Start making the movie now, people: Switzerland’s Nicolas Puech, the 80-year-old heir to $10.3B+ of the Hermes fashion fortune, is both unmarried and childless — at least until the legal adoption of his 51-year-old former gardener goes through. Puech already gifted the gardener/handyman (and his wife and two kids) two properties — a Marrakech home and a Swiss villa, worth a combined $5.9m — and he would likely inherit half of Puech’s wealth.
In today’s email:
Room for doubt: What’s up with hotel chains’ confusing spinoffs?
What’s the catch?: The reality behind Italy’s $1 houses.
Why, though?: Remembering a dot-com disaster.
Around the web: A wild journey, AI Santa, tips for 2024, and more.
👇 Listen: Shohei Ohtani’s $700m deal already shook baseball — then he decided to defer 97% of his salary. Will this unique contract pay off?
The Big Idea
Major hotel chains can’t stop inventing new brands
Why booking your next trip feels more confusing than ever.
2023-12-13T00:00:00Z
Sara Friedman
We at the hotel, motel — yet another inn?
Even Pitbull would be confused by today’s hospitality landscape. Major companies — the Hiltons, Marriotts, and Hyatts of the world — are spawning new hotel brands at a rapid pace.
Hotels are expanding their offerings to win over travelers, perThe Wall Street Journal:
Marriott has 32 different brands in its portfolio across luxury, premium, select, and extended-stay categories.
Accor has continually added to its collection, now 40+ brands deep.
Hilton has 22 brands, ranging from the Waldorf Astoria to Homewood Suites.
But most of the major brands don’t actually own many of their hotels; instead, they rely on franchise models, giving owners the rights to specific brands.
And, per New York Magazine, those owners are pretty attached to their custom flags — it would be much harder to stand out with three Hiltons on the same city block.
OK, but why so many?
Hotel chains want to be one-stop shops for travelers, offering accommodations for everything from a business trip to a honeymoon.
Hooking customers with loyalty programs and an array of offerings is the best way for hotels to compete with Airbnb, Expedia, and other booking sites that offer thousands of options.
Plus, the pandemic has changed booking habits, with more travelers reserving directly through hotels to ensure easier cancellations.
With all these brands…
… the offerings can blur together, confusing travelers.
To differentiate offerings, hotel companies are doubling down on specific niches.
Hilton’s Tempo, for example, dedicates 40% of guest rooms’ square footage to a “get ready zone,” targeting short-stay travelers who want to keep their regular routines while traveling.
Plus: Marriott now has enough properties to fill a bingo board.
Free Resource
Do yourself a favor — take your vacation
Whether you’re calling it sabbatical, sick days, or a spur-of-the-moment getaway, we’re helping you finesse the format.
Take 50 OOO email examples for setting expectations, staying professional, and leaving like a solid office friend. These options emit positive impressions for dozens of dillydallying scenarios…
… and serious ones, too — business trips, fieldwork, and bereavement all included. But hopefully, you are reclaiming what it means to slack.
We’ve seen some stomach-turning food brand collaborations this year, but before we turn the page to 2024, there’s one more: Nacho cheese-flavored booze. PepsiCo is partnering with Empirical to release a $65 Doritos-flavored spirit. We’re so sorry you had to hear this from us.
SNIPPETS
Epic Games won its three-year antitrust case against Google. The suit, which centered around “Fortnite,” argued that Big Tech companies like Google force users to pay through their systems in order to take a cut of in-app purchases.
November’s US inflation numbers are in, and they’re just fine. Given a slight cooling and a dip in energy costs, experts predict the Federal Reserve will keep rates steady at its meeting today.
Hasbro is cutting 1.1k jobs, ~20% of its workforce, amid declining toy sales. It’s the company’s second cut of 2023, following 800 layoffs earlier this year.
Instagram may add a new product called “flipside” that lets users with public profiles share some content with friends only — so, a “finsta,” but without requiring a separate, secret profile.
Apple’s iOS 17.2 comes with a new Journal app that offers topic suggestions based on iPhone activity, such as listening to a podcast or visiting a location.
E3 is officially done following its 2023 cancellation. The annual event was the video game industry’s largest convention, but had struggled since the pandemic as studios switched to virtual events.
The Arena Group,Sports Illustrated’s publisher, terminated CEO Ross Levinsohn a week after firing its operations president and COO, media president, and corporate counsel on the heels of the publication’s AI-generated content scandal.
Mars’ snacking division — home to M&M’s, Skittles, Starburst, and more — set an ambitious target for the next decade: to double its current annual revenue ($18B). Its secret weapon? Its 2017 acquisition of Kind bars, which it’s now expanding globally.
Don't miss this...
Influencers are minting billions by launching their own food and bev brands. We look at their opportunities and challenges in this week’s Trends.
What’s the catch?
The truth behind Italy’s $1 houses
The Sicilian town of Mussomeli is the kind of picturesque place where you’d expect a home to run you a few million bucks.
Beautiful vistas? Check. A 14th-century Gothic castle? Yup. Cobblestone streets? You know it. Plus, it’s just one hour outside of Palermo, and a quick jaunt to Catania to boot.
But the home prices in Mussomeli are not in the millions, or even in the thousands, or in the hundreds. There are homes on offer for literally just $1.
In this “What’s the Catch” episode, we dive into a viral trend run amok — the race to capitalize on something called “rural depopulation” and snatch up $1 houses in the Italian countryside — and ask the essential question: Is this all a little too good to be true?
You can find dozens of success stories on YouTube of people moving in and renovating these fixer-uppers (and boy, that term is really generous for some of these dollar domiciles). But in reality, it’s not so simple, nor so cheap.
We’re not saying you should put your Italian villa retirement dreams on hold; we’re just saying…
Boo.com was an online fashion retailer ahead of its time.
2023-12-13T00:00:00Z
Juliet Bennett Rylah
Sometimes an idea is bad, sometimes it’s just too soon.
Founded in 1998 by Swedes Ernst Malmsten and Kajsa Leander — who’d sold their online book retailer, Bokus.com, for a reported eight figures — Boo.com was meant to be an online retailer for chic fashion from top designers, per The New York Times.
Today, Boo.com would be a hit. But in the late ‘90s, it did way too much way too fast, becoming one of the most notorious failures of the dot-com era.
Meet Miss Boo
Boo.com was ambitious, selling to customers across seven languages and 18 currencies.
The JavaScript- and Flash-heavy site featured a “Miss Boo,” a virtual avatar who’d offer customers shopping tips, and allowed customers to view outfits on 3D models.
Boo.com drummed up several investors, including LVMH CEO Bernard Arnault, and was touted as the next Amazon.
What went wrong?
While the website’s bells and whistles are common among today’s fashion retailers, Boo.com quickly ran into issues.
The website was delayed by six months, and when it finally launched in November 1999, customers found it nearly unusable:
Only ~25% of attempted purchases went through.
It didn’t work on Macintosh computers.
It was extremely slow — this was back when most people had dial-up internet — and complicated to use.
Meanwhile…
… Boo’s founders spent lavishly on lunches with fashion editors, promo items, and their own salaries and personal expenses. Staff had exploded from 40 employees to 400, and a single London office expanded to NYC and locations across Europe.
Boo had also dropped $25m on advertising before the site even launched, and yet polling found that only 13.2% of internet users were aware Boo.com existed, perThe Guardian.
And then?
Well, that was it. Boo ate up $135m in just 18 months and failed to raise more as the dot-com bubble burst. It liquidated in May 2000, selling what remained to two companies for less than $2m.
Fashionmall.com briefly resurrected the site, but today, there’s nothing there. It is — perhaps appropriate for its name — just a ghost.
AROUND THE WEB
🏒 On this day: In 1992, goalie Manon Rheaume became the first woman to play in a regular-season pro hockey game. In 1993, she became the first woman to play in an NHL game.
🌴 That’s interesting: From Longreads’ top personal essays of 2023, a hilarious, harrowing journey to a destination wedding in the jungle.
👀 Blog: We asked expert creators Jay Clouse, Natasha Pierre, Jensen Tung, and John Lee Dumas what it’ll take to make it big in 2024. Here are their top seven tips.
🧑🎄 Haha: Please enjoy this mildly creepy, customizable AI Santa Claus.