched a comparison tool that helps potential travelers compare different ski resorts.
Club Med is counting on courting more American travelers to its resorts. The brand's portfolio includes destinations both near and far from the U.S. with plans to grow in U.S. mountain destinations with all-season resorts in the coming years.
The private villa accommodations at Club Med Cefalù in Italy Club Med
A new resort at Versant Soleil of Mont Tremblant in Canada is planned for a December 2028 opening, adding to its winter portfolio in the region.
Coming soon is a new resort in South Africa, which will provide both beach and safari experiences on the 45,000-acre Hluhluwe game reserve. It will be home to Club Med's first ever surf school. Also on traveler radars are new properties in Oman (Club Med Musandam opening in 2028), Brazil (Club Med Granado opening next year) and Malaysia (Club Med Borneo also opening next year).
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