Hospitality Business ME | 2013 September

GLOBAL HOTEL INDEX: Asia Pacific 70%/ $129.44 - Americas +63.7%/ $113.62 - Europe +63.8%/ $126.34 - MEA +67.1%/ $179.57 (Average occupancy March 2013/ADR $)

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How the procurement of outdoor furniture could be improved

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Dusit COO David Shackleton talks new brands and taking on China

5)& (. 4 ) ROUNDUP

Carlson Rezidor’s GCC GMs share a regional perspective on 2013

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The official schedule for The Hotel Show Vision Conference

GAINING MOMENTUM Amine Moukarzel Phd, president of Golden Tulip Hotels, explains how selling three star brands to a 5-star market is starting to pay dividends

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CONTENTS

49

16

20

28

16

20

30

38

49

52

DUSIT COO DAVID SHACKLETON TALKS ABOUT HIS FIRST YEAR IN THE ROLE AND THE GEOGRAPHICAL AND GUEST PROFILE DIVERSIFICATIONS ON THE CARDS

THE BUSINESS OF OUTDOOR FURNITURE PROCUREMENT AND WHY THE ‘BUY ON PRICE’ MENTALITY CREATES LOSS FOR THE BUYERS AND SUPPLIERS

THE MAN BEHIND GOLDEN TULIP DISCUSSES THE LAUNCH, GROWTH AND FUTURE DYNAMICS OF ONE OF THE MIDMARKET’S BEST KNOWN BRANDS

GRAND MILLENNIUM GM, PETER MANSOURIAN, SHARES HIS STORY OF RUNNING THE HILTON BRISBANE DURING EXPO88 AND HIS PREDICTIONS FOR 2020

GMS FROM REZIDOR’S GCC HOTELS TAKE TIME OUT AT THEIR ANNUAL CONFERENCE TO SHARE MARKET OBSERVATIONS

THE LATEST SHOW NEWS, AN UPDATE ON THE VISION CONFERENCE SPEAKER LIST AND REGISTRATION DETAILS FOR THE INDUSTRY’S FAVOURITE SHOW

VP SPOTLIGHT

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ROUNDTABLE

COVER STORY

GM PROFILE

REGIONAL ROUNDUP

SEPTEMBER 2013

THE HOTEL SHOW

REGULARS 02 EDITOR’S COMMENT

04 MENA &

GLOBAL NEWS

09 DATA 56

PRODUCT WATCH

58 APPOINTMENT NEWS 59 JOBS 62 TENDERS 64 COLUMN

HOSPITALITY BUSINESS MIDDLE EAST / 1

COMMENT / EDITOR’S LETTER

PUBLISHER: Dominic De Sousa GROUP COO: Nadeem Hood

T

Countdown to showtime

he concept of ‘tangible excitement’ is a cliche best reserved for sporting events and the odd tabloid writeup of the latest Du Arena concert. But something is happening in Dubai right now that is so distinctly similar to this phenomenon, it can go by no other name.

As The Bureau of International Exhibitions prepares to name one of the four remaining candidate cities as Expo2020 host, Dubai is entering overdrive at the thought of taking centre stage. From the branding on everything from billboards to busses, to announcements of support from almost every company based in Dubai, there is no doubt that public sentiment can be gauged as positive.

But while I have yet to meet somebody who believes a win would be bad for Dubai, I did this month meet somebody who told the story in another light.

Imagine Dubai as a one bedroom apartment. It is the best one bedroom apartment in the world (of course!)

Hospitality Business Middle East official media partner

28 - 30 September 2013

and it can sleep one person in impeccable luxury. But the decadence and extravagance of this finest one bedroom apartment does not qualify it to ever be capable to sleeping 20 people. Following?

The discussion then turned to how the rest of the world – those who don’t live in Dubai nor understand its somewhat unique mentality to preparation – would interpret the idea of Vision 2020; the DTCM-backed outline of exactly how Dubai will develop over the coming seven and a half years.

The market has demonstrated some undeniable maturity of late: The investment from international chains continues to surge, but so too does the volume of independent, mid-market and unbranded hotels.

In this issue president and founder of Golden Tulip, Amine Moukarzel, explains how he managed to sell the concept of owning a 3-star hotel to a market that by essence wishes to define itself with no fewer than five; and why it’s important for more 3-star chains to do the same.

This theme, along with 49 others, will be revisited at The Hotel Show’s Vision Conference, taking place throughout the show from September 28 – 30. After weeks of collaboration on the schedule, I can personally assure you it is not to be missed! See you on the show floor.

MELANIE MINGAS SENIOR EDITOR

ASSOCIATE PUBLISHER Dave Reeder EDITORIAL Editorial Director: Dave Reeder dave.reeder@cpimediagroup.com +971 55 105 3773 Senior Editor: Melanie Mingas melanie.mingas@cpimediagroup.com +971 56 758 7834 Photography: Anas Cherur ADVERTISING Ankit Shukla Sales Director ankit.shukla@cpimediagroup.com +971 55 2572807 Vass Mafilas Sales Manager vass.mafilas@cpimediagroup.com +971 55 8870720 Stuart Norbury Account Manager stuart.norbury@cpimediagroup.com Ajay Sharma Account Manager ajay.sharma@cpimediagroup.com +971 50 4195067 DESIGN AND PRODUCTION Art Editor: Christopher Howlett chris.howlett@cpimediagroup.com Graphic Designer: Gillian Smith gilliansmith.design@gmail.com Production Manager: Devaprakash devaprakash@cpimediagroup.com MARKETING & DISTRIBUTION Rochelle Almeida rochelle.almeida@cpimediagroup.com SUBSCRIPTIONS www.cpievents.net/mag/magazine.php PRINTED BY Printwell Printing Press LLC, Dubai, UAE PUBLISHED BY

Head Office, PO Box 13700, Dubai, UAE Tel: +971 4 440 9100 Fax: +971 4 447 2409 Group Office, Dubai Media City Building 4, Office G08, Dubai, UAE A publication licensed by IMPZ © Copyright 2012 CPI. All rights reserved. While the publishers have made every effort to ensure the accuracy of all information in this magazine, they will not be held responsible for any errors therein.

2 / HOSPITALITY BUSINESS MIDDLE EAST

SEPTEMBER 2013

NEWS WATCH

7765

ROOMS TO BE ADDED TO IHG’S KSA PORTFOLIO

MENA AMEA RevPAR leads IHG H1 results NEWS Providing a boost to IHG’s 10 first new-build InterContinental to th

anniversary, Asia, Middle East and Africa (AMEA) leads its H1 results, with a 3.7% growth in RevPAR, 7% increase in revenue, and a 20% increase in operating profit to $338m.

IHG also announced plans to return an additional $350 million to shareholders via a special dividend, in line with its public commitment to “industry leading” shareholder returns.

“Our global scale has allowed us to reinvest in the business whilst growing margins, resulting in solid underlying profit gains and strong cash flows,” said chief executive Richard Solomons, pictured.

In the AMEA region, IHG has opened 2000 rooms across six hotels in the first half of 2013, including an InterContinental hotel Osaka, IHG’s

Richard Solomons, IHG Global CEO.

AMEA AT A GLANCE AMEA RevPAR RevPAR growth Q2 RevPAR RevPAR growth

+6.2% +1.6% +6.8% +2.3%

TCA Abu Dhabi tourism youth camp returns

Royal Caribbean reaches 50m passengers Royal Caribbean is marking its 50 millionth guest in 45 years, on board each of its 21 ships.

The news is being celebrated “New Year’s Eve” style across RC’s fleet, as well as on social media, with followers asked to share their favourite RC moments, using the hashtag #RoyalWOW. Over its history, Royal Caribbean has marked a number of firsts and today hosts the only climbing wall at sea and the world’s largest cruise liner.

In 2014, it will launch Quantum of the Seas, featuring more at-sea firsts,

4 / HOSPITALITY BUSINESS MIDDLE EAST

SEPTEMBER 2013

open in Japan for over 15 years.

During the first six months of this year, new hotel signings have included a Crowne Plaza hotel in Oman, Staybridge Suites hotels in Jeddah and the first Holiday Inn hotels for Doha and Mauritius.

Solomons added: “We continue to strengthen our foundation for future growth, signing more than 200 hotels into our pipeline, a notable increase on H1 2012, and reflective of our owners’ confidence in both IHG and industry demand drivers.”

2013 marks the chain’s 10th anniversary and plans have been announced for the largest Holiday Inn to open in Saudi Arabia (see opposite).

such as bumper cars, roller skating, simulated skydiving and The North Star, a jewel-like capsule that soars 300 feet above sea level.

“Every day on our ships, guests from around the world are creating and experiencing unforgettable WOW moments,” said Lisa Bauer, EVP of global sales and marketing, for the line, who referred to the milestone as “incredible”.

“We are inviting guests to relive those special moments and celebrate with us by sharing their personal Royal WOWS,” she added.

Abu Dhabi Tourism and Culture Authority (TCA Abu Dhabi) in conjunction with the European International College (EIC) has opened its fifth youth summer camp for “the next generation of tourism ambassadors for Abu Dhabi”.

Sponsored by stakeholders including Rotana, Etihad, Yas Island and St. Regis, the 60-strong cohort will visit a number of key tourism sites in Abu Dhabi, and “discover the breadth and outreach of the tourism industry and the future career paths open to them.”

“Please make the most of this opportunity to learn and to also have fun in what should be an unforgettable and enriching summer,” urged industry awareness executive, Fatima Al Mehli, of the students.

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NEWS WATCH

$2.1bn

VALUE OF US HOTEL CHARGES, UP ON 2011 FIGURES

Dr. Hamad Al Ghammas and Pascal Gauvin signing agreement to build Holiday Inn Makkah.

World’s largest Holiday Inn for Makkah IHG is to develop its largest Holiday Inn branded property in Makkah.

A first for the region, the 1238 room hotel will open in 2016 following the signing of a deal between IHG and Makkah Real Estate Company.

The hotel will be spread over two towers, and house three F&B outlets, a ballroom, health club and pool.

The hotel will be the first of seven under IHG’s current growth plans for the Kingdom, marking a 50% growth within five years and a total inventory of 7765 rooms.

Located on the intersection of Masjid Ash Shaikh Baz and Al Masjid Al Haram Road, the new Holiday Inn will be 3.5km from the Haram and 3.5km from Mina.

Pascal Gauvin IHG regional COO said: “Millions of people travel from all over the world to make the pilgrimage to Makkah. Our Holiday Inn brand is one of the world’s most well-known so visitors from all corners of the global can book with us knowing they will get a consistent experience and level of comfort.”

Hajj 2012 visitor numbers were up 8% on 2012 to more than 3 million.

The total number of inbound visitors is expected to continue its growth trajectory to reach 15.8 million by 2014, up from 13 million in 2010.

The second largest Holiday Inn is the 1224 room Holiday Inn Macao Cotai in China.

Bin Otaiba buys TDIC Saadiyat plot The UAE-based Bin Otaiba Investment Group has bought a 91,000sqm plot of land on Saadiyat Island for the development of a 366 room hotel The 5-star luxury resort will open in 2015 under TDIC’s development of the Saadiyat Beach District, comprising guest rooms, villas, F&B destinations, spa and sand-bottom swimming pool, and conference facilities for up to 800.

HE Khalaf bin Ahmad Al Otaiba, group chair said: “We are pleased to be investing on Saadiyat island as this is a promising destination and a great opportunity that suits our business module. Our promise to our customers is guaranteed excellence, luxury and innovation and the new five-star hotel we are developing will reflect these high standards, especially since it will be positioned among TDIC’s distinctive worldclass cultural, leisure, hospitality and residential developments on Saadiyat.”

Bin Otaiba Group already owns Hilton Sharjah, Millennium Hotel Abu Dhabi, and Embassy Suites Hotel in Sharjah. Helping to drive demand to Saadiyat, the hotel’s opening will be followed by that of Louvre Abu Dhabi (2015), Zayed National Museum (2016), and Guggenheim Abu Dhabi (2017).

Abu Dhabi to buy Marriott properties The Abu Dhabi Investment Authority (ADIA) is reportedly buying three Marriott Edition properties from the American-based chain. If the reports are confirmed it could be a game changer for the brand.

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Looking to plough the profits of a sale into global expansions, Marriott has previously lost Edition management contracts in Istanbul and Waikiki.

The sale of these properties, currently under development in

London, Miami and New York, would put the brand back on track, adding to a portfolio that could also include properties in Abu Dhabi, Bangkok, Gurgaon and India and even Hollywood, California.

SEPTEMBER 2013

HOSPITALITY BUSINESS MIDDLE EAST / 5

NEWS WATCH

5.2% MENA NEWS

RISE IN BUSINESS REPORTED BY JEBEL ALI HOTELS AND RESORTS

NEWS IN BRIEF HOTELIER SPORTS BAR NIGHT Melia Dubai is offering hoteliers up to 50% off F&B bills at its Quantum Sports Bar on Monday nights from 6pm until midnight.

Hoteliers wishing to cash in on the deal can show their Hotelier ID card or business card to receive the discount.

Melia says the offer has been designed around hotelier’s “sometimes unsociable working schedules”.

AIRPORT BOOST FOR AMMAN HOTELS Corp Executive Apartments Amman, which opened in April, has reported strong first quarter results, backed by the opening of Jordan’s new Queen Alia International Airport.

GM Emad Jawad Hussain, commented: “With the opening of the new terminal at Queen Alia International Airport in Amman giving potential to increase arrival numbers annually, we are confident of more regional and international visitors.”

To date, 23% of bookings have come from local sources, and 77% from international – the top five source markets being Iraq, GCC, Europe, USA and Asia.

6 / HOSPITALITY BUSINESS MIDDLE EAST

SEPTEMBER 2013

iPad and diamond temptation for JA TAs JA Resorts and Hotels has reported a 5.2% rise in business from “key GCC markets” on the back of a summer promotion scheme that has seen travel agents showered with lavish gifts.

The scheme, which rewards TAs for booking at any of JA’s three Dubai properties, is valid until September 30, with a budget in the “thousands of dollars”, according to the UAE-based operator.

The TAs, who must be GCC based, specifically have to book 100 room nights for leisure or business to activate the rewards programme.

Programme rewards for bookings at JA Palm Tree Court, are based on a minimum of 100 nights to receive an iPad, or 150 nights to win gold or a diamond. Bookings totalling 250 room nights during the applicable travel dates at JA Oasis Beach Tower will win the agent an iPad, or gold for 300 room nights.

“This initiative was launched during our recent corporate GCC

roadshow, and we have seen a 5.2% rise in business to date from key GCC source markets, which is extremely encouraging,” said Anabela Radosevic, director of sales and marketing for JA Resorts and Hotels.

“The incentive programme is playing a crucial role in communicating the different JA experiences on offer, and the exciting rewards on offer have got agents talking about us – and booking JA properties – from Kuwait City to Riyadh,” added Radosevic.

Saudi Arabia remains a key source market for JA Resorts, with visits increasing almost 30% YoY 2011 to 2012. It was also one of the top inbound markets in June 2013.

Jebel Ali Resorts COO David Thomson talks about the initiative and JA’s recent occupancy rates in Dubai, next issue.

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INTERNATIONAL NEWS

Dusit China expansion advances Dusit has established a JV partnership with China-based real estate developer Changzhou Qiao Yu Group to spearhead Dusit International’s continued expansion in China. Under the name Fudu Hotels and Resorts, the new entity will operate in Dusit’s recently opened Shanghai office.

The company expects to operate at least 30 properties in China within the next three years, focussing on mid-tier to deluxe projects in Changzhou, Qingdao, Qingyuan, Lingshui, Shenyang, Kunming, Chengdu, Chongqing, Shanghai, Xiamen, Fuzhou, Suzhou and Shaoxing.

“Dusit Fudu Hotels and Resorts will develop the Dusit Thani, dusitD2, Dusit Devarana and Dusit Princess brands throughout China,” says Mr Chen Li Bin, chairman of Dusit Fudu Hotels and Resorts.

“We look forward to a very successful future with this newly formed management company.”

China is now Thailand’s largest feeder market with 1.1 million visitors to Thailand in Q1 2013, a 100% increase Y-o-Y. Additionally, Chinese travellers

Dusit COO David Shackleton. spent a record US$102 billion on international tourism in 2012, a 40% rise from US$73 billion in 2011.

The major shareholders for Dusit’s Chinse growth strategy are Dusit International, Changzhou Qiao Yu Group and former CEO of Shangri-La Hotels and Resorts, Giovanni Angelini.

Turn to page 16 for an interview with Dusit COO David Shackleton.

6% increase in US surcharge and fee revenue A combination of increased occupancy and more expensive charges have pushed the total value of hotel fees in the US to $2.1bn, up 6% on 2012.

American hotels now charge guests under a number of guises, including energy surcharges, early reservation cancellation fees, internet, business centre and room service charges. All are in addition to the “resort

8 / HOSPITALITY BUSINESS MIDDLE EAST

SEPTEMBER 2013

fee”, introduced in 1997. Data reported by USA Today last month claims charge revenues have risen every year since 2000, with the exception of 2008, due to the recession, and 2001, when supply meant competition was tighter.

In the events sector, fees have even covered the set up and dismantling of ballroom stages and other event equipment.

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INTRODUCING

@thehotelshow facebook.com/thehotelshow

With so much happening... ...at The Hotel Show, you might need to organize your diary 11.00am: Official opening of The Hotel Show 2013 12.15: Maximising TripAdvisor — how to generate business leads

Register now for your free fast-track badge to attend The Hotel Show. thehotelshow.com/register

28th September

1.00pm: Keynote event with Jeff Strachan. Future Vision — Developing Dubai’s mid-market Meeting in VIP Buyers Lounge Meeting with HR Managers at The Hotel Show Career Zone about new job opportunities

For the full event schedule please visit thehotelshow.com/visionconference

11.30am: Q&A Interview with His Excellency Helal Saeed AlMarri, Director General of the Department of Tourism & Commerce Marketing

th

29

September

1.00pm: Widening the Tourism Offering panel debate — MUST ATTEND 2.30pm: Exclusive Keynote presentation by Steven Miller, FAIA RIBA Visit founding sponsors of The Leisure Show 3.15pm: New Tourism Trends & New Business Opportunities event Visit Well-Tech Hotel Room of the Future feature area

30th September

Strategic Partner

Gold Sponsor

Official Media Partners www.cpidubai.com

News and analysis for the Middle East’s hospitality professionals

12.15pm: Hotel Revenue Management insight event with Ernst & Young looking at industry pipeline for 2014 1.45pm: All Eyes on Africa — MUST ATTEND event for investors & developers Meeting in luxury Architects, Investors and Developers lounge by Greenline Interiors 4.00pm: Panel discussion looking at how hotels have reduced food wastage during the Holy month 5:15pm: Innovation case study presentation on making destinations more sustainable 6.30pm: End of exhibition Official Knowledge Partners

Official Recruitment Partner

Vision Conference Associate Sponsor

DTCM NEWS

Number crunch: Dubai’s H1 Tourism figures KEY FIGURES

5.5m VISITORS TO DUBAI H1, 2013

11% YOY VISITOR NUMBER INCREASE

16

NEW HOETLS OPENED SINCE JUNE 2012

Last month Hospitality Business published DTCM’s H1 visitor statistics for Dubai, showing that 5.5m visitors descended on the Emirate in the first half of the year. Here are the numbers in full with commentary from some of DTCM’s biggest strategic partners.

M

ore than 5.5m tourists visited Dubai in the first half of 2013, representing an 11.1% year-on-year rise and indicating that Dubai is on the way to achieving its Tourism Vision for 2020.

The first half visitor number results, released by Dubai’s Department of Tourism and Commerce Marketing (DTCM), show increases across all key indicators, including hotel establishment guests, hotel and hotel apartment revenues, room occupancy and average length of stay.

Guest numbers across all hotel establishments (hotels and hotel apartments) in the first half of the year reached 5,583,379, an 11.1% increase on the 5,027,223 in the first half of 2012.

Dubai’s top 10 tourism source markets remained the same as those for the first half of 2012, with some slight changes in positioning, and reflect the diversity of visitors who are attracted to the city.

Saudi Arabia, India, UK, USA, Russia,

5484 ROOMS ADDED TO DUBAI STOCK

H2, 2012

84.6% AVERAGE OCCUPANCY H1, 2013

10 / HOSPITALITY BUSINESS MIDDLE EAST

Germany, Kuwait, Oman, China and Iran made up the top ten for January to June 2013.

The occupancy rate for hotel rooms and hotel apartments saw steady growth during the first half of the year. Hotel room occupancy averaged 84.6% over the six month period, up 2.8% from 81.8% in the first half of 2012, while the occupancy rate for hotel apartments was 85.8%, up 6.5% from 79.3% in H1 2012.

This increase in occupancy gains greater significance when viewed against a backdrop of the increased availability of hotel rooms – 16 new hotel establishments have opened since June 2012, bringing the number of establishments to 603 and adding 5,484 rooms to the Emirate’s offer, which now totals 81,492: a 7.2% increase since the end of H1 2012. Hotel openings during this period included the JW Marriott Marquis, Oberoi Hotel Dubai, and JA Ocean View Hotel, all of which broaden Dubai’s hotel offering.

His Excellency Helal Saeed Almarri, Director-General of DTCM commented: “The figures for the first half of 2013 are extremely encouraging and indicate that we are on the way to achieving our Tourism Vision for 2020. Our strategy is to position Dubai as a foremost destination for both leisure and business travellers by continuously evolving our broad and diverse tourism offering, and attracting visitors from a range of source markets, including targeting a new generation of first-time travellers from emerging markets.

The increase in visitors from each of our key source markets is particularly encouraging, with a number of these markets showing particularly strong growth, including the GCC countries, China, India, Australia and many countries in Europe.”

SEPTEMBER 2013

DUBAI’S TOP SOURCE MARKETS – HOTEL ESTABLISHMENT (HOTELS AND HOTEL APARTMENTS) GUESTS FIRST HALF 2013 Rank

Nationality

Total Guests

1

Saudi Arabia

710,472

2

India

463,175

3

UK

376,155

4

USA

253,979

5

Russia

226,164

6

Germany

177,767

7

Kuwait

170,377

8

Oman

144,525

9

China

143,619

10

Iran

128,948

11

Pakistan

127,358

12

Egypt

113,031

13

Australia

111,383

14

France

101,571

15

Qatar

87,205

16

Italy

66,627

17

Jordan

62,976

18

Philippines

61,393

19

Lebanon

58,413

20

Netherlands

51,751

DTCM at The Hotel Show DTCM is a strategic partner of The Hotel Show and will be leading a number of sessions during the three day Vision Conference. For more details visit www.thehotelshow.com

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DTCM NEWS

His Excellency Mohamed Alabbar, Chairman of the Dubai Events Council “At the current pace, Dubai is not only set to achieve the 20 million tourist milestone sooner than projected, but the growth in tourism also energises key sectors including retail, aviation and hospitality, thus driving the overall economy.

Reaching out to new markets, led by increased airline connectivity and providing visitors even more rewarding lifestyle.”

Ahmed Alkhaja Senior Vice President – Venues, DWTC “In the near future DWTC is set to expand with the re-launch of the Dubai Trade Centre District, a 146,000 square metre site between the current Dubai International Convention and Exhibition Centre and Emirates Towers that is designed to deliver a highly efficient business, commercial and retail environment, with cutting-edge infrastructure. We are also in the process of finalising plans to build the city’s largest indoor live events arena and extend the existing convention centre to host larger events and conferences.

This new venue will be connected to the existing venue and meet the growing demand for events and conference space in Dubai. It will be operational in 2015.”

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V % Change

H1 2013

AVERAGE LENGTH OF STAY (IN DAYS)

ROOM REVENUE (‘000’ AED)

OTHER REVENUE (‘000’ AED)

TOTAL REVENUE (‘000’ AED)

V 2.7%

TOTAL OPERATING HOTEL/HOTEL APARTMENTS

V 7.2%

81,492 76,008

V 18.6%

603 587

V 19.8%

11,615,945 9,797,283

NUMBER OF GUEST NIGHTS

V 17.8%

4,498,832 3,754,022

21,715,848 19,209,037

NEW GUEST ARRIVALS

V 1.8%

7,117,113 6,043,261

V 13.1%

3.89 3.82

V 11.1%

5,583,379 5,027,223

DUBAI HOTEL ESTABLISHMENT (HOTELS AND HOTEL APARTMENTS) GUESTS Sheikh Majid Al Mulla Senior Vice President, Commercial Operations (Gulf, Middle East & Iran), Emirates “It’s shaping up to be another exciting year for Emirates. Buoyed by last year’s group profit of AED 3.1 billion (US$ 845 million), we are optimistic that our continuing expansion, along with massive investment in our products and services, will reap positive benefits.

“2013 has also seen the opening in Dubai of Concourse A, the world’s first purpose-built A380 concourse, a true industry leading facility for all who pass through. Concourse A provides much needed capacity for our growing fleet, now in excess of 200 aircraft and reaching 134 destinations in 76 countries.”

TOTAL HOTEL ROOMS & HOTEL APARTMENTS AVAILABLE

H1 2012

MONTH BY MONTH ANALYSIS OF HOTEL ESTABLISHMENT (HOTELS AND HOTEL APARTMENTS) GUESTS BY REGION Regional Nationality

January

February

March

April

May

June

Total

Arabs

362,852

328,189

355,664

327,829

344,035

432,428

2,150,996

Far East Asia

58,138

69,556

57,437

58,552

60,121

56,671

360,473

South Asia

147,348

126,328

131,318

116,913

132,932

140,270

795,108

Australasia & the Pacific

18,836

13,064

14,064

22,790

29,098

33,350

131,202

East Africa

14,361

10,580

13,964

14,064

14,711

15,227

82,907

South Africa

10,993

4,869

6,095

6,271

5,241

5,665

39,134

Other Africa

25,940

23,850

27,175

26,273

26,751

26,583

156,572

Europe

275,337

270,887

299,539

265,848

228,543

165,493

1,505,646

North Americas

53,426

47,152

54,717

50,247

49,595

45,137

300,274

Latin and South America

10,964

11,039

9,025

10,940

10,094

9,004

61,066

978,195

905,514

968,998

899,727

901,121

929,828

5,583,379

SEPTEMBER 2013

HOSPITALITY BUSINESS MIDDLE EAST / 11

DATA WATCH

Data watch

Global hotel performance data, July 2013. From STR Global JULY 2013 VS JULY 2012

KEY FIGURES

69.6%

ASIA PACIFIC AVERAGE OCCUPANCY, JULY 2013

ASIA PACIFIC REVPAR

OCC% 2013

ADR 2012

2013

PERCENTAGE CHANGE FROM JULY 2012 2012

OCC

ADR

REVPAR 52.93 54.26

69.6

69.4

116.36

122.77

0.3

-5.2

-5.0

2013

2012

AMERICAS

71.0%

AMERICAS AVERAGE OCCUPANCY, JULY 2013

REVPAR

OCC%

ADR

PERCENTAGE CHANGE FROM JULY 2012

2013

2012

2013

2012

OCC

ADR

REVPAR

71.0

69.8

114.07

109.94

1.7

3.8

5.5

52.91 48.87 2013

2012

EUROPE

73.5%

EUROPE AVERAGE OCCUPANCY, JULY 2013

REVPAR

OCC%

ADR

PERCENTAGE CHANGE FROM JULY 2012

2013

2012

2013

2012

OCC

ADR

REVPAR

73.5

71.8

135.70

132.94

2.3

2.1

4.5

65.14 60.75 2013

2012

MIDDLE EAST / AFRICA

49.0%

MEA AVERAGE OCCUPANCY, JULY 2013

REVPAR

OCC% 2013

ADR 2012

2013

PERCENTAGE CHANGE FROM JULY 2012 2012

OCC

ADR

REVPAR 47.29 50.40

49.0

56.6

12 / HOSPITALITY BUSINESS MIDDLE EAST

147.82

SEPTEMBER 2013

139.95

-13.5

5.6

-8.6

2013

2012

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DATA WATCH

YTD July 2013 RevPAR

YTD July 2013 % Change

120

6 5 4 3 2 1 0 -1 -2 -3 -4

100 80 60 40 20 0

ASIA PACIFIC

AMERICAS

EUROPE

MENA

O OCC O ADR O REVPAR

ASIA PACIFIC AMERICAS

EUROPE

MENA

KEY FIGURES

-13.5%

MEA performance: July 2013

FALL IN AVERAGE OCCUPANCY

Ramadan and regional unrest take a toll on the Middle East market in July, with occupancy in Egypt falling to 16%. Data from STR Global

T

he Middle East/Africa region reported mixed performance results during July 2013 when reported in U.S. dollars, according to data compiled by STR Global.

The region reported a 13.5% decrease in occupancy to 49.0%, a 5.6% increase in average daily rate to $147.82 and an 8.6% decrease in revenue per available room to $72.37. “The timing of Ramadan in July, coupled with the ongoing unrest issues in the Middle East/Africa region have had a negative impact on hotel performance�, said Elizabeth Winkle, managing director of STR Global. “Northern Africa was impacted by the recent overthrow of President Morsi and violent clashes between

his supporters and opposition in Egypt; Cairo only achieved 16.6% occupancy rate this month.

However, in Africa, Cape Town and Nairobi posted positive results as these markets are not impacted by Ramadan as much as the markets in the Middle East are. For the total region, average occupancy in the region is less than 50%. However, overall year-to-date the performance in the region is still positive�.

Highlights among the region’s key markets for July 2013 include (year-over-year comparisons, all currency in U.S. dollars): t %PIB 2BUBS UP

BOE /BJSPCJ ,FOZB UP

SFQPSUFE UIF POMZ PDDVQBODZ

increases for the month. t $BJSP &HZQU GFMM JO occupancy to 16.6%, posting the largest decrease in that metric. t +FEEBI 4BVEJ "SBCJB SPTF JO "%3 UP BDIJFWJOH UIF POMZ double-digit increase in that metric. t #FJSVU -FCBOPO UP

and Sandton, South Africa, and UIF TVSSPVOEJOH BSFBT UP

SFQPSUFE UIF POMZ EPVCMF EJHJU "%3 EFDSFBTFT t +FEEBI UP BOE %PIB

UP FYQFSJFODFE UIF only RevPAR increases in July. t $BJSP GFMM JO 3FW1"3 UP $16.68, reporting the largest decrease in that metric, followed CZ #FJSVU XJUI B EFDSFBTF UP $60.73.

49.0% AVERAGE REGIONAL OCCUPANCY

16.6%

OCCUPANCY, CAIRO, EGYPT

PERFORMANCES OF KEY COUNTRIES IN JULY 2013* (ALL MONETARY UNITS IN LOCAL CURRENCY): Country

Occupancy

% change

ADR

% change

RevPAR

% change

Egypt

35.8%

-32.2%

EGP 366.24

-4.5%

EGP131.18

-35.3%

Saudi Arabia

54.1%

-16.6%

SAR 1,104.88

+35.1%

SAR598.03

+12.7%

South Africa

57.3%

-0.3%

ZAR 893.29

+9.7%

ZAR511.86

+9.4%

United Arab Emirates

49.9%

-16.3%

AED 536.55

-2.8%

AED267.60

-18.6%

-60.1% FALL IN AVERAGE OCCUPANCY, CAIRO, EGYPT

*percentages are increases/decreases for July 2013 versus July 2012

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SEPTEMBER 2013

HOSPITALITY BUSINESS MIDDLE EAST / 13

DATE WATCH

In focus: China

Forget the ‘Horseshoe Hotel’ built into a cave, or Grand Hyatt’s ‘longest laundry shoot’. Away from hare-brained tales of excess and insanity, is China’s hospitality market still booming?

I 10.5% KEY FIGURES

2010 GDP

7.8% 2012 GDP

7.5%

GDP GROWTH PREDICTED FOR 2013

58,000 IHG’S ROOM PIPELINE

120

PROPERTIES CURRENTLY OPERATED

BY STARWOOD

$102bn VALUE OF OUTBOUND CHINESE TOURISM

t’s a market many are talking about with enormous growth plans underway for the likes of Dusit, IHG and Starwood.

But according to economic commentators last month, declines in China’s economy may make for stormy waters ahead.

Says Patrick Mayock of Hotel News Now: “The country has undergone a confluence of events—ranging from government-initiated austerity measures to broader macroeconomic tremors—that has seen gross domestic product slow from 10.4% at its recent peak in 2010 to 7.8% during 2012. Economists project GDP growth of approximately 7.5% for year-end 2013.”

The conclusions paint a picture in stark contrast to that of the hotel chains currently in the midst of massive expansion operations.

Business travel volumes are down, political tensions and bird flu outbreaks are undermining leisure market confidence, and GDP is suffering at the hands of austerity measures. But as a barometer upon which to base future potential, such factors are inconclusive, when other evidence is considered.

According to the UN World Travel Organization (UNWTO), China is now the world’s number one tourism source market in terms of spending, surpassing Germany and the US. In 2012, China’s expenditure on travel abroad reached $102 bn. In bound travel growth is muted, but the domestic potential for business and leisure, combined with inbound business travellers, is staggering and translates from potential to bottomline, as demonstrated by the

14 / HOSPITALITY BUSINESS MIDDLE EAST

SEPTEMBER 2013

country’s largest operators and owners. IHG, the largest and longest established international operator in China, has hotels in more than 100 cities, operating a combined 63,000 rooms: Its pipeline comprises 58,000 rooms.

Starwood will open 20 new hotels this year, having already doubled its footprint in the last three years. In total Starwood currently operates 120 properties, with more than 100 in its longterm pipeline.

President and CEO Frits van Paasschen, says: “We continue to view China as a once-in-a-lifetime opportunity for our business.

“Whether it’s growing our hotel footprint as part of the country’s massive infrastructure development, or aggressively building our loyalty programme in the world’s fastest growing domestic and outbound travel market, we are focused on taking every advantage of our important first-mover position in China.”

While no economy is immune to the effects of its own output or other global factors, in a country so big an island like Hainon can be the world’s most visited destination due to the volume of domestic tourism alone, it seems negativity in recent figures are a mere anomaly. For now.

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Copyright 2013 © Infor. www.infor.com. All rights reserved.

VP SPOTLIGHT

UPWARDS AND EASTWARDS In the newly created role of COO, David Shackleton has been tasked with reinforcing Dusit’s growth, capabilities and profit performance, during its ‘year of expansion.’ Speaking exclusive to Hospitality Business, he shares the ambitions for the chain beyond 2013

W

hile many hotel chains are expanding their portfolios, few put a name on their growth drives, yet that’s exactly what Dusit has done with its ‘year of expansion’. It may sound like a grand initiative, but for recently appointed COO David Shackleton the focus is already far beyond year end.

Announced at ITB and promoted heavily at ATM, the ‘year of expansion’ goals are clear: The company has upwards of seven properties scheduled to open over the next 12 months and a further 16 projects in the development pipeline.

The focus is on the Middle East and Asia, particularly China, a market Shackleton is well versed on, having driven IHG’s aggressive expansions in his previous role as the company’s VP of operations.

The Chinese pipeline is based on a JV that saw the creation of the Dusit

16 / HOSPITALITY BUSINESS MIDDLE EAST

It’s a tough market, but we have found a niche within it and we can manage hotels successfully

SEPTEMBER 2013

Fudu Hotel Management Company, Ltd., earlier in 2013; a partnership between Dusit International and local partner Changzhou Qiao Yu Group.

Within three years, 30 properties will be developed across Hainan, Changzhou, Qingdao, Qingyuan, Lingshui, Shenyang, Kunming, Chengdu, Chongqing, Shanghai, Xiamen, Fuzhou, Suzhou and Shaoxing.

Elsewhere, Dusit International has signed a management contract for its ‘contemporary’ brand D2 in Nairobi, the first sub-Sahara African property; has opened its first property in Abu Dhabi and will follow this with a second before 2013 end. Other recent announcements have covered a second property in Dubai, and expansions to Qatar and Saudi Arabia.

On its native Thai soil, a 79 room D2 hotel will open in Khao Yai, Q4 2014. In the neighbouring Philippines, where Shackleton reports a “great deal

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VP SPOTLIGHT S O G T

of opportunity”, two D2 sites will be confirmed before year end. nd.

In short, five years from m now, Dusit will own and manage more ore than t 50 hotels in popular destinations ations across acr cros osss four continents.

Of the driving factors underpinning this period of rapid growth, wth, following years of relatively dormant ant business activity, Shackleton observes: erves: “In terms of operations, we are seeing the emergence and strength ngth of the Chinese market. Certainly nly globally, lobally, in i the markets we operate we are seeing the Chinese consumer becoming ecoming a number one traveller.

“In Dubai, where we have one of h our top two performing proper properties, we will continue to see business consolidating. The GCC has become a major player in n this rity region, driven by insecurity nd its in established markets and eder proximity to so many feeder ment markets, and the government d on in here is also very switched terms of their alliances, so that ings.” will continue to drive things.

INVESTORS IN PEOPLE

Dusit Thani AUH.

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It’s not just geographicall markets that Dusit will look to move into. With the launch of its D2 brand, Dusit usit is also now positioned to o provide provide a contemporary offering to o th th 25 – 4455 the age group; while also casting sting stin ing a closer close l eye on trends in businesss ttrav travellers, ravellers, l llers, particularly the female business busine bu guest, who is much written ten about bout bo ut but seldom catered to, according ccording cc cording ng to to Shackleton.

“The property in Dubai’s Business Bay is a great example of what we’re doing, because we have the leisure guest who stays for proximity to Dubai Mall and the business traveller who stays for proximity to DIFC. That model, of catering to wider markets based on location, is interesting for us moving forward,” he comments, adding that regardless, there is still demand – globally – for mid-market offerings.

“The development of our D2 brand hits that area. Currently, looking at

DAVID SHACKLETON Appointed in 2012, David Shackleton is responsible for helping to reinforce Dusit International’s growth, capabilities and profit performance. Shackleton started his hotel management career in London before moving to Canada with Westin Hotels and Resorts. He subsequently worked in senior management as VP with Starwood Hotels and Resorts in America, Singapore, South Africa, Korea, Thailand and Australia, leaving the company as SVP in 2005.

His most recent position was as VP of operations, East China, for the InterContinental Hotel Group, based in Shanghai.

SEPTEMBER 2013

HOSPITALITY BUSINESS MIDDLE EAST / 17

VP SPOTLIGHT

our portfolio 85% of our properties are Dusti Thani, but when we look at our pipeline it’s probably about 50/50, with perhaps a little more sway towards D2,” he adds, describing the new generation hotels as the alternative to the conservative Thani, but with the same split focus.

Building on the human element of the chain’s business plans, HR is highly prioritised by Shackleton, who joined while Dusit Thani Dubai was in the process of being awarded a Silver accreditation from Investors In People (IIP) – the first hotel in the Middle East and Asia to gain such recognition. In its own Employer Satisfaction Surveys, the company scored 10 points above the industry average.

Reporting that up to 40 GMs could be needed to staff short term openings, a number of senior management personnel have recently joined the team, including a VP of operations and business development specialists.

These include Ryan Chen, assistant director of development for Southeast Asia; Andrew Shaw, director of development for the Middle East (based in Dubai); Sunil Mathur, vice president of South Asia (based in New Delhi); and Edmond Hui, director of technical services, Greater China.

Dusit International CEO, Chanin Donavani, was quoted as saying: “Our newly appointed senior team bring immeasurable value to the company during this critical growth phase and I could not be more pleased to have this high performing team in place.”

The demand however, especially from owners, is for Dusit chain GMs to be appointed to run their properties. It’s a trend Shackleton cites as being “one of the most common” owner requests, and it’s something the company will have to focus on, considering turnover, expansion and demand, for the next five years.

SHARED GOAL Bringing with him a lifetime of

18 / HOSPITALITY BUSINESS MIDDLE EAST

AT A GLANCE

Dusit D2, Binhu.

CHINA GROWTH Within three years, 30 properties will be developed across key Chinese markets: t Hainan t Changzhou t Qingdao t Qingyuan t Lingshui t Shenyang t Kunming t Chengdu t Chongqing t Shanghai t Xiamen t Fuzhou t Suzhou t Shaoxing

Currently, looking at our portfolio 85% of our properties are Dusti Thani, but when we look at our pipeline it’s probably about 50/50, with perhaps a little more sway towards to D2 brand SEPTEMBER 2013

processes and people in place to achieve a goal is the biggest challenge and the most important factor.

“I came from an organisation that was opening up to 45 hotels a year in China, and that was a success because we had systems in place.

But the biggest challenge in China – which is the biggest challenge to any hotelier anywhere – was still getting the right people and the right amount of training,” Yet with a newly achieved, and accredited, track record, that shouldn’t pose too much difficulty in this instance.

Dusit Residence and Suites Doha, Qatar.

BRAND BUILDING

knowledge from Starwood and IHG across global markets from the US to Korea, Shackleton describes his management style as one of “trust and high expectations”.

“We pay our GMs to do a job and we pay them well, with a certain direction and clear and communicated expectations and reinforced goals. My role is to get out of the way and let them do it. I can give guidance and ideas, but the GMs are the ones who are responsible,” he states.

But managing day to day operations and overseeing expansions at Dusit’s current scale, requires very different skill sets.

Sharing the principles he works to, Shackleton adds: “Having the systems,

Whether success to date has been hinged on the strength of property locations, Dusit’s grasp on its market niche, or the old adage “look after your staff and they will look after your guests”, for now, all indicators point towards a bright – if not busy – future. One of enviable staff turnover and satisfaction; high performance in respective competitor sets; and a new management team at the helm.

Shackleton concludes: “We will continue to do what we’re doing and fully establish what we do, here in the Middle East, building the brand and getting that reputation out there.

It’s a tough market, but we have found a niche within it and we can manage hotels successfully.”

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Auberge Discovery Bay | Hong Kong 2013

… W H E R E T H E S T Y L I S H , I N N OVAT I V E D E S I G N IS BORN OUT OF THE CRAFTSMANSHIP O F W H O L E G E N E R AT I O N S O F G L A SS M A K E R S

PRECIOSA GULF FZCO JAFZA View LB 19, Office 2407 Jebel Ali Free Zone, P. O. Box 18185 Dubai, United Arab Emirates P + 971 4 884 8234 P + 971 4 884 8235 E sales@gulf.preciosa.com

www.preciosalighting.com

ROUNDTABLE

L-R: Husam Malki, EAM, Amwaj Rotana, Negussie Tedela, purchasing manager, Movenpick, Nitin Malik, Warps & Wefts LLC , Fadi Assaf, commercial manager, Buro 45, Chaminda Siriwardane, outlet/ bar manager, Radisson Blu Media City, Omar Nakkash, business development manager, Nakkash Gallery, Samer El Achkar, managing partner, Buro 45, Anthony Gus, VP international sales Casualife.

THE PRICE IS

20 / HOSPITALITY BUSINESS MIDDLE EAST

SEPTEMBER 2013

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ROUNDTABLE

A disposable purchasing culture, immobile budgets and lack of market education are causing problems for both hoteliers and suppliers. But how can the procurement of outdoor furniture be streamlined to create savings on both sides of the equation?

Hospitality Business investigates

What is the most significant client demand in the procurement of outdoor furniture?

Anthony Gus: Whoever sets budgets

WRONG cpimediagroup.com

is buying on price and the issue is the same everywhere. When you buy by price you should put money away for insurance, but when you add the insurance to the price, you may as well have bought the better product to start with. If you are looking for value for money, that’s what the budget should be set around, rather than that being the budget per se. On the flip side we are developing specific Gulf products that work well in this market, such as umbrellas. There are some dominant players in that market but we are looking at user feedback to improve the product. So it’s budget but, on the flip side, how can we manufacture and supply better.

Omar Nakkash: The market demands are so diverse and what clients look for is zero maintenance, durability in local weather conditions and delivery time, but other than the budget, the problem is transparency in the beginning of a project.

There is a 5-star hotel with a five star spec, but they say their budget is closer to what you would expect from a 2-star.

They are asking for made in Italy quality with made in China prices. The outdoor is secondary to indoor budgets, so once you get to that area they are very tight.

The one thing that causes the biggest problem is the chain of command. The designer is the one to approach us and they understand quality and value for money, but the decision maker looks at the bottom line. So we do question, especially for the 5-stars, if that’s the

SEPTEMBER 2013

attitude towards purchasing what are the values and image objectives in purchasing?

Nitin Malik: Basically, they look at the quality furniture but buy the lower priced alternative with a mentality that if it lasts six months it’s ok.

They can put something in storage and wash it off to use again, but the mentality is short term, not long.

The comparison with the local market and the availability of cheap furniture is a problem.

Fadi Asaf?: It’s the nature of the beast and it becomes worse when the economy is weak. In addition to the other difficulties, more clients expect delivery in three weeks. Unfortunately we have to bite the bullet, but it would help if managers and designers could know exactly what is required and when. We face the same problems with the demand for cut price yet quality. Everybody is a designer, talking about ergonomics and a conscious purchaser, talking about ISO certification, then suddenly, “I can’t afford it”.

Samer El Achkar: There is lack of awareness of the production time for outdoor furniture. The durability and individuality mean the manufacturing processes are longer, even the mesh and umbrella fabric takes more time because of the strength and quality required. It’s not mass production.

The common thread is budgets, quality and lead times, so what do the hoteliers say?

Negussie Tedela: I look at it in two ways. When we open a hotel for the first time, the management and owners decide how much to allocate

HOSPITALITY BUSINESS MIDDLE EAST / 21

ROUNDTABLE

L-R: Omar Nakkash, Nitin Malik and Fadi Assaf. Below: Samer El Achkar. to each outlet and then we have to work within that budget consignment, and you have to re-work within that, liaising with a procurement company and designer.

The second is the reordering. So currently we have a set number of sun loungers and side tables for our poolside area. When we put this requirement to the owning company we need to justify the ROI on the purchase and if we’re buying more than the previous order, why and how much more money will this help generate.

Chaminda Siriwardane: We speak to a supplier and they ask our budget, which is a difficult question to answer.

Over the last eight years I have had suppliers who fit products to our budget that didn’t work. The other thing is delivery time – 90 days is a long time. Repairs and spare parts are also challenges right now.

Husam Malki: We work in advance to budget for next year’s purchasing and divide the total budget into quarters depending on seasonality

22 / HOSPITALITY BUSINESS MIDDLE EAST

Approach hotels at the end of the year and find out their specifications for the following year

and when we need the products. We work from samples and we buy what we can. But for other items that are unbudgeted and bought on the spot, we don’t have the privilege to wait a month for a sample. Other than that, atmospheric conditions pose challenges, as well as storage space,

SEPTEMBER 2013

when we want to rotate furniture sets between quarters. As long as something is working it stays, but if we change the concept of a restaurant everything is changed.

Every management company is liable towards their owners to manage and maintain that properly to get what we can out of it for as long as possible.

My advice to furniture companies is to approach hotels at the end of the year and find out their specifications for the following year.

AG: We run our own factory and have completed one project, from manufacture in China to delivery via air freight in Dubai, within three weeks, with the client paying air freight.

But the real issue is that hotel was under construction for years before we were on the project, but outdoor furniture was left until less than a month before opening.

And with regards to storage, if you are buying high quality Gulf Spec furniture, it is designed to be outside

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Casualife outdoor furniture Proud to be the supplier to many 5 star projects in the Gulf

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ROUNDTABLE

for five to seven years. We supplied Madinat Jumeirah almost a decade ago with Teak wood furniture and despite being outside all that time it still looks good.

L-R: Husam Malki, Omar Nakkash, Nitin Malik and Fadi Assaf.

Is this an issue of education?

AG: Gulf Spec and local market peculiarities make things more challenging and it’s more a system of trust. How can we get the purchasers to understand that we are experts in what we do? I know the composition of every element of the pieces we sell but I couldn’t run a hotel, so let us do what we are good at.

It’s probably our fault as marketers for not explaining things well enough but when we can’t even know how much budget there is to work with, it’s difficult to even have the conversations.

ON: You think about the CAPEX a year before but it’s only normal that we ask the budget question. Suppliers do what they can to work within client specs and not lose a project. If we work together and establish that

24 / HOSPITALITY BUSINESS MIDDLE EAST

That hotel was under construction for years before we were on the project, but outdoor furniture was left until less than a month before opening

SEPTEMBER 2013

transparency it’s a win-win. How else can we meet your needs?

HM: A purchasing manager can never be an expert in every single product they have to buy, from chairs to table cloths.

FA: We promote our products to their best in order for the people who have a million other things to worry about, to have a less stressful time.

NT: I know which department needs what and when, so I fix the price. I know how many units I need and I know what I paid last year. As a basic rule in business, I am not going to tell any supplier who approaches me, what my budget is. We are talking CAPEX for the entire project. That number will go to the owners and they sign off the whole budget. What I will do is send the full specifications to suppliers, rather than the budget, and see who comes back to me with the closest price to what is allocated.

The term ‘value for money’ comes up a lot, but there appears to be a disparity in how

it is used. How would you each define it?

HM: For me it is paying the right amount for a product you need to last you an amount of time, while meeting its purpose.

ON: Obviously the ratio between quality and price, but also in terms of longevity and in terms of design, because that changes every few years with the less timeless pieces. But the definition for this question between all the people in the decision making process varies wildly.

NM: Take the best product from the top 10 companies in the world and from there the cheapest price.

FA: You can look at the people behind the design, its purpose, its quality, and the duration you want it to last, whether that be one year or 10.

There are many different equations, as well as the seller and the buyer relationship, that impact on the value for money. There are too many formulas to consider.

SA: Price, design, quality. And always remember, half quality isn’t half price.

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ROUNDTABLE

CS: It’s that you pay the right amount for the right product, which depends on building trust and confidence AG: Purpose is a very important issue, and part of that is product lifecycle and refurbishment cycles.

Other elements might be payment terms, which again is about trust.

The response will always be “we don’t have budget” not “can we talk payment terms?” Think how useful room nights in a hotel would be for an international company – think laterally!

NT: As a buyer it’s getting a specific product for the price we want. Finding the right supplier is part of this, but secondary compared to budget.

FA: In addition to the other elements, it’s no good buying the best product if the supplier is sloppy on the phone, delivery is late and client service is lacking.

AG: The availability of spare parts when

26 / HOSPITALITY BUSINESS MIDDLE EAST

something goes wrong, is important.

There are a lot of traders in the market who pick up a product, drop it off, and there is no warranty.

SA: It’s even more important for the supplier to buy an additional one or two pieces to send to a client, should something go wrong and they can’t wait three weeks for a replacement to be shipped.

L-R: Chaminda Siriwardane, Anthony Gus and Negussie Tedela.

How much do products in other hotels influence your buying choices?

NT: A lot. You are always looking at things you see, especially when they look good. So sometimes I’ll take a picture and we will show it to the management and consider it next time.

If you see a product you know has been there long term, still looks good, but you know it costs much more than your budget, how does that influence your decision?

NT: You need to look at it in two

SEPTEMBER 2013

It’s about prioritising – don’t forget about guest satisfaction

ways. Firstly, looking good in one respect is not an automatic match to other design elements in your space.

Secondly, we take into consideration the volume of the order and propose it to the decision makers.

HM: You also have to look at the value the other model will add to the model that you already have. For us, if budgets go above, yes there is a margin to be flexible, but if you need a comfortable product that you want, if you see a benefit, sometimes you have to make that decision. It’s about prioritising – don’t forget about guest satisfaction.

AG: We have seen hotels replacing products that are relatively new, but by no means cheap, because they are not Gulf Spec. In those cases you have to ask, what’s their CAPEX? Perhaps if something has a longer lifetime and you spend more money on that but you can save money elsewhere it may

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DESIGN TE CHNOLOGY PROJECTS

BURO45

ROUNDTABLE

be worth revising plans to justify a price higher than what was budgeted for.

HM: For example ovens, we pay big money because we know they will be there for 10 years. We won’t do that with a sun lounger because we know that in two years we will change the entire concept of the swimming pool.

AG: How influential is the relationship between the owner and operator when it comes to purchasing?

CS: We at Radisson Blu have our management, Rezidor, on one side, and the property owner on the other.

So if they really want to buy furniture it has to come from both parties.

SA: We have worked with owners with no input from the management companies apart from the colour scheme.

HM: The best situation is when the operator owns the building, so you are speaking to the same person.

SA: Even with the budgets, initially you are dealing with the sales department, not the owner, and they want to squeeze the prices.

FA: We worked a lot previously with Foster and Partner in the design phases of projects and they were very specific in what was needed in order to bid, but you knew exactly what was needed in order to work with them. So when you present them with a quotation you are confident that the transparency in your prices is understood, because they understand what they are buying.

NT: From a supplier point of view a quote may be a difference of AED30, but as a buyer when I am trying to save, that is a lot of money to pay.

Imagine you are the owner, are you going to pay AED30 over 500 products?

AG: When I offer a quotation price it’s likely I’ll be asked for a discount because the procurement manager wants to look good in front of the GM. It’s frustrating and it encourages the inflation of margins so they can appear to take something away.

28 / HOSPITALITY BUSINESS MIDDLE EAST

HM: Very few times will a GM press

Very few times will a GM press for a discount because they have to trust that the price on the table is the best price available

SEPTEMBER 2013

for a discount because they have to trust that the price on the table is the best price available. They cannot micro-manage every element of what goes on in a hotel.

On the flip side, it does happen that something specific may be needed and the procurement manager comes back saying ‘but I got this one for AED10’. It’s all about specs.

NT: As a buyer I go back to my trusted suppliers. If you are transparent and open for discussion it is easier to negotiate what you need. That is my job. It’s not about looking good to a particular person, but about being good at what you do.

Based on what has been discussed, can you see any ways to improve how hospitality works with its suppliers?

AG: If we could find out when you are building a hotel we can know what to market to you and when and the efficiency in our production facilities would allow me to guarantee you absolute best cost and on time delivery. Not only would we have notice, but that eliminates the peaks and troughs in our business. Perhaps it would be beneficial to enter into

some kind of partnership to give notice on this.

HM: But you have to understand that we as management companies cannot force a supplier on an owner.

It would be best to go into existing hotels, one on one, and know when they will update F&B outlets or leisure facilities.

ON: Do hoteliers believe it is really beneficial to continue tender how they do, when really you mean to say ‘send me your cheapest product’? We realise it isn’t good commercial sense to reveal your budget, but what is the solution?

HM: It also depends on the project.

If you are just buying chairs there will be a budget but there will be an idea of what is needed also. For a restaurant we could budget AED1m for a refurb but things go wrong so we have to be careful in what we spend.

ON: But with transparency you minimise the risk of something going wrong.

Hospitality Business would like to thank Amwaj Rotana for hosting this discussion in their business lounge and outdoor area at Benihana and Rosso, JBR.

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COVER STORY

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COVER STORY

GAINING MOMENTUM Amine Moukarzel Phd, president of Golden Tulip Hotels, explains why selling 3-star brands to a 5-star market is starting to pay dividends

I

n the world of hospitality business, few can say they established a brand singlehanded, managing its growth and affiliations to the point where it’s now part of a group that is the eighth largest hotel operations company in the world. Even fewer can lay claim to achieving this when the brand in question is far from aligned with what the market presently appears to dictate.

For current president of Golden Tulip MENA, the Cornell educated Amine Moukarzel Phd, the ability to do this – it should be added, over little more than 12 years – is down to one thing, CRM. Explained by Moukarzel as “customer relation management”, the key difference in this story is that the customers in question are not the hotel’s guests, but their owners.

Generally painted as a clique of isolated and reclusive billionaires, the secretive world of owner relations is seldom discussed, especially by their

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We prove to owners that we can make them money.

Just as much money, if not more in some areas

business partners, let alone with the media. But channelling a degree of charm that depends on equal parts genius and audacity, Moukarzel essentially sells 3-star brands to a 5-star market.

Reminding potential business partners that the world is changing, growth going forward is rooted in the fact that expanding markets will require an expanded clientele in order to reach their tourism goals.

On Golden Tulip’s short-term radar

are the needs of the single traveller of both sexes; large groups requiring an apartment or suite in the mid-budget range; and a large proportion of the visitors who are set to descend on the region for international events, between now and 2022.

“We prove to owners that we can make them money. Just as much money, if not more in some areas.

How do we do that? You cannot build a budget hotel of 400 rooms with extensive facilities because it is

AMINE MOUKARZEL The man behind Golden Tulip, Amine Moukarzel, is a Lebanese-born hotelier, who moved to the UAE 33 years ago. Educated at Cornell University and Holiday Inn Memphis University, he also holds a Phd from the Kennedy Western California University. Before establishing Golden Tulip 12 years ago, Moukarzel worked for Al Fahim Group in realty

SEPTEMBER 2013

and hospitality and developed the Crown Plaza and International Hotel brands. He is also the founder and owner of Flamingo Hotel Management and author of “Bites and Pieces”, as well as a number of hospitality management and franchising articles. Commenting on his career, he says: “The motivation that comes with achievement pays dividends.”

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COVER STORY

expensive to operate by nature. So we provide great beds, high-tech rooms, high standards of sanitisation and great food, without going to expensive lengths,” Moukarzel asserts. “With this diversification into the mid-market, ROI is higher than in any other strand of hospitality or tourism. It is faster, it is better yielding; you don’t spend $500,000 per room you spend $50,000 and the return is quicker,” he adds.

CHANGING DYNAMICS Industry-wide, EMEA hospitality investments are set to top $11bn this year, says the Jones Lang La’Salle Hotel Investment Outlook, with midmarket performance up 15.3% for H1 2013, in both the corporate and leisure sectors, says STR Global. STR data also shows mid-market RevPAR currently stands at $75.68 and occupancy 73.9%, in the same period.

According to research by TRI, Golden Tulip leads in the number of rooms operating, within its competitive set (see graph).

“Even the automotive market is diversifying now, as well as the

With this diversification into the mid-market, ROI is higher than in any other strand of hospitality or tourism

airlines, where some carriers remove The changing dynamics are a point first class in order to provide an Moukarzel says is reflective of the ‘economy plus’ offering. We have shift in investor profiles, which has learned the same things in hospitality,” seen government and personal wealth Moukarzel clarifies. replaced with private sector financing.

In the industry, such Although challenges remain, precise growth is partly specifically concerning land underpinned by new prices in both Dubai and revenue streams from Riyadh, combining this the investor side of the business logic with an equation with, as Jones intelligent acquisitions GLOBAL SALES, 2011 Lang La’Salle explains, model – and not fearing insurance and pensions to drop old properties at a funds plugging the credit rate akin to that at which it vacuum created by traditional picks up new ones – Golden Tulip banks in 2013. is blooming.

StarFin by Starwood Capital, financier of Louvre Hotel Group, BEHIND THE NAME aims to take advantage of financing Since its acquisition in 2009, Golden opportunities by providing investors Tulip and its sister brands Royal Tulip with debt capital to help refinance and Tulip Inn have been part of the existing loans, the report states.

Louvre Group; the eighth largest hotel

€1.5bn

MID-MARKET VALUE Mid-market Operator Share, by room (1000)

2.5 2 1.5 1 0.5 0 Best Western

Rotana

Accor

IHG Millennium Rezidor Witbread Golden Tuilp & Copthorne

OPERATOR Golden Tulip Dana Bay.

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COVER STORY

19,000

guests through loyalty group in the world and programmes, is not only second largest in Europe.

EMPLOYEES a strong point to offer Louvre’s other brands owners, but it makes us leaders include Kyriad Premiere in the training and development of Classe and Campanile hotels. our people.”

The acquisition was mutually A Lebanese national who has beneficial, complementing Louvre’s 1, spent the last 33 years in the UAE, 2 and 3-star options with Tulip’s 3, 4 Moukarzel could well be judged as a and 5-stars. The partnership has also man at the top of his game. But that facilitated growth into new, and very doesn’t mean his approach is one of much still emerging markets. impassive corporate rule.

Moukarzel reports owner demand In addition to his business models for Tulip branded hotels in Bishkek, and behind-the-scenes innovations, Kyrgyzstan; Tbilisi, Georgia; and even Angola, although that particular Moukarzel is also the pioneer of smaller guest-centric touches, such as opportunity was handled via the the duty breakfast manager – briefed Paris office. to be the point of contact for business “As we speak, we have 1172 hotels guests with whom contact is limited – in 45 countries. Today you have a and the ‘trash tray’, keeping dining tables driving force behind the company tidy since the removal of ash trays. and as a result, a company that Commenting on his approach to is well established with its R&D, developing the “upscale comfort” marketing, distribution department… combination of frills and no-frills, that All the state-of-the-art facets of an defines Golden Tulip, he says: “I stay international company respecting in hotels of all stars to experience their all of the brand deliverables of local offering. Also, we train our people not companies. It means we can drive and to be just focused on their own jobs deliver standards that drive business but to learn other jobs, providing them revenues,” he says, adding: “Our with learning opportunities to grow in business relationships with OTAs the organisation.” and other third party partners, and

OPENINGS 2013

The expansion plan is not the result of only duties that you carry out in the immediate future, it’s what you build up in terms of momentum in the brand equity

DAMMAM BAGHDAD DUBAI ORAN BISHKEK KHASAB

2014 AND BEYOND ALGERIA:

Skikda, Alger, Constantine, Cheraga

TUNISIA:

Ariana

SAUDI ARABIA:

Al Ehsa

LEBANON:

Achrafieh

BAHRAIN:

Bahrain

GEORGIA:

Telavi, Tblisi, Borjomi

JORDAN:

Amman

OMAN:

Muscat

QATAR:

Doha

UAE:

Dubai

GOLDEN TULIP PIPELINE AND PORTFOLIO UAE

19 HOTELS 2257 ROOMS KSA

EGYPT

2 HOTELS 607 ROOMS TUNIS

19HOTELS 2353 ROOMS

4 HOTELS 874 ROOMS

JORDAN

LEBANON

1 HOTELS 80 ROOMS

4 HOTELS 516 ROOMS

OMAN

ALGERIA

5 HOTELS 564 ROOMS

2 HOTELS 300 ROOMS

BAHRAIN

2 HOTELS 333 ROOMS

Golden Tulip Jiyeh.

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COVER STORY

AT A GLANCE: LOUVRE HOTELS

ASIA PACIFIC:

EUROPE:

39

964

HOTELS

HOTELS

PREMIÈRE CLASSE:

248 HOTELS 17.684 ROOMS CAMPANILE:

399 HOTELS 27.595 ROOMS KYRIAD:

234 HOTELS 13.959 ROOMS NORTH/SOUTH AMERICA:

TULIP INN:

80 HOTELS 7.953 ROOMS

35

HOTELS

AFRICA:

34

GOLDEN TULIP:

MIDDLE EAST:

141 HOTELS 20.678 ROOMS

41

HOTELS

ROYAL TULIP:

HOTELS

STEPPING STONE Twelve years ago, Golden Tulip had no hotels in the UAE; today it operates 10.

While the achievements of the three Tulip brands cannot be denied, by the same token they cannot be seen as an end point. While the growth of all three Tulip brands has been strong, it is merely a stepping stone.

Currently operating across Bahrain, Jordan, Lebanon, Oman, Saudi Arabia and UAE, the pipeline for 2013 is strong and will add new properties in Lebanon, Jordan, UAE and Morocco.

In the face of ongoing regional unrest, Moukarzel continues to

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From left to right: with Abdelkrim Ramdani owner of Golden Tulip Skikda.

With Adham Al Tourah and Abdel Aziz Al obaidi, owners of Golden Tulip El Mechtel.

With Hassan Bin Hamad Bin Hassan Al Mouini owner of Tulip Inn Khasab.

11 HOTELS 2.814 ROOMS

highlight Kurdistan, “The expansion plan is Lebanon, Syria and not the result of only “definitely Egypt” – duties that you carry where four hotels out in the immediate are currently under future, it’s what you GLOBAL HOTEL STOCK OWNED negotiation – for their build up in terms AND MANAGED BY LOUVRE potential. of momentum in the HOTELS GROUP Up-scale brand Royal brand equity and what Tulip currently operates you achieve with the brand two properties, with three in strength, that takes people to the immediate pipeline and more believe in the brand,” Moukarzel earmarked for Saudi Arabia’s main says, summarising: “When people Holy cities and economic centres; believe in the brand, this gives as well as Cairo and Bahrain. The you the strength to grow further. target is 12 hotels in four years, Every day we have a new avenue of across the region. business to pursue.”

28%

SEPTEMBER 2013

HOSPITALITY BUSINESS MIDDLE EAST / 35

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GM PROFILE

EXPO On the homerun to the Expo2020 announcement, Hospitality Business speaks to one of the Emirate’s GMs who has been through it all before: Peter Mansourian, Grand Millennium

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GM PROFILE

T

he last 12 months has seen Expo fever hit Dubai. One of five candidate cities for the 2020 fair, in preparing itself Dubai is looking to learn from as many previous host cities as possible. But one of the Emirate’s GM YTD OCCUPANCY brings knowledge to the hospitality market that few others possess.

In 1988, Peter Mansourian, currently GM of Grand Millennium Dubai, was at the helm of Hilton Brisbane; a city hotel whose ballroom Refurbished apartment at Grand Millennium, Dubai. could cater to functions with up to 1000 guests.

The theme of Expo’88 was ‘Leisure and Saudi Arabia, not to mention in the Age of Technology’ and the city Khartoum, Bali and the UAE. Naming welcomed 15.7m visitors, according the opening of a 900 room property to official figures. Hilton Brisbane ran in Jakarta as his most demanding at 100% occupancy for the duration position to date, he says that the of the fair and, in Mansourian’s own experience of the Dubai market is words, the city needed to “build something that cannot be matched. rooms overnight”.

Speaking of the growth he Referring to what he termed an witnessed firsthand between trips in amazing experience, he recalls: “The 2002 and 2008, he adds: “I returned hotel was making gold in terms of and I was speechless. Hotels grow like RevPAR. People were taking rooms mushrooms here, but although the without even looking at the rate. market is getting bigger and bigger, There is no doubt the effect in Dubai there is still a piece for everybody, and would be the same, which would that’s how the growth works.” be phenomenal for the city, as only one hotel has ever achieved 100% NEW LOOK occupancy for a continued period, Grand Millennium’s piece of that and that was Taj Palace, for 45 days.” market has secured an 80% occupancy “The leadership of Dubai has driven YTD, and in keeping hold of its success to date, so imagine hosting its slice, will this month Expo2020, as well,” he adds. unveil an extensive – not While his career began in to mention expensive, Melbourne, Australia in the1970s, with budgets reportedly in VISITORS AT EXPO’88 Mansourian has run hotels in the realms of “millions of Indonesia, New Zealand, Sri Lanka dirhams” – refurbishment of both public, guest and F&B areas.

The refurbishment, only five years since the last overhaul of EXPO 2020 CANDIDATE CITIES the apartments, is something that couldn’t have been achieved without Dubai, UAE the collaborative attitude of the Sao Paulo, Brazil hotel’s owners.

Izmir, Turkey The project, while kept closely Ekaterinburg, Russia under guard for now, will be partly Ayutthaya, Thailand – bid removed on unveiled this month, when the 90 June 11, 2013 apartments and lobby spot Crystal

80%

Competing in this market requires you to be the best in every area

15.7m

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GM PROFILE

The team celebrates four recent awards from WTM, MENA Travel Awards and TripAdvisor. This year the hotel has been named: Dubai’s Leading Luxury City Hotel; Best Price Value Hotel (platinum); Best Fine Dining (Toshi. Gold); Best Spa (Jasmine Spa. Silver); and has received the TripAdvisor Certificate of Excellence.

Such initiatives are attributed by Bar, are re-opened to the public. The Mansourian to a reportedly significant next phase will see further changes decline in staff turnover in H1, which to guest areas and the Club Lounge, has taken the property to well below with Mansourian assuring there are the infamously unofficial industry “a few things up our sleeves” in terms average of 30%. of updating the hotel’s award winning Of the guest experience element, he F&B destinations: Belgian Beer Café, adds: “We give our guests personalised The Atrium, Dante and the ever services and we look at what the popular Japanese restaurant, Toshi. competition is doing. Every guest that Speaking candidly about the walks in the front door is our guest, impact on guests, Mansourian admits regardless of who they are,” he adds. that some rates will increase, but that looking after the hotel’s top clients will remain a priority, especially in COMPANY GROWTH the extended stay segment, which Beyond Dubai, Grand Millennium drives business in the hotel’s is growing “by the minute” suites and apartments, to across Saudi Arabia, Oman around 30% on average. and Africa, with even “Competing in this more properties due in market requires you to be Abu Dhabi and Ras Al STAFF the best in every area. The Khaimah, too. level of competition keeps But for now, Mansourian’s you on your toes, but we treat focus remains on his own our guests as our own guests, and we property, where the aim is to continue implement basic, but high quality, to drive occupancy beyond the 8% hospitality. It starts with the staff increase seen last year. And despite training. clocking up passport stamps from “We have a very good training every continent over the course of his manager who joined around six career, having spent only five years in months ago and we also use third Dubai, he isn’t ready to move on yet. parties to deliver training and “I enjoy hotels. You can put a hotel grooming courses,” he says of the 370 in the middle of nowhere and it still staff currently employed. wouldn’t be a nine to five job. It isn’t

The key thing to realise is that the city would still be in a great position in 2021

about working 16 hours a day, but every day is something different and that’s what drives me. I have a great team and staff here and the goal is to work together.”

And of Expo2020? “I would love to be here for Expo, but the key thing to realise is that the city would still be in a great position in 2021.

“Regardless of Expo coming and going, Dubai will still be a cosmopolitan city, with interesting and friendly residents. The leadership here pushes the people to achieve and works with them to make Dubai work. It’s unlimited opportunity.”

370

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Refurbished apartment lounges.

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ADVERTISING FEATURE

Set to open the third branch of Final Fix before the end of this year, founder Faten Alsarraf talks about the role of interior design in hotels, working in her native Iraq and leading the way for female contractors in the region

RE-DESIGNING BUSINESS

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ADVERTISING FEATURE

A

ccording to Faten Alsarraf, founder of Dubai-based interior design and fit out firm Final Fix, interior design is not the most important element of a hotel’s success. It’s not the stance one would expect from a design professional, but for Alsarraf, the logic is clear.

“Interior design of a hotel doesn’t sell the hotel but supports it. When you define a good hotel from a bad it’s about the standard of the hotel and the services. So our aim is to use good deign to enhance services and the operation of the building afterwards.”

Final Fix Interiors is a contracting firm specialising in full turnkey fit out and design; furnishing hotels, yachts, royal and residential properties in the UAE and beyond, from its two existing bases in Dubai and Suleimaniya, in the Kurdistan region of Iraq. Before the end of this year, Final Fix’s second branch will open in Erbil, Kurdistan, to help better serve the firm’s growing portfolio of hospitality clients in that region. It will be third branch in total following the establishment of Final Fix Dubai in 2009.

Concentrating on what happens beneath, as well as above the surface, Final Fix is one of only a handful of interoir design companies capable of aligning architectural and interior considerations, in order to truly encompass other services affecting the whole design, such as MEP and FM. With a client list that incorporates 5-star hotels and private resorts, and a heritage rooted in royal palaces and yachts, the industry experience gained over Alsarraf ’s 24 year career is somewhat unrivalled. She says: “It’s nice to have a great looking bedroom, ceiling or bathroom, but when the MEP services need repair and the whole hotel wing has to be closed down for maintenance, which the interior designer didn’t plan for, it doesn’t work. So we always consider

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Left: Moroccan Majlis for a private villa in Dubai. Right centre: Samad Restaurant in Erbil-Kurdistan and below, entrance lobby of a private palace in Abu Dhabi.

Centre below: Majlis at a private villa in Kurdistan. Far right: Bathroon at a private palace in Abu Dhabi.

the same by allowing access, most of the time invisible, to reach the services and provide the maintenance without affecting the whole operation of the building. That way, the client won’t have to demolish the designs around mechanical parts that can so easily go wrong.”

FIRST STEPS Alsarraf was born in Basrah, Iraq, in 1966 and left the family home to begin her architecture studies at Baghdad University in 1984. Recalling a challenge that was made ever more difficult by the Iraq-Iran war, she says: “It was my mother who supported me to take that step.” She graduated in 1989, a year after the war ended; a war to which Alsarraf lost her family home and mother.

Undeterred, immediately after graduation she joined the semi government contracting firm Al Fao Company. Alsarraf was assigned to work on the reconstruction of the 205m The Burj, known today as Baghdad Tower, topped out with a revolving restaurant; an expansion project at her former university, where she was appointed to head the pre-cast department; and royal palaces as well as consulting as part of

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Currently, Final Fix is engaged in projects in Erbil, Suleimaniya and Zakho, Kurdistan, adding up to a total value of $90m

a team, on other rebuilding projects.

Alsarraf went on to establish Alsarraf Engineering and Contracting in 1995 in Baghdad, a venture that by nature of client demand would eventually take her back to the classroom.

During this period, Alsarraf was the only female independent contractor in the country. The firm was appointed to do the renovation of Al Rafidein Bank in Baghdad, a 15 storey building destroyed during the war, which to this day tops the list of her favourite projects.

“It was difficult for the industry to understand a woman in her twenties would be a contractor. But I did some interesting projects over that period in Iraq and gained people’s trust. As Alsarraf Engineering began to win more work I was asked more often to work on interiors, not only the architecture.”

With only limited education in the discipline, Alsarraf embarked on a Master’s degree to enhance her knowledge and graduated in 1998.

As the security situation in Iraq worsened again, Alsarraf and her sister moved to Jordan, where she would start a new challenge in her career. Involved in work for the Royal Family of Jordan’s private residences – a business line that, more than a

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ADVERTISING FEATURE

decade later, Alsarraf now refers to as her “destiny” – it was these contacts that would set her up to move to Dubai the following year.

In 1999, Alsarraf was employed by an esteemed contractor in Dubai and, a few years later, was approached by the Engineer’s office of his highness, Sheikh Mohammed bin Rashid Al Maktoum to lead Design Division as a managing director. It was a role she held for more than four years, and an appointment described as “the turning point” in her career.

Heading a team of 600, the work incorporated the design of palaces, offices and events, giving Alsarraf the grounding to establish her own company in the Emirate. In 2009, Final Fix was born.

“I had my own business when I was in my twenties in Iraq, but you have to know the market before you can launch a business. After a few years with Design Division and after it merged with the Engineer’s Office, I reached a point where I felt it was time to do that again. Everybody said I was crazy because of the crash and recession, but I was convinced it would work. My husband stood by my side. He supported me and encouraged me to establish Final Fix.”

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ADVERTISING FEATURE

The new company’s first project was a yacht, which Alsarraf took single handed from concept to completion.

“Day by day, people came to know I had my own firm and they supported me with their projects and trusted me. I work very honestly and closely with my clients and I always give them advice, not based on money, because design is about quality; money is secondary and that is how I gain client’s trust.”

As momentum built, so did the team and today Final Fix operates across three offices. In total Alsarraf employs a specialist design team of 12 and a supporting factory staff of more than 500.

SUPPLIERS AND PARTNERS Final Fix is supported by a global network of more than 5000 specialist suppliers, each a hand-picked contact of Alsarraf from her previous business dealings or one of the many international trade fairs she and her team attend annually.

“We visited so many factories around the world and met so many suppliers for fabrics, carpet, furniture, lighting and hard finishes and they allowed me to build a huge library of tools and materials to specify for each project, regardless of the budget,” she says, demonstrating her proficiency in the alignment between budget and need, by referencing the diversity of Final Fix’s projects.

She adds: “Every time I am approached by a client to design their hotel I ask who the operator is, because each operator has their own considerations.

“True interior design is not about visuals or simply a nice selection of materials. In reality, it’s about coordinating the operations and services of the building, as well as the technology, which is an important consideration today. So control panels for temperature, lighting and CCTV, as well as the functionality of the space; they all have to be designed into the room. Designing for leisure and designing for business

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ADVERTISING FEATURE

are two very different things. Our clients specify functional hotels and you have to truly think about the design in order to create something that feels comfortable to that specific guest profile.”

Acting as eye witness to the phenomenal growth of the hospitality industry in Iraq, which thrives across all sectors and markets, Alsarraf visits Kurdistan at least once a month and likens the region to “Dubai 10 years ago”, due to the pace of new projects.

Recent hotel openings are operated by Millennium and Copthorne, Ramada, Divan, Hilton and Rotana.

Left above: Coffee shop in Kurdistan.

Right above: 5-star hotel room, Dammam, Saudi Arabia. Centre: The Final Fix team at the design studio.

NEW MARKETS

You have to truly think about the design in order to create something that feels comfortable to that specific guest profile

Currently, Final Fix is engaged in projects in Erbil, Suleimaniya and Zakho, all in Kurdistan, adding up to a total value of $90m, with clients varying from the private residential to 5-star hotels.

The projects include the design of two 5-star hotels in Erbil, one with a complete fit out work; a residential complex project in Zakho city; and a three storey luxury villa in Suleimaniya. Previous projects include the interior design and fit out of the

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SEPTEMBER 2013

three storey Samad Restaurant, opened by the Governor of Erbil in April 2012.

“When designing hotels, some firms concentrate on the clients more than operators and many forget the maintenance aspect of running a hotel day to day – the integration and consideration for other hidden services.

“Final Fix is not about doing fancy design that can’t be maintained, but about elements that are easily maintained, allow access to the building systems and suit the needs of the guests.”

Of the future, Alsarraf says the focus is not on running a network of offices, rather maintaining the diversified client base in existing markets, in order to continue to serve the hospitality industry and private clients.

Of keeping the brand focussed and the product undiluted, Alsarraf explains: “I am not looking to grow the company to the point where the quality is diluted. Quality is our goal. We have many clients and projects now in Kurdistan and the UAE and it is easier to support them from local offices. We have great staff who are willing to relocate so I can balance working between both markets.”

“Each project has taught me something and everything contributes to your reputation.

My very first projects proved that a female could work in this field; others were challenging because of the scale or complexities. Now we have a reputable business established in the region and a strong client base, the next step is to recruit more staff and take on more projects.”

She concludes: “I love challenges.

As a female contractor I work hard to balance my work in the UAE and Iraq, travelling between the two to manage projects face to face, with the full support of a team that I am proud of, while still looking after my family and my 10 year old twins.”

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SPECIAL FEATURE / GM’S H1 REVIEW

GMs from Radisson properties across the GCC debate the key trends they have seen impacting their business in 2013 and share their predictions for 2014

THROUGH OUR EYES What have been the primary trends to emerge traditional, advance-planned, bookings? in 2013 in each of your respective markets?

BT: We make the same allocations to advance booking and online as we Basel Talal: We have seen a definite increase in the online bookings, day after day from all sources. I can’t say we were expecting it, but we have become more used to it and we are re-drawing inventories to be able to sell better to these channels.

Also, in Sharjah we see that more bookings are being made more than six months before a guest’s arrival, so it is becoming easier to sell packages.

How are you balancing between the instantaneous nature of online, and the cpimediagroup.com

always have.

Rabi Zein: For the online booking, guests are starting to act smarter.

They shop for prices, they know what they want and they use the transparency of online reviews to make their decisions: In effect, they are demanding more.

Main image: Basel Talal GM Radisson Blu Resort Sharjah and Simon Ramsey EAM Radisson Blu Doha.

Above right: Top, Rabi Zein, Basel Talal and Simon Ramsey.

Bottom, Janet Fitzner, Craig Bruce and Marius Wolmarans.

Which do you feel present the greatest challenge: Comparison or review websites?

Craig Bruce: In Abu Dhabi we have really capitalised on OTAs, especially

SEPTEMBER 2013

with the Dubai market – it offers flexibility and when you talk about reviews, we have massively improved our reviews on Booking.com and the impact is felt.

Simon Ramsey: One of the trends from Doha, focussing very much on the World Cup, is that we have seen rates dropping – as reported by STR – because of the inevitable and increasing competition and the supply outweighing demand.

CB: We have experienced that a lot over the last four years in Abu Dhabi.

Key demand drivers were delayed, but are coming online soon.

HOSPITALITY BUSINESS MIDDLE EAST / 49

SPECIAL FEATURE / GM’S H1 REVIEW

The World Cup 2022 is still nine years away: What will drive demand for the increased stock until then?

SR: F&B underpins the success of every hotel in Qatar and we are very much an F&B hotel. We have 11 restaurants and six bars all popular with locals and expats. We open big brand names like Hakkasan and they become the demand drivers, both locally and regionally.

Janet Fitzner: I have run properties in both Dubai and Fujairah this year and what I see in Dubai is a stark increase in tourism, rather than just business.

We have also seen Sharjah benefit from instability in other regional markets and it’s amazing how well we are now recognised as a destination.

But of course, because of that we see new leisure hotels opening. The supply is always close behind the demand.

Sharjah benefits from the proximity to Dubai, but visitors to RAK and Fujairah, although they may combine visits to Dubai and Abu Dhabi in their trip, are visitors to these Emirates rather than visitors staying outside a major Emirate.

As others have, I have also witnessed the increase in Russian tourists

Left: Rabi Zein, GM, Park Inn Muscat.

Main image: Craig Bruce GM Park Inn and Radisson Blu Yas Island and Marius Wolmarans GM Radisson Blu Muscat.

Right: Janet Fitzner GM Radisson Blu Resort Fujairah and Craig Bruce GM Park Inn and Radisson Blu Yas Island.

We have that leisure and corporate mix and Yas is really on the map, but it was Dubai’s weekend crowds that really launched that, especially for concerts in Oman and that is driven by the development of local infrastructure.

People say they would rather fly to Oman for two days than organise teleconferences, so the strength we saw five years ago is returning.

favouring the UAE over Egypt and Turkey and, specific to Fujairah, more expats visiting for the weekend.

BT: Sharjah has seen increases in business, but some decisions, like the opening of Dubai World Central in Jebel Ali, have really affected us in terms of crew movement and visitor accessibility and I think the competition between Dubai and Sharjah will remain.

Marius Wolmarans: Q1 was unexpectedly strong for us. We picked up a lot of outbound UAE corporate travel

50 / HOSPITALITY BUSINESS MIDDLE EAST

Have your offerings adapted to capture that market?

MW: Online is very strong; things are still very much price driven; rates in Q1 this year didn’t see huge growth, but it was steady and as a result will be positive for the rest of the year.

SEPTEMBER 2013

What have you seen on Yas Island?

CB: There have been oversupply problems across Abu Dhabi, but Yas rebounded from it quite successfully and all the properties on the island have posted huge improvements in RevPAR. Some key factors are the opening of the water park; the new beach; and of course Ferrari World and the events at Du Arena. We have that leisure and corporate mix and Yas is really on the map, but it was Dubai’s weekend crowds that really launched that, especially for concerts.

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SPECIAL FEATURE / GM’S H1 REVIEW

QUICK FIRE

Also, Etihad is flying – in every sense! So on any given day you can see an increase in tourism to Abu Dhabi. Then the third factor is the progress of the 2030 development plan for the Emirate.

PHOTOS: Andy Nettleton.

What would you identify as your primary threat?

RZ: The ongoing regional situation.

European visitors now will only go to UAE, Oman and Qatar.

BT: We have seen about 15% growth based on this. This isn’t a second choice, but a market known for its safety and security.

RAK is doing well, with good infrastructure and prices and proximity to Dubai and Fujairah and I think the oversupply to Sharjah is helping that too.

MW: We have seen rates driven down significantly and unnecessarily by

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locally owned, unbranded hotels, taking a large market share even though the demand is so high, because of the safety factor.

Also, a big threat for us is that star ratings are inconsistent. Ours is a 4-star hotel with an average rate of OMR68, but you have another 4-star hotel with an average of OMR48. It’s so wide and there is nothing that we know of, happening to address that.

Internationally, it’s fine because we have that brand strength, but on a more local basis, there is very little we can do, and it’s not sustainable.

I can’t see their pricing strategy changing, but on the other hand we’re putting money away to refurbish in five years: How will those hotels that don’t have the money saved, pay to upgrade?

SR: Our threat is competition. Doha is growing so fast and F&B draws people in, but you have to keep attracting them while competing.

Do you have any targets or strategies for capturing a GCC weekend market now?

MW: We will be looking at special promotions to publicise the fact that Friday and Saturday rates will be up to 40% cheaper, as they are no longer corporate rate days.

We will also be looking to add value, to give an edge over our competition.

RZ: The Dubai business comes from online so we will be looking at what we sell through OTAs.

Do the UAE and Qatar GMs see the

How are you overcoming challenges to drive occupancy and revenue?

CB: We have 601 rooms between the two properties and although we’re not an apartment hotel, we are really looking more at the long stays for business.

We build in benefits for the client, allocate inventory to this profile and drive the sales. We are also looking at crew accommodation for the smaller, ununionised airlines.

JF: The balance we have to strike is providing for the international and business markets during the week, while leaving space for the domestic market at the weekend.

BT: In Sharjah leisure is almost 70% of business and we tend to give our rates before the competition, to capture a greater market share. We also then have the appeal to Muslim families.

SR: Doha is a business destination and will be for a while yet. Tourism is still growing, but the World Cup infrastructure projects are big enough to keep us going for now.

MW: We had to slightly adjust rates and go for volume. But if we look at where we are this year I feel more comfortable going into summer knowing we have demand from construction business guests.

SEPTEMBER 2013

changes in Oman as direct competition for their target weekend get-away market?

JF: Everywhere has its competition and the reasons to visit Fujairah or Oman, for example, are different.

CB: There is opportunity for additional business and as corporate hotels we can be a little more competitive in the market, but I don’t see this development significantly damaging our business.

Where do you see the main opportunities arising in H2, 2013?

SR: We are extremely excited to see the new airport open in Doha and the continued growth of Qatar Airways, especially to develop the stop over market through partnerships with them.

BT: We hope the demand will continue and that the increased interest in Sharjah and leisure markets will grow as they did in H1, as well as governmental activities and of course Air Arabia.

JF: The global economic situations for the feeder markets and the weather in Europe will help and we hope that situations improve abroad to increase disposable income and holiday frequencies from other markets.

People will always want to escape the bustling city, so hopefully that will also translate to the executive get-away market, also.

CB: Things are looking good. The supply should slow down, which will have a big impact; aviation is growing quickly; we have more tourist attractions and the construction is continuing.

So I only see things going from strength to strength, especially with the added demand created by all the upcoming events, such as F1 and World Economic Forum.

MW: I think we will probably have a Q4, much like Q1. There have been a tremendous amount of new programmes and projects launched in Oman so that will continue to drive the market, in new construction and JVs. It can only get better.

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Vision Conference to set industry agenda Show conference to feature 50 sessions, six note speeches, and an exclusive live interview with His Excellency Helal Saeed Almarri, Director General of DTCM

T

his year, the region’s most prominent and knowledgeable professionals from the leisure and hospitality industries will take centre stage at The Hotel Show’s most exciting and exclusive new feature, Vision Conference.

Covering security, architecture and design, investment, sustainability, emerging markets and leisure, as well as the latest trends and forecasts for the leisure and hospitality industries, Vision Conference will deliver: Six key note speeches on everything from architecture to economy; exclusive sessions involving heads of industry from Marriott International, Scotland Yard and Facebook; and open networking for elite professionals.

It’s a schedule that is set to reveal key industry trends and forecasts.

Interviewed on day two, His Excellency Helal Saeed Almarri, Director General of DTCM is expected to go into further detail of the significance of the tourism and hospitality industry in Dubai’s Tourism Vision for 2020, and the importance of industry collaboration to achieve the broader objective of welcoming 20 million visitors annually by 2020.

His Excellency said: “2012 saw us achieve the landmark figure of 10 million visitors for the first time, and now we have set the ambitious but achievable target of doubling this by 2020. In order to achieve this target we must harness the collective power of our partners in the tourism and

52 / HOSPITALITY BUSINESS MIDDLE EAST

His Excellency Helal Saeed Almarri, Director General of DTCM.

hospitality industry, and I look forward to discussing this vision with many of them during The Hotel Show.”

Commencing the conference programme on September 28 with a keynote speech on where the hospitality and digital industries are heading, Alexander Barder, SABRE regional director of business development, will share his insights on the growth of digital technology from marketing and promotional benefits, as well as revenue management and more efficient communication via digital and social media channels.

Speaking ahead of the show, Barder said: “As one of the world’s most ambitious emerging markets, the Middle East and specifically Dubai

SEPTEMBER 2013

Vision Conference is a true 360 degree perspective of the industry as it stands today and its development over the coming decade

is on its way to leading growth for innovation and technology. How this innovation can be used to increase profitability, guest relations and indeed service standards within the hospitality industry will further increase the quality and pace of growth in the market.”

Some of the key topics to be explored throughout the three day programme include: Widening the Range of Tourism Offerings in the Middle East; Engaging Generation Y; Hotel Security; and Hotel Revenue Management.

The growth of significant emerging markets will also be considered with a panel discussion involving industry heads including Avsar Koc, Regional Director of Sales Kempinski, on the development of Qatar’s future into a thriving sporting and cultural destination; as well as a focus on the fastest growing continent of the world, Africa, with a key note and panel discussion on development and investment opportunities.

The show’s official media partners, Hospitality Business Middle East and The Pro Chef, have worked with The Hotel Show to explore a variety of diverse topics reflective of the pulse and zeitgeist of the industry.

Melanie Mingas, editor of Hospitality Business said: “The Vision Conference sessions cover everything from emerging markets to managing the phenomenal rise in online and digital. The sessions are delivered by hoteliers, the government departments regulating them, the suppliers supporting them and the developers and architects designing properties and resorts.

“Uniting key industry players, the Vision Conference is a true 360 degree perspective of the industry as it stands today and will fully explore its development over the coming decade.”

To read the full schedule of events and register for Vision Conference 2013, visit www.thehotelshow.com

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Revealed: The final lineup for Vision Conference 2013 DAY 1 KEYNOTE SESSION: AN INDUSTRY IN FLUX, HOSPITALITY GOES DIGITAL Speaker: Alexander Barder, Regional Director of Business Development MEA, SABRE Who should attend? GM, revenue management, marketing management, PR executive, guest relations, social media manager SESSION: MAXIMISING TRIP ADVISOR Speaker: Dan Cross, Regional Manager, TRIP ADVISOR Who should attend? Marketing management, guest relations, EAM, hotel manager, PR executive, social media manager KEYNOTE SESSION: DEVELOPING DUBIA’S MID-MARKET Speaker: Jeff Strachen, Consultant Who should attend? Marketing management, IT, finance, PR executive, social media manager SESSION: HOTEL SECURITY:TECHNOLOGY & DATA CENTRE SECURITY Speaker: Tareque Choudhury, Chief Security Officer, BRITISH TELECOM Who should attend? Head of IT, office manager, BoH managers, EAM, hotel manager, social media manager SESSION: ONE STEP AWAY FROM 1BILLION+ PEOPLE, HOW HOTELS CAN TAP INTO SOCIAL MARKETING Speaker: Walid Driss, Head of Middle East & Africa, FACEBOOK Who should attend? Marketing manager, PR executives, guest relations, GM, social media manager SESSION: SMART GUESTS DEMAND SMART GUEST EXPERIENCES Speaker: Paul Parsons, SM Consultant (Chair); Jean Pierre Mampaey , CEO, MAXXTON; Elias Monsef, IT Manager, GOLDEN TULIP; Chris Gribble,

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SEPTEMBER 2013

General Manager & CEO, INFOR; Aime Musonerwa, IT Director, MOVENPICK; Tiina-maija Bergman, Managing Partner, Table4ME; Saahil Mehta, MD, RESNET MIDDLE EAST Who should attend? GM, IT director, DoR, purchasing manager, F&B director SESSION: REDUCING RELIANCE ON OTAS Speaker: Dan Cross, Regional Manager, TRIPADVISOR Who should attend? GM, Marketing manager, PR executives, guest relations, revenue manager social media manager SESSION: HOW TO LISTEN ONLINE: HOW TO BUILD ROI FROM MONITORING AND ANALYSING NEWS AND SOCIAL MEDIA Speaker: Jonathan Cartmill, MD, Meltwater Group Who should attend? GM, Marketing manager, PR executives, HR manager, social media manager SESSION: MOBILE BOOKING Speaker: Amer Al Halabi, Regional Manager, HOTELSCOMBINED Who should attend? IT manager, marketing, social media manager SESSION: QATAR: THE FUTURE Speaker: Steven Miller FAIS, RIBA, Avsar Koc, Regional Director of Sales, KEMPINSKI; Hicham Hassouni, Accor Who should attend? GM, AVP, revenue management, regional director, suppliers, developers

DAY 2 KEYNOTE INTERVIEW: HIS EXCELLENCY HELAL SAEED ALMARRI, DIRECTOR GENERAL DTCM INTERVIEWED BY MELANIE MINGAS, EDITOR, HOSPITALITY BUSINESS MAGAZINE Who should attend? AVP, regional director, MD, GM, EAM, head of

supporting business verticals, social media manager, PR executive, HoD SESSION: DYNAMICS AND TRENDS POWER HOUR Speaker: Christopher Hewett, Senior Consultant, TRI HOSPITALITY CONSULTING (CHAIR) * Nick Maclean, CBRE * Alex Kyriakidis, President & Managing Director, MARRIOTT INT. MEA * Ulrich Eckhardt, Regional President, KEMPINSKI * Russel Sharpe, CEO, LANDMARK/CITYMAX * Ross McAuley Vice President of Brand Marketing JUMEIRAH GROUP * Johan Samuelsson, Vice President & Managing Director Trane, Middle East and Africa * Seetha Sasikala, Vertical Marketing Leader Trane Europe Middle East Africa and India at Ingersoll Rand Who should attend? AVP, regional director, MD, GM, EAM, head of supporting business verticals, social media manager, PR executive, HoDs SESSION: WIDENING THE RANGE OF TOURISM OFFERING Speaker: Dr. Ahmed Belhoul; CEO, Strategy and Tourism Sector Development, DTCM * Jeff Strachen, (CHAIR) * Adam Page, VP Marketing, WORLD OF ADVENTURE, IMG * Russel Sharpe, CEO, LANDMARK/CITYMAX * Tarek Elsherif CHA, MD, MOUROUJ HOSPITALITY * Paul Diab, Director of Operations, GOLDEN TULIP MENA * David Garner, Regional Director of Sales, ANATARA HOTELS, RESORTS AND SPAS Who should attend? AVP, regional director, MD, GM, EAM, head of supporting business verticals, social media manager, PR executive, HoDs SESSION: STRUCTURING FOR THE FUTURE Speaker: Majid Al Marri, Director, Classification DTCM Who should attend? GM, EAM, HR, purchasing manager, PR executive KEYNOTE SESSION: DESIGNS OF THE FUTURE Speaker: Steven Miller FAIA RIBA Who should attend? GM, EAM, developer, architect, designer, procurement manager, FM manager SESSION: NEW TOURISM TRENDS & NEW BUSINESS OPPORTUNITIES Speaker: Natalie Amos, Associate Director, FOUR COMMUNICATIONS GROUP (CHAIR); Elie Milky, Director of Business Development, CARLSON REZIDOR; Anders Dimblad, CEO, BANYAN TREE; DUBAI SPORTS COUNCIL; Mr. Raza Siddiqui Chief Executive Officer For

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ARABIAN HEALTHCARE GROUP Who should attend? AVP, regional director, MD, GM, EAM, head of supporting business verticals, social media manager, PR executive, HoDs SESSION: ENGAGING GENERATION Y - PREPARING YOUR MANAGERS FOR THE FUTURE Speaker: Fabienne Rollandin, Director, LAUREATE EDUCATION Who should attend? HR, HoDs across the hotel, GM SESSION: TRUST, SECURITY AND PREPARATION FOR INCREASED VOLUMES OF VISITORS Speaker: Mark Moles, Middle East Counter Terrorism Officer, NEW SCOTLAND YARD Who should attend? GM, head of security, FoH manager, DoR, F&B director SESSION: SOURCING & RETAINING TALENT Speaker: Lynee Belllinger, MD, PURPLE CUBED (CHAIR) * Riad Bejjani, Regional HR & Training, GOLDEN TULIP MENA * Aline Barhouche, HR Director, CARLSON REZIDOR * Estelle Chambost, HR Director, ACCOR MIDDLE EAST* Ms. Fabienne Rollandin, Director, LAUREATE EDUCATION Who should attend? HR director, GM, HoD SESSION: LABOUR LAW, NATIONALISATION, DIVERSITY IN WORKFORCE Speaker: Markus Wiesner, CEO, AON HEWITT (CHAIR); Henning Frees, Group Director of Operations, HABTOOR HOTELS; Fatma Al Haddad, Emiratization Manager, HABTOOR HOTELS; Ahmad Mohammed Al Kaitoob, Head of National Development, JUMEIRAH GROUP Who should attend? HR manager, GM, HoD

DAY 3 KEYNOTE SESSION: MINIMISE COSTS WHILE MAXIMIZING GUEST EXPERIENCE Speaker: Johan Samuelsson, Vice President and Managing Director, Trane, Middle East and Africa Who should attend? GM, sustainability manager, revenue management SESSION: HOTEL REVENUE MANAGEMENT Speaker: Jeff Strachan, FORMERLY MARRIOTT (CHAIR) * Nehma Imad

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Darwiche, CEO, JANNAH INTERNATIONAL * Sascha Seefried, Regional Director of Revenue, KEMPINSKI * Tarek Lotfi, Regional Director of Revenue, GOLDEN TULIP MENA * Bassem Salem, Revenue Director, ACCOR Who should attend? Revenue manager, GM, EAM SESSION: MINIMISING YOUR LIABILITIES Speaker: Mark Fraser, Managing Partner, TAYLOR WESSLING Who should attend? GM, HR, EAM, HoD, AVP, PR executive KEYNOTE SESSION: ALL EYES ON AFRICA Speaker: Guy Wilkinson, Managing Partner, VIABILITY Who should attend? AVP, GM, HoD, HR SESSION: DUBAI GREEN TOURISM AWARD. LAUNCH OF 3RD CYCLE 2013/2014 Who should attend? Hotel manager, sustainability manager, hotel engineer, CSR director SESSION: WASTE CONTROL DURING THE HOLY MONTH Speaker: Dave Reeder, Editor, ProChef, Uwe Micheel, Director of Kitchens, RADISSON BLU * Sascha Triemer, VP Culinary Atlantis, ATLANTIS * Harald Oberander, Director of Kitchens, DWTC * Michel Jost, Executive Chef, YAS VICEROY * John Cordeaux, Executive Chef, FAIRMONT THE PALM * Christian GrAdnitzer, Head of F&B, JUMEIRAH GROUP Who should attend? Culinary director, head of kitchens, purchasing manager, executive chef SESSION: MAKING HOSPITALITY MORE SUSTAINABLE Speaker: David Thomson, Chief Operating Officer,JA RESORTS * Sandrine Le Biavant, FARNEK (Green Globe Representative ) * Mr. Christophe’ Fourment, Hotel Manager, TIME GRAND PLAZA HOTEL * Fredrik Reinisch, GM, JA JEBEL ALI GOLF RESORT * Who should attend? GM, engineer, AVP, HoD, purchasing manager sustainability manager, CSR director SESSION: WORLD HOSPITALITY CHAMPIONSHIPS Who should attend? Chefs, F&B Managers, GM CLOSING ADDRESS: JEFF PRICE

ADI Lounge scheduled events DAY 1 1pm to 3pm THE LEISURE MARKET MARKET TRENDS AND MAJOR LEISURE AND HOTEL PROJECTS BEING BUILD IN THE REGION PRESENTED BY MEAD The new Leisure Show 2014 - presented

by Tarek Ali, SPM, DMG Leisure professionals networking 4pm to 5.30pm MEET THE SMART PANEL Following on from the conference session, your chance to ask more questions of the panelists

DAY 2 2pm to 3.30pm AN INTRODUCTION TO ONE OF THE MOST LUCTRATIVE MARKETS IN THE WORLD - ASIA With an active pipeline of 976 hotels and 248K rooms and hotel transaction volumes projected to reach $3.5billion this year - the hospitality market in Asia is a offers huge opportunities for suppliers - find out how to break into this market 3.15pm to 4.00pm ARCHITECTS FORUM WITH JEFF SCHOFIELD Captial Gate otherwise known as the leaning tower of Abu Dhabi is Hyatt’s most iconic and sustainable property.

Find out how it was designed and constructed from the project architect himself 4.15pm to 5.15pm DOING BUSINESS IN SAUDI ARABIA WITH SCTA AND HOTEL SHOW SAUDI ARABIA

DAY 3 12.00pm to 2.00pm ARCHITECTS NETWORKING 2.30pm to 3.30pm AFRICA PANEL DEBATE With the continued growth of the continent, for both business and leisure markets, key investment and development specialists share their experience of the market, the trends and challenges, and the development and investment hotspots to watch Panelists: Mark Willis, AVP, CARLSON REZIDOR, Steven Miller, Architect, Ulrich Eckhardt, MEA President, KEMPINSKI, Jean-Marc Grosfort, Chief Development Officer, MARRIOTT INT. MEA 4pm to 5pm GREEN TOURISM AWARD - NETWORKING Saturday 28th September

SEPTEMBER 2013

HOSPITALITY BUSINESS MIDDLE EAST / 54

ADVERTORIAL

The Curse of the Wobbly Table… Banished Forever by FLAT® technology Wobbly tables have plagued the hospitality industry for years. It’s a sad situation, but true to say that many hotels, restaurants and bars give their customers a poor impression as soon as they sit to have a drink or something to eat.

However, it’s not only the customers that suffer.

The bar tender, waitress or hotelier is likely to receive complaints frequently about spilt beers and annoying wobbles. Their solution is often a napkin, sugar packet or beer mat being slotted under the table, plus a courtesy drink or refund for the disgruntled customer.

In addition to wobbly tables, the ‘lip’ created when 2 tables are put together is a real annoyance for customers who knock over their drinks, sauces and salt. Combine this with a wobbly table and things can get messy (in more ways than one!)

Everybody loses from having wobbly, unaligned tables in their establishments and now it’s completely unnecessary!

In 2004, Sydney based FLAT Pty Ltd set out to eradicate wobbly tables – forever!

Since then FLAT has created innovative, patented and award winning technology that stabilises and aligns tables on virtually any surface instantly!

The product uses hydraulic technology via a small series of pipes located in the FLAT® table base. The technology responds instantly, adjusting the table feet to any surface.

How does this technology ILULÄ[ [OL hospitality industry?

Thirdly, with stable, aligned tables proprietors can cater for groups whenever tables are available, hassle free. This maximises opportunities and keeps [OLPY J\Z[VTLYZ ZH[PZÄLK with the service.

Finally, a huge amount of effort goes into planning, designing and creating a new establishment; why SL[ ^VIIS` [HISLZ [HYUPZO `V\Y YLW\[H[PVU& FLAT® allows proprietors to focus on their core activities and not have their reputations and brand tarnished by ‘the curse’.

To understand better how wobbly tables cost proprietors money, visit FLAT® online calculator at www.FlatTech. com/Calculator.

FLAT® table bases can positively impact your business and contribute to improving customer satisfaction and PUJYLHZPUN WYVÄ[Z ( YHUNL VM -3(; [HISL bases is available, all of which stabilise and align. Additional base designs will be released later this year.

“The technology responds instantly adjusting the table feet to any surface.”

Firstly, we know that many hospitality staff arrive early to work and can spend 30 minutes to an hour every day aligning tables and adjusting them to stop them wobbling – that’s up to 7 hours per week wasted! For establishments using FLAT® tables this becomes completely unnecessary.

Secondly, think about the utilised and unutilised space in hotels, bars and restaurants. How about the area ^P[O [OL Z[VUL LMMLJ[ ÅVVYPUN& The outside balcony or WLYOHWZ [OL WH[PV HYLH& <ZPUN FLAT® tables, new areas within establishments can easily be setup and utilised to draw in more customers.

“Why let wobbly tables tarnish your reputation?”

YOU WILL BE ABLE TO SEE

FLAT® products and demonstrations at The Hotel Show in Dubai (September 28th -30th)

Contact FLAT and see videos of ‘FLAT in Action’ on the company’s website www.FlatTech.com. Follow FLAT Technologies on Facebook www.Facebook.com/ FlatTech. Visit us at The Hotel Show Rattan House, Hall 5, Stand 5 E110

ON THE RATTAN HOUSE STAND.

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SERVICES AND SUPPLIES

Services and supplies

The industry’s most useful and innovative new designs, delivered to you, every month

NESPRESSO’S NEW SOLUTIONS Nespresso’s U range has been extended with a matt finish design and a new milk function with the coffee distributor has also announcing the launch of two new flavours: Kazaar and Dharkan Grand Crus.

Perfect for the luxury in-room experience, the integrated fresh milk solution provides the new Aeroccino3 frother, for hot and cold milk recipes, while also offering improved cleanliness.

Nespresso has also introduced the Umat; a premium matt finish, available in Mat Red and Mat Grey.

ME market director, Pierre Debayle said: “We are very pleased to extend the U adventure with these two new machines. They have been very successful in the region so far thanks to their unique design and modern look. With UMilk, we intend to enhance the preference for milk recipes, as is the demand trend of the at-home at home coffee consumer.”

NEW MINERAL WATER FOR OR UAE Monviso, a mineral water with one of the lowest west levels of sodium on the market, has entered the UAE market.

Sourced from the highest natural spring inn Europe, the Rocce Azzurre, the water contains ns 0.00003% sodium and the total dissolved solids olids (TDS) in 1 litre (measured after evaporation at 180°c) are 49mg. The low level of sodium is ideal to avoid kidney strain, while combating water ter retention. It is recommended in instances off high blood pressure and for low sodium diets andd is also suitable for babies.

The distinctive packaging is offered at sizes es to suit various needs and will be available in the he following SKUs: 6 x 1.5L, 6 x 0.5L and 24 x 0.33L .33L multipacks (still), 1L bottle (still and sparkling) ng) with 6 x 1L multipack.

56 / HOSPITALITY BUSINESS MIDDLE EAST

SEPTEMBER 2013

BARR + WRAY SIGNS $2.3M HOTEL CONTRACT Barr + Wray has secured contracts worth more than $2.3m $2 3m with Four Seasons Hotels and Resorts, installation of luxury spa thermal and for the insta pool facilities facilitie for new luxury resorts in Dubai and Bahrain, a fifirst in the Gulf nation.

Wray will commence work on the Barr + W project in October this year and will Bahrain pro be on site for fo six months fitting out the new spa facilities. facilitie The completed spa will feature a rasule mud bathing experience and traditional hammams, salt rooms, experience showers and steam rooms. It will be the Kingdom’s first Seasons and Barr + Wray’s first supply Four Season and installation installa contract in Bahrain. Work has on the spa facilities at The already commenced com Seasons Resort Dubai, with the project due Four Seaso early next year, showcasing to be completed com exclusive male and female spa thermal exclusiv experiences and pools. “Barr + Wray has experie already provided spa facilities for Four Seasons in London Lond and Baku and we are looking forward to adding these new spas to our forwar pportfolio, po rtfol ” said MD Peter Rietveld.

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SERVICES AND SUPPLIES

PORT-A-COOL CHILLS CROWDS Those who refuse to let the summer stop them, have enjoyed the installation of Port-A-Cool units at Starwood’s outdoor entertainment complex on Dubai Marina.

Barasti, part of the Mina Seyahi Beach Resort complex, installed portable evaporative cooling units to the outdoor middle deck bar and restaurant, from August 22. The 36 inch units are also said by the company to be “environmentally friendly.” Each unit utilises high-efficiency cooling pads and water achieving up to 15°C in a space as large as 250 square metres.

BRONNLEY’S BRITISH BATHROOM ADA Cosmetics is collaborating with Bronnley, supplier to British royalty, to bring its Honey Blossom range to the Middle East.

Founded in 1884, the brand is known for its use of high-quality perfume oils, fruit and flower essences, herbs, exotic woods and spices. Bronnley’s partnership with ADA Cosmetics International (ADA) will see the products available to hotels across the Middle East.

MICE AND EVENT AV CONTROL ENHANCED MICE and entertainment areas in hotels will benefit from enhanced lighting controls, following the introduction of Traxon Technolgies’ Lighting Application Suite 6.1, featuring Lighting Control Engine 2 and Lighting Control Engine 2 FX, in addition to the new Butler PRO output engine for running large numbers of DMX512/ RDM or e:pix universes.

Featuring innovative technology, these additions to e:cue’s lighting control engine and software portfolio, significantly enhance the flexibility, reliability, scalability and performance of lighting, media and show control programming.

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Lighting Control Engine 2 (LCE2) and Lighting Control Engine 2 fx (LCE2-fx) are designed to orchestrate fixtures, media, interfaces, and user terminals in medium to large lighting installations. Butler PRO is a new DMX512/RDM or e:pix output engine that interfaces with the Lighting Application Suite (LAS) and offers maximum control scalability.

Lighting Application Suite 6.1, the latest version of software application used to program the most creative lighting designs, is also introduced to empower full integration with these new control engines.

LAVAZZA’S CITYMAX CAFÉ Lavazza’s Tierra brand of 100% Arabica coffee is to be sold in a dedicated Espresso Bar at Citymax Al Barsha, Dubai. The sustainably grown coffee will have its own Lavazza Tierra Espresso Bar at the mid-market property in Dubai. The new outlet, which is the first Lavazza Tierra branded outlet in the Middle East, was unveiled last month.

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APPOINMENT NEWS

to have JP as the GM of the Sheraton Dubai Mall of the Emirates Hotel,” said Guido de Wilde, senior vice president, regional director, Starwood Hotels and Resorts Middle East. “With his solid experience, strong leadership and energy, JP is a great addition to our team and we are excited to have him in the Middle East.”

John Paul Kavanagh.

Appointment news The latest appointment and promotion news from the region ALLEN SMITH FOUR SEASONS CEO

expanded beyond hotel investing to include all commercial property types and all facets of the real estate investment business including strategic planning, organisational development, capital partner relations, portfolio management, corporate finance and business operations.

Founder Isadore Sharp, said: “I could not be more pleased with the selection of Allen to lead Four Seasons forward. He shares the vision and values of our organisation and will complement our outstanding executive management team and inspire our exceptional employees around the world. Allen has demonstrated a commitment to excellence and will ensure that Four Seasons further enhances its position as the world’s leading luxury hotel brand.”

Allen Smith, CEO of Prudential Real Estate Investors, is to become the new CEO and president of Four Seasons Hotels and Resorts. He will take the reigns from Kathleen Taylor, who announced her resignation after 30 years with the chain, earlier this year.

Taking up the position at the end of this month, Smith will lead the group’s 91 properties in 38 countries.

Smith joined Prudential in 1987 as a member of its hotel investment group after earning his master’s degree from Cornell University’s School of Hotel Administration. Over the course of his career with Prudential, his responsibilities

BIN HAM GROUP APPOINTS GM Bin Ham Group, owners of The Royal Rose Hotel, due to open in Abu Dhabi this month, have named Gianni Malerba as the property’s GM. Malerba brings with him over 28 years’ of experience acquired across positions with Starwood, Millennium, Grand Hyatt and Warwick International.

Mohammed Al Aamri, MD of property managers, City Seasons Group, said: “We are very happy to have Gianni on board at the Royal Rose Hotel. We are confident that he will be a driving force in establishing Royal Rose as a world class hotel in the region; with his effective leadership and tremendous experience, gained over the years from eight different countries. This is another strategic step towards building an international team to cater to different requirements of the guests both domestic and international. ” The Royal Rose Hotel will feature 355 rooms, including 112 boutique suites, 20 luxury suites and one royal suit.

NEW GM FOR SHERATON MOE John Paul Kavanagh, former GM of The Sheraton Grand Hotel and Spa in Edinburgh, Scotland, has been named GM for Sheraton’s recently acquired Mall of The Emirates, Dubai property.

Kavanagh takes the helm as a number of new developments are announced for the property, says Starwood, applying 20 years’ experience to the role. “After leading a flagship Sheraton property, we are delighted

Allen Smith.

58 / HOSPITALITY BUSINESS MIDDLE EAST

SEPTEMBER 2013

Gianni Malerba.

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JOB WATCH Jobs supplied by:

Job watch

Salary Description:Â Competitive Sallary Offered Recruiter:Â CHA International A 4 * International Hotel Chain in Doha / Qatar is looking for a HR Manager which is very organized , has very strong people management skills& good knowledge of Labor Law & is or was worked in UAE / GCC and exposed to multinational employees.

One of the task is to reorganize and adjust benefits structure.

Time to move on? We can help.

All jobs can be applied for through www.Hozpitality.com GROUP PURCHASING MANAGER Industry:Â Hotels Clubs and Spas Department:Â Finance and Accounts, Purchase and Stores Level:Â Corporate /Group, Department Head Location:Â United Arab Emirates (UAE) Salary Description:Â Competitive Recruiter:Â Dusit Residence Dubai Marina Minimum 5-10 years Experience. Must be willing to work a flexible schedule in order to accomplish all major responsibilities and tasks.

Must be able to maintain good relationship with all departments and Home Office to promote effective purchasing. Must have a commitment to follow all local and corporate policies and procedures as they relate to the Purchasing Department. Must be able to work in a safe and organized manner. Supervise, train and motivate Purchasing department employees and thoroughly understand all of their duties and responsibilities. Ensure that the department works closely with the Kitchen and the Food & Beverage Department to purchase the highest quality products while constantly searching for the lowest price.

Ensure that all purchase order requests are properly completed and approved before a purchase order is prepared and the items are purchased.

AIRPORT DUTY MANAGER â&#x20AC;&#x201C; TEHRAN Industry:Â Airlines, Travel Industry Department:Â General Management/ GM, Travel Management Level:Â Department Head Location:Â ME/GCC (Except UAE) Salary Description:Â attractive plus benefits Recruiter:Â Etihad Airways Successful candidate will be responsible to manage the airport operation on a shift basis ensuring that service delivery conforms to regulatory, operational, safety and customer

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service standards within a cost effective environment. Liaises with Airport Authorities and third party service providers ensuring that Etihad Airways ground handling requirements and customer service standards are met at all times. Manages all elements of the ground operation whilst on duty

TRAINING MANAGER Industry: Â Hotels Clubs and Spas Department: Â Human Resources (HR), Training and Development Level: Â Department Head Location: Â United Arab Emirates (UAE) Salary Description: Â attractive plus benefits Recruiter: Â Rixos Palm Jumeirah t ZFBST FYQFSJFODF JO )PUFM *OEVTUSZ Training. t 4USPOH JOUFSQFSTPOBM BOE DPNNVOJDBUJPO skills. Functional Area Professional / Soft Skills Training / IndustryHotel / Restaurant t $POEVDU 0SJFOUBUJPO GPS BMM OFX TUBGG PO UIF first day of their employment. t $POEVDU BEWBODFE USBJOJOH GPS TVQFSWJTPST t *EFOUJGZ UIF USBJOJOH OFFET PG TUBGG BOE supervisors. t 0SHBOJTF TBGFUZ GJSF QSFWFOUJPO BOE DPOUSPM programmes for all employees. t 'PMMPX VQ PO UIF JNQMFNFOUBUJPO PG PO UIF job activities in all departments and the use of SOPs. t $POEVDU TQFDJBMJTFE USBJOJOH QSPHSBNNFT t &OTVSF UIBU TLJMMT USBJOJOH JT CFJOH JNQBSUFE in all the departments. t 0SHBOJTF QFSJPEJD TVQFSWJTPSZ EFWFMPQNFOU programmes.

AD FINANCE AND BUSINESS SUPPORT â&#x20AC;&#x201C; DOHA Industry:Â Hotels Clubs and Spas Department:Â Finance and Accounts Level:Â Department Head, Middle Management Location:Â ME/GCC (Except UAE) Salary Description:Â attractive Recruiter:Â Hozpitality Consulting Reporting to the Director of Finance & Business Support, you will drive superior financial performance in your hotel and provide necessary input for monthly and quarterly reviews. Managing the overall financial function for the hotel, you will provide management with timely financial analysis for effective decision-making.

Additionally, prepare all statutory and management requirements of IHG. As an Assistant Director of Finance and Business Support, you will be accountable for supervising and maintaining overall control of the Accounting Financial Management Systems.

HR MANAGER â&#x20AC;&#x201C; DOHA Industry:Â Hotels Clubs and Spas Department:Â Human Resources (HR) Level:Â Department Head Location:Â ME/GCC (Except UAE), United Arab Emirates (UAE)

THE ONLY THING THAT OVERCOMES HARD LUCK IS HARD WORK HARRY GOLDEN

SEPTEMBER 2013

HEAD OF PILOT PERFORMANCE Industry: Â Airlines, Travel Industry Department: Â Travel Management Level: Â Corporate /Group, Department Head Location: Â United Arab Emirates (UAE) Salary Description:Â Attractive plus benefits Recruiter: Â Etihad Airways

HOSPITALITY BUSINESS MIDDLE EAST / 59

JOB WATCH Jobs supplied by:

The Head of Pilot Performance reports to the Senior Vice President of Operations and is responsible for all non-technical aspects of pilot performance. This role holds overall responsibility for ensuring that non-technical aspects of pilot performance are managed, monitored, and recorded within the Etihad performance management system. The scope of the role includes management of attendance, discipline, grievance matters, pastoral support, career development and, in conjunction with the Crew Resource Department, pilot resource planning.

DIRECTOR OF FINANCE Industry: Â Hotels Clubs and Spas Department: Â Finance and Accounts Level:Â Department Head Location: Â United Arab Emirates (UAE) Salary Description:Â Competitive Recruiter:Â GLOBAL HOTELS MANAGEMENT LLC., Dubai As a DIRECTOR OF FINANCE, your key responsibilities are developing and implementing property-wide strategies that deliver products and services to meet or exceed the needs and expectations of the groupâ&#x20AC;&#x2122;s target guests, properties and employees. As a DIRECTOR OF FINANCE, you have to provide the financial expertise to enable the successful implementation of the groupâ&#x20AC;&#x2122;s service strategy and brand initiatives while maximizing the return on investment.

In addition, creates and executes a business plan that is aligned with the property and brandâ&#x20AC;&#x2122;s business strategy and focuses on the execution of financial and accounting activities and the delivery of desirable financial results.

HEAD OF TRAINING â&#x20AC;&#x201C; DOHA Industry: Â Hotels Clubs and Spas Department: Â Human Resources (HR), Training and Development Level: Â Department Head Location: Â ME/GCC (Except UAE), United Arab Emirates (UAE) Salary Description: Â Attractive salary and benefits

60 / HOSPITALITY BUSINESS MIDDLE EAST

Recruiter: Â Regency Group Holdings, Doha The right candidate should have the following:Â t 4JNJMBS FYQFSJFODF JO JOUFSOBUJPOBM IPUFMT preferably in Gulf. t (PPE &OHMJTI DPNNVOJDBUJPO TLJMMT BOE Excellent Guest Relation Skills t 1PTJUJWF BUUJUVEF BOE XJMMJOHOFTT UP MFBSO and grow t $BO 4QFBL "SBCJD BOE &OHMJTI t 4BMBSZ 23 PUIFS SFMBUFE CFOFGJUT

H&S OFFICER Industry: Â Hotels Clubs and Spas Department: Â Hygiene and Safety Level: Â Department Head, Middle Management Location: Â ME/GCC (Except UAE), United Arab Emirates (UAE) Salary Description: Â Attractive Recruiter: Â Regency Group Holdings, Doha Regency Group Holding is one of Qatarâ&#x20AC;&#x2122;s oldest and largest business entities encompassing several divisions across a spectrum of industries and a portfolio that includes several internationally acclaimed brands.

Health & Safety Officer required for Regency Group Holding, Doha, Qatar.

UAE FINANCIAL CONTROLLER Industry: Â Hotels Clubs and Spas Department: Â Finance and Accounts Level: Â Department Head Location: Â United Arab Emirates (UAE) Salary Description: Â AED 8,000 to 10,000 plus premium hotel benefits Recruiter: Â Apt Resources, Dubai For a renowned 4 star brand in Dubai, UAE Location: Â Dubai, UAE Industry: Â Hospitality Department:Â Accounts Level: Â Head of Department Min. exp. in same role: Â ZFBS Min. exp. in same industry:Â ZFBST Education: Â Degree holder Salary: Â AED 8,000 to 10,000 plus premium hotel benefits Additional details:

SEPTEMBER

 t .VTU IBWF UP TUBS IPUFM FYQFSJFODF JO a similar role.  t 6"& FYQFSJFODF JT QSFGFSSFE

â&#x20AC;&#x153;THE MOST PRACTICAL, BEAUTIFUL, WORKABLE PHILOSOPHY IN THE WORLD WONâ&#x20AC;&#x2122;T WORK â&#x20AC;&#x201C; IF YOU WONâ&#x20AC;&#x2122;T UNKNOWN

PURCHASING MANAGER, AJMAN Industry:Â Hotels Clubs and Spas Department: Â Finance and Accounts, Purchase and Stores Level: Â Department Head, Middle Management Location: Â United Arab Emirates (UAE) Salary Description: Â Attractive Recruiter: Â Confidential We are looking for a Purchasing Manager for a renowned international hotel in Ajman. Similar experience needed in star hotels. Candidates with experience in UAE preferred. Please send your CV with photo urgently.

GROUP CHIEF ENGINEER Industry: Â Hotels Clubs and Spas Department:Â Engineering and projects Level: Â Corporate /Group Location: Â UAE Salary Description: Attractive plus housing and car Life & Medical self .FEJDBM GPS GBNJMZ VQUP DIJMESFO insurance Recruiter: Â CHA International Group Chief Engineer required for the Corporate Office for a Group of hotels, based in Dubai. Qualification: Degree / Diploma in Electrical or Mechanical Engineering Experience: Minimum 15 years experience Industry Experience Preferred: Hospitality / Service Industry. Must have GCC experience.

Responsibilities: In-depth review of $BQJUBM QSPKFDUT PG UIF (SPVQ )PUFMT t Ensure the timely completion of capital QSPKFDUT t .BJOUFOBODF BVEJU PG UIF HSPVQ IPUFMT t ,OPXMFEHF PG )"$$1 %. %5$.

HVJEFMJOFT PO QSPKFDUT t $P PSEJOBUJPO with the Consultants, Contractors and hotel management teams. Computer Skills / Experience: Microsoft Office â&#x20AC;&#x201C; Word, Excel, & Hotel systems â&#x20AC;&#x201C; BMS etc.

Bonus: Â As per the Company Policy

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TENDERS

Tel: (+971) 2 634 8495 www.EmiratesTenders.com

NEW TENDERS Client Name: Hail University Address: (Saudi Arabia) City: Hail Postal/Zip Code: 2440 Country: Saudi Arabia Phone: (+966-6) 531 2500 Fax: (+966-6) 531 0168 Website: www.uoh.edu.sa Nature of work: Provision of Subsistence services for Male and Female Students of an educational institution.

Cost of Tender Documents($): 535 Last date of submission: September 1, 2013

Tenders All the latest tenders information you need to know about

Client Name: King Khaled Eye Specialist Hospital Address: (Saudi Arabia) City: Riyadh 11462 Postal/Zip Code: 7191 Country: Saudi Arabia Phone: (+966-1) 482 1234 Fax: (+966-1) 482 1234 eMail: info@kkesh.med.sa Website: www.kkesh.med.sa Nature of Work: Provision of Nutrition Services for a hospital.

Cost of Tender Documents ($): 800 Last date of submission: September 8, 2013 Client Name: Ministry of Defence & Aviation (Saudi Arabia) Address: Airport Road City: Riyadh 11165 Postal/Zip Code: 1003 Country: Saudi Arabia Phone: (+966-1) 478 9000 / 478 5900/ 477 7313 Fax: (+966-1) 401 1336/4026457 eMail: Feedback@pca.gov.sa Website: www.pca.gov.sa KSA SEVEN TOWER Nature of Work: Provision of HOTEL PROJECT subsistence services for a ministry.

Cost of Tender Documents ($): 535 Last date of submission: September 4, 2013

$1.1bn

Client Name: King Khalid Military City (Saudi Arabia) City: Hafr Al Batin Postal/Zip Code: 23 Country : Saudi Arabia Phone : (+966-3) 787 1668 Nature of work: Supply of Kitchen Equipment and Food Services for a Military City.

Cost of Tender Documents($): 270 Last date of submission: September 29, 2013

62 / HOSPITALITY BUSINESS MIDDLE EAST

SEPTEMBER 2013

Client Name: Kafr El-Sheikh Governorate (Egypt) Address: Kafr El-Sheikh Governorate (Egypt) City: Cairo Country: Egypt Phone: (+20-47) 323 4122 Fax: (+20-47) 323 4060 Nature of work: Supply of Fresh & Dry meals and fresh pies for a Governorate Cost of Tender Documents($): 75 Last date of submission: August 28, 2013 Client Name: Ministry of Health (Kuwait) Address: Ministry of Health Bldg., Jamal Abdulnasser Street, Al Solaibeykhat Area City: Safat 13001 Postal/Zip Code: 5 Country: Kuwait Phone: (+965) 2487 7422 Fax: (+965) 2486 5414 eMail: health@moh.gov.kw Website: www.moh.gov.kw Nature of work: Preparation and Supply of Meals for Hospitals and Health Centers.

Cost of Tender Documents($): 8935 Last date of submission: September 29, 2013

NEW AND CURRENT PROJECTS Project Name: Hotel Complex Project - Mecca Description: Construction of a hotel complex comprising seven towers, each consisting of 1,000 rooms.

Client Name: Wijaya Karya (Indonesia) Country: Saudi Arabia Budget (USD): 1,100,000,000 Status: New Project Project Name: Saadiyat Rotana Resort Project Description: Construction of 5-star Saadiyat Rotana Resort comprising (354) rooms and (13) beach villas.

Client Name: Rotana Hotels, Suites & Resorts (Abu Dhabi) Country: Abu Dhabi Consultant: EC Harris International Limited (Abu Dhabi) Status: New Project Project Name: Wedding Palace & Commercial Mall Construction Project Description: Construction of Wedding Palace and Commercial Mall for a municipality.

Client Name: Ministry of Municipal & Rural Affairs

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TENDERS

(Saudi Arabia) Country: Saudi Arabia Status: New Project Project Name: Club Vista Mare Project - Palm Jumeirah Description: Construction of Club Vista Mare, a new beachfront residential and recreation project comprising (33) studio apartments, as well as eight cafes and restaurants, retail areas and gymnasium facilities.

Client Name: Nakheel PJSC (Dubai) Country: Dubai Status: New Project Project Name: Salalah International Medical City Project Description: Construction of an International Medical City in Salalah comprising facilities such as a state-of-the-art diagnostic centre, a healthcare resort and healthcare education complex, including a luxury hotel and wellness centre.

Client Name: Apex Medical Group (Saudi Arabia) Country: Oman Consultant: W S Atkins International (Oman) and PSOMAS (USA) Status: New Project Project Name: The Pointe Project Palm Jumeirah Description: Development of The Pointe project comprising a combination of bustling retail shops, high-end restaurants as well as an exciting mix of cafes and patisseries.

Client Name: Nakheel PJSC (Dubai) Country: Dubai Consultant: Dar Al Handasah (Shair & Partners) Dubai Contractor: Freyssinet Gulf L.L.C (Dubai) Budget (USD): 217,000,000 Status: Current Project Project Name: Nakheel Mall Project - Palm Jumeirah Description: Construction of Nakheel Mall comprising five levels of retail, a roof-top plaza with fine dining restaurants, a Butterfly Park, including a 300-room, 40-storey five-star hotel with a roof-top restaurant, swimming pool and lounge Client Name: Nakheel PJSC (Dubai) (Jordan) Country: Dubai Consultant: RSP Architects Planners & Engineers Pvt. Limited (Dubai) Budget (USD): 680,000,000 Status: New Project

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Project Name: Barwa New Cairo Community Development Project Description: Development of Barwa New Cairo community comprising 40,000 housing units, a hospital, three hotels, schools, office buildings and a shopping centre.

Client Name: Barwa Real Estate Company (Qatar Country: Egypt Consultant: Qatar Project Management Company (Egypt) Contractor: Consolidated Contractors International Co. S.A.L. - CCC (Egypt) Budget (USD): 9,000,000,000 Status: Current Project

Project Name: Azure Residences Project - Palm Jumeirah Description: Construction of Azure Residences comprising (170) apartments, outdoor swimming pool, gymnasium, direct access to the beach, as well as a number of restaurants and retail areas at the ground floor level.

Client Name: Nakheel PJSC (Dubai) Country: Dubai Status: New Tender

Project Name: Restless Planet Theme Park Project City of Arabia Development - Dubailand Description: Development of Restless Planet Theme Park comprising a fully air-conditioned indoor resort and theme park, including three rides and more than Project Name: Dubai Modern Art Museum & Opera (100) life-like, real-size robotic dinosaurs.

House District Project - Downtown Dubai Client Name: I & M Galadari Group (Dubai) Description: Construction of Dubai Country: UAE Modern Art Museum & Opera House Consultant: Parsons International District comprising a modern art Ltd. (Dubai) museum, an opera house, cultural Contractor: Wade Adams facilities, including two hotels, GUGGENHEIM Contracting Company L.L.C (Dubai) studios and leisure facilities ABU DHABI Budget (USD):165,000,000 Client Name: Emaar Properties PJSC Status: Current Project (Dubai) Country: UAE Project Name: Guggenheim Abu Dhabi Museum Status: New Project Project - Saadiyat Island Development Description: Construction of Guggenheim Abu Project Name: Twin Towers Project-2 Description: Construction of twin towers comprising Dhabi (GAD) world-class museum, which will be devoted to modern and contemporary art covering 2 basements, a ground floor, 3 podium floors and an area of 30,000 square metres 48 upper floors consisting of a hotel as well as Client Name: Tourism Development & Investment offices.

Company - TDIC (Abu Dhabi) Client Name: Private Investor (Qatar) Country: UAE Country: Qatar Consultant: AECOM Group (USA) Consultant: Hamilton Project Management & Contractor: Al Habtoor-STFA Soil Group (Abu Dhabi) Development W.L.L (Qatar) Budget (USD): 75,000,000 Contractor: Arabtec Construction W.L.L (Qatar) Status: Current Project Status: Current Project

$75m

Project Name: Salwa Hotel & Resort Project Description: Construction of five-star Salwa Hotel & Resort comprising a basement level, a ground floor, a mezzanine floor and two additional floors offering (80) rooms, including (90) attached villas comprising a ground floor and an additional floor.

Client Name: Hala Group Enterprises (Qatar) Country: Qatar Consultant: KEO International Consultants (Qatar) Contractor: Matta Contracting W.L.L (Qatar) Budget (USD): 70,000,000 Status: Current Project

Project Name: Qatar National Museum Project Description: Construction of new Qatar National Museum, which will provide 86,000 square feet of permanent gallery space, 21,500 square feet of temporary gallery space, a 220-seat auditorium, a 70-seat food forum / TV studio, two cafes, a restaurant and a museum shop.

Client Name: Qatar Museums Authority (Qatar) Country: Qatar Consultant: Hill International Middle East Ltd. (Qatar) Contractor: Hyundai Engineering & Construction Company (Qatar) Budget (USD): 500,000,000 Status: Current Project

SEPTEMBER 2013

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COLUMN

2014: The top luxury tourism trends Natalie Amos, associate director, Four Communications looks at the global travel and tourism trends set to impact the region and answers the question everyone is asking: What can we expect to see in 2014?

I

t’s that time of year where we look back at the challenges that we’ve overcome and celebrate the successes, before putting our plans in place for the forthcoming year. So far, 2013 has been an interesting and in

many senses turbulent year for the travel and tourism industry. However, people are still travelling – in greater numbers than ever before, and spending on travel and lifestyle from high-net-worth individuals is growing. The world is getting smaller as far-flung destinations become more accessible. The luxury traveller is leading the way – pioneering new destinations and actively seeking new experiences. So how do we keep ahead of the curve and capture the lucrative luxury travel market? Here are the trends we can expect to see more of in 2014.

SIMPLE LUXURY For many ‘cash-rich, timepoor’ luxury travellers, a holiday is about having the time to enjoy the little things in life. We want to spend time with our family, wander around a museum, or simply read a book. Perhaps our passion is architecture, art or photography. In 2014, travel will be about tapping into these passions and making it easy for guests to access and pursue the activities they enjoy the most. I was impressed to see that InterContinental Hotels and Resorts has published a list of their best properties to read. From the Author’s Suite at InterContinental Dubai Festival City, to the Semiramis Pavilion in Cairo decorated by carved

64 / HOSPITALITY BUSINESS MIDDLE EAST

SEPTEMBER 2013

sculptures immortalising Egypt’s great philosophers, to the breezy ‘Nest Rests’ at Club InterContinental Fiji, it is a charming directory of the finest places to sink into a good book. Globally, we are also seeing luxury brands such as Six Senses, Orient Express Hotels and GHM, commissioning consultants such as Ultimate Library to curate bespoke collections of literature as part of this trend.

PURE AUTHENTICITY Next year, expect to see the leading hotel brands focusing on pure, authentic experiences which take guests to the heart of a destination.

Banyan Tree Al Wadi invites guests on guided nature trails where they will encounter local birds, desert wildlife and discover hidden ancient villages, whilst Kicheche Camps in Kenya offers walking safaris and 1920s-style fly-camping expeditions with Maasai guides. In 2014, there is a real opportunity to bring destinations to life, be it through personal guides and concierges, or via guest literature and social media. Whether choosing a sunrise kayaking trip through Abu Dhabi’s mangroves, a visit to the Spice Souk in Dubai with a personal guide, or an excursion to a pearl farm in Ras al Khaimah, guests will want to have authentic encounters and experiences.

EFFORTLESSLY SOCIABLE Social networking has grown at an exponential rate in the UAE. 41% of the population is signed up to Facebook and more than 250,000 tweets are posted daily by UAE-based Twitter users. We use the internet to research, book and share our holidays and are inspired by the images we see and the stories we read. With Facebook, Twitter and user-generated review platforms such as TripAdvisor and Triptease, guests become not only your ambassadors, but your harshest critics. It is important to ensure your online image reflects your brand and appears effortless, and never forced.

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Five star comfort, efficiency and luxury

Hot Visit u Hal s at l 8, el S Sta the h nd 8 D ow 216 and 20 w 1

A successful hotel constantly excites and delights guests in novel and innovative novative ways. Guests tss who w experience peace of mind, comfort, and custom made services will be refreshed, empowered, d, inspired – that’s a feeling they will return to again and again.

With a strong heritage and unrivalled reputation, Schneider Electric’s hotel solutions make it easy for you to enhance guest comfort and convenience and make the guest have a truly magical experience.

From the lobby to the guest rooms, we provide a wide range of intelligent solutions with exceptional design and technology tailored for maximum enjoyment, safety, and efficiency: access control, guest room management system, designer wiring devices, multimedia and end-to-end connectivity are just an overview of what Schneider Electric can provide to your property.

Ensure everlasting satisfaction for your guests, repeat bookings and a stronger bottom line for you with Schneider Electric.

Visit our booth at the Hotel Show 2013, Hall 8, Stand 8 D216 get a chance to win an iPad Mini!

Print and bring this page with you in our booth or ©2013 Schneider Electric. All Rights Reserved. Schneider Electric is a trademark owned by Schneider Electric Industries SAS or its affiliated companies.

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