15 minute read
Travel's new future
from ATM Yearbook 2022
by GT Media ME
Travelling ‘better’ takes priority
Industry figureheads highlight sector-defining trends
“As we look forward to a brighter tomorrow, we need to be ready to cater to global travellers who have made a paradigm shift in the way they choose their destination, and the decisions they make while travelling. We have seen the emerging trend of conscious travel with holidaymakers increasingly being driven by the desire to seek sustainable and safe destinations, connect more with their destination by immersing themselves in authentic cultural experiences and undertaking responsible tourism activities and ultimately to ‘travel better’. Sustainability, therefore, will become an even more important factor defining the future of global travel and tourism.”
Issam Kazim, Chief Executive Officer, Dubai Corporation for Tourism and Commerce Marketing (DCTCM)
Partnerships spur growth
“Saudi is making a bold play on tourism for the future. Our ambition is for the long term, which is why we are investing more than any other country globally to create world-class tourism assets, attractions and events. We are driven by a commitment to partnerships and private sector enablement as we pursue accelerated growth. No DMO can succeed in isolation. We are building partnerships founded on shared values, mutual benefit and a common vision for the future of our sector. If you’re in tourism, you need to be in Saudi.”
Fahd Hamidaddin, CEO and Board Member, Saudi Tourism Authority (STA)
A new era of discovery and responsibility
“Unique experiences, luxury, culture and authenticity are trends I believe will shape the future of the industry globally. More importantly, as travellers seek new experiences and discoveries, they are increasingly putting more thought into their environmental footprint. Therefore, the industry should be prepared for rising demand for conscious, responsible, and eco-friendly tourism. Finally, an increasing influx of new technologies like IoT, augmented reality, recognition technology, customer experience 2.0, will drive us all into a new era.”
Ahmed Obaid Al Qaseer, Acting Chief Executive Officer, Sharjah Investment and Development Authority (Shurooq)
Green cruising for future generations
“Sustainable and responsible tourism is becoming increasingly important worldwide as more corporations and governments understand the role that we all have to play in preserving our resources and protecting the planet for our current and future generations. Sustainability is at the heart of Cruise Saudi’s strategy and operation. We strive to become future leaders in green cruising and destinations by adapting advanced technologies across all fields including ports, vessels, land, and sea. We are building an entirely new industry, so it is our duty to oversee the responsible development of all infrastructure, cruise terminals and our offering – and transform Saudi Arabia's coastline into a sustainable tourism destination.”
Lars Clasen, CEO, Cruise Saudi
Watch out for the digital nomads
“We’ve seen our guests’ and members’ needs evolve as they live side by side with the virus and a ‘new traveller’ has emerged. We recently read that seven in 10 consumers believe their travel behaviours have changed permanently, and I really think that’s true. If I look at how I travel now, instead of taking many short trips, I’m now making longer trips and combining meetings and events. We’re seeing this with many of our customers. Trends that are here to stay following the pandemic are ‘bleisure’ – a 2021 study of global business travellers found 89% wanted to add a private holiday onto their business trips in the next 12 months. At the same time, ‘digital nomads’ are on the rise. These are people who have the flexibility to take to the road and work from anywhere. While a niche today, market analysis suggests it’s fast growing and will be a powerful segment in the future.”
Sandeep Walia, Chief Operating Officer, Middle East, Marriott International
Travellers look for bucket-list ticks
“One trend I believe will drive the future traveller is the desire to discover new far-flung destinations; places that can offer something truly unique, such as historical, cultural, or natural treasures as holidaymakers seek inspiring experiences on their bucket list. At MSC Cruises we constantly seek out remarkable, unexplored destinations to enrich our cruise ship itineraries, complementing the more popular and well-known destinations. We have recently done this in the Middle East, having become the first major cruise line to offer travellers the opportunity to experience the unspoiled beauty of Saudi Arabia by cruise.”
Gianni Onorato, CEO, MSC Cruises
Futuristic concepts must be embraced
“2022 marks a new chapter for the region’s travel and tourism sector as we build on our learnings from previous years. Across the industry, there have been significant shifts prompted by the need for a deeper refinement of guest experiences – an approach that promises growth and transformation. Seismic movements in an everchanging industry are key factors that businesses must acknowledge if they are to grow and evolve, and that is why it is crucial to stay ahead. While championing sustainability at every stage and incorporating customer feedback should be at the heart of every business’ vision, it is also important to explore paradigm shifts through rich futuristic concepts such as the metaverse, which holds the potential to create the most immersive experiences ever seen in the travel and tourism industry.”
Mohamed Al Zaabi, CEO, Miral
Destinations satisfy appetite for the new
“The latest generation of tourists is educated, more skilled, savvier, and sharper than ever before, and is on the hunt for authentic experiences that cannot be found anywhere else. These travellers want to be pioneers, visiting places that offer things that were not possible before. It is now more important than ever that our industry caters to these worldly, curious travellers by curating destinations that will satiate their appetite for the new.”
Jerry Inzerillo, Group CEO, Diriyah Gate Development Authority (DGDA)
Business travel becomes more conscious
“Environmentally, sustainable travel continues to gain greater attention as more corporates make commitments to zero carbon emissions. As business travel has resumed, we have witnessed an overall shift in focus for our customers to a greater emphasis on sustainable travel, employee wellbeing, and duty of care – all of which has, and will continue to be, a priority for us at dnata Travel Group.”
Savio Vaz, Vice President –Government & Corporate Travel, dnata Travel Group
Supersized holidays take off
“Today’s travellers, influenced by the constraints of the last two years, are booking supersized holidays to their bucket-list destinations, or opting for multi-stays or daycations, discovering close-to-home experiences, while demanding more flexible and convenient ways to travel. At the Global Hotel Alliance (GHA) we are seeing a surge in bookings for villas and suites, dominated by family travel, indicating that people are keen to make up for time lost with friends and family and missed events during the pandemic. Additionally, the blending of work-from-anywhere with leisure travel is here to stay, especially with hybrid working environments becoming the norm. This is all part of people seeking a better and healthier work-life balance, which is going to see the high-frequency business road warrior becoming rarer, and less sought-after than the high-spending, premium leisure travellers who will drive the industry's revenue growth in the coming years.”
Chris Hartley, CEO, Global Hotel Alliance
Expect more ‘smart’ hotels
“We see immense opportunity for sustainable and wellness tourism in the region, particularly in new developments such as the Red Sea Project in Saudi Arabia, which is centred on both, and our Six Senses brand fits particularly well in this respect. Other IHG brands such as InterContinental and Hotel Indigo that operate in the luxury and lifestyle category are also ideal for this segment. Another hospitality development trend that we are noticing is to build smarter, technology enabled hotels that will enhance guest experiences. This could include more contactless services, use of virtual reality, chatbots, among other advanced features and facilities.”
Haitham Mattar, Managing Director MEA & South West Asia, IHG Hotels & Resorts
The new generation wants to regenerate destinations
“Regenerative travel will guide the future of tourism. How we connect with nature is becoming crucial for our wellbeing. We want to travel responsibly. We are more selective when choosing where we stay. It is no longer enough for hotels to minimise their negative impact on the environment. Guests demand that hotels show a positive impact on nature, wildlife and local communities. This will impact design, construction methods, and operating standards. Regenerative travel is also linked to transformative experiences: planting trees, growing mangroves, protecting animals, working with local farmers, supporting communities. These are all examples of what the industry should focus on to attract the new generation of travellers.”
Chris Nader, Co-Founder & CEO, ENVI Lodges
Collaboration will fast-track recovery
“As consumer habits are ever-changing, companies that adjust to cater to this level of flexibility will lead recovery. Sustainable travel will continue to be a huge focus moving forward. Additionally, with remote working becoming more widespread, there are consumers looking for destinations to work and travel simultaneously and I believe this segment will continue to grow in the near future. We’ve also witnessed a greater sense of community develop among the hospitality industry. This environment of strong support and collaboration has been key to accelerating recovery and growth, and we hope can be maintained moving forward.”
Guy Hutchinson, President & CEO, Rotana
Private branded residences meet modern needs
“In recent years demand for private branded residences has grown enormously and luxury hotel brands are looking for new destinations to add to their existing portfolios. What often sets branded residences apart is the services available, as well as the personalised nature of the delivery of these services. They may comprise a concierge, security, grounds keeping and the use of hotel amenities, if affiliated to one, or in some cases, dedicated amenities ranging from housekeeping to private dining to pet services. This helps residents to balance the hectic nature of modern life and to keep a healthy balance between work, rest and play.”
Amanda Elder, Chief Commercial Officer and Member of the
Board, Kempinski Hotels
A bright future awaits travel
“The travel and tourism industry in the Middle East is exceptionally resilient, having bounced back with aplomb after the pandemic, not to mention, regional and international conflicts. There is so much to look forward to, with the completion of the multi-billiondollar tourism projects in Saudi, the FIFA World Cup in Qatar, consolidation of the Abraham Accords and of course, the economic legacy of Expo 2020 Dubai. Over the last two years, health and safety issues have dominated the industry landscape. They remain very much at the forefront of business operations and will be a top priority for TIME Hotels. Technology and the environment will also continue to dictate travel and tourism strategy in 2022 and beyond.”
Mohamed Awadalla, CEO, TIME Hotels
The great outdoors comes into its own
“At Colliers, we believe strongly that four key trends of Eco, Wellness, Agri and Adventure tourism or ‘EWAA tourism’, will define the future of travel and tourism over the next decade or so. This sector has seen a huge growth over the past few years and gained even greater traction with the focus on the outdoors during the pandemic. As we move through this postpandemic era, responsible tourism and sustainability remain pillars for the new generation of travellers, with EWAA-based concepts expected to appeal most to these types of tourists.”
Christopher Lund, Executive Director – Head of Hotels, MENA region, Colliers
Conscious travel continues to rule
“Conscious travel is currently the main trend, which is why Barceló Hotel Group is committed to sustainable tourism within our Barceló Responsible strategy, contributing to the development of the local economy and the protection of the environment by being economically sustainable and ethically responsible. This trend calls for accommodation that provides an experience beyond the conventional, either for its location or its range of activities, which is integrated into the surrounding environment in a special way. It seeks to enjoy the trip; to get to know a place, its food or culture and discover new things.”
Raúl González, Chief Executive Officer EMEA, Barceló Hotel Group
Expect a multi-generational travel boom in 2022
“Recent years have helped us to remember that travel is a wonderful activity that we should experience to the full whenever we can. That’s why we predict a greater desire from guests to travel with extended family members to spend quality time together and reconnect by making longlasting, shared memories. In fact, research we conducted last year showed that people want to make up for lost time by adventuring with as many of their loved ones as possible – fuelling a rise in multi-generational travel. Another trend top of mind for our guests and bookers is sustainability. This is a key differentiator to the future of the travel industry.”
Jochem-Jan Sleiffer, President, Middle East, Africa & Turkey, Hilton
Shared electric mobility is the way forward
“The travel and tourism industry has undergone significant and rapid change in recent years, particularly since the pandemic. All of us want cleaner, less-congested cities where everyone can move freely – and the key to getting there is to replace private cars with better access to shared, electric mobility built around public transport: an integrated system of various modes of transport. People should be able to open their app anywhere in the world – know where to pick up their scooter, what time they need to reach the metro to get on the train and have their car waiting on the other side to get them to their destination. When you put all these modes together, you serve people better and we are really excited about how technology can help to further that movement and play a role in making this change happen.”
Saad Pall, General Manager MENA and Pakistan, Uber
The great re-locate trend continues
“Eco-conscious travel will continue to gain momentum as consumers become more attuned to the environmental impact of their travel decisions. Guests now expect to see tangible proof points of a hotel’s commitment to sustainability including certifications and sustainability in action during their stay. Long-stay and ‘bleisure’ and remote work while travelling will continue to remain a trend as flexible work conditions permit to combine both personal and professional travel experiences. Hyatt’s ‘Great Relocate’ package allows guests to tastefully combine both passions while enjoying a plethora of benefits such as housekeeping, laundry, discounts on food and beverage, gym and meeting room access. The Middle East will continue to be an important source market for luxury travel, with events such Expo 2020 Dubai and the upcoming World Cup in Qatar propelling the industry further.”
Fathi Khogaly, Area Vice President Dubai for Hyatt Hotels
Reimagining the customer experience is key
“The tourism sector in the region continues to grow as governments ease restrictions and lead the global recovery. The outlook for this year is extremely positive with a robust pipeline of hotels scheduled to open, with a special focus on the UAE and Saudi Arabia. The hospitality industry is constantly evolving, and it is essential to respond to consumers' changing behaviours. Organisations will need to reimagine the customer experience, and re-engage with customers to build and maintain their trust. In 2022, I believe there will be a greater focus on sustainability than ever before as the world looks into a greener future.”
Tim Cordon, Senior Area Vice President, Middle East & Africa, Radisson
Saudi’s domestic tourism to thrive
“People are now seeking truly meaningful experiences when they travel. They want real cultural immersion in their destinations: to live like a local, to connect with the people, and to return home with memories they can cherish. But that is not to say the demand for domestic tourism has in any way diminished. Saudis have only just begun to discover the incredible entertainment and tourist attractions on their own doorstep, with the kingdom’s flourishing events scene drawing people from across the country. Travel is back and the industry has an exciting future ahead.”
Majed Alnefaie, CEO, Seera Group
Business as usual –for some
“Business travel trends are highly dependent on the COVID-19 situation at present. While the UAE is ahead with its booster vaccination campaign, the speed of a return to ‘business as usual’ varies dramatically due to policy decisions, economic performance, and consumer behaviour.”
Erik Magnuson, VP Product Management, Mobility & Payments, CWT
Demand for flexible living spaces surges
“As international borders continue to open, we are witnessing accelerated growth from pent-up demand among international guests looking to travel and explore more. Travellers are looking for spaces that can adapt to the work-from-home trend, while allowing them to fit into a new city. Serviced apartments play a huge role in meeting these needs by turning vacant spaces into revenue-generating streams. They offer long-stay travellers the flexibility and practicality of comprehensive living, while also giving them the care and hospitality with which they are familiar.”
Vincent Miccolis, Managing Director for the Middle East, Africa, Turkey and India, The Ascott Limited
Urban Air Mobility is the future
“Volocopter is committed to providing sustainable and affordable electric air taxi services in megacities across the globe. We aspire to improve the quality of life for the people living in and visiting these cities by offering a new form of transportation that is urban air mobility (UAM). UAM can provide a faster mode of transportation, with breathtaking city views while soaring above cities as an added incentive. For travellers and tourists alike, UAM offers an ideal solution for people who want to spend more time at their destinations, rather than investing so much of it in simply getting there.”
Florian Reuter, CEO Volocopter
Travellers are revising how they travel
“The pandemic has allowed travellers time to reflect and reconsider their priorities, leading many open to a slower pace of travel, with freedom and flexibility. They are also more open to unique offerings from unexpected and off-the-beaten track destinations. Wellness tourism will grow further as travellers want to boost their mood and health after a period of ‘stagnation’. Sustainability will continue to be a high priority, with some travellers considering self-rationing their trips, while others will become more conscious of their impact through carbon tracking tools. Linked to this, travellers will want to give back to local communities, and protect the environments they visit.”
Tricia Warwick MCIM, Director, Asia Pacific, Middle East, Africa & China, VisitBritain
Hotel management models to evolve
“There are many reasons to be more optimistic in 2022. The industry has proven to be incredibly resilient and agile, and I believe both factors will remain key to success for the sector and hotel management companies like ours. Throughout the pandemic, our pipeline continued to grow, which indicates strong demand for the third-party hotel management model, especially franchising. I foresee this trend accelerating in the next few years in the Middle East and Africa.”
Bani Haddad, Founder and Managing Director, Aleph Hospitality
Pandemic proves catalyst for positive change
“While many private aviation companies, including VistaJet, were well-insulated from the pandemic, we operate within an ecosystem that was significantly impacted. However, the challenges faced provided a dramatic catalyst for change, resulting in a positive path forward for the luxury travel sector. A key trend to emerge has been the growth in collaboration between industry partners, as it's only by working together that we can truly deliver a superior experience and ensure our clients’ evolving needs are being looked after. We're also thrilled to see a continued emphasis on sustainability as a key driver in the decision-making process, with 85% of VistaJet members having opted in to compensate for their fuel use-related emissions by investing in certified carbon credits around the world. The Middle East continues to lead as a market for private aviation, with the UAE consistently one of our top destinations and Saudi Arabia showing robust growth. We are seeing an increase in domestic and intra-regional demand GCC, as well as long-distance to and from the US, followed by Europe.”
Matteo Atti, Group Executive Vice President of Marketing, VistaJet
Business and leisure become one
“There are several trends coming to the fore. There is growing demand for more personalised travel experiences, while millions of tourists are now making responsible travel choices. At the same time, business trips and MICE travel now need to incorporate leisure elements. Technology is becoming more crucial to our industry, aiding operations, while enhancing the traveller experience.”
Phillip J. Jones, Chief Destination Marketing and Management Officer, The Royal Commission for AlUla (RCU)
A strong desire to explore the world again
“All signs point towards a very bright future for international travel and tourism. The easing of travel restrictions across the globe and growing confidence among travellers is fuelling a strong resurgence in guest numbers. Our guests share a strong desire to explore the world again and indulge in bucket-list travel, and I believe their passion for new places and experiences will only grow. We look forward to continuing to deliver our renowned service and personalised experiences to discerning travellers, wherever their journeys may take them.”
Simon Casson, President, Hotel Operations, Europe, Middle East & Africa, Four Seasons
Revenge travel continues to surge
“Countries open to leisure travellers are witnessing a surge in demand; call it revenge travel or just the result of us all sitting at home during the pandemic and realising there is world out there we have yet to explore. Tourists still seem to be gravitating to low-density destinations rather than big cities. However, cities like Dubai have attracted substantial tourism based on their COVIDsafe protocols. This proves a main driver for attracting tourism this year is health and safety in the coming year. Staycations remain popular and with that in mind, destinations and hoteliers should not neglect the domestic market.”
Seema Pande, Co-Founder at Elev8 Representation & Consulting
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