Travel Trade MENA April 2014 by T.T.W. Travel Trade Weekly LTD

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APRIL 2014

ISSUE 54

TOUR: MALTA Benefitting from its popularity as a summer destination, Malta is now working to mitigate seasonality.

With time-honoured traditions rooted in the culture of Arabia, Sharjah continues to march on at a steady pace, incorporating traditional values and creating a distinct identity.

13 EXCLUSIVE: CAR RENTALS Due to the global increase in the number of people now travelling, the car rental industry has been witnessing strong results over the past years.

16 IN THIS ISSUE MARKET UPDATE

VISIT: Sharjah

ONSITE: Ajman

EXPLORE: Umm Al Quwain

TOUR: Malta

EXCLUSIVE: Car Rentals

TRAVEL CHANNELS

WHOâ&#x20AC;&#x2122;S MOVED

TRAVEL TALK

RENDEZVOUS

NEWS & EVENTS

VISIT: Sharjah

MARKET UPDATE

TRAVEL TR TRAVEL TRADE PUBLICATIONS MANAGING EDITOR

Accurate as of

Mary Kammitsi mary@traveltradeweekly.travel

27/03/2014

COPY EDITOR

Currencies shown in red are fixed against the US Dollar

Emily Millett SENIOR JOURNALIST Rita Kasziba JOURNALIST Maria Kazeli PRESS Andreas Mantis Maria Demetriadou Pauline Shahabian 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 103670 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

Etihad Airways: Third Year of Net Profitability

MENA EXCHANGE RATES

Etihad Airways registered record results for 2013, with net profit increasing 48 percent to USD62 million on revenues up 27 percent to USD6.1 billion.

COUNTRY

CURRENCY

1USD=

UAE (AED)

Dirham

3.67

Egypt (EGP)

Pound

6.97

Saudi Arabia (SAR)

Riyal

3.75

Lebanon (LBP)

Pound

1,505.00

Bahrain (BHD)

Dinar

0.37

Jordan (JOD)

Dinar

0.71

Syria (SYP)

Pound

144.95

Kuwait (KWD)

Dinar

0.28

Qatar (QAR)

Riyal

3.64

Oman (OMR)

Rial

0.38

Tunisia (TND)

Dinar

1.58

Morocco (MAD)

Dirham

8.16

Iran (IRR)

Riyal

25,397.00

Yemen (YER)

Rial

214.81

Algeria (DZD)

Dinar

78.31

Libya (LYD)

Dinar

1.25

he positive figures marked the third successive year of net profitability in the airline’s 10th anniversary of operations, and another important step forward in the company’s journey as a growing, commercially successful business, James Hogan, group president, Etihad Aviation Group, pinpointed. “We have hit every financial target for each of the last seven years, bringing sustainable profitability to a business which has grown from just USD300 million in revenues in 2005 to more than USD6 billion today,” noted Hogan, saying that the impressive growth has been delivered through the airline’s unique strategy, which has seen it combine organic growth with wide-ranging partnerships and minority equity investments in strategically important carriers around the world. “This journey has seen us evolve from a highly successful airline into a growing aviation and travel group, with the infrastructure and strategy to develop even further in our second decade,” concluded Hogan.

Dubai International Registers Highest Numbers Dubai International started the year with record monthly traffic exceeding 6.4 million passengers in January. According to a report issued by Dubai Airports, passenger volumes reached 6,400,706 in the month under review, up 15.1 percent from the 5,559,760 recorded during the same period in 2013. Figures were boosted by the seasonal rush of holidaymakers into Dubai. Regionally the GCC recorded the highest growth with an additional 180,982 passengers – mainly boosted by double-digit traffic growth recorded by Doha, Jeddah and Riyadh. Western Europe and the Indian subcontinent followed with an increase of 140,910 and 126,305 travellers respectively. Eastern Europe was the fastest-expanding market in terms of percentage growth (42 percent), followed by Australasia (34.5 percent), Asia Pacific (26.7 percent) and Asia (20.7 percent). India remained the top destination country contributing 800,397 passengers, with the financial capital Mumbai emerging as the busiest destination, followed by Saudi Arabia with 514,071 passengers, and the UK with 435,806 passengers. Doha was placed number one on the list of top destination cities followed closely by London. Dubai International

APRIL 2014

VISIT

Sharjah

The Capital of Islamic Culture Sharjah Museum of Islamic Civilization

Sharjah Museum of Islamic Civilization

With its time-honoured traditions firmly rooted in the culture of Arabia, Sharjah continues to march on at a steady pace, incorporating traditional values into every aspect of the development, and creating a distinct identity that has earned the emirate the title of The Capital of Islamic Culture for the current year.  Rita Kasziba writes

ince the discovery of oil and gas, Sharjah has rapidly evolved from a small trading town relying on pearl diving and fishing, into a dynamic commercial centre and a premier family tourist destination. As one of the first cities in the region to establish an international airport in 1932, Sharjah was among the initial places in the Middle East to unlock the potential of tourism as a key driver of social and economic progress. Since then, arrivals to the emirate have continued to grow at a steady pace, escalating from just 1.5 million in 2011 to over 1.9 million in 2013, showing an average annual growth rate of more than 10 percent. “Tourism in Sharjah is growing at an increasingly rapid rate,” asserted H.E. Marwan Bin Jassim Al Sarkal, CEO, Sharjah Investment and Development Authority (Shurooq), saying that in light of this year’s grand celebrations – which include over a thousand

international cultural, tourism and entertainment events – planned to mark Sharjah’s crowning as The Capital of Islamic Culture, visitor numbers to the emirate are likely to significantly exceed the previous years’ figures. “This should come as no surprise when Sharjah’s diverse offering is considered. Sharjah is the cultural heart of the UAE […] and is also immensely bio-diverse and concerted efforts are being made to both protect and capitalise on this biodiversity. In addition Sharjah is an ideal base for tourists who wish to explore the UAE at large as it is the only emirate that shares its borders with all six of the other emirates,” highlighted Al Sarkal, adding that all these factors combine to create a bullish outlook for Sharjah’s tourism sector, with the latest projections suggesting that the travel and leisure sector is likely to grow from AED1.24 billion (USD338 million) in 2013, to AED1.49 billion (USD406 million) by 2016. Based on Sharjah Commerce Tourism Development Authority (SCTDA)’s statistics, the GCC region is very much driving this positive development

SHARJAH IN BRIEF Country: UAE Currency: UAE Dirham (AED) Language: Arabic

accounting for the lion’s share of arrivals to the emirate, followed by Europe, Asia and the Arab countries. As Al Sarkal revealed, this year, Shurooq’s primary target markets include China, India and Europe, thus the authority’s busy schedule which includes various international summits and travel trade shows, business roundtables and other related activities aimed at attracting investors from the region and around the world. THE POWERHOUSE As a result of these endeavours, Sharjah is developing faster than ever before. Today, the emirate is considered not only the industrial powerhouse of the UAE, but also the third largest economy of the country, and one of the most diversified markets in the entire Middle East region. Confirming this sentiment, Mohamed Saad, assistant director of sales, Ramada Plaza Jumeirah Beach Residence and Ramada Sharjah, noted, “Most of the international companies, many from the aviation and APRIL 2014

Sharjah the pharmaceutical sectors among others, have started shifting their investments to Sharjah to be in the middle of the business hub to guarantee their share of the business deals.” According to Saad, this trend has also positively reflected on the hospitality sector, and with more and more attractions being inaugurated across the emirate, new airlines commencing services to the airport, and the Middle East’s largest healthcare city planned for Sharjah, the outlook remains optimistic. To further accelerate the emirate’s development, Shurooq continues to work on a diverse portfolio of projects that include heritage preservation, waterfront developments, retail, commercial and residential offerings, all of which are aimed at stimulating activities in the four key sectors indentified by the authority, including healthcare, energy, environment and logistics, and travel and tourism. As Al Sarkal revealed, work on the first of the Heart of Sharjah historical restoration initiative’s five phases is progressing well, with the most recent development being the site’s registration on UNESCO’s tentative list of World Heritage Sites, demonstrating the global significance of the archaeological and historical heritage of the emirate. “Addressing the need for an increase in luxury hotel offerings in Sharjah, the Al Bait Hotel project, which will form part of the Heart of Sharjah development, is also underway and ground works have commenced on this five-star luxury development [which] is set for completion between this December and January 2015,” informed Al Sarkal explaining that the hotel, which will spread over almost 10,000m2, will include 54 guest rooms, a spa and health centre, dining areas, and a deli. The development of the AED100 million (USD27 million) project, hailed as the region’s first traditional Emirati hotel, comes in line with the authority’s endeavours to fill the gap in Sharjah’s market in terms of five-star properties, and, as Al Sarkal suggested, could be followed by other similar developments in the future. Meanwhile, construction has also started on Al Jabal resort, The Chedi Khorfakkan, which is being built using materials that emphasise and complement the natural contours of the land and the indigenous features of the desert. Hailed as the largest venture of its kind in the development of eco-tourism facilities in the UAE and the region, the Kalba Eco-tourism Project is currently in its first phase of implementation, which focuses on the redevelopment of the natural reserves at Kalba and the restoration of important archaeological sites. The next phase will include the development of Kalba Lake, while the final stage will see the construction of a number of new hotels and chalets, including a luxury five-star resort overlooking the Gulf of Oman, as well as a state-of-the-art activity centre. The Al Hisn Island in Dibba Al Hisn, which will comprise restaurants, cafés and cinemas, is currently in the planning, design and layout phase, updated Al Sarkal, sharing his delight at the recent launch of the emirate’s latest attraction, the Al Montazah Amusement and Waterpark. Covering an area of over APRIL 2014

Sharjah

126,000m2, the project includes Sharjah’s first-of-itskind water themed park, an amusement park, as well as a section designed for walking, children areas and other activities. “We are expecting to attract over one million visitors this year and will ultimately be able to accommodate three million visitors annually,” indicated Al Sarkal, describing Al Montazah Amusement and Waterpark as an entertainment and family destination, where visitors will find a safe haven with endless natural beauty. In fact, over the past years, Sharjah has established itself as a premier family destination, noted Nasser Nasef, general manager, Hotel Holiday International, saying that Al Qasba, the emirate’s culture, entertainment and leisure destination has already established itself as a place where visitors can discover the highlights of contemporary Arabian arts while enjoying a wide range of activities and events, designed for visitors of all ages. THE CULTURAL HEART In fact, in the face of

VISIT

today’s fast-moving society, its distinct cultural identity has always been crucial to Sharjah, which as Nasef, noted, has managed to maintain its traditions that date back to the days of the desert tribes. Over the centuries, these customs have been handed down from generation to generation, and are, as Nasef noted, still evident for visitors to discover and appreciate. “As the third largest and populous emirate in the UAE, Sharjah has always been known for its rich and authentic Arab and Islamic heritage and its patronage of arts, culture and knowledge,” reinforced Kamal Rijhwani, executive assistant manager, Radisson Blu Resort, Sharjah, saying that the destination is now gearing up to offer a grand welcome to international visitors flocking into the emirate to celebrate its recognition as The Capital of Islamic Culture. Making sure that these traditions and customs are preserved, Sharjah Museums Department (SMD) remains committed to delivering the highest quality of museums and cultural services through its facilities, exhibitions, programmes of learning, research and community outreach. As Aisha Deemas, director of executive affairs, SMD, explained, since its establishment in 2007, the organisation has been steadily building and expanding the facilities and activities it offers to family audiences, with many of the 16 museums managed 

VISIT

Sharjah PLANNING AHEAD

Sharjah Light Festival

by SMD specifically designed to disseminate cultural values and provide enjoyable and educational experiences to visitors of all ages. “Extensive education programmes are on offer at all our museums throughout the year. All are specifically devised to reflect what our venues and collections have to offer for family audiences,” apprised Deemas, adding that as Sharjah celebrates its position as The Capital of Islamic Culture – an honour awarded due to the emirate’s contributions to art, civilisation and education, and its status as one of the cultural hubs in the modern Arab-Islamic world – SMD strategically reflects the destination’s objectives for the year. “A particular focus is the celebration of ArabIslamic culture between tradition and modernity on the one hand, and a focus on intercultural and interfaith dialogue on the other,” said Deemas, revealing that as an example of the latter, the Sharjah Museum of Islamic Civilization is collaborating with the Vatican Ethnological Museum to present an unparalleled exhibition showcasing the material culture and arts of Muslim cultures around the world. This, of course, will be accompanied with a myriad of activities, aimed at entertaining and educating locals and visitors alike. Underlining the crucial role and the popularity of such events, during this year’s Sharjah Light Festival for example, average hotel occupancy rates in the emirate reached 90 percent as the shows attracted tens of thousands of families from across the country and the Middle East, placing Sharjah once again at the forefront of the region’s cultural scene and contributing significantly to the hotel sector’s stellar performance.

As Yousef Riachy, general manager, Royal Grand Suite Hotel, noted, over the years, the hotel sector has shown great resilience, and proved its ability to maintain strong economic performance in the face of volatile economic conditions and stiffening competition. What really differentiates Sharjah from the other emirates is its steady room rates, which, Riachy believes, strongly contribute to the destination’s appeal. “The whole UAE hotel sector is booming, however, unlike what is happening in the other emirates [the steady rates] give guests and visitors a certain level of comfort and confidence, making Sharjah the preferred destination in the UAE for many,” asserted Riachy. Others, as Ghulam Sajjad, head of sales, Coral Beach Resort, suggested, opt for Sharjah for its value for money hotel apartments and budget accommodation options, creating strong demand for the emirate’s hotel sector. In fact, as Richard Gosling, general manager, Hilton Sharjah Hotel, noted, thanks to the past years’ development, Sharjah now has the options and facilities to provide quality tourism experiences for all market segments from business to leisure. “As the overall economy of the UAE improves, business naturally flows into this emirate. Having said that, such results cannot be taken for granted as it requires the whole-hearted innovation and dedication of leaders to facilitate this and Sharjah is very fortunate indeed to have these functions driven by

which, as Nasef noted, is set to give Dubai an economic boost of AED88.5 billion (USD24.1 billion) and bring some 25 million visitors to the UAE. “As a result of the successful bid, the event’s impact on tourism, trade, infrastructure and investment, will definitely radiate far and wide in the country, especially to Sharjah, due to the destinations’ close proximity,” added Nasef. Voicing similar views, Rijhwani said that Dubai’s success is set to spill over Sharjah, giving a major boost to the emirate’s hotel sector and spurring further developments. Mohamed Eldeeb, general manager, TIME Ruby Hotel Apartments, concurred, saying that the secondary beneficiary of the expo will be Sharjah, as Dubai will probably not be able to handle the influx that will consequently overflow to Sharjah. “Being the nearest emirate to Dubai and the first accommodation alternative for Dubai’s visitors and residents, the event will definitely bring our occupancy and rates to the highest levels and Sharjah’s wider tourism industry will also benefit as the government is now spending on various projects to enhance the emirate’s facilities,” added Eldeeb. As Sajjad noted, commercial and residential rents have already started to rise and this trend is set to continue at an accelerated rate in the coming years. According to Riachy, with an estimated 25 million visitors expected to flock into the UAE for the show, room rates and prices in general are set to skyrocket in Dubai during the event, turning many guests’ inter-

Al Qasba

the very competent and dedicated SCTDA,” stressed Gosling. These efforts, hoteliers believe, will also be crucial in the run-up to the much anticipated Expo 2020,

est to other nearby places, mainly Sharjah. “[It is] expected that hotels in Sharjah will maintain a stable pricing [scheme] to attract visitors coming to Expo 2020. In addition, plans have been outlined APRIL 2014

Sharjah

Al Noor Mosque

to develop support services and provide, for example, free transportation to the expo site or various attractions in Dubai, including the malls,” said Riachy. In fact, keeping pace with the substantial growth of tourist numbers, SCTA expects the emirate’s room stock to increase from over 9,700 in November 2013, to 12,000 by 2015 as investments continue to pour into the hotel sector. To further enhance the emirate’s status as an upand-coming events destination, United Investment and Sharjah Chamber of Commerce and Industry have recently signed an agreement to build a hotel at a cost of more than AED100 million (USD27.2 million) near Expo Centre Sharjah, the destination’s premier events venue. A first of its kind in the emirate, the 200-room Expo Hotel Sharjah is envisaged to cater to various sectors and participants in the centre’s wide range of events and add to Sharjah’s touristic appreal. FLYING HIGHER This value significantly increased in September 2013 with the launch of Seawings’ popular tours, which as Mithu Agarwal, commercial sales manager, Seawings, revealed, have received a highly positive response from both tour operators and hoteliers. “Sharjah is an attractive tourist destination, rich in culture and heritage and was the obvious next choice for Seawings. Besides, Sharjah has a long tradition of trade and commerce and its growing importance in the MICE industry makes it an attractive destination for Seawings charters,” explained Agarwal, saying that corporate organisations have shown an interest as they now have the opportunity to connect to 24 APRIL 2014

other locations in the UAE. “The customised charter service departs from the bustling Al Majaz Waterfront to 25 destinations within the UAE, including all major airports […]. Seawings seaplanes can land on water or runways and thus we have the widest reach of local destinations amongst any operator in the region,” claimed Agarwal. The emirate’s increasing appeal is also well reflected in Sharjah International Airport’s latest traffic figures which show that in 2013 both aircraft movements (ACM) and passenger numbers continued to surge. In just 10 years, ACM has increased from 28,017 in 2003 to 66,247 in 2013, and more significantly, passenger traffic has escalated from 1.25 million in 2003 to 8.51 million in 2013, demonstrating the emirate’s rising appeal among regional and international visitors. Driving this development is Air Arabia, which, since its establishment in 2003, has grown its network to over 88 destinations in the Middle East, North Africa, Asia and Europe. In 2013, the company once again delivered high levels of profitability and growth across the breadth of its operations with net profit rising two percent to AED435 million (USD115.4 million) and turnover standing at AED 3.2 billion (USD871.2 million), up 14 percent. The positive figures were supported by strong demand as passenger numbers surged 15 percent to 5.3 million, leading to an 80 percent seat load factor. As Sheikh Abdullah Bin Mohammad Al Thani, chairman, Air Arabia, noted, the company has enjoyed consistent and sustained growth since launching operations back in October 2003, and the network expansion strategy, which has guided the airline for a decade, continued to reap rewards in 2013. “We are extremely confident about the long-term fundamentals of the aviation sector in the region and believe we have the right business model, operating bases and infrastructure in place to cement our position as the region’s leading low-cost operator,” added Al Thani. Air Arabia’s recent agreement with the Department of Civil Aviation of Ras Al Khaimah, enabling the airline to become the emirate’s designated carrier following RAK Airways’ closure, is set to play a pivotal role in this development. Air Arabia’s positive financial and performance results have a close correlation with Sharjah Duty Free’s growth, as Iain Forrest, deputy chief operating officer, Middle East and India, Dufry Management, pinpointed, adding that the company continues to benefit from this partnership. In 2012 the arrival shop was renovated, a new kiosk was launched at the departure gates, and an hourly trolley service was introduced in the waiting areas. “This year looks to be a promising year for the travel and trade in general. […] Sharjah Duty Free has now entered its 26th year of operation and we are constantly looking for new and innovative brands to add to our portfolio,” explained Forrest, saying that new airlines, such as Qatar Airways, which has recently inaugurated services between Doha and Sharjah,

VISIT

bring a new type of customer, and with changes in the profile of the passengers, it remains pivotal to stay relevant to the needs of these travellers. “The maintenance works at Dubai’s runway will also create an opportunity for new airlines to try Sharjah International Airport and its facilities. Who knows, maybe they will like what they see and stay on,” speculated Forrest. Looking into the future, Sharjah’s tourism industry in general remains bullish about the future prospects as the emirate’s leading organisations, including Shurooq, continue to forge ahead with ambitious projects and initiatives. “The large number of diverse projects currently under development in Sharjah offer great opportunities for foreign investors in the emirate and we will continue to work to attract these investors and forge partnerships to the benefit of Sharjah’s growth,” commented Al Sarkal, reiterating Shurooq's commitment to the emirate’s socioeconomic development. “As the third largest and hugely populated emirate in the UAE, Sharjah is distinguished not only by its rapidly growing economy, but also by its commitment to art, culture, and preservation of the local heritage,” said Rijhwani. “While culture is our strong point, it is only one of the many other things Sharjah offers to international visitors.” Inviting all visitors to the UAE to consider Sharjah as their next destination in the country, Gosling concluded, “Many UAE-based residents only know Sharjah from driving through it on the E311 [road]. I would urge them to take time out to stop and discover the incredible attractions here in Sharjah, in its conservative way, it will surprise those that take the opportunity to do so.” 

Al Majaz Waterfront

ONSITE

Ajman

Looking Good Despite being the smallest emirate, Ajman is making significant progress in developing infrastructure and trade, attracting international commerce and promoting industrial activity. Its authenticity makes it attractive to tourists looking for an alternative Arabian holiday experience, while its proximity to the busier emirates helps to cement its place on the tourism map. AJMAN IN BRIEF Country: UAE Currency: UAE Dirham (AED) Language: Arabic

Ramada Hotel & Suites Ajman - Private Beach

 Maria Kazeli writes

he Ajman 2021 vision was launched recently at the annual three-day UAE Government Summit. Speaking at the event, Sheikh Ammar Bin Humaid Al Nuaimi, crown prince of Ajman, said, “The UAE aims to become the best country in the world by the year 2050. Ajman’s 2021 vision aims to put the emirate on the path of fulfilling this aim by coming up with strategies that better the emirate and help reach the overall goal of the UAE.” H.H. Sheikh Rashid Bin Humaid Al Nuaimi, head, Ajman Municipality and Planning Department, praised the government’s tactical plan, and commented that it is a qualitative addition to the emirate, as reflecting quantitative achievements which form a strong base for sustainable development. He also underlined that the vision is structured on providing a high-level of services in the tourism sector and investment in the destination. INCREASING COMPETITIVENESS After being originally announced in 2008, plans for Ajman International Airport have been on hold for some years now. Commenting on the reasons behind the delay in launching the initiative which it is expected to significantly boost the emirate’s competitiveness, H.E Saif Mohammed Al Suwaidi, director general, UAE General Civil Aviation Authority (GCAA), said that each emirate has the right to advance its local civil aviation, which includes submitting an independent request to have its own airport. “The Ajman airport project is on hold until now by the local entities in Ajman. GCAA received an official request for an airport in Ajman and replied with a list of necessary documents and approvals, however these are not provided until now which put the whole project on hold until the file is complete," Al Suwaidi explained. "The responsible entity in Ajman is welcome to reopen the file and proceed with the process once all the documents are satisfied,” he concluded, leaving the wide field open for potential investors to step in. APRIL 2014

ONSITE

Ajman BE WELL-HOSTED Ajman’s hospitality sector is already proving its worth as a rapidly evolving contributor to the economy of the region, constituting 2.3 percent of the market in 2012. “The process of change, be it in terms of economic development or tourism, is accelerating in Ajman and therefore the emirate is building up its hospitality sector,” indicated Laurent Voivenel, CEO, Hospitality Management Holdings, operator of The Ajman Palace. Perhaps this recent growth spurt can be attributed to the fact that local authorities are now investing much more into the accommodation niche, as Nehal Rizvi, general manager, Crown Palace Hotel, suggested, further adding, “The market segments which are using our hotel had higher buying power than the previous markets [in 2013]. The growth was directly proportionate to the hard work and effort the Ajman Tourism Development Department has put in place to bring this emirate onto the world tourism map.” Rizvi further revealed that thanks to the authority, 2013 has been a good year as far as hotel occupancy

The process of change, be it in terms of economic development or tourism,is accelerating in Ajman and therefore the emirate is building up its hospitality sector statistics are concerned since the property enjoyed a year-on-year increase of over 15 percent, while the average room rate improved by 10 percent. As existing properties reap the rewards of increased industry efforts, recent additions to the accommodation portfolio are also playing a role in raising Ajman’s profile as an attractive hotel investment market, with international corporations such as The Rezidor Hotel Group currently putting out feelers, looking into the destination’s potential for portfolio development. According to Elie Milky, director, business development, Middle East and Africa, The Rezidor Hotel Group, the company is actively looking at opportunities in Ajman in the mid- and upscale segments, focusing on whether a property can offer the facilities to cater for the growing numbers of leisure visitors, while at the same time satisfying the demand APRIL 2014

However the company identified that there was still a lack of professionally serviced hotel apartments available to both leisure and business travellers and this led to the strategic decision of opening TI’ME Capital Hotel Apartments. “On the longer term, we expect additional growth in leisure tourism thanks to the successful Dubai Expo 2020 bid, which should have a ripple effect on business and leisure tourism not just in Ajman, but also in other emirates and the rest of the GCC countries,” he added. OPULENT ROOMS

Tulip Inn Royal Suites Ajman

for corporate and meetings and events throughout the week. Further commenting on the trends on show within the emirate’s growing hotel arena, Milky added that the sector is currently seeing particular demand from within the leisure segments, while its close proximity to Dubai, Sharjah, Fujairah and Ras Al Khaimah, is also helping to ensure its status as an attractive destination for UAE residents, as well as international travellers looking for an authentic experience. TI’ME Hotels Management has also added more locations to its rapidly expanding portfolio of local and regional locations including Ajman, with the recent opening of TI’ME Capital Hotel Apartments. Tommy Ressopoulos, vice president, sales and marketing, TI’ME Hotels Management, indicated, "According to a report published by the Ajman government, the number of occupied hotel rooms in Ajman increased from 186,500 in 2009 to 602,033 in 2013."

With its position as both a business and leisure destination going from strength-to-strength, Ajman’s luxury hotel market is also seeing healthy growth. Indeed as per Michele Frignani, general manager, Ajman Saray, a Luxury Collection Resort, it was this expansion that acted as a key catalyst for Starwood Hotels & Resorts Worldwide in the recent move into the emirate with the introduction of the resort. Successfully opening its doors in February, the five-star property boasts 205 rooms and suites and through a strong portfolio of restaurants and lounges, aims to position itself as a leading culinary destination in Ajman. 

ONSITE

Ajman

Ajman Saray, a Luxury Collection Resort

“In the [UAE] we benefit from a coastline that stretches over 200km from Abu Dhabi to Ras Al Khaimah. Ajman Saray is located on a pristine natural stretch of the Ajman coast, with white sandy beaches next to the turquoise waters of the Arabian Gulf, and we are excited about the opportunity to introduce our guests to the natural beauty of Ajman,” said Frignani. “Together with the Ajman tourism board we look forward to positioning the emirate as the destination for authentic Arabian hospitality,” he added. FRHI Hotels & Resorts, the parent company of luxury and upper upscale hotel brands Raffles Hotels & Resorts, Fairmont Hotels & Resorts and Swissôtel Hotels & Resorts, is also including Ajman in its global luxury growth strategy with plans to open a new resort property in the emirate. Prominently situated on the Corniche, fronting 250m of unspoiled, sandy beach, Fairmont Ajman will feature 252 guestrooms and suites, including two penthouses, while the hotel will offer 2,000m² of indoor function space as well as outdoor meeting facilities. Commenting on the luxury hospitality industry’s potential to contribute to the success of ‘destination Ajman’ by positioning it strongly on the global map, Voivenel suggested that existing and upcoming five-star hotels will not only meet current demand but also prove instrumental in driving luxury tourism by attracting affluent travellers who in turn will add to the economic well-being of the emirate. WORD OF MOUTH Data provided by the Department of Economic Development – Ajman, reveals that hotels and resorts across the emirate have been seeing impressive, steady growth in guests from Russia, the CIS and the Baltic states since 2009. Indeed in 2012 the share of the segment from these particular markets increased to account for more than one-third (38 percent) of the hotel clients.

Substantiating this fact, Iftikhar Hamdani, general manager, Ramada Hotel & Suites Ajman, said, “We are reaping the CIS market tremendously. Germans are very steady and a new market is the Turkish which is increasing.” He added that the hotel kept its momentum high for 2013, as it was the third time Ramada Hotel & Suites Ajman was the leading property in terms of occupancy within the destination, with 124,000 room nights sold in 2013. Tulip Inn Royal Suites Ajman also witnessed a good portion of business coming from the CIS which is the hotel’s main source market and is followed by the GCC, Asia and the European markets, according to Arun Kumar, group general manager, Tulip Inn Royal Suites Ajman. “In my opinion, Dubai, Abu Dhabi and Sharjah are very crowded cities and have a busy atmosphere but Ajman is the perfect destination for tourists, especially for tourists from CIS countries, with its fantastic atmosphere, relaxed ambiance and competitive rates,” he stated. Drawing upon the destination’s competitive stand, Rizvi elabo-

rated that Ajman hotel prices are at least 20 percent cheaper than Dubai or Abu Dhabi, while room availability in Dubai is very marginal during exhibitions and major events. He proposed that this is a major attraction for big hotel chains to launch their presence in Ajman. Noting an increased interest from the German market Sabine Laeufer, senior destination manager, Orient/Middle East, FTI GROUP, remarked, “We have under our top 30 hotels one property in Ajman which clearly shows the importance for us and the demand on the German market for the emirate. So clearly, Ajman has a positive preference among the ‘bigger’ emirates. And there is still room for more because new properties just opened in Ajman.” She disclosed that since the company is implementing itself as a specialist for the whole of the Middle East and consequentially the UAE, it was a logically consistent next step for it to include not just the well-known emirates but also the whole portfolio the UAE has to offer, which includes Ajman. From the time this happened, six years ago, the German operator had to make additional marketing to get the word out. “It is clear that this was worth the effort because Ajman is today an inherent part of the FTI portfolio,” Laeufer said. 

APRIL 2014

Umm Al Quwain

EXPLORE

Make the One Percent Count

Dreamland Aqua Park

Spanning less than 800km2, Umm Al Quwain occupies just one percent of the UAE’s total area, the emirate has, however, witnessed a comprehensive renaissance, attaining successive achievements over the past decades that have enabled it to make that one percent count.  Rita Kasziba writes

ome to a number of ancient forts and unspoilt natural sceneries, Umm Al Quwain is considered an ideal place to enjoy the sound of waves crashing on the beach and escape the hustle and bustle of everyday life, the destination is however yet to stand out from the shadows of the bigger and better-known emirates and capture a larger share of the burgeoning regional tourism market. As Rajan Harikrishnan, manager, Barracuda Resort, Umm Al Quwain, noted, over the past years, the emirate has witnessed tremendous growth, fuelled by increased demand from both the local and the inbound market segments. Underscoring his words, Syed Tariq Ali, business development manager, Al-Faisal Group, revealed that the last quarter of 2013 and the first months of the current year have brought significant improvements at both Hotel Royal Residence the main and the branch, driven by a large influx of business from the

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UMM AL QUWAIN IN BRIEF Country: UAE Currency: UAE Dirham (AED) Language: Arabic

GCC, Europe and the CIS countries. “Umm Al Quwain’s tourism industry in general looks promising,” asserted Ali. As Akif Aziz, general manager, House of Tours, the Umm Al Quwain-headquartered travel company, pinpointed, the emirate still preserves its rich Arabic culture and heritage and resembles the days when its economy was primarily based on fishing and farming, lending the destination its unique charm that distinguishes it from its peers. “In this city, we do not have a lot of malls or buildings, nor traffic or long queues,” added Ghassan El Kesti, park manager, Dreamland Aqua Park, saying that this distinct image is part of the emirate’s strategy to create a hassle-free and more relaxed place

where people can relax and relish the serenity and tranquility of the location. To capitalise on the sector’s potential for economic prosperity, in 2011, tourism and trade were given high priority in Umm Al Quwain’s 2011-2013 government strategy which primarily aimed to attract more foreign investment and turn the emirate’s development into a new success story of the UAE. Plans majorly focused on land, sea transport and infrastructure improvements and the promotion of eco-tourism. Three years later, the government is yet to establish a dedicated tourism organisation, and although the UAE’s National Council of Tourism & Antiquities distributes informative and eye-catching brochures and booklets, encouraging both regional and international travellers to venture out of the country’s much talked-about hotspots to explore its hidden gems, such as Umm Al Quwain, in the absence of a tourism authority, the lion’s share of the promotion is left to the emirate’s hoteliers and travel agents who act as the most influential advocates and ambassadors of the destination. LITTLE BY LITTLE As Kamal Afana, general manager, UAQ Beach Hotel, noted, due to its tranquil atmosphere and more moderate pace of life, Umm Al Quwain has established itself as an ideal place for relaxation and leisure, leading to a 10 percent improvement in business 

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Umm Al Quwain

Dreamland Aqua Park

results at the hotel. “Although Umm Al Quwain is a smaller emirate, it is a destination by itself for tourists who are looking for affordable packages,” concurred Ali, saying that thanks to today’s technology and the expanding range of online platforms, hotels, such as Hotel Royal Residence, both the main property and the branch,

Although Umm Al Quwain is a smaller emirate, it is a destination by itself for tourists who are looking for affordable packages are now able to reach out to a broader pool of international travellers and promote the destination to a global audience. Raising awareness is crucial, as El Kesti also noted, saying that although Dreamland Aqua Park and the emirate in general, continue to gain popularity as more and more travellers to the UAE are looking for leisure options, with a myriad of new attractions popping up all over the country, the competition is becoming more and more stiff. “The challenge is to create awareness and reach out to all the target audience because the potential is high. Our main markets are the Middle Eastern, European and Indian visitors. […] We are also planning to target more from Europe and the CIS markets by

partnering with destination management companies to help us grow our market reach and business in general,” informed El Kesti. In fact, as Harikrishnan attested, an increasing number of well-travelled visitors, who have already experienced the magic of Dubai, tend to return to the UAE to explore the less crowded parts of the country, including Umm Al Quwain. According to Aziz, as a result, travellers, especially from the Indian subcontinent, along with business people, spending most of their time behind desks, have begun to view Umm Al Quwain as an appealing alternative for weekend breaks to unwind and reset. As Aziz further noted investments in infrastructure, accommodation establishments and MICE facilities would no doubt give a major boost to the emirate’s tourism industry. As a matter of fact, over the past years, there has been no shortage of proposed development announcements ranging from multi-billion dollar master planned communities to futuristic tourism resorts boasting hotels, marinas and other attractions; all of which had been envisioned to transform the destination into an emerging tourism hotspot, most of these projects however remained on the drawing board and till this day, and Umm Al Quwain remains the only emirate without any internationally-branded properties or a tourism authority.

Dubai but for all the other emirates,” stressed Ali, indicating that the show is set to result in double-digit increases in business figures over the coming years. Although, as El Kesti, reminded, compared to Sharjah or Dubai, the run-up to the expo is likely to create less buzz in Umm Al Quwain, with the support of the concerned authorities, the emirate can also capitalise on the mega event. Noting that Ajman is one of the closest emirates to Dubai, and thanks to the highways, transportation time has been considerably reduced between the two destinations, Harikrishnan foresees positive developments for Umm Al Quwain. “Since we are only six years from Expo 2020, marketing plans will be in full swing [this year], and we can expect some good business happening, especially in the inbound and local sectors,” added Harikrishnan. In the hopes of luring more visitors to Umm Al Quwain, many of the emirate’s establishments have already embarked on revamps and redevelopments, and as El Kesti explained, Dreamland Aqua Park is no exception with a new attraction, hailed as the longest water ride in the UAE, set to be added to the facility’s 30 other rides. In addition, the management is also considering building more cabanas to cater to the constantly growing demand. As Afana revealed, UAQ Beach Hotel’s facilities and rooms are also to undergo renovations in the coming months, while Hotel Royal Residences’ properties have already completed work in the villas, rooms and other common facilities in anticipation of Expo 2020, Ali explained. Expectation is in fact building up as the UAE is gearing up to host one of the largest events the region has ever seen, and one, which many believe, will also give Umm Al Quwain a chance to capitalise on its own strengths that distinguish it from the other emirates. 

GRABBING MARKET SHARE As per Harikrishnan, a stronger presence at international trade exhibitions could help convey the message that Umm Al Quwain offers promising opportunities and that the emirate’s tourism sector is keen on supporting new initiatives. Hoteliers in Umm Al Quwain are now pinning their hopes on the much talked-about Expo 2020 which is expected to attract 25 million visitors to the UAE, and the small emirate is determined to capture a notable share of the anticipated influx. “Expo 2020 is a huge mega-event not only for APRIL 2014

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Malta

A Place For All Seasons Already benefitting from its popularity as a sun, sea and sand destination, Malta is now working to mitigate seasonality, with all tourism industry stakeholders collaborating on the drive for year-round visitation, and the subsequent product diversification. MALTA IN BRIEF Capital: Valletta Currency: Euro (EUR) Language: Maltese

 Emily Millett writes

alta is undeniably well-placed to absorb a high level of tourist arrivals, and the advantages that come with it. Indeed as numbers rise year-on-year, it seems the destination is heading in the right direction for further growth in times to come. Overall Malta has been seeing a positive track record of incoming figures, all of which point towards the increasing popularity of the destination. The National Statistics Office revealed that tourist arrivals in December 2013 escalated by 3.1 percent compared to December 2012, with an estimated 65,345 visitors, 52,986 of whom came for leisure, while the remaining 8,315 travelled for business purposes. Progress was also seen in the year-on-year results, with numbers for 2013 escalating by 9.3 percent over 2012, reaching a record 1.6 million. Total nights spent in Malta also rose in 2013, totalling almost 12.9 million and marking a 8.7 percent boost over 2012. Over on the smaller Maltese island of Gozo, Joe Muscat, CEO, Gozo Tourism Association, confirmed that his protectorate also registered a significant surge in tourist volumes in 2013. “These increases were registered in both the domestic and foreign markets. In fact during 2013 an increase of 11.7 percent on 2012 was registered in foreign tourist arrivals, translating into nearly 25,000 more bed nights in Gozitan hotels and guesthouses,” he said. Predictions for this year are looking equally positive across the board, with the ITB World Travel Trends Report 2013, conducted following the International Tourism Bourse (ITB) by IPK International, stating that tour-

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ism in Malta is expected to grow by six – eight percent. According to Karmenu Vella, minister of tourism, Malta, 32 percent of tourists that arrived to the islands in 2013 were repeat visitors. “[2013] will be remembered as a truly positive year in the tourism industry, with exceptional results not only in numbers but also in the amount of bed nights and expenditure,” Vella said. Backing up the optimism witnessed by these figures, Brian Bartolo, head of marketing, Grand Hotel Excelsior, communicated, “In 2013 we experienced substantial growth in both occupancy and revenue levels. This growth continued [this year] and we are forecasting that [this year] will be a record year for the hotel.” ONLINE BOOKINGS A significant portion of these arrivals are more and more turning to the Internet to make their bookings as Bartolo confirmed, “There is a substantial increase in online bookings as travellers are becoming more Internet savvy. Today, 40 percent of our bookings are generated through our Internet channels.” The hotel has upgraded its own technology offering with all 433 rooms expected to have been equipped with free Wi-Fi

access by the end of March. Online booking is also having a noted effect on the figures at The Westin Dragonara where last minute Internet bookings are setting new benchmarks for the property’s yearly results. "Malta and The Westin Dragonara are experiencing a shift towards more last minute bookings. This last minute pace is increasing year after year,” explained, Edward Bonello, director of sales and marketing, The Westin Dragonara Resort, Malta. “Technology plays a key role in this, giving the customer better options to book in his own time without having need to book in advance. From our end we have a solid web presence that places us in a strong position to tackle this last minute trend and offer a quality service to our guests irrespective of when they book,” he added. Speaking about the five-star resort’s continued investment programme over the past months, Bonello explained, “Only recently the hotel has 

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fully refurbished its 1200m² conference centre. [It] is now state-of-the-art with an up-to-date and modern look and equipped with modern lights giving the customer more flexibility and choice.” Other areas of the hotel which have been renovated include the beach clubs and pool decks. Commenting on the importance of the industry for Malta’s development, Bonello added, “Tourism is a prime focus area for Malta and progress in this field is being made year-on-year through consistent investment and planning. Malta’s opportunity for growth is to increase visitors in the winter months between December and March.” SEASONAL DIVERSIFICATION Speaking of the all-important winter months, the destination’s collective push to tackle the problem of seasonality seems to be paying off, as the Maltese islands were recognised as the least seasonal Mediterranean tourism destination recently according to Josef Formosa Gauci, CEO, Malta Tourism Authority, who said, “Around one in every five tourists visiting Malta actually visits between November and February which means that although tourism volumes are much lower than during the peak, there remains a substantial tourism inflow at this time of year.”

Malta

The importance of Malta opening up as a yearround hotspot is resulting in the diversification of the product offering, with social, cultural and sports tourism emerging as a result. “Creating more cultural events especially in the winter period will help the destination become more attractive to the winter traveller,” exclaimed Bartolo. The drive for culture tourism recognition has already been confirmed with the announcement of Valetta as the European Capital of Culture for 2018. Estimated to cost the government some EUR130 million (USD181.3 million), the preparations in the lead up to the city’s spell as European Capital of Culture are due to include large infrastructural projects such as the rehabilitation of old buildings. Gozo is also noticing the positive outcome of shoulder tourism promotions as Muscat confirmed, “Slowly but surely the Maltese islands are changing the perception that we are only a sun and sea destination. Gozo being the smaller island is also feeling the effect of this tourism trend. In fact during 2013 the major increases were recorded in the lowest months. The first quarter of 2013 registered a 17 percent increase in tourist arrivals, while in the last quarter of 2013 Gozitan hotels and guesthouses recorded an increase of 23 percent." Even the destination's national flag carrier is play-

ing its role in balancing out seasonal disparities, with Air Malta introducing initiatives specifically geared at supporting the country’s drive for off-season arrivals. According to Philip Saunders, chief commercial officer, Air Malta, as a direct response to the noticeable increase in demand for shoulder and off-peak holidays, the airline has started its summer schedule early in time for the spring and Easter period. FLIGHT CONNECTIVITY Air Malta’s 2013 results confirm steady financial and operational progress, with April 2013 and June 2013 witnessing passenger figures rise 6.2 percent to 498,692, and a steady seat load factor of 74 percent over the same period in 2012 maintained. Further cementing the destination's status, Malta’s main aviation hub, Malta International Airport (MIA) welcomed a record four million arrivals in 2013, indicating the largest number of passengers handled in one year by the facility. The milestone achievement also meant a 10 percent increase in traffic over 2012, making MIA the fastest growing European airport in its class in 2013 according to Markus Klaushofer, CEO, MIA. Supporting the airport is an ever-growing network of connections linking the island destination to the rest

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Malta of the world. Air Malta has recently started flights to Istanbul as well as codeshare operations with Air France on the routes between Malta, Paris, Orly and Lyon. Commenting on the country's aviation access, Bonello, said, “Flight connections to Malta are always on the increase – we have a daily flight from Dubai with Emirates and regular flights to Turkey with Air Malta and Turkish Airlines. Malta is also well connected with North Africa which also helps connectivity.” Verifying this assertion, and after restarting daily operations to Tripoli and inaugurating flights to Benghazi in 2013, Air Malta is now also resuming services to the Algerian capital of Algiers for the summer schedule this year. However if Malta is to make the most of this lucrative market segment more effort needs to be made by regional airlines to expand their routes to the island destination, as Bartolo explained, “We believe that Malta still needs to tap the Middle Eastern market and this can only be done if more Middle Eastern airlines start operating to Malta.” MIDDLE EASTERN INTEREST Already aware of the potential of the Middle Eastern market, Malta’s hospitality segment is taking steps to further attract regional clientele, as Bonello stated,

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“The Middle East market is a growing market for Malta and The Westin Dragonara Resort. We recently had a large pharmaceutical conference in the hotel consisting of over 200 delegates from the Middle East. Malta with its strength in the financial service industry can act as a strong bridge between the Middle East and the European Union.” The five-star Fortina Spa Resort in Valetta is currently targeting the luxury leisure traveller arriving from the Middle East amongst other markets, according to Michael Zammit Tabona, managing director, Fortina Spa Resort and Hotel Fortina. “The Middle East is a very important feeder market for Malta and especially the Fortina Spa Resort, as the hotel provides exactly the standard, requirements and luxury expectations of the Middle Eastern client,” Tabona explained. “Respectfulness of culture and privacy are also offered, for example by accommodation that comes with private rooftop pools," he added. Aware of the importance of providing bespoke accommodation offerings for this discerning market segment, the hotel has recently increased its guestroom portfolio with the addition of ‘The Residences’ offering a very private serviced apartment-style concept for long- or short-stays, family holidays and business trips.

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“Taking up a whole floor of the luxury tower at Fortina Spa Resort the four residences provide a stylish home from home with two double bedrooms, kitchen, lounge, modern luxury design and privacy, still with all the benefits of luxury resort and spa facilities on site,” said Tabona. GOZO STANDING ALONE While Gozo shares many of the alluring characteristics that make neighbouring Malta so alluring, the smaller island is also keen to push the distinctive traits that give it a personality of its own. Gozo Tourism Association’s annual general meeting, held in February, witnessed the announcement of a debut stand alone separate regional tourism policy for the little islet which, according to Muscat, compliments the already acknowledged fact that Gozo is a distinct destination. Present at the event, Vella, said that the aim of the policy document is to make Gozo’s tourism sector both stronger and more sustainable. Currently benefitting greatly from its popularity as a local and domestic tourism destination, part of the new policy is set to address the feasibility of introducing an air-strip on the island as well as a fast ferry service between Gozo and Malta. 

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Car Rentals

Roaming New Destinations

Directly benefitting from a global increase in the number of people now travelling, as well as a seemingly unquenchable thirst to explore every last corner of their chosen destinations, the car rental industry has been witnessing strong results over the past years, and its future is predicted to be brighter than its present.  Maria Kazeli

writes

ashing in on the impacts of growing and advancing economies, the global car rental industry is currently seeing its dynamics and growth being significantly determined by rising household income in emerging countries, increasing expenditure on leisure activities and improving road infrastructure. These findings were revealed in the ‘Global Car Rental Market: Trends & Opportunities (2013-18)’ report released recently by Research and Markets, a leading source for international market research and market data. According to market intelligence company, Transparency Market Research, aside from the advancement of the global economy, the growth of car rental agencies can also be attributed to rising tourism figures being seen in general across all regions in the world. An analysis of the industry put together by the research enterprise found that the mounting

number of air travellers correlated to an increase in the revenue of car rental agencies. In addition, demand for reliable and convenient transportation services is further fuelled by globalisation, as multinational companies are driven to establish their business overseas. Data gathered for the ‘Car Rental Market - Global Industry Analysis, Size, Share, Growth, Trends And Forecast, 2013 – 2019’ report show that North America holds the largest market share of the car rental industry, with the business flourishing significantly in the region. Europe currently holds the second largest market share with India and China growing steadily. AT THE CENTRE OF IT ALL Moving over to the Middle East region, Euromonitor International disclosed that car rental transaction volume increased by three percent in 2012 year-on-year in the UAE alone, due to a growing trend amongst tourists to venture outside Dubai and Abu Dhabi and explore more of the country. The relevant report predicted that transactions APRIL 2014

Car Rentals

findings, saying that Dubai and Abu Dhabi are the company’s most successful branches. “We can attribute this success to the fact that these two emirates are very attractive for tourists and became major hubs between Europe and Asia with large international airline companies operating in the area. Muscat in Oman shows very positive signs and is on its way up,” he stated. Similarly Soumitra Sinha, sales and marketing manager, Thrifty Car Rental UAE, revealed that the company registered a year-on-year surge in rentals, with the major nationalities for inbound business into the UAE being the GCC countries, the UK, and Germany. “In the UAE our most successful of the 46 locations in which we operate are the five airports and the 16 shopping mall locations. In the UAE, we are the only car rental company to operate shopping mall locations. The reasons for Thrifty’s success is the huge fleet we operate, around 13,000 vehicles, the various types of vehicles we have for renting and also the spread of our locations across the country,” he suggested. Sunita Gomes, commercial director, Middle East and Africa, Hertz, also agreed that in 2013 the group experienced an increase of over 65 percent in outbound car rental transactions in comparison to 2012. Customers were primarily Arab nationals and expatriates alike, she added. “We saw an increase in short-term rentals [in 2013] and we feel this positive trend will continue over the next few years, due to the emergence of soAPRIL 2014

providing long-term car rentals with very high service standards and competitive prices.” Optimistic for the future and emphasising the need for car rentals in countries with poor public transport networks, Younis commented, “The car rental option will continue to be very popular in the future since the public transport sector in Lebanon still needs a lot of development. As soon as the security gets restored we are sure that the entire tourism industry will blossom again.” Thifty Car Rental Jordan has also turned to alternative products to increase its market share, with Nadia Abbasi, sales and marketing manager, Thrifty Car Rental Jordan, revealing news regarding long-term collaborations with various associations, non-governmental and governmental organisations, as well as the option of limousine services being introduced to the company’s customers.

are expected to more than double, with constant value sales rising at a 10 percent compound annual growth rate to reach AED2.1 billion (USD571.7 million) by 2017. Marcus Bernhardt, chief commercial officer, Europcar, corroborated Euromonitor International’s

Growth in car rental is expected to be compounded by increases in both domestic and international tourism [...], growth in business travel spending and improvements in airport infrastructure across the region

EXCLUSIVE

HAND-IN-HAND Budget Dubai Investment Park Office

cial media as a powerful new platform for business growth. However, we still consider our superior customer experience and customer engagement as the main drivers of our success. Our major markets are the US, Canada, UK, Saudi Arabia and the UAE,” unveiled Salim Damji, senior general manager, Budget Car and Van Rental – UAE. Elsewhere in the region in Lebanon, a country facing turbulent geo-political challenges, the market shows a declining trend as Shady Younis, sales manager, Advanced Rent a Car, Lebanon observed, saying, “The car rental sector is suffering currently because of the country’s situation. However we were able to start working with new niches in the market that are somehow sustaining our growth. Mainly we are focused on

When asked to identify the most dominant trends in the industry, most companies turned to technological advancements as a main area to look out for. As Damji explained, the car rental market is both price-sensitive and highly competitive meaning that customers are more inclined to shop around online before making a decision, with two out of three of all clients now booking via the Internet. “Travellers increasingly use the mobile web to make bookings, an indicator that the industry is getting more and more technology driven. We are very pleased about this because technology gives us an opportunity to invest in customer loyalty and deliver enhanced brand experience,” he added. Referring to partnerships with global distribution systems and whether they have increased the company’s reach, feeder markets or sales, 

EXCLUSIVE

Car Rentals

back from its pre-recession peak. Going forward, growth in car rental is expected to be compounded by increases in both domestic and international tourism [...], growth in business travel spending and improvements in airport infrastructure across the region,” she said. With this in mind and given the fact that a number of strong domestic and international players are present in the car rental sector in the UAE, the landscape is becoming increasingly competitive. In response to this trend Thrifty Car Rental UAE is gearing up to establish a stronger presence in various locations, while Sinha underlined that being accessible to even more individuals is bound to in-

Hertz Marble Arch, London Office

Jan Shepherd, rental operations manager, SIXT Rent a Car UAE, confirmed, “They have given us a positive response and are one of our important sources. In this world of technology, people look at booking online, which is why they have certainly increased our reach as people tend to make their bookings through websites that we have partnerships with.” Another inclination in current market movements is the popularity of certain locations over others. Expectedly being situated at a busy airport is an asset for many companies, with Hertz UAE having recently opened a new office at Al Maktoum International Airport at Dubai World Central (DWC), close to the Dubai World Expo 2020 site, in a bid to capitalise on the emirate’s successful bid for the Expo 2020. Nigel Johnson, general manager, Hertz UAE, said, “This is our fifth airport location in the UAE, and establishing an early presence here is crucial; a booming regional aviation sector underpins our expansion strategy. Not only is DWC home to what soon will be the largest world-class airport in the world, it is also a fully integrated economic zone supporting logistics, aviation, commercial, exhibition, humanitarian, residential and leisure related businesses.” Sharing Johnson’s views on the Expo 2020 opportunities, Damji corroborated that airport branches are the most successful due to the phenomenal growth in the number of passengers arriving and departing from UAE airports. “This demand is bound to rise further, as the UAE in general and Dubai in particular are geared for a quantum leap in airport arrivals as we get closer to Expo 2020, which, as everyone knows, will give the biggest boost to the travel business in the region,” he concluded.

Moving over to the Middle East region, Euromonitor International disclosed that car rental transaction volume increased by three percent in 2012 year-on-year in the UAE alone, due to a growing trend amongst tourists to venture outside Dubai and Abu Dhabi and explore more of the country

KEEPING AHEAD OF THE GAME Car rental business is predicted to stay alive and thrive for many years to come, as Gomes remarked, adding that forecasts are very positive thanks to regional airlines expanding their fleet and route network, Abu Dhabi International Airport offering US customs pre-clearance, and the UK electronic visa waiver for UAE, Qatar and Omani nationals. “Domestic, international-inbound and international-outbound vehicle rental spend has bounced

crease business. Damji emphasised the customer-centric approach as a method to stand out from the ever-more crowded marketplace, announcing that Budget UAE have launched a new loyalty scheme. “It is our way of rewarding and say ‘thank you for doing business with us’ to all our customers. Customer satisfaction remains on top of our company strategy,” he explained. 

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TRAVEL CHANNELS

SMD Hosts Museum Education Workshop Sharjah Museums Department (SMD), in collaboration with the Goethe-Institut, conducted a workshop for specialists in the museum education sector.

T Sharjah Art Museum

Dubai Airports Turn off the Lights Dubai Airports switched off all non-essential lights at Dubai International for an hour every day in the 27 days in the run up to Earth Hour on March 29. To ensure smooth operations, the initiative, which commenced on March 6, did not affect essential facilities, as Paul Griffiths, CEO, Dubai Airports, explained. The 24 hours of power conservation was expected to save the airport an estimated 300,000kWh of energy equal to 129 tonnes of CO2 emissions, more than 23,729 gallons of gasoline, or the same as carbon sequestered by 5,427 tree seedlings grown for 10 years.

Janadriyah Festival Boosts Hotel Occupancy Janadriyah 29, the national festival for heritage and culture in Riyadh has contributed to higher rates of hotel occupancy, with the accommodation sector reaching up to 90 percent of its total capacity. Attracting more than 150,000 visitors in its initial days alone, the programme resulted in unprecedented turnout by Saudi citizens and visitors from the GCC countries. Hailed as one of the most important historical and cultural events in the capital, the festival showcases a wide range of activities including lectures, seminars, poetry recitals, traditional markets, folk dances, book shows and painting exhibitions.

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he four-day workshop, entitled ‘Learning with objects and visitors – Approaches, Objectives and Perspectives’ was aimed at providing innovative approaches to bringing museum collections and a wide range of visitors and audiences together. A main focus of the training addressed participatory methods to involve the museum public in re-interpreting the meaning of museum objects and revealing new stories for exhibitions and educational events. Commenting on the workshop, Manal Ataya, director general, SMD, remarked, “We are delighted to host the tailored training which will equip museum education specialists with the necessary skills and the new methodologies for their work with our diverse communities. The sessions allow for a dialogue between the trainer’s expertise and local know-how and experience. The aim is to develop skills and jointly move forward towards delivering state-of-the-art educational activities that are relevant to all our museum audiences.“

WHO'S MOVED

MOHAMED TAHER Mohamed Taher has moved to Shangri-La Hotels and Resort’s Dubai-based regional sales office as director of sales and marketing. Taher joins the team from Traders Hotel, Dubai, where he served in a similar role. Prior to that, he worked as director of sales at Shangri-La Hotel, Dubai. Having joined Shangri-La Hotels and Resorts after six years with

Accor, Taher has now been with the company for over 10 years and has extensive hospitality experince in the Middle East, with specific expetise in the corporate and leisure markets. At the regional office, Taher will be responsible for the sales and marketing strategies of all ShangriLa and Traders properties in the Middle East.

ADRIAN MESSERLI Adrian Messerli has joined Four Seasons Hotel Cairo at Nile Plaza as hotel manager. Relocating from Sharm El Sheikh, he takes the helm of the property’s overall operations. Messerli, grew his passion for the industry in his family’s hotel in the Swiss Alps. Since Graduating he has worked his way up through food and beverage division

management assignments with Four Seasons Hotels & Resorts in the US, the Bahamas, Uruguay and Portugal before joining Four Seasons Resort Sham El Sheikh as director of food and beverage. His exposure to numerous operations in Europe, North and South Africa is set to contribute to developing the guest experience at the property.

STEPHEN HAVRILLA Stephen Havrilla has been appointed general manager at The Royal Golf Club in Bahrain. Havrilla is a golf professional, and holds a bachelor’s degree in construction management from Colorado State University in the US. He has been with Troon Golf since 1999, when he held a position as the head professional at the company’s flagship property, Troon North Golf Club in Arizona. Since then he has travelled around the world with the group working in countries such as India, Australia, Fiji, Portugal, UAE, Jamaica and Puerto Rico. This latest appointment marks his return to the UAE, having already

served at The Montgomerie in Dubai in 2002. In addition to overseeing the day to day running of The Royal Golf Club, Havrilla and his team will be working towards the goal of raising awareness and growing the popularity of the sport in Bahrain, and building a reputation for the country as a desirable golfing destination for both tourists and business visitors. Havrilla has taken over from outgoing general manager, DJ Flanders, who has been promoted to the position of director of operations for Troon Golf Middle East and Africa, based in the corporate office in Dubai.

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RENDEZVOUS

Q & A with Hossam Kamal Fujairah is currently striding out, full of confidence in the knowledge that demand for its unique offering is growing. Here Hossam Kamal, general manager, Fujairah Rotana Resort & Spa Al Aqah Beach, divulges the industry trends and country assets behind the shift from shadows to spotlight.

Travel Trade MENA: Do you believe there is enough demand in Fujairah to balance the increase in supply, and how does the hotel plan to stay ahead of new competition? Hossam Kamal: Fujairah is making headway in the international arena with demand definitely seeing an upward trend as more travellers from Russia, Germany and the UK seek leisure holiday destinations and corporates seek outbound venues. Fujairah is in proximity to Dubai and other emirates and easily accessible through neighbouring international airports of Dubai and Sharjah, thus its strategic location makes it a preferable leisure and corporate destination. New properties and an influx of foreign investment are allowing us the opportunity to be innovative and unique. To stay ahead of competition, we have planned to position our resort as a complete family destination. The Fujairah Rotana Resort & Spa Al Aqah Beach will cater to the requirements of an entire family making us the number one family destination in the UAE. Setting us apart is our trademark unique service and excellent standards to maintain guest satisfaction. In addition to our recently renovated state-of-the-art gymnasium, replete with a sauna, steam and highend Fitness First equipment, we have also planned renovations of our pool bar, and our beachside restaurant in the coming years. We are confident that with the planned development, demand will continue to rise and will benefit the emirate. Travel Trade MENA: Tourism trends in Fujairah are showing signs of a shift from leisure travel towards a focus on corporate and MICE business. Have you felt this move and what is the hotel doing to capture this widening audience? Hossam Kamal: Although leisure travel is definitely one of our core influxes, MICE and corporate businesses have increased reasonably over the past couple of years. To be able to tap that market we have now set up a fully fledged business development team who are relentlessly working towards gaining our fair share of this particular market segment. Our sales teams have managed to get overseas incentive groups which have helped increase our market share. This year foresees a planned renovation of our ballroom, a 350mÂ˛ space and three meeting rooms with the latest audio visual equipment and conference facilities. With our scenic location, spacious banquet APRIL 2014

Hossam ChristianKamal Muhr

General manager, Vice president, operations, Egypt and Levant, Fujairah Rotana Hilton WorldwideResort & Spa Al Aqah Beach

to Fujairah? Hossam Kamal: I have noticed an interesting increase in various travel bases. With Russia and Germany already topping our list, we are now excited to see the UK and Swiss markets making their way to the emirate. For our current markets, travel agencies are instrumental in bringing us large volumes of business. In 2013 over 65 percent of business was channelled via travel agencies through tour operators and this is expected to grow to 70 percent this year. Travel Trade MENA: What do you think can be done in order to bring Fujairah into the spotlight as a contender on a more international scale and is the destination ready for more widespread attention?

venues and meeting rooms completely furnished with state-of the art audio visual equipment, various dining options and tailored MICE packages; the resort is greeting a lot of attention from this sector. Travel Trade MENA: What other trends are you aware of and what do you think motivated the emergence of these changes? Hossam Kamal: The tourism trends in Fujairah pleasantly surprises us at every bend. The emergence of various online travel agents on the horizon and the share of incoming business from such websites is increasing. People are now shopping around more and looking for deals. Today travellers are looking for a fully fledged family experience. One that doesnâ&#x20AC;&#x2122;t need them to rummage their pockets while on holiday. All inclusive packages with accommodation, meals, tours, adventure activities and spa treatments are becoming quite popular. With this shift in customer buying habit in mind, Fujairah Rotana Resort & Spa is focused on enhancing relationships with the existing and upcoming online travel agents with very lucrative package deals to ensure that everyone, including the customer, the agent and the hotel, is a winner. Travel Trade MENA: Have you witnessed any notable deviations in key international feeder markets

Hossam Kamal: Fujairah is a young and dynamic emirate and is definitely on the right path to be a contender in the international arena. Fujairah Tourism & Antiquities Authority (FTAA) is working relentlessly to gain international attention on the local culture and heritage that has been successfully preserved over the years. Participation in travel exhibitions and events have garnered a large interest in the emirate. Inviting the international media to experience the deep rooted culture combined with scenic views will surely increase international attention. We at Fujairah Rotana Resort & Spa Al Aqah Beach, have a strong media plan to assist this process. Travel Trade MENA: What role does FTAA play in the promotion of the tourism industry and how do hoteliers contribute to this effort? Hossam Kamal: FTAA plays a very important role in placing the emirate on the international circuit. One such example was the recently hosted Monodrama festival at Al Aqah Beach. We were hospitality partners for this event and hosted a large number of VIPs. The FTAA also assists in international exhibitions like the Arabian Travel Market, the World Travel Market held in London and the International Tourism Bourse in Berlin which allows and assists us to partake on an international platform and connect with our market. As a hotel entity we support the regionâ&#x20AC;&#x2122;s best efforts through sponsorships and partnerships. Our global media and sales network also assists largely in the promotion of region.

travel talk is your space

TRAVEL TALK IFTIKHAR HAMDANI

PHILIPPE MONTAUBIN

General manager, Ramada Hotel and Suites Ajman.

General manager, Novotel Dubai Al Barsha.

“Our hotel is a proud supporter of the UAE Green Festival, as this is an excellent venue to address the environmental and waste management concerns in various fields, especially in the hospitality sector. We are very keen to share our knowledge and initiatives, and together, we aim to create a big impact on the preservation of the natural wonders of all the emirates.”

We are very keen to share our knowledge and initiatives

“We have received a fantastic response from the Dubai market. Since we opened, the hotel has been very busy and guests do not only love the rooms and facilities, but also Cravin’ Cajun, the region’s only Cajun Louisiana restaurant. We are looking forward to welcoming many more guests from around the world in the coming years.”

We are looking forward to welcoming many more guests

ROGER MACFARLANE

KJELD BINGER

Vice president, technology, Middle East and Asia, Mövenpick Hotels & Resorts.

CEO, Airport International Group.

“Initial feedback [for the complimentary Wi-Fi connectivity during transfers] from our guests is extremely positive and many are very impressed by the seamless connectivity they can experience in this way from the airport to their room. It has been very rewarding to witness the impact this additional benefit has made to our guests in terms of an enjoyable arrival. I have no doubt this will eventually be adopted by others in the hospitality industry, given the fast pace of change in technology.“

“Since launching the new Queen Alia International Airport terminal in March 2013, we have been able to consistently meet ambitious targets and milestones that position the Kingdom’s main gateway as a world-class airport that all Jordanians can be proud of. Not only do the Airport Service Quality Awards [from Airports Council International] validate the outstanding efforts of the men and women who have been working tirelessly towards this goal, but they also reflect our dedication to introducing a unique travel experience that is recognised by our passengers and industry peers.”

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 APRIL 2014

RENDEZVOUS

Q & A with David Todd Over the past years, InterContinental Hotels Group (IHG) has grown into one of the main hotel companies in Oman. Here, David Todd, general manager, InterContinental Muscat, and regional general manager, Oman, IHG, talks about the Sultanate’s unique authenticity and the company’s future growth plans.

Travel Trade MENA: With six distinct hotels, including InterContinental Muscat, Crowne Plaza Muscat, Crowne Plaza Sohar, Crowne Plaza Salalah, Crowne Plaza Duqm and Holiday Inn Muscat Al Seeb, IHG now offers a wide range of options for both business and leisure travellers. In your opinion, what makes Oman one of IHG’s key markets in the region? David Todd: Oman has a lot to offer for the corporate as well as the leisure traveller. Oman is known for its authentic Omani hospitality and as being the best place to experience the true Arabic culture. The city of Muscat is known for its extensive souq, the Grand Mosque and the Royal Opera House which is next to InterContinental Muscat. For the leisure traveller, there is much to see and discover, like visiting the desert for some dune bashing, wadi experiences, turtle and dolphin watching and hiking in the mountains. The Ministry of Tourism puts a lot of effort into developing tourism and IHG Oman is attending their events and trade shows throughout Europe to support their great initiatives. As we all know ‘Beauty Has an Address: Oman’. Next to that, the country is developing the extension of the airport to allow more visitors to come to Oman. Behind the airport an extensive conference centre is being built, which will attract a lot of MICE business into the country. IHG Oman will welcome another property, which will be built next to the convention centre, namely Crowne Plaza Oman Convention and Exhibition Centre.

David Todd Christian Muhr

General manager, InterContinental Muscat, Vice president, operations, Egypt and Levant, and regional general manager, Oman, IHG Hilton Worldwide

Oman has a lot to offer for the corporate as well as the leisure traveller. Oman is known for its authentic Omani hospitality and as being the best place to experience the true Arabic culture.

MICE demand changed over the past years at IHG’s properties? David Todd: Well as mentioned IHG Oman will open up Crowne Plaza Oman Convention and Exhibition Centre to serve the business traveller. Following that, we will be launching the newbuild InterContinental Muscat Golf Hotel Resort and Spa, which will be built on a golf course. Golf tourism really is an upcoming form of tourism for the Sultanate, therefore we work very closely with golf clubs such as Muscat Hills.

Travel Trade MENA: With its developing infrastructure and high-quality services, Oman continues to attract visitors from all walks of life. What are your key source markets at the moment?

APRIL 2014

Travel Trade MENA: The Sultanate has long been a popular destination, especially among GCC travellers, during weekends and public holidays. How important is the leisure weekend traffic to your business? David Todd: This is of course very important for our Muscat hotels. We do indeed witness a lot of UAE residents coming over for the weekend to spend time with their families in Oman. Therefore also our Friday brunches, which are very family orientated, prove to be highly popular. Travel Trade MENA: Please tell us about your plans for the current year.

David Todd: We can divide our markets into leisure and corporate where for leisure, Germany, the UK and France are our main markets. We do see that Italy and Spain are also increasing year by year. For corporate travel, it is mainly the GCC and European countries like, the UK and the Netherlands. Travel Trade MENA: In the past years, Oman has laid great emphasis on enriching the Sultanate’s tourism product in order to attract 12 million visitors per annum. How has leisure and business/

InterContinental Muscat and Crowne Plaza Muscat are both built on the beach in the city centre of Muscat, also known as ‘a resort within a city’ which is ideal for business and leisure travellers alike.

InterContinental Muscat

David Todd: Crowne Plaza Muscat will have its entire room product upgraded and renovated, while the meeting rooms will be completely renovated. At Holiday Inn Muscat Al Seeb [...] we are looking forward to targeting the Seeb area and the Holiday Inn clientele. InterContinental Muscat will also start its renovation by the summer. The room product will be upgraded, and the same goes for our food and beverage offerings.

NEWS & EVENTS

Qatar Executive: Successful Presence at Abu Dhabi Air Expo Displaying its state-of-the-art Bombardier Global 5000 private jet, Qatar Executive made its presence felt at this year’s Abu Dhabi Air Expo which took place at Al Bateen Executive Airport, Abu Dhabi’s dedicated business aviation airport. Akbar Al Baker, CEO, Qatar Airways, who also heads the airline’s private jet division, welcomed H.E. Sheikh Sultan bin Tahnoon Al Nahyan, chairman, Abu Dhabi Tourism and Culture Authority, during the official royal tour and demonstrated the aircraft interiors and cabin features. During media interviews, Al Baker highlighted the strong commitment to grow Qatar Executive and to keep the private jet fleet young and modern through continued investment in new aircraft. Since its inception in 2009, Qatar Executive has seen rapid growth of operations, and is currently flying a superior fleet of seven business jets, which can reach many destinations in the world nonstop.

Bombardier Global 5000 private jet

EVENTS

ITB Sets New Records This year’s International Tourism Bourse (ITB) Berlin recorded a four percent rise in trade visitors and a significant increase in business volume, which Messe Berlin estimates reached EUR6.5 billion (USD9.02 billion). Between March 5 – 9 a total of 10,147 exhibitors from 189 countries, more than two-thirds of whom came from abroad, were represented in 26 halls which were booked to capacity. Overall, some 114,000 trade visitors travelled to Berlin, with a slight increase witnessed in buyers from the US and the Middle East. Expressing satisfaction at the business levels, Christian Göke, CEO, Messe Berlin, said, “Never before was there such an emphasis on innovation as at this year’s ITB Berlin. The mood among exhibitors and visitors at this year’s show was one of euphoria, which over the last five days could be felt everywhere on the Berlin exhibition grounds. The world’s leading travel trade show had an even more positive impact on trade buyers and holidaymakers than in previous years.“