Travel Trade Weekly Issue 14

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Online February 20 Middle East and North Africa Edition

Contact us now at sales@traveltradeweekly.travel

ARABIAN ADVENTURES Dubai based destination management company Arabian Adventures has flagged a five-fold increase in its fleet over the next two decades, along with the opening of a new 3,500 square metre operations centre at Dubai Investment Park.

Qatar Tourism Authority has announced that 41 new hotels are expected to come online across Qatar in 2010. With a total of 6,743 hotel rooms, the new supply will increase rooms in the country by 55 percent.

3 WOLGAN VALLEY According to Tony Williams, senior vice president of resorts and projects at Emirates Hotels and Resorts, Wolgan Valley Resort and Spa’s recent carbon neutral certification came as a surprise.

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In This Issue Market Update Accommodation News International News Air Travel & Cruising News Travel Tips Travel Talk Who’s Moved Rendezvous Events FEBRUARY 13, 2010

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Qatar Supply

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Marriott’s New Solvency Melts Cash Freeze

TRAVEL TRADE WEEKLY Deputy Editor Laura Warne

After three successive financial quarters of issuing dividends in stock, Marriott will resume cash payments to share holders.

Journalist Louis Dillon Savage Design & Layout Elina Pericleous Sales & Marketing Jane Davidson Marianna Tsiamas Danielle Bragg Tina Georgiou Directors Andreas Constantinides Mary Kammitsi Headquarters P.O. Box 25255 Nicosia 1308 Cyprus Tel: +35722820888 Fax: +35722318958 Website www.traveltradeweekly.travel

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olders of class-A shares in Marriott International Inc will receive USD0.04 per share, in the form of a cheque, on April 9. Eligible share holders will be those on record as of February 19. According to Marriott, shareholders will not be required to take any action as the company transitions from a stock to a cash dividend. Cheques will be generated reflecting both share amounts in investors' book entry accounts and where shares are held in a brokerage account in the name of a broker. The cash dividend will be administered by BNY

Emails info@traveltradeweekly.travel editorial@traveltradeweekly.travel sales@traveltradeweekly.travel

Wyndham Resumes Stock Buyback, Boosts Dividend

MENA Exchange Rates Accurate as of 10/2/2010 Currencies shown in red are fixed against the US Dollar COUNTRY UAE (AED) Egypt (EGP) Saudi Arabia (SAR) Lebanon (LBP) Bahrain (BHD) Jordan ( JOD) Syria (SYP) Kuwait (KWD) Qatar (QAR) Oman (OMR) Tunisia (TND) Morocco (MAD) Iran (IRR) Yemen (YER) Algeria (DZD) Libya (LYD)

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CURRENCY Dirham Pound Riyal Pound Dinar Dinar Pound Dinar Riyal Rial Dinar Dirham Riyal Rial Dinar Dinar

Mellon Shareowner Services, the company's transfer agent. Arne Sorensen, Marriott International’s chief operating officer said stock dividends had been necessary due to the financial downturn, but reduced debt had allowed the return to cash payments. “Through operating cash flow, reductions in investment activity and other cash management, the company was able to reduce its total debt levels by almost USD800 million, to USD2.3 billion, by year-end 2009,” he said. “With this debt reduction, the board of directors has agreed with management's recommendation to return to a cash dividend.”

1USD= 3.67 5.47 3.75 1501 0.37 0.7 46 0.28 3.64 0.38 1.36 8.16 9890 205.5 72.9 1.25

Wyndham Worldwide, whose brand portfolio includes Wyndham, Travelodge and Ramada, has tripled its quarterly dividend following positive results from the fourth quarter of 2009. Stephen P Holmes, CEO of Wyndham Worldwide, said that the company planned to resume its share repurchase programme in tandem with the dividend increase. The company will recommence the USD200 million repurchase plan, with USD157 million still available. According to Wyndham, the amount and timing of specific repurchases are subject to market conditions, applicable legal requirements and other factors. Repurchases may be conducted in the open market or in privately negotiated transactions. Holmes said that both developments reflected his confidence in the company’s restructuring initiatives. “As we continue to transform the company to drive free cash flow, these actions reflect our confidence in the

resilience of our business model, our proven ability to execute, and the sustainability of our cash flow, while maintaining investment grade credit metrics,” he said. The dividend has increased to USD0.12 from USD0.04, equating to a yearly rate of USD0.48 per share. The company expects the first dividend at the new rate to be declared in the first quarter of 2010. Steven P Holmes

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Arabian Adventures Thinks Big for Long Term Growth Dubai based destination management company Arabian Adventures has flagged a five-fold increase in its fleet over the next two decades, along with the opening of a new 3,500 square metre operations centre at Dubai Investment Park.

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rederic Bardin, senior vice president of Arabian Adventures, told Travel Trade Weekly that the company was targeting 10 to 15 percent annual growth over the next 15 to 20 years. “This new facility will last us throughout this decade and into the next,” said Bardin. “We decided to build big, because with the rate of growth in Dubai, we didn’t know when we would get another good piece of land, in the right location.” The operations centre comprises two buildings, which include a warehouse, office area, meeting rooms, a five storey car park for 400 vehicles, inspection bays and vehicle washing areas. Bardin pointed out that the new facility had first been planned in 2005, as part of the company’s long term growth strategy. “It took about two years to build, which I suppose is quite slow by Dubai standards,” he said. “We started in 2007, which was a very difficult time to build; in the boom years

there was a shortage of building materials and even construction workers and project managers.” He added that the company expected to see further growth in Dubai, and encouraged development companies to continue with hospitality and tourism projects, including hotels and theme parks. “The message is we’re totally confident about Dubai’s growth,” said Bardin.

“Demand is increasing; we are making sure of that, as are hoteliers, Emirates Group and other airlines.” Arabian Adventures, which is part of Emirates Group, is expected to add a number of vehicles to its fleet in 2010. According to Bardin, the planned five-fold fleet increase would take between 15 and 20 years to complete, depending on the rate of development in Dubai.

Saudi Arabian Tourism Sector Grows 30 Percent and Counting The Saudi Arabian tourism market is the fastest growing in the world and is on the verge of further acceleration, according to a leading Saudi Arabian tourism expert. Dr Nasir Bin Aqeel Al Tayar, CEO of the Al Tayar Group for Travel and Tourism, said the non-religious tourism sector in Saudi Arabia was growing by 30 percent annually and already accounted for SAR80 billion (USD 21.3 billion) in revenue. FEBRUARY 13, 2010

Further, he said that recent initiatives by Saudi tourism regulators had set the stage for increased leadership by the private sector, resulting in an ideal environment for investment in tourism. Al Tayar emphasised the kingdom’s ability to stimulate and direct growth in its various provinces, in order to exploit the different environments and attractions of each region. He said that he expected updated regulations for the tourism sector to

encourage diversity and prosperity in Saudi Arabia and pointed to a variety of developments that were key to encouraging the market. These developments included: Al Ogair Seafront Development in Al Ahsa; the Souk Okaz development project; a number of projects in the Al Taif municipality; Red Sea Coast resort developments; heritage hotels; rural guest houses; eco-inns; and economic cities. 3


ACCOMMODATION NEWS

Qatar to the Masses: Accommodation Supply Booms Qatar Tourism Authority (QTA) has released a report that predicts large increases in hotel room supply in 2010.

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total of 6,743 hotels rooms across 41 new hotels are expected to become available in Qatar in 2010. These figures represent an approximate 55 percent increase in the number of hotel rooms. Hotel apartments account for 18 of the new properties, with traditional hotels making up the remaining 23. According to QTA, 90 percent of the planned hotels are expected to receive four or five star ratings. The report also noted that Qatar had performed strongly in 2009, experiencing only small declines in revenue and occupancy, despite a large increase in accommodation availability. Occupancy fell by 6.3 percent in 2009, and revenue by two percent, with four and five star properties experiencing relatively minor losses, according to QTA. Ahmed Al Nuaimi, chairman of QTA, said

that shrinking occupancy and revenue rates could largely be attributed to the boosted supply of hotel rooms in Qatar, with supply growth far outstripping retractions in occupancy. The total number of hotel rooms in Qatar increased by 25 percent in 2009, with 1,728 rooms added. Growth was strongest in the in the five star category, which accounted for 1,003 of those rooms, outstripping the growth of one, two, three and four star hotels combined. Four star hotels claimed the second strongest growth, with 605 new rooms. QTA attributed the strength of four and five star properties to surging demand for these categories in the local market, as well as efforts by Qatari and foreign investors to attract reputable international hotel names. Al Nuaimi said the Qatari government had begun developing plans to further encourage tourism development in the country. “QTA has begun developing a co-ordination

plan with the Supreme Council of Development Planning and the Ministry of Municipal Affairs and Urban Planning,” he said. “This plan will enable us not only to shape the framework for technical cooperation on tourism matters, but will also allow us to oversee this important sector and properly distribute the different authorities’ responsibilities.”

Doha, Qatar

Safir Hotels Recommits to Growth, Following Record Profits in 2009 Wholly owned subsidiary of the Kuwait Hotels Company, Safir Hotels and Resorts, reported record profits for 2009 and will continue to expand its portfolio, according to Helmut Meckelburg, CEO of the company. Meckelburg said Safir’s profits for 2009

returned 40 percent higher than projected, which he said had recommitted the brand to ongoing growth. Safir Hotels currently manages hotels in Kuwait, Iraq, Syria, Lebanon, Egypt, Algeria and Oman, and has properties under development in Morocco, the

Safir Marina Hotel Kuwait 4

UAE, Sudan, Iran, Malaysia, Indonesia, Turkey and India. In addition, the company has recently signed a management and co-operation deal with the Shami Group for Tourism Investment to open a new hotel in Aleppo, Syria. The five star Safir Al Shami Hotel is scheduled to open in 2012 and will feature 158 rooms, including 20 suites. According to Meckelburg, expansion within Syria follows the strong performance of the company’s recently opened hotel in Kerbala, Iraq. Meckelburg said that for the first three months of operation, the Iraqi property had averaged 70 percent occupancy. “70 percent occupancy is impressive for a newly opened hotel in a rather challenging location,” he said. FEBRUARY 13, 2010


ACCOMMODATION NEWS Sheraton Overhauls Global Portfolio, Declares New Marketing Direction Sheraton Hotels and Resorts has launched a USD6 billion brand revitalisation programme, to be supported by a USD20 million marketing campaign. The expenditure allows USD4 billion for developments in the US and USD2 billion for international properties. Over the next three years, Sheraton will add 100,000 beds across 70,000 new rooms worldwide, and will update the lobbies of 300 existing hotels. Sheraton’s new lobby lounge concept, Link@Sheraton, has been developed in partnership with Microsoft and will be

introduced to many hotels. According to Phil McAveety, chief brand officer for Starwood, the redesign has been motivated by an emerging trend towards the combination of business and leisure travel. Redesigns have also taken into account the rising demand for mixed use social spaces, which have come to be termed third spaces. The campaign that has been designed to accompany the changes will focus on multi-platform delivery and seek to blur the lines between business and leisure.

It is the first campaign to be designed by the in-house marketing team headed by McAveety, and he said that the emphasis on new media would take Sheraton in a new direction. “What sets this campaign apart is the fully integrated, multi-platform approach and how the work uses non-traditional media to convey the new Sheraton experience,” he said. “Every brand touch-point of the campaign is strategically aligned across all executions including print, online, mobile, promotional and experiential event activities.”

Belle Vue Looking Good With Dubai and Saudi Properties Shariah compliant hotel and tourism investment company Amlak has expanded its Belle Vue hotel brand to Dubai. The recently opened Grand Belle Vue Hotel Apartments, in Dubai, is the brand’s second Middle Eastern property, following Belle Vue Hotel and Trade Centre in Amman, Jordan. According to Amlak, Belle Vue was one of the first shariah compliant hotel management companies in the Middle East, when launched in 2000. Naji Alia, CEO of Belle Vue Hotels, said the new property in Dubai would allow Belle Vue to take advantage of continued growth in the surrounding region. “Middle East tourism in general is seeing rapid growth and the Dubai market still holds a lot of value for hospitality investment as an international commercial and tourism hub,” he said. The 274 suite property is located in the TECOM district of Dubai and includes 42 executive suites (two bedrooms), 70 ambassador suites (one bedroom) and 162 business suites (studios). Belle Vue has also declared its intention to expand into Saudi Arabia, with a property planned at Dammam. FEBRUARY 13, 2010

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INTERNATIONAL NEWS

Wolgan Valley’s Carbon Neutral Surprise

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ccording to Tony Williams, senior vice president of resorts and projects at Emirates Hotels and Resorts, Wolgan Valley Resort and Spa’s recent carbon neutral certification came as a surprise. “We planned to be extremely light with our carbon footprint, but when the scientific assessment verified that we were carbon neutral, we were absolutely amazed,” said Williams. “We purchased five percent of carbon offset credits as a safety measure to ensure we maintained carbon neutral status during our opening phase, and we chose an internationally recognised project where the

Wolgan Valley Resort money was directly sent to a large wind farm in New Zealand.” Williams added that the Australian resort is the first hotel in the world to achieve carbon neutral certification from an internationally accredited greenhouse gas certification scheme. A greenhouse gas emissions inventory Resources Institute standards. assessment was carried out by Landcare Williams said he hoped the certification would encourage other hotel companies to Research New Zealand. Professor Ann Smith, from Landcare pursue carbon neutral status. Research, said the carboNZero “This proves that even luxury resorts can be certification process was carried out in carbon neutral and I believe mainstream accordance with ISO14064 and World hotels need to take this on board,” he said.

JAL Refocuses Following Bankruptcy Protection Japanese Airlines (JAL) has released its first route, frequency and fleet plan since filing for bankruptcy protection in January. The plan, covering the first six months of 2010, outlined changes to JAL’s flight schedule and declared a new focus on improving profitability. JAL will decrease domestic frequency by 32 daily flights, including the suspension of 12 routes until further notice. Three domestic offices will be closed: at Kobe; Matsumoto; and Shizuoka. However, 19 flights have been added to other routes and international flights saw a relatively small decrease in frequency. International traffic has been cut by seven flights weekly on JAL’s Shanghai route and one per week on the carrier’s Sao Paulo via New York run. Meanwhile, service to Vietnam has been increased, with four new flights added each week between Tokyo and Hanoi, and one extra weekly flight scheduled to Ho Chi Min City. 6

South Africa Enlists TripAdvisor for Marketing South Africa has engaged TripAdvisor in a creative partnership to help promote the country as a tourism destination. TripAdvisor has been contracted by South African Tourism (SAT), South Africa’s tourism authority, to produce a destination-specific portal featuring information drawn from TripAdvisor reviews. The Ultimate Experience, as the hub has been named, is divided into three categories: Adventure and Wildlife; Culture and Nature; and Entertainment and Leisure. Each section will feature TripAdvisor's top rated attractions as reviewed by travellers, plus photos, videos and other content about South Africa. Roshene Singh, chief marketing officer at SAT, said that utilising TripAdvisor as a marketing tool

allowed the campaign to reach consumers through channels beyond traditional advertising. "We know that the majority of our target segments use the online environment for researching and gathering information about holiday destinations, so we believe that this partnership with TripAdvisor will further compliment our strategy to market South Africa globally," she said. She pointed out that TripAdvisor would introduce an element of interactivity into the marketing campaign, and stimulate interest in the destination. “The TripAdvisor partnership offers travellers the opportunity to engage with our destination in an interactive manner and to place South Africa at the forefront of conversations that are taking place online,” she said. FEBRUARY 13, 2010



AIR TRAVEL & CRUISING NEWS

Cruising Rebound Crystal Clear in January Crystal Cruises has reported a 205 percent increase in January bookings, compared to 2009.

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ccording to Crystal, the booking surge represented the strongest January for the company in the past five years. Bill Smith, Crystal Cruises' senior vice president of sales and marketing, said that consumer behaviour had shifted dramatically in 2010, and that Crystal had benefited from an influx of new customers. “Along with the strong bookings from new Crystal guests, our very loyal Crystal Society members continue to come back, discovering Crystal's many new itineraries and voicing overwhelming compliments for the major redesign of Crystal Symphony," he said. According to Smith, the number of customers sailing with Crystal Cruises for

the first time reached 89 percent of total 2009 figures in January alone. Smith noted that trends in booking behaviour had shifted compared to 2009, with an increased booking window supplementing the continued strength of short notice purchases. Smith attributed Cystal’s success to its established reputation; the company is celebrating 20 years of operation in 2010.

The Crystal Symphony cruise liner

US Cracks Down on Aircraft Exports to Iran UK based Balli Aviation Ltd has pled guilty to charges related to illegally exporting Boeing 747 aircraft to Iran. The plea, entered in the US District Court for the District of Columbia, resulted in a USD2 million fine, as well as a USD15 million civil settlement with various US government bodies. According to the US Department of Justice (DOJ), a Balli Aviation subsidiary, Blue Sky Companies, purchased US origin aircraft with financing obtained from an Iranian airline and exported them to Iran without obtaining the necessary licences. David Kris, US Assistant Attorney General for National Security, said that the penalties would help discourage corporations from breaching US trade sanctions with Iran. 8

“Savvy travellers and travel agents recognise the value and reputation of Crystal's luxury cruising in 2010, and that we deliver an incomparable experience of service, space, quality and choices,” he said. Crystal Cruises sails to destinations worldwide, including the Middle East, Africa, the Americas, Antarctica, Asia and Europe.

“This case demonstrates that corporations that conduct business with Iran in violation of US export laws and sanctions face serious consequences,” he said. According to the US Government Office of Foreign Assets Control, the US prohibits the exportation, reexportation, sale or supply, directly or indirectly, from the US or by a US person, wherever located, of any goods, technology or services to Iran or the Government of Iran. Kris said that the US would continue to forcefully apply these regulations. “These charges reflect the commitment of the United States to vigorously enforce our laws against corporations that illegally seek to acquire US aircraft from the US on behalf of Iranian customers,” he said.

Royal Jordanian Launches New Saudi Route Royal Jordanian plans to launch regular direct flights to Madinah Munawwarh, Saudi Arabia, to capitalise on Hajj and Umrah religious tourists. Hussein Dabbas, president of Royal Jordanian, said the new air service would be easier than travelling to Madinah Munawwarh via Jeddah airport or by land. He added that the airline had conducted feasibility studies that indicated the route’s potential success with Jordanian tourists and transit passengers from around the world. The new flights will begin on March 28. Royal Jordanian is also considering new routes to Kuala Lumpur, Johannesburg, Tehran, Izmir, Luxor and Aswan. FEBRUARY 13, 2010



Sharjah’s Increased Supply Blamed for Occupancy Contraction The Sharjah Commerce and Tourism Development Authority (SCTDA) has released its visitor figures for the second half of 2009, showing widespread contractions in demand.

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owever, Mohamed A Al Noman, director general of the SCTA has described the losses as marginal. Despite a six percent decline in the total number of guests staying in hotels, this contraction was mitigated by a trend towards longer stays. SCDTA reported that the total number of occupied room nights in Sharjah’s hotels fell by only three percent. Al Noman attributed the overall 11 percent decline in occupancy to increased accommodation supply, with the number of available rooms in Sharjah

growing by 14 percent in 2009. European tourists accounted for the majority of visits to the emirate, comprising 42 percent of arrivals. Arrivals from the Middle East and Africa (MEA) made up the next largest demographic at 40 percent. Within the MEA segment, GCC visitors accounted for 23 percent, other Arabian nations a further 11 percent, and Africans six percent. Visitors from Asia equalled 15 percent of the total, and the final three percent were accounted for by two percent US travellers, and one percent from the Pacific region.

Qatar and Croatia Ink Tourism Partnership

Al Noman said that the impact of the global downturn on Sharjah had been minor, relative to other destinations, and announced that the emirate planned to launch further promotional activities in order to capitalise on growing market awareness. “Sharjah’s tourism brand is distinguished from other regions by such attractions as high profile cultural, heritage, entertainment and sporting activities that are organised in the emirate throughout the year, the cohesive family atmosphere, and the multitude of attractions, such as museums and heritage sites, which attract visitors from all over the world to Sharjah,” Al Noman said.

(L-R) Ahmed Al Nuaimi and Dersan Margita

The Qatar Tourism Authority (QTA) has signed a memorandum of understanding (MoU) with the Republic of Croatia. The MoU was ratified by Ahmed Al Nuaimi, chairman of QTA, and Dersan Margita, the Croatian Ambassador to Qatar. Both countries have committed to cooperate on various tourism matters, including the exchange of expertise and training, and joint investments in the tourism sector. The two parties also agreed to collaborate on planning and development, as well as destination promotion and marketing.

UAE and Indian Ministers Discuss Business Travel Sheikha Lubna bint Khalid Al Qasimi, UAE Minister of Foreign Trade, has signposted increased interconnectivity with India as a crucial component of the UAE’s future policy. As part of her recent visit to India, Al Qasimi discussed increased bilateral cooperation between India and the UAE with Dr Shashi Tharoor, Indian Minister of State for External Affairs. Al Qasimi pointed out that trade with India 10

accounted for approximately USD32 billion in 2008, making up 15 percent of UAE gross domestic product (GDP). Improved connectivity was raised by Al Qasimi as a necessary component of increased business activity, pointing out that intensified business connections would require a commensurate increase in business travel. Meeting with Praful Patel, Indian Minister of Civil Aviation, Al Qasimi discussed

mutually streamlining the approval process for new air services between the countries. Patel confirmed that UAE air travel firms would soon be authorised to operate in Indian terminals. Al Qasimi noted that at 275 flights per week, the UAE was first among GCC nations in regards to Indian connections. She then emphasised the importance of increasing travel between the countries to facilitate economic co-operation. FEBRUARY 13, 2010



Tips and tricks from industry experts, bringing you the latest in emerging destinations, technology, marketing and travel trends.

How to Get More From MICE In the lead-up to GIBTM, Selim El Zyr, CEO of Rotana, offered his advice for travel agents wanting to get more out of MICE: “Explore new and interesting destinations and work closer with the hotels to achieve the best results. We provide MICE organisers with all the tools and selling points for each of our destinations and properties located within, in order to facilitate the process. Selim El Zyr

Furthermore, we tailor-make packages to suit their specific requirements. Organisers prefer to deal with a team that is not only professional and experienced but with a team that cares Prices are certainly important but MICE organisers look mainly at the whole package in terms of the destination and whether it’s interesting and attractive so that participants can work and enjoy themselves at the same time. Standards and facilities are vital factors for both the participants and organisers. Customers are attracted and retained by the offer of a wide and increasing number of personal choices in terms of location, type, budget and style of property.”

Organisers prefer a team that is not only professional, but a team that cares

Late Bookings Here to Stay According to Tony Williams, senior vice president of resorts and projects at Emirates Hotels and Resorts, the travel industry needs to get used to late bookings from clients. “The challenge we face from an operational point of view is far later booking trends. Al Maha bookings are usually 21 days ahead, but many people are calling us on Monday wanting to stay for the weekend. I hardly ever see trends going backward, so I don’t see booking trends going back to their old ways. In the mainstream, late bookings will continue.”

I hardly ever see trends going backward Tony Williams

Make the Most of Exhibition Season With some of the biggest Middle Eastern trade shows of the year coming up – including GIBTM, AHIC, The Hotel Show and ATM – it’s time to start planning how to get the most out of each event. Get in Early Mark Walsh, group exhibition director of Reed Travel Exhibitions, said that early registration was one of the best ways to capitalise on events. “Registering to attend Arabian Travel Market before it begins provides visitors with a host of benefits; up to date exhibitor information, discounts on flights and accommodation, and priority access to the exhibition, which means no queues,” said Walsh. Forward Planning With more than 2,000 exhibitors expected at ATM and organisers predicting a record year for GIBTM, it pays to do some pre-planning. “It is crucial that visitors prioritise their time to gain maximum benefit,” said Walsh. Visitors should make a list of key exhibitors to visit before arriving, and take note of their location within the venue to plan an efficient schedule for each day. Pre-arranging meetings is also a good idea, to ensure access to the most relevant people. 12

FEBRUARY 13, 2010


Ahmed Al Nuaimi

Ahmed Al Nuaimi Chairman, Qatar Tourism Authority “Qatar has been among the least affected by the repercussions of the global financial crisis, precisely because Qatar relies primarily on meeting and conference tourism – and business travel offers a more dependable stream of income than other forms of tourism.”

Business travel offers a more dependable stream of income Frederic Bardin

Mark Wynne-Smith CEO of Jones Lang LaSalle Hotels, EMEA “We see increased regional hotel transactions as being a key trend in 2010, with strengthening interest from high net worth individuals, such as Middle Eastern and Asian investors and sovereign wealth funds. Development activity will likely remain subdued in some markets in the short-term but we expect pick up across the entire market in the medium and longer term. The hottest markets in North Africa will be Morocco and Egypt, whilst the Middle East markets will see developers balance out their portfolios by expanding outside the UAE.”

Frederic Bardin Senior Vice President, Arabian Adventures “Dubai is the original MENA hub and you simply can’t overtake Dubai right now; it would take decades. Companies are not going to move their Middle Eastern headquarters to other regional cities because of the downturn. The business model for Dubai is to be a regional hub and it has all the facilities that go along with that. The growth is here to stay and we must look at the future.”

You simply can’t overtake Dubai

Morocco

The hottest markets in North Africa will be Morocco and Egypt

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 FEBRUARY 13, 2010

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Rania Taki

Rania Taki

Philippe Georgiou

Rania Taki has been appointed as talent acquisition manager for Renaissance Hotel, Courtyard by Marriott and Marriott Executive Apartments Doha City Centre, Qatar. Taki holds a degree in hospitality and marketing management and previously worked as human resources officer at Renaissance Dubai Hotel. Her key areas will be recruitment, talent acquisition and setting up graduate programmes for Marriott’s three new hotels in Qatar.

Ahmed Thani Salim Mousa Al Halyan Etihad Airways has appointed Ahmed Thani Salim Mousa Al Halyan as country manager for Qatar, based in Doha. Al Halyan has worked in the airline industry for almost 10 years and has previously held positions with Emirates Airlines and Dubai Customs.

Philippe Georgiou

Thomas Bommer Safi Airways has appointed Thomas Bommer as director of sales and marketing for its Afghanistan, UAE and international markets. Bommer has 33 years of experience in the aviation industry, including 15 years working for Swissair in management positions. He has worked in Switzerland, Africa and the Middle East.

Ahmed Thani Salim Mousa Al Halyan

Hany Khorshid

Thomas Bommer

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Philippe Georgiou has been appointed as chief officer of corporate affairs at Oman Air, Muscat. Georgiou will work across several departments, including marketing, corporate communications, media, customer relations, emergency response, government relations and legal affairs. He will also be the official spokesperson for the airline. Georgiou has 30 years of experience and has previously worked in the Middle East for global companies such as Cadbury Schweppes and Coca-Cola.

Hany Khorshid

Rotana has appointed Hany Khorshid as general manager of Al Marwa Rayhaan by Rotana, Makkah in Saudi Arabia. Khorshid has more than 25 years of experience in the hotel industry, having worked with Hyatt, Mövenpick, Ritz Carlton and others. He moves to Al Marwa Rayhaan from Coral Beach Rotana Resort Montazah in Sharm El Sheikh, Egypt, where he was general manager. FEBRUARY 13, 2010


Q&A with Omar Boujild Saudi Arabia is home to one of the fastest growing and biggest spending outbound tourism markets in the world, but the country has hitherto remained closed to all but business travellers and religious tourists. Omar Boujild, general manager of Mövenpick’s Hajar Tower property in Makkah, shared his thoughts on the recent developments for Saudi tourism visas. Travel Trade Weekly: Please tell me Due to increased demand for about the new tourist visa application accommodation, Mövenpick Hotels and process in Saudi Arabia. Who can take Resorts have offered promotional rates advantage of this visa, for instance? during the peak seasons of the year, Omar Boujild: In Saudi Arabia, rapidly- especially since we have many attractive increasing demand for Umrah visas (for minor religious pilgrimages, which can be made at any time of year) has increased the overall demand for hotels in other cities in Saudi Arabia. Now people who are coming to perform Umrah (or Hajj, the major pilgrimage) want to visit other areas and cities while they’re here. The main cities that are visited after the holy cities of Makkah and Madina are Jeddah, Yanbu and Khobar. Umrah and Hajj visas apply only to Muslims, while tourism visas apply to both nonMuslims and Muslims. Those who want to apply as tourists can now obtain tourist visas through authorised local tour operators in the kingdom who have been approved by the Saudi Commission for Tourism and Antiquities. As for travel arrangements, they should all be made by a Saudi tour operator, with the co-operation of the foreign travel and tourism agent. There is an electronic tourist visa system used by the tour operators which can facilitate all arrangements. Saudi tour operators can organise tours covering siteseeing, cultural attractions, shopping, diving or snorkeling, and other attractions.

Travel Trade Weekly: Are the new tourist visa developments affecting Mövenpick’s plans in Saudi Arabia? Omar Boujild: This move is having a positive effect on Mövenpick Hotels and Resorts, and the hotel industry in general in Saudi Arabia. FEBRUARY 13, 2010

Mövenpick Hotel and Residence Hajar Tower Makkah

properties in different locations throughout Saudi Arabia. Mövenpick is now in six major cities: Jeddah, Makkah, Yanbu, Madinah, Khobar and Qassim. There are also two new Mövenpick facilities opening in 2010: a hotel in Riyadh and a resort in Al Khobar.

Travel Trade Weekly:: What impact do you think this will have on the Saudi tourism and Umrah industry? Omar Boujild: This move will definitely increase demand in the Saudi tourism sector. A major portion of the economy already depends on the large number of pilgrims travelling in the kingdom each year. It is estimated that more than 15 million domestic trips, out of a total of nearly 30 million, are religious tourists, and more than 50 percent of inbound foreign tourists are religious tourists. Hotels are reacting quickly to address religious tourism; transportation networks are growing and medical tourism for religious travelers has started to take off in the kingdom. Religious tourism will continue to grow strongly and will help protect the kingdom’s travel and tourism industry from any potential for recession in the years ahead. Visitors to Saudi Arabia totaled 11.5 million in 2007, but traditional leisure tourism has been a very small percentage of this market just five percent. The kingdom is now anxious to expand the tourism segment, particularly the domestic tourism market. To accomplish this goal, the infrastructure is

quickly being enlarged to accommodate the anticipated growth. One major component is a programme called Vision 2020, developed under the Saudi Commission for Tourism and Antiquities (SCTA). This plan aims to quickly ramp up the development of the domestic tourism market. Starting with a focus on major opportunities around the Red Sea and the country’s heritage, seven new museums are underway in the kingdom, with another 34 planned. There are also plans to develop Jeddah’s historic old-town (Balad) into a potential World Heritage Site. In addition to religious tourists, the kingdom historically draws many business travellers and Saudi planners see great potential in fivestar market growth centered on these visitors. There are an estimated 10,000 hotel rooms currently under construction in the kingdom, and there is a sense that the tourism market could really be transformed within the next several years. 15


Arabian Hotel Investment Conference Sets Programme for May The Arabian Hotel Investment Conference (AHIC) has announced a series of panels, briefings and break-out sessions based around its focus theme of unlocking investment opportunities in the Middle East and North Africa. Key speakers will include representatives from Etihad Airways, Jumeirah Group, Rezidor Hotel Group, Jones Lang LaSalle Hotels and Kingdom Hotel Investments. Jonathan Worsley, chairman of Bench Events, is a co-organiser of AHIC, which

will be held at Madinat Jumeirah in Dubai from May 1 to 3. “The consensus appears to be that the worst of the global economic crisis is over, which makes the themes being debated at AHIC 2010 more important than ever,” said Worsley. “Intelligent and targeted investment is vital for the industry as the region recovers from the downturn, and the insight that will be offered by the group of speakers that will gather in Dubai in May

will be invaluable for everyone in the industry.” Madinat Jumeirah

Events Gulfood Exhibition 2010 Dubai, UAE, Feb 21-24 (www.gulfood.com) Food and beverage exhibition. Jordan Travel Mart ( JTM) Dead Sea, Jordan, February 21-23 (www.jordantravelmart.com) Showcase of the Jordanian tourism industry.

Britain and Ireland Marketplace 2010 London, UK, March 16 (www.bim.travel) Workshop for tour operators, wholesalers and intermediaries to meet suppliers from the UK and Ireland’s hotels, attractions, ground handlers and other tourism services Moscow International Travel and Tourism Exhibition Moscow, Russia, March 17-20 (www.mitt.ru/en) International trade exhibition for trade and consumer visitors, with 157 participating destinations and more than 3,000 companies.

Meetings Africa 2010 Johannesburg, South Africa, February 24-26 (www.meetingsafrica.co.za) Business tourism exhibition showcasing meeting venues, destinations and industry support services.

GIBTM Abu Dhabi, UAE, March 29-31 (www.gibtm.com) International event for the business travel and meetings industry in the Gulf and Middle East region.

Asia Pacific Incentive and Meetings Expo Melbourne, Australia, March 2-3 (www.aime.com.au) Australian, Asia Pacific and international destinations, products and services for the incentive and meetings industry.

Meeting Luxury Lugano, Switzerland, April 8-10 (www.meetingluxury.com/en) Exhibition for top end travel products.

ITB Berlin Berlin, Germany, March 10-14 (www.itb-berlin.com) A combination of trade exhibition, public exhibition and professional convention for the travel trade industry.

World Holiday and Travel Fair Johannesburg, South Africa, April 16-18 (www.worldtravelfair.co.za) Split between a business to business exhibition and public access, with the opportunity for on the spot selling to consumers.

16

FEBRUARY 13, 2010


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