Travel Trade MENA March 2014

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MARCH 2014

ONSITE: A Revolutionary New Image As tourists trickle back to Egypt, now is the time to reshape the picture of the country in the public eye.

ISSUE 53

Dubai is expected to invest USD8.8 billion in infrastructure developments and upgrades over the coming years, to create a destination and a World Expo show that will astonish the world in 2020.

03 SPECIAL REPORT: For the Young at Heart Water parks are strong magnets for families and those travelling alongside children.

26 IN THIS ISSUE MARKET UPDATE

02

VISIT: Egypt

03

EXPLORE: Dubai

09

ONSITE: Oman

16

TOUR: UK

20

EXCLUSIVE: Luxury Travel

22

SPECIAL REPORT: Water Parks

26

TRAVEL CHANNELS

29

TRAVEL TALK

30

RENDEZVOUS

31

NEWS & EVENTS

32

EXPLORE: Here Comes Dubai

9

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MARKET UPDATE TRAVEL TRADE PUBLICATIONS

MENA EXCHANGE RATES

MANAGING EDITOR Mary Kammitsi mary@traveltradeweekly.travel

Accurate as of

24/02/2014

COPY EDITOR Emily Millett SENIOR JOURNALIST Rita Kasziba JOURNALIST Maria Kazeli PRESS 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

Currencies shown in red are fixed against the US Dollar 1USD=

COUNTRY

CURRENCY

UAE (AED)

Dirham

3.67

Egypt (EGP)

Pound

6.96

Saudi Arabia (SAR)

Riyal

3.75

Lebanon (LBP)

Pound

1,503.50

Bahrain (BHD)

Dinar

0.37

Jordan (JOD)

Dinar

0.71

Syria (SYP)

Pound

143.70

Kuwait (KWD)

Dinar

0.28

Qatar (QAR)

Riyal

3.64

Oman (OMR)

Rial

0.38

Tunisia (TND)

Dinar

1.58

Morocco (MAD)

Dirham

8.17

Iran (IRR)

Riyal

24,900.00

Yemen (YER)

Rial

215.01

Algeria (DZD)

Dinar

78.40

Libya (LYD)

Dinar

1.24

The Dubai Mall: 75 Million Visitors The Dubai Mall has retained its position as the world’s most-visited destination for the third consecutive year after having welcomed more than 75 million shoppers in 2013.

A

ccording to a report released by management consulting firm Bain & Company, following robust footfall of 54 million in 2011 and 65 million in 2012, the shopping and entertainment centre recorded a 15 percent rise in visitor numbers in 2013, with an average monthly figure of 6.25 million.

As a result, the mall’s 1,200 plus retail outlets witnessed a 26 percent increase in sales, and more than 50 percent of all luxury goods sold in Dubai were purchased at the centre whose dedicated Fashion Avenue hosts the world’s largest collection of fashion brands under one roof.

Reflecting the tourism demographic trends of the emirate, over 40 percent of the visitors were tourists, with the majority of overseas visitors coming from Saudi Arabia and other GCC countries, China, India, Russia and Europe.

Highlighting the widespread benefits of the mall, Abdulla Lahej, group CEO, Emaar Properties, said, “The socio-economic impact of the mall on the emirate’s economy is tremendous, having generated more than 25,000 jobs and consistently driving the growth of the city’s retail, leisure, and hospitality sectors – the core contributors to Dubai’s GDP.” MARCH 2014

VISIT

Egypt

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A Revolutionary New Image As tourists trickle back to Egypt, now is the time to reshape the picture of the country in the public eye. Subsequently efforts to communicate the safety and security of the destination can be heard across the industry.

EGYPT IN BRIEF Country: Egypt Currency: Egyptian Pound (EGP) Language: Arabic

 Emily Millett writes

M

ost of the international travelling public are probably already aware of Egypt’s many alluring qualities. They know of the historic wonders left by ancient civilisations, the diverse beauty bestowed by nature, the vibrant urban culture of contemporary society and the goodvalue-for-money, high quality hospitality services. However as past years have seen the global media paint a portrait of a conflict ridden country, where revolution precedes tourism, Egypt’s status lurks unjustly closer to ‘dangerzone’ than ‘holiday hot spot’. The challenge now is not promoting the destination’s plethora of visit worthy assets, but assuring the world that it is safe to come back.

“The industry of tourism in Egypt has been, and still is facing a lot of challenges, the most important of them now is how to change our international image,” said Hisham Zaazou, minister of tourism, Egypt. “The Ministry of Tourism is exerting all efforts to confront these challenges […] implementing a comprehensive strategy that consists of traditional and creative elements,” he added.

According to Zaazou, these efforts include cooperating with global tour operators, organising press trips for media representatives, developing a strong etourism presence worldwide via social media platforms, and participating in all international tourism exhibitions.

To this end a large delegation from Egypt will be joining the hoards due to descend upon Berlin this month, as Messe Berlin prepares to host the internationally renowned International Travel Bourse (ITB) exhibition.

David Ruetz, head, ITB Berlin, commented, “ITB Berlin is the ideal platform for the whole travel industry to find out more about Egypt´s ambitious projects and to change its image internationally. In 2012 Egypt was official partner country of ITB Berlin which generated a high a level of attention and sympathy that extended far beyond the borders of Europe.”

While the benefits of exhibitions as stepping stones towards Egypt rebuilding its status are significant, participation at these events also provides an opportunity for companies from various sectors of the tourism spectrum to come together and work as a team.  MARCH 2014

Family vacation, business trip, team building event, conferences or just get out of the daily routine, we at the Mövenpick Resort & Spa El Gouna will tailor your stay according to your needs. 2 km of beach, 4 swimming pools, 2 Spa areas, 5 conference rooms for up to 500 people, 7 restaurants and 350.000 sqm of endless possibilities for different activities will let all dreams come true.

Mövenpick Resort & Spa El Gouna P.O. Box 72, Hurghada, Egypt Phone +20 65 358 01 20, Fax +20 65 354 51 60 resort.elgouna@moevenpick.com

www.moevenpick-hotels.com

Conferences

special events.

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Egypt

Daniela Hotel, Dahab

SUNRISE Resorts & Cruises is adopting this ethos, working in close collaboration with the Egyptian Tourism Authority (ETA) in various key markets as Bianca Grubinger, junior marketing manager, Europe, SUNRISE Resorts & Cruises, explained, “We are participating together in several travel related fairs in Poland, Germany or Hungary for example. Further we are launching different campaigns together, as the image of Egypt is also affecting our company.”

Despite the challenges a report officially released

by ETA earlier this year shows that Egypt welcomed an impressive 9.5 million tourists in 2013.

Commenting on these statistics, Zaazou said, “The recent news about Egyptian tourism is very positive.

The Ministry of Tourism has succeeded in achieving steps to regain the confidence in the destination.”

According to Zaazou, in the past three years since the revolution, Egypt has managed to attract more than 30 million arrivals further reinforcing its position as a prime tourist destination.

“Despite the decrease in the number of tourists in 2013, which amounted to a fall of just under 18 percent when compared with 2012, we continue to maintain Egypt’s position as a safe destination. Regardless of the current challenges that Egypt faces, it is still considered the destination of choice for many Arab and foreign tourists,” Zaazou added.

TOP OF THE POPULARITY CHARTS Some areas are showing a considerably higher propensity towards greater resilience than others, with a huge 71 percent of the total number of tourists who travelled to Egypt in 2013, visiting the South Sinai and the Red Sea areas, which together accounted for some 6.7 million tourists.

“The statistics from Sharm El Sheikh and Hurghada show vital indicators, as they highlight the continued influx of tourists to these two destinations, regardless of political circumstances – emphasising the tourists’ belief in both locations’ security and safety,”

said Zaazou.

Echoing this sentiment, Philip Wooller, area director, Middle East and Africa, STR Global, stated, “Egypt has made progress in bringing some degree of stability, but it still has some major challenges, although there has been some signs of improvement in the traditional tourist areas of the Red Sea resorts.”

Making the most of the Red Sea’s continued popularity, a number of tourism developments are going ahead in the area including a new resort due to open in Sharm el Sheikh by SUNRISE Resorts & Cruises. “[This year] is going to be once more a year with ‘a new start’ for us, as we are going to open one more property in Sharm el Sheikh – SUNRISE Grand Select Montemare Resort [this month]. This property will offer our clients the perfect couple’s getaway, as it is an adults-only resort, offering five-star services,” Grubinger communicated.

Another long-awaited project set to open in the Red Sea this year is the 615-room, six-star Baron Palace Sahl Hasheesh.

Monsif Deyab, area director of sales and marketing, Baron Hotels & Resorts, exclaimed, “The resort is impeccably landmarked at the heart of Sahl Hasheesh Bay on the Red Sea shores, offering breathtaking diving and snorkelling opportunities. The beachfront retreat boasts over 600m of gorgeous private silkywhite sandy beach.”

Facilities at the property include 5,000m² of swimming pools, a wide array of food and beverage options, a spa, ballroom, meeting rooms and all-inclusive benefits.

Hoping to profit from the hotel's luxury offerings, projections are positive for the coming year as Deyab noted, “We have been taking advantage of online marketing, public relations and direct advertising tools to introduce our new resort which is designed to accommodate la crème de la crème. As we surpass the coming few months, we are expecting a boom in the tourism sector as whole, and increase in demand on our hotels, due to the luxurious services and

special treatments we provide.”

And the group’s existing properties are also displaying promising results in the face of adversity according to Deyab who added, “The Red Sea governorate has been the least affected by the declining numbers of tourism. Baron Resort Sharm El Sheikh and Baron Palms Resort Sharm El Sheikh had high occupancy rates in the high season, corresponding to summer, Ramadan, Christmas and New Year’s periods.”

Recently opened properties in the Red Sea area such as Rixos Sharm El Sheikh Resort are already seeing the location specific benefits of being more secluded from political turmoil, as Sami Kaplanci, general manager, Rixos Sharm El Sheikh Resort explained, “[The hotel] has witnessed spectacular business flow since its opening. The variety of the hotel rooms' configuration is very wide enabling us to cater to many platforms from singles to couples, families and honeymooners. Our expectation for [this year] is suitable and sustainable for the conditions of tourism in Egypt. We are very optimistic about the return of business to the Egyptian resort destination.”

PRIORITY TRENDS With an opportunity for an image makeover on its doorstep, Egypt is currently witnessing a number of new trends that are hoped will add leverage in the destination’s popularity stakes.

The advent of joint destination itineraries is an initiative being adopted by Egypt & Beyond Travel, as Tarek Mousa, CEO, Egypt & Beyond Travel, confirmed, “We are promoting new combined itineraries for Egypt

Kempinski Hotel Soma Bay Balcony View

and Jordan, with new packages attracting the individual traveller and small group tours on a weekly basis.”

Meanwhile Perfect Tours is now focusing on religious tourism and on areas outside Cairo such as Alexandria, Ain Sukhna, Luxor and Aswan.  MARCH 2014

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Egypt

John McCallum, managing director, Orbital Travel, commented, “We feel that the Nile cruise programme, which forms the backbone of our offering in Egypt, is far too good to be lost to clients with an interest in cruising, history, warm weather and other cultures.

The initial response to our advertising and promotion has been very encouraging, with very good numbers of both bookings and enquiries. We are optimistic for the coming months although we feel it might take up to two years before Egypt starts to get back to previous visitor numbers.”

GOING GREEN

Kempinski Hotel Royal Maxim

“At this time with the cooperation of the Ministry of Tourism we are providing brokers from Germany, Spain, Italy and Arab countries with very good offers to come and visit these places,” explained Ibrahim Mohamed Ibrahim, managing director, Perfect Tours.

The return to fame of religious and culture-centric destinations across Egypt is also being taken advantage of by Mövenpick Hotels & Resorts which is strengthening its position as a leading brand for international culture and heritage travellers, by opening a new ‘hotel within a hotel’ at Mövenpick Hotel Cairo Pyramids this month.

“Guests now have the option of 'two hotels in one',” said Stephen Banks, director of sales and marketing, Africa, Mövenpick Hotels & Resorts. “The hotels are ideally located for sightseeing tours and exploring the wonders of nearby ancient Egypt, minutes away from the Giza plateau, with direct views onto the Pyramids as well as the new Grand Egyptian Museum scheduled to open in 2015.”

According to Banks, the new four-storey extension offers a contemporary alternative to the original property, and features 132 rooms and 12 suites boosting the total accommodation offering to a total of 364 units.

Porto World Hotels and Resorts is setting a new benchmark for Egypt’s accommodation portfolio with the introduction of Porto Rentals, bringing the vacation rentals concept to the country for the first time.

Explaining the vision, Reem Nagy, head of marketing, Porto Rentals, said, “Porto Rentals is creating a new horizon for those wishing to spend their holidays in Porto resorts with distinctive accommodation offers for equipped units with the lowest prices all year.”

Another positive trend is the slow return of cruising tourism along the Nile, with UK-based Orbital Travel striding ahead of the pack, following the announcement that its Nile cruises have been operating since December 2013, and are proving very popular once again.

Sustainability is also proving a high priority on Egypt’s tourism development ‘to-do’ list, with the ministry and stakeholders from across the board working together for a greener future.

“The ministry is focusing on enhancing sustainable tourism via developing green tourism,” stated Zaazou. “This is gradually achieved by encouraging hotels to be green. It is worth mentioning that, a unit was established at the Egyptian Hotel Association to grant the certificate of ‘green star hotels' to the hotels that achieve all conditions of this certificate.”

Taking action on a destination level, the Egyptian Ministry of State for Environmental Affairs is working alongside the Ministry of Tourism and Orascom Development, to transform the Red Sea destination of El Gouna into the region’s first carbon-neutral city.

Laila Iskandar, minister of state for environmental affairs, Egypt, confirmed, “This agreement will help the Egyptian government to achieve a significant breakthrough in the fields of environment and tourism, enhancing Egypt’s global image and opening the door for Egyptian tourism projects and cities to rank among the leading carbon-neutral entities.”

Commenting on some of the projects in the pipeline for El Gouna, Jens Freise, vice president, marketing and sales, Orascom Development, said, “With our recently announced rich calendar of events including four mega sports and lifestyle events at El Gouna in the first six months of the year, coupled with the opening of the Rixen managed El Gouna Cable Park, we are confident that [this year] will mark a special transition of El Gouna on the touristic map.

“Furthermore, with the opening of our Ancient Sands Luxury Apartment Hotel planned for the first half of the year along with the existing Arena Inn Apartment Hotel and the special family products at the different El Gouna hotels, families will have an array of hospitality options throughout the destination.”

It is hoped that the efforts at El Gouna will act as a catalyst encouraging further environmental developments within Egypt, as Zaazou explained, “The work in El Gouna forms part of a larger drive that will eventually work towards creating more such carbon neutral cities representing Egypt’s focus on achieving global environmental goals.”

Taking the green movement from one coast to another, Egypt’s Mediterranean shoreline is one of the six areas involved in the ‘ShMILE 2 project – from

experimentation to dissemination of the Ecolabel in the Mediterranean’. The objective of the initiative is to reduce the impact that tourism has on the environment in the Mediterranean Basin through the practise and promotion of sustainable tourism.

Hotels in the area are playing a significant role in the promotion of the project with Alexandria’s first European Union eco-labelled hotel, Sofitel Cecil Alexandria and Hilton Alexandria Green Plaza both setting examples for other properties.

“Environmental measures are a marketing tool for our hotel in the long term, because all over the world, customers are increasingly opting for environmentfriendly hotels. Very soon, the eco-label will be a selection criterion for guests; it will be like ISO standards in industry,” stressed Nabil Kahil, general manager, Sofitel Cecil Alexandria.

PLAYING THE TARGET FIELDS Another key method currently being used to further the return of tourism business is the broadening of target markets, with new and emerging feeders such as South America and Asia being encouraged to try the product.

Leading the drive to attract burgeoning markets, the Ministry of Tourism has launched the ‘One Million Indian Tourists’ initiative, working with Indian tour operators to attract one million tourists from the subcontinent by the year 2017.

Major hotel groups in the country are also on the hunt for visitors from previously untapped areas, as Banks explained, “There is a significant increase in some emerging markets such as China, India and Latin America. Mövenpick hotels in Egypt have also focused on these emerging markets and participated in China Outbound Travel & Tourism Market a major trade fair in China, and are planning visits to India and Latin America. Changing and updating 

MARCH 2014

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strategies is an on-going process in this rapidly growing and changing world. Looking into the future, we need to start focusing on the new and emerging markets. We need to work on attracting this potential business and accommodate the needs of their travellers, not only in hotels but also all related sectors like aviation.”

Properties such as Radisson Blu Hotel, Alexandria are already adapting their offerings with a view to meeting the specific cultural requirements of new market segments.

“Since the second half of 2012 the Far East market started to gain a good share and lately the Indian and Russian markets began to participate with a good share as well. From the hotel side we are always keen to create competitive offers and packages to attract these guests, in addition we save no effort to meet all the special requirements requested by the groups concerning rooms, entertainment or food and drinks,” confirmed Ahmed Diab, director of sales and marketing, Radisson Blu Hotel, Alexandria.

LOYAL LOCALS While new and emerging areas are proving a vital source of tourism growth, the industry is not forgetting its loyal fan base, including the local market which is currently feeding establishments with healthy weekend and MICE based tourism.

Just a glance at the figures recorded by ETA for 2013 show the importance of regional tourism as a key feeder for Egypt with numbers communicating that 21,000 Emirati tourists visited in 2013, 208,000 came from Saudi and 83,000 from Kuwait.

In a bid to take advantage of this lucrative segment, Conrad Cairo is undergoing a major renovation from April this year until mid-2015 including the opening of a new outlet in the lobby level. Nehal Fahim, public relations and assistant marketing manager, Conrad Cairo, commented, “The MICE business especially in Cairo performed particularly well and

Egypt

lucrative opportunities still exist for the Egyptian market in this sector.”

Also hoping to cash in on the influx of corporate business, Kempinski Hotels is due to open Kempinski Hotel Royal Maxim in Cairo this year according to Avsar Koc, regional director of sales, MENA, Kempinski Hotels, who stated, “Kempinski remains confident in Egypt as a destination for both business and leisure travel. Based on the success of Kempinski Nile Hotel and Kempinski Hotel Soma Bay, we continue to expand in Egypt. Kempinski Hotel Royal Maxim is due to open in a premium location near the airport in up and coming New Cairo. By opening the third property in Cairo, Kempinski is clearly attracting [the corporate and business] segments.”

This surge in corporate tourism is not limited to areas in and around the capital. Popular beach resort locations are also looking to indulge in a slice of the business travel pie, with properties such as InterContinental The Palace Port Ghalib, Crowne Plaza Sahara Sands and Sahara Oasis Port Ghalib Resort, all part of InterContinental Hotels Group (IHG), making efforts to compliment resort offerings with corporate and MICE packages. “[This year] the main focus is targeting corporate domestic market, meetings, leisure and families,” said Marc Reissinger, area general manager, Port Ghalib, IHG. “The international MICE will continue to be one of our main targets aiming to attract mega meetings and conferences. You may not think of ‘idyllic’ when talking about business meetings and conferences, but when at the end of the day you can swap the conference hall for the pool, your business suit for shorts and sip a cocktail as the shadows lengthen, the word ‘idyllic’ will come to mind.” he added.

Commenting on this combined leisure and corporate market potential for Zee Resorts Brayka Bay, Marsa Alam specifically, Tamer Azmy, owner, Zee Resorts, said, “The local market in Egypt is also starting to discover Marsa Alam as a new destination. In this local market meetings and incentives can be a very interesting segment that will have to be developed in the future. Other than that Marsa Alam is being perceived a new and virgin destination with a different product, offering great diving and nature experiences away from mass tourism.”

ARRIVING IN STYLE Facilitating the destination’s plight for a wider reaching feeder area, Egypt’s aviation industry is working hard, opening new routes to existing and emerging markets.

Echoing this sentiment, Koc exclaimed, “The recent operation of new aviation lines from India, Western Europe, Turkey and Brazil will be an effective step in attracting travellers. For a traveller to know that there is a direct airline and more frequent flights to their destination of choice is always a source of comfort. That will definitely reflect on the increased numbers of tourists from these markets.”

According to a monthly tourism report published by the Central Agency for Public Mobilization and

Mövenpick Hotel Cairo Pyramids

Statistics, aviation remains tourists’first choice to Egypt over alternate transportation, recording 85 percent and 88.7 percent of arrivals in October and November 2013 respectively.

EGYPTAIR continues to lead air transportation in Egypt, and supporting the country’s bid to reel in fast growing emerging destinations, December 2013 saw the carrier launch four weekly services to Jakarta via Bangkok, and increase flights to the Eritrean destination of Asmara.

Commenting on the efforts of the national carrier, Zaazou said, “In February, Luxor witnessed the resumption of direct flights from Paris and the UK. By next March we will have two direct flights to from Jeddah, Saudi Arabia, and Kuwait to Sharm El Sheikh and Hurghada with competitive prices.”

Elsewhere in the region, MENA airlines are showing confidence by bolstering bilateral links to Egypt.

In February Air Arabia launched three weekly non stop services to Cairo from its hub at Sharjah International Airport, with Adel Ali, group CEO, Air Arabia, stating, “Egypt is a key market for Air Arabia, and by strengthening our connectivity with the country, we are further contributing to the growing bilateral ties between the UAE and Egypt. With tourism and trade in Egypt gathering momentum and led by the strong population of Egyptians who work and live in the UAE, our new service to Cairo will only add value to both nations.”

To keep up with growing route networks, Hurghada International Airport is undergoing an expansion project including a new 4,000m-long runway and parallel taxiway. The airport has also completed renovations to accommodate rising numbers of leisure arrivals.

Commenting on the development, Grubinger concluded, “We do believe that the opening of the new Hurghada airport [is] going to build the trust and confidence in Egyptian tourism. We hope that out of these actions more flight connections can be activated.”  MARCH 2014

Dubai

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Here Comes Dubai Being the first city in the Middle East, North Africa and South Asia to host the World Expo in the event’s history, Dubai is expected to invest USD8.8 billion in infrastructure developments and upgrades over the coming years, to create a destination and a show that will astonish the world in 2020.  Rita Kasziba writes

D

ubai is continually striving for growth, as Cahal Altman, assistant marketing communications manager, Asiana Hotel, Dubai, noted, adding that the World Expo will provide a unique opportunity to demonstrate to an international audience, just what an incredible place Dubai has grown into.

Hailed as the third largest global event after the Olympics and the FIFA World Cup, the much-anticipated World Expo is expected to attract over 25 million visitors to the emirate over a six month period between October 2020 and April 2021, and for the first time in the world fair’s history, it is predicted that a

DUBAI IN BRIEF Capital: UAE Currency: UAE Dirham (AED) Language: Arabic

massive 70 percent of these guests will originate from outside of the host nation.

The show, which will also coincide with the UAE’s golden jubilee, is set to put Dubai in the spotlight and fast-track the emirate and the wider GCC region’s development, as Philippe Zuber, chief operating officer, Emaar Hospitality Group, suggested.

“Hosting Expo 2020 and the Dubai Vision 2020,

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FEBRUARY 2014

MARCH 2014

which aims to welcome 20 million annual visitors by the turn of the decade, are strong catalysts of Dubai’s hospitality sector growth,” indicated Zuber.

In financial terms, the total spending related to Expo 2020, including private sector ventures, could reach USD18.3 billion according to HSBC Group, with much of this amount being devoted to tourism and trade related projects. In turn, the event is expected to contribute USD40 billion to the national economy.

Perhaps most importantly though, it is envisioned that the event will leave a lasting legacy for Dubai and the UAE. “Expo 2020 will undoubtedly transform Dubai,” claimed Alessandro Redaelli, general manager, Kempinski Hotel & Residence Palm Jumeirah, adding that an increasing number of international companies will now be looking to invest in Dubai, triggering positive changes and improvements in various sectors from infrastructure to telecommunications and transportation, consequently attracting a new wave of talent, thus further raising the standard and competency of the emirate’s workforce.

In preparation for the event, over the past 

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few months a number of mammoth projects have already been outlined, which, as Jean-Francois Laurent, general manager, Anantara Dubai The Palm Resort & Spa, noted, are forecast to further consolidate Dubai’s position as a must-visit destination.

“Given the plans for more awe-inspiring tourist attractions and the advancement of existing projects, such as the development of many of The World islands, Dubai is set to only add to the mystique of this ambitious and wondrous city. Already it is attracting visitors from far and wide, and that is set to increase over the next few years,” predicted Laurent.

In fact, under the Tourism Vision for 2020, Dubai is expected to attract 20 million tourists by the end of the decade, almost doubling the destination’s current visitor numbers, driven by a sustained seven – nine percent compound annual growth rate, by focusing on three key areas.

“Firstly, we will maintain market share across our existing source markets; organic economic and demographic growth will lead to a natural rise in visitors from these markets. Secondly, there are a number of markets which we have indentified have high growth potential and we will focus on engineering this growth. Thirdly, [we also aim] to increase the amount of repeat visitors,” expounded H.E. Helal Saeed Almarri, director general, Dubai Department of Tourism and

Dubai

Commerce Marketing (DTCM).

Although there are still six years to go until 2020, as Peter Mansourian, general manager, Grand Millennium Dubai, noted, preparations are already well underway for what he deemed will be the biggest event the Middle East has ever seen.

“Expo 2020 will create a huge market flow by expanding the base of the current market feeders, in addition to exposing new markets under the spotlight who have not been tackled yet,” suggested Mansourian.

Expressing similar sentiments, Jagdish Pai, director of sales and marketing, Meliá Dubai, added, “There will be further improvement to Dubai’s infrastructure in terms of roads, transportation, entertainment, shopping, hospitality, and support services.

The additional handling capacities at airports, the acquisition of wide-body aircraft and consequent opening of new source markets will generate more opportunities for growth and profit.”

According to Faisal Abdul Rahman, assistant general manager, Dunes Hotel Apartments, Dubai’s triumph has also brought a higher degree of confidence for investors in the destination, resulting in an increased number of enquiries about hospitality projects and continually growing demand for accommodation from the corporate sector, a trend, which according to Rahman, will further accelerate from 2017 onwards.

A NEW CHAPTER The magnitude and scope of these projects and initiatives are set to herald a new era for Dubai’s tourism industry and further diversify the destination’s appeal and hospitality scene.

“The UAE’s thriving hospitality industry, enjoying an impressive track record for its consistently high occupancy rates and sustained capacity expansion drive, is set for a new phase of exponential growth that is expected to catapult the emirate to the ranks of the world’s most sought-after destinations. […] The UAE has already been ranked among the top five countries in the world for new hotel openings over the past five years,” noted Samir Arora, general manager, Ramada Downtown Dubai, adding that

Expo 2020 Site

Expo 2020 is set to further propel the sector’s growth.

In fact, as Hani Lashin, group general manager, Al Jawhara Group of Hotels, noted, by the end of 2015, 33 more hotels with over 8,500 rooms are set to come online in Dubai, and in the lead-up to the expo, the emirate’s room inventory is expected to almost double, presenting significant opportunities for hotel operators.

Consequently, as Shane Jameson, director of sales and marketing, Crowne Plaza Dubai, Deira, suggested, moving forward, new chains are set to enter the market while existing ones are likely to take on more management agreements, further consolidating their position in the emirate.

With the increase in offerings, brands are expected to experience more intense competition as they strive to win over their target markets.

“It will be interesting to see how guests make their choices on where to stay, and what turns out to be the real deciding factor,” speculated Redaelli.

Continuing this train of thought, Laurent predicted, “What I believe is that we will start to see the emergence of more four-, or even three-star properties, which will complement Dubai’s glowing array of upscale luxury properties, to become even more accessible to a wide range of travellers.”

From an investor’s point of view, Dubai’s sevenyear strategic plan offers tremendous possibilities, suggested Mark Descrozaille, regional director, UAE, Egypt, Jordan, Oman, The Rezidor Hotel Group, noting that in light of the upcoming events and nevertheless the government's recent pledge to support the development of this segment, the midscale sector with new incentives presents particularly strong development opportunities.

Acting on this trend, the company is currently focusing on the Park Inn by Radisson brand, which, with the upcoming opening of Park Inn by Radisson Residence Dubai Al Barsha, will soon bring the group’s footprint in Dubai to six properties, and which, according to Descrozaille, is well suited to fill the current gap in the market by catering  MARCH 2014

Welcome to the Bonnington Jumeirah Lakes Towers - Dubai The luxurious 5 star Bonnington Hotel situated in the heart of Jumeirah Lakes Towers, prides itself on providing guests with unparalleled service and genuine hospitality. The beautifully designed hotel features 208 rooms and suites, 272 deluxe serviced hotel apartments, 5 outstanding restaurants and bars, a unique leisure deck and 4 fully equipped conference suites. The hotel boasts a wonderfully convenient location, where it is within walking distance of a host of luxury shopping facilities, restaurants, bars, numerous beaches and some of the world’s top golf courses.

Stay at the Bonnington and enjoy luxurious surroundings, outstanding facilities and traditional hospitality whilst experiencing one of the most exciting, impressive and rapidly growing cities in the world.

The Leisure Deck

The Cavendish Restaurant

Healey's Bar & Terrace

Bonnington Jumeirah Lakes Towers, Cluster J, P.O. Box 37246, Dubai, U.A.E, Phone: +971 4 3560000, Fax: +971 4 3560400, E-mail: sc@bonningtontower.com WWW.BONNINGTONTOWER.COM

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not only to the mid-market demand, but also to a new and evolving generation of travellers.

Aqsa Yahya, complex public relations manager, Four Points by Sheraton Sheikh Zayed Road, and Four Points by Sheraton Downtown Dubai, expressed similar sentiments, saying that given the fact that 17 million of the expected 25 million visitors for Expo 2020 will originate from outside the UAE; demand is expected to significantly surge for budget and midmarket hotels.

“At the same time, given Dubai’s unique setting, there will never be enough hotels here,” asserted Yahya.

As a matter of fact, in order to accommodate the anticipated 20 million visitors by 2020, DTCM is working with investors and developers to both increase the overall stock of hotel rooms across all price points and widen the range of options available, reiterated Almarri, saying that the destination’s room stock is set to almost double over the coming years, from the current 84,000 hotel and hotel apartments units to 140,000 – 160,000 rooms by 2020.

STR Global revealed that in December 2013, there were 10,970 rooms under development in Dubai, representing the region’s strongest pipeline, and the sector’s growth is expected to continue apace towards 2020.

To fast-track the hotel sector’s expansion, a series of directives have recently been released, which

Dubai

Dubai Skyline

include plans to allocate government land for the development of three- and four-star hotels; a waiver on the 10 percent Dubai Municipality (DM) fee which is levied on occupancy per room per night for threeand four-star hotels for a period of time after opening, and the reduction of the approval process period for hotel construction projects to just two months.

“In recent years the number of three- and fourstar establishments has increased, but it is vital that we continue to engineer the growth of this range,” stressed Almarri, assuring that the brisk development will not dilute standards, and while Dubai’s image as a luxury destination remains the cornerstone in the destination’s strategy, it is now imperative to show the world what else the emirate has to offer.

Along parallel lines, H.E. Hussain Nasser Lootah, director general, DM, added, “In partnership with public and private sectors, we will identify opportunities for streamlining in the hotel development sector, and work together to address them. Our aim is to continue Dubai’s journey; to further progress from our position as the region’s leading tourism and business destination to being recognised as a global leader in trade and tourism,” stressed Lootah.

The big question, however, remains whether Dubai will be able to

balance supply and demand, or will the overflow of rooms force down prices and impair financial and performance stability, shaking investor confidence in the market in the long-run.

According to TRI Hospitality Consulting’s latest Hotstats report, in 2013, Dubai’s hotel sector reported the highest profit levels in the region for the fourth consecutive year as occupancy levels for the whole year averaged above 80 percent and average room rate improved 6.5 percent year-on-year to USD324.44.

As Wael El Behi, general manager, Hawthorn Suites by Wyndham, noted over the coming years, another 400 hotels are set to emerge on Dubai’s horizon, and although more rooms means more business and opportunities, rates might be affected meaning that the gap between hotels in the same category is likely be narrowed down in the coming years.

Dismissing the concerns, Rahman further added, “We do not feel that there will be any oversupply till 2020, but after the Expo there will be correction in the rates due to availability of hotel rooms and we are prepared for that.”

Hosting such a prestigious show is likely to attract further mega-events to the destination, ensuring a fair share of business for all stakeholders in the longterm, Rahman added.

As Pai noted, the competitive environment is not unheard-of for the emirate’s tourism industry, as the destination’s transformation and the hotel sector’s development has been an ongoing process for the past two decades.

“This evolution of the city into a major tourism and business hub is the result of thousands of wellthought out and planned initiatives that will synergise towards Dubai’s readiness for 25 million visitors [during Expo 2020],” he exclaimed.

Expressing similar views, Konstantin Zeuke, general manager, Kempinski Hotel Mall of the Emirates, noted that demand and supply continue to follow similar growth patterns, creating a healthy environment on all levels in the emirate, from the ultra luxury to the three-star segment.

In fact, over the years, Dubai has become one of the strongest tourism and business destinations  MARCH 2014

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in the world, reiterated Chadi Gedeon, general manager, Mövenpick Hotel Apartments The Square Dubai, adding that with the continuous diversification of the hotel sector, the destination is able to tap into a wider pool of travellers, regardless the budget, and target different market segments, ensuring healthy competition across the emirate.

As Craig Senior, head of sales and marketing, Meydan Hotels & Hospitality, also noted, Dubai has already firmly established itself in the market, both as a key MICE and sporting destination, and the proposed developments are set to further raise awareness of the emirate’s depth of offering.

“The infrastructure and facilities provided are world class, and the strong marketing of the destination has certainly assisted to promote the UAE to all channels of business,” Senior added.

To support its seven-year strategic roadmap, and to position Dubai as the ‘obvious first choice’ for the international leisure and business traveller through innovative and effective marketing activities and by pioneering multi-faceted experiences, H.E. Sheikh Mohammed bin Rashid Al Maktoum, ruler of Dubai, has recently issued a law, establishing Dubai Corporation for Tourism and Commerce Marketing (DCTCM), launched as an affiliate of DTCM. The new organisation will be responsible for marketing the emirate as

Dubai

a prime destination for tourism, entertainment and events; promoting Dubai’s credentials for global business; and attracting regional and international businesses to establish offices in the fast-growing emirate.

To support these initiatives, and at the same time help fund the multi-billion dollar expo projects, as of March 31, a so-called Tourism Dirham will apply to guests staying in the emirate’s hotels, hotel apartments, guesthouses and holiday homes that will range from AED7 (USD1.91) to AED20 (USD5.45) per room per night, depending on the type of the establishment.

“In the lead up to 2020, there is a need for us to continue to develop and enhance our tourism and trade marketing and compete as peers with the world’s leading global cities,” stressed Almarri, saying that the new corporation will help amplify the efforts to promote the strengths and diversity of the city globally, which, in turn, will attract more visitors and businesses, and help expand Dubai’s economy, thus support the emirate’s aim to build for the future well beyond 2020.

SKY IS THE LIMIT In order to meet the needs of Dubai’s ever-growing tourism and aviation sector, Dubai Airports is investing AED28.8 billion (USD7.8 billion) in an extensive

expansion programme that includes the development of a fourth course at Dubai International, bringing the capacity of the world’s second busiest hub for international traffic to more than 90 million passengers per annum by 2015.

In addition, the opening of Al Maktoum International Airport at Dubai World Central (DWC) with a total capacity of seven million passengers annually now provides airlines and travellers with an additional option, inching Dubai closer to its goal of becoming an international gateway and handling 200 million passengers by 2045.

The target is far from unattainable given the fact that passenger numbers at Dubai International continue to increase at a double-digit rate, with 2013 proving to be another historic-year for the airport as monthly figures averaged above five million and the year-end result reached over 66.4 million travellers, marking a year-on-year surge of 15.2 percent.

India retained its position as Dubai’s single largest destination country with over 8.4 million passengers, followed by the UK and Saudi Arabia, while the top three city destinations included Doha, London and Kuwait. Noteworthy however that Eastern Europe proved to be the fastest expanding regional market in terms of passenger growth, followed by Australasia and Asia Pacific.

MARCH 2014

Dubai As Paul Griffiths, CEO, Dubai Airports, noted, the opening of Concourse A, the world’s largest and only facility purpose built for the Airbus A380; the launch of passenger services at Al Maktoum International at DWC, and a record breaking airshow that featured aircraft orders exceeding USD 200 billion – the bulk of which was placed by Dubai’s flag carriers – all contributed to the record-breaking figure. This year is expected to mark new milestones for the emirate’s aviation sector with continued traffic growth, network expansion and the ongoing enlargement and upgrade of the facilities and runways, he added.

Utilising its rich resources, capabilities, and above all the leadership’s unwavering support, Dubai’s aviation sector is progressing at a rapid pace and is set to increase its contribution to the GDP from the current 14.7 percent or AED145 billion (USD39.5 billion) to 32 percent by 2020.

Operating to over 140 destinations in 80 countries, Emirates continues to play a vital role in Dubai’s development. While in 1985, the airline started with just two leased aircraft, it now has aircraft worth USD99 billion on order, after signing the largest-ever purchase agreement at the Dubai Airshow for 150 Boeing aircraft, in addition to 50 Airbus aircraft previously ordered.

After announcing a net profit of AED3.1 billion

(USD845 million) for the 2012/13 financial year, up 34 percent, Emirates Group, which also includes dnata, continued to invest in innovation and expansion to support the airline’s ambitious growth plans which has helped it achieve record-breaking results for 2013 after conducting over 164,600 flights, carrying over 43 million passengers, and circling the globe 18,000 million times.

Similarly, since its launch in 2009, flydubai has been committed to offering passengers convenient travel services within a five-and-a-half-hour radius, and as Ghaith Al Ghaith, CEO, flydubai, revealed, while Russia, Europe and Central Asia remain the main markets, all destinations within this radius present opportunity.

“The GCC has always been an important market for us for both business and leisure travel, as a result, we have developed one of the most comprehensive networks within the region,” asserted Al Ghaith, adding that the airline’s recent decision to launch business class on its flights is an evolution of the passenger offering and was also based on customers’ feedback.

“The introduction of business class provides greater choice for our passengers and by challenging the conventions of air travel, we will continue to influence a change in the way people travel,” pledged Al Ghaith.

This comes as the low-cost carrier continues to expand its fleet with a total 75 Boeing 737 MAX 8 and

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11 Boeing 737 Next Generation, valued at USD8.8 billion, currently on order. In addition, as Al Ghaith revealed, flydubai is also retaining purchase rights for a further 25 Boeing 737 MAX 8 aircraft. Demonstrating the airline’s growing significance in the regional skies, the order, which was announced at the Dubai Airshow in 2013, represents Boeing’s largest singleaisle aircraft order in the Middle East.

“These new aircraft will allow us to increase the frequency to some of our flights and further expand our network,” added Al Ghaith, reiterating that flydubai also remains an advocate of Dubai’s vision for 2020.

“We are also excited about the opportunity that winning the Expo 2020 bid presents for the UAE. Not only will it be a tremendous achievement for the nation but it will highlight Dubai’s position as global hub. flydubai will continue to support Dubai’s economic development, creating free flows of trade and tourism in previously underserved markets,” elaborated Al Ghaith.

2020 and the next seven years are characterised by great anticipation and excitement and although, as Almarri said, the targets might seem ambitious, Dubai has been built on ambition.

In other words, as the ruler of the emirate, Al Maktoum, put it, every peak Dubai reaches overlooks the next one. 

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Oman

Fine-tuning the Vision Over the past few years, Oman has actively pursued a development strategy to absorb the rapidly growing labour force and counteract the Sultanate’s dwindling oil resources by diversification and industrialisation with the main objective of reducing the oil sector’s contribution to the national GDP to nine percent by 2020.

OMAN IN BRIEF Capital: Muscat Currency: Omani Rial (OMR) Language: Arabic

 Rita Kasziba writes

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orecasts examining Oman’s long-term perspectives remain optimistic with the World Travel & Tourism Council expecting arrivals to reach 1.45 million by the end of 2017, boosting tourism spending to USD2.96 billion. This corresponds with the International Monetary Fund (IMF)’s forecast which anticipates a 3.4 percent economic expansion in the country in the current year, and a 3.6 percent increase per annum between this year and 2018. IMF has warned however that due to Oman’s heavy reliance on the hydrocarbon sector, the Sultanate remains vulnerable to oil price shocks, thus the persuasive need for diversification and the development of other sectors and revenue sources.

As Wael bin Ahmed Al Lawati, CEO, Omran, noted, the tourism industry’s impact on the country is multifaceted and reflected in various forms, be it job creation, revenue generation or infrastructure development.

“The benefits are truly endless and [tourism] has been identified by the government of Oman as a major economic driver that can substantially contribute to the diversification and growth of the national economy. Tourism unlike many industries, results in a wide range of direct and indirect socio-economic benefits that contribute to the current and future prosperity of nations and local communities,” added Al Lawati.

Substantiating this claim and following a recordbreaking year in 2012, when the Sultanate’s revenue from international tourism exceeded the USD1 billion mark for the first time, 2013 proved to be another remarkable year for Oman with the industry’s contri-

bution to the national GDP accounting for 2.4 percent.

Based on data released by the National Centre for Statistics and Information (NCSI), during 2013, hotel guest numbers in the Sultanate rose 10.8 percent year-on-year to 614,000, leading to an 11 percent surge in revenues at four- and five-star properties to OMR149.3 million (USD387.8 million).

Hoteliers described 2013 as an excellent year, with positive improvements in both operational and financial performance indicators, as growing demand proved to be sufficient in offsetting the rise in supply.

“As the [Ministry of Tourism] continues to successfully showcase the Sultanate as a great year-round destination for both leisure and business guests, tourists continue to travel here from around the world,”

said Nader Halim, general manager, Hilton Salalah Resort, adding that thanks to the ongoing promotional activities and improving transportation links, more and more travellers are becoming aware of the country’s historic, cultural and natural heritage, and are lured to experience the authentic Omani hospitality and the broad range of cultural activities on offer.

“Oman has a lot to offer for the corporate as well as the leisure travellers,” reiterated David Todd, general manager, InterContinental Muscat, regional general manager, Oman, InterContinental Hotels Group (IHG), saying that the Sultanate has long been famed as the best place to experience true Arabic culture, and its well-known catchphrase, ‘Beauty has an address: Oman’, has further cemented its position.

In fact, as George Demitry, general manager, City Seasons Hotel Muscat, noted, the extensive marketing activities have already begun to gain international momentum, and moving forward, hoteliers are expected to witness an unprecedented growth in demand from MICE and leisure operators alike.

“Oman is also becoming a favourite tourist destination in the region with its beautiful beaches, heritage sites, and most importantly its evolving tourism infrastructure, accessibility and safety. It is now a holiday destination of choice for families and groups,” added Demitry.

SHORT BREAKS, LONG-LASTING IMPACT

Salalah

The GCC market is currently energising this positive trend having recorded a 14.6 percent rise in 2013, with guest numbers reaching 90,000 according to NCSI, making the area the Omani hotel sector’s third MARCH 2014

Oman largest feeder after Europe and the domestic market.

As Halim pinpointed, the GCC is within two to three hours flying distance from Oman and with many residents on the look out for short-term and short-haul leisure and MICE options, the region is considered a key source market for the Sultanate.

“The change in weekends [to Friday-Saturday] in Oman in 2013, to match the majority of key GCC source markets, has presented further flexibility for weekend leisure travellers,” added Halim, apprising that this shift has led to an increase from the GCC. In a bid to attract more visitors from the Middle East, the Ministry of Tourism has recently teamed up with Oman Air to launch 'Oman Short Breaks', offering competitively-priced holiday packages for the spring and summer seasons for customers from the GCC, especially those from the UAE. “The Ministry of Tourism, in association with the several key players in the travel and tourism sector, is aggressively promoting the Sultanate as an attractive global tourist destination,” stressed Ghasi Humaid Al Hashmi, deputy director general, tourism promotion, Ministry of Tourism, Oman.

“With a 15 percent increase in GCC visitors to the country’s four- and five-star hotels in the third quarter of 2013, tourism campaigns such as Oman Short TTG Half Page AD 155x220.pdf 1 1/7/14 Break’s areIcon successfully promoting the Sultanate as

an attractive global tourist destination,” added Halim.

Sharing similar views, Demitry noted that the GCC remains a key feeder market, especially for weekend business, particularly for urban city centre hotels, with the UAE and Saudi Arabia leading the trend.

This was also underpinned by the Ministry of Tourism, which reported a strong influx of Saudi travellers to the Sultanate, with the Salalah festival, which takes place during the Khareef monsoon season, having attracted some 17,000 Saudis in 2013.

“Over the past few years, Oman has embarked on a vast development of its infrastructure, services and financial incentives to enhance tourism offerings and capabilities, Saudi Arabia has been especially appreciative of what we have to offer,” asserted Al Hashmi.

As Markus Iseli, general manager, The Chedi Muscat, pinpointed, in the region and further ahead, Oman has established itself as the destination that offers a true authentic Arabic experience which is ensured by a highly engaged and motivated, largely Omani workforce, and which, as Iseli said, is hard to find in neighbouring countries.

“Oman will continue to build on this reputation and will soon be offering more supply to the market as well as increased transportation to and within the Sultanate,” added Iseli.

10:25 AM Rabih Zein, general manager, Park Inn by Radis-

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son Muscat, agreed, saying that Oman continues to develop at a steady pace.

“A lot of future establishments and projects are under development, so there are lots of opportunities for hotels to get some business from both the MICE and leisure segment. Private sector investment in tourism is also on the rise in new destinations, such as Duqm, Musandam and Salalah, with several new hotels and resorts opening,” elaborated Zein.

All these developments come in line with the country’s endeavours geared towards job creation, Omanisation, and diversification, as Anoop Joseph, director of sales, Crowne Plaza Resort, Salalah, also highlighted, noting that in its recently published Reducing Barriers to Economic Growth and Job Creation report, the World Economic Forum ranked Oman fifth in the MENA region in terms of travel and tourism competitiveness, underscoring the widespread relevance of the industry and its rising global appeal.

“All the key players of international hotel companies will be present in Oman in a span of sometime which will be a great indication of the popularity of the destination,” predicted Joseph.

Despite its fast-paced development, the Sultanate lays great emphasis on ensuring that all the new projects are in harmony with Oman’s cultural and historical traits and natural environment, and 

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CROWNE PLAZA SALALAH

Set in 10 acres of lush landscaped gardens within the prestigious "Qurum Heights" area of Muscat the hotel's Cliff Club offers the latest in leisure facilities. You will be able to unwind and reward yourself after a day at the office or simply lounge at the pool or private beach and completely rejuvenate yourself.

Situated in 45 acres of lush tropical garden, overlooking the Arabian Sea and on a long stretch of pristine white sandy beach.

The Resort enjoys an ideal location for Business Travellers, Meetings and Events and for Families.

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With 126 rooms and suites, and situated 9kms from Sohar's Economic Zone, Industrial Estate and Port. Whether it is for business or leisure, we are your definite partner for accommodation and events in Sohar.

One of the city’s newest hotels with 187 guest rooms including 11 apartments; this modern hotel is conveniently located approximately 8kms from Muscat Airport; its close to the city’s main shopping and historical sites and business hub.

For more information, please call the hotels directly on the following numbers: InterContinental Muscat +968 2468 0000. Crowne Plaza Muscat +968 2466 0660.

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MARCH 2014

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Oman

contribute towards a sustainable future. “[Oman] is positioning itself well for sustainable growth in family-oriented tourism with a very eco-friendly approach to the expansion of tourism,” said Mark Kirk, general manager, Shangri-La’s Barr Al Jissah Resort & Spa.

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and heritage values present in this beautiful country,” stressed Bosselaar, saying that the company’s partnership with Omran is a prime example of this approach.

Hailed as the leading tourism-related investment‚ development and management company in Oman, Omran focuses on bringing together the old world with the new in a harmonious way, creating novel destinations that are rooted in the Omani tradition of JOINT EFFORTS, COMMON GOALS hospitality yet contain everything the contemporary world has to offer, Al Lawati explained. Essentially, One such development is Alila Jabal Akhdar, Alila Hoalongside aspirations for infrastructural developtels & Resorts’ first venture in the region. Scheduled for ment, the underlying goal is to preserve the country’s opening on April 16, the resort, which is set 2,000m unique and fragile environment, and ensure that the above sea level, will help showcase the stunning natSultanate offers a more traditional Arabian experience ural diversity of the Dakhliyah area, as Jork Bosselaar, that leaves a long lasting impression on visitors, in general manager, Alila Jabal Akhdar, explained. alignment with government policies and mandates.

“Alila’s commitment to environmental and social Omran’s current pipeline includes a variety of sustainability is perfectly aligned with these objectourism-related projects, one of the most anticipated tives […]. At Alila Jabal Akhdar, we also support the of which is the Oman Convention and Exhibition Cengovernment’s aim of Omanisation, and we are emtre (OCEC), which, as Al Lawati pinpointed, is set to ploying and training local Omanis – young and old – become a focal point of the country’s business develto staff the resort,” Bosselaar further explicated, praisopment programme that will establish the Sultanate ing the government’s commendable and measured as a major venue for regional and international events. approach in entrusting the right partners to enhance Once completed, the OCEC precinct will include a and further diversify the tourism sector. convention and exhibition centre, which is due to be “The critical thing of course is to preserve the in phases with natural beauty of Oman sustainability Trav Talk AD 155by x embracing 108mm Executive Room Ad HR.pdflaunched 1 09/10/2013 16:27the convention area ready in the third quarter of 2016, and the exhibition destinain the tourism sector, and to stay true to the cultural tion operational by the second quarter of 2015.

The project will also feature four hotels of varied star ratings, a grade-A business park, residential units, and a super-regional mall, which is expected to become the capital’s largest retail, leisure and entertainment destination.

Construction on the 110-room three-star waterfront Musandam Resort was initiated in 2012 and continued throughout 2013, with completion scheduled for the second quarter of the year.

Construction work is also set to begin on the 287-room W hotel in Muscat, with the tentative date for public opening scheduled for the first quarter of 2017.

Another giant shaping the industry’s future in Oman is Muriya Tourism Development, whose portfolio currently includes four ambitious projects, comprising a total of more than 13 hotels operated by top brands,

Jebel Sifah

along with several facilities and amenities.

As Bahaa Hefzalla, marketing director, Muriya Tourism Development, pinpointed, through these ventures, the company plays a vital role in job creation, Omanisation and the overall enhancement of the sector. Ongoing projects, such as the 6.2 million m² Jebel Sifah and the 15.6 million m² Salalah Beach developments, are set to give a major boost to the industry, further improving Oman’s global standing.

Due to the magnitude of the projects, assigning a completion date is difficult, Hefzalla however assured that both developments continue to progress with the Rotana-branded hotel in Salalah now complete.

“The two projects will be developed over several phases. We have been focusing on a lot of infrastructure in Jebel Sifah recently and are pleased with the progress,” explained Hefzalla, adding that over the coming months, the company plans to open the Rotana property in Salalah, commence construction on the Club Med Salalah beach and complete the first holes at Jebel Sifah Golf Course.

THE FUTURE PATH As Al Lawati noted, despite the plentiful developments, from an investment point of view, Oman remains a relatively untapped market offering immense opportunities.

“The government has invested large amounts into developing infrastructure and significant efforts have been spent to ensure adequate labour and legislation is in place to facilitate investment. This has positioned the Sultanate as a true haven for investors,” he explained.

Speaking about the future path of the country, Bosselaar said, “The government of Oman has set out a long-term commitment to developing a tourism industry that works in tandem with the local culture in preparation for its position on the world stage.”

In addition, opening up new markets is also fundamental to enhancing Omani’s competitive standing on the global stage, as Halim also pinpointed.

“With global airlines continuing to introduce key travel links to the Sultanate, a wide range of new feeder MARCH 2014

Oman markets are constantly being introduced,” noted Halim, adding that in Salalah for example, where a number of new services have been launched over the past months and years, the airport is undergoing a major expansion to facilitate the increased passenger traffic, with a new terminal with capacity for one million passengers per annum, set for completion later this year.

As Youssef Alonzo, director of sales, Crowne Plaza Sohar, noted, the expansion of Muscat International Airport is also set to further improve the country’s global standing.

After reaching full capacity, the airport is being extended with a new, USD1.8-billion passenger terminal building with 28 contact gates and two runways that can receive Airbus A380s, bringing its capacity to 12 million passengers per annum, once it opens later this year.

The project, the first phase of which is now over 70 percent complete, will later continue in several stages, increasing the airport’s capacity to 24 million, 36 million and 48 million passengers.

This comes as Oman Air continues to spread its wings and expand its fleet with 20 new aircraft expected to be delivered this year.

The airline remains committed to its strategic priorities despite the recent resignation of Wayne Pearce, former CEO, Oman Air, who stepped down from his position after steering the carrier through a key phase of its development over the past two years, helping it achieve an average load factor of 76 percent in 2013 and a 12 percent rise in seats, leading to the carrying of five million passengers annually.

Outlining the airline’s tactical focus areas, H.E. Darwish bin Ismael bin Ali Al Balushi, chairman, Oman Air, said, “These include the expansion plan, maintaining the highest standard of service both in quality and safety, promoting Oman as one of the best tourism and investment destinations and the development of human resource capital in the aviation and airline sectors.”

While supporting the national carrier’s endeavours, hoteliers also believe that opening up the country to more airlines could give a significant boost to the industry.

“More airlines from new destinations and more facilities will follow in the development of Muscat International Airport and the flexibility in visa process,” suggested Zein.

MARCH 2014

As Alonzo noted, all these developments, along with other ventures, such as the railway project, the Al Batinah highway and the Sohar airport developments, have already resulted in a significant increase in transient business, and the opening of new museums and attractions shall further improve Oman’s appeal.

All in all, to achieve the government’s target and increase the tourism industry’s contribution to the national GDP, improving both software and hardware is crucial, as Demitry also highlighted.

“Hospitality and tourism are labour intensive

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industries, and the human factor is a key success ingredient. The sector development goes hand in hand with tourism infrastructure growth. Nevertheless, it is a shared responsibility and operators and investors are expected to shoulder a great part and introduce new initiatives,” said Demitry.

Summarising the industry’s profound impact on the Sultanate, Kirk concluded, “Tourism is having a great impact on the Omani population and jobs in tourism related industries. This will continue to play an important part in the economy of Oman.” 

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UK

Conquering Every Peak

Tower Bridge

Already heralded as one of the most popular and top-visited tourism destinations, the UK is looking to achieve a stunning 40 million arrivals by 2020, by far beating the 12 million mark recorded in the first 11 months of 2013.  Maria Kazeli

A

writes

ccording to an international passenger survey, the provisional statistics for visitor numbers to the UK for the first nine months of 2013 indicated a seven percent increase over the same period in 2012, while the country’s top feeder markets in terms of value were the US, Germany and France, said Annique Labuschagne, manager, GCC markets, VisitBritain.

The national tourism authority predicts that by 2020, Saudi Arabia will have the highest projected value percentage growth amongst the 20 major and emerging markets in VisitBritain’s tourism strategy, as guests from the Kingdom also rank among the top five highest-spending markets for Britain, dispensing an average GBP2,354 (USD3,891) per visit. In compari-

UK IN BRIEF Capital: London

forecasted growth in the region.”

BRITISH HOSPITALITY

Currency: British Pound (GBP) Language: English

son, the overall average spend for all visitors to the country is GBP600 (USD992) per visit.

Labuschagne confirmed, “By 2020 we are expecting the greatest growth potential in value from Saudi Arabia (181 percent) followed by China (157 percent).”

Concerning the rest of the region, total visits from the GCC countries to the UK between January – September 2013 were up by 10 percent year-on-year, whilst spend increased 11 percent.

In a development which is set to further boost these figures, since January 1 Omani, Qatari and UAE passport holders have been able to visit the UK for up to six months using an electronic visa waiver (EVW), which offers a free, fast and simple alternative to a visit visa.

Commenting on the immigration authorities’ decision, Labuschagne said, “We are working towards achieving 30 percent growth in visitor numbers by the year 2016 from the whole of the GCC region, focusing on the Arab families and youth segments [and] we expect the EVW to significantly support this

On top of positive indications regarding incoming tourism figures, the performance of the UK hotel sector is also continuing on its upward trajectory, ending 2013 on an encouraging note, according to preliminary figures released by business advisory and accountancy firm, BDO. Operators across the various regions saw their room yields surge ahead, while those in London gave further evidence of a sustained recovery in the sector.

In the capital, room yield rose 5.9 percent year-onyear. This was driven by a 5.5 percent improvement in room rate and a 0.4 percent rise in occupancy to 76.2 percent.

Robert Barnard, partner, BDO, commented, “This is a strong and encouraging set of results with which to end [2013]. Growth in the regions seems to be leading the sector out of recession, ending the year in positive territory in terms of room yield and only marginally down on average room rate. This is the first year since 2005 where the regions have led the charge over the year as a whole and it will be very interesting to see if this trend is continued [this year].”

Confirming the rising trend, Orla O’Donovan, public relations manager, Corinthia Hotel London, said that the performance of the UK hotel industry MARCH 2014

TOUR

UK continues to gain strength, especially since London is a destination to experience at any time of the year, whether you like to visit art exhibitions, witness major sporting events, enjoy the shopping opportunities or simply soak up the atmosphere.

“MENA has always been an important market for London and it continues to be one of our most significant. For us, it was the third biggest market behind the US and the UK, with an increase from 2012,” revealed O’Donovan, saying that the capital city’s fivestar luxury hotels are very well equipped to deal with Middle Eastern guests.

The Landmark London also saw a nine percent year-on-year increase in visitors from MENA in 2013, which made up 16 percent of the hotel’s overall guest numbers. According to Magdy Rustum, sales director, special market, The Landmark London, the Middle East will continue to develop as a strong market for the UK’s hospitality sector since the country, and especially London, continues to be a popular shopping destination, while it is also favoured by many Middle Eastern guests as a place to send their children for higher education in Europe.

“There have been huge improvements in the last 10 years with regards to how the industry is catering to the Middle Eastern guests. There is a higher understanding of the Middle Eastern culture and their demands, and many five-star hotels in London are now offering a variety of Middle Eastern dishes in their restaurants. They are also employing chefs from those regions to ensure that the food served is as authentic as one would get in MENA,” said Rustum.

Such is the general belief in the potential of London’s appeal; many international companies are growing their presence in the destination, with InterContinental Hotels Group (IHG) alone having announced a numbers of properties across three of its brands.

InterContinental London The O2 was announced in September 2013 and is the third IHG property in the British capital. The 452-room hotel is scheduled to open in 2015 and is set to provide additional accommodation options alongside its sister properties InterContinental London Westminster and InterContinental London Park Lane.

The Holiday Inn brand family is to welcome three additions in the UK with the launch of Holiday Inn Express Edinburgh Airport set for opening as early as this spring, followed by the subsequent unveiling of Holiday Inn Darlington – North A1M, and Holiday Inn Express London – Ealing.

Finally IHG is aiming to gain an increased foothold in the UK’s extended-stay hotel market with the signing of Staybridge Suites London Vauxhall due to unlock its doors early in 2015.

Also hoping to bask in the rays of the UK’s reputation for tourism popularity, Hilton Worldwide have signed a franchise agreement with Irish-born Jurys Inn Hotel Group which will see three Jurys Inn properties join the Hilton Worldwide portfolio. Under the new deal Jurys Inn Chelsea and Jurys Inn London Islington will be rebranded as DoubleTree by Hilton hotels, while the Jurys Inn Heathrow property will beMARCH 2014

21

British Airways

come Hilton Garden Inn London Heathrow.

The American hospitality giant is also set to debut Hampton by Hilton in Glasgow’s city centre this summer.

UNDER BRITISH WINGS With many major airlines posing huge competition at an international and also regional level, the UK’s national carrier, British Airways (BA) managed to close a very successful year in the Middle East in 2013, and is looking forward to an even better year ahead.

“BA now operates more flights than ever to and from the Middle East.

We increased the number of flights we operate from the region to London Heathrow by 40 percent in the last five years due to a continued high demand, which allows us to further invest in our routes in the region,” explained Paolo de Renzis, commercial manager, Middle East and Central Asia, BA. The airline is currently part of the way through a GBP5 billion (USD8.3 billion) investment in new aircraft, smarter cabins, elegant lounges and new technologies, which saw the refurbishment of planes which operate on many of its Middle East routes.

Confirming that from March 31 BA’s Jeddah route will increase to

daily and will be served by a Boeing 777, de Renzis supported, “Saudi Arabia is among the best performing markets in the Middle East for BA and there is a huge potential for growth. While we see very strong demand for our premium services on our Saudi Arabian routes, our customers demand high quality across all of our services, whether our passengers are travelling in World Traveller or first class. I am proud to say that this is also why our Saudi Arabian routes do so well.” 

22

EXCLUSIVE

Luxury Travel

Indulge in Lavishness

Waldorf Astoria Ras Al Khaimah

Jumeirah Messilah Beach Hotel & Spa

With global interest for luxury travel and hospitality remaining upbeat, MENA is poised to welcome glamour-thirsty travellers, as well as nurture the new trends emerging in the industry. ďƒ¨ Maria Kazeli

writes

D

igital Luxury Group, the international company offering luxury industry market intelligence, has released the results of the World Luxury Index Hotels, unveiling a series of interesting findings and tendencies currently being observed within the sector.

Amongst the various trends recorded, the report provides evidence that worldwide interest in luxury hotels remains stable, while the fastest-growing luxury hospitality consumers proved to be the Russians (up 12.8 percent), the British (up 8.5 percent) and the Chinese (up 3.3 percent).

One destination which enjoys the benefits of the Russian and British inbound flow is the island of Cyprus. As Panayiotis Kyprianou, business development manager, Thanos Hotels, revealed, demand for standard luxury accommodation is stable, and accommodation types that witness highest booking popularity are mainly the suites with private pool and terrace, and even more so the private villas.

High-end travellers from these markets are also boosting the economy in regional destinations such as Ajman, where existing and upcoming luxury hotels are significantly contributing to the success of the emirate, positioning it strongly on the global map.

Laurent Voivenel, CEO, Hospitality Management Holdings, confirmed this, explaining that leisure constitutes about 65 percent of guests at The Ajman Palace with the bulk of overseas tourists coming from Russia and the Baltic states, Germany and the UK. Voicing her own opinion on the performance of the luxury travel industry, Joyce Mouawad, corporate sales and marketing director, Le Royal ďƒ¨ MARCH 2014

Luxury Travel Hotels & Resorts - Beirut, remarked that the global luxury travel market recorded strong growth in 2010 - 2012, and one of the key drivers of this trend was the increasing number of high-net-worth individuals globally. “This growth in global luxury travel is expected to continue over the forecast period to 2017, a development which will affect us positively,” she suggested.

Turning to the destination-specific results of Digital Luxury Group’s study, New York remains the top hot spot for luxury hospitality worldwide, while London, Dubai and Paris are emerging as the fastestrising international destinations.

PERSONAL AND TRENDY With Dubai rapidly becoming one of the top luxury destinations, hoteliers in the emirate are preparing to capitalise on this developing market. “Dubai provides a wealth of vacation options for the luxury traveller, and is well positioned to maintain this status as a must-visit destination. Leading shopping malls, worldwide recognised sporting events being staged in the city, along with a multi choice of top class hotels and fine dining options, position the destination very well,” supported Craig Senior, head of sales and marketing, Meydan Hotels & Hospitality.

MARCH 2014

Similarly, Stuart Wheeler, CEO, Seawings, Middle East’s seaplane tour operator, said that even though the emirate boasts all the extravagant options, it has still managed to preserve its royal Arabian heritage and cultural wealth.

Commenting on the Seawings tours’ popularity amongst the luxury tourism consumers, he pointed out that, “The Middle East in particular is home to several high-net-worth individuals, offering tremendous potential to the luxury aviation market. With busier schedules, these affluent individuals are seeking faster and more luxurious air travel solutions that will save them several hours of flying time and offer more privacy.”

As Dubai’s status as a destination for opulance solidifies, novel streams in the luxury genre are being witnessed such as a burgeoning popularity for simplified luxury, according to Susanne Stier, director of sales and marketing, Shangri-La Hotel, Dubai, who suggested that even though Dubai has a plethora of upper echelon hotels, the way to achieve loyalty from the discerning traveller is through humble luxury and genuine hospitality.

Nascent trends aside, personalised service is proving its importance as a mainstay on the list of highest priorities for a stay in a luxury hotel. In line with this view, the recently-opened Waldorf Asto-

EXCLUSIVE

23

ria Ras Al Khaimah aims to provide an exceptional, highly-customised luxury experience. As Andre Herrenschmidt, general manager, Waldorf Astoria Ras Al Khaimah, explained, the Waldorf Astoria brand pillars have been meticulously developed to meet the market trends in the luxury hospitality market across the globe.

Personalised service is also an aspect of high importance at The Domain Bahrain where a team of butlers ensure that each and every guest is looked after with intuitive and responsive service.

Patrick de Groot, managing director, The Domain Bahrain, commented, “Our strategy is to focus on excellence, rather than price. This may take a little longer, but it will establish The Domain as a quality hotel brand.”

Quality service is also an issue touched upon

by Hakan Petek, acting general manager, Jumeirah Messilah Beach Hotel & Spa, Kuwait, who observed that there has been a noticeable increase in more knowledgeable and discerning visitors who demand excellent service and quality.

“Our guests are used to travelling around the world and can afford luxury hospitality. This enables them to experience various products and service offerings. We are therefore constantly working towards raising the bar of excellence to exceed the highest

24

EXCLUSIVE

world-class quality standards,” he added.

Wassim Tarabay, director of sales and marketing, Hotel Missoni Kuwait, remarked that the country is limited, as leisure facilities and infrastructure is required to meet the expectations of certain feeder markets and luxury travellers.

“Kuwait is not known as a leisure destination but there is a trend where locals enjoy spending weekends in luxury hotels or celebrating their anniversaries, birthdays and family events at luxury and beach hotels. This trend is successful because it is supported by the high earnings of locals. While guests from Saudi Arabia especially, young couples, travel to Kuwait on weekends and on their public holidays because they can find what they are looking for in Kuwait,” he proposed.

HI-TECH ENDEAVOURS The ever-growing influence of social media, online channels and last minute bookings, were some of the latest luxury travel trends identified by Marcus Iseli, general manager, The Chedi Muscat.

Technology indeed plays a huge role in the modern world and it could not be missing from luxury travel. “Technology will be an integral part of the luxury segment development,” said Rupprecht

Luxury Travel Queitsch, general manager, JW Marriott Marquis Hotel Dubai. “We have launched an online concierge service ‘JW Concierge’, which makes meeting planning and events organisation very smooth for the planners. I think mobile applications will take off for booking and receiving information as well as more social pursuits. We have introduced CUR8, the new Marriott application which allows guests to record and share videos about their experience in the hotels [...].”

According to Mouawad, being on the cutting edge of technology – from offering client facilities to conducting social media campaigns – has become an absolute necessity. Stressing that hoteliers have to keep in mind that social media and mobile devices are now becoming inseparable, she said, “On another level, providing all possible services within this industry is also crucial for success. We are aware that we need to increase value for travellers for what they are paying, especially since they are becoming more demanding.”

ENCHANTING MIDDLE EAST Butterfield & Robinson is a US-based luxury travel provider which organises biking and walking routes all over the world. Commenting on the company’s Middle Eastern product offering, Norman Howe, president,

Butterfield & Robinson, said, “Morocco is still a very popular destination for us. We offer private trips in the region – walking in Oman and the UAE and biking and walking in Jordan.” He also pointed out that Dubai and the region could further develop into luxury destinations if more boutique hotel options are to be provided in order to generate a more authentic experience.

People want to go to classic travel destinations and experience them in a new way, revealed Katie Losey, marketing manager, Absolute Travel, confirming that while Morocco is a strong destination, Iran really has the spotlight at the moment.

Regarding the Middle East in general she suggested that the region is mysterious, has much culture and natural riches for people to explore. “Dubai and the UAE are wonderful places to have a layover for a few days to add another dimension to a trip to say Sri Lanka for example,” she suggested.

Rami Girgis, product manager, Middle East, Abercrombie & Kent, acknowledged the great potential of the MENA region, saying, “Yes, the Middle East is indeed considered one of our main luxury destinations.

Despite the downturn in tourism that the region is experiencing, many countries have a very strong infrastructure for catering to luxury travellers. Egypt for instance offers a wide range of luxurious hotels […] as well as top notch Nile cruise ships.” 

MARCH 2014

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26

SPECIAL REPORT

Waterparks

For the Young at Heart Water parks are strong magnets for families and those travelling alongside children, with such venues coming highly recommended on holiday itineraries.  Maria Kazeli

“I

writes

rrespective of personal preference and choice of vacation destination, holidays are all about having fun and relaxing in the top venues that the world has to offer,” said Mike Oswald, park general manager, Yas Waterworld Abu Dhabi adding, “As experiences go, you do not get much more exciting than a day at a mega water park in the beautiful UAE sunshine.”

The huge excitement and buzz amongst the travel and leisure industry preceding the launch of Yas Waterworld Abu Dhabi in January 2013, brought huge

Yas Waterworld Abu Dhabi

expectations, but the first 12 months have exceeded all of these, Oswald revealed, adding that guests from the Middle East formed around 70 percent of total visitor numbers at the facility.

Inbound tourism in Abu Dhabi is expected to reach three million this year, and when combined with the lack of direct aqua park competitors in the emirate, Yas Waterworld Abu Dhabi is poised for a fantastic season, Oswald explained.

“Looking ahead, our key focus will be on maintaining the momentum of the past 12 months, and with this in mind, we have some thrilling initiatives and events planned,” Oswald concluded.

In the nearby emirate of Sharjah, the Sharjah Investment and Development Authority (Shurooq) recently unveiled the 126,000m² Al Montazah park, which includes a first-of-its-kind water themed park, an amusement park, as well as an area designated for picnics, walking, and various other activities.

Covering an area of 26,000m², the water park offers a range of aquatic amusement games that suit all ages, green spaces, restaurants and other facilities, and has the capacity to initially receive around three million visitors a year. Through the development of such destinations, the authority seeks to provide a modern lifestyle that em-

real family hospitality!

bodies the growth witnessed by Sharjah.

Oman is also focusing on water parks as a means to further invest in its leisure offering, with Sayyid Fatik bin Fahr Al Said Group of Companies signing an agreement for the construction of the Sultanate's biggest indoor theme park, Majarat Oman, to be built adjacent to the Al Sawardi Beach Resort & Spa in Muscat. Spread over 25,000m², the park will cost OMR40 million (USD104 million) and is to include the Nebton Water Park.

In Jordan, Arabtec Construction has announced the creation of the AED5.7 billion (USD1.55 billion) Red Sea Astrarium, a themed entertainment resort in the coastal town of Aqaba, which aside from four leading international luxury hotels, will also boast a water park. Construction work on the project is scheduled to begin in the third quarter of this year, with the third quarter of 2017 targeted as the soft opening date.

Waterworld Themed Waterpark in Ayia Napa, Cyprus offers something for every age group and enhances tourism and entertainment on the island according to Anthony George Melas, director, Waterworld Themed Waterpark.

Melas revealed that the bulk of visitors are primarily European and Eastern European, however local and Middle Eastern markets are also on the increase.

“Innovation and constant renovation are ways of maintaining the water park’s popularity. New rides and attractions have been added every year since opening and millions of visitors from all over the world have experienced the magic,” he elucidated.

During its six-month operational period which spanned from May - October 2013 Fasouri Watermania Waterpark in Limassol, Cyprus welcomed up to 140,000 guests, achieving an increase of six percent compared to 2012’s summer period, disclosed Nayia Raptakis, marketing and sales manager, Heaven’s Garden, owner and operator, Fasouri Watermania Waterpark.

“From the total number of guests, 60 percent are represented by tourists and 40 percent by local residents. [For 2013] the main increase came from Russia and Ukraine, with the UK and Germany following,” Raptakis concluded.  MARCH 2014

RENDEZVOUS

27

Q & A with H.E. Helal Saeed Almarri Over the coming years, Dubai is expected to experience a period of rapid change that will pave the way for 2020, and as H.E. Helal Saeed Almarri, director general, Dubai Department of Tourism and Commerce Marketing (DTCM), says, show the world what this wonderous city has to offer.

Travel Trade MENA: What are Dubai’s latest visitor figures and what are the main targets for this year?

H.E. Helal Saeed Almarri: Dubai welcomed 7,941,118 visitors between January and September 2013, a 9.8 percent increase year-on-year. Figures from the first nine months of 2013 also showed a rise in the average length of stay across hotels and hotel apartments which increased by 3.5 percent year-on-year to 3.9 days.

Dubai’s Tourism Vision for 2020, announced in 2013 [...] sets out how the emirate will double its annual visitor numbers from 10 million in 2012 to 20 million in 2020.

[This year] we will continue to work towards the Vision 2020 targets - both increasing the number of visitors we welcomed in 2013, and increasing the length of stay. We are working on further diversifying our accommodation offering and continuing to add to our year-round calendar of events to ensure there is something to offer all visitors.

H.E. HelalMuhr Saeed Almarri Christian

Director general,operations, DTCM Vice president, Egypt and Levant, Hilton Worldwide

Travel Trade MENA: What are Dubai’s main source markets at the moment?

H.E. Helal Saeed Almarri: Saudi Arabia, India, the UK, the US, Russia, Kuwait, Germany, Oman, China and Iran made up the top 10 source markets for January to September 2013, [this was] mostly unchanged compared to 2012. Consistently Dubai’s primary source market, Saudi Arabia, experienced the most growth once again, with visitor numbers increasing by 24.8 percent to 1,052,353 for the first nine months of 2013. Ranked second, India continued to show strong increases in visitor numbers with visitors up by 15 percent year-on-year.

Other markets which experienced strong growth include Australia - which saw a 34.9 percent rise from 144,121 for the first nine months of 2012 to 194,448 for the same period of 2013, and China, which had an 11 percent growth from 181,180 to 201,036.

We are fortunate in Dubai in that our visitors come from a broad range of markets. At DTCM we capitalise on this with our network of 20 overseas offices which enable us to promote Dubai in virtually every major market across the globe.

Travel Trade MENA: Dubai’s Vision for Tourism 2020 aims to increase visitor numbers from 10 million in 2012 to 20 million by 2020. What role will DTCM play in this development?

MARCH 2014

H.E. Helal Saeed Almarri: DTCM will achieve this by two means: firstly by increasing Dubai’s destination offering across events, attractions, infrastructure, services and packages, and secondly by showcasing Dubai to an even wider audience and focusing on turning awareness of Dubai into flight and hotel bookings. The target may seem ambitious but Dubai has been built on ambition and we believe it is achievable. [...]

In terms of increasing our destination offering, there are also three priority areas: we want to establish Dubai as the leading destination for families, events and business and to do this will work closely with private and public partners. Dubai is already well known as the regional events hub but we want to be seen as a world-leading events destination. We will also create and develop more festivals and events leveraging the expertise of Dubai Festivals and Retail Establishment, the creators of retail festivals such as Dubai Shopping Festival and Dubai Summer Surprises, to support the retail and events sectors at a citylevel. And now that Dubai calendar is part of DTCM alongside Dubai Convention and Events Bureau, we can strengthen the coordinated approach to creating, attracting and marketing a year-round programme of events for residents and leisure and business visitors.

Similarly, H.H. Sheikh Mohammed bin Rashid Al

Maktoum, ruler of Dubai, has spoken about the importance of families and to this end we are working to establish Dubai and the UAE as the top family destination; for example creating packages across different themes and working with industry stakeholders to improve the city’s already strong visitor experience and ensure that this is the most welcoming destination for families.

With regards to business, Dubai is already the business and trade hub for the Middle East, North Africa and South Asia region and we want to leverage this status, improving our business tourism offering, growing existing shows into mega shows, creating new shows in identified sector gaps and making Dubai a centre for major conventions. We also want to unify the approach to leisure and business tourism – today’s business visitor is tomorrow’s leisure tourist – and we will do this by encouraging visitors to extend their length of stay and return for future holidays.

Travel Trade MENA: In order to encourage more mid-market hotels to set up ahead of Expo 2020, DTCM has recently announced a series of new incentives to support three- and four-star hotel developments. What makes this sector an important one for the emirate? How do you expect demand for mid-scale and luxury hotels to change over the coming years?

H.E. Helal Saeed Almarri: In order to achieve the targets laid out for 2020, it is crucial that we broaden our offering to continue to attract repeat guests whilst also appealing to a broader market.

While Dubai’s image as a luxury destination is important to us, it is now imperative that we show the world what else Dubai has to offer, and there is much to be proud of. We want to ensure that families, travellers on a budget and business visitors looking to extend their trip to experience Dubai’s attractions and activities are also catered for, and that they have the best time possible when they are here.

28

WHO'S MOVED

HENNING FRIES Henning Fries has been promoted to managing director of Al Habtoor Group’s hospitality division.

Most recently serving as director of operations of Habtoor Hotels, Fries joined the group in 2013 and has been instrumental in driving growth in the hotels division.

In his new role, he will be responsible for the Dubai-based company’s global hotel assets and will

also oversee the opening of Al Habtoor City, a multi-use development currently under construction in the emirate.

Fries started his career in the industry over 20 years ago and has worked with Fairmont Hotels & Resorts, InterContinental Hotels Group, Mandarin Oriental Hotel Group and Mövenpick Hotels & Resorts.

MAURICE PHOHLELI Maurice Phohleli has been appointed vice president of Africa sub-Sahara and Indian Ocean (AFI) at Etihad Airways.

Based in Johannesburg, South Africa, Phohleli will oversee the airline’s activities across its new AFI sales region.

He joined Etihad Airways in 2009, and was initially responsible for the cross border management of

the carrier’s offices in Morocco, Egypt and Sudan. In 2010, he became the general manager of South Africa, later holding the same position in Nigeria and West Africa.

Prior to joining the Abu Dhabibased airline, Phohleli worked as a regional representative for the International Air Transport Association and South African Airways.

ABDULLA MELHEM Abdulla Melhem has joined UAEbased Hospitality Management Holdings (HMH) as director of operations.

Having served Starwood Hotels & Resorts Worldwide for 14 years and Hyatt Hotels & Resorts for 15 years, Melhem has a wealth of tourism industry experience.

He spent much of his career in the Middle East region, holding various senior positions. During his last posting at Starwood Hotels & Resorts Worldwide, he worked as area manager for Mecca and Medina, while he also held the position of general manager of Sheraton Dammam Hotels & Towers.

In addition to his extensive regional experience, Melhem has a

strong academic background and holds an associate in arts degree in civil engineering, a bachelor degree in management and a Master’s degree is business administration.

In his new role, he will be responsible for all operations issues of HMH’s portfolio and he will also be in charge of all pre-openings.

In his new role, he will be responsible for all operations issues of HMH’s portfolio and he will also be in charge of all pre-openings.

MARCH 2014

TRAVEL CHANNELS

Oryx Rotana Doha Celebrates National Sports Day Oryx Rotana Doha has organised a host of activities to mark the second Qatar National Sports Day, highlighting the importance of sport to the nation.

T

Oryx Rotana Doha's Team

MARCH 2014

he property marked the occasion by holding various activities at the running track in Ras Abu Abboud, in the hotel’s fitness centre and the lobby. The programme of events started in the early morning with a 5km mini-marathon. This was followed by a treadmill and plank challenge, jumping jack competitions in the hotel’s fitness centre and a sports flash mob in the lobby.

“We are the first country to have such a national day and we are very proud of it, and we are sure that we will participate in this every year,” commented Kevork Deldelian, general manager, Oryx Rotana Doha, pinpointing that Qatar’s economic growth and its commitment to sport had been developing hand in hand.

29

SCTDA Marks 2013 as a Year of Achievements H.E. Mohamed Ali Al Noman, chairman, Sharjah Commerce and Tourism Development Authority (SCTDA), has revealed that 2013 saw the emirate’s tourism and hospitality sector register impressive growth, developing at a steady pace and making progress on major tourism projects.

Al Noman observed that the authority’s year-long campaign to promote Sharjah as a global family destination with authentic Arab and Islamic heritage has been remarkably successful.

“I hope and I am confident that this culture of excellence will continue in the future as Sharjah sets its eyes on bigger targets and success as a global tourism and investment destination with a difference,” he concluded.

TRAVEL TALK

travel talk is your space

30

ADEL AL REDHA

RABIH ZEIN

Chief operations officer, Emirates.

General manager, Park Inn by Radisson Muscat.

“Our aircraft livery is one of the most recognisable and visible aspects of our brand. [...] We take pride in maintaining our aircraft to the highest possible standards, and it is important our planes look pristine on the outside as well as on the inside [...]. The paint coat has to withstand fierce weather conditions, [...] and an exterior coat that is clean of debris and imperfections improves aerodynamics and reduces fuel consumption. Emirates already flies a young and efficient fleet, but with fuel prices at consistently high levels, every little bit of efficiency counts.”

“Oman Short Breaks [launched by the Ministry of Tourism and Oman Air] is a great campaign and it is very essential for all the hotels in Oman. These holiday packages were tailored with GCC travellers in mind – particularly those from the UAE – who live at flying distance of only two to three hours from Oman. Oman is an ideal holiday destination for tourists from both the Middle East region and it is a great opportunity to explore Oman’s many popular tourist destinations and enjoy a memorable Omani hospitality experience.”

PHILIPPE ZUBER Chief operating officer, Emaar Hospitality Group.

”The Address Hotels + Resorts witnessed positive growth in 2013, recording robust occupancy and a strong average daily rate in the first nine months of the year. We marked our fifth anniversary in 2013, and expanded our existing portfolio to 10 hotels. The highlight of 2013 continued to be our commitment to provide unparalleled services for our guests, with several value-added services such as the introduction of Wi-Fi in our dedicated limousines, adding to the convenience of the guests to stay connected onthe-go.”

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 2014

RENDEZVOUS

31

Q & A with Glenn de Souza With an inventory that is set to expand from just over 1,000 rooms to more than 5,200 units in the next 24 months, the Middle East remains one of Best Western International’s (BWI) fastest growing global regions. Here, Glenn de Souza, vice president, international operations, Asia and Middle East, BWI, reveals the company’s development plans for the region.

Travel Trade MENA: How would you summarise 2013 in terms of achievements and business growth?

Glenn de Souza Christian Muhr

Vice operations, Vice president, president, international operations, Egypt and Levant, Asia and Middle East, Best Western International Hilton Worldwide

Glenn de Souza: 2013 was another extremely productive year for BWI in the Middle East. We made our debut in two fast-growing markets; the thriving Gulf nation of Kuwait and the Saudi Arabian Holy city of Mecca, and signed new agreements that have the potential to significantly expand our portfolio in the region.

In Kuwait, BEST WESTERN Mahboula added 96 modern mid-scale rooms to the country’s inventory, while in Mecca BEST WESTERN PLUS Bakkah Awan Hotel offers 160 upscale rooms to cater for the growing numbers of pilgrims travelling to the city.

We also signed a major new agreement with Sphinex Hotels & Resorts that will potentially lead to several new Best Western properties in Qatar - the host nation of the 2022 FIFA World Cup. All in all, we can look back on 2013 with an immense amount of satisfaction.

Travel Trade MENA: Please tell us about BWI’s Middle Eastern pipeline.

Glenn de Souza: BWI has a large pipeline of new hotels being designed, developed or rebranded across the Middle East region. We currently operate nine hotels in six countries [in the region] but we expect to increase this to at least 25 hotels in seven countries by the end of 2015.

Our key focus is Saudi Arabia, where we see huge potential for the hotel sector. According to a recent report by Business Monitor International, international visitor arrivals to the country are projected to increase by almost 40 percent between 2013 and 2017. This, coupled with a major rise in domestic tourism driven by the opening up of the aviation sector, will provide the base for a strong Saudi Arabian hotel sector.

We plan to increase our Saudi Arabian portfolio from three to 16 hotels by the end of 2015, with new properties in major cities including Mecca, Al Qassim, Jeddah, Riyadh, Dammam and Jizan.

Elsewhere, we will soon welcome our first guests in Iraq, with twin BEST WESTERN PREMIER hotels launching in the northern city of Erbil. Our luxury products resonate strongly in the Middle Eastern market, and we believe our two hotels in Erbil will be a huge success.

MARCH 2014

market, and the awarding of the 2020 World Expo is another big feather in the country’s tourism cap. BWI is always looking for new areas in which to grow and develop, and we will always consider new projects if the circumstances are right.

At present we have excellent partnerships in many Middle Eastern countries, including Saudi Arabia, Iraq and, most recently, Qatar, and were are delighted to be concentrating our efforts in markets such as these.

But should a good opportunity become available in the UAE, of course we would consider it.

Travel Trade MENA: Following a challenging period over the past years, 2013 proved to be another successful year for the Middle East’s tourism industry. What are your expectations for this year and beyond?

Travel Trade MENA: Which are the next hotels to join BWI's regional portfolio?

Glenn de Souza: As mentioned, Saudi Arabia will lead our expansion efforts [this year]. We plan to open no fewer than nine new hotels in the Kingdom, adding approximately 1,800 modern rooms to the country’s inventory.

The development will comprise all three of our products - mid-scale BEST WESTERN, up-scale BEST WESTERN PLUS and luxury BEST WESTERN PREMIER - in a range of cities, including Al Qassim, Al Ahsa, Jeddah, Mecca, Dammam, Al Jubail, Hayel, Jizan and Riyadh.

We also hope to launch the first of two new hotels in Iraq, the 82-room BEST WESTERN PREMIER Erbil Airport, in the fourth quarter of this year.

Overall, this is set to be another exciting year for BWI in the Middle East.

Travel Trade MENA: Over the past few years, BWI has made great strides to further strengthen its position in the Middle East, the company is, however, yet to debut in one of the most lucrative and most challenging markets in the region: the UAE. Could the upcoming Expo 2020 lead to the opening of the first BWI hotel(s) in the UAE? Glenn de Souza: The UAE is undoubtedly a major

Glenn de Souza: The Middle East has proven its prosperity and resilience over recent years, and despite instability in some areas we remain confident in the long-term strength of the market.

According to the World Tourism Organization, the Middle East saw only a marginal increase of 0.3 percent in tourism arrivals in the first three quarters of 2013. But that figure disguises some major regional success stories. In the same period, arrivals to Saudi Arabia jumped 11 percent, while Qatar is also expected to see double-digit growth. Domestic and intra-regional tourism is also booming, driven by expanding air routes and, in future, developing rail networks.

In terms of the hotel sector, Middle Eastern room rates are high, and getting higher. The region’s average daily rate in 2013 was USD207, up from USD200 in 2012. And while this of course differs from country to country, and from market to market, the overall fundamentals that underpin the industry are strong.

Occupancy rates are also rising steadily. […] We look forward to welcoming many more guests to our Middle Eastern hotels this year.[...]

With an inventory that is set to expand from just over 1,000 to more than 5,200 rooms in the next 24 months, the Middle East is BWI’s one of the fastestgrowing global regions. We have made rapid progress in the Middle East over recent years, and we have developed many strong and lasting partnership. BWI is committed to the bright future of this exciting region, and we look forward to welcoming many more guests to our Middle Eastern hotels this year.

32

NEWS & EVENTS

FITUR Concluded 34th Staging The International Tourism Trade Fair, FITUR closed its 34th edition on January 26 recording an increase of around five percent in trade visitors over the first three days.

Overall 220,000 people attended the fair, translating to an economic injection valued at more than EUR180 million (USD243 million) for Madrid.

Organised by IFEMA, the Spanish capital's trade fair body, FITUR hosted participants from the US, China, Italy and the Netherlands, and featured a packed working agenda consisting of thousands of meetings, contacts, agreements and business opportunities amongst the nearly 9,000 companies from 165 countries taking part.

The trade event was preceded by the announcement of record figures for Spanish tourism, which place the Mediterranean country in third position in the world ranking in terms of number of foreign tourists, ahead of China.

FITUR

EVENTS International tourism Bourse (ITB) Berlin, Germany, March 5 – 9, 2014 (www.itb-berlin.de) One of the world’s biggest travel trade shows; a leading business-to-business platform for trade visitors, offering an excellent opportunity to meet business partners and do business.

Luxury Travel Mart (LTM) Russia Moscow, Russia, March 13, 2014 (www.luxurytravelmart.ru) The event will give luxury travel service providers a unique opportunity to get their products to their target market.

Gulf Incentives, Business, Travel & Meetings Expo (GIBTM) Abu Dhabi, UAE, March 24 – 26, 2014 (www.gibtm.com) The Middle East’s dedicated business platform connecting the region’s inbound and outbound business travel industry.

Lebanon: Tourism Expenditure on the Rise Total spending by visitors to Lebanon rose four percent in the fourth quarter (Q4) of 2013 with Beirut attracting 81 percent of the total amount, according to statistics generated by online shopping tourism company Global Blue.

The VAT refund operator’s figures show that UAE visitors accounted for 15 percent of the total tourist expenditure in Q4 2013, followed by Saudi Arabia with 12 percent, Egypt and Syria with eight percent each, and Kuwait and Jordan, making up seven and six percent respectively. Globally, France was responsible for five percent of all tourist expenditure, and the US and Nigeria accounted for three and two percent.

“Lebanon and in particular, its stylish cosmopolitan capital city, Beirut, is a haven for travellers seeking retail therapy, but shopping is just one of the many diverse attractions the destination has to offer,” commented Mark Walsh, portfolio director, Reed Travel Exhibitions, on the occasion of the annual Arabian Travel Market (ATM) roadshow in Beirut in February.

Lebanon’s tourism industry will be out in force at this year’s ATM with the Ministry of Tourism’s stand alone covering some 250m2.

Sponsored by

Saudi Travel and Tourism Investment Market Riyadh, Saudi Arabia, March 31 – April 4, 2014 (www.sttim.com.sa) One of the most prestigious shows dedicated to the tourism industry in Saudi Arabia.

Azerbaijan International Travel & Tourism Fair (AITF) Baku, Azerbaijan, April 3 – 5, 2014 (www.aitf.az) The main event in Azerbaijan’s fast growing tourism market, attracting a large number of international participants and trade visitors.

China Outbound Travel & Tourism Market (COTTM) Beijing, China, April 9 – 11, 2014 (www.cottm.com) Now entering its 10th year, COTTM is regarded as the industry’s most important platform and leading business-to-business event that focuses purely on the burgeoning outbound market.

MARCH 2014