A post-coronavirus sales and marketing action plan has been prepared by Melia Hotels.
The aim is to boost the recovery of hotels that may be affected both in China and elsewhere.
The Spanish chain also has a “comprehensive” global contingency plan in place.
This includes the preparation and response to public health and safety in all its hotels and offices worldwide, the “continuity of business and operations” as well as legal and financial aspects.
The action is being taken as the group reported that it had been affected by the cancellation of conferences and events in Barcelona and Milan.
“The company remains prudent with regard to its forecasts, subject to the evolution of the management of the Covid-19 virus and the consequent impact it may have,” Melia said.
The update came as the company reported a 2019 net profit of €121.7 million.
Melia Hotels International chief executive Gabriel Escarrer Jaume described the results as being in line with expectations, “affected by simultaneous extraordinary events that had an unprecedented impact on certain destinations”.
The company is seeing signs of recovery in the Dominican Republic, Mexico and the Canary Islands.
“Other events such as the coronavirus in China have so far had only a moderate impact on company results, given that all of the five hotels in China are operated under management agreements, although the company remains very cautious with regard to the evolution of the heath crisis,” he added.
“The group has prepared a global contingency plan to ensure health and safety, as well as continuity in its operations and all the required legal and financial coverage.”
Melia expects a positive year in major European cities despite the cancellation of the Mobile World Congress in Barcelona.
The outlook for resort hotels is “moderately optimistic” both in the Canary Islands and the rest of the Mediterranean, “with important competing destinations such as Turkey already having reached record occupancy levels”.
Melia is due to open more than 20 hotels this year, mostly under management contracts, mainly in Asia Pacific with nine properties in Vietnam, Indonesia, Malaysia, Thailand and China.
Eleven are planned for Germany, Portugal, Spain, UK, Netherlands, Bulgaria, Cape Verde, United Arab Emirates, Morocco and Qatar plus one in Mexico and one in Cuba.
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