MARCH 2012
ISSUE 29
EXPLORE: DUBAI Dubai has long been placing itself in the world’s limelight with a vigorous diversification strategy implemented to establish its very own character.
Egypt may have been significantly hurled backwards during 2011, however with an unyielding foundation combined with an aptitude for progression, the country is likely to re-surface even better and stronger than before.
10 EXCLUSIVE: LUXURY TRAVEL Travellers look for brand imagery, top class accommodation, unique facilities, and special services, when in search of a luxurious holiday, whereby they can be exclusively served and pampered.
24 IN THIS ISSUE INVESTIGATION: Visiting Friends & Relatives MARKET UPDATE VISIT: Egypt EXPLORE: Dubai ONSITE: Singapore TOUR: Russia LONG-HAUL: Argentina TRAVEL TALK TRAVEL CHANNELS EXCLUSIVE: Luxury Travel WHO'S MOVED RENDEZVOUS NEWS & EVENTS
03 04 06 10 16 19 21 22 23 24 26 27 28
VISIT: Egypt
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Visiting Friends & Relatives
INVESTIGATION
3
The Perfect Visit When travelling with the aim of visiting friends and relatives (VFR), travellers are in search of something different to the typical luxury sought holiday. This market looks for inexpensive and convenient flights and accommodation, simple packages, with no frills, and overall great deals and value for money. Travel Trade Monthly goes in search of how the VFR market is catered to. Dominique Christou writes
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ccording to VisitBritain, more than one in four international visits to the UK in 2010, were from the VFR market, representing 8.4 million visits in total. In addition, over one in four VFR visits, representing 27 percent, were from UK nationals who live overseas returning to visit friends and relatives, accounting for 30 percent of the amount spent by VFR visitors. Furthermore, 6.15 million VFR visits were from non-UK nationals, who spent GBP2.5 billion (USD3.2 billion), with VFR travellers from the UAE accounting for 40 percent of this market. A majority of travellers from this market tend to spend money on transport, souvenirs, gifts, and other shopping. Although budget hotels do play a major role in this sector, a great number of the VFR market opts to staying with their friends or relatives.
VFR travellers seek and appreciate, efficiency, reliability, and a value offering In order to further cater to the VFR market, Air Arabia recently launched special packages for travellers from India to Sharjah, which accommodates a large number of expats from the Asian country. MARCH 2012
A K Nizar, head of commercial department, Air Arabia, commented, “At Air Arabia we believe in providing our passengers with the most affordable holidays and this is just an extension of our promise of offering the best to the Indian market. We are sure that these attractive travel offers will entice our passengers to enjoy the upcoming holiday season with us.” Rafik Boghdady, vice president, sales, Jazeera Airways, also commented on packages offered by the airline in order to satisfy the VFR market, and what this segment typically looks for. “We have a long standing relationship with Budget Rent A Car with great rates for customers to take advantage of, also available on our website. But more than packages, VFR travellers seek and appreciate, efficiency, reliability, and a value offering, and Jazeera Airways has built its reputation on consistently delivering just that.” With the VFR market, contributing to a considerable amount of traffic, Ghaith Al Ghaith, CEO, flydubai, commented, “flydubai has a mix of passengers, including a significant number travelling to VFR. The geographical location of the UAE and the fact that flying is the only feasible way many expats can visit their family and friends, makes VFR traffic considerable in this region. Our everyday low fares also encourage people to travel to more places more often and hav-
ing friends and relatives just a few hours’ flight away, means it is now even easier and more affordable to see them.” With specially-designed packages signifying an important factor for the VFR segment, in order to have all the necessities in place, efficiently and at an affordable price, flydubai also recently launched car rental in association with CarTrawler, which can be booked either with flydubai flights or separately.
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MARKET UPDATE
TRAVEL TRADE WEEKLY MANAGING EDITOR Mary Kammitsi mary@traveltradeweekly.travel JOURNALISTS Stefanie Saghbini Rita Kasziba Dominique Christou Melanthia Avgousti
Ras Al Khaimah: Record Number of Visitors Ras Al Khaimah recorded a total of 835,200 visitors in 2011, exceeding, for the first time, the previously targeted 800,000 milestone.
SALES & MARKETING Maria Demetriadou Brighite Ess Dominique Tennant DESIGN & LAYOUT Elena Stylianou DIRECTORS Andreas Constantinides Mary Kammitsi HEADQUARTERS T.T.W. Travel Trade Weekly LTD P.O. Box 25255, Nicosia 1308 Cyprus Tel: +357 22 021607, Fax: +357 22 210466 WEBSITE www.traveltradeweekly.travel EMAILS info@traveltradeweekly.travel sales@traveltradeweekly.travel editorial@traveltradeweekly.travel PRINTED IN CYPRUS Cyprint Plc P.O. Box 58300, CY-3732, Limassol, Cyprus Tel: +357 25 720035, Fax: +357 25 720123 Email: info@cyprint.com.cy
MENA EXCHANGE RATES Accurate as of
23/02/2012 Currencies shown in red are fixed against the US Dollar
COUNTRY
CURRENCY
1USD=
UAE (AED)
Dirham
3.67
Egypt (EGP)
Pound
6.04
Saudi Arabia (SAR)
Riyal
3.75
Lebanon (LBP)
Pound
1,505.50
Bahrain (BHD)
Dinar
0.37
Jordan (JOD)
Dinar
0.71
Syria (SYP)
Pound
57.45
Kuwait (KWD)
Dinar
0.28
Qatar (QAR)
Riyal
3.64
Oman (OMR)
Rial
0.38
Tunisia (TND)
Dinar
1.50
Morocco (MAD)
Dirham
8.41
Iran (IRR)
Riyal
12,275.00
Yemen (YER)
Rial
219.26
Algeria (DZD)
Dinar
74.29
Libya (LYD)
Dinar
1.25
B
ased on Ras Al Khaimah Tourism Investment and Development Authority’s (Ras Al Khaimah TIDA) report, the recordbreaking visitor volume, was up 40 percent compared with the 2010 levels. Ras Al Khaimah welcomed travellers from fairly diverse markets, including Russia, the UK, Italy, Austria, and Switzerland. With a significant increase of 200 percent over 2010 levels, Germany proved to be the strongest market with more than 300,000 visitors, followed by the UAE with more than 200,000 travellers, up 100 percent over 2010. Reflecting the destination’s rising popularity, the emirate’s hotels, including both beach resorts and city hotels, reported a promising increase in occupancy, along with a significant improvement in RevPAR. Overall, the robust surge in arrivals resulted in total hotel revenue reaching AED400 million (USD108 million), a year-on-year increase of 37.61 percent. Commenting on the figures, Victor Louis, chief operating officer, Ras Al Khaimah TIDA, said, “Ras Al Khaimah TIDA was established in May 2011, and by the end of 2011 we had exceeded our target of welcoming 800,000 visitors to the rising emirate of Ras Al Khaimah. “This has been achieved due to the joint cooperation of our travel partners both within Ras Al Khaimah and beyond, and is testimony to Ras Al Khaimah’s
viability and attractiveness as a tourist and tourism investment destination.” By re-branding the rising emirate as a ‘premier affordable luxury destination for leisure, adventure and business travel’, supported by a proactive marketing and promotional campaign across the GCC as well as specific European markets, the authority aims to further enhance the Ras Al Khaimah's popularity.
Overall, the robust surge in arrivals resulted in total hotel revenue reaching AED400 million (USD108 million), a year-on-year increase of 37.61 percent
“With new attractions, hotels, and resorts, including the 349-room Waldorf Astoria Ras Al Khaimah luxury brand property, and the 640-room resort Bab Al Bahr, both scheduled to open in the fourth quarter of the year, as well as continuing the charter flights from European destinations, our goal of welcoming 1.2 million visitors by 2013 and reaching the hotel room inventory of 10,000 rooms by 2016 is on track and will be achieved in the rising emirate of Ras Al Khaimah,” concluded Louis.
Success for Abu Dhabi Abu Dhabi recorded its most successful year ever in terms of hotel guest arrivals, with 2,111,611 visitors staying in the emirate’s hotels and hotel apartments, exceeding its 2011 target of two million by 6.5 percent, equivalent to 100,000 more guests. Annual growth was recorded across a number of key metrics including guest nights, which were up 22 percent to 6.3 million, occupancy levels, which rose seven percent to 69 percent, revenue, which rose Abu Dhabi skyline three percent to AED4.38 billion (USD1.2 billion), and length of stay, which expanded five percent to 2.97 nights. Room revenue increased by two percent to AED2.3 billion (USD631 million), though the average room rate slipped by 14 percent to AED490 (USD133), while food and beverage revenue increased by six percent to AED1.605 billion (USD434.72 million).
MARCH 2012
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VISIT
Egypt
An Impulse to Soar Stefanie Saghbini
A
writes
year of transition lies ahead for Egypt, across every sector, with necessary decisions in need to be finalised and put into practice, and the country’s tourism industry has certainly not be alienated from this need of urgency, as a drop in tourism figures of up to 57 percent was witnessed in some parts of the country, during 2011. Consequently, Egypt welcomed some 14.7 million visitors in total during 2010, equivalent of a 17.5 percent increase over the previous year, with its largest feeder market coming from the European region, in particular from the central and eastern part of the continent, this according to statistics released by the World Tourism Organisation (UNWTO). Thus, the major decline in 2011’s tourism figures, has paved the way for professionals throughout the industry, to gear up for this year and progressively re-
Cairo
EGYPT IN BRIEF Capital: Cairo Currency: Egyptian Pound (EGP) Language: Arabic
Egypt, in its entirety, may have been significantly hurled backwards during 2011, however with the power of an unyielding foundation upon which today stands a world of countless traditions blended with a natural aptitude for progression, the country is likely to re-surface, even better and stronger than before.
MARCH 2012
Egypt
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museum will be located on the Cairo – Alexandria road, overlooking the infamous Giza pyramids. FOCUSING ON CORE RESPONSIBILITIES
The Atrium at the Fairmont Heliopolis & Towers
formulate strategic business plans and implement new programmes, as a means of adapting accordingly to the current climate with hope for a speedy recovery. REBUILDING ITS IMAGE Despite having just experienced a rather turbulent year, a glimmer of optimism seems to percolate upon the tourism sector, as the pieces are collected and puzzled back together, slowly but surely. Confirming the complex yet hopeful situation at hand, Maged Nasr, resident manager, Grand Nile Tower said, “Certainly 2011 was a tough year for the Egyptian tourism industry, but of course tourism in the country is much stronger, and it will come back to form soon. The situation is returning step by step. We are expecting the situation to become better during 2012, due to the political stability we are approaching, and the higher expected demands for Cairo.” Magdy Naguib, general manager, JW Marriott Hotel Cairo, shares a similar positive opinion. “I am optimistic about Egypt; a quick rebound, looking forward to the pro-democratic change, and the new era, to go hand in hand with an upturn in tourism. Egypt has been a focus of worldwide media attention, thus tourism officials will step up their marketing measures accordingly, focusing on increased participation at international events and media marketing activities. Using the revolution as the marketing strategy is the brand new trend for promoting Egypt tourism 2012, and the future.” Meanwhile, the UNWTO is in the process of coordinating an upcoming two-day event, set to take place in April, entitled Partnering with the Media in Challenging Times: 2nd UNWTO International Conference on Tourism and Media; the first of which took place in Croatia in 2011. This upscale event will bring together major names in the tourism and media industries, in the quickly developing city of Marsa Alam, and is to offer participants a networking platform to debate tourism’s role in the evolving media landscape, and provide them with key insights into tourism-related communications as well as into the sector at large. Carefully designed with the perfect tools for both MARCH 2012
industries’ professionals, the conference is to contribute to the better positioning of tourism coverage in the media as a concrete part of overall plausible media messaging to the public. Also emphasising the importance of working together to rebuild the country’s respectable image, with a focus on strategically planning the future, is Eric Piatti, general manager, Fairmont Heliopolis & Towers, who advised, “The solution is really in the hands of each and every individual and depends on how quick the new government will be able to restore stability, and promote a safe, secure image to the rest of the world.” SEIZING ITS POSITION Meanwhile, a stable political situation, innovative products, attractive offerings, and numerous mega developments will win Egypt back its leading position within both the leisure and business segments, this according to Nasr. This is the promising path of progress being followed by the country’s respectable tourism segments in a bid to lure back existing and potential visitors. And the recent announcement by Mohamed Ibrahim Ali, minster of antiquities, Egypt, of the final phase of the upcoming Grand Egyptian Museum is just the beginning of a somewhat prosperous year ahead. Slated to launch in the second half of 2015, the long-awaited
Fairmont Heliopolis & Towers is one such hotel which recently made a number of changes to its interior, introducing The Fairmont Room at the Heliopolis wing, created by London-based hospitality interior designer company HBA/Hirsch Bedner and Partners. According to Piatti, the design scheme was aimed at turning the guestroom into a luxurious accommodation that is simply unrivalled. Regarding business in 2011, the hotel may have suffered losses from the leisure and MICE segments, however the hotel’s local clientele proved to be a winner, as did its social functions segment, highlighted Piatti, who said, “On a positive note, the domestic market has been extremely supportive and a key to our success for the food and beverage division in both restaurants and banqueting. Social functions such as weddings and engagements were the main demand driver. We supported the wedding segment by hosting our annual wedding festival where our guests had the opportunity to attend two fabulous and successful fashion shows.” In addition, Kempinski Nile Hotel, recognised as part of the prestigious Leading Hotels of the World
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Group, said to be a first for Cairo, has been endeavouring to position itself as the second best hotel located in the downtown area, in terms of revenue penetration, despite having recently experienced a drop in figures, this according to Eman Yasaky, public relations manager, Kempinski Nile, who added, “Experiencing low occupancy helped us to focus on our core responsibility which is taking care of our guests and making them experience an unforgettable time when in Cairo. Amid the current political and economic context, the hotel's strategy revolves around two main pillars, as Yasaky noted, “The first is the active development of the local market primarily focused on maximising food and beverage/ancillary revenue, as well as increasing week-end room occupancy, and the second is the renewed focus on the GCC as a feeder market for mid- to long-term business generation, and in doing so, our approach is to promote and communicate high-end products and services such as our luxury, Grand Deluxe, and Imperial suites, at competitive rates.” Cairo is also set to welcome a brand new Kempinski property in 2013, namely the Royal Maxim Hotel Kempinski, which, upon opening, is said to feature the largest ballroom in Egypt. At the same time, Grand Nile Tower is also focusing on promoting its banqueting services, maximis-
Egypt The Ritz-Cartlon Sharm El Sheikh
Corals of the Red Sea
ing the hotel’s dining facilities, and increasing room occupancy, with a close eye on its popular local leisure market, Nasr, explained. “Grand Nile Tower has always been the preferred hotel to the GCC leisure market due to its renowned unique prime location poised on the River Nile, and offering the best standards of hospitality service,” he said, attributing these elements to the hotel’s success during the challenging period while looking ahead with an optimistic future vision. Moreover, Nasr underlined the hotel’s successful hosting of various types of events throughout 2011, including the launch of CBC channel, South African women’s day, Latin American Ambassadors’ celebration, the Embassy of KSA Forum ‘Riyadh El Nile, as well as several national days for various countries, and many more. As a result of thriving results, the hotel will, this year, continue to offer very special wedding packages with commitment to excellence, according to Nasr, who added that focus will also be placed on increasing the GCC and Middle East markets, as the main regions in the area. Another such hotel famous for hosting large upscale events is the JW Marriott Hotel Cairo, which boasts the recently renovated, Tutankhamun, one of the capital’s largest ballrooms accommodating up to 2,000 guests. “Famed for its prestige, the newly renovated Tutankhamun Ballroom is in a league of its own,” Naguib, said. Located in Mirage City, some
10 minutes away from Cairo’s International Airport, JW Marriott Hotel Cairo also recently introduced a new executive lounge to its corporate guests adding to its business amenities, which include 19 meeting rooms of various sizes. Regarding business overall during 2011, the hotel was ranked first in occupancy and in RevPAR, throughout Cairo, this according to Naguib. Across the southern region of the Sinai and onto the famous destination of the Red Sea coast, The RitzCarlton, Sharm El Sheikh, has been pressing ahead with changes throughout its core with the aim of improving guests’ experience at the resort, this according to JeanFrancois Gouvrit, general manager, The Ritz-Carlton, Sharm El Sheikh. The hotel recently finalised the revamp of the bathrooms in some of the hotel’s guestrooms, bringing them up to the brand’s well-known high-level of standards, while the food and beverage outlets were given a lift with the addition of a grill station in three of its restaurants. Overall, during 2011, the hotel catered mostly to the UK market, followed by the Russians, the Italians, the Ukranians, the Eastern Europeans, the Gulf regions, the Middle Easterners, the Germans, and the Scandinavians. With reference to this year’s focuses, Gouvrit commented, “We believe that more emphasis needs to be given to the Scandinavian as well as the Swiss market, as they have good growth potential and normally very much like our property. Overall, as a result of Sharm El Sheikh experiencing a drop of approximately 57.5 percent in tourism compared to 2010, travel agents have been placing their efforts to create the best packages, according to Gouvrit, who emphasised, “This saw a big shift in trends when the all-inclusive type packages were being introduced to resolve the situation, which experienced a total of 92 percent of visitors to the region relying on these offers. Unfortunately, this was hard for the Ritz-Carlton Sharm El Sheikh, as we focus highly on quality, not quantity,” he explained. PROMOTING THE COUNTRY Meanwhile, travel agents and tour operators around the country have also been feeling somewhat optimistic regarding tourism, by moving forward with the promotion of Egypt as a global tourism hub through the upgrading of services and designing of new MARCH 2012
Egypt
A Traditional Soukh
products, some of which will be promoted at this year’s worldwide travel trade shows. Marwa Nafady, e-tourism travel consultant, Fly Well Egypt, expects some good rush to Egypt during the second half of this year, provided the political situation, which includes the presidential elections, is passed peacefully. “Attending travel exhibitions, constantly developing its website, directing visits to tour operator for selected markets, alongside FAM trips to the country, are all part of Fly Well Egypt’s strategies in continuing to promote the country as a worldwide tourism hotspot,” she explained. Moreover, Fly Well Egypt is continuously improving its services to both local and international customers, having recently opened its e-marketing division to attract, as well as look after, clients who wish to visit Egypt, through communication via its website, this according to Nafady.
organisers, in a bid to cater to these markets. Likewise, Perfect Tours recently decided to implement new programmes to its agenda such as the introduction of a visit to Tahrir Square, which was a focal point of the revolution in the country. According to Ibrahim Mohammed, managing director, Perfect Tours, this created a positive outcome. “The above programme was very successful and attracted a lot of tourists who were very interested to come and visit this historical place,” he noted, stressing that visitors from Germany, the US, and South Africa, as well as the golf segment, remained the travel company’s most popular markets throughout 2011. With reference to targeted inbound tourism markets to Egypt this year, Perfect Tours is dealing with the Far East, as well as India with a focus on special packages offered in Cairo that will continue to include, for free, the visit of Tahrir square and all areas of the Egypt revolution. ESPIRIT DE CORPS
Sailing on the River Nile
In addition, the travel company has diversified its product even further by opening its Hajj and Umrah divisions serving clients who wish to perform these pilgrimages. Having proven popular among Australian, American, and British tourists, during 2011, the travel company will, this year, be looking at the Far East and Eastern Europe segments, with packages this year consisting of classical tours in addition to conventions and incentive groups, as a rapidly developing focus is being placed on special interest groups and F.I.T. tailor-made packages, according to Nafady, who underlined close collaboration with four- and fivestar hotels, mainly five-star Nile cruises, transportation companies, Red Sea diving centres, and safari MARCH 2012
Travel professionals across Egypt have been remaining positive, despite the situation which ripped through the country in 2011, and, in return, are finding the strength to spread this sense of optimism across the entire sector, assuring that no stone is left unturned. “Travel industry is the leading force to improve our economy status, and the quickest tool to reduce unemployment. We are here to build our country hand in hand with everybody,” Hafady
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expressed, while Mohamed reiterated this need to work together to survive these difficult times. “Egypt was known throughout its history as a destination for tourists and travellers, and we have to admit that the prosper tourism that Egypt had before January 25, 2011, is totally different after the revolution. Hence, all agencies should collaborate and offer the maximum possible discount in order to encourage the other countries to come back and travel to Egypt. Until conditions go back to normal, I believe reasonable offers for Egyptians and foreigners help tourism to take its first step towards recovery.” Gouvrit advised fellow tourism professionals to call attention to the entire team. “Focus on your people, the employees. If I look out at our property, I see how much the staff has been aware of creating the perfect experience for the guest. Local customers were commenting on the speed and quality of the service provided by our employees, and this is what they want. This little sense of urgency makes a difference. It is important to share these experiences with the guests and to drive positivity. Our guests are our little victories, so it is very important for them to leave us having created special memories.” Nasr concluded, “Let’s have an optimistic vision for the future and work altogether in order to achieve our aim.”
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EXPLORE
Dubai
Redefined Identity, Reclaimed Glory
Dubai
Rita Kasziba writes
F
ollowing a recent slight setback to its buoyant economy, Dubai has managed to regain its dynamism, drawing on the breadth of resources and depth of expertise driven by the vision of presenting itself as a peaceful haven
and a global metropolis with a distinctive appeal. Having safely reclaimed its glory, the destination has not only disproved its mischievous critics, but has also progressed to fulfill its ambitions, penetrate new markets, and lure visitors from all walks of life and origins. “Like any other place around the world, the economic slowdown has had its effects on most sectors and industries, and one of them is hospitality and tourism,” indicated Peter Mansourian, general manager, Grand Millennium Dubai. “However, it has picked itself up gradually until it reached a quiet satisfactory stage.” Moussa El Hayek, chief operating officer, Al Bustan Centre & Residence, concurred, adding, “Dubai once again regained its position due to the safe environment, developed infrastructure, and worldclass attractions.” Professionals working across the emirate’s tourism industry agree that the stable environment has long been vital to Dubai’s appealing image, with Nicolas Villemin, director of sales, Habtoor Grand Beach Resort & Spa, also attributing the success to first-class infrastructure, Dubai’s brand name, constant new flights, and a balance in its social and political fields. “Due to social and political stability in addi-
Dubai, by virtue of its convenient location and its unique blend of Arabian heritage and modern luxury, has long planted itself in the world’s limelight. Over the past few years, the destination has vigorously pursued its diversification strategy to distinguish itself from its neighbours and establish its very own character. DUBAI IN BRIEF Country: UAE Currency: UAE Dirhams (AED) Language: Arabic
tion to top quality infrastructure Dubai has reinforced its position as a key destination among key feeder markets, such as Europe and the CIS.” In fact, the safe haven status proved to be a paramount element of Dubai’s sustainable economic development, and its tourism industry, in particular, with the destination eventually benefitting from the challenges faced in other parts of the Middle East and North Africa, as Frank Owens, group general manager, Emirates Grand Hotel, indicated, “[The ongoing unrest in parts of the region], in fact, contributed to the increase in occupancy.” Michel Noblet, CEO, Hospitality Management Holdings (HMH), added, “Recently, a lot of business was re-routed to Dubai especially from destinations like Bahrain, Egypt, Tunisia, and Syria, owing to the Arab Spring.” Along the same lines, Samer Homsi, general manager, Clover Creek Hotel Apartments, added, “The MARCH 2012
Dubai
There is no place that Dubai has not reached as yet
destination whilst catering to niche segments, such as MICE, leisure, cruise, shopping, and sports, and with a strong focus on involving the private sector. “Dubai tourism industry’s success story is a perfect example of stronger and fruitful cooperation between the public and private sector,” Rahman emphasised. “At the DTCM, we give greater importance to their participation as they are the key players in the whole market. We have consultative committees for various segments of the market and we hold periodic meetings with them to listen to their views and suggestions, and we also share our insights and initiatives with them. It is a two-way interaction.” SHIFTING PATTERNS
JW Marriott Marquis Dubai
unrest in some parts of the region was one of the reasons that helped in increasing the traffic to Dubai and the UAE in general.” A PERFECT EXAMPLE With figures released by Dubai Department of Tourism & Commerce Marketing (DTCM) to prove this accomplishment, Eyad Abdul Rahman, executive director, media relations and business development, DTCM, announced, “As per the performance during January and September 2011 period, Saudi Arabia topped the list, with 658,631 guests, followed by India, with 501,508 guests, and the UK, with 476,919 guests. The list of the top 20 source markets also includes Iran, US, Kuwait, Germany, Pakistan, Oman, Russia, China, Australia, Egypt, France, Philippines, Qatar, Italy, Jordan, Lebanon, and Bahrain.” Over the past two decades, DTCM embarked on a number of initiatives to broaden the appeal of the MARCH 2012
“The tourism sector is showing tremendous growth,” indicated Owens. “Tourists from all over the world have started pouring in and all the hotels are showing 100 percent occupancy. What is noticed during this time is the increasing interest from families from Europe.” According to Noblet, hotels operating under HMH’s umbrella have also witnessed an increase in inbound traffic over the last few months from the GCC, Russia, parts of Asia and Africa, as well as recorded a significant rebound in clientele from Saudi Arabia, Qatar, Oman, Lebanon, and Jordan. Mirroring Dubai’s changing image, developing markets from all around the world have started significantly contributing to the destination’s prosperity, noted Anwar Abu Monassar, director of operations, The Vision Destination Management, who said, “The world is changing with new economic powers since years gaining share. We have some core markets for our main segments, but any company with a clear understanding of the economy is nowadays following, deeply, those countries known as BRIC (Brazil, Russia, India, China).” Victor Dsouza, manager, leisure and inbound division, Al Rostamani Travel, also commented on the emirate’s shift in targeted segments, “Dubai is now beginning to focus on new source markets like Scandinavia, South America, and Africa, especially Zimbabwe and Zambia. We expect to
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grow the business in these markets, as well as indentify and explore new ones based on plans being carried out by DTCM.” Commenting on the rapidly expanding networks of the emirate’s airlines, Rahman said, “Emirates and flydubai have been contributing to our tourism industry’s growth, their expansions and introduction of new destinations on their networks. This has resulted in more tourists coming to Dubai, especially from new markets like Brazil, Russia, Latvia, India, and Arab countries.” According to Mohd Al Rais, deputy managing director, Al Rais Travel, Dubai has a unique ability to bounce back. “Since the last few years, Dubai’s tourism performance was never down. As some markets get affected others compensate. Example, when Europe came down, China and Africa came up heavily.” AN AWARD WINNER Underscoring the industry’s positive outlook, Dubai International closed 2011 on a high note after welcoming a record number of passengers, 50.98 million, up eight percent over 2010. Meanwhile, aircraft movements totalled 326,317, representing a 6.2 percent year-on-year increase at the airport, and according to Dubai Airports’ annual report, the strongest markets served in terms of total
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passenger numbers at Dubai International included India, UK, Saudi Arabia, Pakistan, Qatar, Germany, and the US. The airport, however, also experienced a robust surge from newly emerging destinations with the most significant percentage of traffic growth being reported on routes linking the emirate to Eastern Europe, up 81 percent, Russia and CIS, up 30.5 percent, the GCC, which increased by 26.5 percent, and North America, setting an increase of 16.1 percent. Commenting on these accomplishments, Paul Griffiths, CEO, Dubai Airports, said, “Recording 51 million passengers in our 51st year of operations may be somewhat coincidental, but it speaks volumes of the momentum building at one of the world’s fastest growing international hubs.” Dubai Airports has announced that it will invest USD7.8 billion in airport expansion to boost the current capacity from 60 million passengers per year to 90 million annual passengers by 2018. The next significant step in these expansion plans will be the completion of Concourse 3, the world’s largest dedicated A380 facility, scheduled for the end of the year. Meanwhile, the secondary airport, Dubai World Central (DWC) is preparing to welcome its first passengers, according to Griffiths. “Dubai International will continue to serve as the primary focus of expansion. That said, operational trails for DWC’s passenger
Dubai terminal are set to start during the second quarter of this year and we could see commercial passenger operations commence in 2013,” he said. NO SIGNS OF LANDING Emirates’ continuous expansion has long played a major part in the surge of Dubai’s visitor volume. “Over the past five years alone, international passenger numbers at Dubai International have virtually doubled from 24.8 million in 2005 to 50.9 million in 2011. Dubai International ranks fourth globally for international passenger and cargo traffic,” highlighted Jean Luc Grillet, senior vice president, commercial operations, Emirates. “Emirates’ passenger numbers have increased six-fold over the course of a decade, making it the largest airline in the world in terms of international passenger kilometres.” Meanwhile, flydubai has also strongly contributed to broaden Dubai’s reach to global markets, thus diversifying its tourism sector with its rapid development. Ghaith Al Ghaith, CEO, flydubai, summed up the carrier’s performance in 2011, “In terms of new destinations, our network expansion was maintained throughout the year, with new services launched to [a number of ] destinations. By the end of 2011, we served more than 45 destinations across 27 countries.”
Regarding passenger numbers and route demands, the airline sustained a high seat load factor on all of its networks, as Al Ghaith confirmed, ”In the GCC, we have a high frequency of flights of up to eight times a day to destinations such as Qatar or Kuwait, which indicates the high demand on such routes.” LUXURY VERSUS BUDGET As Dubai becomes a more accessible destination, with the airlines’ aggressive growth strategies, hotels have also been benefitting from the gradual growth in visitor numbers and the improvement of occupancy levels, noted Andrew Hughes, director of sales and marketing, Mövenpick Hotel Ibn Battuta Gate, Dubai. “With the continued expansion of the airlines, including Emirates, Etihad Airways, and flydubai, Dubai is opening to more markets than ever. “ During the first three quarters of 2011, Dubai hotels welcomed a total of 6.64 million guests, representing a strong 11 percent increase versus 2010, according to DTCM. Guest nights during the same period rose by 26 percent reaching 23.68 million, while the average length of stay improved 14 percent. Meanwhile the number of hotel establishments increased one percent to 573, with the total hotel rooms and flats jumping seven percent to total in 73,522.
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As for the whole year, Dubai eventually recorded the second largest growth in occupancy levels in the Middle East and Africa, following Abu Dhabi, with a seven percent increase to 75.4 percent, based on STR Global’s annual report. Moreover, the destination also achieved the largest RevPAR improvement, jumping 10.7 percent to USD168.64. “We are also seeing a greater demand for midmarket hotels in Dubai. Owing to budget carriers, the city has become more accessible to mid-market travellers. The business forecast is, at the moment, looking quite promising for both luxury and budget hotels,” indicated Noblet. Owens further added, “We are seeing growth because Dubai is now an affordable destination.” Sharing precisely the same opinion, Janet Fitzner, general manager, Radisson Blu Hotel Deira Creek, added, “Dubai has a lot to offer, and here impossible is possible. Dubai is rich in its hotel and dining options, offers numerous attractions, and shopping facilities.” STIMULATING BUSINESS INTEREST Besides the strong leisure and business segment, hoteliers firmly rely on the destination’s host of events. “Dubai continues to host major events which stimulate a high level of interest for travellers,” Mansourian
Dubai pointed out, while Deepak Thapar, director of sales and marketing, Asiana Hotel Dubai, shared the same opinion, “We are looking into local exhibitions and events in Dubai to give us a fair amount of business to boost the occupancy.”
Dubai International
With the fifth Middle East Meetings Industry Research Report having named Dubai and Abu Dhabi top MENA MICE destinations, the outlook for Dubai’s meetings sector looks convincing. “MICE remains strong and we see 2012 recording strong growth with Dubai World Trade Centre alone hosting 115 exhibitions and conferences, 15 percent more than in 2011,”
Rahman confirmed. Although the incentive market may have dipped in the last few years, the demand for meeting space continued to fuel the segment, noted Syed Mehdi, director of sales and marketing, City Seasons Hotel and City Seasons Suites, Dubai. “Take a look at our meeting room boards on any given day and you will surely see at least one training organisation running a workshop,” he said. “Currently the percentage of business we get from MICE market is four percent but we are looking to double that this year.” Stefan Viard, hotel manager, The Address Dubai Mall, added, “With several global conferences, trade exhibitions, and seminars held in Dubai, the city’s reputation as a hub for MICE tourism has been further enhanced. This is yet another shift witnessed by Dubai’s tourism sector.” SPOILT FOR CHOICE Underneath Dubai’s umbrella of offerings, comes the emirate’s booming cruise industry. In 2011, the cruise terminal recorded 135 cruise ship dockings and some 375,000 tourists. “Cruise tourism is a new segment for us,” explained Rahman. “It is, in fact, 10 years old now. We expect more than 400,000 cruise tourists this year
MARCH 2012
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Dubai and our cruise terminal will be expanded by the end of this year to receive up to five ocean-going ships.” Another segment being largely promoted due to emirate’s state-of-the-art facilities is sports tourism. “Dubai is the sporting capital of the Middle East and it hosts several prestigious events all round the year. This segment is showing an increase and should be contributing enormously to our targets,” Rahman added. As part of its cosmopolitan image, shopping has also become a cornerstone of Dubai’s tourism industry with The Dubai Mall reporting an incredible annual footfall of 54 million in 2011.
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Dubai Creek
PROMISING ACCOMMODATION PROSPECTS One of the soon-to-open properties adding to Dubai’s accommodation preferences is Meliá Dubai. “The new Meliá Dubai does not only offer contemporary rooms, but also a variety of elegantly designed suites,” Gilles Longuet, general manager, Meliá Dubai commented. “We can see already now that the interest in our hotel, both from the local market as well as the GCC market, is quite big.” DAMAC Properties has also outlined ambitious plans for this year and beyond as Niall McLoughlin, senior vice president, DAMAC Properties, expressed, “We believe the hospitality sector will provide the most scope for growth this year. Within the hospitality sector, we remain strategically focused on the serviced-apartment development model, with construction continuing at pace at our Burjside Boulevard project in Downtown Dubai.” Another new hotel emerging on Dubai’s skyline is Rixos The Palm Dubai, Rixos Hotel’s first venture in the Middle East. “The hotel is scheduled to open its doors in the next few weeks,” said Erol Sezer, general manager, Dubai projects, Rixos Hotels. Following its successful debut in 2011, Auris Hotel is to consolidate its presence in Dubai, explained David Milican, corporate director, sales and marketing, Auris Hotels. “The Auris Plaza Hotel will be the flagship of the company,” added Milican. “Opening in spring, the five-star property will offer 337 rooms including 54 suites. Located directly behind Mall of the Emirates in Al Barsha, the hotel will be targeting both corporate and leisure segments.” Auris Hotels will also be opening the Metro Central Suites Hotel this spring. Accor has already embarked on this year’s expansion, with the launch of Mercure Gold Hotel Al Mina Road, marketing the brand’s debut in the emirate. ”In Dubai, we currently have 13 hotels representing 3,852 rooms, and we plan to open four new hotels representing 1,713 rooms by 2014,” Christophe Landais, managing director, Accor Middle East, confirmed. Opening later this year is the 354-room Pullman Dubai Jumeirah Lake, while the 466-room Novotel Dubai Al Barsha, and Sofitel Dubai Palm Jumeirah Resort & Spa, boasting 543 rooms, are scheduled to welcome their first guests in 2013. Also joining Accor’s regional footprint is the 350-room Sofitel Dubai MARCH 2012
Sheikh Zayed Road with a targeted opening in 2014. Meanwhile, Marriott International is also aiming high with the launch of the world’s tallest dedicated hotel. The 1,608-room JW Marriott Marquis Dubai will also signal the brand’s debut outside North America when it opens later this year. “JW Marriott Marquis Dubai is on track to open in quarter four,” confirmed Jeff Strachan, vice president, sales and marketing, Middle East and Africa, Marriott International. “Marriott Dubai Healthcare City and Marriott Executive Apartments, Dubai Healthcare City, are scheduled for a 2013 opening while the development in Lifestyle City is in the very early stages of site work and construction preparation.” InterContinental Hotels Group’s first Staybridge Suites branded property in Dubai, Staybridge Suites Dubai – Union Square is expected to welcome its first guest at the end of the year. Rotana, meanwhile, plans to add two properties to its Dubai portfolio with both the 428-room Al Ghurair Rayhaan by Rotana and the 193-key Al-Ghurair Arjaan by Rotana due to open in the third quarter. Hilton Worldwide has in 2011 signed an agreement with Al Habtoor Group to develop the very first Waldorf Astoria Hotels & Resorts property in Dubai. Located on the iconic Palm Jumeirah, the 324-room hotel is scheduled to open at the end of 2013. According to Noblet,
HMH is also looking to extend its portfolio, one of them, opening in Dubai, is Coral International Sports City, scheduled to be launched in 2013. Furthermore, housed within the Dubai International Financial Centre, Rosewood Dubai is slated for launch late 2013, and another hospitality company with a varied portfolio set to further extend its offering is Jebel Ali International Hotels, as David Thomson, regional general manger, Jebel Ali International Hotels, confirmed, “Our next addition will be a four-star beach hotel in Dubai, set to open by the fourth quarter of the year.”
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Singapore
A Whole New Dimension Singapore is renowned for its healthy number of entertainment offerings, providing a perfectly formulated choice for the leisure tourist while concurrently serving as a burgeoning MICE destination, resulting in an all-inclusive global hotspot.
Singapore
Dominique Christou writes
SINGAPORE IN BRIEF Capital: Singapore Currency: Singapore Dollar (SGD) Language: Malay, English
S
ingapore has, over the years, progressively and proficiently ripened into becoming home to an abundance of highly-entertaining options, ideally suited for those travelling to the country to enjoy its ex-
clusive leisure services, over and above providing business visitors with some of the world’s leading MICE facilities. The MENA traveller, exceptionally eager to experience the rapidly developing country, has largely contributed to Singapore’s tourism figures, especially during recent years, making it a premier destination brand in the region. Euromonitor International affirms that Egyptian arrivals produced the largest increase in incoming tourist receipts in 2010, while Saudi Arabia accounted for the second highest growth. Moreover, data released by the Singapore Tourism Board (STB), has also shown a recent boom in tourism figures from the MENA region, by some 50 percent in just three years. As a result, the STB office in Dubai has set focuses this year on Singapore’s ongoing transformation, with emphasis on strengthening the understanding between the people of the Middle East and Singapore. In 2011, the authority successfully inaugurated the Middle East launch of two programmes; the Global Chef Exchange, and the Transformational Learning Journey, to realise the country's creative and academic vision in the Middle East through developing partnerships with the region’s young and vibrant arts and culture scene, as well as its globally renowned executive education sector.
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ONSITE
CONTINUING TO BLOOM Year-on-year, Middle East-based visitor arrival numbers are likely to continue to increase significantly, with leisure and business travellers drawn by the growing range of premier attractions, hotels, and tourist amenities, and according to Euromonitor International, the opening of integrated resorts. John Mims, senior vice president, worldwide, sales and resort marketing, Asia, Venetian Hotel Casino, also attributes a majority of the recent boost in
Singapore
inbound tourism numbers to the development of integrated resort. “With the opening of the integrated resorts, the impact to the Singapore tourism sector was immediate and substantial. Marina Bay Sands opened in April 2010 and immediately upon its opening, the number of tourists coming to Singapore increased dramatically, reflecting a distinct change of mood in terms of the environment in Singapore. The results that were generated for the full year of 2010 were record-setting. Tourism grew by 20 percent; the amount of spending by those tourists was up 49
percent,” he said. “This meant that more people were visiting the country and favourably impacting the Singapore economy. In 2011, this growth continued and tourism visitation increased by another 13 percent,” he explained. HIGH QUALITY MEETINGS Marina Bay Sands has also been experiencing consistently high occupancy rates, as a result of the numerous events hosted by MICE groups at the property, this according to Mims. “These MICE events have included several international and regional conferences and tradeshows, across diverse industries. Being the largest hotel in Singapore, Marina Bay Sands has successfully been able to accommodate and service MICE groups alongside the large number of tourists and leisure seekers who have also stayed at the hotel. Special measures are often taken to ensure that these MICE groups are taken care of in the most organised and efficient way,” he added. PLENTY FOR ALL With integrated resorts being a vastly popular tourism trait in the country, a large number of such developments have recently opened their doors to the public with more in the pipeline. Resorts World Sentosa (RWS), is one such integrated resort which recently opened two eco-luxurious hotels, namely the Equarius Hotel, and Beach Villas, at its 49-hectare mega-resort. The two hotels are set to redefine resort-style vacations in Singapore with 360-degree views that take in the waterfront, the harbor front skyline, and a lush tropical rainforest. Commenting on these new additions to Singapore’s resorts portfolio, Roger Lienhard, senior vice president, hospitality development and projects, RWS, said, “The hotels are the perfect tranquil getaway, offering guests the chance to be close to nature, lush greenery and serene waters. Yet, what sets the hotels apart is that guests are still just minutes away from the fun and thrills of RWS, and within easy reach to the city for business travellers.” MARCH 2012
Russia
One Brick at a Time Despite being the largest country in the world and one of the best-endowed in resources, Russia has had to make a great deal of efforts to change its global image and improve its status. Having accomplished these aims to the highest degree, the country has managed to fill its blank spot on the world's tourism map. RUSSIA IN BRIEF Capital: Moscow Currency: Ruble (RUB) Language: Russian
Rita Kasziba writes
R
ussia has been witnessing an exceptional period of changes and challenges over the past two decades, and with regards to the tourism industry, the country has firmly positioned itself at centre stage, having established robust infrastructural developments and host of large-scale investments. Russia has long been focusing on developing tourism as another major backbone to its social and economic development, and despite being faced with multiple challenges, the country’s positive long-term prospects attract huge international interest, from businessmen seeking investment opportunities to holidaymakers ready to indulge in the culture, and now from sport fans who are gearing up for one of the biggest sporting events, the FIFA World Cup. According to Steven Parker, group country manager, Russia, CIS, and South-East Europe, Visa, it is the country's rich history and vast geography which attracts millions of international visitors to the country each year, which, in 2010, registered over 22 million international tourists thus improving arrivals and overall inbound tourism spending along with Russia’s economic recovery. Moreover, a study released by VisaVue Travel suggested that international sporting events, such as the Winter Olympics in 2014 in Sochi and the football championship, would provide the host country with significant job creation opportunities along with major infrastructure developments, utterly transforming its image within just a few years. Since the recession in 2009, the country has managed to bounce back following a dip in visitor numbers, which fell some 10 percent year-on-year (y-o-y) to 20.8 million. Business Monitor International’s report suggests that the growth is expected to continue with a more moderate pace this year, and the improvement should accelerate in 2013. Europe still accounts for Russia’s core inbound tourism volume, although Asia and other long-haul countries have also been rising steadily. In fact, the Association of Tour Operators of Russia named Saudi Arabia, Iran, the Gulf states, China, India, Korea, and Turkey as the most promising markets for the country’s inbound tourism sector. MARCH 2012
St. Basil cathedral, Moscow
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Russia
GAINING GLOBAL EXPOSURE
STRENGTHENING CONNECTIONS
Driven by government initiatives, such as the building of economic tourism zones and the hosting of an array of high-scale events, including the Winter Olympic Games and the 2018 FIFA World Cup, tourism imposes bright prospects. According to Taleb Rifai, secretary general, World Tourism Organization (UNWTO), “Upcoming sporting mega-events will offer Russia unmatched global exposure and massive opportunities for nation branding and promotion.” Highlighting the unifying role of the World Cup, Joseph Blatter, president, Federation Internationale de Football Association (FIFA) expressed his hopes that the forthcoming sport event would create a great legacy to Russia. “The World Cup 2018 will not just be 12 stadiums in 11 host cities. Above all, the event is important for the youth of Russia and holding the tournament here can unite the large, multinational and multicultural country.” The MICE business is also on an upward curve, with investors and corporate travellers increasingly seeking promising opportunities. In the recent Europe+Asia Event Forum, Vladimir Strashko, vice president, chamber of commerce and industry, Russian Federation, remarked on the importance of these kinds of events. “Exhibition and congress business in Russia is still undervalued, probably, therefore, Russia holds only one percent of the total volume of the international event market.” Along the same lines, Gregory Sarishvili, deputy head of Russian Federal Agency for Tourism, pointed out, “Business tourism is of high importance; it is one of currently developing and highly profitable fields. According to statistics, business trips make up for 16 percent of all trips in the world; on average one company spends more than USD1 million for business tourism.” In 2010, Russia registered one of the highest growth rates in business trips after witnessing a significant increase of 7.1 percent, further according to Sarishvili. During the same period, more than 4.4 million business trips were made to Russia, including almost 1.4 million from CIS countries.
For the period between January and September 2011, Moscow Domodedovo Airport recorded a solid y-o-y surge of 17 percent in passenger numbers, with some 19.8 million travellers passing through the terminals. International traffic was up 17.6 percent, to over 12.1 million, with the most robust growth, at 60 percent, witnessed on routes from and to Antalya, Barcelona, Munich, Frankfurt, and Paphos. Moscow
Eastern Europe residing in the UAE and more than a million tourists visiting the emirates from this region every year.” Furthermore, aims of further strengthening ties between the Middle East and Russia are being pursued as Air Arabia and Sharjah Commerce & Tourism Development Authority (SCTDA), earlier this year, held a meeting in Moscow to celebrate the commencement of the airline’s new service to the capital city. In addition to offering non-stop flights to Moscow, the carrier now also operates services to Yekaterinburg. “Until September [2011], some 157,136 Russian tourists visited Sharjah. Possibilities of growth in this area are endless,” said Sheikh Sultan bin Ahmed Al Qassimi, chairman, SCTDA. INCREASING THEIR PRESENCE
Meanwhile, the country's national carrier, Aeroflot, recorded a strong 23 percent y-o-y increase in passenger volume during the first eight months of 2011, with the number reaching 9.2 million. Middle Eastern carriers have also been rapidly expanding their network in the previously underserved market, such as flydubai, which has long been making strides to consolidate its presence in the country. By launching scheduled services to Kazam and Ufa in 2011, in addition to the existing Samara and Yekaterinburg routes, the low-cost carrier doubled its Russian network. “Improving air links between Dubai and emerging market is of great strategic importance to us,” emphasised Ghaith Al Ghaith, CEO, flydubai. “There are more than 55,000 expatriates from central and
The vast Russian market has created a promising foundation for some of the world’s largest hotel companies such as Hilton Worldwide which, in October 2011, announced four new developments in the country slated for opening over the next two years. Moreover, the company also signed a multi-property agreement for at least 11 hotels, under the Hampton and Hilton Garden Inn brands, adding another 1,500 rooms to its portfolio. Meanwhile, Hyatt Hotels Corporation has Hyatt Regency Vladivostok, Golden Horn, and Hyatt Vladivostok, Burny, in the development pipeline. Furthermore, InterContinental Hotels Group outlined its ambitious plan to open 100 hotels in Russia by 2020, as it prepares for Europe's largest Holiday Inn property, set to open its doors in Moscow in 2014. The Rezidor Hotel Group also plans to significantly increase its presence, indicated Mark Willis, area vice president, Middle East and Sub-Saharan Africa, The Rezidor Hotel Group, who said, “In Russia we have 19 hotels currently in the pipeline and it is growing rapidly. Despite the sluggish global economic status, in Russia people are still keen on financing projects in the hospitality industry. The next exciting opening in Russia is the Park Inn by Radisson Rosa Khutor hotel based in the ski-resort in Sochi.“
MARCH 2012
Argentina
LONG-HAUL
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A Traveller’s Paradise The versatility of Argentina and the all-year-round travel possibility across the country are both reflected in its subtropical forests encompassing the north, the icy Patagonia of the south, and the endless beaches gracing the eastern coastline. ARGENTINA IN BRIEF Capital: Buenos Aires Currency: Argentinean Peso (ARS) Iguazú Falls
Melanthia Avgousti writes
H
ome to some of the world’s most impressive natural sceneries, Argentina is wellrecognised for providing visitors with an abundance of things to do and places to see, offering top-quality accommodation options made adjustable to travellers' needs. Minister of Tourism, Argentina, continuously strives to offer tourists the ultimate holiday, proposing themed travel choices which include active, sports, and adventure tourism options, comprising trekking, canoeing, rafting, mountaineering, as well as skiing in one of the eight ski resorts across the country. In addition, according to overall sales recorded by inbound travel agent and tour operator, Aliwen Incoming, Iguazú Falls is one of the region’s most popular tourism attractions alongside Perito Moreno Glacier, El Calafate, Patagonia. Gabriel Roussel, general manager, Sheraton Iguazú Resort & Spa, concurred, “The recent crowning of the Iguazú Falls as a new Natural Wonder of the World has proven the exhaustive efforts to position the destination and has moreover increased the attraction over the luxury segment.” A PROMISING PERFORMANCE Approximately 22.7 million passengers passed through Argentina’s airport terminals during 2011, this according to the national airports operator of the country, Aeropuertos Argentina 2000, showing a slight decrease of 0.6 percent in comparison to 2010 results. However, tourism standings projected an overall increase in Argentina, as published in the The Travel & Tourism Competitiveness Report 2011 by the World Economic Forum, which included Argentina being placed at 60 out of 133 countries, in comparison to its 65th position held in 2009. In addition, MARCH 2012
Argentina ranked 11th out of 25 countries on a scale showing travel and tourism competitiveness in the Americas overall. Commeting on the development of tourism in Argentina, Gabriel Oliveri, director of sales and marketing, Four Seasons Hotel Buenos Aires, highlighted the important international market. ” Year by year the arrival of tourists to the country is increasing. Buenos Aires is no doubt one of the most attractive capitals of the world for what it offers.” International tourism to Argentina is indeed widespread as Carolina Muchnik, managing director, Aliwen Incoming, Buenos Aires, explained, “We receive an 80 percent of clients from the UK, then a 10 percent from the Netherlands, and a 10 percent from Canada. The main markets for Argentina, for other ground agents, are firstly the regional countries including Brazil, Chile, and Uruguay, secondly the US, then thirdly Europe.” BRIDGING THE WORLD Ministro Pistarini International Airport, Ezeiza, Buenos Aires, serves as the only airport in Argentina that welcomes international flights, while an additional 32 airports dotted throughout, offer travellers the option of changing flights and visiting the rest of the country. Regarding the MENA source market, visitors from the region can choose from two airlines, which offer direct flights to the capital city. Emir-
Language: Spanish
ates flies directly from Dubai to Buenos Aires, and offers additional flights from other MENA cities, via stops at Rio de Janeiro or São Paulo, Brazil, while Qatar Airways flies directly from Doha, Qatar, to Argentina’s capital, as well as via stops at São Paulo, from other cities across the Middle East. ENJOY YOUR STAY The country’s accommodation sector caters to the growing number of MENA guests, such as the Sheraton Iguazú Resort & Spa, of which two percent of guests come from the MENA region. “We actively encourage our guests to reveal any specific detail that would make their stay more memorable, and we pursue to accomplish this in each visit,” commented Roussel. Likewise, Gabriel Oliveri, director of sales and marketing, Four Seasons Hotel Buenos Aires, also noted a figure of three percent of clientele coming from the MENA region.
TRAVEL TALK
travel talk is your space
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AKBAR AL BAKER
AHMED EL-MELIGUI
CEO, Qatar Airways.
Director of sales and marketing, Salalah Marriott Resort.
“London has long been one of our best performing routes, so Heathrow was an obvious choice for our first premium lounge outside Doha. With the London 2012 Olympic and Paralympic Games taking place this summer, the international spotlight will be on the British capital and we look forward to the increase in capacity and welcoming more premium travellers on our high demand services to London. The lounge is the latest development in our expanding global network and will enable all customers to take full advantage of the high levels of service we provide.”
“We can look back on a very successful second year of operation, and it fulfills me with great pleasure to see this place growing every year stronger in the market. Through the continuous support and the dedication of the whole team, the management and the owning company, Salalah Marriott Resort has itself well positioned in the market. We were able to increase our total number of rooms sold by 10 percent, from 2010 to 2011, which is a great success, considering the mainly compressed market of the Dhofar Region.”
WAEL EL BEHI Executive assistant manager, Ramada Downtown Dubai.
“ITB Berlin is an event where executives from the travel and hospitality industry around the globe gather on a single platform to discuss existing and future marketing and travel concepts. By attending ITB, we will have an opportunity to evaluate other similar industries related to hospitality, and meet visitors and exhibitors to create new fruitful business relationships. We will also take the opportunity to update ourselves with the latest concepts and technology that will help us in running the business successfully.”
TRAVEL TALK IS YOUR SPACE – this is a casual forum for travel industry professionals to discuss current issues and share stories. We want to hear from you, so send your comments, questions, frustrations and observations to editorial@traveltradeweekly.travel MARCH 2012
TRAVEL CHANNELS
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Thailand Targets Middle Eastern Visitors After recording the highest ever visitor numbers from the Middle East, Thailand aims to further increase its popularity among travellers from the region.
I
n 2011, the total number of visitors from the Middle East to Thailand reached a record 471,818, representing a year-on-year growth of 4.09 percent, based on data released by the Tourism Authority of Thailand’s (TAT) Middle East office. According to the report, the UAE remained the single largest market from the region to the Southeast Asian country with 108,462 visitors registered in 2011, up 3.14 percent over the 2010 figures. Since the authority established a direct office in the Middle East for the first time four years ago, the total number of visitors from the region increased by a robust 35 percent.
“Due to strong demand over the last four years for travel to the Middle East’s favourite destination, the airlines from this region have not only increased their capacity but are now flying more than 120 flights per week to Thailand,” said Pramoth Supyen, outgoing director, TAT, Middle East office. “Additionally, new destinations in Thailand are being opened with direct flight access now to Phuket, which is in addition to the flights to the nation’s capital, Bangkok. This increase in both seats and flights is the result of more travel agents actively selling Thailand.” Thailand has proven to be a popular destination among all market segments across the Middle East,
Korea’s Relationship with the Middle East Made in Korea (MIK 2012), a pioneering exhibition in the MENA region showcasing products, services, and technologies from South Korea, has announced that it is preparing the widest selection of tourism destinations and value-added services in South Korea and in the Middle East, set to help generate greater interest and consequently increase travel between the two regions. Organised by Ideal Idea Events, an Emirati exhibitions and events company, MIK 2012 will run between May 21 23, at the Abu Dhabi National Exhibition Centre (ADNEC). Faisal Al Raisi, managing partner, Ideal Idea Events, commented, “Over the past several years we have witnessed a growing number of South Korean businessmen and investors travelling to the Middle East, taking advantage of the region’s tremendous potential for foreign trade and investment. Tourism is another strategically important area of cooperation as it complements the strong economic relations between South Korea and Middle Eastern countries by building goodwill and promoting cultural understanding between the people of both regions. “Made in Korea 2012 is therefore strongly committed to cultivate stronger ties among key stakeholders of the tourism industry in South Korea and the Middle East, while creating new channels of cooperation and interaction by providing a dedicated business-to-business networking platform for key players in the tourism industry.”
MARCH 2012
especially families, couples, and corporate groups, and has emerged as an alternative for medical treatments, school trips, and outdoor adventures as well, according to Wisoot Buachoom, newly appointed director, TAT, Middle East. “The TAT Middle East Office will continue to conduct a proactive marketing and promotional approach to increase the popularity of destination Thailand within the region. New consumer, marketing, and promotional campaigns will be implemented throughout the year, where we have set ourselves a target of a five percent increase in the number of visitors from the region to visit Thailand this year compared to the 2011 figures.”
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EXCLUSIVE
Luxury Travel
Your Wish is Our Command
Dominique Christou writes
L
uxury travel is known to be very popular amongst MENA travellers, who are commonly in search for exquisite products, space in rooms and bathrooms, privacy on the beach, children care, recognition, and top service quality, ac-
cording to Anita Cremer, director of sales and marketing, Emirates Palace, Abu Dhabi. “Emirates Palace is the ultimate of luxury, offering a truly unique regal experience. The space and décor is second to none in the region, in fact in the world. ”We also have some upcoming developments including, The Emirates Palace Marina, new restaurant concepts, and world class events and concerts.” Further catering to the luxury traveller, Jumeirah at Etihad Towers, located in the heart of Abu Dhabi, is an ideal luxury getaway for the MENA traveller. Doris Greif, general manager, Jumeirah at Etihad Towers, commented on the popularity of guests from the neighbouring region when it comes to luxury travel. “Visitors from the MENA region constitute a significant proportion of the total guests of Jumeirah at Etihad Towers, both as overnight guests, and from the local Abu Dhabi and UAE residents who have taken very favourably to our food and beverage outlets and recreational facilities.” With Dubai offering an array of luxury accommodation, it is to further strengthen this sector with the welcoming of the world’s tallest hotel, JW Marriott Marquis Dubai, scheduled to open in the fourth quarter of this year.
When in search of a luxurious holiday, travellers look for brand imagery, top class accommodation, unique facilities, and special services, whereby they can be served and pampered. Travel Trade Monthly goes in search of what this type of visitor should expect from the world of luxury. TRAVEL IN STYLE Further aiming to entice the luxury travller, Yas Marina recently signed a partnership agreement with Seawings, the seaplane tour operator based in Dubai, to begin routes to Yas Marina and Yas Island. Seawings now offers a 40-minute outing from Dubai Creek Golf and Yacht Club over the views of Dubai Creek, Burj Al Arab, Burj Khalifa, Palm Jumeirah, and World Islands to Yas Island’s iconic Yas Marina. According to Pallav Singhivi, assistant marketing manager, Seawings, 10 percent of Seawings’ guests come from the MENA region, with the company experiencing a constant increase from neighbouring countries. “We have seen continuous growth over the years. In 2011, we saw a 20 percent rise in passenger numbers. This year so far has been even better. In January we flew highest number of passengers ever in Seawings’ history. The rest of the year should follow the same.” Singhivi gives an insight as to what Seawings has to offer the luxury traveller. “We cater to travellers who want luxury at various levels. Guest can enjoy their privacy by booking an exclusive flight with us. We can provide them limousine transfers on request at an additional cost. Guests can also charter our seaplanes as transfers to visit more than 14 locations in UAE, including RAK, Yas Island, Sir Bani Yas Island, and so on.” Luxury yachts are also an important service amongst the luxury travel market. Umesh Gupta, Xclusive Yachts, Dubai, gives a brief insight as to what they offer luxury travellers, “We offer luxury yachts with a five-star service to go with it, with our most popular route being Dubai coastline as it offers sights of Burj al Arab and Palm Jumeriah.” In addition, Arab Wings, one of the first private charter operators in Jordan, is a popular choice for the luxury travel market, with 80 percent coming from the Middle East and GCC, while the US and Europe clientele count for 20 percent, according to Manal Obeid, head of sales and marketing, Arab Wings. “We can offer our client a private jet service, private chauffer, private helicopter, private yacht and a private island.” MARCH 2012
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WHO'S MOVED
HANA FUCHS Hana Fuchs has been appointed public relations and marketing manager at Radisson Blu Hotel, Dubai Deira Creek. Fuchs will be in charge of implementing and maximising the hotel’s marketing and communiation objectives and strategies. Her mission will revolve around creating, building, and maintaining the property’s brand identity through various communication and marketing activities, both internally and externally.
She joins the team from Grand Millennium Al Wahda, hailed the biggest hotel in Abu Dhabi, where she was part of the opening team. With a career spanning eight years, Fuchs brings vast experience to her new role, which shall ensure optimum media exposure of the hotel overall.
Fuchs will ensure optimum media exposure of the hotel
VICKY VARFIS Vicky Varfis has been named corporate vice president, sales and revenue, at Rotana. Varfis studied marketing management and completed her Bachelor degree from The American College of Greece. With a career spanning 25 years that includes two decades in various positions with Marriott International, Varfis has gained considerable international experience in hotel-related sales and revenue. She worked with a number of
high-profile brands and establishments, and served besides Marriott International, Elounda SA Hotels & Resorts, Costa Navarino Starwood Group, Pentilikon Hotel Group, and most recently N. Daskalantonakis Group Grecotel & Classical Hotels. In her new position, she will be working on developing the local, regional, and international sales, and revenue channels for Rotana in line with the company’s ambitious expansion plans.
MARCH 2012
RENDEZVOUS
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Q & A with Ayman Nasr Despite multiple regional and global challenges, EGYPTAIR managed to further expand its network by shifting its focus on high-demand routes, and the airline has already outlined plans to introduce new destinations to its route map. Ayman Nasr, CEO, EGYPTAIR, talks about the past and the forthcoming months.
Travel Trade Monthly: How did EGYPTAIR perform overall during 2011, in terms of passenger number, developments, and the route network? Ayman Nasr: After the revolution in January 2011, EGYPTAIR applied a comprehensive strategy for facing this crisis, so we increased frequencies on a number of high traffic routes, such as Asmara to which we raised our frequencies from three to five weekly flights; to Jeddah from 32 to 35 services per week; to Doha from seven to 10 weekly flights, while operating two weekly services between London and Sharm El- Sheikh. After the situation in Egypt improved, EGYPTAIR adopted a number of promotional campaigns and new frequencies that encouraged the inbound and internal tourism. We started operating three weekly flights to Abha in Saudi Arabia for enhancing the Egyptian – Saudi relations and to serve the Egyptian community in most of the Saudi cities. Moreover, in cooperation with EGYPTAIR EXPRESS, EGYPTAIR started operating daily flights between Dubai and Alexandria in the light of linking different Egyptian cities with the world. On the other hand, after temporarily suspending a number of routes, EGYPTAIR re-launched them and increased the number of frequencies on these routes. Further, EGYPTAIR also increased its operation to Guangzhou to five weekly flights and to Beijing to four weekly services instead of three. This is in addition to re-activating flights to Tripoli and Benghazi, Libya. Overall, the number of passengers and flights fluctuated throughout the whole year because of the incidents that overwhelmed the Arab world. In general, February was the worst month in terms of number of passengers and flights. On the other hand, August was the best month regarding the operation, as we recorded 5,473 flights, while July was the best month regarding the number of customers as we carried about 750,000 passengers. Travel Trade Monthly: What are EGYPTAIR’s target markets for this year and what marketing strategies are being implemented to these segments?
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Ayman Nasr: Africa was the main target market for 2011, and this was done through enhancing our network across the continent by adding frequencies to Juba, Asmara, and Entebbe, besides operating daily flights to Tunis, Algeria, Casablanca, and Abuja. On the other hand, we enhanced our Africa network with Europe by linking the flights between the continentes with convenient timings. With the signing of two codeshare agreements with two Star Alliance carriers, South African Airlines and Ethiopian Airlines, we could expand our network in Africa to other destinations such as Kigali, Cape Town, Durban, Harare, Lusaka as well as Mauritius.
Ayman Nasr CEO, EGYPTAIR
In addition to this, we showcased the privileges of our loyalty programme ‘EGYPTAIR Plus’. Moreover, we also took part in EMITT Istanbul and BIT Rome. Travel Trade Monthly: Since re-launching flights to Tripoli and Benghazi, in December, how have both these routes been performing in terms of load factors and customer feedback? Ayman Nasr: With the increase in traffic between Egypt and Libya, EGYPTAIR took the decision of doubling the flights to the Libyan cities to 21 weekly flights instead of 11 services. We expected the increase in operation after the decree of resuming flights to Libya last November. This is in addition to the growth in load factor on these routes, the matter which pushed us to increase the flights as a support to the links between Egypt and Libya. Travel Trade Monthly: EGYPTAIR recently announced the re-launch of non-stop services to Tokyo, effective from April 15. What other routes is EGYPTAIR set to operate in the near future? Ayman Nasr: EGYPTAIR is studying the operation of services to Toronto in Canada, Kigali in Rwanda and Abidjan in Ivory Coast. These destinations were planned to start operation in 2011, but because of the situation Egypt witnessed, we delayed the launch.
Travel Trade Monthly: Which other institutions around the country does EGYPTAIR collaborate with in order to cater to potential and existing markets? Ayman Nasr: EGYPTAIR is cooperating efforts with the Egyptian Tourist Authority and the Ministry of Tourism to attract inbound tourism to the country. One of the latest endeavors is ITB Berlin, in which Egypt will be the ‘Land of Honour’. EGYPTAIR recently also participated in Spain’s FITUR exhibition, where the airline hammered mainly on its African network and the strong link with Spain through 12 weekly flights to Madrid and Barcelona.
Travel Trade Monthly: How is EGYPTAIR endeavouring to become even bigger and better this year? Ayman Nasr: EGYPTAIR constant endeavour towards improving the facilities for passengers does not stop. We recently activated the new website for the Scandinavian areas which services a large community in North Europe who target to travel to Cairo and Africa for leisure and business. Moreover, EGYPTAIR applied the Sabre system for network planning optimisation which is planned to generate larger revenues on every route of the airline network. Furthermore, EGYPTAIR has just received its 19th Boeing 737-800 in a transaction of 20 aircraft from the same type.
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NEWS & EVENTS
actb 2012: Vibrant Days with Middle East Representatives The Austrian and Central European Travel Business (actb), which took place between January 22 - 24, in Vienna, once again proved to be an important market place and industry meeting point. This year’s trade fair for the Austrian and Central European incoming market, with the joint presence of Austria, Hungary, Slovenia, Slovakia, and the Czech Republic, attracted more than 400 companies along with nearly 800 buyers from 48 countries around the world. Attendees included a number of representatives from the Middle East, including Iran, Kuwait, Qatar, Saudi Arabia, and the UAE, who praised the event for delivering its promise and creating an excellent platform for networking and establishing new contacts and possible business deals. Under the motto ‘arrive and revive’, Austria focused its initiatives on showcasing its superb options for resting and relaxation. Austria, as revealed at the event, reached a new record in visitor numbers, after attracting 34.6 million travellers in 2011, a year-on-year increase of 3.6 percent, while overnight stays averaged at 126 million, up 0.8 percent over 2010 levels. Considering the number of large-scale investments and hotel openings scheduled for the near future, it comes as no surprise that Austria is expected to continue devel-
EVENTS The International Hotel Investment Forum Berlin, Germany, March 2 – 5, 2012 (www.berlinconference.com) The conference programme includes interviews with leading hoteliers, forecasts from top economists, panel discussions on the latest developments, trends, and best practice in the industry.
oping faster than Switzerland or Germany, and is keen on leveraging its prospects, where one in five jobs is tourism related. Although the future is more unpredictable than ever, prompting the tourism industry to keep a close eye on the global financial situation and adapt to the shifting patterns of conditions and demands, this should not significantly affect business. In fact, although with a more costcautious stance, people will still travel for business or to escape from the daily routine, organisers and attendees agreed. After actb’s constant success since its initiation in 1976, this year’s event marked the last fair in its form. “As a national brand and marketing organisation, we have to stay abreast of current trends in order to keep our competitive edge in international tourism also in the future,“ explained Petra Stolba, CEO, ANTO. “It is, after all, a central priority of the Austria National Tourist Office (ANTO) to match the supply of Austrian tourist attractions with market demands and come up with the best suitable platforms,” she said, adding that from 2013 onwards the fair will be divided into ATB_experience, dedicated to international opinion leaders, and ATB_sales, staged every second year with the main focus on sales.
Sponsored by
GIBTM Abu Dhabi, UAE, March 26 – 28, 2012 (www.gibtm.com) A leading event for business travel in the GCC region, unlocking business potential within the Middle East for all professionals.
ITB Berlin Berlin, Germany, March 7 – 11, 2012 (www.itb-berlin.de) The world’s leading travel trade show, offering trade visitors the opportunity to meet business partners and do business with them.
China Outbound Travel & Tourism Market Beijing, China, April 18 – 20, 2012 (www.cottm.com) A business-to-business exhibition, which provides a platform for international tourism boards and travel services to meet with China’s key outbound tour operators.
MITT Moscow, Russia, March 21 – 24, 2012 (www.mitt.ru) Russia’s leading travel exhibition, with over 3,000 participating companies and 185 destinations, serving as a key meeting place.
Arabian Hotel Investment Conference Dubai, UAE, April 28 – 30, 2012 (www.arabianconference.com) An event that brings together regional leaders to discuss the key topics and challenges of the coming months.
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