ATM YEARBOOK
2015 A 12-MONTH REVIEW OF THE REGION’S TRAVEL
AND TOURISM INDUSTRY ACHIEVEMENTS
AN OFFICIAL ARABIAN TRAVEL MARKET PUBLICATION
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ATM YEARBOOK 2015 A 12-MONTH REVIEW OF THE REGION’S TRAVEL
AND TOURISM INDUSTRY ACHIEVEMENTS
AN OFFICIAL ARABIAN TRAVEL MARKET PUBLICATION
ATM YEARBOOK 2015 | 007
THE SUCCESS OF EMIRATES AND DUBAI GO HAND-IN-HAND AND THEY HAVE DONE FROM THE VERY BEGINNING — HIS HIGHNESS SHEIKH AHMED BIN SAEED AL MAKTOUM, CHAIRMAN AND CHIEF EXECUTIVE, EMIRATES AIRLINE & GROUP
G H I B L I
026
CONTENTS 12 Editor's foreward 15 Publisher's comment 16 A note from Reed Travel Exhibitions 18 May 2014 to May 2015 industry timeline 22 Big numbers 25 Dubai 26 Dubai Tourism (DTCM) 34 Emirates 40 dnata Travel Services 44 Dubai Airports 48 Dubai Healthcare City 52 Emaar Hospitality Group 58 Waldorf Astoria Dubai Palm Jumeirah 62 The Oberoi, Dubai 66 HMH - Hospitality Management Holdings 71 72
Abu Dhabi Abu Dhabi Tourism & Culture Authority
010 | ATM YEARBOOK 2015
78 82 88
Yas Island Etihad Airways Anantara Hotels, Resorts & Spas
91 Northern Emirates 92 Ajman Tourism Development Department 96 Fairmont Ajman 100 Fujairah Tourism & Antiquities Authority 103 Qatar 104 Qatar Tourism Authority 110 Qatar Airways 116 Katara Hospitality 121 Saudi Arabia 122 KSA tourism market overivew 125 Bahrain 126 Bahrain tourism market overview
034
104
116
131 Oman 132 Oman tourism market overview 137 Global Village 138 Illusions 144 Hertz International 148 Indonesia 153 Hotels 154 Rotana 160 TI’ME Hotels Management 164 Paramount Hotels & Resorts 168 Pipe dreams: local and international hotel groups reveal their regional expansion plans
181 Industry Insights 182 An overview of the region's most prominent travel- and tourism-related infrastructure projects
190
Travel industry professionals predict sector trends
ATM YEARBOOK 2015 | 011
FOREWORD
A YEAR TO REMEMBER The Middle East consolidated its position as one of the world’s fastest-growing tourism and aviation hubs in 2014, underpinned by the tremendous achievements of key industry stakeholders
O
ver the last year, the Middle East’s resolve to become one of the world’s leading tourism and aviation epicentres paid dividends. The long-term vision of the region’s leaders to diversify their respective economies, identifying travel and tourism as a sustainable industry and key contributor to GDP, has seen a number of projects gain momentum and some major milestones celebrated. Perhaps the most notable achievement in 2014 was Dubai International Airport usurping London Heathrow as the world’s busiest airport for international passenger traffic. It’s an accomplishment that put Dubai’s critics in their place, with 71 million international passengers passing through Dubai’s fast-growing hub last year, surpassing the 68.1 million reported by the UK capital’s biggest airport. Operator Dubai Airports' CEO, Paul Griffiths, anticipates passenger traffic will hit the 79 million mark in 2015, which he believes will outpace Heathrow’s performance. In 2014, the UK airport dealt with 73.4 million passengers (domestic and international), but its future growth is hampered given the facility has just two runways and its operational hours are limited, unlike Dubai International which is open for business 24 hours-a-day, seven days-a-week. Meanwhile, as Dubai passenger numbers keep outstripping predictions, the construction of Dubai’s future mega hub,
012 | ATM YEARBOOK 2015
Al Maktoum International – Dubai World Central (DWC), is being fasttracked, with Dubai Airport working hard to raise the funds required to ensure the US$32 billion expansion package announced for the facility last year comes to fruition. It’s a race against time given the capacity forecast for both Dubai airports is 126 million passengers annually by 2020, with DWC being built with a 200 million capacity in mind by 2030. In an interview with the ATM Yearbook 2015, Griffiths says Dubai’s aviation industry is the “lifeblood” of the emirate's economy, accounting for 28% of GDP. Of course, Dubai’s two carriers, Emirates and flydubai, are playing an integral role in this phenomenon, as combined they account for around 28% of the current capacity at Dubai International. Emirates alone will carry at least 70 million passengers by 2020, it is predicted. The knock-on effects for travel and tourism industry growth are huge and over the past year this has been evident in the rise in visitor numbers to the emirate. In 2014, the number of guests checking into Dubai hotels rose 5.6% year-onyear to more than 11.6 million, showing the world the emirate is well on track to reach its 20-million visitor target by 2020 when the city is scheduled to host the World Expo. This growth was achieved despite a decline in business from one of its top source markets, Russia.
DTCM Director General His Excellency Helal Saeed Almarri says the latest figures demonstrate Dubai’s tourism industry is in a “healthy state”. He says the emirate is “insulated” from short-term fluctuations in business from major source markets because of its diverse global customer base, with the short-term decline in visitor numbers from Russia being compensated by other source markets. Tourism from staple markets such as India and the UK is on the rise, while China moved up the rankings to become Dubai’s seventh biggest source market in 2014, compared to 10th in 2013. The breadth of Dubai’s tourism source markets underlines the destination’s newfound maturity, bolstered by the ambitious expansion plans of property developers and hotel firms alike. You only have to take a look at the number of upcoming infrastructure projects outlined in this publication’s tourism developments section to ascertain the high levels of investor and consumer confidence in Dubai’s future. The International Monetary Fund (IMF) predicts Dubai’s economic growth will average around 5.6% over the next six years, driven by large real estate developments and infrastructure spend related to the World Expo 2020. In fact, 10 mega-projects worth a whopping $240 billion are set for completion over the next 16 years, according to MEED Projects, while by 2016, 140 new hotel properties spanning 85,000 rooms will be added to Dubai’s inventory. Some of the biggest hotel groups' expansion plans for Dubai are
revealed in this publication’s pipeline section and it is clear many are basing their strategies on accommodation that suits a wide range of clientele. Gone are the days when high-profile and iconic five-star properties were top priority in order to attract global attention. Dubai has now established a reputation as a ‘wow’ destination with a quality hotel offering and is adding value-for-money accommodation options to cater to all budgets. Over the past few years the hospitality industry has begun rolling out a number of quality branded budget and midscale properties in the hotel and hotel apartment sector. They capitalise on many booming niche tourism markets, from tech-savvy ‘Millennials’ (Generation Y) and budgetconscious business travellers to the short- and long-stay family travel sector, which is the chosen theme for this year’s Arabian Travel Market (ATM). But none of these trends are limited to Dubai. Although the emirate has been the trailblazer, demonstrating how Gulf cities can rapidly develop and diversify their economies, initially putting aviation and tourism at the forefront, others have been highly successful in adopting strategies that play to their individual strengths. Abu Dhabi and Qatar are rapidly shaping up as global aviation hubs of distinction, led by two of the world’s leading carriers, Etihad Airways and Qatar Airways, respectively. Both have forged formidable reputations as high-quality airlines with young fleets and rapidly expanding networks that connect their respective hubs to global destinations. Over the last 12 months, Etihad and Qatar Airways have both received deliveries of next-generation aircraft designed to improve passenger comfort and reduce carbon emissions and ultimately, costs. Abu Dhabi’s flag carrier now operates the A380 and B787-9 Dreamliner on some of its most popular routes. Last year, the airline also unveiled The Residence by Etihad – the world’s
only multi-room suite in the sky – to overwhelming public interest. Each suite accommodates two guests who are served by butlers trained at London’s iconic Savoy hotel. Qatar Airways, meanwhile, became the first customer for Airbus’ A350 XWB – one of the world's lightest and most effficient aircraft. It also took delivery of its first A380. The superjumbo has been designed with a “signature touch”, which the airline’s group chief executive, His Excellency Akbar Al Baker, claims is unlike anything that has come before. The A380 and A350 deliveries make Qatar Airways the first airline customer to operate Airbus’ entire wide-body fleet. The airline now hubs at Doha’s new Hamad International Airport, which opened its doors in 2014 and can handle 90 aircraft per hour, more than tripling the old airport’s capabilities. It currently has capacity for 30 million passengers annually, increasing to 50 million when the airport is fully completed. The UAE and Qatar are arguably the two highest profile Gulf states in terms of aviation and tourism infrastructure. However, silent achiever Saudi Arabia is spending more than $11.6 billion on tourism projects as the kingdom looks to cater to growing domestic and religious tourism demand. The Saudi travel and tourism market was estimated to be worth $45.3 billion
in 2014 and there are 55 projects planned or under development designed to capitalise on this market that include four museums/libraries, 39 hotels and resorts, one mall, seven sports stadia/ leisure complexes, two theme parks and two convention centres. In 2013, total GCC infrastructure investments were valued at $2.5 trillion while wider Middle East tourism capital investment was estimated at $24.5 billion, according to HVS. There’s no doubt these figures have already increased as more projects have been confirmed, and no doubt more surprises are planned by the region’s master planners and investors before the end of 2015. The ATM Yearbook 2015 documents the region’s major travel industry milestones over the past 12 months and also provides insight into the long-term plans that will shape its exciting future. It provides fascinating insight into what can be achieved in a short space of time, thanks to the region’s visionary leaders and their dynamic blueprints for longterm success.
Gemma Greenwood, Editorial Director
ATM YEARBOOK 2015 | 013
ATM YEARBOOK
2015 A 12-MONTH REVIEW OF THE REGION'S TRAVEL AND TOURISM INDUSTRY ACHIEVEMENTS An official Arabian Travel Market publication Published by GT Media ME Ltd 145-156 St. John Street London, EC1V 4PY United Kingdom P: +44 207 6085137 F: +44 870 4285885 Contacts Publisher: Khaled Algaay E-mail: ka@ainalmusafer.com Editorial Director: Gemma Greenwood E-mail: gemma@ainalmusafer.com
DISCLAIMER The ATM Yearbook 2014, an official Arabian Travel Market publication, published by GT Media ME Ltd. The publisher, editor and contributors reserve their rights in regards to copyright of their work. No part of this work covered by the copyright may be reproduced or copied in any form or by any means without the written consent of the publisher. No person, organisation or party should rely or on any way act upon any part of the contents of this publication without first obtaining the advice of a fully qualified person. This publication and related products are sold and distributed on the terms and condition that: • The publisher, contributors, editors and related parties are not responsible in any way for the actions or results taken any person, organisation or any party on basis of reading information, stories or contributions in this publication, or related products. • The publisher, contributors and related parties are not engaged in providing legal, financial or professional advice or services. The publisher, contributors and editors disclaim any and all liability and responsibility to any person or party, be they a purchaser, reader, advertiser or consumer of this publication or not in regards to the consequences and outcomes of anything done or omitted being in reliance whether partly or solely on the contents of this publication and related products. • The publisher, editors, contributors and related parties shall have no responsibility for any action or omission by any other contributor, consultant, editor or related party.
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NOTE FROM THE PUBLISHER
HISTORY IN THE MAKING The second annual edition of the ATM Yearbook reports on the headline-grabbing achievements of the region’s travel and tourism industry over the past 12 months
T
here’s never a dull moment when you are involved in one of the world’s most dynamic and fastgrowing industries, namely the Middle East’s travel and tourism sector. And the 12 months following the 2014 edition of Arabian Travel Market (ATM) have proven no exception, with the region forging ahead with its fast-paced growth plans for tourism-related projects, regardless of local and global challenges. Gulf airlines keep pushing the boundaries, broadening their networks, adding to their fleets and enhancing their products to world-class standards and beyond, backed up by robust airport infrastructure that is being modernised and expanded to cater to the strong growth in international passenger traffic the region is witnessing. Meanwhile, the region’s established and emerging tourism destinations are carving a niche, with the tourism boards of each clearly defining and refining their strategies, which play to their individual strengths. The result is a diverse tourism offering where each destination boasts unique assets. The region's hotel pipeline is astounding too, with both homegrown and international brands rolling out aggressive expansion plans MENAwide. Over the past year, hospitality specialists have revealed plans to broaden
their offering as they look to fill gaps in the market for budget and mid-scale accommodation in particular. New, funky hotel concepts catering to young travellers who demand multifunctional rooms and public spaces, free Wi-Fi and deconstructed dining areas are also making their Middle East debut, as are serviced apartments targeting families and business travellers alike. But that’s not to say the luxury hotel market is being overshadowed. This sector still defines the Gulf hospitality market, which has built a solid reputation for offering affordable and not-so-affordable top-end hotels of a premium standard. In essence, the region’s tourism offering is synonymous with five-star quality, manifested by hotel and airline offerings with best-in-class facilities and strong service ethics. The ATM Yearbook 2015, an official ATM publication, was conceived with the notion that fast and furious development of the region’s tourism industry should be well-documented. The evolution of the Gulf ’s key cities into remarkable tourism destinations in a very short timeframe is a feat unparalleled anywhere else in the world, making it imperative to document in print the key milestones marking this journey of rapid transformation.
Following the success of the inaugural yearbook, launched in May 2014, it was clear the concept of a publication that recorded history-in-the-making was a winning formula. As the industry embarks on the 22nd edition of Arabian Travel Market, which this year has added a 10th hall to cater to exhibitor demand, it is clear the Middle East’s travel industry is more vibrant than ever. The ATM Yearbook 2015 charts some of the most momentous occasions the sector has celebrated over the past 12 months and looks forward to the year ahead with confidence and optimism. The publication features interviews with some of the industry’s key movers and shakers and also offers in-depth overviews of upcoming developments that promise to take the region’s tourism offering to new heights. I hope you enjoy the read and wish you a prosperous 2015 and a highly successful Arabian Travel Market.
Khaled Algaay, Publisher
ATM YEARBOOK 2015 | 015
FAMILY TRAVEL AND TECHNOLOGY TAKE CENTRE STAGE AT ATM 2015
S
ince its inception in 1994, Arabian Travel Market (ATM) has developed into one of the preeminent events for the travel industry in the Middle East. Attracting decision-makers and travel industry specialists from all over the world, the 22nd edition of ATM will be the largest event of its kind in the region, showcasing more than 2,700 companies and representing 130 countries from across the globe.
Travel technology is a key focus at ATM 2015 016 | ATM YEARBOOK 2015
Expanded facilities at ATM 2015 will allow more than 23,000 visitors into the venue, Dubai International Convention & Exhibition Centre (DICEC), where the specialist industry focus this year is family travel, a sector the Dubai Government has identified as an important driver for sustainable tourism industry growth. Another new feature at this year’s show is the ‘Captains of Industry’ lunch, arranged exclusively for senior travel industry representatives, presenting them with an opportunity for lively discussion
and an exchange of practical ideas on how to adapt and grow within the highly competitive travel and tourism arena. Technology and its impact on the travel industry will be another key focus. A dedicated ‘Travel Tech Show’ will provide a platform for leading travel technology specialists to discuss the latest industry issues and ongoing trends during a series of interactive seminars. For many, travel means exclusivity and ATM 2015 will also include a two-day ILTM@ATM programme from May 5 to 6, hosting 25 top Middle East luxury buyers. They will attend a number of pre-scheduled appointments, dedicated luxury travel-focused seminars, plus panel debates. On behalf of the entire ATM 2015 team, I would like to extend a warm welcome to all our visitors, exhibitors, sponsors and partners. I am looking forward to meeting you at the show.
Nadege Noblet Exhibition Manager Arabian Travel Market
22 YEARS OF UNPRECEDENTED OPPORTUNITIES
A
s part of Reed Travel Exhibitions’ WTM portfolio of events, Arabian Travel Market (ATM) continues to be the leading platform and focal point for the Middle East’s travel industry. Our 22nd annual showcase for the region’s travel sector offers another exceptional programme of events, providing a meeting place for industry professionals looking to capitalise on the UAE’s tourism industry expansion, with an estimated growth of 9.7% this year following a record AED 21 billion (US$5.72 billion) of travel and tourism investments in 2014. The 2014 edition of ATM was the largest annual gathering of tourism professionals ever recorded at the show. Participant numbers increased 12% to 33,000, generating $2.1 billion worth of business deals over four days. This year’s show is expected to surpass ATM 2014’s performance, thanks in part to the inclusion of an additional hall that will allow for an expected recordbreaking increase in participant numbers. The growth of the travel and tourism industry is spearheading the UAE’s strategy to diversify its economy and as Dubai draws closer to hosting the World Expo 2020, the emirate’s vision of 140,000 hotel rooms accommodating an estimated 25 million visitors is being realised, with tourism and hospitality infrastructure being continuously expanded and enhanced. Meanwhile, other Middle Eastern destinations are rolling out their own ambitious tourism growth plans, with billions of dollars being invested into tourism-related projects, particularly in Saudi Arabia, Qatar and Oman, offering potential for coordinated tourism efforts within the Gulf region.
In addition, outbound tour operators can profit from the positive developments for potential visa-free travel to the 25 Schengen countries of Europe, as well as the UK’s streamlined online visit visa process for UAE nationals. Together these developments could see tourism flows to and from the region reach unprecedented levels, benefitting travel industry professionals looking to develop new products and services based on these expanded opportunities. As we get set to embark on one of the most successful ATMs in the show’s history, on behalf of the Reed Travel Exhibitions team, I would like to thank you for your continued support of the event. I wish all of you every success during ATM 2015 and the year ahead.
Simon Press Senior Exhibition Director Reed Travel Exhibitions
Dubai is forging ahead with tourism developments in the run up to World Expo 2020 ATM YEARBOOK 2015 | 017
Mina A’Salam at Madinat Jumeirah
ATM 2014 Arabian Travel Market concludes in Dubai with attendance figures up 12% compared to 2013. The headline stats reinforce the event’s reputation as one of the most important annual events for the global travel trade. The event introduces a range of new initiatives including a highly popular ‘Spotlight on Luxury’ seminar series, which attracts hosted buyers representing high-end travel companies and luxury exhibitors including well-known hospitality brands and premium destinations. Meanwhile, the new ATM Exhibitor Showcase Theatre and ATM Live Wall broadcasting live streaming of interviews and panel debates, provide exhibitors and visitors with up-to-the-minute news and product information.
ATM 2014
India honoured India’s efforts to rebuild its travel industry in the wake of the Uttarakhand floods and Cyclone Phailin – two natural disasters that devastated the north of the country in the space of five months in 2013 – earned the destination a New Frontiers Award.
2014 >>>
MAY
Qatar Airways begins full operations at the new state-of-the-art Hamad International Airport in Doha on May 27, 2014. The airport was officially opened by Qatar’s ruler Sheikh Tamim bin Hamad bin Khalifa Al Thani on April 30. Sharjah low-cost carrier Air Arabia commences operations from its new hub in Ras Al Khaimah - the airline’s fourth international base and second in the UAE. Dubai authorities reveal an ambitious plan to establish the emirate as the world’s most visited city. The announcement comes 12 months after the launch of Dubai’s Tourism Vision for 2020, a blueprint for attracting 20 million visitors to the emirate annually by 2020. London is currently the world’s most visited city, with more than 16 million tourists flooding the British capital in 2013 alone.
018 | ATM YEARBOOK 2015
HIA opens for business in May 2014
JUN Madinat Jumeirah celebrates its 10th anniversary, marking the occasion with a number of special events and promotions across its property and F&B portfolio. At the same time, the resort unveils a number of enhancements to its dining offering including the refurbishment of Pierchic and the addition of Mexican restaurant Tortuga. The Mina A’Salam’s hotel’s 292 rooms and suites are also refurbished. “We are proud that Madinat Jumeirah has mirrored the success story of Dubai to create a multi-award winning resort attracting guests from all over the world,” says Resort General Manager Margaret Paul. Qatar Airways CEO, His Excellency Mr Akbar Al Baker, is re-elected onto the Chair Committee of the global aviation industry body, International Air Transport Association (IATA). Al Baker was elected to IATA’s Board of Governors at the Association’s 68th Annual General Meeting (AGM) in June 2012, and will be serving on the board until the conclusion of IATA’s 71st AGM in 2015.
Emirates takes delivery of its 50th A380
JUL
Dubai flag carrier Emirates takes delivery of its 50th A380, consolidating its position as the world’s largest international airline. The aircraft is deployed on the Kuwait City service with a journey time of just 45 minutes, marking the world’s shortest scheduled route flown by the Airbus superjumbo. Abu Dhabi Tourism & Culture Authority reveals more than 1.7 million guests checked into hotels in the emirate in the first half of 2014, up 28% year on year. Visitor arrivals rose 14% during the period, to 264,203.
YEAR IN REVIEW
At the Top, Burj Khalifa SKY
MAY 2014 - MAY 2015
AED 120 billion ($32 billion) expansion package announced for Al Maktoum International at DWC
Burj Al Arab spa
AUG
Dubai’s Department of Tourism and Commerce Marketing (DTCM) reveals the emirate welcomed more than 5.8 million guests in the first half of 2014 – a record result for the period. The top 10 source markets showed in ascending order were Saudi Arabia, India, UK, USA, Russia, China, Iran, Oman, Kuwait and Germany. China, the world’s most populous nation, ranked as one of the fastest growing source markets, with a 26% increase in visitors during the period. The Burj Al Arab celebrates 15 years in business by launching its ‘Best of the Burj’ package – a special offer that includes RollsRoyce Phantom pick-up, a luxurious suite, six-course degustation dinner and a signature spa experience.
SEP
UAE Vice President and Prime Minister and Ruler of Dubai HH Sheikh Mohammed bin Rashid Al Maktoum, announces a AED 120 billion (US$32 billion) expansion of Al Maktoum International at Dubai World Central (DWC) which will ultimately accommodate more than 200 million passengers a year. The development is anticipated to be the biggest airport project in the world and will be built in two phases. The first phase includes two satellite buildings with a collective capacity of 120 million passengers annually, accommodating 100 A380 aircraft at any one time. It will take between six and eight years to complete. The entire development will cover an area of 56 square kilometres. Qatar Airways begins flying its first Boeing 787 Dreamliner aircraft on its Doha-Vienna route on September 1.
Qatar Airways’ first A380 commences services on the popular Doha-London route on October 13, marking another major milestone for the airline. The carrier confirms plans to add a second A380 to Doha-London route in December 2014.
OCT
2014 >>>
The world’s tallest building, the Burj Khalifa, clinches another Guinness World Record with the opening of its new observation deck located on the 148th floor. Located 555 metres above the ground, At the Top, Burj Khalifa SKY features an outdoor terrace and a premium lounge. The new world record is the fourth presented to the tower, following previous recognition for the Tallest Building, the Tallest Man-made Structure on Land Ever and the Highest Restaurant from Ground Level for At.mosphere. Dubai’s bid to broaden its appeal to budget and mid-market tourists is further enhanced with the opening of a new 14km-long corniche stretching along the Jumeirah coastline. Harking to similar facilities in cities such as Barcelona and Los Angeles, the Jumeirah Corniche features jogging tracks, exercise facilities, relaxation areas, restaurants and cafes.
ATM YEARBOOK 2015 | 019
flydubai is named Low-Cost Carrier of the Year
Dubai-based flydubai is named Low-Cost Carrier of the Year at the CAPA Awards for Excellence in Aviation. CAPA noted the airline’s rapid expansion, incorporation of under-served routes and long-term plan to quadruple in size in awarding the honour. GCC hotel occupancy rates increase 4.8% y-o-y to 67.4%, while average daily rates decline 2.4% to US$174.28. RevPAR increases 2.3% y-o-y to US$117.40.
Dubai International secures its position as number one airport for international passenger numbers, overtaking London Heathrow. Dubai Airports’ figures reveal full-year passenger numbers for 2014 totalled 70.48 million, up 6.1% from 66.43 million in 2013 and superseding 68.1 million passengers at Heathrow Airport in 2014. “This historic milestone is the culmination of more than five decades of double-digit average growth that were inspired by the vision of the late Sheikh Rashid Bin Saeed Al Maktoum,” says HH Sheikh Ahmed Bin Saeed Al Maktou, Chairman of Dubai Airports. The goal is to make Dubai a “global centre of aviation”, Emirates takes he adds. delivery of its 50th A380
Etihad unveils The Residence
Qatar Airways takes delivery of its first A350 XWB
2014 >>>
NOV
DEC
Qatar Tourism Authority (QTA) reveals visitor numbers to the Gulf state rose 8% to 1.4 million in H1, 2014. Visitors from neighbouring GCC countries accounted for 38% of arrivals and average hotel occupancy rates increased 7% to 74%. Oman’s booming tourism sector attracts the attention of the World Travel and Tourism Council (WTTC), which predicts the sector’s fiscal contribution to the Sultanate’s economy will rise by 10.2% in 2014, the third highest increase of 184 countries surveyed by the trade body. The sultanate reported a 12% y-o-y increase in tourism arrivals in H1, 2014. Starwood Hotels and Resorts’ flagship Sheraton Grand Hotel opens in Dubai. The 654-key, five-star property features 180-branded apartments and 510 residences.
Abu Dhabi flag carrier Etihad Airways launches its maiden A380 flight to London-Heathrow on December 27. The flight also marked the debut of the airline’s new ‘Facets of Abu Dhabi’ livery and its luxury The Residence three-room suite, comprising a living room, bathroom and bedroom. The airline also celebrates he arrival of its first B787 Dreamliner aircraft on December 18. Dubai rings in the New Year with a spectacular fireworks and laser lightshow display in the downtown precinct. Organised by Emaar Properties, the gala event also bagged the Guinness World Records title for the ‘World’s Largest LED-Illuminated Façade’ on the Burj Khalifa.
>> 23,000
ATM 2014 IN NUMBERS
Total visitors:
2015 >>>
Total exhibitors:
2,700
(8% year-on-year increase)
JAN
Qatar Airways takes delivery of first A350 XWB, commissions A380: The Qatari flag carrier becomes the first airline in the world to take delivery of the A350 XWB, which features a lightweight, composite construction and advanced materials. The airline began flying the aircraft on its Doha-Frankfurt route on January 15. It also launches an A380 superjumbo service to Bangkok on January 5. Emaar Hospitality Group launches first property under Manzil brand: The 197-room Manzil Downtown Dubai is managed by Emaar Hospitality sub-brand, Vida Hotels and Resorts. Dubai Parks and Resorts breaks ground on the DreamWorks precinct of its 4 millionsquare-feet Motiongate Dubai theme park, due to open in 2017. DreamWorks will feature 12 main attractions based on the filmmaker’s most successful animated characters and titles.
120
first-time exhibitors including Kuwait Airways, IMG World of Adventures and Al-Futtaim Travel LLC
The Venu Bluewaters Island Hotel and Residences in 2017
Air Arabia starts operations from its 5th hub
Dubai is named the 12th most visited city in the world in a new report published by Euromonitor, with 10.5 million visitors in 2013. The city claims the top position in the Middle East ahead of Makkah (17), Doha (43) and Abu Dhabi (75). The world’s biggest retail destination, Dubai Mall, announces it welcomed more than 80 million visitors in 2014, setting a new benchmark for footfall. By comparison, the mall attracted 37 million visitors in 2009. Abu Dhabi Tourism & Culture Authority (TCA Abu Dhabi) reveals guest arrivals to the emirate hit the 3.49 million mark in 2014, up 25% year
kicks off from May 4-7, marking the 22nd instalment of the region’s largest travel industry show. This year’s event focuses on the family travel theme with several seminar sessions dedicated to this topic. Family travel accounted for more than 12.5% of the $1.07 trillion global tourism market in 2013 according to Thomson Reuters data. The total value of the market was $140 billion that year and is set to rise to more than $180 billion by 2018. This growth is expected to continue at a rate of 4.79% annually until 2020, compared with just 3.8% overall tourism growth. “Demand for inter-regional family travel will also remain robust through to 2020 and beyond,” notes Nadege Noblet, Exhibition Manager of Arabian Travel Market, WTM Portfolio, Reed Travel Exhibitions. “The Economist Intelligence Unit estimated that the GCC population would soar to 53.5 million by 2020, 24% of which would be under 15 years of age.”
MAR
The region’s first low-cost carrier, Air Arabia, reports record full-year net profit (ending December 31) of AED 566 million, up 30% on 2013. Turnover increased 17% to AED 3.7 billion, driven by passenger number increases. Jumeirah Hotels & Resorts confirms its first Venu property will open on the $1.6 billion Bluewaters Island project. The Venu Bluewaters Island Hotel and Residences will feature 300 rooms and 119 serviced apartments when it opens in 2017. The company also reveals it will open a 294-room resort on Abu Dhabi’s Saadiyat Island in 2017.
Travel-focused exhibition space:
24,500
metres
2015
ATM 2015
FEB on year. Guest nights increased 19% to reach 10.46 million, prompting the authority to consider new tourism targets looking forward. However, average length of stay dropped 4% year on year from 3.13 to 2.99 nights.
Sharjah low-cost carrier Air Arabia’s latest venture, Air Arabia Jordan, commences operations from its newest international hub at Jordan’s Amman Queen Alia International Airport, following the acquisition of a 49% stake in Petra Airlines in January. The new airline, which is a joint venture between Air Arabia and Petra Airlines owner, RUM Group, marks the Sharjah-based airline’s fifth hub in the Arab world. Air Arabia Jordan provides direct services to destinations in Europe, the Middle East and North Africa using its fleet of A320 aircraft. HMH – Hospitality Management Holdings opens two properties in Sudan, Eastern Africa under its budget EWA brand. The EWA Khartoum Hotel & Apartments welcomed their first guests at the end of this month.
Seminars and presentations:
40
MAY
APR
Emirates launches its new Apple Watch app on April 24, designed to complement the Emirates iPhone app, and initially available in English, French and German. The airline is the first carrier in the Middle East and Africa to offer an Apple Watch app, with key features including a list of upcoming trips plus notifications of changes to gates and baggage collection details. The InterContinental Dubai Marina welcomes its first guests. The 328-key property features nine F&B venues, including Michelin-starred chef Jason Atherton’s first restaurant
Total value of business deals:
2 billion
$
ATM YEARBOOK 2015 | 21
E M I T BIG Gulf ’s e h t d n i h mbers beormation into u n e n i l d f The hea bly rapid trans m hotspots. remarkae world’s touris one of th
DUBAI, THE MEGA HUB
70 million 70million $$82 82billion billion The number of passengers Emirates expects to fly annually by 2020
The total development cost of Al Maktoum International Airport – Dubai World Central (DWC)
JORDAN’S LONG ROAD BACK
3.5 3.5billion billion 9.4million million $5.9 billion $5.9 billion $$
Tourism receipts generated in Jordan in 2014, a 10% year-on-year rise
11
million million
the number by 2030
750,000 750,000
The predicted number of visitor arrivals to Jordan in 2015, up from 8.2 million in 2014
The number of jobs Dubai’s aviation industry is expected to support by 2020 (source: Oxford Economics)
Jordan’s projected tourism receipts in 2016 (Source: Aranca)
413,000 413,000
TRAVEL TRENDS
8,310 8,310
$ $
Average per capita expenditure of GCC nationals on a holiday abroad (Source: YouGov)
The total number of aviation-related jobs in Dubai in 2013
180 180
FAMILY VALUES
$ $ billion billion
6,666 6,666
$$
Per capita expenditure of Saudi nationals while travelling abroad (Source: Visa)
22 | ATM YEARBOOK 2015
Projected value of the global family tourism market in 2018, up from $140 billion in 2013 (Source: Thomson Reuters)
53.5 53.5 million million Predicted GCC population by 2020, 24% of whom will be aged 15 and under (Source EIU)
MEGA STRUCTURES
PRICEY DIGS
Average cost of a hotel booking in 2014 ($)
577
$
Kuwait
519
$
Saudi Arabia
482
$
UAE
372 369
$
Egypt
$
Qatar
345
$
Tourist Average
26.7billion
$$
The collective contribution of Emirates, Dubai Airports and the aviation sector to Dubai’s economy in 2013
Pricey Digs Average cost of a hote booking in 2014 $577 – Kuwait $519 – Saudi Arabia $482 – UAE $372 – Egypt The number of towers that will be $369 –constructed Qatar and housed– within Saudi Ara$345 Tourist averag
50 50 73 100 73 210 100 The number of of The number football pitches, football pitches, equivalent to 48 to 48 equivalent million sq ft, which million sq ft, which would fit within would fit within Dubai’s planned Dubai’s planned Mall of the World Mall of the World Project. By comparProject. By comparison, the planet’s ison, the planet’s largest shopping largest shopping centre, Dubai Mall, centre, Dubai Mall, covers an area of 13 covers an area of 13 million sq ft million sq ft.
The number of major attractions that will be housed within Dubai’s latest leisure megaproject, Dubai Parks and TheResorts number of
bia’s new King Abdullah Pilgrim City, at a cost of $13 billion
major attractions that will be housed within Dubai’s latest leisure megaproject, Dubai Parks and Resorts. The number of towers that will The height in metres, of the planned Dubai Eye Ferris Wheel. constructed housed within The London Eye, the world’s most famous ferris and wheel, reachSaudi Arabia’s new King Abdul es a height of 135 metres Pilgrim City, at a cost of $13 billion.
210 1,001 1,001 1,600 1,600 15,981
The height in metres, of the The height in metres Kuwait’s planned DubaiofEye Ferris planned Wheel. Burj Mubarak al-Kabir tower The London Eye, the world’s most famous ferris wheel, reaches a height of 135 metres. The height in metres of Kuwait’s planned Burj Mubarak al-Kabir tower. The height in metres of Jeddah’s forthcoming Kingdom Tower, which is the equivalent of one mile
The height in metres of Jeddah’s forthcoming Kingdom Tower, which is the equivalent of one The number mile.of new hotel rooms scheduled to open in Makkah before 2017
15,981 29km 82,250 $5,800 82,250 5,800 77,000,000,000 AIRPORT UPDATE
2
Average cost of an annual holiday taken by British families (source: Visa)
The total area covered by Qatar’s main air hub Hamad International Airport, which is equivalent to one-third the size of Doha City
The number of new hotel rooms scheduled to open in Makkah before 2017. The capacity of Qatar’s Lusail Stadium, which will host the 2022 FIFA World Cup final
The capacity of Qatar’s Lusail Stadium, which will host the 2022 FIFA World Cup final.
The total cost of construction, in US dollars, of Kuwait’s new Silk City, which will an area of 250 sq km in and The cover total cost of construction, USwill dollars, of Kuw | 23 ATM YEARBOOK 2015buildings, house one of the world’s tallest buildings, the Burj Mubarak al-Kabir house one of the world’s tallest the Burj
ATM YEARBOOK 2015 | 39
ABU DHABI DUBAI
GLOBAL APPEAL
view YEARBOOK from | ATM 026 Dubai 2015 the Burj Khalifa
As Dubai forges ahead with its Tourism Vision for 2020 strategy, the emirate is adopting a range of initiatives designed to boost its pulling power, from introducing new events and attractions to passing meaningful visa and hotel legislation, explains Department of Tourism and Commerce Marketing (DTCM) Director General His Excellency Helal Almarri
I
t will come as no surprise that over the past 12 months there have been a large number of achievements and milestones celebrated by Dubai’s tourism industry. “Across attractions, experiences, events, infrastructure, hotels and restaurants, our destination offering is one that continues to be enhanced week on week, month on month, as we strive to deliver the Tourism Vision for 2020, approved at the 2013 Arabian Travel Market by His Highness Sheikh Mohammed bin Rashid Al Maktoum, UAE Vice President and Prime Minister and Ruler of Dubai,” says His Excellency Helal Almarri, Director General of Dubai’s Department of Tourism and Commerce Marketing (DTCM). “Firstly, there have been significant advancements towards the objective of further diversifying the hotel sector. An initiative to encourage increased development of three- and four-star properties – which includes offering developers currently constructing or holding a permit for such a property the waiver of the 10% municipality fee for a certain period of time – has been welcomed by the industry, and we expect to see this part of the hotel portfolio expands substantially over the coming years. “In addition, a number of five-star properties have also opened in the past year, including the Waldorf Astoria Dubai Palm Jumeirah, Dubai Marriott Hotel Al Jaddaf, Sofitel Dubai Downtown and Four Seasons Resort Dubai at Jumeirah Beach. These new properties ensure Dubai retains its reputation as a luxury destination while the city simultaneously broadens its mid-market portfolio.”
BEACH COMMUNITIES Dubai has also opened a number of attractions and experiences and made announcements of more to come over the past 12 months. There has been a strong focus on upgrading beachfront facilities to create mini-destinations along the emirate’s coastline. While The Beach at Jumeirah Beach Residence officially opened in February 2014, new restaurants and facilities have been added to the mix since, which combined with The Walk, has created a lively beach community for visitors and residents alike. Attractions include Arabian Water Parks, a floating inflatable playground set a few metres offshore, which has proven a hit with all ages and is the largest waterpark of its kind in the world. Further north up the coastline, Jumeirah Corniche officially opened in October 2014, stretching for more than 14 kilometres and encompassing six city districts. Popular areas include Kite Beach, which boasts a collection of sports facilities including volleyball, outdoor gyms and, of course, kite surfing, as well as cafés and restaurants. Built with the purpose of adding to the natural appeal of Dubai’s coastline, it will eventually link up with another ongoing project, the Dubai Canal, the development of which is well underway. “The upgrades made to beach facilities have played a key role in reinforcing Dubai’s position as a premier family
ATM YEARBOOK 2015 | 027
destination, as has the announcement of Dubai Parks & Resorts,” says Almarri. “With the master plan’s initial phase set to be complete by 2016, Dubai will have three world-class ‘destination’ theme parks; Motiongate Dubai, Legoland Dubai and Bollywood Parks. All of these will be unique to the region, with Bollywood Parks going one step further by being the first attraction of its kind in the world. They will be a major addition to our tourism offering in the coming years.”
AN EMERGING CULTURAL HUB The DTCM is working towards enhancing Dubai’s arts, culture and heritage tourism experience for visitors by organising events and commissioning the expansion and refurbishment of current facilities and the construction of new developments. Work is underway to regenerate and enhance Dubai’s already established cultural and historical districts of Shindagha, Bur Dubai, Al Fahidi and Deira. The Dubai Historical District redevelopment encompasses more than 60 projects, including upgrades to the textile, spice and gold souks, the installation of new abra stops at Shindagha, and the creation of car-free pedestrian areas lined with historical stories accessed through smart applications or through a newly created team of trained Emirati tour guides. “The rejuvenation of these districts – with a focus on Dubai’s history of trade, crafts and pearling – aims to increase visitors’ and residents’ understanding of the importance of the areas around Dubai Creek in terms of the history and remarkable development of Dubai,” explains Almarri. From old to new and Dubai Design District, or d3, opened in April 2015 as a purpose-built community dedicated to promoting and nurturing emerging local talent, while also providing a creative home to established international design, luxury and fashion brands. Along with design studios, office spaces, ateliers and workshops, d3 will eventually also feature residential, convention and food and beverage spaces, plus boutique hotels along a waterfront promenade. Events such as Art Dubai and Dubai Food Festival host visitors from around the world and are growing in profile internationally through their continued success. Having recently staged its ninth edition, Art Dubai has become one of the most globalised meeting points in the art world today – an essential gathering place for collectors, artists and industry professionals from across the region and beyond,” says Almarri. “Dubai Food Festival, meanwhile, which showcases homegrown restaurants, Emirati cuisine, multicultural dining and street food, and international restaurants and chefs, had its second edition in February 2015, building on the success of its debut the year before. “The second edition of Dubai Motor Festival was also held in 2014, and the objective is for these events to establish themselves not just regionally, but also on the global stage, further fortifying Dubai’s status as a ‘must-experience’ destination. "These follow the template of the world-famous and highlysuccessful Dubai Shopping Festival, which celebrated its 20th edition earlier this year.”
028 | ATM YEARBOOK 2015
Improvements to Dubai’s historic district are underway
“Every EU citizen can now obtain a visa on arrival and we are already seeing the effect in increased visitor arrivals from this region”
The Walk and The Beach at JBR is a lively beach community
ACCESS ALL AREAS Dubai’s increased accessibility also continues to pay dividends for the emirate, with Dubai International Airport becoming the busiest in the world for international passengers at the end of 2014, overtaking London’s Heathrow Airport for the first time. “This achievement is all the more remarkable given Dubai International underwent an upgrade project resulting in an 80-day runway closure over the summer,” says Almarri. “While reaching Dubai has become Dubai Tram started operations in November easier, the same can be said about navigating the city itself, thanks to significant transport and infrastructure developments in 2014, including the opening of Dubai Tram in November, offering an affordable, convenient way of accessing different parts of Dubai Marina and the surrounding area. Dubai Tram represents the future vision of the city as an eco-friendly, cosmopolitan hub.” In March and August 2014, two legislative initiatives were passed into UAE law that aimed to further increase accessibility to the country for new and emerging markets. The first, in March, was a law exempting citizens from 13 European Union (EU) states
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(Poland, Slovenia, Slovakia, Czech Republic, Lithuania, Hungary, Latvia, Estonia, Malta, Cyprus, Croatia, Romania and Bulgaria) from needing pre-entry visas to enter the UAE. “Adding to the 15 EU states already exempt, this means every EU citizen can now obtain a visa on arrival and we are already seeing the effect in increased visitor arrivals from this region,” enthuses Almarri. The second legislative initiative, which came into affect in August, saw the announcement of the UAE multi-entry cruise visa, opening up additional potential source markets such as China, India, South America, Brazil, South Africa, Russia and CIS. “We have ambitious targets for the cruise sector as part of our Tourism Vision for 2020, and expect to welcome 450,000 cruise visitors by 2016,” Almarri explains. “Dubai has the most modern and largest dedicated cruise facility in the Middle East, spanning more than 36,500 square metres on a pier stretch of 2,200 metres. The Hamdan bin Mohammed Cruise Terminal was inaugurated on December 11, 2014, and is today the sole hub for five world-leading cruise lines, as well as a turnaround port of call for more than 20 international cruise lines. “The DTCM works closely with the industry and commissions various international joint marketing activities to grow this vital tourism sector for Dubai. For example, the Cruise Arabia Alliance (CAA) was formed in 2013 by the DTCM in conjunction with our partner tourism authorities in Abu Dhabi and Oman, and now also includes Qatar and Sharjah. “The purpose of the CAA is to create awareness of the cruise offering in the region and to increase the number of cruise passengers from the region.”
THAT’S PROGRESS Dubai Shopping Festival celebrated its 20th anniversary in 2014
Over the last 10 years, Dubai has transformed itself into a ‘must-experience’ destination, shifted the focus of the global aviation map, and established itself as the connecting point of
12-MONTH MILESTONES AT A GLANCE • Four new five-star properties open for business • The Beach at Jumeirah Beach Residence unveiled • Jumeirah Corniche opens • Work on Dubai Historical District redevelopment underway • Dubai Design District opens to nurture emerging local talent • Numbers swell to Art Dubai, Dubai Food Festival and Dubai Motor Festival
the world, argues Almarri. According to MasterCard’s 2014 Global Destination Cities Index, Dubai is currently the fifth most visited city in the world – up from eighth in 2012 – and is the fastest growing city in the global top 10, on track to overtake Paris and Singapore within five years. The same index ranks Dubai as eighth on the list of global destinations for visitor spending – estimated at US$10.25 billion for 2014. Dubai’s hotel establishment figures for 2014 reveal the emirate is continuing to meet its visitor growth targets with guest numbers increasing 5.6% year-on-year to more than 11.6 million. Guest nights at Dubai’s hotel and hotel apartments increased 7.4% from 41.58 million in 2013 to 44.66 million in 2014 and revenues improved significantly, up 9.8% to AED 23.9 billion in 2014 (compared to AED 21.8 billion in 2013). Room and F&B revenues increased 12% and 6.1% respectively year on year. “The growth in revenue is particularly notable considering the 9.2% increase in available rooms during this period,” notes Almarri. “At the start of 2014, the emirate’s portfolio comprised 84,534 rooms across 611 properties; by the end of the year this had increased to 92,333 rooms across 657 properties. The figures indicate that our hospitality industry is in a healthy state and, most importantly, that the growth is sustainable, which is crucial when it comes to meeting our Tourism Vision for 2020 targets.” The emirate was voted the number one destination for hotels and shopping in a 2014 TripAdvisor survey, and in March 2015, the same travel website named Dubai in the top 25 destinations for 2015. “But we will not rest on our laurels,” stresses Almarri. “Dubai is continuing to enhance its destination offering and open up to emerging markets and new international travellers. “Both Emirates Airline and flydubai have introduced numerous new long- and short-haul routes that bring in more visitors from emerging markets across the globe. Al Maktoum International Airport at Dubai World Central has increased its passenger capabilities, while Dubai International Airport surpassed London Heathrow to become the world’s busiest airport for international passengers, recording 70.47 million passengers in 2014. “That number reflects a 6.1% increase over the previous year, clearly demonstrating the progress made by both the airport and the two Dubai-based airlines. Increased flight frequencies, new routes and larger fleets will drive up the number of passengers passing through Dubai over the coming years.”
• 20th edition of Dubai Shopping Festival • Dubai International becomes world’s busiest in the world for international passengers
MARKETING MATTERS
• Dubai Tram starts operations
The DTCM has always worked closely with the emirate’s tourism industry to promote Dubai as a year-round destination for business, events and family holidays, and has continued to build on this momentum in 2014. “A key focus has been on enhancing awareness of the breadth and variety of Dubai’s offering and during this year’s ATM, visitors to the Dubai stand will see for themselves the huge range of different experiences that tourists can enjoy
• Relaxation of EU visa rules • Hamdan bin Mohammed Cruise Terminal inaugurated • New website and mobile app launched • #MyDubai initiative launched by His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum
030 | ATM YEARBOOK 2015
Kite Beach at the recently developed Jumeirah Corniche on a holiday in Dubai,” says Almarri. “One way this is reflected in our marketing activities is through the provision of different perspectives on Dubai, and our investment in digital and social media is a great enabler of this. "Our new website and mobile application, launched in late 2014, are designed to enhance the overall travel experience for the visitor – from the early stages of booking right through to their arrival and stay in Dubai.” The website offers an “engaging, informative and intuitive experience for visitors”, as well as “rich content designed for multiple audiences, including business and leisure travellers, travel trade professionals and media”, he says. “The mobile application includes a location enabler that alerts visitors to special deals, offers and attractions in Dubai, using new beacon technology,” adds Almarri. An alternative to the website is Dubai 360, an advanced perspective accessed online at Dubai360.com. It is the world’s largest interactive virtual city tour that uses a fully interactive and immersive 360-degree panoramic photo, time-lapse and video content, and is “the perfect medium for showing off Dubai’s breath-taking skyline and cityscape”, according to Almarri. Dubai’s ATM stand will feature a Dubai 360 experience, allowing visitors to virtually step outside of the exhibition hall and experience Dubai in a unique way.
#MYDUBAI Another highly successful marketing initiative that has captured local and global attention is #MyDubai, launched by His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum at the start of 2014, which invites residents and visitors to share their experiences of Dubai and together create "the world’s first autobiography of a city". In 2014, more than 2.5 million images and videos were shared using the hashtag on Instagram. More than 1,650 of these were chosen to be displayed on the official @MyDubai Instagram account, also known as the #MyDubai e-museum.
“The aim of the initiative is to reveal what lies beyond the city’s landmarks, headlines and superlatives for which Dubai is already known and the contributions so far have clearly demonstrated the breadth of experiences residents and visitors can enjoy,” Almarri explains. “This plays a key role in achieving our goal of positioning Dubai as a destination of choice and changing the perception of Dubai as merely a luxury or curiosity destination by demonstrating the depth and substance that complements the headline attractions through the eyes of the city’s own residents and visitors. “Moving forward, leveraging the different ways people can experience the city will be a major focus of DTCM’s marketing activity.”
2014 IN NUMBERS
5th
most visited city in the world
11.6 million hotel guests
44.66 million
DIVERSIFICATION TOP PRIORITY
guest nights
A top priority for the DTCM in 2015 is to continue to diversify Dubai’s source markets, with a focus on attracting first-time visitors from emerging markets as well as new and repeat visitors from established markets such as Saudi Arabia, other GCC countries and India. In 2014, Dubai witnessed strong growth from a number of emerging markets, with the number of visitors from Africa, for example, up 10.8% year on year. Visitor numbers from China rocketed 24.9% year on year, and the DTCM is capitalising on this surge in business by producing dedicated marketing materials and information for this market. At the same time there is a drive to hire and train more Mandarin-speaking hotel staff and tourist guides. “We will continue to engineer Dubai’s offering so it fits our target markets, offering travellers every reason to visit and then keep returning again and again,” confirms Almarri. “We are being more target-specific in our messaging and marketing activity, building on the work done in 2014 to highlight and promote the wide variety and breadth of Dubai’s destination offering. "The emirate’s cultural attractions and events are a
9.2%
increase in available rooms
92,333 rooms across 657 properties
70.4 million passengers at Dubai International
2.5million images and videos on #MyDubai
ATM YEARBOOK 2015 | 031
PROJECT WATCH Dubai Safari Project The park, located in in Al Warqa covering almost 400 hectares, will comprise a safari village, Arabian village, Asian village, African village, children’s zoo, butterfly park and botanical garden, in addition to educational and veterinary facilities. About 1,000 animals will be housed in temperature-controlled environments, joined by the animals and birds from Jumeirah’s Dubai Zoo. Authorities plan to tap into solar energy to generate electricity and power transportation and amusement facilities inside the park. Water recycling facilities will be used to create an artificial wadi where boating and other water-based activities will take place. Hatta Village Inn and Market Project An AED2 9 million ‘green’ motel and heritage market is being built on the main road between Hatta and Oman. The 92,500-square-foot Hatta Heritage Souq
and Motel will incorporate up to 46 stores and three restaurants. The first floor will comprise a multipurpose hall, 32 hotel rooms and two suites that overlook the neighbouring valley. Holy Quran Park Located in Al Khawaneej, this park will span 64 hectares and will be designed with the holy book of the Quran in mind, featuring many of the 54 plants that are mentioned in the text. The park will include a special Islamic garden, children’s play areas, an Umrah corner, outdoor theatre, desert garden, palm oasis, lake, fountains and running, cycling and walking tracks. IMG Worlds of Adventure This 1.5-million-square foot project will be the world’s largest temperature-controlled indoor themed entertainment destination with a capacity to welcome in excess of 20,000 visitors a day. It will be the first leisure destination in the world to bring together global brands Cartoon
particular focus, including the unique experiences offered during Ramadan and Eid, the emergence of Emirati restaurants and local cuisine, and the development of our historical attractions. “We are also, together with Dubai Municipality and Dubai Culture, working on plans to revitalise and develop the city’s oldest, most culturally important neighbourhoods as part of the Dubai Historical District, which aims to drive more tourists to these areas. “In terms of Dubai’s hotels and hotel apartment establishments, we are, of course, continuing our work to diversify the city’s portfolio through the development of threeand four-star properties. This goes hand in hand with our efforts to highlight Dubai’s numerous ‘value’ attractions and activities – many entirely free – that are particularly attractive to the budget-conscious traveller.” Developing Dubai’s events calendar is also a priority, as well as the roll out of the DTCM’s recently launched e-Ticketing platform, which aims to “expand event ticket distribution channels, enable more in-depth analysis of the events industry and ensure customer protection and satisfaction”.
THE BIGGER PICTURE As the DTCM forges ahead with its robust growth strategy for Dubai’s tourism industry, Almarri is mindful of global geopolitical and economic factors that will throw hurdles his way. “The devaluation of the rouble for instance has resulted in a worldwide fall in the number of Russian overseas travellers and Dubai has not been immune,” he concedes. “While our focus remains very much on Russia and encouraging a return to growth, we do not rely on this or other traditional markets for our tourism business. Our source markets are diverse, enabling us to offset last year’s decline in
032 | ATM YEARBOOK 2015
Network and MARVEL in one location, in addition to Lost Valley – Dinosaur Adventure, an original concept by developers Ilyas & Mustafa Galadari (IMG) Group. The rides and attractions in four themed zones will inspire the imagination by presenting tales woven around a host of international brands and characters. Wire World Meydan Adventure Park Billed as the largest man-made adventure park of its kind in the world, Wire World, launched by WL Hospitality Group, will be the first adventure rope course in the UAE when it opens later this year. Located at the heart of Meydan alongside the racecourse, Wire World will cover 25,000 square feet and feature 70 obstacles set in trees, across rocks and on poles and posts, and is designed to be challenging fun for all ages. The park will also incorporate a bike park, a bungee trampoline and visitors’ facilities. Dubai Frame This structure will be an iconic centre-
piece within Dubai’s Zabeel Park. Rising 150 metres into the air and 93 metres wide, the hollow shape will resemble a huge picture frame. At the base, visitors will follow a path detailing the history of Dubai using modern technology, before taking an elevator up to the top of the frame where they can walk along a glassfloored bridge and take in the impressive city views. Dubai Parks & Resorts The first phase of this flagship project, which will be completed by 2016, will comprise three theme parks – Motiongate Dubai, bringing to life the biggest characters in Hollywood; Bollywood Parks Dubai; and Legoland Dubai. The latter will feature 15,000 Lego model structures made from more than 60 million Lego bricks, in addition to more than 40 interactive rides, shows and attractions spread across six themed areas – Lego City, Adventure, Lego Kingdom, Create, Lego Factory and Miniland.
The new Jumeirah Corniche stretches for 14km Russian visitors with increases in tourists from emerging markets such as Nigeria, China and the CIS countries. “These shifts underline the opportunity for the DTCM to target further growth from emerging markets, driven by recent and upcoming launches of new and expanded flight routes. “flydubai, for example, is increasing the frequency of its services to and from a number of African destinations in 2015, while Emirates has also announced capacity increases on its routes to this continent.” Almarri says global economic factors may also affect the makeup of Dubai’s visitor profile and the type of experiences they are looking for. “Yet we see this as another opportunity to emphasise the wide variety and breadth of our destination offering, and highlight the incredible array of ‘value’ attractions, activities and experiences available that appeal to budget-conscious travellers,” he says. “To achieve long-term growth and to achieve our Tourism Vision for 2020 targets, we also need to increase Dubai’s inventory of hotel rooms. It’s an on-going challenge that requires balancing the planned increase in supply with demand, ensuring Dubai maintains its high occupancy rates while avoiding room rates that either too high or too low. “We will therefore continue to work closely with our hotel and other partners to maintain the required equilibrium and ensure Dubai remains an attractive, competitive destination for all travellers.”
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In-flight part of Etihad’s ‘best 034 |glamour; ATMallYEARBOOK 2015in class’ goal
In an exclusive interview with the ATM Yearbook 2015, His Highness Sheikh Ahmed bin Saeed Al Maktoum, Chairman and Chief Executive, Emirates Airline & Group, takes a retrospective view of the carrier’s phenomenal achievements since its humble beginnings in 1985 ATM YEARBOOK 2015 | 035
T
he creation of Emirates Airline started with a conversation amongst visionaries. In 1984, Sheikh Mohammed bin Rashid Al Maktoum discussed launching a Dubai-based carrier with then dnata general manager Maurice Flanagan. The following year, Sheikh Mohammed introduced Flanagan to his uncle, Sheikh Ahmed bin Saeed Al Maktoum, and the rest, as they say, is history. “The rulers of Dubai felt the long-term economic growth of the emirate would be best served with its own airline,” recalls Sheikh Ahmed in the Arabian Travel Market’s 20th anniversary publication, Twenty Years in Travel. “Sheikh Mohammed instructed that Emirates be created as an airline for the UAE, offering the highest standards of service and operating without any protection under Dubai’s Open Skies policy. Sheikh Mohammed wanted Emirates to play a major role in Dubai’s growth. How right he was.” When Emirates Airline was given the go ahead, Tim Clark, who had cut his teeth as a talented route planner at Bahrain’s Gulf Air, was brought on board, and he, Sheikh Ahmed and Flanagan launched the carrier with a modest US$5 million in just five months. On October 25, 1985, Emirates operated its first air services out of Dubai International with just two aircraft — a leased Boeing 737 and an Airbus 300 B4. EK600 took off from a dusty runway for Karachi, Pakistan, marking the start of one of the world’s most significant aviation industry success stories. “I was there right from the beginning,” Sheikh Ahmed reminisces. “Thanks to a team of experienced airline professionals, many of whom are still with us, we managed to grow the airline from two wet-leased aircraft and three destinations to what it is now.” Thirty years on, Emirates operates 219 passenger aircraft to 144 destinations in 81 countries. To mark this 30-year anniversary, His Highness Sheikh Ahmed bin Saeed Al Maktoum, now Chairman and Chief Executive, Emirates Airline & Group, discusses some of the carrier’s historical and recent highlights.
“The success of Emirates and Dubai go hand-in-hand and they have done from the very beginning” Q: Sheikh Ahmed, what do you believe have been Emirates’ biggest achievements during its 30 years in operation? There are so many milestones to be celebrated, but the two key achievements that come to mind are the exponential growth of our network and accrual of a modern fleet in a short span of time, which has been unprecedented in the airline industry. Moreover, we have always been leaders in the innovation category with many ‘firsts’ set by the airline in technology, product and services, both on board and on the ground, all of which has been achieved while maintaining consistent, profitable results. Q: Did you envisage the airline would be one of the world’s most significant aviation players in such a short time frame? From the outset, we had a clear vision on how the airline would be run. Our business model challenged conventions by connecting city-pairs through Dubai when travel flows traditionally passed through European hubs. Our reputation grew as a formidable player that worked hard to transform the way people perceived travel. From our in-flight technology and entertainment to our services on the ground, we have redefined the travel experience, making the industry sit up and watch our every move. Q: How has the airline made aviation history during its 30 years in operation? We were the first airline to order the industry gamechanging A380 and fit it out with our iconic On Board Lounge and Shower Spa, which propelled the carrier and the brand. We have also amassed a fleet of the full Boeing 777 family, which has enabled us to extend our network to ultra-long haul routes, and has redefined the way the industry looks at maximising networks. Our sponsorships have also been immensely successful in getting our brand into the hearts and minds of sports lovers around the globe. From Arsenal to The Rugby World Cup, to name a couple, we have been able to connect people’s passions and inch our way closer to becoming one of the world’s
036 | ATM YEARBOOK 2015
The new Etihad A380 The new B787 On-board services Dreamliner that are second to none
Emirates recently celebrated the delivery of its 100th B777-300ER
top lifestyle brands. We have also demonstrated to the world the huge economic impact that air travel can deliver, not only within the aviation sector, but also in many other industries reliant on efficient air transport links. It is clear our success is intrinsically linked to that of our hub, Dubai, and vice versa. We have painstakingly worked in tandem with multiple stakeholders to create the right infrastructure and conditions to serve our growth ambitions, and it has paid dividends Our home base has grown as a regional centre for aviation, business, trade and tourism and has solidified its place globally and we are proud to be part of this growth.
Emirates currently operates a fleet of 219 passenger aircraft
NETWORK GAINS
FLEET UPDATE
• 144 destinations • 81 countries and territories • 8 new destinations in 2013 • 7 new destinations in 2014 • 2 new destinations in 2015
• 219 passenger aircraft, 14 freighters • 281 aircraft on order worth $135 billion
2014 new passenger routes • Taipei, Taiwan • Boston, US • Abuja, Nigeria • Chicago, US • Oslo, Norway • Brussels, Belgium • Budapest, Hungary 2015 new passenger routes • Bali, Indonesia (June 3) • Orlando, US (September 1)
Airbus A330-200 – 21 A340-300 – 4 A340-500 – 3 A380-500 – 59 with 81 on order Boeing 777-8Xs – 35 on order 777-9Xs – 115 on order 777-200 - 1 777-200ER - 6 777-200LR -10 777-300 -12 777-300ER – 103, 49 on order 777-F – 12, 1 on order
Q: What role has Emirates had in the development of Dubai’s economy? The success of Emirates and Dubai go hand-inhand and they have done from the very beginning. As Dubai has developed, Emirates has expanded its route network, with far-flung city pairs connected with just one stop in Dubai. Aviation is growing in significance as a major engine of economic development, and it has far-reaching contributions to other industries as a catalyst for a spectrum of economic activity. Recent statistics from Oxford Economics show that Emirates contributed $26.7 billion to the Dubai economy in 2013, which was almost 27% of Dubai’s GDP, supporting almost 416,500 jobs and accounting for 21% of Dubai’s total employment. In 2020, the effects will be even greater as both the airline and the emirate of Dubai grow. The overall economic impact of aviation and tourism related activities is estimated to rise to a robust $53.1 billion in 2020. This will be equivalent to 37.5% of Dubai’s GDP, supporting more than 754,500 Dubai-based jobs. Q: Looking at the last 12 months, what have been the airline’s headline achievements? It’s been a busy 12 months for us with the addition of 27 aircraft and eight destinations including Kiev, Taipei, Boston, Abuja, Chicago, Oslo, Brussels
IN NUMBERS
22.5
$ billion revenue
88
$ million net profit
44.5 million
passengers (2014)
3,516
flights weekly (2014)
47million meals (2014)
70million passengers by 2020
80%
passenger seat factor
2.1 million tonnes of cargo (2014)
52,516 employees
144
destinations
219
passenger aircraft
281
aircraft on order
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“I am proud of where we are today, excited by the prospects of tomorrow and hope that in the next 30 years we will continue to be a trailblazer in the industry”
2014 MILESTONES AT A GLANCE • 27 new aircraft • 8 destinations • Increased frequencies to more than 20 destinations • 10 new A380 points • Acquired 50th A380 and 100th Boeing 777300ER • Carried more than 47 millions passengers • Averaged 3,500 flights weekly • Emirates SkyCargo moved to Dubai World Central’s (DWC) Al Maktoum International Airport • Sponsorship deal with Benfica football club • Rugby World Cup sponsorship deal – Emirates logo first
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and Budapest. We also added frequencies to more than 20 existing destinations and built 10 new A380 points into our network. We hit major fleet milestones when we acquired our 50th A380 and our 100th Boeing 777300ER aircraft, strengthening our position as the world’s largest operator of both the A380 and 777. In spite of the runway closure at Dubai International, which greatly impacted our operations for 80 days during 2014, we still saw passenger growth and rounded off the year carrying more than 47 million passengers, averaging more than 3,500 flights a week. On the cargo front, Emirates SkyCargo moved its freight operations to Dubai World Central’s (DWC) Al Maktoum International Airport in May 2014. The new cargo terminal provides capacity that positions Emirates SkyCargo for future growth. Our global sponsorship portfolio also grew last year, in line with our brand promise to ‘connect people to their passions’, by adding Benfica to our roster of iconic football clubs. We renewed our commitment to AC Milan for another five years too. Lastly, we announced sponsorship support for the Rugby World Cup 2015 and 2019. For the first time in the event’s history, the Emirates logo will grace the shirts of match officials during the tournament.
10 million visitors from outside of the UAE who spent $13 billion last year. The success of Dubai as a destination is the result of a public-private partnership, with a shared vision to invest in world-class aviation and tourism infrastructure to more visitors to the emirate every year. This is why Dubai has doubled its share of the world’s business and tourism traffic since 2000.
Q: How has Emirates’ growth over the past year contributed to Dubai’s tourism industry prosperity? Aviation, led by Emirates, continues to be the catalyst of growth for Dubai’s tourism industry. Tourism and travel activities in 2013 had an economic impact of $10.2 billion supporting more than 157,000 jobs. In fact, Dubai welcomed nearly
Q: What is your personal long-term vision for the airline? As we grow as an airline, I want our authentic customer proposition to continue to thrive. I am proud of where we are today, excited by the prospects of tomorrow and hope that in the next 30 years we will continue to be a trailblazer in the industry.
Q: What are Emirates’ key goals for the next 12 months? This financial year will be another eventful period for us and we have much to be optimistic about. In addition to our network expansion plans, which are part of a larger, meticulously mapped-out network strategy, we intend to add 26 aircraft this year, 15 of which will be A380s. Q: What regional and global challenges are currently facing Emirates and how are you proactively combating these? Over the last year we have dealt with regional conflicts that impacted our flight paths and operations, the Ebola outbreak in West Africa, and the continuing plunge in oil prices that have greatly affected currency strength in many markets in which we operate. Tragedies like MH 370 and MH 17 have also forced us to reconsider how we look at our operations. Despite these challenges we have continued to tread a path of positive growth, adding significant capacity to our fleet while remaining profitable. The strength of our already extensive network, which continued to expand last year, gave us the agility to deal with regional and global setbacks by strategically redeploying our fleet and leveraging opportunities where we could.
A ‘STELLA’ YEAR FOR DNATA As dnata’s travel services division introduces a bevy of new products and services to its portfolio, Divisional Senior Vice President Iain Andrew outlines his plans for capitalising on this expanded offering
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nata invested a record AED 850 million (US$232 million) in new business ventures between 2013 and 2014, according to the Emirates Group annual report released last April. In 2014 alone, investment totalled AED 545 million ($148 million) with a significant percentage of spend dedicated to the expansion of the firm’s travel services division, as part of an on going acquisition strategy overseen by Divisional Senior Vice President Iain Andrew. This strategy kicked off with the purchase of UKbased online travel firm Travel Republic in 2012, but really gathered pace in February 2014 with the
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acquisition of established British consolidator, Gold Medal Travel Group. The combination of the two helped drive a 22% increase in revenue for the division to AED 662 million ($180 million) for the 2013-2014 financial year, while underlying travel-services related turnover, measured by net sales value, increased 10% to AED 5.9 billion ($1.6 billion). To further bolster its suite of travel services and products, dnata purchased its third UK-based travel business, Stella Travel Services, in October 2014. The deal encompassed Stella’s five diverse brands: TravelBag, Travel2, Sunmaster, Global Travel Group and Triton Rooms.
“It’s been the busiest period during my nine years at dnata,” says Andrew. “In addition to acquiring Gold Medal and Stella, in 2014 we also partnered with City Sightseeing WorldWide to bring City Sightseeing hop-on, hop-off tours to Dubai. We’ve also opened an outlet in Erbil (Iraq), a wonderful facility at Clark International in the Philippines, and we are now responsible for Arabian Adventures, Emirates Holidays and the group’s MICE division.”
covering key market segments including retail, franchise, wholesale, online and call centres. “Stella has some unique brands that we don’t have,” says Andrew. “It gives us scale with the airlines and hoteliers and we are trying to look now at how we bring together these air and non-air components. “There is a whole host of synergies we can drive from a financial, procurement, negotiation, and systems perspective and the centres we now have through Stella in Cheshire, Preston and in particular, Glasgow, give us a good base.”
“It’s easy to be lured by profitability elsewhere, but we don’t want to take our eye off this region”
PURCHASES PAY DIVIDENDS One year into the Gold Medal acquisition, Andrew says dnata is starting to fully reap the benefits of this travel firm’s expertise and product offering. “We have left Gold Meal to run as they (management) see fit, but we have started the process of looking at how we invest further in the business,” he says. The company recently launched in Ireland “and international expansion plans are underway, so it’s now time to broaden the portfolio with products like cruise, which it was unable to do under its previous ownership (Thomas Cook),” says Andrew. “We’ve already offered more cruise product in the Middle East market and seen tremendous pick-up outbound from the UAE – significant growth, albeit it from a small base.” Learning how to replicate Gold Medal’s “great relationship with travel agencies” is another focus, Andrew says. “We are looking at how the company engages with the trade and to bring that professionalism to the Middle East through a kind of franchise approach,” he reveals. “We have always had a relationship with customers here, but never broadened our portfolio.” One of the main reasons dnata acquired Gold Medal and subsequently, Stella, was to secure more business from Dubai’s biggest international source market – the UK. Andrew says inbound business for the 2014 to 2015 financial year has picked up strongly with growth of between 40% and 100% across “various measures”. “We’ve also been able to take Gold Medal’s capacity in long haul and put it into Travel Republic,” he adds.
WHY STELLA? The acquisition of Stella Travel Services further supports the “continued growth of long-haul travel out of the UK”, says Andrew. In 2013, the UAE was the company’s most popular destination, he notes. Based in Chester, the firm, like Gold Medal and Travel Republic, has UK market know-how with its brands
PORTFOLIO PLANS With three strong British companies under dnata’s wing, Andew says there will be no more significant investments in the UK market going forward. “It would be difficult to do more – we are pleased with what we have and their growth potential and we don’t want too many eggs in one basket,” he explains. “But we are always keen to grow inbound and have looked at acquisitions in [key source markets such as] Germany and Russia, but we haven’t found anything that fits. We will also continue to monitor opportunities in Asia-Pacific and South America.” For now, Andrew is also working on the integration of Emirates Holidays and Arabian Adventures. In February, he appointed dnata Travel’s Divisional Vice President, Strategy, Business Development & Retail, Ailsa Pollard, to head up Emirates Holidays, but he says it’s too early to discuss detailed plans for the wellestablished tour operator and DMC. “What I can say is that I am very excited about the Emirates Holidays brand and the capabilities it has; in combination with our other businesses it’s a
ABOUT DNATA’S TRAVEL BUSINESS dnata's Travel Business is the largest provider of travel services and products in the Middle East and operates more than 200 retail outlets worldwide. Each year its travel advisors handle more than 2.9 million bookings, 5.5 million bed nights, and two million airline tickets. Its suite of products and services includes business travel management; worldwide tour operations; hotel sales and marketing representation; group and incentive arrangements; sports and active holiday programmes; offshore and marine services; government and corporate travel and leisure travel. dnata owns and operates Stella Travel Services, Gold Medal Travel Group, Travel Republic, has investments with Hogg Robinson Group, Mindpearl Group, and brought personalised travel to the Middle East through a joint venture with Travel Counsellors.
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DNATA IN NUMBERS (2014)
275,000 49
7.5bn
AED
new destinations in 2014
Countries where dnata operates (including JVs)
Hotels in database
104million 80,000 Car rental sales
UK passengers to the UAE in 2014
7million Bed nights
7million
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2,067 Travel agents served
any major changes,” he adds. Travel Republic’s sophisticated technology was one of the deal clinchers when dnata made that purchase and it now powers dnata Travel in the UAE and Saudi Arabia, with plans to roll it out across other areas of the business. Last year, dnata also acquired the resources of an Indian tech firm for testing and integration. “We now have a team of 30 people in Bangalore servicing dnata, Gold Medal and Travel Republic, which has relieved a lot of pressure as far as the integration process is concerned,” says Andrew. “We have around 50 interfaces and now, whether
Airlines represented
8
countries where dnata Travel has a presence
2014 MILESTONES
Travel outlets worldwide
3.5million great match,” he says. “Emirates Holidays is an incredibly strong brand that we can take into other markets – I can’t do that with Gold Medal, Travel Republic or to be honest, even dnata travel. “What we will do is bring in the strengths of our other businesses to help grow Emirates Holidays’ global footprint.” Andrew says steps to change and integrate the Emirates Holidays and Arabian Adventures systems are already underway with plans for both to be bookable online by early next year. “In the meantime we are making the most of our contact centres and our customers won’t notice
KSA passengers to the UAE in 2014
200
Passengers
Travel bookings
25,000
35
• Gold Medal Travel Group acquisition (February) • Stella Travel Services acquisition (October) • Partners with City Sightseeing World to launch hop-on hop-off Dubai city tours (October) • Emirates Holidays and Arabian Adventures join the portfolio (Q4)
we are integrating into an airline system or a bed bank, we are very good at it.” Business and systems integration, as well as “getting the right staff on board” are the division’s biggest challenges he says, “but are on budget for the 2014-2015 financial year with Gold Medal and Stella over budgeted predictions”. “Looking ahead we’ll continue to invest with a strong focus on the Middle East,” Andrew adds. “It’s easy to be lured by profitability elsewhere, but we don’t want to take our eye off this region and we are on track to reach our target of a presence in 10 countries by 2017.”
GATEWAY TO THE GLOBE Dubai International now handles more international passengers than London Heathrow, but that’s just the start of Dubai’s long-term capacity campaign that will see Dubai Airports operate the world’s biggest airport by the mid-2020s, says the entity’s CEO, Paul Griffiths
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ubai International achieved a major feat in 2014, leapfrogging London Heathrow to become the world’s busiest airport in terms of international passenger traffic. It’s an accomplishment the triumphant Dubai Airports CEO, Paul Griffiths, believes puts the Dubai sceptics in their place, with the world’s fastest-growing aviation hub catering to around 71 million international passengers over the 12-month period, surpassing the 68.1 million reported by the UK's main international hub. “To cement our position at the intersection of all the major traffic flows between east and west, thanks to Dubai’s geocentric nature, and passing 70 million passengers to put us in first place for international passenger traffic is really a milestone for us and I think any doubts about the validity about this part of the world being the centre for global aviation surely must have been dispelled by this achievement,” he says. “And our inherent rate of growth will make it difficult to lose that
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QUALITY v QUANTITY Now Dubai International has overtaken London Heathrow for international passenger traffic, there is a strong focus on ensuring customer service is top notch too. “What we are now determined to do is ensure we are not only the biggest airport in the world for international traffic but also the best,” says Griffiths. “We need to drive service levels so we can say we are up there for quantity and quality.” Dubai Airports has completed its “major uplift in capacity and service quality” at Terminal 2 and is currently conducting significant upgrades at Terminal 1. “The next major upgrade will be the addition of Concourse D, which we expect to start during Q2 this year,” he says. “It will probably be the last new facility we create at Dubai International.” Concourse D will cater to all the major continental airlines, improving quality standards to levels Griffiths hopes will drive an “uplift in passenger perception and quality scores”. “On the softer side we are embarking on a new service training initiative for our employees and stakeholders to ensure we improve the passenger experience at the same time we enhance our facilities,” he says.
status; we are anticipating 79 million passengers by end of 2015 so we are already creeping up on the next volume-driven milestone, which will be to be the biggest airport in the world regardless of the number of passengers.” Heathrow accommodated 73.4 million passengers – a combination of domestic and international travellers – in 2014. But as the London airport nears its maximum capacity, limited by two runways, Dubai International will soon steal the entire limelight from its UK competitor. “We will pass Heathrow for absolute passenger numbers in 2015,” Griffiths confirms. Over the next five years, Dubai International will also outperform Atlanta in the US, which currently deals with around 93 million domestic and international passengers annually. At this point Dubai’s new airport, Al Maktoum International – Dubai World Central (DWC), will step up to the plate and help Dubai International cater to this rampant demand. “Al Maktoum International will always remain the focus of our
20 500,000 Number of passengers Al Maktoum International must accommodate by 2020
millon
Number of passengers using Al Maktoum International in 2014
growth as we run out of capacity at Dubai International, which is likely to happen between 2018 and 2020,” reveals Griffiths. “The forecast demand for both airports is 126 million by 2020; we can’t accommodate all of that growth at Dubai International, that’s for sure.”
A RACE AGAINST TIME Back in 2008 when Dubai Airports’ Strategic Plan 2020 was
ATM YEARBOOK 2015 | 045
conceived, Dubai International’s capacity was forecast at 90 million by 2020, so the revised prediction already outweighs this number by a staggering 36 million passengers. “So there will have to be some serious participation at DWC – probably about 20 million passengers to enable us to accommodate all the growth we believe we will see over the next few years,” Griffiths muses. “The new facility in its initial 120-millionpassenger-capacity phase, we need to get made available as soon as possible, because the last thing we want is any constraint on Dubai’s aviation industry given it’s such a lifeblood for the country, accounting for 28% of GDP.” But making the capacity available in that short timeframe is easier said than done. In 2014, a US$32 billion expansion package was announced for Al Maktoum to take its capacity to 200 million when completed in the late 2020s. “But that’s a significant amount of money to raise under any circumstances so we have to make absolutely sure there is a clear methodology in place to get that capital secured,” asserts Griffiths. “And that’s what is occupying our minds at the moment because we have to build the facility and bring it into service as soon as we possibly can to avoid an extended period of being in negative growth.” The top priority, he says, is to “get a structure in place” that will attract international finance. “Our business process and the way we put the operation together is all pretty solid at the moment and we have had some good results over the last few years – our traffic has grown and we have been able to contain costs and optimise revenue,” he explains. “If we continue to perform well and demonstrate we can justify that level of investment then I am confident there will be a way of raising the capital needed to fund phase two of Al Maktoum.”
PLAYING CATCH UP Around 0.5 million passengers passed through Al Maktoum in 2014, giving Dubai Airports just five years to increase this by forty-fold to 20 million by 2020. “The growth at DWC will accelerate when capacity at Dubai International becomes much more scarce, which it does every day,” says Griffiths. “Carriers currently contemplating flying to Dubai have the choice to accept the availability of slots we have at Dubai International, which is obviously becoming more difficult to satisfy as we might not be able to provide timings that suit those carriers, or they can opt for DWC
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where we have an uncongested situation and people can operate to a schedule that suits their needs. DWC is a quite small airport so the service quality and ability to get through the airport in a short space of time is definitely of benefit to passengers using the airport.” Griffiths says Al Maktoum is “gradually attracting more [passenger] airlines”, and notes the facility has been operating cargo traffic for almost five years. “We have 24 cargo airlines including all the Emirates freighters and they are reporting a thriving cargo business,” he continues. “If passenger business follows the same growth trajectory, as airlines and customers see the advantages of going through a very uncongested and rapid terminal process, we are confident DWC will be a successful operation.”
THE EMIRATES FACTOR It’s been asked many times before, but now it’s a question Griffiths is better equipped to answer; when will Emirates relocate its operations entirely to Al Maktoum? “As soon as we get phase two ready, we will construct to a capacity that allows Emirates to move its entire hub, because it’s impossible to create a sustainable business model where Emirates is split across two airports and we are trying to eliminate that from the scenarios we are modelling,” he stresses. “We have to build enough capacity for them to move quickly and of course the later we leave the completion date the more capacity we have to build; it’s quite a tricky situation. “If we can get something designed, built and opened by 2022, that would [involve] quite an aggressive timetable. "However, my personal view is that we are unlikely to see the Emirates [passenger] hub relocate to Al Maktoum until around the middle of next decade because of the massive construction involved and the fact we are dealing with a completely greenfield site. We need to build roads and all the connectivity between the airport and the rest of the UAE so we have to start from scratch. It’s quite a tall order, really.”
ENLIGHTENED LEADERSHIP Griffiths is no stranger to challenges, having surpassed Heathrow’s international passenger traffic in a year when one of Dubai International’s runways was out of action for repairs and enhancements over an 80-day period from May 1, 2014. “The fact we were able to do major work on both runways and reopen [the closed runway] on time was a definite milestone last year, plus Emirates
BIG NUMBERS
24
The number of cargo airlines currently operating at Al Maktoum International
38% The number of flights operated by Emirates and flydubai at Dubai International
79million The number of passengers forecast at Dubai International by the end of 2015
200 million The capacity at Al Maktoum International when the facility is completed in the 2020s
$
32 billion
The value of the expansion package announced for Al Maktoum International in 2014
grew its traffic volumes even though we were 32% down on capacity,” he says. “We do set ourselves some pretty ambitious targets but I have a fantastic team who always seem to pull things out of the bag no matter how high the bar is set.” Griffiths says Dubai’s “enlightened leadership” is inspirational in this respect. “It’s very clear that when there are high ambitions and a clear single-minded vision of what success looks like is set out, everyone falls into line and knows what they need to achieve to be part of this success. “I have to say, it’s really quite energising being part of that clear vision as to what Dubai wants to achieve for the future.”
A CATALYST FOR GROWTH
MEDICAL TOURISM: THE Dubai Healthcare City is the world’s largest healthcare free zone
Medical tourism is as much about high-quality care and accredited facilities as it is about the scale of hard and soft infrastructure of a destination, explains Dr Wajdi Al Daghma, Chief Operating Officer of Dubai Healthcare City (DHCC), the world’s largest healthcare free zone 048 | ATM YEARBOOK 2015
WHOLE NINE YARDS
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ubai’s position as a preferred destination for tourism is cemented so it’s no surprise that medical tourism builds on these very strengths to attract foreign patients. Here, Dr Wajdi Al Daghma, Chief Operating Officer of Dubai Healthcare City (DHCC), the world’s largest healthcare free zone, explains the building blocks of medical tourism.
IN NUMBERS
1.2 million The number of patient visits to DHCC in 2014
15% Of DHCC patients are medical tourists
48% Of DHCC’s medical tourists originate from the GCC
Since DHCC was established, how has the free zone contributed to Dubai’s developing medical tourism industry? In 2014, Dubai Healthcare City, the world’s largest healthcare free zone, recorded 1.2 million patient visits – up from one million visits in 2013 – with 15% representing medical tourists. DHCC, which was founded in 2002, represents high-quality healthcare, accredited clinical facilities and stringent regulations within a culture of medical education and research. We are home to renowned clinical institutions known to foster innovation in healthcare. We had quite a few remarkable medical tourism cases in 2014. To quote but one example, a 51-year-old Qatari male patient travelled to Dubai Healthcare City wheelchair bound; he was able to walk again after a complex spinal treatment. Last year, we commissioned a medical tourism survey using respondents from our medical facilities. As per the findings, DHCC-based physicians reported that 80% of medical tourists come to Dubai for quality of care; 61% said they travelled to Dubai for treatment because of city’s experienced physicians, while 48% highlighted the availability of specialist treatments. The year 2015 will see wellness concepts take shape as part of our Phase 2 expansion plan thus completing DHCC’s continuum of care. Our expansion strategy is in line with Dubai Vision 2021 and will drive the global trend of preventative healthcare.
Which medical disciplines and facilities attract medical tourists to DHCC and why? Dubai Healthcare City’s 2014 medical tourism survey found infertility procedures topped the list of common procedures sought from medical tourism trips. Following infertility, the survey discovered medical tourists opt for cosmetic, dental, cardiac, and orthopedic procedures, treatments or tests. Within infertility procedures, In Vitro Fertilization (IVF), Intra Cytoplasmic Sperm Injection (ICSI) and Intrauterine Insemination (IUI) are common. We believe the rise in popularity of infertility treatment is due to several factors such as availability of specialised infertility procedures, geographical proximity, high patient referral rates, and in some case, policies that restrict the number of fertilised and implanted embryos in certain countries. Since our inception, our regulations have supported best practice in clinical excellence and attracted both residents and medical tourists. The quality standards at our
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Waldorf Astoria Suite bedroom
Dental care is popular with visiting patients outpatient clinics are accredited by the International Society for Quality in Health Care (ISQua), which is the only organisation that ‘accredits the accreditors’. In early 2015, Dubai Healthcare City Authority – Regulatory, an independent body for regulation and licensure of DHCC-based healthcare professionals and healthcare operators, introduced a ‘Visiting Physician’ license to encourage visiting physicians with high qualifications and competencies. The license is valid for a period of only one month at a time; renewable up to three times in any one year. What are the key source markets for medical tourism business at DHCC? Though our patient base is wide, our medical tourism survey pointed out that 48% of medical tourists originate from the GCC; 32% from the wider Arab World; 26% from Eastern and Western Europe; and 23% from Asia. What patient trends are you noticing? Population growth, driven by an ageing population, plus the growing burden of healthcare expenditure due to a rise in non-communicable diseases (NCDs) like diabetes and obesity, are driving the demand for healthcare in the region. In terms of trends, we will continue to see steady investment in soft and hard infrastructure across the emirate to provide healthcare for residents and medical tourists. Globally, the wellness industry is growing as people take greater responsibility in maintaining their health. What is your strategy for pursuing more medical tourism business? The success of a medical tourism destination depends on the necessary building blocks – infrastructure, innovation, safety, and a regulatory environment along with geographical proximity to source markets. On a strategic level, DHCC works with the Department of Tourism and Commerce Marketing (DTCM), UAE health authorities and the General Directorate of Residency and Foreigners Affairs (GDRFA) to ensure medical tourists have access to quality care. Promotional activities include participating in international specialised exhibitions and seminars in collaboration with our stakeholders both regionally and internationally.
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In 2014, 15% of DHCC patients were medical tourists From specialties to infrastructure and government support, medical tourists need to be connected. For instance, DHCC is home to medical tourism facilitators that link overseas patients to medical providers, handling travel, transportation and tourism needs. On a governmental level, medical tourism was given much needed impetus with the introduction of a three-month medical tourist visa, extendable twice for up to nine consecutive months. Our goal is to help build the foundations necessary for a system of advanced health care services and ensuring the nation’s wellbeing. We work closely with all our stakeholders to ensure Dubai is well positioned as a global hub. Our successful global partnerships show we value collaboration rather than competition.
“It is a quality of carein various specialties combined with a strong regulatory framework that has resulted in high patient satisfaction”
What new markets are you pursuing for business and why? Dubai Healthcare City will continue to cater to GCC patients in response to a number of factors including population growth, the rise in chronic diseases, high disposable income, sophisticated spending patterns and political stability. What does DHCC offer that other cities do not in terms of its medical tourism offering? According to the MasterCard Global Destination Cities Index, last year Dubai ranked as the seventh most popular city globally in terms of inbound international visitors, eclipsing cities such as Hong Kong, Barcelona, Milan and Rome. Being located in the heart of Dubai, an emirate that has demonstrated continuous commitment to investing in facilities required to sustain a growing tourism market, gives us a location advantage. But more importantly, it is a quality of care in various specialties combined with a strong regulatory framework that has resulted in high patient satisfaction.
E Philippe Zuber
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maar Hospitality Group and its hotels and leisure assets recorded robust growth in 2014, achieved by leveraging the “positive performance” of Dubai’s economy and through “concerted efforts” to strengthen its portfolio, expand in new markets and create “innovative guest experiences that built customer loyalty, brand retention value and increased occupancy levels”, according to Chief Operating Officer Philippe Zuber. “In 2014, Emaar’s hospitality and leisure business recorded total revenue of AED 1.681 billion (US$ 458 million), 11% higher than full-year 2013 hospitality revenue of AED 1.515
Going GLOBAL Emaar Hospitality Group’s expansion strategy is gaining momentum, with 2014 witnessing new ventures outside of the Middle East, reveals Chief Operating Officer Philippe Zuber The Address Downtown Dubai won a slew of awards in 2014
The Address Dubai Mall
billion ($ 412 million). Address Hotels + Resorts, Emaar’s flagship hotel brand, which was voted ‘Best Hotel Chain in the Middle East,’ at the Global Traveler Awards 2014, recorded an average occupancy of 85% during 2014, higher than industry average,” he says. In other key accomplishments, The Address Hotels + Resorts marked its entry into the international market by signing three management agreements to operate a full-fledged hotel and two serviced residences projects in Turkey. Overlooking the Marmara Sea, Princess Islands and Bosphorus Strait, the flagship hotel, The Address Istanbul, is described The Address Downtown Dubai won a slew of awards in 2014
An artist's impression of the forthcoming Rove Za’abeel's restaurant terrace
by Zuber as “a 49-storey architectural marvel in the heart of Emaar Square, a mixed-use project by Emaar”. Further strengthening its global footprint, The Address Hotels + Resorts announced plans to open its first property in Nigeria. The Address Abuja will be the first hotel and serviced residences project to open in the Abuja Centerary City development. “We are committed to standing at the forefront of Dubai’s hospitality sector, while expanding our footprint to high-growth markets globally,” says Zuber. “We have also expanded to Egypt with management contracts to operate The Address Marassi Golf Resort & Spa as well as The Address Masai Mara in Kenya, a retreat highlighted by the natural beauty of Kenya. “Emaar Hospitality also continues to innovate its guest offerings by introducing game-changing services across its food and beverage portfolio, which today comprises more than 35 restaurants,” continues Zuber. “Another highlight for The Address Hotels + Resorts was the launch of an innovative iPad in-room application providing visitors with luxury hospitality and personalised services at their fingertips.” And in a bid to further strengthen its portfolio, Emaar Hospitality Group opened Manzil Downtown Dubai, a new upscale lifestyle boutique hotel that “celebrates the warmth of Arabian hospitality in a culturally stimulating, tech-savvy setting”. Managed by Vida Hotels and Resorts, Emaar’s lifestyle hotel brand for the new generation of business executives, entrepreneurs and lei-
“We are committed to standing at the forefront of Dubai’s hospitality sector, while expanding our footprint to high-growth markets globally” sure travellers, Manzil Downtown Dubai serves a “distinctive niche in Dubai’s hospitality sector”, says Zuber. “We also enhanced our Lifestyle Dining venues with the opening of CUT, the award-winning, modern American steak restaurant by legendary chef and restaurateur Wolfgang Puck, at The Address Downtown Dubai,” he adds. “Another addition to our restaurant portfolio – also in The Address Downtown Dubai – is Zeta Restaurant/Lounge, Dubai’s must-see must-do experience, specialising in Asian fusion cuisine.’
A ‘ROVING’ BRAND Emaar Hospitality Group’s ongoing expansion strategy is designed to support the efforts of Dubai’s Department of Tourism & Commerce Marketing (DTCM) to achieve its 20-million-visitor goal by 2020, as declared in 2013 by His Highness Sheikh Mohammed bin
MILESTONES AT A GLANCE • In 2014, Emaar's hospitality and leisure business recorded total revenue of AED 1.681 billion (US$458 million); • The Address Hotels + Resorts reports an average occupancy rate of 85% in 2014; • Announces The Address Istanbul (hotel and serviced residence) – an international property to feature a premium collection of five-star residences;
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• Announces plans for The Address Abuja, Centenary City, the first hotel and serviced residences project in Abuja Centenary City, developed by Centenary City Plc and Eagle Hills, a UAE-based private investment and real estate development company; • Announces Rove Hotels, Dubai’s smart new hotel brand for the modern traveller, with six hotels under construction;
• Opens Manzil Downtown Dubai, managed by Vida Hotels and Resorts; • Award-winning modern American steak restaurant CUT and ZETA Restaurant/Lounge open at The Address Downtown Dubai; • The Address Hotels + Resorts launches innovative iPad in-room app.
EMAAR HOSPITALTY GROUP PORTFOLIO Emaar Hospitality Group owns and manages a diversified portfolio of hospitality assets including hotels, serviced residences, golf retreats, a polo and equestrian club, lifestyle dining outlets and the Dubai Marina Yacht Club. The portfolio includes:
Hotels
The Address Hotels + Resorts • The Address Downtown Dubai • The Address Dubai Mall • The Address Dubai Marina • The Palace Downtown Dubai • The Address Montgomerie Dubai Rove Za'abeel
Vida Hotels and Resorts • Vida Downtown Dubai • Manzil Downtown Dubai
Serviced Residences
• The Address Downtown Dubai • The Address Dubai Mall • The Address Dubai Marina • Nuran Marina Serviced Residences (Managed Property)
Leisure Assets
• Arabian Ranches Golf Club • Dubai Polo & Equestrian Club • Dubai Marina Yacht Club
Lifestyle Dining
• At.mosphere, Burj Khalifa • The Palace Café • La Serre Bistro & Boulangerie • CUT by Wolfgang Puck • The Pavilion Downtown Dubai
List of upcoming properties
Hotels • The Address Marassi Golf Resort & Spa in Egypt • The Address Masai Mara in Kenya • The Address Istanbul • The Address Abuja, Centenary City • Vida Town Square Dubai Rove Hotels • Rove Za’abeel • Rove Al Wasl • Rove Port Saeed • Rove Al Jafiliya • Rove Oud Metha • Rove Dubai Marina Serviced Residences • The Address Residence The BLVD • The Address Residence Sky View • The Address Residence Fountain Views • The Address Residence Istanbul • The Address Residences Emaar Square in Istanbul Vida Residences •Vida Residence The Hills •Vida Residence Downtown Dubai
The Palace Downtown Dubai
The Palace Downtown Dubai
The Address Montgomerie Dubai
The Palace Downtown Dubai
Rashid Al Maktoum, UAE Vice President and Prime Minister and Ruler of Dubai. “As Dubai prepares to host the Expo 2020, strengthening the hospitality sector to welcome the 25 million visitors expected during the event’s six-month period is imperative,” says Zuber. “We will support the expansion plans of Emaar Properties as it focuses on creating varied integrated developments in Dubai and other emerging markets. “Additionally, we are developing a new-generation hotel brand – Rove Hotels – for the joint venture of Emaar and Meraas Holding. We have made significant progress with our first [Dubai-based] project – Rove Za’abeel – while five other properties will open in the coming years in Al Wasl, Port Saeed, Al Jafiliya, Oud Metha and Dubai Marina.” Described as “modern, cosmopolitan, smart and cultural – the
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A YEAR OF ACCOLADES Emaar Hospitality Group owns and manages a diversified portfolio of hospitality assets including hotels, serviced residences, golf retreats, a polo and equestrian club, lifestyle dining outlets and the Dubai Marina Yacht Club. The group's hotels received numerous accolades in 2014, including: • The Address Hotels + Resorts named ‘Best Hotel Chain in the Middle East’ for the second year running (Global Traveler Awards 2014);
• Leisure India & South Asia’s ‘India’s Best Awards 2013); and ‘Best Luxury Day Spa in the Middle East’ and ‘Best Spa Manager’ (World Luxury Spa Awards)
• The Address Montgomerie: ‘Best Golf Course in the Middle East’ and ‘United Arab Emirates' Best Golf Course’ (World Golf Awards 2014)
• The Address Downtown Dubai: ‘Best Individual Hotel in the World’ for the fourth consecutive year (Global Traveler Awards 2014)
• The Address Dubai Marina: ‘Best Luxury Wellness Spa in the UAE’ (World Luxury Spa Awards)
• Dubai Marina Yacht Club: ‘5 Gold Anchor Award’ (The Yacht Harbour Association)
TOP FOUR TRENDS
By Philippe Zuber, Chief Operating Officer, Emaar Hospitality Group
The Address Dubai Marina was named ‘Best Luxury Wellness Spa in the UAE’ in 2014
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Guests expect experiences tailored to their aspirations: For savvy youth travellers, it might mean hotels that offer fuss-free, tech-savvy environments that suit their lifestyle. The evolution of mid-market value hotels: As the traveller demographic expands to include a broader cross-section of visitors from emerging markets in Asia, Africa and Europe, it is important to offer hotels that are both affordable and elegant.
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Sustainability: Travellers and hotel guests increasingly demand “green features” and expect energy and water efficiency measures. Destination experience: Guests demand lifestyle experiences that add value to their stay. The Address Hotels + Resorts portfolio taps into leisure and lifestyle choices offered by Emaar to meet such requirements such as Dubai Mall or the golf course at The Address Montgomerie Dubai.
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essence of Dubai’s identity”, this new mid-market lifestyle brand will deliver “unique hospitality experiences for the young and young-at-heart global traveller”.
DOMESTIC BLISS Emaar Hospitality Group’s home market, Dubai, will continue to present growth opportunities for the hospitality sector as the emirate successfully establishes itself as a “year-round tourism destination”, says Zuber. “As a regional hub for business and leisure, Dubai’s hospitality sector benefits from a steady inflow of year-round visitors. The city has also clearly defined its credentials in the MICE sector and attracts visitors to a wide variety of sports, cultural and entertainment events. Additionally, Dubai is also making strong inroads as the region’s capital for health tourism,” he adds. Dubai’s status as a global aviation hub, with nearly one-third of the world’s population just a fourhour flight away, will also continue to benefit hotel industry growth, notes Zuber. “Emaar Hospitality Group’s strategy is fully aligned to the Dubai Tourism Vision, and supports the government’s efforts to boost tourism revenues through our strong portfolio of hotels in the city,” he says. One of the few challenges the company faces, he says, is finding enough skilled personnel to help support its rapid growth. “But we address this by hiring the best international talent and training staff to understand and adapt to our operational philosophy,” Zuber adds.
Waldorf Astoria Dubai Palm Jumeirah boasts an iconic location
The property features two climate-controlled pools
058 | ATM YEARBOOK 2015 It also features six world-class restaurants and bars
a LANDMARK in the MAKING H
ilton Worldwide opened the doors to one of its most prestigious Middle East properties, Waldorf Astoria Dubai Palm Jumeirah, a little over 12 months ago. And in the short space of time since, the landmark hotel, the second to open under the Waldorf Astoria brand in the region (following the August 2013 debut of the Waldorf Astoria Ras Al Khaimah), has already established a reputation as one of Dubai’s leading properties. Firstly, its sought-after location, on the East Crescent of the iconic Palm Jumeirah – a luxury destination in its own right - makes it a top choice for leisure and business travellers alike. “Our location is unlike any other hotel on the Palm,” explains general manager Jan Moenkedieck. “We are surrounded by sea views on both sides of the hotel, including a view of The Palm and the famous Dubai skyline with all its iconic buildings.” But it’s the Waldorf Astoria brand’s service ethics that really set the property apart from its top-end competitors, argues Moenkedieck. “The Waldorf Astoria brand continually strives to provide guests with unforgettable experiences; we do this through our brand pillars, which provide guests with an inspirational property experience, authentic moments that are central to the Waldorf Astoria experience, and through ‘True Waldorf Service’, our global service credo that provides guests with a personal Concierge in preparation for and during their stay,” he says. The ‘True Waldorf Service’ takes a “three-pronged approach” to guest relations and involves the ‘True Waldorf Service Welcome’, ‘True Waldorf Service Experience’ and ‘True Waldorf Service Invitation to Return’. To ensure this concept can be flawlessly executed, a personal concierge is assigned to each guest who acts as their primary contact before, during and – in an industry first – after their stay, in a bid to guarantee that every request is met.
How industry-leading service standards, an iconic location and Dubai’s largest suite are ensuring Waldorf Astoria Dubai Palm Jumeirah stands out from the crowd
DUBAI’S LARGEST SUITE Attention to detail and high service standards are backed up by a bevy of world-class facilities and amenities. The Waldorf Astoria Dubai Palm Jumeirah has 319 rooms and suites across 13 categories and at the end of 2014 the property added the Royal Suite to its inventory – an offering it says provides guests with the “ultimate luxury of privacy”. Spanning an impressive 1,567 square metres, including balconies and indoor areas, the exclusive sanctuary is the largest suite in Dubai. Suite guests start their journey to the hotel with two luxurious transport options – a chauffeur-driven Bentley or the opportunity to land their private helicopter on the seaside helipad. On arrival they are greeted by their personal concierge and escorted to the private lift, located in the exclusive VIP arrival area adjacent to the lobby. Stepping out into a luxurious foyer, guests can take a moment to look out over the Arabian Gulf from the foyer balcony and prepare to experience the grandiose suite. Inside the Royal Suite, the opulent dining room and its balcony afford guests breath-taking panoramic sea views of Dubai. Here they can host elegant private dinner parties, with customised cuisine and menus created by chefs who personally present each dish and describe the process behind their creations. ATM YEARBOOK 2015 | 059
Royal Suite master bedroom
ABOUT TRUE WALDORF SERVICE
The ‘Majilis’-style lounge provides an ideal setting for a traditional Arabian experience with shisha and coffee both served. The spacious living room has a raised seating area and also features a baby grand piano. There are two private en-suite bedrooms, each with a large balcony boasting magnificent Gulf vistas, a luxuriously fitted bathroom and a king-sized bed. The Royal Suite exudes an air of sophisticated elegance; neutral wood finishings and a cream and gold colour palette are juxtaposed with Italian marble and glittering chandeliers. Moenkedieck describes the Royal Suite as the “ultimate luxury suite experience in Dubai”. “This palatial sanctuary will host world renowned celebrities, royalty, and international dignitaries for the most distinguished events Dubai has ever seen,” he says.
The True Waldorf Service takes a threepronged approach: •
True Waldorf Service Welcome: Before they arrive, guests receive a personalised email connecting them to their very own concierge and offering the opportunity to pre-arrange services and special requests attuned to their history and personal preferences and in relation to the destination. The personal concierge then welcomes the guest on arrival.
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True Waldorf Service Experience: Once guests are onsite the personal concierge ensures they receive a VIP experience, starting with a private escort to guest rooms, bypassing the standard check-in process. While the personal concierge serves as the guest’s primary point contact, he or she is also their personal resource for hotel and resort information and for coordinating with the full staff to deliver seamless, personalised luxury. Also, guests have 24-hour access to designated representatives with local expertise and an informed understanding of their needs.
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THE RIGHT TREATMENT Afternoon tea at Peacock Alley
True Waldorf Service Invitation to Return: An industry first, the Invitation to Return takes the hassle out of departure travel by offering additional services such as packing, boxed lunches, home luggage delivery, transportation arrangements and expedited checkout. Guests receive a small departure gift reflecting the property or culture and a follow-up thank you note after the trip concludes. Waldorf Astoria Spa treatment room
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Waldorf Astoria Dubai Palm Jumeirah also opened its brand new spa in 2014, offering “internationally-inspired spa journeys” and utilising some of the world’s “most exquisite spa products”. Designed as a haven of wellbeing, the Waldorf Astoria Spa aims to provide highly personalised therapies in an intimate environment. Overlooking lush outdoor gardens, the facility covers 3,200 square metres with 12 treatment rooms, two private spa suites, a nail care studio, spa boutique, thermal and water floatation lounges, an ice fountain, herbal steam room and Himalayan salt stone saunas. There are 50 treatments from which to choose, each combining “healing traditions with refined products and specialised techniques to deliver an extraordinary experience”. High-end products include the Valmont range from Switzerland, while the Waldorf Astoria Spa is currently the only hotel spa in Dubai to offer exclusive Red Flower-branded amenities from New York. In addition, the spa offers products by renowned French artist Serge Lutens and Omorovicza from Hungary. Guests can also experience the traditional ‘Attar’ perfumery featuring Serge Lutens fragrances. The signature experience involves a sensory journey created by various perfumes from the collection. Spa Manager Dr. Natalie Ivanusic says the facility and its
MEET THE GM Jan Moenkedieck, General Manager, Waldorf Astoria Dubai Palm Jumeirah What have been the main highlights of the hotel's first year of operation? We have won a number of awards including the Best Newcomer What’s On award for SOCIAL by Heinz Beck and the World Traveller award for
both the ‘Middle East’s Leading New Resort 2014’ and ‘World’s Leading New Resort 2014’. We also opened our Royal Suite and the Waldorf Astoria Spa. What makes the property stand out in a market saturated with top-end hotel brands? Waldorf Astoria Dubai Palm Jumeirah delivers the famed ‘True Waldorf Service’ – an extension of the personal service principles that were first introduced at the legendary Waldorf=Astoria property in New York. Our location also truly sets us apart; situated on the iconic Palm Jumeirah, offering panoramic views of the Arabian Gulf coastline and some of Dubai’s famous landmarks. What type of business does the property attract and what are your fastest growth markets?
Our guest profile is diverse, ranging from Middle East residents to visitors from Europe, Russia, UK, Germany and Asia-Pacific. We seek to understand the unique needs of each guest by pre-empting their requirements and believe this is essential in ensuring they leave with unforgettable memories and a yearning to return. The property is a luxury leisure destination but has also proven popular with the MICE market, having hosted many elegant events, memorable meetings and unforgettable Waldorf weddings. You recently opened the Royal Suite; what’s unique about this product and what market is it pitched at? It is the largest suite in Dubai – an exclusive sanctuary covering 1,567 square metres including balconies and indoor areas. Royal Suite guests are guaranteed a bespoke experience, with every detail tailored to their needs.
As soon as they arrive they are greeted by the personal concierge and escorted to the suite in a private lift, located in the exclusive VIP arrival area adjacent to the lobby. What’s more, breathtaking sea views can be enjoyed from each room and balcony. The Royal Suite caters to guests who demand the very best. It is not only ideal for luxurious getaways, but for events, receptions, product launches and cocktail parties. How has the property carved out a niche with its True Waldorf Service concept? The True Waldorf Experience ensures every guest experiences an impeccable service delivered by staff trained to the highest standards. Under this service initiative, a personal concierge is assigned to each qualified guest and acts as their primary contact, before, during and – in an industry first – after their stay,
to guarantee every requirement and request is met. Exclusively available to guests booking directly with the hotel, the personal concierge covers all requirements from greeting guests on arrival to assisting with personal culinary preferences, arranging transportation and any special occasion details. The True Waldorf Service is an exceptional and highly customised luxury experience. What are your plans to further enhance the hotel’s offering in 2015? This year we will focus on honing our guest arrival experiences. We already offer arrival by helicopter, but we will soon provide guests with the opportunity to arrive by yacht and moor at our hotel. One of the goals for 2015 is to become the premier weekend luxury escape for the GCC market with our unrivalled facilities, iconic location and unforgettable experiences.
customised treatments are a “tribute to the Waldorf Astoria brand’s philosophy of providing impeccable service and unforgettable experiences”. “We’ve taken great care in selecting unique formulations with exquisite ingredients,” she adds.
A CITY SANCTUARY Moenkedieck says the Waldorf Astoria Spa cements the resort’s positioning as a “luxury retreat”, located just “moments away from the vibrant city”. The offering is completed with resort facilities that includes six world-class restaurants and bars, two temperaturecontrolled pools, and a 200-metre private beach with calm waters. The property’s F&B offering includes what Hilton describes as the “jewel in the culinary crown”, the New York inspired SOCIAL by Heinz Beck, a fashionable eatery by multi-award winning master of gastronomy, European chef and author, Heinz Beck. Other options include Lao, which offers south-east Asian contemporary cuisine; Mezzerie (locally-inspired arabesque dining); Palm Avenue (a chic oasis located amidst the hotel’s elegant gardens); and Serafina (an authentic and refined Venetian offering). The centrepiece of the hotel is Peacock Alley, named after the famous high-society promenade lounge that connected the original Waldorf and Astoria hotels in New York and was known as a place to see and be seen.
Royal Suite living room This venue has fast gained a reputation as a hot spot for its signature afternoon tea experience. Waldorf Astoria Dubai Palm Jumeirah also boasts an abundance of impressive recreational facilities including tennis courts, a fitness centre, kids’ club, and a comprehensive range of water sports.
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SERVICE WITHOUT COMPROMISE Why The Oberoi, Dubai, ranks amongst the emirate’s top business hotels
The Oberoi, Dubai, opened in June 2013
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ndian-owned luxury hotel group Oberoi Hotels & Resorts debuted its Oberoi brand in the Gulf in June 2013. The Oberoi, Dubai opened its doors in the up-and-coming Business Bay district, an occasion The Oberoi Group’s Executive Chairman, revered hospitality industry magnate, Mr. P.R.S. Oberoi, said represented a “significant milestone for the company and for me personally”. He hailed the hotel’s opening the beginning of “a new era of luxury in the UAE”, promising “an exceptionally attentive, consistent and warm personalised service for which The Oberoi Group is known worldwide”. To date he’s proved a man of his word. The Oberoi, Dubai consistently achieves a high ranking on TripAdvisor as one of the top 10 hotels in Dubai and received recognition in Wallpaper* magazine, which shortlisted the property in its Annual Best Urban Hotels 2013
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run down. The Oberoi, Dubai was the only hotel in the UAE to be ranked in this listing. Following the property’s official opening in November 2013, Mr Oberoi revealed he had set his sights on operating a second Dubai hotel “on The Palm [Jumeirah], or on the beach”. No announcements have been made to date, but Mr Oberoi has already given the go-ahead for development of the group’s second UAE property, in Ajman. Under his guidance, Oberoi Hotels & Resorts has signed a management agreement with Al Zorah Development Company, a joint venture between the Government of Ajman and Solidere International, for a beachside resort on Ajman’s north coast. It will be part of an AED 4 billion ($1.1 billion) mixed-use development, billed to become an exclusive tourism destination featuring a waterfront spanning some 12 kilometres.
The lobby lounge and bar
The hotel features 252 rooms and suites
“The Oberoi, Dubai brings an ethos of ‘service without compromise’ to the UAE”
The open-kitchen cooking concept at Umai
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Karim Bizid, General Manager at The Oberoi, Dubai, outlines the property’s USPs How would you describe The Oberoi, Dubai? The Oberoi, Dubai is a contemporary luxury hotel that embodies height, light and space and overlooks the iconic Burj Khalifa. Each of the 252 rooms and suites boast floor-to-ceiling windows, showcasing spectacular views of the city’s skyline. Centrally located, the hotel is a few minutes from Sheikh Mohammed bin Rashid Boulevard and the Dubai Mall. As part of our commitment to delivering a personalised service, the hotel offers a 24-hour butler service to all guests. Our concierge is also affiliated to Les Clefs d'Or concierge services. We have three F&B outlets: Nine7One (international) serves nine cuisines from seven continents; Ananta (Indian) allows guests to sample exotic Indian spices and engage in a live cooking demonstration; and Umai (Asian) is an open kitchen cooking concept where guests eat while the Chefs cook in front of them. What makes The Oberoi, Dubai unique? In keeping with the group’s pioneering hospitality tradition, The Oberoi, Dubai brings an ethos of ‘service without compromise’ to the UAE. Team members are handpicked and have been trained at The Oberoi Centre of Learning and Development. Internationally acclaimed for all-round excellence and unparalleled levels of service, The Oberoi, Dubai has received several awards and accolades including ‘Best New Business Hotel’ by Business Traveller Middle East, 2014; one of the ‘Best New Hotels of the World’ by Conde Nast Traveller, UK 2014 Hot List; ‘Favourite New Overseas Hotel’ by the Conde Nast Readers Travel Awards India; the ‘World’s Highest Rated Luxury Hotel Brand’ by ReviewPro; and the ‘Middle East’s Leading Luxury City Hotel’ at the World Travel Awards 2014. Our seamless in-room check-in formalities, 24-hour butler service and Clef ’s d’Or concierge service are offered as a standard to all guests, and we further enhance the guest experience by providing complimentary transfers in a luxury mini bus to Dubai Mall, Burj Khalifa, DIFC and the World Trade Centre. How has the property carved a niche in the market? We cater to business and leisure travellers with a round-the-clock bespoke service. We believe in creating memories and empower staff to enhance the guest experience as they see fit. The butlers have an opportunity to build a relationship with each guest and we have a system in place whereby guest needs are communicated internally to all departments within minutes of their arrival, while of course, maintaining their privacy. This means each department has the knowledge to help them go above and beyond their duties to make our guests' stays memorable ones. It gives us immense pride to be rated, after such a short period in operation, amongst the top 10 luxury hotels in Dubai on several social media review panels and on TripAdvisor.com.
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AT A GLANCE •
Located in Business Bay, close to Downtown Dubai, DIFC and Dubai Mall
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Overlooking the Burj Khalifa
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252 rooms and suites with city skyline views
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24-hour butler service
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Clef’s d’Or concierge service
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Three signature restaurants
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24-hour spa
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Wellness centre with gym and infinity pool
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Luxury mini bus service to nearby attractions and districts
The Oberoi, Dubai has been branded 'a business hotel with a difference'
TREND WATCH “Traveller behaviour has changed: guests prefer to be involved in every detail of their trip, from reading hotel reviews to making bookings – and they use their mobile phones and social media to do so. But this gives us an opportunity to better engage with travellers and to build brand loyalty, while providing them with a more personalised experience.”
What challenges and opportunities has the property encountered? The government has taken several initiatives to position Dubai as a business and entertainment centre and actively markets Dubai as a destination for meetings, business, leisure, sport, art and culture. This has enhanced Dubai’s appeal to consumers and hotel developers alike, which presents both challenges and opportunities. One problem we face in the industry is the retention of talented colleagues and therefore employee satisfaction has become very important to us. I am proud to share that our colleague retention since the pre-opening has been far above the market norms. What type of business does the property attract? The Oberoi Group is a luxury brand and attracts travellers from all over the world who are accustomed to consistently exceptional service. At The Oberoi, Dubai, we attract a wide global audience with business from markets including the GCC, CIS, China, and other parts of Asia. India remains a strong source market because of our group’s roots, however, we have experienced marked increases in business from the US and UK.
WHAT’S NEW AT THE OBEROI, DUBAI For shoppers: The property recently launched a ‘Shop Till You Drop’ package with its travel partners. It includes a luxury mini bus shuttle to Dubai Mall, a shopping bag collection service that delivers purchases to the hotel three times a day, and the use of a dedicated shopping concierge desk with information on deals of the day and top tips. Going organic: The hotel recently began offering exclusive, tailormade organic chemical-free treatments in its spa, as well as gluten-free and organic dishes at its restaurants.
What are your goals for 2015-2016? In our first year, our occupancy was in line with the Dubai luxury hotel average, demonstrating top-end brands remain in high demand. We are optimistic of achieving high occupancy levels throughout 2015 because Dubai is such a vibrant city and the calendar is always full of events and surprises. We look forward to working closely with Dubai’s Department of Tourism & Commerce Marketing (DTCM) and Emirates Airline to create experiences for international travellers visiting Dubai. The MICE market will be a strong focus for us over the next two years and we will be working closely with PCOs and DMCs to offer incentive experiences in the UAE. How will upcoming developments in the Business Bay area benefit the property? Business Bay is a developing area with office, residential, retail and leisure components. We have witnessed an increase in the number of guests booked in by local businesses. We also target local residents with attractive F&B promotions. What is Oberoi’s expansion plan in this region? The Middle East is important to our expansion plans and we look forward to establishing new hotels in the region in conjunction with strong local partners. We plan a number of properties and will be making announcements shortly.
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A PIONEERING SPIRIT Carving a niche as an operator of sustainable and safe family-friendly hotels across all market segments sets HMH – Hospitality Management Holdings in good stead for future growth, says CEO Laurent A. Voivenel
A
number of “significant business and technological milestones” meant 2014 was an “extremely productive and successful year” for HMH – Hospitality Management Holdings, says CEO Laurent A. Voivenel. “In a matter of few months we strengthened our executive team, consolidated our brand positioning and rolled out our expansion strategy with a solid development pipeline,” he says. “This included signing Coral Al Madina Hotel, which will be our biggest opening in 2015, featuring 400 plus rooms and suites.” The hospitality firm also conducted an all-round IT
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upgrade and developed a new bilingual website on a single platform for all of its brands. “Moving forward, as we prepare for the opening of our upcoming properties, we are very excited about 2015 prospects and look ahead with a great deal of energy and enthusiasm,” Voivenel says.
UNIQUE POSITIONING HMH is considered a pioneer in the hospitality market for many reasons, primarily gaining recognition as the first halal-friendly hotel chain in the Middle East, introducing
The five-star Ajman Palace Hotel
“Commitment to honesty, integrity and financial transparency across all operations is integral to our ongoing success�
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“We are implementing an aggressive strategy designed to cut energy and water consumption by 20% across all [of our] hotels by 2020” TOP THREE TRENDS
By Laurent A. Voivenel, CEO, HMH – Hospitality Management Holdings
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Growing demand for budget hotels Driven by the rapidly expanding middle-class demographic in emerging source markets such as India, China and Africa.
Halal-friendly hotels We are the first and only international halal-friendly hotel chain – a sector that will continue to claim a bigger market share going forward. The Muslim market will be an important driver of inbound tourism growth and hotel operators are starting to recognise the importance of catering to this demographic.
Technology is impacting every aspect of the hotel business The hospitality industry is moving towards more automated solutions with technology enhancements designed to help hoteliers enhance the guest experience by delivering a more personalised, efficient and consistent service. However, leveraging technology isn't just about 'nice-to-haves'. It has to be very carefully planned to ensure it serves the needs of the organisation.
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the alcohol-free concept in 2003. The firm has also been a trailblazer in the mid-market segment – an under-served category many other hotel groups are yet to target. “This has placed us in a very unique position as over the past 12 years we have gained a wealth of experience in terms of operations and market intelligence in the dry and midmarket segments,” explains Voivenel. “Few regional hotel management companies can claim to equal our local know-how, technological expertise and global network and we offer far better value and returns to hotel owners and investors [than many of our competitors]; a result of the right blend of expertise, strategy, technology and market-reach.” With a robust management infrastructure in place, HMH is able to “respond swiftly to market dynamics and challenges”, supported by the latest technology. “We have invested heavily in cutting-edge technology that puts us on par with top international brands and enables us to optimise our performance to deliver superior results,” adds Voivenel. HMH is also well positioned to cater to current inbound visitor trends, he continues, providing the rapidly expanding middle classes in emerging source markets such as India, China and Africa with a diverse portfolio of family-friendly brands across all segments, from budget to luxury.
THE 2015 AGENDA HMH has kickstarted 2015 with the opening of the deluxe four-star Coral Muscat Hotel & Apartments – the firm’s flagship property in the Omani capital. Located in Qurum, close to the city’s diplomatic and commercial districts, the property forms part of a shopping arcade and multiplex. It features 88 furnished apartments including 56 two-bedroom and 32 one-bedroom units, complemented by facilities including an international all-day-dining restaurant, pool deck and lounge, terrace lounge, meeting venues for small- to medium-sized conferences, plus a gym, fitness studio and swimming pool. The firm’s second property to open in 2015 will be the five-star Coral Al Madina Hotel in Saudi Arabia – a “prestigious address for discerning travellers to Madina, overlooking the Holy Mosque”, says Voivenel. Featuring 400-plus rooms and suites, Coral Al Madina Hotel is spread over 10 floors and five basements and will offer three restaurants, a lobby lounge, luggage room, shopping arcade, fully-equipped gym and spa, two meeting rooms, a business centre, and a helicopter landing site. “In addition, we have two upcoming EWA properties in Sudan,” says Voivenel. “EWA Khartoum Hotel & Apartments will be ready to welcome its guests by the end of March 2015 followed by Ewa Port Sudan Hotel & Apartments, which will open in the last quarter of 2015.” HMH is also looking to leverage its technology investments in 2015, having recently launched www.hmhhotelgroup.com – the multi-brand, mobile-friendly reservation website available in English and Arabic. “The development of the site is part of our strategy to reach high-growth Middle East markets while building direct interaction with Arabic speaking guests,” says Voivenel. “The new portal allows Arab customers around the world to book stays at any of our properties and will help tremendously to bolster hotel performance.” The group’s ongoing commitment to sustainable practices will also go from strength to strength over the next few years, says Voivenel. “At HMH we have an unwavering commitment to the conservation of the environment; it is integrated into our corporate strategy and day-to-day business operations,” he says. “We were the first operator in the Middle East to conceptualise an ecological and economical chain of hotels with the ECOS Hotels brand and over the years we have formed strategic partnerships with industry and government agencies to devise solutions to environmental challenges that are truly economically viable while being environmentally beneficial. In keeping with our environmental policy, we are implementing an aggressive strategy designed to cut energy and water consumption by 20% across all hotels under the group by 2020.”
PORTFOLIO UPDATE • Five distinctive brands • 14 major cities across MENA • The Ajman Palace Hotel (luxury five-star) • Coral Hotels & Resorts (four- to fivestar representing 75% of the portfolio) • Corp Hotels (three- to four-star) • EWA Hotel Apartments (serviced residences in two- to three-star category) • ECOS Hotels (budget brand to be introduced soon)
Coral Khartoum Hotel
Coral Baghdad Hotel
Current properties: • The Ajman Palace Hotel • Coral Beach Resort Sharjah • Coral Dubai Deira Hotel • Coral Beirut Al Hamra Hotel • Coral Baghdad Hotel • Coral Al Khobar Hotel • Coral Jubail Hotel • Coral Al Ahsa Hotel • Coral Riyadh Suliemaniah Hotel • Coral Khartoum Hotel • Coral Nyala Hotel • Coral Port Sudan Hotel • Corp Amman Hotel • EWA Beirut Raouche Hotel • EWA Dubai Deira Hotel Upcoming properties: • Coral Muscat Hotel & Apartments (2015) • Coral Al Madina Hotel (2015) • Coral Dubai Sports City Hotel & Apartments • Coral Beirut Concorde Hotel • EWA Port Sudan Hotel & Apartments • EWA Khartoum Hotel & Apartments
Corp Amman Hotel
Coral Muscat Hotel & Apartments
Coral Beach Resort Sharjah
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MID-MARKET MANIA HMH already operates two brands in the budget and mid-scale sectors – Corp Hotels (three- to four-star) and EWA Hotel Apartments (serviced residences in the two- to three-star category). The group is also poised to launch the budget brand, ECOS Hotels. “The scale of opportunity in the region for mid-market and budget hotels is unprecedented,” says Voivenel. “Given current demand, investors can expect doubledigit returns on investment with the right product in the right location.” He says the middle-class demographic today represents 2.5 billion people globally, and is on track to double to 5 billion by 2025. “This is why at HMH, three of our five brands target this demographic,” Voivenel says. “[Additionally], if Dubai is to meet its goal of attracting 20 million visitors annually by 2020, it will need to diversify its hospitality offering in order to broaden its appeal to the growing middle-class segment worldwide. "There is an urgency to accelerate the development of mid-market hotels in order to reach the right mix of accommodation available in the market," he continues. “[Hotel] investors must broaden their horizons and consider budget brands like ECOS Hotels; it is a rapidly growing and highly competitive segment that will generate rich dividends.” ECOS Hotels, he says, is a “no frills B&B brand that ties together a unique economical and ecological concept”. “It is a smart choice for investors because of lower construction and operating costs and quick and high return on investment,” he adds.
ROCKY ROAD AHEAD Voivenel does acknowledge, however, that 2015 looks set to be a “challenging year” given the current pressures on room rates and occupancies led by a number of factors including “the Russian crisis, competition from Egypt and the increasing supply of new rooms”, to name but a few. “The onslaught of competition, balancing stakeholder requirements, the decline in traditional source markets such as the CIS countries, the outbreak of Ebola, evolving traveller demands, the need to keep pace with rapid advancements in technology, plus the shortage of skilled staff are just some of challenges facing our industry. It is a typical buyer’s market driven by price,” he says. “However, we expect 2015 to be nothing more drastic than 2014. Demand continues to hold strong from Saudi Arabia and other GCC countries as well as Europe, Asia and Africa. We are also witnessing an increase in the number of visitors from India and China, which has helped boost occupancy rates.” Voivenel says market conditions are positive, but the halcyon days of 2008 are over. “Let’s put it this way, there is sufficient business out there across the different segments to sustain existing and upcoming hotels but we will all need to work harder to get it.”
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Coral Muscat Hotel & Apartments recently opened in the Omani capital
He says the Middle East is performing “very well” compared to the rest of the world and is one of the most “fertile grounds for the development of mid-market hotels”. “In the short term supply is likely to outpace demand but it will catch up in the longer term and we are bullish about the market’s prospects over the next five years assuming there are no major shocks to the market.” A number of factors will keep demand for Dubai's accommodation sector buoyant, he says, listing “massive aviation industry growth, increased airport capacity, new leisure attractions, developing business infrastructure, technology optimisation, digital and social media marketing, and a high level of safety and security” as top draw cards. “What’s great is more than two-thirds of the world's population lives within an eight-hour flight from Dubai and one-third lives within a four-hour flight, so there is sufficient business out there to sustain hotel inventory growth for the forseeable future,” he adds. By 2020, HMH aims to operate a hotel in every GCC country while doubling its portfolio in the UAE. Upcoming expansion in Dubai, Muscat, Madina, Beirut, Khartoum and Port Sudan with five new hotels opening in quick succession will boost the HMH portfolio by 25%. “We also have a strong interest in the booming Asian markets such as India, Indonesia, Malaysia and China,” says Voivenel. “As far as market positioning goes, our strategic focus remains constant; building investor and consumer perception to view HMH and its various brands as safe family-friendly hotels offering great value in every aspect and segment.”
ABU ABU DHABI DHABI
JUST STAY ANOTHER A DAY Abu Dhabi Tourism & Culture Authority (TCA Abu Dhabi) is on a mission to encourage visitors to experience it increasingly-diverse tourism offering as the entity sets ambitious new targets for guest arrivals and length of stay, explains Director Promotions & Overseas Offices, Mubarak Al Nuaimi 072 | ATM YEARBOOK 2015
bu Dhabi marked a stellar year in 2014 if visitor numbers and hotel performance data are anything to go by. The emirate’s hotels and hotel apartments reported their best year yet in terms of guest arrivals, guest nights and revenues. TCA Abu Dhabi figures reveal guest arrivals reached 3,494,063, comfortably outstripping the 2014 target of 3.1 million and marking a 25% year-on-year (y-o-y) increase. Guest nights climbed 19% y-o-y to reach 10,463,137, with total hotel revenues rising 14% to AED 6.28 billion (US$1.7 million). Room revenue accounted for AED 3.26 billion ($889 million), up 15% on 2013, while food and beverage income climbed 11% to AED 2.33 billion ($637 million). Hotel occupancy for the year came in at 75%, up 6% on 2013, achieved against a 7% increase in hotel accommodation. Abu Dhabi ended the year with an inventory of 160 hotels and hotel apartments (28,374 rooms), up from 150 properties (26,001 rooms) in 2013. The emirate saw the opening of new mid-market hotels with the introduction of brands such as Tryp by Wyndham and Courtyard by Marriott, as well as five-star properties including
Abu Dhabi’s extensive Corniche
The St. Regis Abu Dhabi and the French-architecture-inspired Royal Rose Abu Dhabi, located in the heart of the city. The expanded accommodation offering was complemented with a range of new tourism experiences, notes TCA Abu Dhabi Director Promotions & Overseas Offices, Mubarak Al Nuaimi. “We are lending our support to private sector entrepreneurs who are introducing innovative products that help us create a sustainable tourism sector,” he explains. “We have seen a slew of new experiences delivered by these entrepreneurs, with visitors now able to explore the emirate by water taxi, take a Dhow dinner cruise, participate in traditional pearl diving activities and experience authentic Emirati cuisine at various sites across the emirate. “The successful introduction of broad-based packages offered by providers such as Emirati-run tour operator, Capital Gate Tourism and Adventures, and an expanding range of excursions from Captain Tony’s boat cruises, are sterling examples.” Abu Dhabi’s programme of festivals and events has been expanded and improved too with many more traditional and cultural experiencesThe added to the portfolio, Address Dubai Mall particularly in the emirate’s heritage heartland, Al Ain.
Established signature sporting events also continue to go from strength-to-strength with the annual Formula 1 Etihad Airways Abu Dhabi Grand Prix a sell-out in 2014, attracting a record 60,000 fans, and the Abu Dhabi HSBC Golf Championship winning awards for the UAE’s best sporting event for the third consecutive year.
GLOBAL SUPPORT While the growth in visitor numbers and destination accolades was testament to Abu Dhabi’s tourism industry success in 2014, TCA Abu Dhabi’s “engagement with international travel trade” was the “brightest story” of the year, according to Al Nuaimi. “We continue to form partnerships with operators in leading source markets and are actively promoting our Access Abu Dhabi joint initiative in partnership with Etihad Airways in order to position the emirate as a leading leisure destination,” he explains. “In 2015 we’re also extending this trade engagement outreach programme into China, France, Italy, Brazil and the US, and evidence from previous activity shows a significant increase in the length of guest stay resulting from packages sold through
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these travel and tour operator partners.”Abu Dhabi also became of the best-selling holiday destinations for British travellers in 2015, according to Kuoni, he notes, with the tour operator reporting a 15% increase in Abu Dhabi sales, based on an expanded portfolio of hotels, attractions and experiences on offer in the UAE capital. “The opening of Louvre Abu Dhabi will be a significant milestone in our ambitions to create a world-leading cultural destination and has been a key factor behind the destination being named amongst CNN.com’s list of the Top 10 Destinations to visit in 2015 – a good third party recommendation to have,” Al Nuaimi adds.
STAY AND PLAY TCA Abu Dhabi’s primary goal in 2015 is to attract more visitors, persuading them to stay longer and experience more of what the emirate has to offer, Al Nuaimi continues. “The success of 2014 has prompted the authority to consider new guest arrival targets for 2015 and beyond, which will be formally announced at Arabian Travel Market – needless to say, they will be revised upward up from the previously forecast 3.5 million for 2015,” he reveals.
In the meantime, TCA Abu Dhabi will press ahead with its growth strategy through promotional and marketing activities, tourism investment, and initiatives devised by the Abu Dhabi Convention Bureau, which handles the unique requirements of the emirate’s lucrative meetings industry (MICE). “By continuing to appeal to visitors through an expanding portfolio of tourism products and events, and a healthy mix of leisure and MICE promotional campaigns, our focus will be to get the message out to as wide an audience as possible that there is more to do in this emirate than ever before,” says Al Nuaimi. “We are encouraging guests to stay longer while fostering new SME and headline tourism product development.” In terms of target growth markets for business, South Africa is on the radar, with TCA Abu Dhabi recently opening a new promotional office in Johannesburg. This takes the authority’s total overseas office count to 11. The announcement came as South African Airways announced daily flights from Johannesburg to Abu Dhabi, doubling capacity on this route given Etihad Airways already operates a daily service to the South African business hub. “We are also expanding our footprint in new markets including Serbia, Holland and Azerbaijan as part of an extensive programme of 21 trade exhibitions and eight road shows across 32 cities in 20 countries throughout 2015,” reveals Al Nuaimi. “Our long established UK road show will also take in Scotland to prepare for the June 2015 launch of Etihad Airways’ services from Edinburgh.” TCA Abu Dhabi will also step up its themed promotional campaigns in 2015 involving key industry stakeholders. Initiatives include the launch of cruise-, golf- and events-based packages.
THE LOUVRE’S DEBUT
Al Ain’s Jebel Hafeet
Al Jahili Fort is one of Abu Dhabi’s historical assets
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However, the most significant headline-grabbing opportunity in 2015 will be the opening of the long-anticipated Louvre Abu Dhabi – the first of three world-renowned cultural institutions planned for Saadiyat Cultural District on Saadiyat Island. Due to open in December, Louvre Abu Dhabi will make its mark as the first universal museum in the Arab world, displaying art, manuscripts and objects of historical, cultural and sociological significance. It will be housed in a futuristic building designed by Pritzker Prize winning architect Jean Nouvel. Louvre Abu Dhabi’s debut will pave the way for the 2016 opening of Zayed National Museum, which will tell the story of the region’s history and the unification of the UAE through the life and person of Sheikh Zayed bin Sultan Al Nahyan, the UAE’s founding father, and the 2017 opening of Guggenheim Abu Dhabi – billed as a pre-eminent platform for global contemporary art and culture. These cultural attractions will also play host to events in the future, another selling point TCA Abu Dhabi is keen to promote. The authority is planning an “expanded and extended Abu Dhabi Summer Season” from June 11 to September 5, marked by a series of events including shopping festivals and hotel- and attraction-based activities. “When summer is behind us we will then welcome back Abu Dhabi Art, introduce the first of five annual International Sailing Federation Sailing World Cup events off the Corniche breakwater, and eagerly await the pinnacle of sporting events, the 2015 Formula One Etihad Airways Abu Dhabi Grand Prix on November 29 before heading into our National Day weekend celebrations and the
IN NUMBERS
3.49 million
The Abu Dhabi Pearl Journey experience
Visitors
10.46 million Guest nights
6.28
AED billion
Hotel revenues
2.33
AED million
Room revenues
2.33
AED million
F&B revenues
160
Hotels and hotel apartments
28,374
Sheikh Zayed Mosque is one of Abu Dhabi’s top landmarks
“Our focus will be to get the message out to as wide an audience as possible that there is more to do in this emirate than ever before”
Al Ain Aerobatics Show,” says Al Nuaimi. “All of this will be supported by an extensive programme of cultural festivals and events across the emirate throughout the year.”
Rooms
BY 2020
8.9
LONG-TERM VISION As TCA Abu Dhabi forges ahead with 2015 events and campaigns, its long-term objectives remain firmly in sight. “We are focussed on ensuring tourism is recognised as a strategic pillar of the emirate’s 2030 economic vision,” confirms Al Nuaimi. “By 2020 we aim to attract 8.9 million visitors staying in almost 36,000 rooms across 213 hotels and apartments, achieving 82% occupancy – so you’ll see we are ambitious. “In just five years we will more than double the number of guests by extending occupancy and growing the number of available hotels and rooms by 25%. “Our measured supply/demand equilibrium will remain balanced, but clearly we will need to continue to develop infrastructure to extend available supply, and our global promotional efforts will continue to stimulate demand.” In addition to the world-class attractions planned for Saadiyat Cultural District, which will be complemented by retail and hotel
AED million Visitors
213
Hotels & hotel apartments
36,000 Rooms
82% Occupancy
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resort developments, upcoming tourism-related infrastructure enhancements of note include the new mega-mall on Al Maryah Island. Part of a mixed-use development, the mall will open in 2018 and be joined by four- and five-star accommodation. Cruise tourism is also expected to stimulate demand for on-shore product and with ships home porting in Abu Dhabi for the first time for the 2016 to 2017 cruise season, hotels and tourism service providers will benefit from this sector’s high-growth potential. Abu Dhabi Port Company’s investment in a dedicated 8,000-square-metre cruise terminal at Port Zayed, which will be fully open for the 2016 to 2017 season, will be a “game-changer” in terms of Abu Dhabi’s cruise proposition, according to Al Nuaimi. “The terminal has been designed with both operators and passengers in mind; this is a direct response to our desire to nurture this sector,” he explains. “The facility will increase the port’s capacity and is tailored for home porting as it can accommodate up to three mega cruise ships simultaneously.”
The new cruise terminal at Port Zayed will be fully open for the The Address Dubai Marina 2016‘Best to 2017 cruise season won Luxury Wellness Spa in the UAE’
THE REGIONS SHINE As Abu Dhabi forges ahead with developments designed to enhance the city’s offerings, public and private investment is also being ploughed into the emirate’s lesser-explored regions in a bid to further boost their tourism credentials. “The appeal of our eastern and western regions continues to grow, with both recording upward momentum in hotel guest arrivals,” says Al Nuaimi. “Both regions have strong potential and we actively promote them to the global travel trade - Al Gharbia as the region where the desert meets the sea and Al Ain as our heritage heartland.” The success and on-going expansion of Anantara’s flagship properties in Liwa and on Sir Bani Yas Island are playing a key role in raising local and international awareness of what Abu Dhabi’s regions have to offer, he notes. “A new heritage-related product is shortly to be introduced on Sir Bani Yas and Rotana Jet’s direct flights to the island from Abu Dhabi city and Dubai have also been joined by Seawings Seaplane tours to the island,” Al Nuaimi reveals.
“Another exciting addition is the ‘desert island’ beach experience being developed in the western region, which will open in tandem with the permanent cruise terminal. “This exclusive experience will add a new dimension to cruise itineraries and will be the first dedicated beach stop-over for cruise liners in the Arabian Gulf.” Al Ain is also benefiting from new accommodation and attractions, continues Al Nuaimi. “We will soon be re-opening Al Muwaiji Fort following an extensive renovation programme, joining the existing Al Jahili Fort and Sheikh Zayed Palace Museum as significant historical sites for tour operators to build into their packages. “We continue to work towards an overarching heritage theme, promoting our UNESCO-inscribed heritage sites in Al Ain, the return of our traditional handicraft festivals and open markets, plus the 2015 Al Ain Aerobatic show.”
CARVING A NICHE Al Nuaimi says Abu Dhabi has now solidified its status as a “global cultural hub”, providing an “authentic Arabian experience” and a strong cultural offering that is both deep-rooted and contemporary – a proposition he believes differentiates the destination from its Gulf competitors. The Saadiyat Cultural District combined with Al Ain’s UNESCO World Heritage sites dating back 5,000 years are the highlights in this respect. TCA Abu Dhabi has also set its sights on establishing the emirate as a destination for Halal Tourism and has launched a programme involving its industry partners to create packages that adhere to Islamic beliefs and practices. “We envisage receiving an increasing number of visitors from this segment, particularly given that Abu Dhabi serves as a hub for traffic transiting from east to west and vice versa,” says Al Nuaimi. “We can link the highly populous Muslim countries on all continents via Abu Dhabi International Airport and we hope that many will choose to break their journey in the emirate and eventually become convinced to stay longer.”
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A DAY ISN’T ENOUGH TO DROP 20 METRES AND SHOP TILL YOU DROP.
#YasIslandIs a daring blend of bustling activities. Tackle more than 300 stores at Abu Dhabi’s largest shopping mall and test your nerve at one of the world’s best waterparks. How about a romantic getaway or a family spring break? At Yas Island you can do all that, but make sure you have time. With so much excitement waiting to be discovered, a day isn’t enough. Visit yasisland.ae
Yas Island is Abu Dhabi’s entertainment hub, home to many world-class attractions
FOR YOUR ‘BLEISURE’
Yas Island’s unique tourism proposition is attracting an increasing number of local and international travellers, many of whom are enticed to mix business with pleasure when visiting this one-of-a-kind entertainment hub, reveals Mohamed Abdalla Al Zaabi, CEO, Miral Asset Management
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FAST FACTS • Yas Island covers 25 square kilometres and is located on the Sheikh Zayed Road highway, 25 minutes from Abu Dhabi, 45 minutes from Dubai, and only seven minutes from Abu Dhabi International Airport • Ferrari World Abu Dhabi is the world’s first Ferrari-branded theme park • Yas Waterworld Abu Dhabi is an iconic Emirati-themed waterpark with five one-ofa-kind world-class rides • Yas Links, the award winning 18-hole golf course, ranked the world’s 24th best golf course outside the USA • Yas Marina Circuit is home to the annual Formula 1 Etihad Airways Abu Dhabi Grand Prix • Yas Marina has a 227-berth capacity and boasts seven bars and restaurants • Yas Beach is the only public beach on Yas Island • O1NE Yas Island is a club with the biggest privately-owned graffiti wall in the world • du Arena, the island's outdoor live-entertainment venue • du Forum hosts indoor live entertainment • Yas Mall features 370 stores plus a 20-screen cinema
Y
as Island has quickly established a reputation as Abu Dhabi’s vibrant entertainment hub, renowned globally for its crowd-pleasing world-class attractions. They include Yas Marina Circuit, home to the highly successful Formula 1 Etihad Airways Abu Dhabi Grand Prix, which in 2014 was a sell-out, attracting a record 60,000 fans; Ferrari World Abu Dhabi – the largest indoor theme park in the world; plus Yas Waterworld – a 15-hectare Emiratithemed water park featuring 45 rides, slides and attractions. The number of business and leisure visitors flocking to Yas Island continues to increase at impressive rates year on year, according to Mohamed Abdalla Al Zaabi, CEO of Miral Asset Management, which manages and promotes the destination. “Over the past year we have also witnessed an uplift in travellers seeking to combine business and leisure, an emerging market known as the ‘bleisure’ segment,” he notes. The multi-faceted nature of Yas Island, renowned for its action-
packed fun and entertainment, combined with unique meeting and events facilities, has proven to be a “winning formula” Al Zaabi says. “This is good news for Yas Island given that demand from the Waldorf Astoria Dubai Palm Jumeirah boasts an iconic location ‘bleisure’ segment is on the rise,” he adds. To ensure visitors keep coming back to Yas Island for more, there are “many exciting developments in the pipeline” that are designed to further enhance the destination's appeal”, reveals Al Zaabi. “At the beginning of last year we finalised an expansion project for Yas Marina, which now offers a range of dining options. We have also introduced some new lifestyle and fitness amenities to the island’s 227-berth marina,” he says. In the middle of the year, Abu Dhabi’s largest listed property developer, Aldar, announced that its first residential development available for sale to non-UAE nationals was to be built on Yas Island. Construction on ‘Ansam’, an Arabic word meaning ‘breezes’, has commenced with the 540 planned apartments built set to “nestle” the island’s Yas Links golf course, Al Zaabi explains.
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du Arena plays host to mega events including live music concerts Fun for all the family at Yas Waterworld
The world’s largest indoor theme park, Ferrari World Abu Dhabi
“Yas Island and the UAE continue to show the world that anything is possible”
Yas Island’s hotels, including Yas Viceroy, Crowne Plaza, Staybridge Suites, Rotana, Centro, Radisson Blu and Park Inn, have all launched a number of promotional summer packages valid from June 1 to September 15. They include:
“And towards the end of 2014 we opened the 370-store Yas Mall, situated in the centre of the island and linked to Ferrari World,” he says. It’s also close to several attractions including Yas Waterworld, which underwent improvements last year to ensure the facility remains world class. “The close proximity of the island’s many attractions to one another continues to be of great appeal to visitors as all of our lives become increasingly hectic and we feel robbed for time,” says Al Zaabi. “This is why we aim to give visitors to Yas Island, whether for business or leisure, the greatest gift of all – time – to enjoy, relax and unwind.” Looking ahead, further improvements to Yas Island include a three-year expansion plan for Ferrari World Abu Dhabi, adding seven new rides and increasing capacity by 40%. “The new attractions include a mix of rollercoasters, dark rides and other exciting experiences," says Al Zaabi.
The Family Plan: Package prices range from AED 735 to AED 1,399 per night and include extras such as a Yas Park Pass and free F&B for kids.
LOCATION, LOCATION, LOCATION
Summer package rates as Yas Viceroy start from AED 914 per night
HOT DEALS
Splash or Speed: Package prices range from AED 540 to AED 914 per night and include extras such as free Yas Waterworld or Ferrari World Abu Dhabi tickets and room upgrades or complimentary extra beds. Some hotels require a minimum of two nights booked. Suite, Stay and Play: Available at Yas Viceroy only – book a suite at the standard rate and receive up to AED 300 in credit to spend on F&B. Room rates start from AED 999 per night. (T&Cs apply and rates are subject to 10% Service Charge and 6% Municipality Fee; visit www.yasisland.ae)
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Yas Island plays an essential role in helping Abu Dhabi realise its economic diversification strategy given tourism is a sector that has been earmarked for growth in this development blueprint, continues Al Zaabi. “As we continue to develop Yas Island, adding more world-class attractions and experiences into the mix, we are attracting a larger share of travellers from our existing markets,” he says. “At the same time, through a coordinated
THE MAIN ATTRACTION Miral Asset Management Chairman and Aldar CEO, Mohammed Al Mubarak, reveals his grand vision for Yas Island
Q: What role is Aldar playing in transforming Yas Island into a world-class tourism destination? Aldar is the leading real estate development business in Abu Dhabi and one of the most respected property businesses in the world. We create the most valued homes, offices and shopping malls, schools, hospitals and leisure facilities in the
emirate and are a critical enabler to the growth and diversification of the UAE. Our developments, including those on Yas Island, aim to enhance the social fabrication of Abu Dhabi as a place to live, work, invest and visit. Through these developments, Aldar plays a key role in enhancing the economy and business climate and further advancing Abu Dhabi’s integration into the global economy. Yas Island is renowned for its world-class attractions; apart from being home to the only Ferrari-inspired theme park in the world, it is also the only destination where visitors can experience the excitement of a Formula 1 Grand Prix from the luxury of their hotel. Over
approach with other travel and tourism organisations, we are also extending our reach in new regional and global markets.” Located within four hours’ flying time of one-third of the world’s population and well connected by air to emerging growth economies such as India and China, Yas Island has a “distinct advantage” when it comes to attracting new sources of business. The island is also located just a few minutes by road from Abu Dhabi International Airport and 45 minutes from Dubai, making it easily accessible to all visitors. “The role of Yas Island in bringing leisure tourism to Abu Dhabi is inextricably linked with the government’s aspirations to build an economically, socially and environmentally sustainable future,” notes Al Zaabi. “Of course, it’s not just tourism itself that’s an important driver of growth, but the role it plays in underpinning the development of other key sectors.”
MARKETS THAT MATTER Top source markets for Yas Island include the UAE, GCC, Europe, India and China. “We are continuing to focus on increasing our share of visitors from these frontier markets while developing opportunities in new international markets, says Al Zaabi. “Our marketing strategy is designed to take advantage of the rapid developments taking place in the aviation sector as well as ever-changing trends in terms of how travellers plan and book their travel.” The burgeoning events industry is another
time, we will add many more attractions to Abu Dhabi’s island of entertainment. Q: What are your newest hospitality-related developments on Yas Island and how do they enhance its tourism appeal? Last year Aldar opened a 370-store mall at the heart of the island, providing both visitors and residents with a range of new retail and dining options and further strengthening Yas Island’s entertainment offering. Yas Mall, which connects to Ferrari World Abu Dhabi, has boosted the number of dining options available on the island with an additional 67 cafes and restaurants offering
cuisines from around the globe. Our ambition for growth will see us introduce new product into our existing hotels and attractions over the coming year, along with the announcement of a number of new developments. All of this will further cement Yas Island’s position as a destination for unique and inspiring experiences. Q: What’s your grand vision for Yas Island? Our vision is to create a widely acclaimed and globally recognised destination. The goal is
Xyxyxyxyxyyxyxyxyxyyx ccxcxcxccxcxcxcxcx xcxcxyxyyxyxyxyxy for Yas Island to be Abu Dhabi’s world-class entertainment and leisure destination, in accordance to Abu Dhabi’s Economic Vision 2030. We will continue to strengthen the customer experience and work closely with the government and private sector to increase the number of world-class tourism attractions and events on offer. At the same time we will bolster the island’s already impressive stock of unique event spaces and venues so we can continue to cater to the lucrative global meetings and incentives industry.
Aldar’s 370-store Yas Mall
key source of business, with Yas Island already renowned for staging the aforementioned Formula 1 Etihad Airways Abu Dhabi Grand Prix, as well as live concerts that in the past have seen major stars such as Madonna, Beyoncé, Elton John and Robbie Williams perform at du Arena and du Forum. “Our world-class assets also play an important role in generating MICE business,” adds Al Zaabi. “Business events and incentives are popular year-round, taking place at the island’s hotels or in some of the more obscure and unique spaces offered by Ferrari World Abu Dhabi, Yas Waterworld, Yas Marina Circuit, Yas Links golf course and the five-star Yas Viceroy. “Events will continue to play an integral role in the ongoing development of the island’s tourism industry and we are currently working with a number of partners to also increase the number and scale of community events held on the island.” Al Zaabi says Yas Island is helping position Abu Dhabi and the UAE as an “affordable, safe and aspirational place in which to live, work or travel.” “The rapid rate at which travellers are arriving into the UAE is an indicator of our on-going success,” he says. “We are known as a world-class, safe destination with excellent infrastructure and a strong service-oriented culture. “Yas Island and the UAE continue to show the world that anything is possible. "We want to share the beauty of the Arabian landscape and our way of life with the entire world.”
EVENT HORIZONS • Drift night: May 6th • Track days: May 8th • Bike track days: May 15th • Abu Dhabi All Star Grand Slam: June 5th & 6th • Super Street Challenge: June 26th & 27th • Nomura Cup: October 22nd to 25th • Oktoberfest: (date TBC) • 2015 Formula 1 Etihad Airways Abu Dhabi Grand Prix: November 26th to 29th • Race week events including after-race concerts: November 26th to 29th • Taste of Abu Dhabi: November 26th to 29th • Let It Snow: December 11th to 12th • Regular events include: TrainYas every Tuesday and GoYAS every Wednesday Visit www.yasisland.ae
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BESTin CLASS
In-flight part of Etihad’s ‘best 082 |glamour; ATMallYEARBOOK 2015in class’ goal
Etihad Airways President & CEO James Hogan explains how complex network growth strategies and headline-grabbing products and services are designed to make the Abu Dhabi carrier stand out from the rest
Q: You said 2013 was a “game changer” for Etihad Airways – how did you build on this success in 2014? Etihad Airways marked a milestone year in 2014, with significant growth driven by new route launches, product offerings, codeshare agreements and investments. Our business model, which focuses on organic growth, codeshare partnerships and minority equity investments in other airlines, continued to yield positive results last year and we surpassed our double-digit targets for passenger and cargo growth. We added 10 additional destinations to our global route network, with new services launched to Medina, Jaipur, Los Angeles and Zurich in the first half of the year, and Perth, Rome, Yerevan, Phuket, San Francisco and Dallas in the second half. We also increased frequencies on 23 existing routes across the world in 2014. Q: How have codeshare and equity partnerships paid dividends? These partnerships delivered more than 3.5 million passengers to Etihad Airways flights, up 40% on 2.5 million passengers in 2013. New codeshare agreements were launched with Air Europa, jetBlue, Philippine Airlines, GOL, SAS, Hong Kong Airlines and Aerolineas Argentinas, while our existing codeshares with South African Airways, Alitalia and Jet Airways were significantly expanded. Q: What’s the latest update on your equity investment portfolio? In August 2014, we announced a €560 million (US$634 million) investment in Alitalia, acquiring a 49% shareholding in the Italian flag carrier plus a 75% interest in Alitalia Loyalty, which operates the MilleMiglia frequent-flyer programmes, and five pairs of slots at London’s Heathrow Airport, which are being leased back to Alitalia. The transaction received European Commission merger clearance in November 2014 and became effective on December 31, 2014. Alitalia is the latest addition to our equity partner network, which also includes airberlin, Air
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Serbia, Air Seychelles, Aer Lingus, Jet Airways and Virgin Australia. Currently, an investment is being formalised in Swiss-based Etihad Regional, operated by Darwin Airline. In addition, Etihad Airways Partners was unveiled last year to offer passengers more choice through improved networks and schedules, plus enhanced frequent flyer benefits. It also builds greater synergies for participating airlines, which includes Etihad Airways along with airberlin, Air Serbia, Air Seychelles, Alitalia, Etihad Regional, Jet Airways and NIKI. Q: What impact did 2014 developments have on passenger operations? Almost 14.8 million passengers flew with Etihad Airways in 2014, up 23% on the previous year. This marks our strongest operational performance to date and importantly, the growth we experienced in passenger demand continued to outstrip our capacity increase, highlighting the strength of Etihad Airways’ long-term growth strategy. Q: How did Etihad’s achievements solidify Abu Dhabi’s status as a global aviation hub? Etihad Airways has significantly contributed to the growth of Abu Dhabi as one of the world’s emerging aviation hubs. We offer extensive connections to cities on every continent as part of a measured and strategic growth plan in line with Abu Dhabi Vision 2030. Together with our codeshare and equity partners, we have created a virtual network of more than 500 destinations worldwide. We carried more than 74% of the 19.9 million passengers who travelled through Abu Dhabi Airport last year. When taking into account our equity partners, this figure rises to 82%. Q: Etihad has also invested in aviation infrastructure services; can you tell us more about these? In 2013 we acquired three airport services companies that have considerably helped to accelerate growth of Abu Dhabi’s aviation industry: Abu Dhabi Airport Services (ADAS), Abu Dhabi In-Flight Catering (ADIFC), and Abu Dhabi Cargo Company (ADCC). These companies were incorporated into Etihad Airport Services, a wholly owned subsidiary of Etihad Airways, to maximise synergies and achieve operational efficiencies across hub operations. We also acquired the fixed-wing division of Horizon International Flight Academy from Mubadala in September 2014. We established the Etihad Flight College, which trains up to 200 Emirati and international
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cadets annually, providing a source of welltrained and highly skilled pilots for our growing operations. We also acquired the non-engine divisions of Abu Dhabi Aircraft Technologies (ADAT) from Mubadala in 2014, including hangars, component workshops and paint facilities in Abu Dhabi, and the transfer of specialist maintenance and engineering teams to enhance Etihad Airways’ capability to undertake airframe and component maintenance on its own aircraft fleet, and support our equity alliance partners and third party customers. Following the acquisition, ADAT was renamed Etihad Airways Engineering. Q: What role does Etihad play in boosting Abu Dhabi’s tourism industry? Aviation and tourism are key pillars of Abu Dhabi Vision 2030, which aims to transform the emirate into a sustainable, diversified and high value-added economy. The increasing volume of passengers Etihad Airways brings into Abu Dhabi has helped to drive the growth of the tourism industry in Abu Dhabi and across the UAE. Many of these passengers extended their transit in Abu Dhabi, encouraged by the unique tourism proposition on offer, in addition to various promotional incentives and
visa waiver benefits. In addition, our specialist destination management division, Hala Abu Dhabi, promotes the emirate as a tourism hotspot. Since the end of 2014, Hala Abu Dhabi signed new partnership agreements for its ‘Stopover in Abu Dhabi’ programme with 45 international tour operators located in high-potential markets with more deals to be finalised this year. Q: Your 2014 product and service enhancements including The Residence by Etihad and sky butlers trained by The Savoy Hotel, grabbed headlines – what do they say about the Etihad Airways brand? The Residence by Etihad™ is the world’s only multi-room suite in the sky. Each cabin, which can accommodate up to two guests, is fully served by its own dedicated Savoy-trained butler. It’s a first for commercial air travel and a feat achieved on the back of considerable research. Needless to say we are delighted with the result and hope each of our guests onboard The Residence will also share this feeling. As part of our aim to become the world’s best airline, we strive to deliver exceptional service through experiential luxury that is totally unique. This best-in-class philosophy underpins our business strategy and shares similarities with Abu Dhabi’s national strategy and Vision 2030.
”Our route network will include approximately 160 destinations worldwide by 2025 and we have more than 200 additional aircraft on order to meet that goal”
The new B787 Dreamliner
It says we are innovative and bold, that we are unsatisfied with the status quo and always in pursuit of excellence.
2014 MILESTONES AT A GLANCE • 10 additional destinations: Medina, Jaipur, Los Angeles, Zurich, Perth, Rome, Yerevan, Phuket, San Francisco and Dallas. • New codeshare agreements: Air Europa, jetBlue, Philippine Airlines, GOL, SAS, Hong Kong Airlines and Aerolineas Argentinas • Alitalia deal: Etihad announced a €560 million (US$634 million) investment in Alitalia, acquiring a 49% shareholding in the Italian flag carrier, in August. • Infrastructure purchases: Etihad acquired the fixed-wing division of Horizon International Flight Academy, and the non-engine divisions of Abu Dhabi Aircraft Technologies (ADAT), both from Mubadala, in 2014. • Top-end product: The Residence by Etihad™ unveiled
The new Etihad A380
Q: How have Etihad’s new product offerings been received in the marketplace? We unveiled The Residence by Etihad™ to overwhelming public interest and enthusiasm last year. We have truly reinterpreted how aircraft real estate can be utilised with the Airbus A380, currently in operation on our London Heathrow route. The response to the launch of our new Airbus A380 and Boeing 787-9 Dreamliner, along with our new cabin crew uniform, can be measured online. The December 2014 launch led to a major increase in online brand awareness. On social media alone, the Etihad Airways brand garnered more than 145 million impressions throughout the world in a two-week period. Overall, the response has been exceptionally positive and we are confidently expecting to see regular bookings for the exceptional, one-of-a-kind experience The Residence offers. Q: How will expansion at Abu Dhabi International Airport help Etihad to expand and improve its offering? The new Midfield Terminal Building will be a state-of-the-art facility and as the anchor carrier, we’re very much looking forward to its opening in 2017. In addition to providing our guests with the highest level of service, it will substantially increase capacity at Abu Dhabi International Airport and play an important role in handling our projected increases in traffic. Our route network will include approximately 160 destinations worldwide by 2025 and we have more than 200 additional aircraft on order to meet that goal. Q: What are Etihad Airways’ goals for 2015-2016 and why? In a fast changing industry constantly faced with fresh challenges, we continue to set ambitious goals, both in the service we deliver and the way we run our business. We are excited about the future opportunities offered by a changing economy and
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IN NUMBERS
10
new destinations in 2014
160
destinations worldwide by 2025
500
destinations in Etihad’s ‘virtual network’ (through partnerships)
3.5million new passengers resulting from airline partnerships (up 40% on 2.5 million in 2013)
560
€ million
euros invested in Alitalia
14.8 million The Residence by Etihad™: the world’s only multi-room suite in the sky
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passengers flew with Etihad in 2014 (up 23% on 2013
an airline industry that keeps reinventing itself: new markets, new economic realities and social changes. Although we have ambitious plans to accelerate our industry-leading growth, our priority is to operate a safe, best-in-class airline. We will focus meticulously on the customer, and build on the growth we achieved in 2014. Q: What destinations and airline partnerships are on your hit list to help further expand the Etihad network? The development of Etihad Airways’ network will be accelerated in 2015, supporting a long-term vision to position Abu Dhabi as a leading international travel hub with extensive connections across the globe. We have announced services to eight new destinations in 2015, starting with the historic Indian city of Kolkata in February and the Spanish capital of Madrid in March. These will be followed by Entebbe in May and two of the world’s leading business and tourism destinations, Edinburgh and Hong Kong, in June. The fast-growing Caucasus region will be a major focus area in the second half of the year, with new services to Baku, the capital of Azerbaijan, and Tbilisi, the capital of Georgia, in October. Dar es Salaam, the largest city in Tanzania, will join our network in December. Q: What is your personal long-term vision for the airline? We have a clear mandate from our shareholder to run a safe airline; one that is best in class and makes money. We are committed to meeting this mandate year after year. Q: What regional and global challenges face Etihad and the aviation industry in general and how are you being proactive in combating these? Our industry is facing significant pressure to reduce carbon emissions. We are proactively ensuring that Etihad Airways will meet the Carbon Neutral 2020 target set by the International Air Transport Association (IATA) by identifying fuel optimisation routes and light-weighting our aircraft. We made significant progress in 2014 in the research and development of an alternative sustainable aviation fuel – a part-blend of locally produced biofuel with petroleum-based fuel that is able to run on current engines. We established ‘BIOjet Abu Dhabi: Flight Path to Sustainability’ with key stakeholders - Boeing, Takreer, Total and the Masdar Institute of Science and Technology - to set out a formal action plan for our industry to establish a domestic biofuel supply chain. We are looking forward to spearheading regional discussions on this topic and making further progress in 2015. Other ongoing risks for the airline industry include political unrest, conflicts, rising infrastructure costs and some weak regional economies, as outlined by IATA.
Discover the allure of Discover the allure of
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Anantara Sir Bani Yas Island Al Yamm Villa Resort
Desert Islands Resort & Spa by Anantara
Eastern Mangroves Hotel & Spa by Anantara
Anantara Sir Bani Yas Island Al Sahel Villa Resort
Explore breathtaking beauty, unsurpassed opulence and the warmth of Arabian hospitality at each of the unique Anantara Hotels, Resorts & Spas in Abu Dhabi. Be mesmerised by the alluring charm of the Liwa Desert at Qasr Al Sarab Desert Resort or escape to the calming serenity of the mangroves at Eastern Mangroves Hotel & Spa. Relax body and mind in the natural beauty of one of our three Sir Bani Yas Island resorts. No matter what your heart desires, these magnificent Anantara destinations will set the stage for unforgettable memories. Embark on a journey rich with discovery at
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Call +971 (0)2 656 1399 or email crome@anantara.com for enquiries and reservations Liwa Desert • Sir Bani Yas Island • Abu Dhabi
MAKING MEMORIES Offering unique high-end experiences, influenced by the Emirati culture, Anantara Hotels Resorts & Spas is making a mark in Abu Dhabi, giving the destination a point of difference like no other, says the hospitality brand’s Area General Manager, Middle East, Wael Soueid Q: What is unique about the Anantara brand in terms of the guest experience? At Anantara Hotels and Resorts we pride ourselves on offering guests a sense of discovery; the chance to do something for the very first time and as a result, the opportunity to take away long lasting memories. As a brand we are well established with a solid reputation for offering luxury five-star experiences to our guests whether they are in-house or visiting to explore our innovative dining experiences, indulgent spa rituals, thrilling leisure pursuits or cultural activities. Anantara
Anantara Al Yamm Villa Resort
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wants guests to leave with an amazing story and that is key to everything we do as part of the guest journey. The exotic destinations we have in Abu Dhabi, such as the Liwa Desert, Sir Bani Yas Island and alongside the lush greenery of the protected Eastern Mangroves of the city, certainly play a strong part in making each guest experience unique. Q: How does each of the Abu Dhabi properties create lasting memories for guests? When you stay at an Anantara property anywhere in the world the experience should be distinctive. For example, our guests expect high-quality linens, food quality, cleanliness and so on, as a given. But what they yearn for is that new experience and memory. In order to achieve this, Anantara Hotels & Resorts around the world focus on the unique attributes of each destination, including the local culture and heritage as well as indigenous flavours. In Abu Dhabi alone we have five different resorts and each of them offers a guest something intrinsically different and special, while retaining a strong connection to Emirati culture through cuisine and activities. For instance: • Eastern Mangroves Hotel & Spa, located in the heart of Abu Dhabi, has been carefully designed to protect the
Camel trekking at Qasr Al Sarab
Sir Bani Yas Island wildlife drive
unique mangroves of the city, and also offers guests the chance to enjoy them through ecologically-friendly activities such as a guided kayaking tour or a trip in the new silent motored and speed-restricted donut boats. • Qasr Al Sarab Desert Resort by Anantara is the ultimate romantic retreat, located in the heart of the breath-taking Liwa desert, offering guests a truly unique getaway and palatial seclusion, which in itself creates lasting memories. The property offers guests a range of activities such as camel riding in the dunes, an Emirati-inspired desert falcon and saluki show, desert walks, desert land sailing and fat biking. • Sir Bani Yas Island offers a truly remarkable experience, with our three properties located in a natural reserve established by the late ruler of the United Arab Emirates, His Highness Sheikh Zayed Bin Sultan Al Nahyan. Desert Islands Resort & Spa by Anantara is a family friendly beach resort; Anantara Sir Bani Yas Island Al Yamm Villa Resort is a group of 30 beachfront villas on the island’s eastern shores; and Anantara Sir Bani Yas Island Al Sahel Villa Resort is a group of 30
The infinity pool at Eastern Mangroves villas located in the heart of the Arabian savannah with free roaming wildlife within the Arabian Wildlife Park. All properties on the island offer guests an indigenous Arabian experience with a range of activities on offer, from the famed nature and wildlife drive through the park, an archaeological site tour of a Pre-Islamic monastery, mountain biking, kayaking, cultural tours and horse riding to a variety of water sports including deep sea catch-and-release fishing, scuba diving and snorkelling.
EASTERN MANGROVES Eastern Mangroves is an urban sanctuary located in the in the heart of the bustling UAE capital. Selling points include:: • 222 rooms and suites • Royal Mangroves Residence with private entrance and rooftop pool • Infinity pool
“Anantara is all about guests leaving with an amazing story and that is the key to everything we do”
• Pachaylen (signature Thai restaurant) • Impressions – rooftop lounge • Kasara Club Floors and Lounge • MICE facilities
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QASR AL SARAB Located in Abu Dhabi’s majestic Liwa desert, Qasr Al Sarab offers indigenous activities and romantic experiences in luxury surroundings. Selling points include: • 205 rooms, villas and suites • Swimming pool • Suhail (fine steakhouse) • Anantara Spa • Teens & Kids Club • Desert activities • New Fat biking experience Fat biking
Q: How do the five properties combined offer an experience like no other? Anantara is the only hotel operator in Abu Dhabi with a city, desert and island offering, each designed to create long lasting memories for guests. Our properties suit a range of customer profiles, from adventure seekers looking to explore a different side to the UAE, to those seeking luxury and relaxation in a truly beautiful destination. Q: How does the beach-desert-city offering provide a new perspective on Abu Dhabi to international visitors? We work very closely with TCA Abu Dhabi to highlight and promote the many facets of Abu Dhabi life. We are incredibly privileged to not only be able to showcase the natural heritage of the city, but also the heritage of the Emirati people through our indigenous offering across all five resorts. From pearl diving and visiting a pre-Islamic monastery to dining under the stars in the middle of Liwa desert, there are not many other destinations that can offer luxury and excellent levels of service while providing such unique cultural insights. For visitors spending more than a few days in Abu Dhabi we are able to offer multi-destination breaks taking in two or more of our properties. Q: What activities and experiences keep your product offering fresh? Keeping the excursions at each resort fresh is paramount to our success. This is where listening to our guests has actually assisted us in experience development and innovation. For instance on Sir Bani Yas Island, the wildlife drive has remained the number one activity since the very beginning because guest feedback told us they were inquisitive and wanted to know more about the local culture. This also gave us the perfect opportunity to introduce the culture and heritage tour, combining wildlife and nature activities with culture and heritage experiences in one offering. Recently at Qasr Al Sarab Desert Resort by Anantara we added the falcon and saluki show, which is an edutainment-style activity. Adventure activities are something a large number of
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Al Sahel villa
our guests enjoy and we have evolved our offering with the introduction of Fat bikes to traverse the sand dunes at Qasr Al Sarab. The old favourites like camel treks, archery and kayaking remain popular, but we have also introduced land sailing to the activity list, as well as our gourmet “Spice Spoons” cooking classes in order to offer something new to returning guests. Our spa experiences evolve frequently too, offering new indigenous rituals and treatments plus seasonal promotions.
SIR BANI YAS ISLAND This Anantara resort offers the ultimate island getaway with three unique properties and experiences from which to choose: Desert Islands Resort & Spa by Anantara for family-friendly adventure: • 64 rooms and suites • Infinity-edge pool
Q: What trends have you noticed in terms of the markets and clientele capitalising on the experiences you offer? The rapid expansion of Etihad Airways and the work completed by TCA Abu Dhabi in key source markets such as India, Saudi Arabia and Europe are driving the growth in tourism to Abu Dhabi, which we can leverage. In addition to the strong leisure business from the UK and Germany that all five hotels command, there has been significant MICE travel to our city property Eastern Mangroves Hotel & Spa by Anantara. As we look to Q2, 2015, there has also been increased demand for group incentives at Qasr Al Sarab following a conscious effort to target this market. We’ve also seen renewed interest in the Desert Islands Conference Centre facilities on Sir Bani Yas Island, coupled with our team building activities that take full advantage of the extensive leisure pursuits on offer in the park and on the beach. Q: What is Anantara’s regional expansion plan? Anantara Hotels, Resorts and Spas’ global growth plan is robust and the MENA region plays a significant role in this going forward. Over the past 12 months we’ve opened many resorts worldwide including properties in Africa as well as Qatar. We have a dedicated development team that assesses each opportunity, deciding if it’s a good fit for Anantara or one of the other brands in the Minor Hotel Group. What I can confirm is that we are excited to be opening a second Dubai property as well as a resort in Oman. Both properties are the result of management contracts and will carry the Anantara brand.
• Samak (beachside seafood grill) • Mountain biking • Nature and wildlife drives • Kayaking • Anantara Spa • Teens and Kids’ club Anantara Al Yamm Villa Resort for beaches, relaxation, seclusion and romance There are 301 • 30 luxury villas rooms and suites • Olio Italian restaurant • Swimming pool and beach front • Saltwater mangrove lagoon • Anantara Spa Villa Anantara Al Sahel Villa Resort for Arabian safaris, adventure and romance • 30 luxury villas • Savannah Grill & Lounge • Swimming pool • Anantara Spa Villa
NORTHERN EMIRATES
I
n February 2014, the Ajman Government unveiled The Ajman 2021 Vision, outlining a blueprint for economic diversification to safeguard the emirate’s long-term prosperity. The vision focused on creating a happy society, building a green economy and identifying a number of industries with high growth potential. The tourism sector, which currently accounts for around 27% of the emirate’s GDP, was earmarked for development, with ambitious targets declared that call for five million visitors annually by the 2021 deadline. With no time to waste, the Ajman Tourism Development Department (ATDD), steered by the capable hands of its General Manager, Faisal Al Nuaimi, has spent the last 12 months laying the foundations to ensure Ajman’s fledgling tourism industry starts following the desired growth trajectory. Here, Al Nuaimi outlines the ATDD’s achievements since embarking on this seven-year growth plan and reveals some of the department’s upcoming objectives as it forges ahead with its development strategy. Q: What have been the ATDD’s key achievements over the past 12 months? The ATDD has now issued all legislation required to support its efforts to develop the tourism sector in the emirate. The second phase of a tourism classification project has also been completed to include all hotel establishments plus three new sectors - travel agencies, tourism restaurants and tourism transportation. All classification and inspection operations are in place. We also launched a tourist guide programme, as well as an initiative to give local students tourism sector training. As part of ATDD’s Emiratisation efforts, eight students have already taken part in a month-long training programme at Ajman Palace Hotel. The second phase started in April with 20 local female students taking part. From an investment point of view we launched the Ajman Tourism Investment Map in November 2014 in order to assess our tourism offering, prioritise investment requirements and attract funding for these projects going forward.
with local industry and including them in our social responsibility programmes. A major cultural and heritage project dubbed ‘Ajman Encyclopedia’ was also launched by the ATDD in 2014 as part of its promotional efforts, plus a new Ajman Visitors’ Guide is now available in Arabic, English, German and Russian. It includes all the information visitors need plus answers to FAQs. Around 40% of ATDD products and services are now available online or through smart platforms. Lastly, a database has been created which for the first time, lists all representatives and entities involved in Ajman’s tourism sector, plus tourism statistics are also now issued on a monthly and quarterly basis. This data provides the ATDD and other relevant government bodies and agencies with the business intelligence they need to make strategic decisions. Q: What steps are you taking to forge links with Ajman’s hospitality sector? Every hotel in Ajman has its own promotion plan, but they also coordinate with the ATDD regarding
AJMAN AIMS
Q: What steps have you taken to improve awareness of Ajman’s tourism appeal? A new local and international awareness campaign was launched and the ATDD has been present at four major international exhibitions and four road shows over the past year. In 2014 we also started enhancing our sponsorship efforts, supporting major events across the emirate. At the same time we are seeking sponsorship from the emirate’s major companies for events we organise with a view to building closer links
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participation in international exhibitions. Hoteliers say exhibiting under the ATDD umbrella gives them more power and support when negotiating with tour operators and travel agents. Q: What significant tourism-related projects have opened in Ajman over the past 12 months and what do they add to the destination’s appeal? The first phase of the AED 100 million Ajman Marina project, owned by Ajman Municipality and Planning Department, is already completed. It is located on one of the most picturesque beaches on the Arabian Gulf with services and facilities including tracks for walking, jogging, cycling and skating, plus restaurants, recreational areas and dedicated parking. The department is now seeking investment to help fund the second phase. Ajman Municipality also announced plans to develop Ajman’s Corniche area while The Fairmont Ajman is opening soon too. All tourism attractions will be classified according to standards approved by the ATDD. Q: What progress has been made with other upcoming projects? Ajman’s new AED 2.1 billion international airport
HE Faisal Al Nuaimi, General Manager, Ajman Tourism Development Department (ATDD), outlines how the smallest of the UAE’s seven emirates is enhancing its tourism offering in a bid to attract five million visitors annually by 2021
HIGH
Ajman’s Hassa Buweid (White Stones) Castle ATM YEARBOOK 2015 | 093
“We are a peaceful city, offer some of the beaches in the UAE and from a business point of view, there are a lot of investment opportunities”
UNIQUE SELLING POINTS • Some of the UAE’s best beaches • Lush green parks • Authentic souks and modern malls • Hajjar Mountains • Historic and archaeological attractions • Spas and sport • Small peaceful city
5
is on track to welcome its first flight in 2018. It will be built in Al Manama on the emirate’s eastern border and is therefore well placed to serve other emirates including Dubai, Sharjah and Fujairah. The Al Zorah project is also underway with the area developed, although strict protection has been ordered for the rare birds residing in the nature reserve. Efforts are also being made to qualify the Al Manama and Masfout areas for tourist projects while excavation works are being conducted in two areas identified for development on the Ajman Tourism Investment Map. Q: What’s your destination marketing strategy going forward? Our marketing strategy is based on ATDD targets outlined in the Ajman Vision 2021, with a view to enhancing the image of Ajman as a distinguished tourism destination. Our target is to attract five million visitors annually to Ajman by 2021. All media, marketing and promotional efforts are aligned to achieve our tourism and investment targets. Within the framework of the UAE, we aim to complement what the other emirates offer, rather than to compete with them, so the entire country benefits from increased tourism. Promoting sustainable tourism development is also of the utmost importance. We aim to position Ajman as a unique tourism proposition and the redevelopment of the emirate's waterfront is a top priority over the next 20 years. This will be complemented by enhancements such
millon
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Ajman’s 2021 visitor target
as more green space, improved roads and more internationally-branded stores and restaurants. Ajman offers a unique tourism experience because it combines the wonders of our history and archaeology with recreational, ecological and religious attractions. For us, it is all about originality; we are a peaceful city, offer some of the beaches in the UAE and from a business point of view, there are a lot of investment opportunities. Q: What are the ATDD’s top priorities for 2015? In 2015 we aim to make progress with The Ajman Tourism Investment Map – the tourism development roadmap aligned to the Ajman Vision 2021. We will focus on analysing current and future infrastructure needs and evaluate the anticipated impact of tourism on the local economy. The four-phased project will create a realistic map that pinpoints opportunities for tourism investment in Ajman over the next five years. The ATDD’s government strategic partners in this project include the Ajman Land and Property Department, Ajman Municipality and Planning Department, Ajman Real-Estate Regulatory Agency (ARRA), Ajman Port and Customs, Ajman Free Zone Authority (AFZA), Ajman Chamber, and the Ajman Department of Economic Development. The project will involve surveys of the hospitality, entertainment, food and beverage, and transport sectors in Ajman. The ATDD will also oversee the development of new and upcoming tourism projects in 2015 including Ajman Marina, Al Zorah and the Corniche.
ATDD 2014 MILESTONES AT A GLANCE • Classification: The second phase of a tourism classification project was completed to include all hotel establishments plus three new sectors - travel agencies, tourism restaurants and tourism transportation; • Guides: Tourist guide programme introduced; • Training: New initiative unveiled to give local students tourism sector training; • Investment: Ajman Tourism Investment Map launched in November 2014 to assess Ajman’s tourism infrastructure needs and attract relevant investment; • Promotions: New local and global awareness campaigns; attendance at international exhibitions and road shows increased; plus ‘Ajman Encyclopedia introduced; • Visitor services: Ajman Visitors’ Guide made available in Arabic, English, German and Russian; • Business intelligence: Database featuring all tourism stakeholders compiled plus tourism and hotel data collated monthly.
Ajman boasts some of the UAE’s best beaches
AJMAN’S TOURISM HIGHLIGHTS • Masfout is an enclave in the Hajjar Mountains where human activity has been traced back to more than 5,000 years thanks to archaeological finds. The rocky countryside surrounding the town is ideal for walking, mountain biking, picnics and wadi exploration and was once home to leopards, gazelles and foxes. Historical attractions include the 19th Century Masfout Castle, which sits atop a mountain, and Masfout Gate, built by late Sheikh Rashid Bin Humaid Al Nuaimi in 1961 and considered the main entrance of Masfout. • Ajman is awash with historical forts and museums, which preserve Ajman’s heritage. They include Al Manama Museum (Al Mareer Fort), The Red Fort, and Hassa Buweid (White Stones) Castle. Ajman Museum, originally Ajman Fort, is one of the main historical attractions in the UAE conveying the reality of UAE life across different eras.
Ajman Museum, originally Ajman Fort, is one of the main historical attractions in the UAE
• Ajman boasts two nature reserves: Al Zorah Nature Reserve, with a 7km waterfront and a 2km pure sand beach, featuring lagoons, creeks and a natural mangrove forest that is home to 58 bird species including the emblematic pink flamingo and Al Naseem Nature Reserve - a natural area currently under development in the Al Manama area. When completed the nature reserve will parks, a nursery for plants, and an education centre.
Coral Muscat Hotel & Apartments
ATM YEARBOOK 2015 | 095 Ajman’s authentic grocery souk
The Red Fort
FAIRMONT’S AJMAN DEBUT Henny Schaeffer, General Manager at Fairmont Ajman, which opens its doors on May 1, explains how this new luxury resort will contribute to the growth of the emirate’s fledgling tourism industry
All rooms offer panoramic Gulf views Henny Schaeffer
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The 252-key Fairmont Ajman
Q: Why was the decision made to open a Fairmont property in Ajman? Ajman has its own unique charm with a strong maritime, trade and fishing heritage that is distinct from the tourism offering of other emirates. It is an ideal destination for guests seeking a slightly gentler pace of holiday, and being just a short drive away from Dubai adds to its appeal. Ajman’s tourism sector is growing and the destination is blessed with a pristine beachfront overlooking the Arabian Gulf where Fairmont Ajman is located. The new flagship hotel will complement Fairmont’s existing footprint in the UAE, which includes Fairmont
Dubai on Sheikh Zayed Road, Fairmont The Palm and Fairmont Bab Al Bahr in Abu Dhabi. Q: What are Ajman’s unique selling points? The destination has incredible potential as the number of hotel and hotel apartment guests increased to 850,000 in 2014, compared to 600,000 the previous year, according to figures from the Ajman Tourism Development Department (ATDD). The tourism sector is growing at a healthy rate, with revenues reaching almost AED 300 million (US$81.68 million) in 2014 compared to AED 220 million (US$59.9 million) in 2013.
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WHAT YOU NEED TO KNOW THE ACCOMMODATION •
252 rooms including two penthouse suites
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All rooms boast Arabian Gulf views
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Contemporary fittings and furnishings
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100% cotton bedding and soft leather headboards
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State-of-the-art technology including highspeed internet
THE F&B •
Spectrum – Named after the hugely successful restaurant operation ‘Spectrum on One’ at the Fairmont Dubai, Spectrum offers high-class international cuisine and a truly theatrical dining experience with open kitchens and live-action serving stations. For those seeking an authentic taste of Italy, Spectrum also contains a quaint ‘restaurant within a restaurant’ serving delicious pizzas and a wide range of rustic Italian dishes.
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Lobby Café – Meet and relax in the Lobby Café’s indulgent surroundings and enjoy a bespoke tea menu, delicious cakes, pastries and light bites.
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Cocktail Lounge – With a sleek yet relaxed ambience, the lounge features the UAE’s most innovative cocktails, a cigar room and exquisite tapas.
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Sunset Lounge – Enjoy spectacular views of the Arabian Gulf with tapas, creative cocktails and a variety of shisha flavours.
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Poolside Bar – Casual and uncomplicated, the Poolside Bar specialises in vibrant salads and healthy lifestyle cuisine options.
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Turkish Restaurant – A signature restaurant that embodies the best of authentic Turkish cuisine in a traditional Ottoman setting – perfect for family-style sharing platters.
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Arabian Nightclub – Offering cocktails, innovative DJ sets and live entertainment.
The contemporary lobby area featuring a café where bespoke teas are served
THE LEISURE FACILITIES •
The Spa at Fairmont Ajman features eight designated treatment rooms for male and female guests, elegant steam and sauna rooms, and an array of invigorating and indulgent spa products. Treatments include an authentic hammam experience.
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Fully kitted-out out health club
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Infinity pool
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The XOLO cocktail bar
Spectrum all-day dining
“Our strategy will focus on working with our travel partners to promote Ajman as an upand-coming destination” Visitors are attracted to the emirate’s idyllic beaches as well as its heritage attractions, which include Ajman Dhow Yard – considered the world's largest boat building facility – the Ajman National Museum and Ajman Fort. Its potential also lies with new developments such as Al Zorah, which will come on stream in a few years, featuring five-star hotels, Ajman’s first golf course, a marina, plus water sports. A multi-billion international airport is under construction and a theme park is planned too. Q: How will Fairmont Ajman differ from other properties lining Ajman’s Corniche? The impressive 14-storey hotel with 252 guestrooms and suites, each offering panoramic views of the Arabian Gulf, is expected to open on May 1, (2015). Rooms boast Gulf views and guests in the two-storey Royal Penthouse suites can view these vistas through the floor-to-ceiling windows. A destination within a destination, the hotel stands on a 200-metre stretch of golden sand and features an expansive infinity pool, fitness centre and spa facility and an exciting portfolio of restaurants and lounges, including an Arabian nightclub, a signature Turkish restaurant, KIYI, a terrace lounge on the fourth floor with spectacular sunset and full-moon viewings, BADR LOUNGE, and the renowned SPECTRUM restaurant brand. After many successful years at Fairmont Dubai, SPECTRUM has found a new home at Fairmont Ajman and will feature multiple cooking theatres, live culinary artistry and the legendary Friday brunch will debut later this year. Fairmont Ajman also caters to corporate and MICE business with facilities including a grand ballroom that seats up to 380 people featuring nine-metre-high floor-to-ceiling windows that afford breath-taking Gulf views. Q: What will be your target markets and why? Traditionally Ajman attracts business from the Russian, CIS and German extended-stay leisure markets, but the destination is also perfect for a weekend break for residents of Dubai and Abu Dhabi who don’t want to travel too far. Additionally, given the capabilities of our meeting facilities and conference venues, Fairmont Ajman is the perfect venue
THE FAIRMONT AJMAN FOR… FAMILIES • Family suites offer two connecting rooms, one with a king bed and the other with two doubles • The Children’s Activity Centre offers a range of age-appropriate programmes
for a wide range of bespoke events, incentive and team building activities, outdoor receptions and weddings.
BUSINESS
Q: With business from Ajman’s traditional source markets - Russian and CIS countries - dwindling right now, how will you meet this challenge as a new kid on the block? We have a very robust set of activities and events planned for later this year that we believe will entice local guests and UAE expatriates to visit the hotel and the destination. These include weekend activities for kids, beach events, and even niche cultural experiences. Given the Fairmont brand’s equity in this region, we have the opportunity to leverage a number of lifestyle partnerships in order to present a range of bespoke programmes to our guests. Q: What’s your sales and marketing strategy now you are preparing to open the property? Our strategy will focus on working with our travel partners to promote Ajman as an up-and-coming destination while supporting the efforts of the ATDD in its pursuit of new source markets. Moreover, given the leisure and business offering we are bringing to the market plus our portfolio of aforementioned events and activities, which will be introduced later in the year, we will be looking to attract weekend ‘staycation’ business from neighbouring Emirates. Q: How will you leverage the Fairmont brand to bring business to this new property? Fairmont Hotels & Resorts is a well-established brand in the region. Fairmont Dubai opened 12 years ago and since then, the company has grown from strength to strength, establishing flagship properties in key destinations and markets. Today the FRHI Hotels & Resorts Middle East, Africa and India region portfolio spans 14 hotels. This allows Fairmont Ajman to work with other properties to offer twin-stay packages such as ‘Buy & Beach’ and ‘Surf and Shop’. In addition, with the FRHI regional office based in Dubai, we can leverage a multitude of resources to help raise awareness of our opening - the newest Fairmont flagship.
• Six meeting rooms • A grand ballroom that seats up to 380 people • Convention rooms • Large pre-function area COUPLES • Junior suites with large and private balconies • 200-metre sandy beach • Expansive infinity pool, fitness centre, plus spa facilities • Exciting portfolio of local and international F&B outlets
THE DISCOVER AJMAN PACKAGE • Overnight stay with a complimentary upgrade to the next available guestroom or suite • Complimentary WiFi access • Welcome drink served in the lounge on arrival • Breakfast for two at Spectrum • Allows guests 24 hours between check-in and check out
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Fujairah’s idyllic beaches are a key selling point
FUJAIRAH’S HIDDEN GEMS Fujairah is putting together an action plan to highlight the emirate’s diverse tourism offering, explains Dr Ahmed Al Shamsi, Chairman, Fujairah Tourism & Antiquities Authority (FTAA)
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F
ujairah has always been a popular getaway destination with UAE residents and European holidaymakers, known for its quiet family resorts, pristine beaches, water sports and good-quality branded resorts. Boasting coastal and city hotels, the emirate is also a favourite for meetings, conferences and corporate retreats. Those who have driven to Fujairah will have taken in spectacular views of the emirate’s rugged landscape, with a car journey full of twists and turns as the roads weave around the stunning Hajjar Mountains, which form a backdrop to many of the destination’s top resorts. However, few will be aware of Fujairah’s cultural assets, notably some of the UAE’s most architecturally splendid forts that date back centuries.
IN NUMBERS
1million+ Visitors in 2014
830,000 Hotel guests
170,000 million Hotel apartment guests (Source: FTAA)
Fujairah is known for its architecturally unusual forts
Opportunities to better market these attributes and attract more investment to Fujairah, which has only scraped the surface in terms of its tourism potential, have not gone unnoticed. In 2009 the Fujairah Tourism & Antiquities Authority (FTAA) was established under decree law No. 3 by His Highness Sheikh Hamad bin Mohammed Al Sharqi, the Ruler of Fujairah. Since its inception, the FTAA, in consultation with the emirate’s key tourism industry stakeholders, has been putting together a framework to improve the sector’s contribution to Fujairah’s economy in the long term. FTAA Chairman Dr Ahmed Al Shamsi says tourism currently contributes around 15% to the emirate’s GDP, with plans to boost this to at least 25% in the future. The authority has spent the last year undergoing a restruc-
turing process to ensure it works as efficiently as possible given its ambitious targets for tourism growth. “Last year the body established a number of sub-divisions, from financial to HR, and also started work on a promotional plan that focuses on Fujairah’s traditions and heritage,” explains Al Shamsi. In late 2014 the Fujairah government also revealed it was developing a strategic master plan for urban, cultural and sustainable developments emirate-wide until 2040. This blueprint is designed to encourage the creation of more tourism and manufacturing enterprises – two sectors it has earmarked for growth. The master plan will involve a number of long-term projects, with plans afoot to create a three-kilometre-long Corniche lined with entertainment, sports and leisure attractions,
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Fujairah is also a thriving UAE business hub
orium
Fujairah boasts several forts of historical significance
FUJAIRAH’S CULTURAL HIGHLIGHTS Fujairah Museum is one of the most important museums in the UAE, providing insight into the country’s history and heritage through antiques found by archeologists in recent years The museum houses three halls. The first displays evidence of occupations known to the region such as agriculture, fishing and trade, plus traditional artisan industries like weaving and pottery. The second showcases heritage items from ancient weapons to utensils and the third, antiquities and artifacts, from pots made of steatite or chlorite, to brass items. Fujairah Fort is one of the largest forts in the UAE. It sits high on a hill, 20 metres above sea level overlooking Fujairah’s city. The design of the Fujairah Fort differs completely from the usual fort architecture found elsewhere in the UAE, due to the shape of the rocks from which it was built, comprising three circular towers, a square tower and another tall building, all linked by a wall that forms a central hall in the middle. Fujairah Fort dates back to the Sheikh Hamad bin Matar Alsharqi era and is made from local materials such as stone, gravel, clay, hay, and alsarooj (gypsum). Awlah Fort is located in the village of Aouhlah, a rugged mountainous area 30 kilometres from the city of Fujairah, and is known for its interesting and ornate interior décor. The design of the fort has been inspired by the walls of Assyrian cities in northern Iraq, a nod to the relationship the region had with the ancient civilization dating back to the Iron Age.
as well as cafes and restaurants. A sports complex is also in the pipeline. Tourism-specific developments include the addition of more four- and five-star properties, adding more inventory to the 600 new hotel rooms already planned for Fujairah. There are currently around 2,800 rooms available across the emirate. The government reported more than one million hotel guests in Fujairah in 2014, with total visitor numbers to the emirate believed to have hit the 1.4 million mark. Further increases are anticipated in 2015 with the family travel market one niche sector Fujairah is keen to develop. Al Shamsi says Fujairah’s tourism appeal is far
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Al Hail Fort is one of the UAE’s strongest fortresses located on a mountain in the village of Al Hail, south-west of the city of Fujairah. According to generations of Fujairah residents, the fort was built during the reign of Sheikh Hamad bin Abdullah Al Sharqi in 1830. Al Bathna Fort overlooks Ham wadi, which runs from Fujairah to Siji wadi across the mountains. Visitors can travel by car to visit the castle, which boasts breath-taking views of the mountain-scape. Al Bathna Fort dates back to 1735, recognisable by its two watchtowers located on the west side of the building. Al Bidya Mosque can be found on the road linking Dibba to Fujairah and is the UAE’s oldest mosque, dating back to around 1446 AD. It is an Othmanian mosque known for its unusual roofing – instead of timber, a column holds the domes of the mosque in place. Al Bidya Mosque was built using purely local materials from large and small stones and burnt clay.
reaching: “We are strategically located on the Gulf of Oman and the Indian Ocean, home to beautiful coral reefs and spectacular marine life, which has encouraged the establishment of several international sports such as fishing, diving and other water sports. “Add to this our cultural and natural attractions, from our large number of castles and forts, museums and archaeological sites to our high mountains with their quaint villages, picturesque valleys and wadis and springs, and Fujairah has much to offer visitors all year round.” Looking ahead Al Shamsi says the FTAA will ensure its strategy remains aligned to the government’s 2040 vision, generating “good prospects for the tourism industry we seek to develop”.
DON'T MISS •The new Fujairah City Centre with retail outlets, VOX Cinema, a large food court plus a Magic Planet • Lulu Mall stocks everything from food to fashion and also has an ice rink • Century Mall offers a multi-cuisine food court plus a Space City play centre for the kids • Gold Market is the place to buy ornaments crafted from 18-, 22-, and 24-carat gold • Wadi Wurayah is the UAE’s first protected mountain area, noted for its biodiversity, fresh waterfalls and pools, and home to the endangered species such as Arabian Leopard and Tahr (mountain goat) • Wadi Siji is a picturesque farming area located in the mountains of northern Fujairah • Wadi Ham is the longest wadi in the UAE, running for nearly 30km, and a popular picnic spot
ABUQATAR DHABI
QATAR’S TOURISM GOALS TAKE SHAPE Qatar has taken great strides in its quest to become a tourism destination of note over the past year, says HE Issa bin Mohammed Al Mohannadi, Chairman, Qatar Tourism Authority (QTA). Here, he outlines the Gulf state’s 2014 achievements and future aspirations The Address Dubai Mall 104 | ATM YEARBOOK 2015
Traditional dhows are anchored in port near the Museum of Islamic Art Park
atar’s rapidly developing tourism industry recorded another strong performance in 2014, with all key indicators showing good progress and growth. Visitor arrivals increased 8.2% to 2.83 million during the year, bringing average annual growth to an impressive 13.8% over the past five years. Arrivals from the neighbouring GCC countries amounted to 1.12 million in 2014, an increase of 3% over the previous year, while non-GCC international visitors totalled 1.7 million, a substantial 12% gain over 2013. This is a highly positive development in our drive to diversify and expand the
international spread of Qatar’s tourism source markets. The most dramatic increase was in the number of visitors from Asia and Oceania, which rose by 20% over 2013. India (up 21% to 403,000 visitors), China (up 62% to 28,000), Japan (up 19% to 18,000) and Iran (up 47% also to 18,000) were among the strongest performers during 2014. Visitors from the Americas also grew significantly, rising by 10% to nearly 145,000, while European markets recorded a solid 3% gain to more than 420,000 arrivals last year. The UK continued to dominate the list of Qatar’s European source markets, with 135,000 British arrivals in 2014, followed by France (43,000), Germany (39,000) and Italy (34,000). Italy was also notable as one of Qatar's fastest growing The Address Downtown Dubai won a slew of awards in 2014 ATM YEARBOOK 2015 | 105
European markets with a 16% rise in the number of travellers year-onyear. Other strong annual growth rates were recorded by Belgium and Luxembourg (13%), Russia (12%) and Switzerland (10%), The visitor profile saw good progress towards our target of balancing Qatar’s traditional strength as a business destination with increased leisure tourism. The number of tourism visas issued grew by 21% in 2014, substantially exceeding the 13% increase in visas issued for business.
QTA STEPS UP ACTIVITIES The Qatar Tourism Authority (QTA), both independently and in association with public and private sector partners, made a major contribution to tourism growth in 2014 through extensive marketing campaigns promoting Qatar to the overseas travel trade and building awareness of the destination’s attractions among international consumers. An important milestone during the year was the launch of the QTA’s Qatar National Tourism Sector Strategy 2030 (QNTSS) in February 2014. This has laid out a comprehensive blueprint for the tourism sector’s development in coming years, with clearly specified targets and priorities. These include the goal of achieving seven to nine million visitors annually by 2030, together with detailed recommendations on hotel and infrastructure requirements, tourism services and key target markets. The QNTSS calls for investments totalling $40 billion to $45 billion, to be spent on hotel and resort development, products and services. The scale of this investment clearly underlines the importance of tourism as a key priority sector in the diversification and sustainable development of the national economy, as well as its potential to inspire and promote social and cultural benefits. While the QNTSS is primarily designed to provide a roadmap for the industry in the longer-term, it also guided the QTA’s work in 2014, notably when prioritising geographical and sector source markets, with the focus on top-end leisure travel and the MICE industry. Initiatives during the year included increasing the number of overseas offices from two – in the UK and France – to five, with new representation in Germany (also covering German-speaking Austria and Switzerland), Saudi Arabia (covering the GCC) and South-East Asia (Singapore, Malaysia and Hong Kong). The authority further boosted its marketing activities through international trade fair participation, roadshows and workshops, travel trade destination training, media relations and press and media familiarisation trips. A prominent focus has been placed on the GCC and regional market. The QTA plays an active role in the organisation of Qatar’s extensive year-round events calendar, which includes international sports tournaments, cultural performances and trade exhibitions, as well as innovative events such as the successful Eid Festivals, the Qatar Summer Festival, the Qatar International Food Festival, and the Desert Caravan Challenge, all of which attract a number of visitors from around the region. These events will continue to evolve and gain momentum annually building great visitor interest and offering extensive initiatives to meet visitor demand. One important aspect of this programme addresses the issue of seasonality by establishing festivals during the traditionally slower summer months. While there is still a significant trough compared
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“The QNTSS calls for investments totalling $40 billion to $45 billion dollars, to be spent on hotel and resort development, products and services” with high season arrivals, summer visitor numbers have been on an upward track for the past few years. In 2014, monthly arrivals ranged from a peak of 284,000 in January to some 200,000 in July. The QNTSS highlighted the need for qualitative improvements in the industry and its regulation in particular, to promote sustainability and consistently high quality throughout the sector. In this area, QTA continued to work with the United Nations World Tourism Organisation (UNWTO) to improve and upgrade policies and regulations to the highest international standards and to develop human capital for the industry. Measures included the signing of the Global Code of Ethics for Tourism, intended to minimise any negative impacts of tourism on the environment and cultural heritage, while maximising the benefits for residents. Among other developments, the implementation of the Tourism Satellite Account measurement system has been especially encouraging.
VITAL STATISTICS (2014) VITAL STATISTICS
2.83
• Visitor arrivals 2.83 million
million
• GCC arrivals 1.12 million
21%
• Tourism visas up 21%
Total visitor arrivals • European arrivals 420,000
Percentage increase in tourism visas
420,000 Arrivals from Europe
1.12 million Arrivals from the GCC
DEVELOPMENTS SET THE SCENE A number of important tourism and infrastructure developments have taken shape over the past 12 months, paving the way for 2015 industry growth and in the longer-term, the 2022 FIFA World Cup. A number of new hotels have opened their doors, including two waterfront resort properties with private beaches, luxury spas and a comprehensive range of facilities and services. The Banana Island Resort by Anantara is located on its own private island in Doha Bay and accessible by boat or helicopter, comprising a 96-room hotel and 45 villas, and the 281-room Marsa Malaz Kempinski is positioned on its own secluded island, part of The Pearl-Qatar development. Several new city hotels have opened too including the Westin Doha Hotel & Spa, boasting nearly 2,900 square metres of event space; the 164-room Warwick Doha Hotel; and the 317-room Meliá Doha in Xyxyxyxyxyxyxyxyxyxy West Bay. As the accommodation offering expanded, so too did Qatar’s airport capacity, with the April 2014 opening of the new state-of-the-art Hamad International Airport (HIA). It can facilitate 8,700 passengers per hour and will gradually increase its annual capacity from an initial 30 million passengers to 50 million on final completion. At the same time our national carrier, Qatar Airways, continued to grow and now serves some 140 destinations with ambitious plans to develop the network further in the years ahead.
The Khalifa International Stadium, adjacent to the Aspire Tower, will play a central role in the 2020 FIFA World Cup tournament representative offices in Italy, the USA and Turkey. In these countries, as in existing markets, Qatar will pursue a two-pronged strategy (trade and consumer), with an emphasis on enhancing positive destination awareness via various media channels. Our message remains consistent for all markets, highlighting Qatar’s sights and attractions, the high-standard of our hotels, our authentic cultural experiences and the wide range of activities on offer. We take notice of regional preferences and perceptions and tailor our messages to specific markets. The QTA also continues its efforts to improve the human skills and services needed to support the tourism industry. The regulation and maintenance of quality standards and the diversification of attractions and tourism products will remain paramount going forward.
BUILDING A BRIGHT FUTURE PUTTING QATAR ON THE MAP Looking ahead, the plan to increase tourist numbers to more than seven million a year by 2030 calls for QTA to forge ahead with effective marketing activities. During the course of this year we plan to open three more overseas
QTA’s ambitious targets, as set out in the QNTSS, are inspiring a massive increase in hotel and infrastructure construction. This ‘building boom’ has been given extra impetus based on the need to increase accommodation capacity in time for the 2022 FIFA World Cup, with some 4.5 million visitors expected that year.
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The Palace Downtown Dubai The Address Montgomerie Dubai
The Palace Downtown Dubai
The Museum of Islamic Art (MIA) is one of Doha’s top cultural attractions
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Hamad International Airport (HIA) opened in May 2014 Current capacity stands at around 19,000 rooms, some 70% of which are in the four- and five-star category. This number will increase annually to meet consumer demand with a significant proportion of focused on the top-end of the market, in line with QTA’s strategy to position the country as a luxury destination with a unique cultural DNA. However, the plan calls for the diversification of the accommodation landscape to span all categories and include more boutique properties and hotel apartments. By 2030, most of the major international brands will have a presence in the market and the number of individual hotel properties is set to increase significantly. Progress towards the hotel building target is on schedule. Room supply is on track to more than double with 66 hotels and 14 hotel apartments to come on stream in the next five years. In 2015 alone, we expect around 20 new properties to open, adding nearly 4,000 rooms to Qatar’s accommodation portfolio. This year’s openings are expected to include the Shangri-La, Double Tree by Hilton, Pullman, Adagio, Dusit, Melia and Mondrian. The Waldorf Astoria, Mandarin Oriental and M Gallery will open in 2016, while Le Meridien and JW Marriott are amongst new properties scheduled for 2017.
TOURISM FACILITIES TO BOOST NATIONAL DEVELOPMENT A number of new projects that will reinforce Qatar’s growing status as the Gulf ’s ‘Capital of Culture’ are under development. The most important of these is the Qatar National Museum, an iconic architectural masterpiece designed by Jean Nouvel, currently under construction on the Doha Corniche and due for completion in 2016. To facilitate business tourism, the opening of the new Doha Exhibition and Convention Centre in 2015 will complement the existing facilities of the Qatar National Convention Centre, and boost Doha’s MICE infrastructure by some 90,000 square metres of event space, including 29,000 square metres of exhibition halls. The demands of hosting the World Cup in 2022,
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The Banana Island Resort by Anantara welcomed its first guests last year combined with the other ambitious development plans of the QNTSS and Qatar National Vision 2030, will translate to huge investment in the country’s transportation and construction sectors. The World Cup opening and closing ceremonies will be staged in a new 86,000-seat stadium being built as part of the Lusail City project, which involves the creation of a brand new 38-million-square-metre master-planned urban development for 260,000 residents just north of Doha city. This will be linked by a new underground line to Qatar’s integrated rail network that will incorporate Doha Metro and a nationwide passenger and freight operation. The Doha Metro system promises to be a particularly important tourism asset, facilitating travel from the airport and throughout the city via four lines and 100 stations. It will cover 300 kilometres. Qatar’s transport infrastructure is undergoing extensive development with new port facilities and road developments. The latter, incorporating 900 kilometres of multi-lane highways, will have considerable impact on the tourism sector, greatly improving access to all areas of the country and opening up new and unexplored regions to visitors. Alongside the new city planned at Lusail and the luxury mixed-use community currently under development on the man-made islands of The Pearl, Qatar’s plans include the creation of a number of new purpose-built, fully integrated development zones incorporating residential, office, retail and recreation facilities, together with schools, medical and other associated services. These include Doha Festival City offering significant tourism components including hotels, restaurants, marinas, shopping and other leisure amenities. Tourism will also benefit from completion of the Msheireb Downtown urban regeneration project in the heart of the capital. Outside of Doha, tourism-related developments, including some of the stadia that will host World Cup matches, are helping to transform and modernise towns and villages around the country. Many of these are architectural masterpieces in their own right, dispersed around the country at Al Khor, Al Wakrah and Al Rayyan and becoming focal points of tourism development in their respective communities.
2014 MILESTONES • Qatar National Tourism Sector Strategy 2030 (QNTSS) launched in February • A number of overseas QTA offices increases from two to five • Global Code of Ethics for Tourism signed • Tourism Satellite Account measurement system implemented • The Banana Island Resort by Anantara, Marsa Malaz Kempinski, Westin Doha Hotel & Spa, Warwick Doha Hotel, and Meliá Doha all opened their doors • Hamad International opened for business in April with an annual passenger capacity of 30 million
HOTEL PERFORMANCE (2014) • Average occupancy hit 73% compared to 65% in 2013; • Occupancies in the five-star segment reached 71% compared to 61% in 2013; • RevPAR up 8.3% with strong performances in the five- and three-star segments, which saw gains of 9.5% and 15.5% respectively; • 85 hotels and 22 hotel-apartment complexes spanning 19,000 available rooms; • Five-star hotels dominate with 7,748 rooms across 33 properties; • 20 new properties to open in 2015; • 66 hotels and 14 hotel-apartments to open over the next five years.
Discover a jewel by the sea For the traveler who loves watching the sun set from a luxurious suite balcony overlooking the pristine white beach. For the adventurer who enjoys a unique Arabian cultural getaway. For the family who spends fun filled time together on unforgettable holidays. Fairmont Ajman, with its close proximity to Dubai, caters to it all. Create your Ajman memory today. For reservations or more information, please call +971 4 311 5567 or email ajman.reservations@fairmont.com or visit fairmont.com/ajman
The year of the fleet Two high-profile Airbus aircraft deliveries further solidified Qatar Airways’ status as one of the world’s leading airlines in 2014, paving the way for further global expansion, says Group Chief Executive His Excellency Mr Akbar Al Baker
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atar Airways Group Chief Executive Akbar al Baker has hailed 2014 “the year of the fleet”, which culminated with the delivery of the first A350 XWB to roll off Airbus' production line in December. It followed hot on the heels of the September delivery of the Doha-based carrier’s first A380, with both fleet additions marking a new chapter for Qatar Airways as it forges ahead with network and capacity expansion. Both aircraft offer fuel efficiencies and passenger comfort levels designed with long-haul flights in mind. The delivery of the two new aircraft confirmed Qatar Airways' status as the first carrier in the world to operate each member of Airbus' wide-body family, with the carrier currently flying a staggering 31 A320s, 16 A330-200s, 13 A330-300s, five A330 cargo freighters, two A319LRs, eight A321-200s, four A380s and two A350s. Al Baker says the arrival of the A380 in September followed “more than a decade’s work with Airbus to deliver an aircraft that takes the passenger journey experience to an entirely new level”. “The Qatar Airways A380 is not just any A380,” he says. “We have completely designed every element, giving it a signature touch never been seen before on board.” The 517-seat aircraft is spread across twin decks in a tri-class configuration of eight seats in First Class, 48 seats in Business Class and 461 in Economy Class. The First Class seats feature a 90-inch pitch with a fully-flat bed; Business Class seats feature a pitch of 52 inches, also with fully flat beds; and Economy Class passengers benefit from the “most spacious A380 arrangement flying in the skies”, with a pitch of 32 inches spread in a 10-seats-across layout.
The Qatar Airways fleet will be 200-aircraft strong by 2022
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The new A350 and A380 line-up to take off from HIA
FIVE-STAR SERVICE AT HIA Airport facilities include:
• Activity nodes and play areas for children • Fine-dining restaurants • Quiet areas • Prayer rooms • 70 duty free retail outlets • 30 cafés and restaurants • Spa • Gym • 25-metre pool • Squash courts • Exclusive Airport Hotel
“The premium cabin is fitted with multiple bespoke elements such as luxe finishings and tailor-made fabrics designed exclusively for the airline,”continues Al Baker. “There are now four A380s in operation, flying to London, Bangkok and Paris.”
A GLOBAL FIRST But perhaps the most significant delivery of the year was the A350 – the first of 80 on Qatar Airways’ order book. “The A350 XWB aircraft, for which we are the global launch customer, commenced service on the Doha to Frankfurt route in January 2015, as did our second A350 in March,” explains Al Baker. The A350 XWB has a two-class configuration with 36 Business Class seats in a 1-2-1 configuration, featuring 80-inch fully flat beds and 17-inch HD in-flight entertainment (IFE) screens. There are 247 seats in Economy Class, each 18-inches wide in a 3-3-3 configuration, with a seat pitch of up to 32 inches and a 10.6-inch IFE screen. The A350 XWB is also one of the world's lightest aircraft, says Al Baker. “More than 70% of its weight-efficient airframe is made from advanced materials combining composites (53%), titanium and advanced aluminium alloys,” he explains. “The aircraft’s innovative all-new carbon fibre reinforced plastic fuselage results in lower fuel burn as well as easier maintenance and its engines have the lowest CO2 emissions of any aircraft
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in the wide-body category. “The A350 XWB features the very latest in aerodynamics, design and advanced technologies and will set new standards in passenger experience, operational efficiency and cost-effectiveness,” Al Baker says. Another significant moment for Qatar Airways in 2014 was the unveiling of its Qatar Airways Boeing 777, featuring FC Barcelona’s livery. Delivered in May, the aircraft, which incorporates the Spanish football club's flag and emblem draped across its tail-end, also carries the tagline created to support the airline’s partnership with the club: ‘a team that unites the world’. The Boeing 777 featuring the livery currently flies to destinations including Bangkok, Singapore and Mumbai, according to Al Baker. The Qatar Airways fleet now totals 146 aircraft with 340 additional aircraft worth more than US$70 billion on order.
HUB BENEFITS Qatar Airways also moved to its new home, Hamad International Airport (HIA), in May 2014, the opening of which represented a “huge milestone” for the airline and Doha as a destination, according to Al Baker. “HIA can handle 90 aircraft per hour, more than tripling the old airport’s capabilities, and currently has capacity for 30 million passengers annually, increasing to 50 million when the airport is fully completed,” he says. “The 29-square-kilometre airport was built to support the continuing growth of Qatar Airways,
“HIA’s pioneering design, engineering and construction make it a flagship national project and one of the most ambitious global airport projects ever undertaken”
VITAL STATISTICS New routes and added capacity in 2014 • Dubai World Central (UAE) • Sharjah (UAE) • Philadelphia (USA) • Larnaca (Cyprus) • Hofuf (KSA) • Istanbul Sabiha Gokcen (Turkey) • Edinburgh (UK) • Miami (USA) • Tokyo Haneda (Japan) • Dallas Fort Worth (USA) • Djibouti City (Djibouti) • Asmara (Eritrea) New routes 2015 • Amsterdam (June 2015) • Sofia (direct)
HIA opened in May 2014 which now flies to more than 145 destinations worldwide, making Doha a global hub for business and leisure travel.” HIA also caters to A380 requirements and includes five dedicated contact gates, two runways of 4,850 metres and 4,250 metres, and one of the world’s largest free-span hangars capable of accommodating up to 13 aircraft of different configurations. Between May and December 2014, 18 million passengers passed through HIA and when factoring in traffic at the previous airport from January to May, Qatar’s international passenger numbers hit 26.4 million for the year. Al Baker says the airport has been well received, gaining notoriety amongst the international aviation industry experts attending the 70th IATA AGM in Doha in June. HIA’s offers 30 cafés and restaurants, plus 70 retail outlets showcasing global fashion brands, gourmet food and the Middle East’s first Harrods branch. At the Al Mourjan Business Lounge, Qatar Airways’ premium passengers can make use of the business centre, quiet rooms, 24-hour buffet service, à la carte restaurant, games room, nursery, shower facilities and dedicated family rooms. A First Class lounge is scheduled to open this year. “The move to HIA has also had positive repercussions for Qatar Airways Cargo, which is already ranked among the top cargo operators in the world,” says Al Baker. “The new technology and automated systems
Flight/capacity increases 2015 • Manchester • Barcelona • Copenhagen • Stockholm • Madrid • Rome • Milan • Venice • Singapore
Current fleet Qatar Airways will fly to Singapore three times daily from June 1, served by the A350
More wide-body aircraft will be deployed on Italian routes including Venice
146 aircraft (passenger and cargo) 28 B777-300ERs 9 B777-200LRs 18 B787 Dreamliners 7 B777F cargo freighters 4 A340-600s 31 A320s 16 A330-200s 13 A330-300s 5 A330 cargo freighters 2 A319LRs 8 A321-200s 4 A380s 2 A350s
Aircraft on order
340 additional aircraft worth more than US$70 billion including: 100 B777Xs 79 A350s 42 B787s (including options) 8 B777s (including freighters and options) 80 AA320 Neos (including options) 13 A380-800s (10 firm and 3 options) 1 A320 13 A330 freighters
HIA offers a wide range of duty free shopping
AL MOURJAN BUSINESS LOUNGE Highlights: • Raised garden area with teak wood and garden furniture • Multi-purpose executive seating area with privacy screens reading lights, luggage spaces, power sources and data plug points • Media room with a large-screen TV and sofas with built-in speakers • 24-hour buffet serving international tapas and mezze • Dedicated family room with couches and TV screens • Games room for children fitted with pinball machines, PlayStation 4s and football tables
HIA's business class lounge
that have been introduced in the cargo area have increased its capacity to 1.4 million tonnes per year. With the continuing growth of Qatar Airways Cargo, this will expand to 2.8 million tonnes per year, making it one of the largest cargo terminals in the world.”
RISING THROUGH THE RANKS Qatar’s status as a global aviation hub has been solidified following the move to HIA, which Al Baker describes as “a world-class facility purposebuilt to cater to the rapidly evolving aviation and passenger needs of the 21st century”. “HIA’s pioneering design, engineering and construction make it a flagship national project and one of the most ambitious global airport projects ever undertaken,” he continues. “With state-of-the-art infrastructure and facilities all housed within one space, as well as optimised operational flow, HIA sets a new global standard in travel experience.” Qatar Airways also launched 12 new routes in 2014, expanding the airline’s network to strategically important destinations such as Dallas, Miami and Philadelphia in the US, Tokyo Haneda in Japan and Edinburgh in the UK. “Our ongoing expansion, which will continue in 2015 with new routes to Amsterdam and increased flight frequencies to important European cities such as Barcelona, Manchester, Stockholm and
Copenhagen, further highlights Qatar Airways’ commitment to maintaining Qatar’s position as a global aviation hub connecting cities across the world via our base in Doha,” says Al Baker. Qatar Airways currently boasts a network of more than 145 destinations, but this is amplified to almost 1,000 locations globally through its strategic partnership with the oneworld alliance. In a further bid to strengthen ties with two alliance airlines, British Airways and Iberia, Qatar Airways recently bought a 9.99% stake in the carriers’ owner, International Consolidated Airlines Group (IAG). The deal, worth $1.7 billion, aims to tap into the European and transatlantic networks (both in North and South America) of the UK and Spanish airlines. Al Baker says by 2022 when Qatar hosts the FIFA World Cup, the airline will fly to more than 200 destinations employing a fleet of 200 aircraft. “By this time HIA will be fully open and able to handle 50 million passengers a year, which means visitors travelling to Qatar for the event will be impressed by both the passenger experience in the air and by the modern and efficient infrastructure when they land in Doha,” he adds.
THE YEAR OF EXPANSION Al Baker is hailing 2015 the “year of expansion”, with Qatar Airways adding more frequencies
QATAR AIRWAYS' SKYTRAX WORLD AIRLINE AWARDS 2014 • World’s Best Business Class for the second consecutive year • World’s Best Business Class Lounge for the second consecutive year • Best Airline in the Middle East for the eighth time
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• Nursery offering changing facilities, diapers, wipes and baby food • Quiet rooms with individual and double occupancy resting areas • Dedicated house hosts and hostesses providing sleeper suits, toothbrushes and cushions • Business centre with work stations, all-in-one computers and printers, conference rooms, 24/7 secretarial services, media room and a game room fitted with an F1 driving simulator
to “popular destinations” such as Turkey, Spain (Barcelona and Madrid), Indonesia, Singapore, Nairobi (Kenya), Manchester (UK), Sweden and Copenhagen (Denmark). The airline will launch its inaugural Amsterdam service on 16 June and introduce a direct service to Sofia, Bulgaria, later in the year. In addition, more wide-body aircraft will be deployed to operate services to Italian gateways Rome, Milan and Venice, increasing capacity on these routes by 30%. Al Baker says more Qatar Airways services to China are planned following the airline’s move to HIA. Qatar Airways has the largest route network to China of any Middle Eastern carrier, flying to 45 cities across the People's Republic. “We are an airline that has grown to where it is today by setting clear and simple objectives,” he says. “The vision of His Highness, the Emir Tamim bin Hamad Al-Thani is to take our national airline to the top – to be the best five-star airline offering the highest levels of service in the sky. “He tasked me with this, and I have taken on the challenge wholeheartedly, working towards this goal every single day in my position as Group Chief Executive.”
Katara Towers is expected to open in 2018
BUILDING ICONS H
ospitality asset and hotel owner, manager and developer, Katara Hospitality, fast-tracked its expansion in 2014, achieving “major milestones in acquisitions, investment and development”, according to the Qatar-based group’s CEO and Board Member, Hamad Abdulla Al-Mulla. The firm’s global portfolio swelled to 34 hotels in operation or under development, surpassing its goal of 30 properties by 2016, two years ahead of schedule. “We have added six international properties to our collection of iconic hotels,” explains Al-Mulla. In June, Katara Hospitality acquired five properties in key European cities, adding InterContinental Carlton Cannes, InterContinental Amstel Amsterdam, InterContinental Madrid, InterConti-
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Three properties will open at BĂźrgenstock Resort Lake Lucerne in 2017
Excelsior Hotel Gallia, a Luxury Collection Hotel, Milan
Katara Hospitality is fast gaining international acclaim as a developer, owner and operator of landmark hotels with historical and architectural significance, says the group’s CEO and Board Member, Hamad Abdulla Al-Mulla
InterContinental Carlton Cannes
The Address Dubai Mall
The forthcoming Tazi Place Hotel Tangier
ATM YEARBOOK 2015 | 117
nental Frankfurt, and the leasehold interest in InterContinental De La Ville Rome to its portfolio. The group also expanded its footprint in the London market by acquiring a 50% stake in the UK capital’s landmark luxury hotel, The Savoy. In a joint venture with the property’s operator, Fairmont Raffles Hotels, Katara purchased this prime piece of real estate located on the banks of the River Thames from Lloyds Banking Group for an undisclosed sum. A number of “important hotel openings” also took place in 2014, says Al-Mulla. “The Peninsula Paris opened after four years of meticulous restoration that celebrated the property’s outstanding architectural heritage while discreetly modernising it to become a thoroughly contem-
porary hotel,” he explains. Sheraton Doha Resort & Convention Hotel re-opened in November, following an extensive renovation that upgraded the property’s facilities and The Excelsior Hotel Gallia, a Luxury Collection Hotel, Milan, also welcomed its first guests following the hotel’s soft reopening in December. The property officially reopened in February this year when the full four-year renovation was completed by renowned Milanese architect Marco Piva. Topping off all these milestones in 2014 were a number of noteworthy awards with the company being named the ‘World’s Leading Hospitality Company’ at the World Travel Awards for the second year running in December. The firm was also named the ‘Middle East’s Leading Hospitality Development Company’ at the May edition of the World Travel Awards. “We also received a number of prominent regional awards,” stresses Al-Mulla who recites a long list of accolades. They include being named ‘Hospitality Company of the Year 2014’ at the fifth Arabian Business Qatar Awards and the ‘2014 Hospitality Achiever’ at the Inaugural Qatar Enterprise Agility Awards.
DOUBLING UP
Katara Hospitality acquired a 50% stake in The Savoy, London
Given Katara Hospitality has achieved its 30-property goal well ahead of schedule, Al-Mulla has now set his sights on doubling the size of the group’s portfolio to 60 properties by 2026. “We will continue with our expansion in some of the world’s leading international destinations, while also further strengthening our footprint in Qatar,” he reveals. “Katara Hospitality has several important openings scheduled in 2015 and as we expand the operator side of our business, we will open seven new hotels that are currently in the final stages of development.” The recently relaunched Murwab Hotels brand, Katara’s standalone operations arm in Qatar, will become a “key focus for the organisation in 2015 alongside our core business of hotel asset management”, he adds. In addition to operating five Murwab properties in Qatar, the firm will also open 232-room Millennium Plaza Hotel located on Doha’s Al Sadd Street. “Another core area of focus for Katara Hospitality over the next few months will be the refurbishment and upgrade of our existing Doha portfolio,” adds Al-Mulla. The Sealine Beach Resort will see the addition of 20 new villas as
MILESTONES 1970
1993
1999
2006
Qatar National Hotels Limited is established by the government of Qatar to manage the Gulf Hotel, the first five-star property in Qatar, currently the Doha Marriott Hotel.
Qatar National Hotels Company (QNH) is established in accordance with Emiri Decree no. 12 and takes over all assets and liabilities from Qatar National Hotels Limited.
The Gulf Hotel is renovated and rebranded as Doha Marriott Hotel.
1982
1994
Renaissance Sharm El Sheikh Golden View Beach Resort in Egypt marks the firm’s first international acquisition. An agreement is signed with Al Faisal Holding to manage the Grand Murwab City Centre.
Sheraton Doha opens as Qatar’s first internationally branded hotel.
Sealine Beach Resort opens its doors as Qatar’s first leisure destination.
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2001 The Ritz-Carlton, Doha and Mövenpick Hotel Doha open.
THE KATARA HOSPITALITY PORTFOLIO Operational properties:
Properties under development:
• Doha Marriott Hotel
• Millennium Plaza Hotel (2015)
• Sheraton Doha Resort & Convention Hotel
• Grand Murwab City Centre (2015)
• Sealine Beach Resort
• Simaisma, a Murwab Resort (2015)
• Sharq Village and Spa
• Saraya Corniche Hotel (2015)
• The Ritz-Carlton Doha
• City Gate Hotel (2015)
• Movenpick Hotel Doha • Somerset West Bay Doha
• Luxury Hotel at Katara Towers, Lusail Marina District
• Renaissance Sharm El Sheikh Golden View
• Ultra Luxury Hotel & Residences at Katara Towers, Lusail Marina District
• The Savoy, A Fairmont Managed Hotel
• Hotel Royal Savoy Lausanne (2015)
• InterContinental Frankfurt
• Bürgenstock Hotel at Bürgenstock Resort Lake Lucerne (2017)
• InterContinental Amstel Amsterdam • InterContinental Madrid • InterContinental Carlton Cannes InterContinental Carlton Cannes
• InterContinental De La Villa Rome • Raffles Singapore
“We take immense pride and pleasure in rejuvenating historically iconic hotels, restoring them to their former glory and ensuring their hospitality heritage remains intact”
• The Peninsula Paris
• The Avenues, a Murwab Hotel (2015)
• Palace Hotel at Bürgenstock Resort Lake Lucerne (2017) • Waldhotel at Bürgenstock Resort Lake Lucerne (2017) • Tazi Palace Hotel Tangier (2017)
• Schweizerhof Bern • Chiva-Som • Buddha-Bar Hotel Paris • Excelsior Hotel Gallia, A Luxury Collection Hotel, Milan • Le Royal Monceau Paris, a Raffles Managed Hotel
2007
2012
2013
2014
Sharq Village & Spa opens as Qatar’s first branded luxury resort.
QNH is re-named as Katara Hospitality. Agreement signed with Barwa Real Estate for the acquisition of three properties in Doha.
Buddha-Bar Hotel Paris, on Rue De Fabourg St Honoré, opens after the property is converted from commercial offices into a luxury boutique hotel. Agreement signed with Sphinex Hotels & Resorts to manage a new business hotel in Doha under the Murwab brand name. Construction of Katara Towers in Lusail Marina District gets underway.
Katara Hospitality acquires five hotels in key European cities: InterContinental Carlton Cannes; InterContinental Amstel Amsterdam; InterContinental Madrid, InterContinental Frankfurt; and the leasehold interest in InterContinental De La Ville Rome. Katara Hospitality acquires a 50% stake in London property, The Savoy. Three agreements signed with Murwab to manage two hotels and a resort in Qatar. The Peninsula Paris opens following an extensive four-year restoration. Excelsior Hotel Gallia in Milan joins The Luxury Collection® portfolio, part of Starwood Hotels & Resorts Worldwide, Inc., and reopens after four years of renovation. Sheraton Doha Resort & Convention Hotel reopens following an extensive eight-month renovation. Katara Hospitality achieves the company’s long established goal of 30 properties by 2016 two years ahead of schedule.
2011 Ten international properties are acquired across Europe, Asia and Africa, doubling the company’s portfolio, plus 25% shares acquired in luxury resort Chiva-Som in Hua Hin, Thailand.
ATM YEARBOOK 2015 | 119
1 TAKE 3
How do Katara’s projects help put Qatar on the world travel and tourism map and how are they aligned to the country’s long-term vision for success? Al-Mulla: “Katara Hospitality has been a pioneer in Qatar's hospitality industry for more than four decades and we are committed to strengthening the country’s tourism infrastructure and developing internationally recognised landmarks. Katara Towers, a hospitality icon in Lusail City is immensely important to Qatar's tourism sector. In tandem with such developments, we also encourage private investors to participate in building a solid hospitality network in the country. In fact, Katara Hospitality’s contributions to the hospitality landscape have been recognised on a global scale and we have won a number of noteworthy awards, regionally and internationally. The company is also becoming increasingly recognised as a Qatari organisation that transforms heritage properties into world-class, modern hotels.”
2 3
What makes Katara different from other hospitality groups? Al-Mulla: “Katara Hospitality has more than 45 years of extensive industry experience. Our strategy is to invest in new pioneering and spectacular projects such as the Katara Towers in Lusail City while also redeveloping iconic, historical properties internationally. Our business goals are clearly defined; our foremost priority is to ensure maximum returns for our stakeholders while offering our guests exceptional facilities and services.”
What are the biggest challenges and opportunities facing the region’s travel and tourism industry in 2015? Al-Mulla: “I believe the major challenge industry stakeholders face is achieving differentiation in order to stand out in an increasingly competitive hotel marketplace. Qatar in particular is witnessing unprecedented growth in high-profile hospitality projects, thanks to the steady growth of the economy. More hotel openings over the next few months will put pressure on room rates but stimulate healthy competition in terms of innovation and service standards. A challenge for international hospitality brands setting up in the Middle East is adapting to local customer preferences. Global hotel companies looking to succeed in new markets must find effective ways of competing with domestic brands by localising their service offerings while adhering to their global brand values.”
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“We also create icons by turning assets that were designed for other purposes into true hospitality gems”
The Address Dubai Marina won ‘Best Luxury Wellness Spa in the UAE’
well as the detailed landscaping of the existing chalets, villas and indoor and outdoor facilities and a phased renovation of the rooms, spa, lobby and restaurants at The Ritz-Carlton, Doha, will also be undertaken. Meanwhile, The Doha Marriott Hotel will undergo a full phased renovation towards the end of the year and the external façade and apartments of the stylish Somerset West Bay Doha will be refurbished. “Building work will also start on our iconic new development in Doha’s up-and-coming Lusail Marina District,” Al-Mulla reveals. “An architectural translation of Qatar’s country seal, the Katara Towers will host a five-star luxury hotel, a five-star ultra-luxury hotel and branded apartments. “I am especially excited about this development, which I believe will become the hospitality icon of the 21st Century.” Expected to open in 2018, Katara Towers is part of a unique hospitality complex also includes a “spectacular man-made satellite beach-front island that will be home to an incredible mix of leisure and water sports facilities, food and beverage outlets as well as world-class water parks within a stunning, sun-protected garden environment”, says Al-Mulla. Looking further afield, plans to officially re-open heritage Swiss property, Hotel Royal Savoy of Lausanne, in June 2015, are well underway, Al-Mulla says. The landmark hotel celebrated the ‘topping out’ of its contemporary new building in October 2014, representing the completion of the high-rise shell of this iconic project, which has been undergoing four years of “meticulous redevelopment”.
GLOBAL FOCUS International expansion is the primary focus in 2016 and beyond with Katara Hospitality “continuously looking to invest in a collection of unique properties in key sought-after international locations”, says Al-Mulla. “With the goal to leave an outstanding legacy for future generations, we take immense pride and pleasure in rejuvenating historically iconic hotels, restoring them to their former glory and ensuring their hospitality heritage remains intact.” When exploring investment opportunities, Katara Hospitality looks for “something special that sets the project apart”, says Al-Mulla. “It must add exceptional dimension to our business, while taking into account the return the hotel is likely to yield,” he adds. “But our focus is not limited to acquiring iconic hotels,” he continues. “We also create icons by turning assets that were designed for other purposes into true hospitality gems.” The Tazi Palace in Tangier is a good example, he says. This building, originally designed as a royal residence, will be transformed into a luxurious palace hotel with a tasteful extension that complements the original historic shell.
SAUDI ABU DHABI ARABIA ATM YEARBOOK 2015 | 121
SAUDI ARABIA'S BID TO HIT TOURISM TARGETS The kingdom is pumping more than $11.6 billion into developments designed to boost the country’s burgeoning domestic and religious tourism industries
T
en tourism-focused projects worth an estimated US$11.6 billion are currently under development in Saudi Arabia. In a bid to capitalise on the country’s rapidly-expanding domestic and religious tourism markets, there are 55 major tourism developments planned or under construction including 39 hotels and resorts, four museums and libraries, one mall, seven sports stadia/leisure complexes, two theme parks and two convention centres. The top 10 projects cover a wide range of tourismrelated activities from a $4.4 billion investment by Saudi Aramco to develop 11 stadia, to the next three phases of the Jabal Omar mega-development in Makkah, which,
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upon completion in 2017, will boast 40 hotel towers. Other high-profile projects include the $533 million MKEC Visitor complex, the $450 million Hilton Riyadh Hotel & Resort and $500 million Millennium Jeddah. The value of Saudi Arabia's travel and tourism market was estimated at $45.3 billion (SAR170 billion) in 2014, of which $18.7 billion (SAR70 billion) was generated from domestic tourism and almost $27 billion (SAR100 billion) from religious and other forms of tourism. These figures are likely to shoot up if plans to relax certain visa restrictions are given the green light by the Saudi government. The Saudi Commission for Tourism and Antiquities (SCTA) has already approved provisions to issue tourism
BIG NUMBERS
visas and introduce new regulations in a bid to enhance the kingdom’s tourism industry growth prospects. Many projects are designed to double Umrah and Hajj arrivals from the current 10 million to 20 million per year, as well as expand domestic tourism from 200 million room nights a year to 700 million a year over the next five years. There are currently 62,330 rooms in the Saudi Arabia's accommodation market, with 35,844 under contract, according to data from STR Global. Makkah currently boasts the biggest inventory with 23,429 rooms and a pipeline of 9,722 rooms, but Riyadh’s rooms under contract outstrips this at 10,089, more than doubling the city’s current 8,935 keys.
Tourism
Accommodation
Anticipated tourism trips in the kingdom by 2020, comprising
rooms in 2014
83million
62.4million domestic trips
20.6million inbound trips
62,330 35,844 rooms under contract
10,089 inbound trips
(Source: STR Global)
60.9billion
$
tourism expenditure
(Source: General Commission for Tourism and Antiquities)
ATM YEARBOOK 2015 | 123
KSA TRAVEL TRENDS REVEALED
N
ew data recently released by research firm YouGov has provided key insights into Saudi Arabia’s outbound travel trends. KSA travellers surveyed in the Travel Oracle – KSA Highlights report listed good weather (39%), reasonable cost (38%) and the availability of family attractions (34%) as the top three criteria by which they selected their holiday destination. Popular choices include the UAE, visited by one in five Saudi Arabian residents (19%) during their last leisure trip, as well as Turkey, Egypt and Jordan. KSA travellers also have a mixed accommodation preference with one-third usually choosing to stay at budget hotels, 25% selecting luxury hotels, and a further one-third opting for serviced apartments when traveling for leisure. One-fifth of the total number of respondents (22%) also reported taking a cruise holiday for their most recent trip. The importance of technology to Saudi travellers is also highlighted in the YouGov report with nearly two-fifths of KSA residents (38%) booking their flights through online travel agents (OTAs) compared to the overall MENA average of 28%. When booking accommodation, OTAs remain the most popular booking method with 22% using this channel, followed by travel booking websites (17%) and direct offline bookings (17%). YouGov notes that 37% of KSA residents booked all their leisure trips online in the last 12 months, the top reasons for which include cheaper prices compared to offline rates (43%), availability of more options (40%) and availability of special/ preferential rates (36%). Once at their destination, leisure travellers from Saudi Arabia are also more likely than other MENA-based vacationers to travel with and rely on smartphones to upload photos and video, play games, check emails and access social media, the YouGov report found.
TOP DESTINATIONS
KSA
TOP DESTINATION CRITERIA
39% 38% 34% good weather
ACCOMMODATION CHOICES
reasonable cost
family attractions
HOW THEY BOOK
37% 38%
43 25 stay in budget hotels
book all leisure trips online
cheaper prices
stay in serviced apartments
%
book flights through OTAs
REASONS FOR ONLINE BOOKING
%
stay in luxury hotels
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Turkey Jordan UAE Egypt
40% 36% more options
availability of preferential rates
CRUISES
22%
took a cruise during their most recent trip
ABU DHABI BAHRAIN ATM YEARBOOK 2015 | 125
Back in BUSINESS
Bahrain’s tourism industry is flourishing, spurred by major spend on the kingdom’s infrastructure to the tune of US$22 billion
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Bahrain is ploughing billions into infrastructure developments
A
fter a challenging post-recessionary period, Bahrain’s travel and tourism sector’s economic resurgence has gathered pace in the past two years. In 2013, the sector accounted for 4.1% of Bahrain’s total GDP, equating to a value of BHD500.2 million (US$1.326 billion). This figure was forecast to rise by an encouraging 8% to BHD540.1 million in 2014, according to the World Travel & Tourism Council’s (WTTC's) Travel and Tourism Economic Impact Bahrain 2014 report.
Highlighting the sector’s continued recovery, the report predicts the travel and tourism sector will generate close to BHD900 million in revenues annually by 2024. Investment in travel and tourism is expected to rise commensurately, from BHD154.5 million in 2013 to BHD255.5 million in 2024, representing a compound annual growth rate of 4.5%. According to the WTTC report, travel and tourism’s share of total national investment will rise from 6.7% in 2014 to 7.9% in 2024. In terms of employment, the sector accounted for 73,500 jobs in 2013 (10% of total employment). This was forecast to
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Qalat al-Bahrain (Bahrain Fort)
rise by 7% in 2014 to 79,000 jobs (10.3% of total employment). By 2024, the sector is forecast to support 121,000 jobs (11.5% of total employment), an increase of 4.4% pa over the period, according to the WTTC. Highlighting the importance of travel and tourism to Bahrain’s overall economic wellbeing, this latter figure places Bahrain seventh in the world in terms of the sector’s contribution to national employment growth. By comparison, travel and tourism’s contribution to employment growth in the UAE and Qatar was just 1.8% and 1.3% respectively, placing the GCC countries 106th and 141st respectively on the WTTC ranking. Bahrain’s close proximity to Saudi Arabia, and its continued popularity as a weekend getaway destination for the country’s residents, ensures leisure travel spending accounts for the vast majority of revenues generated by the country’s travel and tourism sector. According to the WTTC, leisure travel spending (inbound and domestic) generated 85% of direct travel and tourism GDP in 2013 (BHD810.4 million). Business travel spending accounted for the remainder, generating BHD143 million in revenues. Business travel spending was expected to rise by 6.0% in 2014 to BHD151.5 million, and by 4.2% pa to BHD228.4 million in 2024. By comparison, the WTTC estimates leisure travel spending rose 8.1% in 2014 to BHD876.4 million, and is forecast to increase by 4.9% pa to BHD1.416 billion in 2024. In 2013, domestic travel spending accounted for 29.9% of direct travel and tourism GDP compared with 70.1% for visitor exports, which is defined by the WTTC as foreign visitor spending or international tourism receipts. The council estimates domestic travel spending rose by 8.9% in 2014 to BHD310.8 million, and by 4.7% pa to BHD492.2 million in 2024. Visitor exports were estimated to have risen 7.4% in 2014 to BHD717.2 million and by 4.9% pa to BHD1.152 billion in 2024.
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“The infrastructure projects are part of a wider effort by the kingdom, which aims to diversify the economy, as well as draw quality investment in order to support long-term sustainable growth” INFRASTRUCTURE BOOM Investment devoted to general infrastructure projects is valued at around US$22billion (BHD8.29billion) over the next few years, according to Kamal bin Ahmed, the Minister of Transportation and Acting Chief Executive of the Bahrain Economic Development Board (EDB). Major projects given the go ahead that will positively impact the kingdom’s tourism industry include a new terminal at Bahrain International Airport (BIA), investment ventures at the 15-island development known as Durrat Al Bahrain, and the development of Al Jazair Beach, among others. “The infrastructure projects are part of a wider effort by the kingdom, which aims to diversify the economy, as well as draw quality investment in order to support long-term sustainable growth, create quality job opportunities, and raise the standards of living,” explains Ahmed.
HOTEL UPDATE • Art Rotana: Rotana’s second Bahrain property with 311 rooms and suites opened on the new manmade Amwaj Islands project in December.
One of Bahrain’s newest hotels, Art Rotana, opened in December
• Four Seasons Hotel Bahrain Bay: Located on its own private island, accessed by a causeway, this 273-room luxury resort will boast sweeping views of the Manama skyline when it opens this year. • Banader Rotana, Bahrain: This 251room five-star property is due to open in Q2, 2015. • One&Only: Kerzner International will open a 150-room One&Only resort in Bahrain’s Seef area in 2016.
The Formula 1 Gulf Air Bahrain Grand Prix has put the kingdom on the global sports event map
• Ibis Manama Seef: The budget property will feature 304 rooms, located close to the business zone, the Bahrain Exhibition Centre and the Financial Harbour. • Wyndham Hotel Group: The firm will debut in Bahrain this year with the 140-room Ramada Manama City Centre, followed soon after by the 450-key Hawthorn Suites by Wyndham Manama. A third Bahrain property – the 260-room Wyndham Grand Manama - will open in 2016. • Fairmont Bahrain Resort, which is expected to open in 2018. The five-star property is part of the Al Jazair mixed-use project and is the result of a MoU signed by Bahrain’s sovereign wealth fund, the Bahrain Mumtalakat Holding Company and FRHI Hotels and Resorts
Wyndham Grand Manama is expected to open in 2016
BIA upgrades to the tune of around $2billion will be carried out over the next five years. Improvements include a new 150,00-square-metre terminal, which will boost capacity from 9 to 14 million passengers annually when it opens in late 2018. Work is also underway on Bahrain Bay, comprising a labyrinth of canals and a brand new harbour, plus several zones spanning hospitality, residential, commercial, business, educational, retail and entertainment components. Another waterfront development commissioned is the Bahrain Financial Harbour (BFH), home to a brand new financial city in the centre of Manama. A luxury hotel plus leisure, dining and shopping facilities including Harbour Mall will be incorporated into this self-contained project.
PROPERTY PICK-UP The billions of Bahraini dinar being ploughed into new mega developments has led to a surge in hotel investment with hotel owners and management companies looking to capitalise on these prestigious real estate opportunities. The world’s biggest hotel firm, Wyndham Hotel Group, will debut in Bahrain this year with the 140-room Ramada Manama City Centre and has two more property openings planned in the kingdom. The 450-key Hawthorn Suites by Wyndham Manama will also open this year and the 260-room Wyndham Grand Manama is scheduled for completion in 2016. Work is also underway on the new Fairmont Bahrain Resort, which is expected to open in 2018. The five-star property is part of the Al
IN NUMBERS
8%
Tourism’s estimated contribution to GDP in 2014
79,000 Jobs created by tourism in 2014
54.5
BHD million
Investment in tourism infrastructure in 2013 Rising to
BHD255.5 Million in 2024
310.8
BHD million
Total tourism spend (2014) Rising to
BHD492.2 Million in 2024
(Source: WTTC)
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Bahrain National Theatre
HOTEL PIPEPLINE BAHRAIN • Existing rooms: 8,382 • Rooms under contract: 3,157 MANAMA • Existing rooms: 7,274 • Rooms under contract: 2,902 (Source: STR Global)
BAHRAIN’S TOP 10 MUST-DOS 1. Qalat al Bahrain site and museum 2. Bahrain National Theatre 3. Bab al Bahrain 4. Bahrain National Museum 5. Sheikh Salman Bin Ahmed Al Fateh Fort 6. Old Houses of Muharraq 7. Suq Al Qaisariya 8. Boat trip to Bu Maher Fort 9. Formula 1 Gulf Air Bahrain Grand Prix 10. Bait Al Quran Visit: www.moc.gov.bh
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Jazair mixed-use project and is the result of a MoU signed by Bahrain’s sovereign wealth fund, the Bahrain Mumtalakat Holding Company and FRHI Hotels and Resorts. Fairmont Bahrain Resort will feature 215 guestrooms and chalets, Fairmont Gold – the brand’s signature ‘hotel within a hotel’ concept – and more than 2,000 square metres of meeting and event space. Additional top-end properties opening soon include the 273-room Four Seasons Hotel Bahrain Bay and an exclusive 150-key One&Only in Bahrain’s Seef area. Rotana opened its second property in Bahrain, the 311-room Art Rotana on Amwaj Islands in December, and will open its third, the five-star Banader Rotana, Bahrain, this summer. Rotana President and CEO Omer Kaddouri says hotel demand is rising in Bahrain, driven by domestic, intra-GCC and European business. “By the time we open our third property we will probably have one of the biggest inventories in Bahrain,” he says. “Financial business is strong and over the weekend, Saudis nearly fill the hotels, so now we are focusing on attracting more leisure guests and we are working with European tour operators to this effect.”
THE YEAR OF HERITAGE While ramping up its spend on tourism hardware, Bahrain’s Ministry of Tourism is also working hard to increase awareness of the kingdom’s tourism credentials. In 2015, the entity has rolled out the ‘Our Year of Heritage’ campaign, highlighting the country’s unique cultural attributes and social fabric, which it claims are its “true source of wealth”. This initiative highlights 12 components: Our Antiquities, Our Buildings, Our Pearls, Our Songs, Our Dances, Our Crafts, Our Fruits, Our Costumes, Our Jewellery, Our Swards, and Our Games, with many
exhibitions and events tailored to these themes taking place throughout the year. Bahrain boasts ancient settlements, temples and intriguing burial mounds, not to mention 16th century forts and 19th century courtyard houses, all juxtaposed with modern high-rises and a surprisingly large collection of contemporary art. Not-to-be-missed heritage landmarks of note include Qalat al-Bahrain (Bahrain Fort), which is registered as a UNESCO World Heritage Site. The fort, known as Dilmun in ancient times, dates back 4,000 years and inside, houses five exhibition halls showcasing more than 500 artefacts. Other historical attractions are the old houses of Muharraq, Suq Al Qaisariya (the oldest section of Muharraq Suq) and the Bu Maher Fort Visitor Centre, which is the starting point to discovering more about Bahrain’s Pearling Path that has been designated a UNESCO World Heritage Site. More modern-day cultural highlights visitors should know about include the Bahrain National Museum, located on the coast and showcasing historical artefacts; Beit al Quran (House of Quran), housing a collection of Quranic manuscripts in several languages; plus the exquisitely designed Bahrain National Theatre – the first national theatre in Bahrain that is fast being recognised as one of the kingdom’s cultural and architectural icons. Attractions aside, the Ministry of Tourism is also promoting a calendar of cultural events in 2015, from the 23rd Annual Heritage Festival at Arad Fort to a range of lectures and exhibitions at Bahrain National Theatre. Music, heritage and book fairs are also regular annual events being billed as not-to-be-missed events, as well as the Formula 1 Gulf Air Bahrain Grand Prix. This prestigious race, which was first staged in the kingdom in 2004, has helped establish Bahrain as one of the Gulf's most important sports event destinations, generating around $550 million each year.
ABUOMAN DHABI
Oman for all seasons Oman is evolving into a year-round destination of note, attracting a host of local and international visitors, explains the Sultanate’s Director General of Tourism Promotion, Salem Al Mamari
The temperate climate of Al Jabal Al Akhdar provides respite from the blazing summer heat
THE MINISTRY’S 2014 ACHIEVEMENTS
Director General of Tourism Promotion Salem Al Mamari 132 | ATM YEARBOOK 2015
“The Sultanate’s tourism industry has remained vibrant over the last few years with regional and international visitor numbers on the rise. GCC tourist numbers increased to 701,311 for the period January to September 2014, up 17% on the same period in 2013. The Ministry has successfully implemented strategies to boost tourism, which have included forging alliances with the aviation industry, most notably with the country’s national carrier, Oman Air. We have also entered into strategic collaborations with overseas media, inviting representatives to visit Oman and experience the destination first hand.”
VITAL STATISTICS
16
The number of new aircraft joining the Oman Air fleet from October 2014 to December 2015
18%
Alila Jabal Akhdar is a new luxury boutique hotel located 2,000 metres above sea level
The estimated increase in cruise tourists visiting Oman in 2014
20,000 The number of hotel rooms planned for Oman by 2015
3.2million
The targeted number of visitors in 2023
12million
Annual passenger capacity at Muscat International Airport once expansion works are completed
NEW TOURISM-RELATED PROJECTS “The last few months have seen the completion and opening of new tourism facilities and destinations such as Alila Jabal Akhdar. This luxury boutique hotel, located 2,000 metres above sea level in the Al Jabal Al Akhdar mountain range adds significant value to Oman’s tourism offering. The temperature drops to between 15°C and 20°C even during the hottest summer months in Oman, in comparison to the scorching temperatures of 45°C-plus in Muscat. Other hotels that recently opened their doors include Marriott Salalah, Holiday Inn Seeb and Hormuz Grand."
623
$ million
OMAN BOOSTS ITS CREDENTIALS AS AN UPAND-COMING TOURISM DESTINATION “The Ministry's implementation of a well-planned tourism strategy has helped solidify Oman's position as a prime tourist destination. At present, the country boasts a diverse range of tourist attractions that cater to many criteria. These categories include luxury, wellness, culture, history and tradition, and outdoor and adventure tourism.”
OMAN’S UNIQUE SELLING POINTS “Unlike its neighbouring GCC countries, Oman is considered a destination that can be visited all year-round. During the cooler months (from September to April), the daytime
The estimated contribution of the OCEC to Oman’s GDP by 2030 (Source: Booz & Co)
20billion
$
Total funds earmarked for transportation infrastructure improvements by Oman's government (Source: Aranca)
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CRUISE CONTROL Oman aims to position itself as one of the Gulf’s leading cruise destinations and unlike its neighbouring states, boasts not one, but several ports of call. Cruise ships currently call at Muscat, Sur, Salalah and Khasab. While official figures are yet to be released, Oman’s Ministry of Tourism anticipated an 18% increase in cruise passengers to the Sultanate in 2014. In 2013, 115 ships called into Oman and that figure is expected to “increase significantly over the coming three years”, according to the Ministry’s Director of Tourism Events, Khalid Al Zadjali. He was speaking at December’s Seatrade Middle East Cruise Forum in Oman where cruise lines, including European heavyweight, TUI Cruises, and UK small ship operator, Nobel Caledonia, revealed their intentions to increase their itineraries to the Sultanate from 2015 onwards. Nobel Caledonia will return to Oman in 2015 after a hiatus of a few years, with its ship, Island Sky, stopping at Muscat, Sur and Khasab. “Oman is a rich seam to be mined,” says fleet director Mike Deegan whose December trip to the Sultanate saw him investigate “more ports and islands along the Omani coastline” with a view to bumping up future Oman itineraries.
The OCEC auditorium
CONVENTION CALLS Construction is now well underway on the brand new Oman Convention & Exhibition Centre (OCEC) with an opening date confirmed for late 2016. There are high hopes that the facility, which is being developed by Omran and operated by AEG Ogden, will put the Sultanate on the world meetings map, providing a purpose-built facility designed to meet the specific needs of global convention and exhibition organisers. Key features include: • Two tiered-seat auditoria with capacity for 3,200 and 450 respectively • 22,000 square metres of column-free exhibition space spread across five halls • Main halls encompass a multi-purpose space with superior fit out, acoustic treatment, advanced lighting and rigging (can host 10,000 seated guests, theatre-style) • 14 meeting rooms for 70-360 delegates
Unspoiled coastline at Ras Al Jinz – a nesting site for green turtles temperatures range from 15°C to 30°C on the coast and on the plains, but can drop to between 10°C and 20°C in the mountains. In December and January they tend to fall below 0°C at night in mountainous areas. One of the advantages Oman has over its neighbours is that during the summer, the southern region of Dhofar benefits from the monsoon season, locally known as 'Khareef,’ which brings very humid weather but keeps the temperatures between 23° and 25°C. This compares to temperatures of more than 40°C that affect the north, including the capital, Muscat. Some coastal regions such as Al Wusta region also benefit from cooler temperatures. Oman is therefore carving a niche as a summer destination when other Gulf locations are off limits. Oman's mountainous regions in particular, including Al Jabal Al Akhdar and Jebel Shams (part of the Hajar mountains), provide respite from the blazing heat. In addition, the months between April and October are the best time for outdoor activities such as water sports, trekking and hiking, and camping trips to the desert."
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2015 PRIORITIES “The Ministry remains steadfast in its commitment to position Oman as one of the world’s top holiday destinations. To help realise this, we have developed a tourism strategy for 2015 that includes the establishment of numerous luxurious five-star hotels and large-scale shopping malls. The Ministry is also working on renovating and further developing existing tourism sites such as historic forts and castles and naturally occurring water bodies embedded within wadis in the mountains.”
• Two ballrooms seating up to 2,360 guests • VIP pavillion • Food court • Helipad • Parking for 4,000 vehicles There are 301 rooms and suites • 4km from Muscat International Airport • 1,000 hotel rooms • OCEC precinct with business and retail developments
UPCOMING PROJECTS “This year new hotels will open operated by leading hotel brands such as Kempinski, Four Seasons, Centara Hotels and Resorts, Shaza, InterContinental Hotels Group (IHG) and The W (part of Starwood Hotels & Resorts). 2015 will also see the opening of other notable developments including Avenues Mall, the National Museum of Oman, the Mall of Oman, Saraya Bandar Jissah, Panorama Mall and Palm Mall.”
Muscat offers visitors a bevy of cultural and historic attractions
WE ARE RE-INVENTING THE WAY PEOPLE PLAN AND BOOK TRAVEL — FAISAL MEMON, FOUNDER & CEO, ILLUSIONS
GLOBAL ABU DHABI VILLAGE
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F
The GAME CHANGER
aisal Memon is a true travel industry stalwart, having spent the last 16 years carving a niche as a leading technology provider to the trade. His highly successful Dubai-headquartered firm, Illusions, which provides cutting-edge, off-the-shelf solutions for agents, operators and DMCs across five continents, has won him global notoriety. Memon’s pioneering technology, combined with his maverick approach to business, has won Illusions several international accolades and 2014 was no exception. The travel technology firm was named the ‘World’s Leading Travel Technology Provider’ at the World Travel Awards – known as the ‘Oscars of the travel industry’ – for the second year running. The global award – the third won by Illusions since 2009 – capped a slew of regional honours for the company at this year’s grand final ceremony. The company was also named ‘Leading Travel Technology Provider’ in Europe, Asia, Middle East and North America. This recognition topped off Illusions’ best year yet in terms of performance and expansion. “The company achieved revenue growth of more than 50% in 2014,” confirms Memon. “We also met our global TTV (Total Transactional Value) goal with the figure surpassing the US$1billion mark as we projected, representing a staggering 360% increase on 2013 TTV.” Illusions continued to expand its customer base in 2014, adding clients in Asia-Pacific, the Middle East and North Africa (MENA) and Europe – all of which are key target markets for growth going forward. “We now have more than 2,000 users on the core Illusions system alone and when you factor in our clients’ customers who use the system, the figure is closer to 10,000,” reveals Memon. Illusions has been successful because its out-of-the-box solutions, which can be customised to meet individual client requirements, meet the needs of the modern-day travel trade.
Tech genius Faisal Memon, Founder and CEO of Illusions, explains how the Dubai-based firm is redefining the way people book travel
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In a nutshell, the technology automates, integrates and centralises almost every aspect of a travel firm’s business, from product management, contracting, client and supplier documentation and accounts, to B2B and B2C booking engines, client profiling and all CRM functions, to name but a few essential operations. “We have been working with the travel industry for more than 15 years and understand intimately its specific technology and business relationship requirements,” says Memon. “Illusions listens to its customers, responds to constantly evolving market conditions and applies the latest technology to solve new challenges.”
INTUITIVE BOOKING The company is currently rolling out Version 14 of its system, which provides several meaningful enhancements, says Memon. “It builds in a big upgrade to include hotel and travel service packaging engines,” he explains. However, it’s Version 15, which is currently under development, that will be the real game-changer, he reveals. “With Version 15 we will be re-defining the way people book travel,” Memon states. “It’s quite simple; with most systems you search for information based on destination or preferred dates of travel, but we will be personalising the experience, based on the past search and transactional behaviour of customers.” V15 will build in a user profile of clients and their customers. It will predict the best time for them to travel and the best deals across all destinations globally, based on their personal profiles and preferences. “It’s very different to the way searches are performed today,” says Memon, “because the system will already know where you go, who you go with, when you go and other personal preferences. All suggested deals will be based on those parameters.” This pioneering search technology is part of a wider data development project. “Our system is very good at showing travel firms management information, but the next level is to provide trends analysis and predictions based on that data. These capabilities will be incorporated into V15,” Memon reveals.
THE ULTIMATE GLOBAL MARKETPLACE Illusions has its entire customer base in one “interconnected eco-system” through its thriving global travel portal, the i-World Travel eXchange (iWTX). A spin-off of the Illusions system and officially launched as a separate company last year, the platform started out as a marketplace whereby Illusions clients could access and sell one another’s products in real time.
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Royal Suite master bedroom
“Right now I am consuming hotel inventory from Expedia, but my goal is to get Expedia and other OTAs consuming from us”
GOING GLOBAL
100,000 WORLDWIDE USERS
6,000 AGENTS
+3.2million PAX
320
$
AVERAGE PAX PRICE
But iWTX has quickly evolved into a major web-based portal for international travel products and services, open to the entire global travel trade. Illusions has also been busy forging partnerships with global distribution heavyweights including leading bed banks in order to ramp up its content. “In the last quarter of 2014, we signed distribution deals with UK-based content aggregator, TotalStay, online giant Expedia, as well as the Low Cost Group, Destinations of the World and Tourico, to increase our hotel inventory offering,” says Memon. “This year we aim to add ancillary products to the mix, including insurance, car hire, cruises, low-cost carriers and much more.” Memon’s ultimate vision is to create the “Amazon of the travel industry”. “Everyone in the industry is hungry for content,” he says. “Even some of the world’s biggest tour operators want to be part of iWTX.” New search technology will also be applied to iWTX, Memon stresses. “Today when you want to go on holiday you need to perform multiple searches based on where you want to go, but my vision is to create an engine where you enter the travel dates and it shows you the best deals available worldwide, not city-by-city,” he explains. “That’s what we are building – and you will get that data back in milliseconds. We are re-inventing the way people plan and book travel.”
ON CLOUD 9 To be able to grow iWTX to exponential proportions and become the “industry standard” Memon envisions, Illusions is moving its entire platform – and its clients – onto a cloudbased system. This follows an agreement signed with Microsoft for the IT giant’s ‘Azure’ Cloud Computing Platform. “So we are currently in the process of migrating all of our technical and hosting infrastructure onto the Microsoft cloud,” says Memon. This effectively involves a phased transition from traditional hosting environments such as an ISP (Internet Service Provider), which rely on physical servers, network connectivity and power (RAM), to virtual cloud-based servers that offer unlimited data storage and power. “We are currently scaling our business very well in order to cope with the millions of transactions forecast to be generated by Illusions clients and iWTX, but we need to plan for the future and break free from the constraints of traditional servers,” says Memon. Another key benefit, says Memon, is that Microsoft’s virtual servers are based all over the world, improving speed and accessibility for all Illusions clients regardless of where they are based. Microsoft also maintains all server operations 24 hoursa-day, seven days-a-week, so the Illusions IT team is free to conduct other essential business functions. But most importantly, for Memon, it marks a “big step” towards Illusions becoming THE cloud operating system
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“We have been approached by big hotel groups who want to use our system” for the travel industry and iWTX becoming the “ultimate global marketplace for travel products”. “As far as our global infrastructure is concerned for that vision to be fulfilled, Microsoft is a big part of it,” he says. Microsoft recognises Illusions’ potential too, assigning the company to its High Potential (HiPo) ISV Managed Partner Programme. “Only 3% of Microsoft’s customers globally attain HiPo distinction,” reveals Memon. “This demonstrates Illusions’ close working partnership with Microsoft and the technology firm’s confidence in our potential and expertise.”
PARTNER POTENTIAL Illusions also signed a landmark deal with Amadeus, allowing the GDS provider to resell the Illusions solution to its customers in MENA. “This enables Amadeus agents in the region to sell iWTX products online, giving them a true leisure platform currently missing from the GDS offering,” explains Memon. “The next step is to extend this agreement to include the network in Asia-Pacific and Europe.” Illusions is also looking to leverage its recentlyestablished partnership with Expedia. “Right now I am consuming hotel inventory from Expedia, but my goal is to get Expedia and other OTAs consuming from us,” he reveals. “It will happen once we have fully transferred our platforms and customers onto the cloud, allowing us to scale up our business to any level.” Memon recently appointed Duncan Alexander to the role of Vice President, Global Alliances & Partnerships. One of Alexander's primary tasks in his new role is to forge new strategic alliances with distribution partners. Alexander is also taking steps to beef up iWTX content by bringing more DMCs on board. Partnering with other travel technology firms globally, some of which are competitors, is a top priority too, says Memon. “We are going through the process of raising capital to acquire technology companies so we
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can cross-sell product and also connect them into iWTX,” he explains.
EXPANSION TRAIL But in the meantime, Illusions is expanding its own salesforce to secure new business in key markets including Asia, the United States and Europe. To set the ball rolling, last year Memon employed Greg Duffell as Vice President Sales, Asia, to kickstart a “sales push” across the continent. Illusions is also opening a regional office in Bangkok, which will double up as the company’s dedicated data management unit. “The idea is to take over the responsibility of inputting data for our customers,” Memon reveals. Expansion in Europe is also on the cards given the strong foothold Illusions has in this significant market, with customers on its books including DER Touristik in Germany. Memon has also earmarked North America as a growth market with huge potential for Illusions. Last year, he appointed US-based industry stalwart, Scott Fluhrer, to the role of Vice President, Sales, North America. “Scott is getting some good feedback in a market that’s tough to crack,” says Memon. “But there is a huge gap in North America for sophisticated travel technology solutions. I believe Illusions can fill that void.” With a rapidly expanding network of clients and distribution partners, all powered by the latest cloud-based technology, Memon is anticipating a momentous year for the company in 2015. “We are also looking to break into the airline and holiday space and to roll out our core product to new user groups,” he says “We have been approached by a number of large hotel groups that want to use our system as a CRS platform and to manage their inventories, contracts and distribution.” Of course, their rooms will automatically be distributed on iWTX, moving Memon ever closer to achieving his vision of creating the world’s biggest global travel distribution community.
GLOBAL DESTINATIONS 2014
1. USA 2. Thailand 3. UAE 4. Egypt 5. Tunisia 6. Mauritius 7. Maldives 8. Seychelles 9. Sri Lanka 10. Australia SOURCE MARKETS 2014
1. Germany 2. UK 3. UAE 4. Luxembourg 5. Switzerland 6. Austria 7. France 8. Belgium 9. Netherlands 10. Ukraine
A BESPOKE DRIVING EXPERIENCE
Hertz offers Middle Eastern travellers a range of high-end vehicles
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Richard Bowden, Interim Vice President Sales, Hertz International, explains how the car rental firm caters to the specific needs of Middle East travellers, with services ranging from ultra high-end cars to the latest Arabiclanguage tools and technology
Q: What is Hertz’s point of difference in the Middle East? As the world’s largest worldwide airport general use car rental brand, Hertz prides itself on offering a premium car rental experience. We are currently the only car rental company in the Middle East with a regional corporate outbound office focusing on car bookings for customers travelling abroad, especially to Europe and North America. We understand that the booking process for our local customers is very different to that of Western expats. They require a more personal approach and prefer to book by phone, especially when travelling long haul, which is why we have a dedicated Arabic call centre in Jordan catering specifically to these valued customers. We are committed to enhancing the Middle Eastern traveller’s car rental experience with Hertz by providing these customers with a service they feel comfortable with. We are also continuously improving the Arabic online customer experience. We have a dedicated Arabic website catering to Arabic speakers, specifically the Saudi market, and recently implemented a Live Chat functionality that allows customers to chat directly with our call centre staff making the online experience more personal. Q: What other customer-focused initiatives have you launched recently? We have had a very successful year expanding our partnerships. Hertz partners with the key national carriers and airline loyalty programmes in the region. Benefits to members include earning airline frequent flyer miles when renting Hertz cars and receiving discounted rates as well as special offers. We also recently appointed dnata as our General Sales Agent (GSA) for travel trade in KSA and Bahrain. This strategic alliance expands our existing partnership for the UAE, Qatar and Oman. Q: How important is the leisure sector? During the summer months most of our outbound
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A REGIONAL PRESENCE • 21 cities, nine countries, 54 locations • Countries include the UAE, KSA, Bahrain, Jordan, Kuwait, Lebanon, Oman, Qatar and Yemen • The regional Hertz Corporation Office opened in 2010 and to support its Middle East franchise partners and growing outbound business to the US and Europe
business from the region is leisure driven. We have noticed a trend whereby GCC customers making long-haul bookings during the summer months, particularly to Europe or the US, are choosing larger vehicles. We have responded by increasing the number of large vehicles on offer during the post-Ramadan travel period to include more seven and nine seaters. We have also seen a shift in booking patterns, with the number of early summer bookings increasing 44.5% over the last two years. Q: What’s your regional growth strategy? We are currently looking to expand our local presence and services in the African market. We have started our African focus by launching locations in Zimbabwe, Botswana and most recently, Hertz Mozambique Maputo International Airport. We are also looking to launch Hertz in Tanzania and recently signed our first partnership with an African airline, South African Airways.
The Hertz Dream Collection includes a Maserati Ghibli
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In terms of outbound travel and services, we are looking to expand our partners network, especially when it comes to national African carriers. Q: What other trends and growth patterns are you noticing across the region? The Middle Eastern traveller is always more appreciative of luxurious offerings and services. To cater to the growing numbers of Middle Eastern travellers who are opting to hire luxury cars rather than fly their own vehicles to their summer vacation destination, Hertz offers a range of dream cars, complemented by VIP services. The Hertz Dream Collection is an ultra high-end range of vehicles and includes the Maserati Ghibli, Aston Martin Vantage, Jaguar XK Convertible and Mercedes S 350 BlueTEC. Q: How important is the travel trade as a distribution channel? Offline travel agency distribution remains an
ABOUT HERTZ UAE Hertz is the world’s largest airport general use car rental brand
important channel for us. The majority of the region’s managed business travel or high-yielding luxury travel is still booked with either a trusted travel consultant or a travel management company and is therefore a significant revenue driver for Hertz. We have an assertive five-year outbound
”The Hertz Dream Collection is an ultra highend range of vehicles and includes the Maserati Ghibli, Aston Martin Vantage, Jaguar XK Convertible and Mercedes S 350 BlueTEC”
growth strategy with a focus on self-drive destinations in Europe, North America and Australia. Our GSAs play a vital role in helping us access a reliable customer base wanting to rent a car in these destination markets. We have dedicated travel trade in-market representation via our GSA, dnata, in the UAE, Qatar, Oman and recently, Saudi and Bahrain. We also have representation in Kuwait with Transworld, in Turkey with Airep, in Lebanon with Nakhal Travel, in Egypt with Amex Travel (Kanoo), and in Jordan with Eastern Travel. In Southern Africa, Holiday Holdings represents the Hertz brand for outbound car rental, providing a new level of service and support for travel trade professionals making car rental reservations globally for their corporate and leisure customers. Q: What technology and customer service enhancements have you made to benefit customers? At Hertz we always strive to stay ahead of the game and anticipate our customers’ needs, adapting our offering to ensure their experience with us is always premium and seamless. In destinations such as Germany, where there is a high penetration of Arabic-speaking customers, it is possible to use our Neverlost GPS system in Arabic. We also have Arabic speaking staff at major locations worldwide, which is a service our Middle Eastern travellers appreciate. Hertz has also added the option to rent Mobile Wi-Fi hotspots across many top European destinations, providing customers with easy internet access so they can avoid unnecessary roaming charges while travelling abroad. This is increasingly useful when travelling with the family as several devices can be connected at any given time.
Hertz UAE is part of the Al-Futtaim Automotive Group and has retained market leadership in terms of service, quality, and sheer capacity for more than 21 years. Hertz UAE operates 20 branches in strategic locations across the UAE and employs more than 390 associates representing 32 different nationalities. Services include short-term rental, long-term leasing, chauffeur-driven vehicles, transfers, staff and event transportation and event management, and inbound and international reservation. In 2012, Hertz completed its acquisition of Dollar Thrifty Automotive Group (DTAG), creating a global, multi-brand rental car leader with global operations.
WHY HERTZ? • The average age of the Hertz UAE fleet is 10 months • Hertz UAE selects models with mid to high specifications • Minimum standards for vehicles include ABS, dual air bags and a NCAP/NHTSA 4 rating wherever possible
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Pura Ulun Danu Temple on Lake Beratan, Bali
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'Great' Indonesia’s timeless appeal Indonesia’s Minister of Tourism, Dr. Ir, Arief Yahya, reveals why the destination is a must-sell to the Middle East’s lucrative outbound travel market Q: Why is the Middle East market important to Indonesia’s tourism industry? The Middle East has not reached its potential compared to other source markets, even though arrivals from the region increased 26.93% in 2014, with Saudi Arabia, Egypt, and the UAE generating the most visitors. However, the market is high yielding, with Middle East tourists spending on average US$1,391.54 per head per trip and it's therefore valuable to Indonesia’s tourism industry.
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Growth is aided by excellent air connections, operated by the world’s top airlines including Emirates, Etihad and Qatar Airways, which use their top-class hubs as a transit point between destinations across all five continents. The Middle East market also tends to travel in large family groups. This means they tend to stay longer and spend more, which is always attractive to tourism destinations. Q: What makes Indonesia attractive to Middle Eastbased travellers? Indonesia is Muslim-friendly (80% of Indonesians are Muslim) offering halal food, serviced apartment accommodation, and qibla and istinja facilities, plus most tourism products and destinations are Shariah-compliant. This is complemented by modern lifestyle experiences such as mall or market shopping, golf, family entertainment, beach holidays and health and wellness retreats, all of which appeal to a wide range of visitors including honeymooners, families
Indonesia boasts world-class snorkelling, diving and surfing
and independent travellers. Our gastronomy is another selling point with cuisine and culinary diversity reflecting many different ethnic traditions across our archipelago of 13,000plus islands. We are also considered one of the most bio-diverse countries in the world with indigenous wildlife including the Komodo dragon. In addition, some of the world’s best marine life can be found at snorkelling and diving areas around Raja Ampat. We also offer wonderful heritage sites that reflect the long cultural history of our islands, drawing on Buddhist, Chinese, Christian, Hindu, and Islamic influences. Indonesia boasts many destinations in one, with tourism hotspots including Bali, Java, the Spice Islands, Sumatra, Sulawesi and Papua. Hotel accommodation and villa rentals are available at every price point. Q: What progress have you made in the last year in attracting more Middle East tourists to Indonesia? The Ministry of Tourism (MOT) has increased visa services on arrival at Jakarta’s international airport, Soekarno Hatta and has requested the Ministry of Law and Human Rights make visas free on arrival to 30 recommended countries including Qatar, the UAE, Bahrain, Oman and Kuwait.
Raja Ampat
Bali rice terrace
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DESTINATIONS YOU NEED TO KNOW GREAT BATAM (Batam and Bintan) •
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Traditional dancing
Batam and Bintan Islands are two of more than 2,400 islands that make up the Riau Islands province, which stretches from Sumatra, rounding north east all the way to the Anambas islands in the South China Sea. They can be reached by fast ferry from Singapore in just 45 minutes. Batam is the third busiest entry port to Indonesia after Bali and Jakarta. Situated very near to Singapore, it is a resort favourite with local and international tourists who want to get closer to nature; play golf or go sailing; enjoy mouthwatering fresh seafood; luxuriate in a traditional royal spa; go shopping; or enjoy some family time.
by rich Dutch tea planters due to its scenery and cool climate. •
GREAT BALI (Bali, Lombok, and Surabaya) •
Bali has been a magnet for international travellers for more than 100 years and is still deemed one of the world’s top tropical islands due to its fascinating mix of Hindu culture, great beaches, warm people, and lush scenery. Also known as the ‘Land of the Gods’, Bali appeals because of its sheer natural beauty, from looming volcanoes to lush terraced rice fields that exude peace and serenity. Bali enchants with its dramatic dances, intricately carved temples, colourful ceremonies and arts and crafts, but also offers luxurious beach resorts and exciting nightlife. This exotic island has much to offer, from spirituality to fine dining and world-class surfing and diving to exhilarating treks in the wild.
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Lombok, located about a 30-minute flight from Bali, is home to active volcano Mt. Rinjani and offers great beach and mountain holidays. It is also known for its magnificent South Sea cultured pearls, grown in pristine waters around the island. Lombok’s woven cloths are second to none as are its pottery. For seafood lovers, succulent grilled fish and crabs freshly caught from the sea are a must-have.
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Surabaya is a modern industrial city, considered the economic and trading centre of Eastern Java, home to more than three million people. With its shopping malls, colonial-era buildings and high-rise skyline, this city represents a true melting pot of Javanese culture. Highlights for visitors include the zoological gardens, Sampoerna Museum or a trip to the island of Madura to experience a local bull race. The city is also an ideal base from which to explore the many other attractions of East Java including Mt Bromo and the cool mountain retreats of Malang.
Bintan is the largest island in the Riau Archipelago and its top tourist attraction today is Bintan Resorts - a beach holiday destination located in the north of the island, covering 23,000 hectares along the entire sandy white coast that faces the South China Sea. The island is home to several attractions including the historic remains at Tanjung Pinang and Penyengat, and offers plenty of opportunities for surfing, diving, adventure and eco-tours as well as rest and relaxation.
GREAT JAKARTA (Jakarta, Bandung, Sukabumi, Gunung Padang, and Puncak) •
Jakarta is the busy capital of the Republic of Indonesia, home to nine million people. As Indonesia’s biggest city it is known as a shopping, culinary and entertainment paradise.
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Bandung, the capital of West Java, was originally established in the late 19th century as a colonial garrison town but soon attracted wealthy planters who owned the miles and miles of tea, coffee and cinchona plantations, fruit orchards and vegetable gardens in the cool and fertile hills. Bandung became the town of the European elite during the 1930s and has a rich heritage of Art Deco buildings.
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Puncak meaning ‘the Peak’, is a mountain retreat known for its fresh air, tea plantations and At'taawun Mosque.
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Sukabumi is a district located on the southern slopes of lush Mt. Gede in Mt. Pangrango National Park, West Java. The cool and scenic surroundings make Sukabumi a base for activities including camping, mountain trekking, white-water rafting and caving. During the Dutch colonial days Sukabumi was favoured
The Gunung Padang Site is believed to be largest megalithic site in Southeast Asia. It is characterised by hundreds of long rectangular ancient-looking blocks of stone strewn all over the mountain top and some mysteriously located lower down among rice paddies. The original construction is believed to have been a stepped pyramid built of natural volcanic stones.
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DEPARTURE BOARD Jakarta is the busy capital of the Republic of Indonesia
The MOT has also placed Arabic-language signage and brochures at the airport to assist Middle East visitors. The increase in the number of direct flights operated by major airlines in Middle East has also helped increase visitor numbers, with Qatar Airways now operating two direct flights from Doha to Jakarta and Bali, daily. Emirates will also fly to Bali from Dubai from June 3 and already operates a Jakarta service. Our well-established Dubai-based Visit Indonesia Tourism Office (VITO) continues to represent us well in the Middle East and is participating in several travel shows in the UAE, KSA, Qatar and Jordan. Lastly, the MOT has signalled its commitment to the Middle East market by allocating 50% of its marketing budget for branding across the region. Our ‘GREAT’ campaign, which focuses on our top three destinations – GREAT BALI, GREAT JAKARTA and GREAT BATAM – will be further developed in 2015. These three areas of Indonesia, which comprise many islands and destinations, attract about 91% of international tourists to the country. Q: How do you engage the region’s travel trade to help them sell Indonesia? VITO’s Dubai branch works hard to build strong relationships with the Middle East’s tourism industry. In addition, the MOT participates at events staged by the UAE’s top five wholesalers of Indonesian travel products including Al Rais Travel & Holidays, which stages travel exhibitions annually. The ministry also takes part in Arabian Travel Market and runs fam trips for leading Middle East travel agents and tour operators. Q: What upcoming tourism and hospitality-focused projects will further boost Indonesia’s appeal? Many destinations across Indonesia are improving their infrastructure, accessibility, connectivity, activities, facilities, and hospitality offering to maximise their tourism appeal.
Route
Carrier
Doha-Jakarta
Qatar Airways
18 flights weekly
Doha-Denpasar
Qatar Airways
7 flights weekly
Dubai-Jakarta
Emirates
22 flights weekly
Dubai-Denpasar
Emirates
June 15 launch
Abu Dhabi-Jakarta
Etihad
8 flights weekly
Jeddah-Jakarta
Garuda
14 flights weekly
Jeddah-Jakarta
Saudia
8 flights weekly
WHY INDONESIA? The world’s largest archipelago of more than 13,000 islands, a nation of a 250 million people with 1,128 different ethnic groups, speaking hundreds of dialects; UNESCO World Heritage Sites include Borobudur Temple and Prambanan Temple in Java; Family-friendly environment with a majority Muslim population – the largest in the world (more than 200 million Muslims); Muslim facilities and services include halal food, mosques and mushallahs, call to prayer, and kiblat signs in every hotel room; Culinary diversity with most options also cooked respecting halal tradition; Fantastic shopping in some of Asia’s newest, largest international malls as well as traditional markets; The most bio-diverse country in the world offering indigenous creatures like the Komodo Dragon, globally-renowned marine life at Raja Ampat, and the famous Wallace Line dividing the flora and fauna of Asia from that of Australasia; A wide range of accommodation from hotels to villas that cater to every budget; Good air connectivity from the Middle East with domestic flights widely available; World-class spas offering traditional and international treatments plus separate male and female areas; The Indonesian people are diverse, colourful and hospitable.
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Frequency
ABU DHABI HOTELS ATM YEARBOOK 2015 | 153
The five-star Art Rotana on Bahrain’s new Amwaj Islands development
Rotana continues to forge ahead with ambitious expansion plans, debuting new properties and concepts in a range of MENA locations, reveals President and CEO, Omer Kaddouri
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“We will continue expanding organically overseas, following the same model that has clearly helped carve out a success story for the hotel group over the last 21 years”
R
otana’s maverick approach to expansion, targeting destinations considered unstable, risky, or with an underdeveloped hotel landscape, has won the UAEbased hospitality firm widespread admiration over the past 21 years. And more often than not, the group’s properties have thrived despite difficult circumstances, because Rotana has identified a gap in
the market for its expert hospitality offering and been the first to seize the opportunity to fill that void. Rotana currently manages more than 50 hotels, across five brands in 19 cities across MENA, with plans to open 12 more in the region by the end of this year. But that’s just the tip of the iceberg, according to the company's president and CEO, Omer Kaddouri.
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Salalah Rotana Resort officially opened in March 2014
2014 FIRSTS
GLOBAL GOALS
In 2014, Rotana’s strategy to grow its presence in new countries gathered momentum, kicking off with the official opening of the five-star Salalah Rotana Resort in March. “This stunning 400-room waterfront resort is the Sultanate’s largest free-standing hotel in Oman,” says Kaddouri. “We pride ourselves in identifying desirable travel destinations and we are excited to start a new journey with the first hotel to be operated by Rotana in Oman.” The second milestone of 2014 was Rotana’s debut in Jordan with The Boulevard Arjaan by Rotana, located in the heart of Abdali, the new downtown of Amman. The property is situated at The Boulevard, a mixed-use development boasting residential, entertainment and business components, in close proximity to the capital’s major attractions and main venues. Kaddouri says these hotel apartments are a “new product in Amman”, and he is confident of “reaching our market share within the first year of operation”. December 2014 saw Rotana open a property on the brand new manmade Amwaj Islands development off the coast of Bahrain. The five-star Art Rotana has 311 rooms and suites, offers panoramic Gulf views, and targets business and leisure guests. “The extension of the Rotana brand into new markets represents an important achievement for our group,” says Kaddouri. “With a carefully considered international development strategy in place, we are constantly looking for growth opportunities and Jordan and Oman allowed us to extend our award-winning hospitality offering in these markets for the first time.” He adds: “We also launched a new brand last year - The Residences by Rotana - which meets market requirements, complements our existing portfolio and gives us the opportunity to expand.”
Rotana is unwavering in its determination to break into new markets and 2015 and 2016 will see the company stamp out its footprint in more first-time destinations including Turkey. “We are going global and are currently implementing an aggressive development strategy with a vision of 100 hotels by 2020,” reveals Kaddouri. “This strategy includes the extension of the Rotana brand and sub brands into new markets such as Iran, Turkey, Libya, Afghanistan, Tanzania, Mauritania, Morocco and Algeria. “In the Middle East and Africa, the target is 50 [new] Rotana properties, which will add 14,208 rooms to our existing 12,607–strong room count. “We will continue to achieve measured growth and realistic expansion in locations which are of interest to us, bringing our expertise to every future hotel, convention centre, serviced apartment or prime resort. “As a company, we will continue to pursue new openings and opportunities, fresh challenges, and partners who seek the same goals and share the same aspirations.” Kaddouri says by the time Rotana operates 100 hotels the company will have another 100 in the pipeline, “so we’ve got a very busy five years ahead of us”. “We will continue expanding organically overseas, following the same model that has clearly helped carve out a success story for the hotel group over the last 21 years,” he says. Deals for properties already inked in new destinations include four in Iran, with the first, the 362-room Rayhaan Hotels & Resorts property, due to open in 2017. Three more will follow by 2020. “Iran, Saudi Arabia, Africa and India are focus areas for Rotana going forward and we are busy trying to sign up new hotels in key destinations [across those countries and continents] where we are not present today,” says Kaddouri.
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The Cove Rotana Resort, RAK
Rotana will open its second property in Saudi Arabia any day now – the 250-room Rayhaan in Riyadh. “Having been present in KSA with one Makkah property for five years now, the company is ready to expand in one of the GCC’s most promising destinations, and diversify from the religious segment into the booming corporate market,” Kaddouri notes. “We have about seven properties signed in KSA, which will open over the next three to four years. We would also like to be present in Angola and Mozambique and hope to make some announcements soon.”
POSITIVE THINKING For a man overseeing a rapidly-expanding portfolio, with many new and existing properties operating in territories that are vulnerable to political instability, Kaddouri remains remarkably unfazed. “There will always be challenges but we remain positive,” he says. “We have been affected by unrest in some countries across the region but we are optimistic the situation will soon settle down.” The tourism industry in general is constantly adapting to changes in travel booking behaviour and guest demands, Kaddouri continues. “The latest economic turndown for instance and the growing influence of business travellers making short trips has shifted demand towards midscale, lifestyle budget hotels,” he says. “This has forced the major hotel chains to follow the trend and introduce budget or midscale hotels.” He describes Rotana as an “early adopter” of this hotel concept having launched Centro Hotels by Rotana in 2006, a brand offering the “ultimate solution for the new generation of traveller - one seeking finesse and functionality at reasonable rates”.
Above: Banader Rotana, Bahrain Left: Amman Rotana, Jordan
2014 MILESTONES AT A GLANCE • Salalah Rotana Resort officially opens its doors • Jordan debut with The Boulevard Arjaan by Rotana, Amman • Art Rotana opens on Bahrain’s new Amwaj Islands development • The Residences by Rotana brand launched • New online check-in facilities and tablet-delivered guest services
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“Centro redefines the concept of economical comfort by offering affordable, superior-class accommodation and hospitality with a stylish twist,” he adds. There are currently five Centro hotels with the goal of opening more by 2020 in locations including the Middle East, Turkey and Africa.
•
Boulevard Arjaan by Rotana, Amman, Jordan
TECHNOLOGY FOCUS Big picture plans aside Rotana took its guest experience to new levels last year by launching online check-in facilities and several tablet-delivered guest services. “Now our guests can check-in online via rotana.com and the Rotana Mobile App,” confirms Kaddouri. “They can then arrive at the hotel and simply collect their room key from a priority check-in desk exclusively reserved for online check-ins.” Kaddouri continues: “Smart systems and technology are helping our colleagues to perform more efficiently while simultaneously allowing us to mine information to enhance our operations even further – the end result will always be a better experience for our guests. “Technology today plays a huge role in boosting performance and ensuring we are a competitive and preferred brand in the markets in which we operate. “Today’s travellers are constantly connected but they have time constraints; they want information instantly and they value services that save time.” The customer demographic primarily driving this trend is undoubtedly Generation Y or the ‘Millennial’ traveller, adds Kaddouri. “It’s a generation on the go; Generation Y is looking for speed and accessibility and at Rotana we are working on many advanced technology platforms to make sure we meet these expectations.” Social media is has become one of the hospitality sector’s “strongest tools to enhance the experience and satisfaction of every single guest, improve operational efficiency by receiving positive and negative feedback, build solid trust and increase engagement”, he says. Rotana is therefore “heavily focused on social media” as a means of gleaning and managing guest reviews. “On TripAdvisor our reviews have increased by 370% since 2011,” says Kaddouri. “We have also introduced the Rotana Guest Satisfaction Survey, allowing guests to share their feedback after their stay, which is connected with TripAdvisors’s ’Review Direct’ capability.”
2015 OPENINGS • Boulevard Arjaan by Rotana, Amman, Jordan, (Q4, 2014): 391 suites; • Sedra Residences by Rotana, Qatar, (Q4, 2014): 250 rooms and suites; • ART Rotana, Bahrain, (Q4, 2014): 311 rooms and suites; • Banader Rotana, Bahrain, (Q2, 2015): 251 rooms, plus apartments; • Burgu Arjaan by Rotana, Istanbul, Maltepe (Q2, 2015): 222 hotel apartments; • Tango Arjaan by Rotana, Istanbul, Maltepe, (Q2, 2015): 188 hotel apartments; • City Centre Rotana, Doha, Qatar, (Q2, 2015): 287 rooms and suites plus 94 serviced apartments; • Centro Doha, Qatar, (Q2, 2015): 229 rooms; • Capital Centre Arjaan by Rotana, Abu Dhabi, (Q2, 2015): 259 studio rooms and suites and Rotana’s 14th property in Abu Dhabi; • Rosh Rayhaan by Rotana, Saudi Arabia, (Q2, 2015): 236 rooms and suites; • Capital Centre Rotana, Abu Dhabi, (Q3, 2015): 315 rooms; • Amman Rotana, Jordan (Q3, 2015): 412 rooms and suites.
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Burgu Arjaan by Rotana, Istanbul, Maltepe, Turkey
TIME for CHANGE
TIME Hotels is rapidly expanding its portfolio to keep pace with demand for value-for-money mid-market accommodation, offering a home-grown UAE brand that pairs cultural sensitivity with international hospitality standards, says the firm’s affable CEO, Mohamed Awadalla
F Mohamed Awadalla
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ledgling hospitality firm TIME Hotels Management forged ahead with its expansion strategy in 2014, opening four new properties in key markets across the region. In the UAE TIME opened Pearl TIME Residence and Meera TIME Residence, both in Abu Dhabi, and TIME Capital Hotel Apartments in downtown Ajman, taking its total property count across Dubai, Abu Dhabi and Sharjah to nine. TIME also debuted its brand outside the UAE, with the opening of The TIME Renero Resort and Suites Azzurra in Hurghada, Egypt, also marking the company’s foray in the five-star arena. “Opening new properties has not only boosted TIME’s physical presence in prime locations, but helped reinforce awareness and interest in the brand as the industry, our
“We are a home-grown brand that we are developing into one of the region’s major players by enforcing international standards in service and hospitality”
The upcoming Zakher TIME Residence, Abu Dhabi
TIME Renero Resort and Suites Azzurra, Hurghada
partners and our guests witness our expansion plans come to fruition,” explains TIME Hotels Management CEO Mohamed Awadalla. “We are a home-grown brand that we are developing into one of the region’s major players by enforcing international standards in service and hospitality. Our current portfolio and measured pace of development allows us to work on effective brand building to increase regional market penetration and position TIME Hotels for the future.”
The initiative was rolled out at TIME Oak Hotel & Suites and TIME Grand Plaza in Dubai with the aim of saving more than 320 tonnes of carbon emissions – or the equivalent of flying a fully occupied 60-seater airplane around the globe – at these two properties by April 2015. “The carbon-offsetting programme, which was launched during ATM 2014, received huge interest from the media and has been extremely well received by our clients,” says Awadalla. “Launching this initiative demonstrates our clear commitment to developing a portfolio of properties that not only offer exemplary service, value for money and great locations, but also endeavour to be an active part of the local community and supporter of global sustainability initiatives.”
TIME Oak Hotel & Suites in Al Barsha, Dubai
MID-MARKET NUANCES EMISSION MISSION TIME also launched the Middle East’s first ‘Hotel Stay Carbon Offset Programme’ in 2014 in a bid to reduce the group’s carbon emissions.
TIME has carved out a niche as a strong contender in the UAE’s mid-scale category in a short space of time, although Awadalla concedes a major challenge is competition from international brands that have the advantage of “global net-
Coo temperatures at Al Jabal Al Akhdar provides respite from the blazing summer heat
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TIME SETS ITS SIGHTS ON MEDICAL TOURISM MARKET TIME Hotels Managements plans to capitalise on Dubai’s burgeoning medical tourism market by opening a property just a few minutes from the city’s medical services hub – Dubai Healthcare City. The 277-room TIME Royal Hotel will be located on Sheikh Rashid Road close to luxury retail centre Wafi Mall. Owner Awtad Investment Company is ploughing AED 200 million ($54.5 million) into the property, which will open in 2016 and feature several rooms catering to guests with disabilities. “Dubai plans to position the emirate as a global medical tourism destination by 2020 with the Dubai Health Authority (DHA) targeting 500,000 medical tourists with expected revenues of AED 2.6 billion ($700 million),” said TIME Hotels CEO Mohamed Awadalla. “To support this ambitious strategy it is imperative Oud Metha’s hospitality capacity is enhanced as the area is currently underserviced in terms of hotel rooms.”
works and long-established partner relationships, as well as higher marketing spend”. “Conversely, being a local company works in our favour as there is a lot of on-the-ground support for regional brands,” he explains. The growth of midmarket sector presents both opportunities and challenges, he continues. “This is a ‘need’ segment region-wide and the number of three- and four-star properties is growing rapidly,” he says. “In 2014, Dubai alone registered more than 150 applications in response to new government initiatives designed to support the development of mid-market properties, but with land prices for prime city centre locations incredibly high, owners and prospective investors have historically been drawn towards luxury/five-star properties in order to justify return on investment. “We have to work hard to present a solid case for owner/investor commitment, but this is changing as the market evolves.” Awadalla identifies the UAE and Saudi Arabia as markets where demand for “value brands” is particularly strong, but travellers demand “quality properties from respected operators” that deliver on “cost, comfort and connectivity”, he says. “We believe demand for mid-scale hotels will grow more quickly than any other segment in the region, outpacing in particular, the growth in the luxury property sector,” he explains. “Middle East firms and business travellers are mindful of budgets with a high percentage of regional travellers actively seeking out non-alcoholic accommodation that not only offers value for money, but cultural comfort. “TIME also appeals to price sensitive markets such as transiting airline passengers and stopover budget tour groups.”
NEW NICHE MARKETS With budget sector growth top of mind, Awadalla is keen to pursue further portfolio expansion, having set the company a 16-property goal by 2016, covering both the hotel apartments and residences
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sectors. “We also feel there is room for more fivestar dry (non-alcohol, Sharia-compliant) hotels and resorts in the region, and so we are also exploring opportunities for increased representation in this important segment,” he reveals. “Another considerations is our strategy for planning market entry into destinations where TIME does not currently have a presence, such as Oman and Saudi Arabia, in order to broaden our geographic reach.” Another top priority is the roll out the firm’s new budget brand, TIME Express, with the first property to be located in Dubai. “The concept is city centre properties located in key gateway cities that target value-driven business travellers who are looking for no-frills quality accommodation with guaranteed high-speed internet access and basic business centre services,” Awadalla explains.
ON-GOING CONCERNS Although demand for mid-scale properties is rampant, ensuring TIME spreads its risk and increases brand awareness in a number of source markets is imperative, stresses Awadalla. Current macro-economic factors such as the collapse of the Russian ruble, Ukraine crisis and falling oil prices have forced the company – and the industry in general – to seek new business given the resulting decline in numbers from Russia and the CIS, he notes. “In addition, although ongoing regional conflicts have not particularly impacted the hospitality sector in the UAE in terms of GCC/Middle East business, the extended summer period, which covered both Ramadan and the usual summer vacation months, saw overall occupancy rates decline,” he says. “We are looking closely at the seasonality and stay patterns of our CIS and GCC/Middle Eastern guests as we move forward. "We will be seeking ways to maximise other source market opportunities to drive our occupancy levels and maximise revenues across all areas of the operation.”
TIME Royal Hotel
PORTFOLIO UPDATE TIME Hotels LLC currently manages the following properties: • TIME Oak Hotel & Suites in Al Barsha, Dubai • TIME Grand Plaza Hotel in Al Qusais, Dubai • TIME Opal Hotel Apartments, Dubai • TIME Crystal Hotel Apartments, Dubai • TIME Topaz Hotel Apartments, Dubai • TIME Ruby Hotel Apartments, Sharjah • Pearl TIME Residence, Abu Dhabi • TIME Renero Resort and Suites Azzurra, Hurghada • Meera TIME Residence, Abu Dhabi • TIME Capital Hotel Apartments, Ajman, There are 301 rooms and suites • TIME Royal Hotel, Wafi, Dubai Hotels in the pipeline:
• TIME TUT Hotel, Luxor • TIME Rako Hotel, Doha • Zakher TIME Residence, Abu Dhabi
I
Paramount Hotels & Resort is realising its ‘big picture’ plans, rolling out luxury Hollywood-themed properties on a truly global scale
n 2012, major Hollywood film studio Paramount Pictures lent its name to an ambitious hotel and theme park venture; Paramount Hotels & Resorts. The LA-based movie production company, part of Viacom Inc, sold the licence for the luxury hospitality brand to Dubai-based entrepreneur, Ghassan Aridi, the Chairman and CEO of Dubai-based Destination Management Company Alpha Tours and tourism and hospitality development consultancy, GAA Marta Consulting. Aridi was granted the purchase off the back of the consultancy firm’s facilitation of the US$1.5 billion Paramount Theme Park & Resort in Murcia, Spain. The plan is to roll out up to 50 more Hollywood- and Californian lifestyle-themed luxury hotels and resorts worldwide. Properties are already signed for Dubai, Riyadh, Boao and Langkawi, with hotel management agreements also being “actively negotiated” in the US, China, South Korea, Vietnam, Thailand, Malaysia, India, Russia, South Africa, Qatar, Jordan, Saudi Arabia, Turkey, Italy, the UK, Dominican Republic and Brazil. There are currently four properties under construction in Dubai in partnership with property development firm Damac. The Damac Towers by Paramount Hotels & Resorts Dubai, which will open in Q1, 2017, features 801 guest rooms and suites managed by Paramount Hotels & Resorts (PHR) and 1,140 serviced residences managed by Damac Maison. The development also includes another property, Paramount Hotel Dubai, Downtown, featuring 521 rooms and suites and 270 serviced residences, mooted to open in 2019. Additional Dubai properties include Damac Villas by Paramount Hotels & Resorts Dubai with 163 villas managed by Damac Maison, opening in Q2, 2016, and Paramount Hotel Dubai, Jumeirah Waterfront with 442 guest rooms and suites, managed by PHR, opening in 2018. Saudi Arabia will also be home to a PHR property by the first quarter of 2016, with the Damac Tower by Paramount Hotels & Resorts Riyadh featuring 235 serviced residences, managed by Damac Maison. Further afield and the 214-key Paramount Resort Langkawi, will feature rooms, suites and villas when it debuts in 2019. Here, Paramount Hotels & Resorts CEO Thomas Van Vliet (pictured left), outlines the aspirational brand’s DNA, core hospitality concept, and movie-inspired design features.
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Paramount Hotel Dubai
Q: How will you position the Paramount Hotels & Resorts brand and what kind of lifestyle does it emulate? Paramount Hotels & Resorts will position itself as an international luxury lifestyle hotel company. The brand will focus on attracting the creative classes, encompassing for instance, media, music, design, fashion, publishing and art, to name a few, but at the same time, appealing to those attracted to this type of environment and mindset. The Paramount Pictures logo, with its mountain and 22 stars, is synonymous with entertainment and creativity and following in its footsteps, Paramount Hotels & Resorts will create an innovative and refreshing guest experience.
The design team is working hard to develop a studio model that bears signatures of the Paramount brand, complemented by local influences and accents. Our hotels and resorts will offer a range of dynamic and sensory experiences that are unmistakable, unforgettable and therefore, not to be missed. Primary associations with the Paramount Pictures brand are linked to the word 'film' and include Paramount Pictures entertainment and technology, Hollywood glamour and the Californian lifestyle. This lifestyle can be defined as cosmopolitan, bold, a melting pot, al fresco, trendy, customised, cool, active, stylish, fresh, vibrant, organic and carefree, combined with the Hollywood lifestyle, defined
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Damac Tower by Paramount Hotels & Resorts Riyadh
as timeless, beautiful, red carpet, dramatic, theatrical, elegant and elite. Q: What key features will link the hospitality brand to the world of cinema? Each property will feature a designer or artist interpretation of the Paramount Pictures studio gate. The main lobby and other public areas will embody the iconic style one expects from a Hollywood studio with transformational elements applied such as digital signage, media mapping or movable walls, which combined will create a theatrical atmosphere. Throughout their stay, guests will be able to access an extensive Paramount Pictures movies library through a range of media and devices, including: iPads in limousines, the inroom home theatre, and LCD screens integrated into some of the work-out equipment in the fitness centres. Through apps, guests will also be able to connect to the latest ‘insider-news’ from the entertainment industry. Art featured in our future properties will be produced by both local and international artists and some will be based on photography linked to the Paramount Pictures studio, including images from back-stage and film production and areas of the studio not accessible to the general public. Each Paramount property will also feature a multifunctional luxury screening room with reserved ‘easy chair’ seating, complemented by innovative F&B offerings. This room will be used for Paramount Pictures film screenings, including premieres.
“Our hotels and resorts will offer a range of dynamic and sensory experiences that are unmistakable, unforgettable and therefore, not to be missed”
Paramount Hotel Dubai lobby
Q: What will be your service ethics and how will this compare to other brands in your high-end competitive set? Our cast, as we will call our employees, will provide an intelligent, attentive and personalised service. They will be encouraged to adapt and improvise.
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Damac Villas by Paramount Hotels & Resorts; master bedroom
Paramount Hotel Dubai, Jumeirah Waterfront
HOT PROPERTIES Damac Towers by Paramount Hotels & Resorts Dubai • 801 guest rooms and suites, managed by PHR • 1,140 serviced residences, managed by Damac Maison • Opening Q1, 2017 This development includes Paramount Hotel Dubai, Downtown • 521 guest rooms and suites, managed by PHR • 270 serviced residences with those in the rental pool managed by PHR • Opening 2019 Damac Tower by Paramount Hotels & Resorts Riyadh • 235 serviced residences, managed by Damac Maison • Opening Q4, 2015/Q1, 2016 Damac Villas by Paramount Hotels & Resorts Dubai • 163 villas, managed by Damac Maison • Opening Q2, 2016 Paramount Hotel Dubai, Jumeirah Waterfront • 442 guest rooms and suites, managed by PHR • Opening 2018 Paramount Resort Langkawi • 214 guest rooms, suites and villas, managed by PHR • Opening 2019
The service model will blend those practiced by brands such as The Ritz-Carlton, Four Seasons, The W and Andaz. We have developed an app that in future will allow both guests and potential guests to interact with the hotel pre-, during- and post-stay, allowing them to develop a personal relationship with staff and to ensure the checkin and check-out is seamless. Q: How will you ensure the hospitality experience you provide is consistent across all properties? Over the past two years, in collaboration with a number of highly creative consultants, we have developed our brand DNA, covering our brand concept references as well as our standards of operation (SOPs). Our hotel technical services, license and management agreements clearly define this brand DNA and the minimum standards associated with that, also including the key signature elements linked to the Paramount Hotels & Resorts brand. Our technical services agreement also outlines our preferred architects, interior designers and consultants for operations including F&B, wellness and fitness, the screening room, IT, media mapping/digital signage, lighting, and sustainable development. From a corporate perspective, during the pre-opening phase, the relevant Vice Presidents based at head office, and in future, in the regional offices, will work closely with the hotel owner or developer as well as engaged architects, interior designers and
consultants to ensure the hotel facilities will adhere to our brand standards. Of course, we have also developed our own guest feedback system, which will allow us in future to monitor exactly how our hotel teams deal with the upkeep of the standards we have set for facilities and services. Q: What’s your development strategy? We are eyeing capital and gateway cities, as well as key resort destinations located in established and emerging markets. Our main focus will be to develop stand-alone hotels, resorts and serviced residences, but we will also look at opportunities to develop resorts integrated with a casino or Paramount Theme Park. Initially we aimed to develop properties offering between 250 and 350 keys, however, last year we also signed up projects above this average, with one in Hainan, China, Paramount Resort Boao, set to feature 508 suites and our Downtown Dubai development property offering 840 rooms and suites plus 1,140 serviced residences. Q: What is your approach to F&B and spas? Do you plan any partnerships with big brands? As far as F&B is concerned our hotels and resorts will feature a mixture of our own concepts (all developed through a collaboration with F&B consultancy “Blau & Associates” from Las Vegas), for the main restaurant, lobby bar/lounge and club lounge, and collaborations with Californian chefs for one or more of our specialty restaurants. For instance, in Dubai, a market study revealed the need for an Italian restaurant, so we will create a partnership with a chef who has already established a strong Italian dining concept in California. We will liaise with GOCO Hospitality in Bangkok to develop our own wellness and fitness concepts but in the future we envisage using a third-party luxury spa operator.
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PIPE DREAMS Some of the region’s leading hotel groups provide an overview of their MENA property footprint and their ambitious pipeline plans
Sofitel Dubai Downtown
ACCOR THE PORTFOLIO 69 PROPERTIES, 8 BRANDS • Sofitel 12 • Pullman 4 • M Gallery 1 • Grand Mercure 2 • Novotel 15 • Mercure 17 • Adagio 3 • Ibis 15
2014 OPENINGS Majilis Grand Mercure Harithia Hotel, KSA (354 keys) Novotel Fujairah Town Centre (182 keys) Novotel Abu Dhabi Al Bostan (136 keys) Ibis Yanbu, KSA (196 keys) Adagio Fujairah Town Centre (72 keys) Ibis Fujairah Town Centre (180 keys) Sofitel Dubai Downtown (350 keys) Adagio Abu Dhabi Al Boston (279 keys) Majilis Grand Mercure Residence Abu Dhabi (198 keys) Adagio Premium Doha West Bay (130 keys)
2014 BRAND LAUNCH Accor launched the Majilis Grand Mercure brand in 2014. It’s described as a ‘glocal’ concept, mixing global know-how with local culture, tailor-made to suit Middle Eastern guests and also international customers seeking authenticity. All aspects of the property are localised, from uniforms to greetings. The brand has been developed under the Grand Mercure umbrella and is positioned in the upscale five-star segment. Accor has successfully developed the same concept in Asia Pacific with Grand Mercure Mei Jue, in China, Grand Mercure Maha Cipta in Indonesia, Grand Mercure Manee Pura in Thailand, and Grand Mercure Samsara in India.
THE PIPELINE
BAHRAIN • Ibis Manama Seef (304 keys) EGYPT • Novotel Marsa Alam Resort (268 keys) • Mercure Karnak Luxor (347 keys) KSA • Suite Novotel Riyadh Dyar, KSA (88 keys) • Pullman Zam Zam Madinah, KSA (834 keys) • Sofitel Jeddah Corniche (189 keys) • Novotel Jeddah Tahlia Street UAE • Pullman Dubai Jumeirah Lake (354 keys) • Adagio Dubai Al Barsha, UAE (199 keys) • Ibis Styles Dragon Mart, UAE (249 keys)
39 PROPERTIES, 8 BRANDS
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• Sofitel 3 • Pullman 2 • M Gallery 1 • Grand Mercure 1 • Novotel 9 • Mercure 2 • Adagio 8 • Ibis 15
2015 BRAND LAUNCH Accor will debut its Ibis Styles brand in 2015, which belongs to its economy category. These hotels, located close to city centres, are stylish and trendy and promise “simplicity, comfort, quality and conviviality”. The budget urban brand is distinctive for its inclusive all-you-can-eat breakfast package and free Wi-Fi. The Middle East’s first Ibis Styles will be attached to Dubai’s new Dragon Mart development. The second, Ibis Styles Business Bay, also in Dubai, will open in 2017.
The penthouse suite at Fairmont Ajman
FAIRMONT, RAFFLES AND SWISSÔTEL THE PORTFOLIO 8 PROPERTIES, 3 BRANDS (MEA and India) Fairmont Hotels & Resorts • Middle East 8 • Africa 5 • India 1
14
Raffles Hotels & Resorts • Middle East 2 • Africa 1
3
Swissôtel Hotels & Resorts • Middle East 1 • India 1
2
BAHRAIN DEBUT Work is underway on the new Fairmont Bahrain Resort, which is expected to open in 2018. The five-star property is part of the Al Jazair mixed-use project and is the result of a MoU signed by Bahrain’s sovereign wealth fund, the Bahrain Mumtalakat Holding Company and FRHI Hotels and Resorts. Fairmont Bahrain Resort will feature 215 guestrooms and chalets, Fairmont Gold – the brand’s signature ‘hotel within a hotel’ concept – and more than 2,000 square metres of meeting and event space.
• Fairmont Marina Resort, Abu Dhabi • Swissotel Al Jadaf, Dubai
AFRICA • Fairmont Lagos, Nigeria
KSA • Fairmont Riyadh, Business Gate • Fairmont Jeddah • Raffles Jeddah • Swissotel Jeddah
2015 OPENINGS • Fairmont Ajman (252 keys)
BAHRAIN • Fairmont Bahrain Resort EGYPT • Fairmont Citystars Sharm El Sheikh • Raffles Citystars Sharm el-Sheikh • Swissotel Citystars Sharm el- Sheikh
AN AJMAN FIRST FRHI Hotels and Resorts was set to open its first property in Ajman on May 1, 2015, featuring 252 guest rooms and suites. Fairmont Ajman, located on the emirate’s bustling Corniche, also boasts a 200-metre beach, infinity pool, seven meeting venues, one of the largest ballrooms in the emirate and a fitness centre and spa including an authentic hammam experience. There are eight F&B outlets spanning a Turkish restaurant, Arabian nightclub, Italian restaurant, sunset terrace, lobby café, poolside bar and cocktail lounge.
JORDAN • Fairmont Amman, Jordan
The Fairmont Gold concept will be rolled out at Fairmont Bahrain Resort
PIPELINE 14 PROPERTIES, 3 BRANDS UAE • Fairmont Ajman, Ajman • Fairmont Fujairah, Fujairah
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HILTON WORLDWIDE THE PORTFOLIO 51 PROPERTIES, 17,075 ROOMS, 5 BRANDS (Middle East portfolio including Egypt as of December 31, 2014)
• Waldorf Astoria Hotels & Resorts • Conrad Hotels & Resorts • Hilton Hotels & Resorts • DoubleTree by Hilton • Hilton Garden Inn 2014 OPENINGS • DoubleTree by Hilton Hotel Dhahran, KSA (153 keys • Hilton Al Hamra Beach & Golf Resort, RAK (265 keys) • Hilton Suites Makkah (480 keys) • DoubleTree by Hilton Hotel & Residences Dubai – Al Barsha (359 keys) • DoubleTree by Hilton Hotel Dubai – Jumeirah Beach (110 keys) • DoubleTree by Hilton Hotel Zanzibar – Stone Town, Tanzania (58 keys) 2014 BRAND LAUNCH Curio – A Collection by Hilton, launched globally in June 2014, with the very first Middle East property set to open at the soon-to-be-opened Mall of Qatar in Doha in 2016. Curio is a global collection of distinctive four- to five-star hotels with local cultural offerings woven into the fabric of each property. In 2014 Hilton also launched the Canopy by Hilton brand globally, which aims to “redefine the hotel lifestyle category, offering simple guest-directed service, comfortable spaces and features that reflect the local culture of the destination”. Dubai, Abu Dhabi, Muscat, Beirut and Bahrain are potential markets for this brand.
Hilton Dead Sea Resort & Spa
THE PIPELINE 59 PROPERTIES, 19,440 ROOMS, 6 BRANDS (Middle East portfolio including Egypt as of December 31, 2014)
• Waldorf Astoria Hotels & Resorts • Conrad Hotels & Resorts • Hilton Hotels & Resorts • DoubleTree by Hilton • Curio – A Collection by Hilton • Hilton Garden Inn
2015 BRAND LAUNCH This year will see the launch of the mid-scale Hilton Garden Inn brand in the UAE, with two properties opening in Dubai in Q4 – the 182-room Hilton Garden Inn Dubai Al Mina and 183room Hilton Garden Inn Dubai Al Muraqabat. A third Garden Inn property, Hilton Garden Inn Mall of the Emirates, will open in 2016.
2015 OPENINGS • Hilton Dead Sea Resort & Spa, Jordan (285 keys) • Hilton Alexandria King's Ranch, Egypt (199 keys) • DoubleTree by Hilton Doha - Old Town (187 keys) • Hilton Garden Inn Dubai Al Mina, Dubai (182 keys) • Hilton Garden Inn Dubai Al Muraqabat (183 keys) Hilton Garden Inn Dubai Al Muraqabat
KSA • DoubleTree by Hilton Riyadh - Al Muroj Business Gate (223 keys) • Hilton Garden Inn Tabuk, (104 keys) Hilton Dead Sea Resort & Spa, Jordan
Curio – A Collection by Hilton
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• Hilton Riyadh Granada Business Park (conference centre only) • Hilton Riyadh Hotel & Residences (864 keys)
Hilton Garden Inn Dubai Al Muraqabat
HMH – HOSPITALITY MANAGEMENT HOLDINGS THE PORTFOLIO
Coral Muscat Hotel & Apartments
15 PROPERTIES, 4 BRANDS • Five-star The Ajman Palace Hotel • Coral 12 • Corp 1 • EWA 2
BRAND REFRESHMENT HMH has conceived a new brand identity for Coral Hotels & Resorts (pictured above), which is currently being rolled out across all properties.
THE PIPELINE
LEBANON • Coral Beirut Concorde Hotel (61 keys)
6 PROPERTIES, 2 BRANDS All opening in 2015
• Coral 4 • EWA 2
OMAN • Coral Muscat Hotel & Apartments (88 keys) SUDAN • EWA Port Sudan Hotel & Apartments (84 keys) • EWA Khartoum Hotel & Apartments (72 keys)
KSA • Coral Al Madina Hotel (400+ keys)
UAE • Coral Dubai Sports City Hotel & Apartments, Dubai (304 keys) FLAGSHIP PROPERTY Coral Muscat Hotel & Apartments is being hailed HMH’s flagship property in Muscat. Located in Qurum, the deluxe four-star property is part of a shopping arcade and multiplex and features 88 furnished apartments.
HYATT HOTELS THE PORTFOLIO
Grand Hyatt Abu Dhabi Emirates Pearl
10 PROPERTIES, 5 BRANDS (GCC) • Hyatt Regency • Grand Hyatt • Park Hyatt • Hyatt Place • Hyatt Hotel
2 3 2 1 2
BRAND DEBUT In 2014 Hyatt unveiled its first Hyatt Place property in the GCC – The Hyatt Place Dubai Al Rigga with 210 rooms. First launched in 2006, the Hyatt Place brand combines “stylish design and practical amenities” to create a “forward-thinking guest experience”. Rooms feature multiple areas for work and relaxation including the Cozy Corner and plus Hyatt Grand Bed. Facilities and services include a 24/7 Gallery Market featuring grab ‘n’ go snacks plus the Odds & Ends programme allowing guests to buy or borrow items they have forgotten.
THE PIPELINE 4 PROPERTIES, 3 BRANDS (GCC) • Grand Hyatt • Hyatt Regency • Hyatt Place
1 2 1
KSA Hyatt Regency Riyadh Hyatt Regency Makkah UAE Hyatt Place Dubai Baniyas Square Grand Hyatt Abu Dhabi Emirates Pearl
The Gallery Market at The Hyatt Place Dubai Al Rigga ATM YEARBOOK 2015 | 171
Hotel Indigo Riyadh KAFD
INTERCONTINENTAL HOTELS GROUP (IHG) THE PORTFOLIO
2015 OPENINGS UAE • InterContinental Dubai Marina (328 keys)
77 PROPERTIES, 5 BRANDS • InterContinental Hotels & Resorts • Crowne Plaza Hotels & Resorts • Holiday Inn Hotels & Resorts • Holiday Inn Express • Staybridge Suites
Holiday Inn Makkah
26 21 21 5 3
2014 OPENINGS Holiday Inn Abu Dhabi Downtown (257 keys) Holiday Inn Muscat Al Seeb (185 keys) Holiday Inn Cairo Maadi, Cairo (172 keys) DWC DOUBLE WHAMMY In 2014 IHG signed two properties at Dubai World Central (DWC), close to Al Maktoum International Airport; Staybridge Suites Dubai World Central and Holiday Inn Dubai World Central.
THE PIPELINE 28 PROPERTIES, 5 BRANDS • InterContinental Hotels & Resorts • Crowne Plaza Hotels & Resorts • Holiday Inn Hotels & Resorts • Staybridge Suites • Hotel Indigo
9 4 7 6 2
KSA • Holiday Inn Jeddah Gateway (180 keys) • Hotel Indigo Riyadh – King Abdullah Financial District (209 keys) • Holiday Inn Makkah Al Aziziah (1,226 keys) • InterContinental – King Abdullah Financial District (220 keys) • Crowne Plaza Riyadh (326 keys) BRAND LAUNCH IHG’s boutique Hotel Indigo brand will debut in the Middle East this year with the opening of Hotel Indigo Riyadh in the city’s King Abdullah Financial District (KAFD). Hotel Indigo offers guests the individuality of a boutique hotel but with the benefits and reassurance of one of the world's largest hotel companies supporting it. Every Hotel Indigo property is designed to reflect the identity of its local neighbourhood and is unique to its surroundings. The beauty of Hotel Indigo is that no two hotels are the same, offering guests with a stay as unique as their travel destination. WORLD’S LARGEST HOLIDAY INN Holiday Inn Makkah Al Aziziah will boast 1,226 rooms when it opens near Makkah’s business centre later this year, staking claim to the ‘world’s largest Holiday Inn’ title.
JUMEIRAH GROUP Venu Bluewaters Island
THE PORTFOLIO 11 PROPERTIES, 1 BRAND • Burj Al Arab, Jumeirah • Jumeirah Emirates Towers • Jumeirah Beach Hotel • Al Qasr Hotel • Mina A’Salam • Dar Al Masyaf & Malkiya Villas • Jumeirah Zabeel Saray • Jumeirah Creekside Hotel • Jumeirah at Etihad Towers, Abu Dhabi • Jumeirah Messilah Beach Hotel, Kuwait • Pera Palace Hotel, Jumeirah * The group also operates the Jumeirah Living World Trade Centre Residences
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KEMPINSKI HOTELS & RESORTS The Marsa Malaz Kempinski, The Pearl Burj Rafal Hotel Kempinski, Riyadh
THE PORTFOLIO 12 PROPERTIES, 1 BRAND • UAE 4 • Jordan 3 • Qatar 2 • KSA 1 • Egypt 2 2014 OPENINGS Burj Rafal Hotel Kempinski, Riyadh (349 keys) Marsa Malaz Kempinski, The Pearl, Qatar (278 keys)
BRAND LAUNCH Jumeirah Group unveiled its new lifestyle hotel brand, Venu, in 2014, a concept it says is inspired by the spirit of Dubai: “bold, ambitious, energetic and cosmopolitan, infused with a can-do attitude and a powerful blend of style and substance”. The first Venu hotel deal has been inked with Meraas Holding for a property on Bluewaters Island. Venu Bluewaters Island will comprise around 300 rooms plus 119 serviced apartments and is due to open in 2017. BRAND LAUNCH Jumeirah Group signed a management agreement with Targets Investment Turizm Isletmeleri AS to operate a luxury hotel in Bodrum on Turkey’s Aegean coast at time of press. Under deal terms the hotel, formerly known as the Golden Savoy, will be operated under the Jumeirah brand as Jumeirah Bodrum Palace Hotel, and is scheduled to open on May 1 this year.
FIRST FIVE-STAR ON THE PEARL The Marsa Malaz Kempinski, The Pearl, Qatar, soft-opened in Q4, 2014. It’s the first five-star hotel for Doha’s offshore Pearl development and Kempinski’s second property in Qatar.
THE PIPELINE 4 PROPERTIES, 1 BRAND • Egypt 1 • Lebanon 1 • Oman 1 • KSA 1
2015 OPENINGS • Kempinski Royal Maxim Cairo, Egypt (244 keys) • Summerland Kempinski Resort, Beirut (151 keys) TWO MORE IN 2016 Kempinski will open two properties in early 2016, the 218-room Al Othman Hotel Kempinski, Al Khobar, KSA and the highly anticipated Kempinski Hotel The Wave, Muscat, in Oman, with 209 keys. implemented across the entire portfolio.”
THE PIPELINE 7 PROPERTIES, 2 BRANDS • Jumeirah at Saraya Bandar Jissah, Oman (two hotels) • Jumeirah Marrakech Golf & Polo Resort, Morocco • Jumeirah at Saraya Aqaba, Jordan • Madinat Jumeirah, Dubai – fourth hotel (430 rooms) • New hotel by Jumeirah Beach Hotel, Dubai • Jumeirah Gamsha Bay Resort, Egypt • Venu Bluewaters, Dubai
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MARRIOTT INTERNATIONAL • Marriott Executive Apartments Dubai City Walk (68) • Lapita Hotel, Autograph Collection (500 keys) • Bulgari Dubai (100 keys) • Edition Abu Dhabi (244 keys)
Habtoor Grand Beach Resort & Spa, Autograph Collection, Dubai
THE PORTFOLIO 160 PROPERTIES, 9 BRANDS (MEA) • The Ritz-Carlton Hotel Company 9 • JW Marriott Hotels 5 • Marriott Hotels 16 • Renaissance Hotels 3 • Autograph Collection Hotels 1 • Courtyard by Marriott 5 • Residence Inn by Marriott 3 • Marriott Executive Apartments 5 • Protea Hotels 113 2014 OPENINGS • Marriott Al Jaddaf Dubai (352 keys) Marriott Executive Apartments Dubai Al Jaddaf (128 keys) • JW Marriott Marquis Dubai tower two (804 keys) • Residence Inn by Marriott Kuwait (142 keys) • Residence Inn by Marriott Jazan (79 keys) • Courtyard by Marriott Abu Dhabi World Trade Center (195 keys) • Marriott Marquis Doha City Center (577 keys) TWO 2014 FIRSTS Marriott Al Jaddaf Dubai was the first on brand Marriott Hotel in the Middle East and Africa as per the new brand standards, while the Marriott Marquis Doha City Centre, represented the first Marriott Marquis to open outside the US.
THE PIPELINE 59 PROPERTIES, 11 BRANDS UAE • Habtoor Grand Beach Resort & Spa, Autograph Collection (446 keys) • Marriott Executive Apartments Abu Dhabi Airport Rd (64 keys) • Abu Dhabi Marriott Hotel Airport Road (379 keys) • Renaissance Dubai Business Bay (298 keys) • Dubai Marriott Hotel City Walk (86 keys)
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KSA • Makkah Marriott Hotel (426 keys) • Ritz-Carlton Jeddah (568 keys) • Courtyard by Marriott Riyadh (238 keys) • Residence Inn by Marriott Dammam (140 keys) • Jeddah Marriott Hotel (283 keys) • Courtyard by Marriott Riyadh North Ring (170 keys) • Courtyard by Marriott Riyadh Financial Center (155 keys) • Riyadh Marriott Hotel Diplomatic Quarter (80 keys) • Marriott Executive Apartments Diplomatic Quarter (140 keys) • Courtyard by Marriott Al Khobar (200 keys) • Residence Inn by Marriott Al Khobar (80 keys) • Al Khobar Marriott Hotel (200 keys) • Marriott Executive Apartments Al Khobar (80 keys) • Courtyard by Marriott Makkah (358 keys) • JW Marriott Hotel Makkah (573)
Marriott Marquis Doha City Centre
OMAN • JW Marriott Hotel Muscat Convention Center (320 keys) DOHA • JW Marriott Hotel Doha (297 keys) EGYPT • Nile Ritz-Carlton, Cairo (327 keys) • Mena House Cairo (361 keys) AFRICA • Marriott International has 31 properties in its Africa pipeline spanning 10 countries: Ethiopia, South Africa, Algeria, Tunisia Rwanda, Ghana, Nigeria, Morocco, Mauritius and Uganda. 2015 DEBUTS Brand and market debuts for 2015 include: • Makkah Marriott Hotel – new market entry in Makkah • Protea Hotel Kigali – new market entry Rwanda • Courtyard by Marriott Abu Dhabi World Trade Center – new brand entry for Abu Dhabi • Habtoor Grand Beach Resort & Spa, Autograph Collection – new brand entry for the MEA region
M Hotel, Makkah
MILLENNIUM & COPTHORNE Studio M Riyadh
Bab Al Qasr by Millennium
budget boutique brand Studio M in 2014. The hotel’s philosophy is “everything a guest requires for their stay and none of the things they don’t”. Key room features include a signature bed, over-sized TV and a “fantastic” media entertainment system while F&B offerings are designed to meet the needs of a “modern traveller on the move” with an urban express café and 24/7 dining concept. Two properties are pipelined – Studio M Hotel Dubai and Studio M Hotel Riyadh.
THE PIPELINE 30 PROPERTIES, 8 BRANDS • Biltmore 2 • Grand Millennium 3 • Millennium 13 • Millennium Executive Apartments 2 • Copthorne 3 • Studio M 2 • Kingsgate 3 • M Hotel 2
THE PORTFOLIO
UAE • Biltmore Hotel Bateen Marina Abu Dhabi • Bab Al Qasr Hotel by Millennium, Abu Dhabi • Millennium Hotel Fujairah • Millennium Golf Resort Al Ain
19 PROPERTIES, 5 BRANDS • Grand Millennium 4 • Millennium 7 • Millennium Executive Apartments 1 • Copthorne 5 • Kingsgate 2 2014 OPENINGS Grand Millennium Sulaimani, Iraq (253 keys) Millennium Taiba Hotel Madina (208 keys) BRAND LAUNCH Millennium & Copthorne launched the three-star
KSA • Biltmore Hotel Riyadh • Grand Millennium Hotel Riyadh • Grand Millennium Hotel & Apartments, Jeddah • Studio M Hotel Barsha, Dubai • Millennium Hotel Jizan • Millennium Hotel Makkah • Millennium Riyadh Hotel • Copthorne Hotel Makkah • Studio M Hotel Riyadh • M Hotel Makkah • M Hotel Madina • Millennium Al Aqeeq Hotel
• Millennium Hotel Hail • Millennium Al Baha Hotel • Millennium Tabuk Hotel • Copthorne Bakkah Hotel • Kingsgate Hotel Al Henawy • Kingsgate Hotel Al Safa • Kingsgate Hotel Al Aziziya OMAN • Grand Millennium Hotel Muscat • Millennium Executive Apartments Marina • Millennium Executive Apartments Muscat • Copthorne Hotel Muscat QATAR • Millennium Plaza Doha KUWAIT • Millennium Hotel & Convention Centre GEORGIA • Millennium Tbilisi Hotel 2015 OPENINGS • Millennium Executive Apartments Muscat, Oman • Millennium Hotel Fujairah, UAE • Millennium Hotel Hail, KSA • Bab Al Qasr by Millennium, Abu Dhabi, UAE • Millennium Hotel & Convention Centre, Kuwait • Millennium Executive Apartments Dubai Marina, UAE • Millennium Plaza Hotel Doha, Qatar • M Hotel Makkah, KSA • Millennium Al Aqeeq, Madina, KSA • Grand Millennium Muscat Hotel, Oman • Copthorne Hotel Muscat, Oman • Studio M Riyadh, KSA FIRST M HOTEL M is a mid-upscale ‘hip’ hotel targeting today’s modern traveller. M hotels are “relaxing havens” found in urban locations and combine contemporary design with local influences. The first M Hotel will open in Makkah, Saudi Arabia, this year.
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MÖVENPICK HOTELS & RESORTS THE PORTFOLIO 27 PROPERTIES, 1 BRAND • Bahrain 1 hotel • Jordan 5 hotels • Kuwait 2 hotels • Lebanon 1 hotel • Qatar 2 hotels • Saudi Arabia 9 hotels • UAE 6 hotels • Yemen 1 hotel
THE PIPEPLINE 6 PROPERTIES, 1 BRAND Mövenpick Hotel Apartments Downtown Dubai
• Mövenpick Hotel Riyadh (433 keys)
• Mövenpick Hotel City Star Jeddah (230 keys) • The Mövenpick Hotel Apartments Downtown Dubai (246 keys) • Mövenpick Hotel Dubai Media City (246 keys) • Mövenpick Residences Al Khobar (270 keys) • Mövenpick Hotel Financial District Riyadh (353 keys) 2015 OPENINGS Mövenpick Hotel Riyadh (433 keys) Mövenpick Hotel City Star Jeddah (230 keys) RIYADH DEBUT The Mövenpick Hotel Riyadh, opening this year, is the company’s first property in the Saudi capital. Located on Al Fahd Road in Riyadh’s business district of Riyadh, this contemporary business property will boast 433 upscale guest rooms and suites and an extensive ballroom with superior bridal suite.
PREMIER INN INTERNATIONAL THE PORTFOLIO 5 PROPERTIES, 1,356 ROOMS, 1 BRAND • Premier Inn Dubai Investments Park, • Premier Inn Dubai Silicon Oasis • Premier Inn Dubai International Airport • Premier Inn Abu Dhabi Capital Centre • Premier Inn Abu Dhabi International Airport BRAND LAUNCH In 2014 the company launched the Hub by Premier Inn hotel concept designed with Generation Y in mind. The first Hub by Premier Inn opened in Covent Garden, London, at the end of the year (www.hubhotels.co.uk).
THE PIPELINE 7 PROPERTIES, 1,311 ROOMS, 1 BRAND • Premier Inn Sharjah King Faisal Street (168 keys) Premier Inn Doha Airport
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• Premier Inn Doha Education City (219 keys) • Premier Inn Doha Airport (102 keys) • Premier Inn Muscat Al Qurum Beach (150 keys) • Premier Inn Dubai Ibn Battuta Mall (372 keys) • Premier Inn Jubail Downtown, KSA (200 keys) • Premier Inn Jeddah Industrial City, KSA (100 keys) 2015 OPENINGS Premier Inn Sharjah King Faisal Street will open in Q2 this year, featuring 168 rooms, two meeting rooms, a Costa Coffee outlet, an all-day dining restaurant, room service, a gym and a business centre. All rooms feature the comfy ‘Hypnos’ bed, with a choice of pillows, as well as complimentary Wi-Fi. DOUBLING UP Premier Inn has confirmed the Middle East is key to its international growth strategy, setting its sights on a portfolio of 2,667 rooms across a dozen properties in next three years, up from 1,356 operating rooms
today in Abu Dhabi and in Dubai. This equates to seven additional hotels comprising 1,331 midmarket rooms in four countries, spread over six cities – Doha (Qatar), Jeddah (Saudi Arabia), Jubail (Saudi Arabia), Muscat (Oman), alongside Sharjah and Dubai in the United Arab Emirates (UAE). Premier Inn Sharjah
REZIDOR HOTEL GROUP • Radisson Blu Hotel & Residence, Unaizah Al-Fah
Park Inn by Radisson Jumeirah Village Triangle
OMAN • Radisson Blu Hotel & Resort Sohar UAE • Radisson Blu Hotel Ajman • Park Inn by Radisson Dubai Al Jadaf • Radisson Blu Residence, Dubai Marina Docks • Park Inn by Radisson Residence Jumeirah Village Triangle • Park Inn by Radisson Hotel Dubai Motor City 2015 OPENINGS • Radisson Blu Hotel, Sharm el Sheikh Lagoons (913 keys) • Radisson Blu Hotel Sohar (179 keys)
THE PORTFOLIO 30 PROPERTIES, 3 BRANDS • Radisson Blu (Including Radisson Royal) • Park Inn by Radisson • Quorvus Collection
24 5 1
2014 OPENINGS Radisson Blu Hotel Dhahran, Saudi Arabia (74 suites) Park Inn by Radisson Hotel & Residence Duqm (73 units) TWO NEW BRANDS Carlson Rezidor hotel Group launched two new global hotel brands in 2014. Radisson Red is an upscale ”lifestyle select” brand, designed and developed to “deliver today’s customer the experience of tomorrow”. It focuses on design and detail, the customer experience, personal interaction, personal choice and recognises the important role technology now plays in everyday life. The Quorvus Collection is an expertly curated collection of luxury hotels. Each will be individual in style, design, heritage, history and architecture.
• Radisson Blu Plaza Residence, Jeddah • Radisson Blu Hotel & Residence, Jeddah Corniche • Radisson Blu Red Sea Palace Hotel Jeddah • Radisson Blu Hotel & Residence Jeddah Gate • Park Inn by Radisson Hotel Jeddah Al Basateen • Park Inn by Radisson Hotel Makkah Aziziyah • Park Inn by Radisson Hotel Riyadh • Radisson Blu Hotel Riyadh Ring Road • Park Inn Residence Riyadh Al Sahafa • Radisson Blu Residence Riyadh's Diplomatic Quarter • Radisson Blu Hotel Riyadh RICEC • Park Inn by Radisson Riyadh Nasiriyah
UAE • Park Inn by Radisson Residence Dubai Al Barsha Residence (90 units) • Park Inn by Radisson Dubai Deira Residence KSA • Park Inn by Radisson Dammam (90 keys) • Radisson Blu Plaza Residence, Jeddah (120 units) • Blu Red Sea Palace Hotel, Jeddah (261 keys) • Radisson Blu Resort Jizan (151 keys) • Park Inn by Radisson Riyadh Olaya • Park Inn by Radisson Duqm Hotel and Residence The Park Inn by Radisson Riyadh
THE PIPELINE 25 PROPERTIES, 2 BRANDS BAHRAIN • Park Inn by Radisson Manama EGYPT • Radisson Blu Hotel Cairo, Nasr City • Radisson Blu Sharm el Sheikh Lagoon KSA • Radisson Blu Resort, Al Khobar Al Aziziya • Radisson Blu Hotel & Residence Al Salamah • Park Inn by Radisson Hotel & Residence Jeddah
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ROTANA Tango Arjaan by Rotana
THE PIPELINE 10 PROPERTIES, 5 BRANDS
THE PORTFOLIO
ART Rotana, Bahrain (311 keys) Sedra Residences by Rotana, Qatar (250 rooms)
50 PROPERTIES, 5 BRANDS • Rotana Hotels & Resorts • Centro Hotels by Rotana • Rayhaan Hotels & Resorts by Rotana • Arjaan Hotel Apartments by Rotana • The Residences by Rotana 2014 OPENINGS Salalah Rotana, Oman (400 keys) Hili Rayhaan by Rotana, Al Ain (254 keys) Boulevard Arjaan by Rotana, Amman (391 suites)
The Boulevard Arjaan by Rotana, Amman
24 5 6 13 2
AMMAN DEBUT The 2014 opening of Boulevard Arjaan by Rotana marked the group’s Amman debut, showcasing a modern all-suite property with facilities catering to long-term guests and families. It is located in the heart of the new downtown, Abdali, which is the largest, single vacant plot in the centre of Amman spanning 35 hectares.
• Rotana Hotels & Resorts • Centro Hotels by Rotana • Rayhaan Hotels & Resorts by Rotana • Arjaan Hotel Apartments by Rotana • The Residences by Rotana
18 13 7 14 2
2015 OPENINGS • Banader Rotana, Bahrain (251 keys) • Burgu Arjaan by Rotana, Istanbul (158 keys) • Tango Arjaan by Rotana, Istanbul (153) • City Centre Rotana, Doha (381 keys) • Centro Doha (229 keys) • Capital Centre Arjaan by Rotana, Abu Dhabi (259 keys) • Rosh Rayhaan by Rotana, Riyadh (236 keys) • Dalga Residences by Rotana (138 keys) • Kinshasa Arjaan by Rotana (101 keys) • Centro Shaheen, Jeddah (248 keys) TURKISH DELIGHT Rotana will enter the Turkish market with three properties in Istanbul’s Maltepe district this year. The Burgu Arjaan by Rotana, opening in Q2, is pitched at business and leisure travellers, divided across two towers and featuring 158 hotel apartments. Located on the same coastal lane, the Tango Arjaan by Rotana, also opening in Q2, will boast 153 hotel apartments suitable for long-term guests and families with leisure facilities including a kids club, swimming pool and Bodylines Fitness Centre. Located next to both properties, the Dalga Residences by Rotana will open in Q4 this year. Designed as a homeaway-from-home, the residences will feature 138 studios and one- and two-bedroom apartments.
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RITZ-CARLTON THE PORTFOLIO 8 PROPERTIES, 1 BRAND • The Ritz-Carlton, Bahrain in Manama • Al Bustan Palace in Muscat • Sharq Village & Spa in Doha
• The Ritz-Carlton, Doha in Doha • The Ritz-Carlton, Riyadh • The Ritz-Carlton, Dubai in Dubai • The Ritz-Carlton, Dubai International Financial Centre in Dubai • The Ritz-Carlton Abu Dhabi, Grand Canal in Abu Dhabi
Revamped kids' facilities at The Ritz-Carlton Dubai
DUBAI REFURB The refurbishment of the company’s landmark property on JBR Walk, The Ritz-Carlton Dubai, was completed in 2014, adding 146 new guestrooms and suites. The hotel upgraded facilities and in order to meet the growing demand of family travellers, the resort’s renowned tropical meandering pools, water activities and the Ritz Kids Club were enhanced.
THE PIPELINE 2 PROPERTIES, 1 BRAND • The Nile Ritz-Carlton, Cairo • The Ritz-Carlton, Jeddah 2015 OPENINGS • The Nile Ritz-Carlton Cairo (331 keys) • The Ritz-Carlton, Jeddah (224 keys) PALATIAL PRESENCE The Ritz-Carlton, Jeddah, located on Al Hamra Corniche, will be designed like a monumental palace. Opening this summer, it’s the second hotel the company operates in the kingdom for the Ministry of Finance. It will feature 224 rooms including 20 royal suites, four dining outlets, plus MICE facilities covering some 63,356 square metres.
WYNDHAM HOTEL GROUP THE PORTFOLIO 39 PROPERTIES, 6 BRANDS • Wyndham Hotels and Resorts • Hawthorn Suites by Wyndham • Ramada • Days Inn • Howard Johnson • Super 8 SUPER 8 DEBUT Wyndham Hotel Group debuted its economy brand Super 8 in the Middle East last May. The Super 8 Riyadh is part of a master development agreement with Saudi Automotive Service Company (SASCO) for 20 Super 8 properties in KSA over the next five years. The economy brand spans more than 1,400 hotels in the US.
THE PIPELINE 16 PROPERTIES, 5 BRANDS (MEA) • Wyndham Hotels and Resorts • Hawthorn Suites by Wyndham • Ramada
Wyndham Dubai Marina • Days Inn • TRYP by Wyndham 2015 OPENINGS • Ramada Encore Dar es Salaam (116 keys) • Days Hotel & Suites Jazan, KSA (52 keys) • Ramada Resort Dar es Salaam (136 keys) • Ramada Jeddah Al Hamra (165 keys) • Ramada Manama City Centre (140 keys) • Ramada Addis Ababa (136 keys) • Hawthorn Suites by Wyndham Manama (450 keys) • Ramada Plaza Makkah (792 keys) • Wyndham Dubai Marina (497 keys) • Ramada Abu Dhabi, Al Moroor (120 keys) • Ramada Nairobi (89 keys) PIPELINE FIRSTS Wyndham Hotel Group’s pipeline boasts many company firsts. The upscale Wyndham Hotels and Resorts brand will debut in the region with properties opening in the UAE, Bahrain, KSA and Kenya and the company will also launch the TRYP by Wyndham brand in the region.
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STARWOOD HOTELS & RESORTS THE PORTFOLIO 50 PROPERTIES, 10 BRANDS 2014 OPENINGS • Ajman Saray, a Luxury Collection Resort, UAE • Westin Bahrain City Centre • Le Meridien Bahrain City Centre • Sheraton Grand Dubai • Sheraton Dushanbe, Tajikistan DEBUTS AND RE-OPENINGS Le Royal Méridien Abu Dhabi, Sheraton Dubai Creek Hotel & Towers and Sheraton Doha all underwent major renovations and re-opened in 2014. In Q4, Starwood also made its debut in Tajikistan with the Sheraton Dushanbe.
THE PIPELINE 37 PROPERTIES, 10 BRANDS, 10,626 ROOMS UAE (12 PROPERTIES) • Four Points by Sheraton 1 • W 3 • St Regis 2 • Westin 1 • Aloft 3 • Element 1 • Sheraton 1 KSA (8 PROPERTIES) • Four Points by Sheraton 2 • Le Meridien 1 • Westin 1 • Aloft 3 • Sheraton 1
St. Regis Dubai Al Habtoor Polo Resort & Club
Grand Hills, Lebanon IRAQ (5 PROPERTIES) • Four Points by Sheraton 1 • Aloft 1 • Element 1 • Sheraton 2 JORDAN (4 PROPERTIES) • W 1 • St Regis 1 • Westin 1 • Luxury Collection 1 • QATAR (2 PROPERTIES) • Le Meridien 1 • Westin 1 OMAN (3 PROPERTIES) • W 1 • Westin 1 • Aloft 1 • LEBANON (2 PROPERTIES) • Le Meridien 1 • Luxury Collection 1
PAKISTAN (1 PROPERTY) • Sheraton 1 2015 OPENINGS • Sheraton Dohuk, Iraq (202 keys) • Grand Hills, a Luxury Collection Resort, Broumana, Lebanon • St. Regis, W and Westin Dubai, Al Habtoor City, (combined 1,600 keys) • The St. Regis Dubai (235 keys) • Sheraton Sharjah Beach Resort & Spa (343 keys) • Westin Doha Hotel & Spa (356 keys) POLO RESORT FIRST In March this year, Starwood Hotels & Resorts Worldwide signed its first-ever St. Regis polo resort – a concept that will debut in Dubai in 2017. The 136-room St. Regis Dubai Al Habtoor Polo Resort & Club, which is being developed in partnership with Al Habtoor Group LLC, will be the centrepiece of a sixmillion-square-foot equestrian sports complex in Dubai DUBAI FLAGSHIP A flagship hotel for the brand in Dubai, the new W Dubai – Sheikh Zayed Road will feature 355 luxurious guest rooms including 60 suites, six ‘WOW Suites’ and one ‘Extreme WOW Suite’ – the first of its kind in the world. The 27-storey hotel will offer eight contemporary dining venues, W Lounge (W’s take on the traditional lobby), WET pool deck, SWEAT fitness centre, a signature spa and stylish meeting and event spaces. It is set to open in Q4 this year.
Inside Sheraton Dushanbe, Tajikistan
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INDUSTRY ABU DHABI INSIGHTS
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GCC DEVELOPMENT PIPELINE The ultimate list of the region’s most important tourism development and infrastructure projects
DUBAI ARTS & CULTURE PROJECT: Dubai Opera House The Buzz: Shaped like a traditional sailing vessel, this iconic building will feature a 2,000-seat auditorium. The Lowdown: The opera house will form the centrepiece of a new arts and culture precinct in Downtown Dubai. PROJECT: Dubai Design District (d3) The Buzz: d3 is a purpose-built community dedicated to promoting and nurturing emerging local talent. In addition to housing design studios, office spaces, ateliers and workshops, d3 will feature residential, convention and F&B spaces, plus boutique hotels, located along a waterfront promenade. The Lowdown: d3’s state-of-the-art office spaces and showrooms will open later this year. PROJECT: Quran Park The Buzz: Located in Al Khawaneej, this park will span 65 hectares and will feature many of the 54 plants that are mentioned in the Holy Qu’ran, including olive trees, basil, figs and pomegranates. The Lowdown: The park, scheduled to open in September, will include a special Islamic garden, children’s play areas, and an Umrah corner.
AVIATION PROJECT: Al Maktoum International, Dubai World Central The Buzz: Dubai’s massive new aviation hub will accommodate more than 200 million passengers annually when fully operational in the mid-2020s. The Lowdown: Al Maktoum International will feature five runways that will operate simultaneously at peak capacity. It will be built at a cost of $82 billion.
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HOSPITALITY VENDOR: Emaar Hospitality Group BRAND LAUNCH: Rove Hotels The Buzz: Emaar Hospitality’s newest venture, Rove Hotels, is a mid-market lifestyle brand with plans to operate10 properties in Dubai and across the region by 2020. The chain’s first hotel, Rove Za’abeel, is scheduled to open later this year in Dubai. Five more properties are planned for Dubai in Al Wasl, Port Saeed, Al Jafiliya, Oud Metha and Dubai Marina. The Lowdown: Rove Hotel’s first property will open in Dubai in 2015.
Dubai's Al Maktoum InternationalDWC will accommodate 200 million passengers when fully operational
VENDOR: Meraas Holding BRAND LAUNCH: Nikki Beach The Buzz: Meraas is partnering with US luxury beach club brand Nikki Beach to launch the Nikki Beach Resort & Spa Dubai on the new Pearl Jumeirah development. The beach club will feature three restaurants, a VIP lounge, an ESPA spa, and 400 metres of beachfront. Sixty-one brandedresidences, 14 beach villas and 132 units – including 117 rooms and suites – will anchor the project. The Lowdown: The Nikki Beach Resort & Spa Dubai is scheduled to open later this year.
Exterior rendering of Rove Za'abeel
Al-Habtoor City
Legoland Dubai
LEISURE PROJECT: Al Habtoor City The Buzz: Scheduled for completion in 2017, this AED 11 billion ($3 billion) metropolis will feature the Middle East’s first stand-alone theatre, the world’s first Bentley Café and three five-star hotels. The Lowdown: Al Habtoor City is expected to attract 20,000 visitors daily and up to 7.3 million annually once fully operational.
PROJECT: IMG Worlds of Adventure The Buzz: The 1.5-million-square-foot project will be the world’s largest temperature-controlled indoor themed-entertainment destination with capacity for 20,000 visitors daily. The Lowdown: The theme park is the first in the world to bring together the Cartoon Network and MARVEL brands under one roof.
PROJECT: Dubai Safari The Buzz: Covering an area of almost 400 hectares, the park will comprise a safari village, Arabian village, Asian village, African village, children’s zoo, butterfly park and botanical garden, in addition to educational and veterinary facilities. About 1,000 animals from across the world will be housed in temperature-controlled environments. The Lowdown: The safari park is 80 times larger than the existing Dubai Zoo located in Jumeirah.
PROJECT: Dubai Frame The Buzz: Rising to a height of 150 metres, this iconic centrepiece, located within Dubai’s Zabeel Park ,will include a 93 metre-long suspended glass-floored viewing platform. Its hollow shape will resemble a huge picture frame. The Lowdown: Designed by Dutch practice Donis, the frame concept was selected from almost 3,000 rival designs from 106 countries.
PROJECT: Dubai Parks and Resorts The Buzz: Dubai’s latest leisure megaproject, Dubai Parks and Resorts, will feature three theme parks – motiongate, Legoland and Bollywood Parks – housing 73 main attractions, when it opens in the third quarter of 2016. The 500-room, four-star Lapita Hotel will also be built as part of the development, as will a retail, dining and entertainment precinct branded Riverpark. The Lowdown: Dubai Parks and Resorts is expected to attract 6.7 million visitors in its first full-year of operation. PROJECT: Mohammed Bin Rashid City The Buzz: Promoted as a ‘city within a city’, Mohammed Bin Rashid City will house a water park, Universal Studios theme park, the world’s largest swimming pool (at 40 acres) a mega mall and 100 hotels. The Lowdown: MBR City is scheduled for completion in 2022.
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The Palm Tower on Palm Jumeirah
An artist's impression of the World Expo site
CONFERENCES & EVENTS PROJECT: World Expo 2020 site, Dubai Trade Centre – Jebel Ali The Buzz: The 438-hectare DTC site, set out in the Dubai Expo 2020 Master Plan, will include a 150-hectare expo precinct and a surrounding residential, hospitality and logistics zone. The Lowdown: When completed in 2019, the site will provide capacity for 300,000 visitors. PROJECT: Dubai Trade Centre District (DTCD) The Buzz: This 146,000-square-metre development located between Dubai International Convention & Exhibition Centre (DICEC) and Emirates Towers will house offices and a 588-room business hotel. The Lowdown: DTCD is scheduled for completion in Q3, 2015.
MIXED USE PROJECT: Madinat Jumeirah Phase 4 The Buzz: The Arabian-themed Madinat Jumeirah development is being expanded to include another five-star property, a villa complex, restaurants and retail outlets. The Lowdown: The $700 million redevelopment is scheduled for completion in the first quarter of 2016. PROJECT: Bluewaters Island The Buzz: A 210-metre Dubai Eye Ferris wheel, inspired by the UK capital’s London Eye, will be the focal point of this island project. Jumeirah Group will also open its first ‘Venu’ property here – Venu Bluewaters Island Hotel. The Lowdown: Bluewaters Island will be located off the Jumeirah coastline adjacent to Jumeirah Beach Residence.
RETAIL
Madinat Jumeirah Phase 4
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PROJECT: Mall of the World The Buzz: Part of the world’s first temperaturecontrolled city, the centre will stake its claim as the world’s largest shopping mall – four times the size of the current record-holder, Dubai Mall. It will also boast the world’s largest theme park, a covered street-shopping concept and 100 hotels.
The Lowdown: Construction of the $6.8 billion project commenced in the first quarter of 2015. PROJECT: Akoya Drive The Buzz: Pitched as Dubai’s equivalent of Los Angeles’ famed Rodeo Drive, Akoya Drive is a 1.3km strip featuring retail outlets, an outdoor cinema, ice-skating rink and kids entertainment areas. The Lowdown: The retail strip forms part of Damac’s Akoya development, which also includes a Trump-branded golf course. PROJECT: Nakheel Mall The Buzz: Located on The Palm Jumeirah, the mall will feature a nine-screen cinema, medical centre, fitness complex and a rooftop plaza with fine-dining options. Adjacent to the mall, The Palm Tower will house a five-star 50-storey hotel and residential complex. The Lowdown: Nakheel Mall is scheduled to open in 2016.
Abu Dhabi International's new Midfield Terminal
ABU DHABI AVIATION PROJECT: Abu Dhabi International Airport Midfield Terminal The Buzz: The Midfield Terminal Complex (MTC) will take Abu Dhabi International’s annual capacity to 30 million passengers. MTC will cover 700,000 square metres (roughly the equivalent of 140 football pitches). The Lowdown: The Midfield Terminal is scheduled to commence operations at 7am on 17 July, 2017.
EVendae nobit, sit officium re voloresti im essi nis raecum
MIXED USE
CRUISE
PROJECT: Saadiyat Island The Buzz: Three districts are under construction: Saadiyat Cultural District, which will soon be home to three world-class museums - Louvre Abu Dhabi (2015), Zayed National Museum (2016) and Guggenheim Abu Dhabi (2017) - plus a new Performing Arts Centre and a leisure, dining and entertainment hub, The District; Saadiyat Beach District, with five-star beach resorts; and Saadiyat Marina District, the island’s commercial centre. The Lowdown: More than $28 billion-worth of projects on Saadiyat Island will be completed by 2018.
PROJECT: Abu Dhabi Cruise Terminal The Buzz: Set to open in 2016, this semipermanent cruise terminal at Mina Zayed port is being promoted as the “next big Arabian Gulf cruise tourism landmark” by developer Abu Dhabi Ports Company (ADPC), The Lowdown: More than $3.2 million worth of road and security improvements have been completed on site.
PROJECT: Al Maryah Island The Buzz: The first phase of the 114-hectare mixed-use development, featuring luxury hotels, residential neighbourhoods, dining and shopping outlets and parks, has already been completed. The Four Seasons Hotel Abu Dhabi at Al Maryah Island is currently under construction. The Lowdown: Al Maryah Island will incorporate Abu Dhabi’s new downtown precinct.
Abu Dhabi New Souk: A new market is currently under development in the Khor Al Maqta area on the shores of Abu Dhabi island creek.
UPCOMING DEVELOPMENTS
Al Ain International Airport: Abu Dhabi Airports Company (ADAC) is currently refurbishing the airport's passenger terminal and VVIP lounge, and upgrading safety and security facilities.
Sir Bani Yas Island Airport: ADAC’s redevelopment of the airport will enable charter aircraft to land on the island. It will also include upgrades to seaplane and boat terminals. Plans are also afoot to provide facilities for cruise ships to dock there. Sir Bani Yas hotel: Abu Dhabi’s Tourism Development and Investment Company (TDIC) plans to develop a three- or four-star hotel on Sir Bani Yas Island, complementing the existing five-star Anantara property. Hilton Capital Grand, Abu Dhabi Sir Baniyas Island
QATAR MIXED-USE
MICE
PROJECT: Lusail City The Buzz: Set for completion in 2019, Lusail City is Qatar’s biggest megaproject currently under development. In addition to residential precincts, it will house entertainment, sports and leisure facilities. Highlights include a light rail network, water taxi transportation system and a cycle and pedestrian network. The Lowdown: Qatar’s newest city will eventually house more than 200,000 residents.
PROJECT: Doha Exhibition and Convention Centre (DECC) The Buzz: Set to open in Doha’s West Bay area this year, the DECC will offer 90,000 square metres of meeting and conference space and a retail development. It will be connected to the Sheraton Park hotel through an underground tunnel. The Lowdown: DECC will incorporate the Doha Convention Centre Tower – a 112-storey, 551-metre tower that will rank as the country’s tallest skyscraper.
HOSPITALITY PROJECT: Katara Towers, Lusail City The Buzz: Located in the marina district of Lusail City, Katara Towers will incorporate two curved tower structures housing a five-star deluxe hotel and luxury apartments. It will also feature a man-made beachfront island; leisure and watersports facilities; F&B outlets; and water parks. The Lowdown: Katara Towers will open in 2017.
UPCOMING DEVELOPMENTS Barwa City: Located south of Doha, Barwa City will include residential areas, schools, hospitals, hotels, a golf course and commercial facilities. It is scheduled for completion later this year. Barwa Al Khor: The mixed-use development comprises residences, two hotels, a marina, golf course and shopping malls. It will be completed in 2025.
Cruise terminal: A new cruise terminal will be located within the New Doha Port, which ranks as one of the world’s largest greenfield port developments. Hamad International Airport: The second phase of Doha’s $15 billion airport is scheduled for completion in 2017. Pearl Qatar: The man-made island near West Bay Doha’s business district is scheduled for completion in 2017. Qatar Integrated Rail plan: Includes 400 kilometres of mainline rail, connected to the planned GCC rail network, plus the metro project with five lines covering 260 kilometres. World Cup stadiums: Eight stadiums will now be built, instead of the 12 originally planned, after construction budgets were revised. The majority will seat 40,000 to 60,000 spectators. Lusail Stadium, which will host the opening match and the World Cup final, will have a maximum capacity of 82,250.
Katara Towers, Lusail City QATAR PROJECT PIPELINE ESTIMATED COMPLETION DATES • Doha Exhibition and Convention Centre (DECC) – 2015 • Barwa City – 2015 • Hamad International Airport (HIA) – 2017 • The Pearl – 2017 • Katara Towers – 2017 • Lusail City – 2019 • QatarCrowne Rail metro 2019 Plazaproject Ras Al–Khaimah • Qatar Integrated Rail – 2026 • 2022 World Cup Stadiums – 2020 • Barwa Al Khor – 2025
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Madinat Jumeirah phase four Oman Convention & Exhibition Centre
OMAN
OMAN PROJECT PIPELINE ESTIMATED COMPLETION DATES • Muscat International Airport expansion – end of 2014
OMAN PROJECT: Oman Convention & Exhibition Centre (OCEC) The Buzz: Set to open in 2016, OCEC is being promoted as a “world-class” conference and exhibition venue. It will feature five separate exhibition halls and a precinct area housing three hotels, one of which will be operated by Crowne Plaza. The Lowdown: OCEC’s planned two tiered-seat auditoria with 3,200 seats and 450 seats respectively, as well as Grand and Junior ballrooms, plus additional meetings rooms, will open for business in April 2017.
UPCOMING DEVELOPMENTS MUSCAT • Muscat International Airport: Expansion will take passenger capacity to 12 million annually. • The Wave Muscat: Four hotels and a retail development are currently under development. • Saraya Bandar Jissah: The 2.2 millionsquare-metre development will include two hotels, scheduled to open in 2017. • Jebel Sifah: This 6.2 million-square-metre development will include an 18-hole PGA golf course, 84-berth marina and marina town, six five-star hotels and a marina boutique hotel. • City Walk Muscat: Located in the capital’s
CBD, this development will feature five-star hotels, retail outlets, cafes and restaurants. SOHAR • Sohar Airport: Flights commenced last year but the passenger terminal is still under construction. It will be able to accommodate half a million passengers annually. • Ibis Styles Sohar: Scheduled to open in mid-2016 with 128 guestrooms. SALALAH • Salalah International Airport: Initial capacity for one million passengers, with scheduled expansion in three additional phases that will take capacity to two, four and six million respectively. • Salalah Beach: A new development covering 15.6 million square metres that will offer two 18-hole PGA golf courses, a 200-berth marina and marina town, five five-star hotels and smaller properties including Juweira Boutique Hotel with 65 guestrooms and 21 Marina Suites. • As Sodah Island: This eco-friendly resort by Muriya will include upscale boutique property Maisons Cheval Blanc featuring 32 chalets. It will be operated by the LVHM Hotel Management, an entity of the Moёt Hennessy Louis Vuitton (LVMH) group.
• Salalah International Airport expansion phase one – end of 2014 • Al Baleed Seafood Restaurant project – Q1, 2015 • Duqm Airport – 2015 • Five OCEC exhibition halls – end of 2015 • Crowne Plaza at OCEC – late 2015 • Five-star property at OCEC – mid-2016 • OCEC Exhibition Centre – beginning of 2016 • Delivery of 16 new Oman Air aircraft – December 2016 • All OCEC hotels – 2017 • OCEC Convention Centre and ballrooms – April 2017 • Oman Convention and Exhibition Centre (OCEC) – phase 1, 2017; phase 2, 2018
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SAUDI ARABIA An artist's impression of a Riyadh Metro station
TRANSPORTATION PROJECT: Riyadh Metro The Buzz: The metro will feature four rail lines criss-crossing the Saudi capital. Line 1 will run north to south across Riyadh from Olaya to Batha Corridor and Line 2 will run east to west along King Abdullah Road. The Lowdown: The metro is being built at a cost of more than $22 billion.
MIXED-USE PROJECT: King Abdullah Economic City (KAEC) The Buzz: Located 100km north of Jeddah on the Red Sea coast, KAEC will cover 168 square kilometres and span industrial, business and financial districts, a waterfront resort area, an education zone, as well as its signature project, King Abdullah Port (KAP). The Lowdown: The city will boast a new $1 billion international airport and 25,000 hotel rooms across 120 properties. PROJECT: Knowledge Economic City (KEC) The Buzz: This $6.9 billion project dubbed the “new economic gateway to Madinah”, is located just five kilometres from the holy mosque. The 4.8-million-square-metre development will house commercial, residential and educational precincts. The Lowdown: A 20-storey hospitality development will house a hotel, serviced apartments, conference facilities and office space.
Riyadh Metro
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PROJECT: King Abdullah Pilgrim City The Buzz: Another megaproject, Pilgrim City is designed to improve facilities for visitors performing Hajj and Umrah. It will include several hotels and furnished apartments to help accommodate 200,000 additional visitors each pilgrimage. The Lowdown: One hundred towers will be built at a cost of $13 billion.
• Hilton Riyadh Hotel & Residence: Set to open later this year, the property will incorporate a 20-storey tower housing a hotel with 645 rooms and suites and a 14-storey tower with 221 full-service apartments. • Sofitel Riyadh: The Sofitel will feature 400Malaz rooms Marsa and suites and a conference centre accommodating Kempinski up to 1,000 delegates. It will open later this year.
AVIATION
JEDDAH • Heart of Jeddah: Located on the city’s old airport site, the precinct will include several hotels and hotel apartments, a convention centre, plus residential and commercial components. • Haramain High Speed Railway: This megaproject will link the Holy Cities of Mecca and Madinah via Jeddah and KAEC.
PROJECT: King Abdulaziz International Airport (KAIA) The Buzz: Saudi authorities are investing $7.2 billion in the expansion of Jeddah’s main international gateway. The project, which is set for completion before the end of 2015, will increase the airport’s capacity to 30 million in the initial phase. The Lowdown: KAIA will accommodate up to 80 million passengers annually when fully operational.
UPCOMING DEVELOPMENTS RIYADH • King Abdullah Financial District (KAFD): Considered one of KSA’s most ambitious megaprojects, KAFD will house dozens of financial institutions, at least one hotel and a convention centre.
MADINAH • Pullman Zamzam: will join Masjid Al Haram and the holy quibla in the very heart of Madinah facing south gate and Al Baqia. The upscale property will feature 834 rooms and suites, “extravagant amenitites”, plus direct views over the holy prophet Mohamed Masjid. MAKKAH • Chain hotel boom: Makkah’s pipeline of new chain hotel properties totals 25 properties, or 15,981 keys, up to 2017. • Mega mixed-use projects: include Jabal Omar with its 38 hotel towers and 14,000 rooms and the $2.7 billion Jabal Al Kaaba with 8,500 rooms. • Hilton Bab Makkah North: The hotel forms part of the Jabal Omar project and will open in 2016. It will have 865 rooms and is one of six Hilton hotels (covering all the brands the company offers in the region) planned for the development. • Holiday Inn Makkah Al Azizah: The hotel will be the brand’s largest property in the world when it opens in 2015 with 1,238 rooms across two towers.
The Burj Mubarak alKabir will be one of the world's tallest towers when completed
KUWAIT AVIATION
CONSTRUCTION
PROJECT: Kuwait International Airport (KIA) The Buzz: The redeveloped airport will feature a new passenger terminal that will boost capacity from six million passengers to 13 million annually. Later phase developments will take this figure to 25 million passengers by 2025. The Lowdown: The first phase of the development will be completed in 2016.
PROJECT: Burj Mubarak al-Kabir The Buzz: The centerpiece of the Madinat Al-Hareer project and at 1,001 metres high, what will become one of the world’s tallest buildings. The Lowdown: The building will feature triple-decker elevators and seven verticallystacked, 30-storey neighbourhoods.
MIXED-USE PROJECT: Madinat Al-Hareer (Silk City) The Buzz: This $77 billion development is due for completion in 2030. Divided into four zones, Silk City will feature several five-star hotels. The Lowdown: Silk City will cover an area of 250 square kilometres.
MICE PROJECT: Millennium Hotel & Convention Centre Kuwait The Buzz: This upcoming 295-room property will offer 6,000 square metres of meeting space when it opens this year – one of the biggest convention offerings in Kuwait. The Lowdown: Venues will include a multifunctional banquet ballroom; a multi-purpose pre-function area; nine column-free meeting rooms; and seven spacious halls offering more than 2,400 square metres of exhibition space.
Millennium Hotel & Convention Centre
UPCOMING DEVELOPMENTS Kuwait Metro System: When completed, the network will cover more than 160 kilometres and include 69 stations. Kuwait National Rail Road System: This integrated rail network will cover an area of 511 kilometres. Boubyan Island: This deserted island will house a major commercial transportation hub and tourism facilities. Failaka Island: Kuwait’s Partnership Technical Bureau plans to develop new resorts, recreational facilities and a marina on the island.
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HIGHLIGHTS and HURDLES
AHEAD Industry professionals discuss the major trends shaping the region’s travel and tourism industry in 2015
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ANALYSTS TECHNOLOGY IS REVOLUTIONISING TRAVEL Smart technology is transforming how we choose to travel and data from YouGov’s Travel Oracle of 22,600 travellers across MENA tells us technology is being widely adopted in the region, particularly by Millennials. We are less dependent on the wisdom of our high street travel agent and prefer instead to make decisions based on the experiences of friends online, be it through Instagram, Trip Advisor or Facebook. Looking ahead, expect searches to be even more refined, with users having greater control over whose opinion they seek. Combine this with the increasing use of smart devices and in the nottoo-distant-future, wearable technology, and it is clear technological innovation will be key to growth across all sectors of the industry. Scott Booth Research Director – Head of Travel, Tourism & Leisure, YouGov ME
EGYPT IS BACK ON THE MAP The future of the Middle East’s tourism industry looks bright with the exception of unstable countries like Syria, Iraq and Lebanon. Significant investment is being made in tourism infrastructure as the sector becomes increasingly important to the region’s economies. More sports events like the FIFA World Cup in Qatar and cultural attractions such as the Louvre and Guggenheim in Abu Dhabi are coming to region, generating potentially enormous tourism volumes. Meanwhile, one of the major crowd pullers pre-Arab spring, Egypt, is finding its feet again and is expected to show strong growth after a couple of very difficult years. Karen Van Diesen Research Analyst, Euromonitor International
DMCS WEAKENING EURO AND RUBLE POSE CHALLENGES 2015 is shaping up as a more challenging year than 2014 due to a number of factors including the persistent economic crisis in some European countries and the fall in value of the euro, which is making overseas holidays to destinations such as the UAE more expensive to consumers in those markets. Other challenges include the spread of Ebola in Western Africa and its potential impact on the hospitality industry, ongoing instability in some parts of the Arab World, plus the crises in Russia and the Ukraine, which are impacting visitor numbers to the Gulf region from these markets. This forces the industry to up its game by exceeding service expectations while offering value for money. Ali Abu Monassar Chairman, The Vision Destination Management Company, UAE
HOTELIERS GUESTS SEEK EXPERIENCES Our annual trends report ‘Building Trust Capital: The new business imperative in the Kinship Economy’, highlights the growing importance for companies to build brand and organisational trust. Increased demand for trust will set the worldwide benchmark for hotel-guest relationships. The market is developing a more complex sense of personalisation, where people are not just looking for a place to rest, but an experience to remember. Building relationships instead of transactions emphasises this and allows for guest experiences associated to a brand to be cherished as unique. Pascal Gauvin Chief Operating Officer, India, Middle East and Africa, IHG
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HOTELIERS RUSSIAN BUSINESS PLUMMETING 2015 could be slightly more challenging than the past two years due to several factors. The euro devaluation versus the US dollar is expected to impact business from the Euro Zone to destinations such as Dubai, which will be perceived as expensive. At Accor, we are also monitoring the impact of declining oil prices very closely. We expect oil and gas sector expenditure to be reduced in the short term, impacting MICE business from this industry. Meanwhile, the decline in the value of the ruble by around 40-45% is certainly having a negative impact on inbound Russian business, but in particular, the leisure segment. Although such negative impact is felt to a certain extent in Dubai, it is more noticeable in the Egyptian leisure destinations such as Hurghada, Dahab, and Sharm El Sheikh. The Russian market represents almost 50% of the total leisure segment in these resorts. Christophe Landais Chief Operating Officer, Accor Hotel Services Middle East
FAMILY TRAVEL BOOM Dubai’s Department of Tourism and Commerce Marketing (DTCM) has highlighted the need for additional room supply in the mid-market segment. Placing DTCM’s call for action at the core of our development strategy, Q4, 2015 will see the arrival of our mid-scale Hilton Garden Inn brand, with the opening of Hilton Garden Inn Al Mina, Hilton Garden Inn Al Muraqabat and Hilton Garden Inn Mall of the Emirates in 2016. This year we are also set to notice a spike in family travel as the UAE continues to cement its position as a leading tourism destination. Rudi Jagersbacher President MEA, Hilton Worldwide
NICHE MARKETS HOLD POTENTIAL New attractions will continue to lure new visitors to the region, steadily increasing visitor numbers. Sports and cultural events, concerts, historic and cultural attractions, health facilities, the strong financial sector, the family tourism segment, and niche propositions multiply the reasons for visitors to come to this part of the world. Given the strong pipeline of new rooms coming online, hotel operator success will rely on identifying key source markets, smart positioning, targeted marketing, and the ability to deliver services that meet or exceed customer expectations. Rupprecht Queitsch CEO & Senior Partner, INHOCO International Hospitality Consulting Group
MIDSCALE HOTEL MARKET ON THE RISE There is strong demand for mid-market hotels due to a number of factors including emerging source markets such as India, China and Africa, driven by the expanding middle-class in each, plus the growth of low-cost carriers. Guests want value for money and increasingly seek experiences at affordable rates. Hoteliers must offer unusual products at a midmarket price point to capture this market. Laurent A. Voivenel CEO, HMH – Hospitality Management Holdings
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TOURISM BOARDS 1.8 BILLION GLOBAL TRAVELLERS BY 2030 (WTTC) In 1950, worldwide travel amounted to 25 million tourists. Today we have reached the one-billion-traveller-mark with 1.8 billion forecast for 2030, according to the World Travel & Tourism Council (WTTC). That is a steep increase, and securing market share of this rise in activity should be the principle goal for any self-respecting travel trade marketer. France retained its position as the number one worldwide tourist destination in 2014, with nearly 85 million visitors. Applying the WTTC projection, this would equate to more than 150 million visitors to France by 2030. The Middle East region is a significant and growing market for France, not only due to the High Net Worth clientele in the region whose spend represents 20% of clients at top French hotels, but also because the rapidly developing transport hubs of Dubai, Abu Dhabi and Doha are major conduits for onward travel to France. Karim Mekachera Regional Director, Atout France Middle East & Turkey regional office
AIRLINES ME TRAVELLERS MORE ADVENTUROUS Middle East travellers are becoming more adventurous, exploring new long-haul destinations like Hong Kong, China, Korea, Australia and North America. High-quality products and services, frequency and connectivity, a good safety record and competitive pricing are important considerations for travellers. Cathay Pacific has been voted the ‘World’s Best Airline’ by more than 18 million airline travellers for a record fourth time because we work hard at what we are best at; anticipating customer needs and delivering consistently great travel experiences with world-class products and services. We have enjoyed healthy load-factor growth in 2014 and expect this upward trend to continue in 2015.
290% IN MOBILE BOOKINGS IN TWO YEARS Over the last five years we have increased the number of flights from the Middle East into London Heathrow by 40%. We have seen a continued rise in business and premium travel across the region and believe the demand for these services will continue in 2015. A large percentage of our regional customers fly on to North American destinations after a stopover in London, and as the international carrier with the largest route network to North America, we are continuously investing in our services, fleet and products. Technology continues to play an important role in the industry and in 2014 we launched our most advanced mobile app yet in response to witnessing a 290% increase in mobile bookings in just two years.
Anish Kapur Country Manager UAE & Oman, Cathay Pacific
Paolo De Renzis Area Commercial Manager ME & Central Asia, British Airways
LUXURY TRAVEL LOW OIL PRICES = LOWER AIRFARES? The global economy is showing steady signs of recovery and 2015 has brought increased confidence at the top-end of the market. Low oil prices should theoretically translate to lower airline costs too. Regional trends include a surge in the number of group bookings, with family holidays becoming popular; we recently received a booking for 71 family members. Top destinations for 2015 include Asia, in particular Japan, Vietnam, Cambodia and Myanmar. Interestingly Egypt is now becoming popular again and A&K is booking a lot of Nile cruises. This indicates renewed confidence in Egypt as the destination enters a period of stability; tourism figures to the destination rose 70% during the latter part of 2014 (Financial Times) and this will hopefully continue in 2015. Debbie Duncan-Studart General Manager, Abercrombie & Kent UAE
EN VOGUE: ZANZIBAR, VIETNAM, BRAZIL AND PERU The 2015 outlook for outbound travel from the GCC is positive. The diversity of national and expatriate residents, a regional variation on school holidays, as well the expansion of GCC-based airlines, which now fly to all six continents, makes travel possible year-round and truly global. The stronger US dollar and the relaxation of some visa restrictions have also contributed to an increase in the frequency and length of overseas travel. This summer we are seeing travellers planning their holidays earlier, especially in premium cabins where there are advanced-booking savings and a lack of seats last-minute. Travellers are also looking for somewhere new to visit. Upcoming hotspots for luxury travellers include Zanzibar, Vietnam, Brazil and Peru. Jacqueline Campbell Managing Director, The Travel Collection, Dubai
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CRUISE MULTI-GENERATIONAL TRAVEL PROVING POPULAR One trend we are witnessing globally is the rise in multi-generational travel with grandparents, parents and children all travelling together. Cruising with Royal Caribbean International and Celebrity Cruises really facilitates this new way of experiencing family life. The kids enjoy the complimentary children’s clubs onboard, mum and dad relax in the spa or on the pool deck, while the grandparents explore the numerous activities available on shore before all meeting up to chat about their day at dinner. The cruising world is becoming smaller with the possibility to now sail pretty much everywhere in the world. We are seeing an increase in ships being deployed to Asia, particularly sailing from Singapore and China, enabling easy exploration of beautiful destinations in Japan, Korea, Thailand, Vietnam and more. With such great airlift from the Middle East and visas becoming easier to obtain, we see this as a new travel trend for 2015. Ongoing investment in tourism development, with projects such as the Louvre Abu Dhabi opening later this year and the Expo 2020 Dubai preparations underway, are enhancing the appeal of the region, leading to more cruise lines considering the Arabian Gulf for winter cruising, which benefits all. Helen Beck Regional Sales Director – International Representatives – EMEA, Royal Caribbean International, Celebrity and Azamara Cruises
TRAVEL AGENTS THE UAE WILL BECOME A MEDICAL TOURISM HUB The fall in the value of the ruble, the impact of western sanctions on Russia, and plummeting oil prices will cause a significant decline in Russian tourism to the UAE in 2015. Falling oil prices may also result in a decline in the number GCC travellers, especially from Saudi Arabia, while a drop in European tourism is anticipated due to the weakening euro. However, the UAE will remain a premier destination for many international visitors given its political and economic stability and the fact it boasts many of the world’s iconic landmarks. It will also become an increasingly important medical tourism destination as more state-of-the-art hospitals and specialised clinics open their doors. Micky Bhatia General Manager, Al-Futtaim Travel
LUXURY TRAVEL SPEND STRONG There will be strong growth in the luxury travel market in 2014 as travellers become more willing to spend extra on high-end and unique experiences. The leisure travel market overall will remain resilient with value for money remaining a top priority. Hot outbound destinations in 2015 are Cuba, Cambodia, Latvia, Japan and South Africa, while Singapore, Thailand, Turkey and Austria remain all-time favourites. Abu Dhabi will become a popular inbound destination as it bids to become the ‘Cultural Capital of the Middle East’, fasttracked by the upcoming openings of Louvre Abu Dhabi, the Zayed National Museum and the Guggenheim Abu Dhabi. Kulwant Singh CEO, Carfare & Lama Groups, UAE
RELAXED VISA POLICIES PAY DIVIDENDS Industry prospects for 2015 and beyond are good, particularly in light of events such as World Expo 2020 in Dubai and the 2022 FIFA World Cup in Doha. A dominant trend is family tourism and intra-regional family travel, which will witness growth at least up to 2020, while niche markets such as budget, medical, shopping, sports, adventure and cultural tourism will become more important. New visa policies introduced by the UAE government will also boost inbound tourism, from medical tourism visas, multi-entry tourist or work visit permits and visas for GCC ex-pats, to the recent exemption of pre-entry visas for the citizens of more than 13 EU states. Ajith Marath Manager – Trade & GSA Affairs, Abu Dhabi Travel Bureau, UAE
194 | ATM YEARBOOK 2015
Raffles Singapore - since 1887
KATARA HOSPITALITY, PRESERVING ICONIC TREASURES There is much more to being a world-class hospitality organisation than just owning, managing or developing hotels. At Katara Hospitality, our appreciation for the past powers our aspirations for the future. Decades of experience,
an innovative mindset and meticulous attention to detail enable us to craft unique masterpieces that set new standards for others to follow. With us, it is all about our boundless passion for creating legendary hospitality, building on our heritage.
Katara Hospitality Building Marina District, Lusail City, PO Box 2977 Doha, Qatar T +974 4423 7777 F +974 4423 7860 info@katarahospitality.com www.katarahospitality.com