Hospitality Business ME | 2014 February

Page 1

GLOBAL HOTEL INDEX: Asia Pacific 66.3%/ $125.91 - Americas 50.5%/ $112.38 - Europe 56.5%/ $131.84 - MEA 59.5% / $180.65 (Occupancy %/ADR $ December 2013)

INSIDE www.arabia The launch of the Arabic internet and what it means for hotel websites

Business or service? Issue 22 • February 2014 • www.hospitalitybusinessme.com

The future of F&B in the face of a booming standlone market and changing licensing laws

Inside Gulfood DATA Tenders & jobs in a new pull out and keep section

What’s new for 2014, from the World Food Security Summit to the Tea House

Stephan Vanden Auweele The Sheraton Dubai Creek GM on the redefining refurbishment

Keys to the Kingdom

0 COVER FEB 2014.indd 20

IHG’s India Middle East and Africa COO, Pascal Gauvin speaks about the world’s largest Holiday Inn and the 50% growth trajectory that will hit a 7,765 room target by 2018

2/3/14 2:04 PM

EVERYTHING DESIGN. ESADORE CREATIVE. Interior Design . Product Design . Brand Development

CONTENTS

26

NEWS & DATA 05. Editorial Board

58

Introducing the industry experts helping to set the magazine’s editorial agenda

06. News 09. Data 18. Euromonitor

INDUSTRY

The data provider an analyst explains the dynamics supporting Dubai’s healthcare tourism industry

36. Gulfood Preview

20. DTCM

At a glance guide to the new features at the 2014 show, which runs February 23 27 at Dubai World Trade Centre

The latest news from Dubai’s Department of Tourism Commerce and Marketing

40. Cover story

PROCUREMENT

IHG COO for Middle East and India, Pascal Gauvin on the group’s ongoing expansions and the largest Holiday Inn in the world

22. Healthy revenues guests and residents

46. The Arabic Internet revolution

26. Refurb round-up

registration of Arabic TLDs, we look at the impact on hospitality booking engines

The top refurbishment projects from around the UAE

34. Supplies & Services Product and service supply news from across the region

40

50. Roundtable Is hotel F&B a business line or a service? And how can revenues be maximised as

Sheraton Dubai Creek GM, Stephan Vanden Auweele, takes Hospitality Business behind the scenes at the soon to be reopened creek-side property

64. Insight Prototype Interactive on The Mobile Digital Future

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FEBRUARY 2014

1

2

PUBLISHING PANEL

DIRECTOR OF SALES BUSINESS DIVISION

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GROUP COO NADEEM HOOD

EDITORIAL

GROUP DIRECTOR OF EDITORIAL PAUL GODFREY paul.godfrey@cpimediagroup.com D: +971 04 440 9105

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SALES MANAGER HOSPITALITY BUSINESS ME JULIE CAULTON Email: Julie.Caulton@cpimediagroup.com D: +971 04 440 9112 M: +971 (0) 56 778 9793

SALES MANAGER, HOSPITALITY DIVISION

GROUP MANAGING EDITORS

MILOS KOVACEVIC milos.kovacevic@cpimediagroup.com M: +971 (0) 56 235 6921

MELANIE MINGAS melanie.mingas@cpimediagroup.com D: +971 04 440 9152

PRODUCTION MANAGER, HOSPITALITY DIVISION VA DEVAPRAKASH

georgina.powell@cpimediagroup.com D: +971 04 375 5685

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In association with...

FEBRUARY 2014

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EDITOR’S LETTER

WHAT’S IN A NAME?

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hat’s in a name? Well, in this industry it would seem it’s much more than meets the eye.

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as that’s how the industry has evolved

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FEBRUARY 2014

3

4

EDITORIAL BOARD

THE INDUSTRY EXPERTS SHAPING YOUR MAGAZINE Hospitality Business magazine’s top industry contacts who assist in guiding the direction of the magazine to create the most relevant content possible

Christopher Hartley CEO, Global Hotel Alliance Chris Hartley is CEO of Global Hotel Alliance (GHA), an organisation based on a business model similar to that of the airline alliances. Chris was one of the pioneers behind the launch of GHA in 2004, and since 2006 he has overseen its development into the world’s largest alliance of independent hotel brands. Today GHA has 19 member brands and over 345 hotels in 61 countries.

Mark Fraser Managing Partner, Taylor Wessing Mark Fraser is Managing Partner of Taylor Wessing (Middle East) LLP and head of its construction and dispute resolution practices. Mark has advised on a range of development and infrastructure projects in the Middle East, Asia and Europe covering the hotel and entertainment, transportation and energy sectors.

Karyn Williams-Sykes Director of Professional Training and Development, The Emirates Academy of Hospitality Management In the past six years in professional training and development, Williams-Sykes has designed, developed and delivered a wide range of soft skills training to many organisations, both within and beyond the hospitality industry and holds an MBA from the University of Leicester.

Tatjana Ahmed Chair and founding member, UAE Professional Housekeepers Group and executive housekeeper Grand Hyatt Dubai Tatjana Ahmed is a member of the Council of Experts for Hyatt International, assisting hotels in the South/West Asia region during the pre-opening stage to set up the Housekeeping Department and implement brand and procedural standards. An award winning housekeeper, Ahmed is the founding member of the UAE Professional Housekeepers Group.

Martin Kubler Founder, Iconsulthotels FZE Martin Kubler is a hotel GM turned hospitality and service industries consultant with more than 15 years’ executive-level management experience in 3-,4-, and 5-star hotels in Europe and the Middle East. Martin runs Iconsulthotels FZE, an ultra in assisting small and medium hospitality and service industries companies and international hospitality and service industries professionals.

Fabian Schmittmann President, AICR Dubai Section Fabian Schmittmann leads the Association

Managers of 4- and 5-star hotels. Founded in 1964 it has developed into an international fellowship with sections in 18

! " #$% founded in 2005 and has grown to become & ' * % Division Executives working and living in the city. Schmittmann is also Director of Front + "

FEBRUARY 2014

hospitalitybusinessme.com

6

NEWS

1 / Dubai to double hotels

#TA@H VHKK CNTAKD HSR BTQQDMS @BBNLLNC@SHNM NƤDQHMFR HM SGD BNLHMF RHW XD@QR HM NQCDQ SN B@SDQ SN HSR S@QFDS SN VDKBNLD L UHRHSNQR AX #DMXHMF SGD @LAHSHNM VHKK B@SDQ OTQDKX SN $WON CDKDF@SDR @MC UHRHSNQR #3", CHQDBSNQ FDMDQ@K '$ 'DK@K 2@DDC K ,@QQH SNKC @ KHUD @TCHDMBD @S SGD ,$$# #DRSHM@SHNM #TA@H BNMEDQDMBD K@RS LNMSG SG@S LNQD HMBDMSHUDR VHKK @KRN ENKKNV SGD 0 @MMNTMBDLDMS HM NE @ ,TMHBHO@KHSX %DD V@HUDQ ř6D JMNV VGDQD SGD UHRHSNQR VHKK BNLD EQNL ENQ $WON @MC VD JMNV VG@S VD MDDC SN ATHKC HM NQCDQ SN B@SDQ SN SGDL 3GD MTLADQ NE GNSDKR VHKK CNTAKD @MC SGDQD VHKK AD LNQD HMBDMSHUDR ENQ SGD CDUDKNOLDMS NE RS@Q @MC RS@Q GNSDKR Ś K ,@QQH R@HC

1

2 / Qatar Airways to join DWC 3GD 4 $ŗR MDVDRS @UH@SHNM CDUDKNOLDMS #TA@H 6NQKC "DMSQ@K VHKK VDKBNLD 0@S@Q HQV@XR řCTQHMF SGHR PT@QSDQŚ @BBNQCHMF SN #TA@H UH@SHNM "HSX "NQONQ@SHNM DWDBTSHUD BG@HQL@M *G@KHE@ K 9@ƧM .MBD NODQ@SHMF EQNL SGD MDV Ŗ UH@SHNM "HSXŗ 0@S@Q VHKK INHM 'TMF@QH@M CHRBNTMS @HQKHMD 6HY HQ @MC &TKE HQ SGD ƥQRS ETKK RDQUHBD B@QQHDQ SN RHFM TO #6" @KRN JMNVM @R K ,@JSNTL HQONQS BTQQDMSKX G@R SGD B@O@BHSX SN G@MCKD SNMMDR ODQ @MMTL @MC NODQ@SDR GNTQR @ C@X NM @M BNLO@SHAKD JL QTMV@X ř!THKS ENQ SGD ETSTQDŚ NMBD BNLOKDSDC VHKK G@UD SGD B@O@BHSX SN G@MCKD LHKKHNM SNMMDR NE @MMT@K B@QFN B@O@BHSX @MC LHKKHNM O@RRDMFDQR 3GD CDUDKNOLDMS VHKK BNLOQHRD DHFGS YNMDR HMBKTCHMF KNFHRSHBR @MC @UH@SHNM CHRSQHBSR @ QDRHCDMSH@K CHRSQHBS &Q@CD BNLLDQBH@K RO@BD SGQDD FNKE BNTQRDR @ GTL@MHS@QH@M CHRSQHBS @MC @M DWGHAHSHNM CHRSQHBS

2

3 / 30 new Starwood hotels in US

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FEBRUARY 2014

3

hospitalitybusinessme.com

NEWS

7

4 / TKI MD on 6,000km culinary charity trip

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5 / IHG scores hattrick in Muscat

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Turn to page 40 for an interview with IHG COO Pascal Gauvin

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global competition

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hospitalitybusinessme.com

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FEBRUARY 2014

Radio Partner TV Partner

Media Partner

Production Partner

Media Partner

Wardrobe Partner

Watch us on ZEE TV Middle East Catch us from 28th February, FRIDAYS at 11 a.m. Replay Telecasts every SATURDAYS at 11 a.m. Online: www.youtube.com/hozpitality

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For inquiries, Please contact us at email@hozpitality.com

FIGURES

Pull and tear here

IN FIGURES Target number of rooms in operations, IHG. VP Spotlight, pg 40

Exhibitors registered to attend Gulfood, February 23 - 27. Gulfood preview Pg 36

Global growth of Starwood’s Four Points, Aloft and Element brands. News, pg 6

The number of tourism arrivals, in billions, logged by UNWTO, 2013. Data, pg 16

hospitalitybusinessme.com

Growth in Arabic language websites 2001 - 2011. Industry Analysis, pg 46

London RevPAR performance, Ecember 2013. Up +9.6%. Data, pg 11

The cost of ongoing refurbishments at Le Méridien Al Aqah. Procurement, pg 26

The distance F&B consultant Daniel during, MD at TKI will motorbike to raise awareness of Alzheimer’s. News, pg 6

FEBRUARY 2014

9

10

GLOBAL DATA

GLOBAL PERFORMANCE

Global hotel performance analytics from STR Global, September 2013 ($) OCC%

ADR

REVPAR

% CHANGE FROM NOV 2013

2013

2012

2013

2012

2013

2012

OCC

ADR

REV PAR

Middle East/Africa

59.5

57.7

180.65

173.41

107.44

100.14

3.0

4.2

7.3

Middle East

66.7

63.0

220.57

215.66

147.10

135.87

5.9

2.3

8.3

Northern Africa

41.0

46.4

85.37

85.91

34.96

39.89

-11.8

-0.6

-12.4

Southern Africa

58.8

56.9

140.21

142.99

82.47

81.32

3.4

-1.9

1.4

OCC%

ADR

REVPAR

% CHANGE FROM NOV 2013

2013

2012

2013

2012

2013

2012

OCC

ADR

REV PAR

66.3

66.3

125.91

130.78

83.46

86.70

0.0

-3.7

-3.7

Central & South Asia

61.5

61.3

139.52

153.15

85.74

93.89

0.2

-8.9

-8.7

Northeastern Asia

64.5

64.6

107.68

110.96

69.42

71.66

-0.2

-3.0

-3.1

Southeastern Asia

70.7

72.2

147.08

147.39

104.00

106.41

-2.1

-0.2

-2.3

Australia & Oceania

71.7

69.2

168.75

182.75

120.99

126.40

3.7

-7.7

-4.3

OCC%

ADR

REVPAR

% CHANGE FROM NOV 2013

2013

2012

2013

2012

2013

2012

OCC

ADR

REV PAR

Europe

56.5

54.5

131.84

125.20

74.47

68.25

3.6

5.3

9.1

Eastern Europe

48.4

47.7

111.82

113.89

54.07

54.27

1.5

-1.8

-0.4

Northern Europe

62.9

60.0

130.70

121.99

82.23

73.20

4.8

7.1

12.3

Southern Europe

48.6

45.4

124.83

117.83

60.62

53.54

6.9

5.9

13.2

Western Europe

57.3

56.9

141.64

135.41

81.17

76.99

0.8

4.6

5.4

OCC%

ADR

REVPAR

% CHANGE FROM NOV 2013

2013

2012

2013

2012

2013

2012

OCC

ADR

REV PAR

Americas

50.5

49.2

112.38

108.50

56.80

53.35

2.8

3.6

6.5

North America

50.3

48.9

109.90

105.93

55.25

51.77

2.9

3.8

6.7

Caribbean

67.0

64.1

242.34

232.23

162.43

148.85

4.6

4.4

9.1

Central America

53.7

52.0

129.05

129.23

69.34

3.3

-0.1

-1.4

3.1

South America

55.0

55.4

138.74

140.66

76.31

77.89

-0.7

-1.4

-2.0

FEBRUARY 2014

hospitalitybusinessme.com

DATA

STR GLOBAL: DATA SNAPSHOT

11

At a glance data from the world’s top trending destinations, with commentary from Elizabeth Winkle, MD, STR Global. SYDNEY

LONDON

Supply: +2.5% Demand: +6.1% Occupancy: +3.6% to 80.0% ADR: +4.8% to $191.88 RevPAR: + 8.5% $155.10 “At the end of a record year for Sydney in terms of hotel performance, December posted the highest levels in all three performance measures for this month since STR Global began collecting data for this market. ADR in particular, achieved the highest level in 2013 and was the main driver for a strong RevPAR performance in December�.

Supply: +1.3% Demand: +4.4% Occupancy: 76.3% ADR: +6.4% $222.92 RevPAR: +9.6% $170.02 “This month saw the highest RevPAR levels of any December since 1994, and is contributing to an overall positive hotel performance in 2013. Although occupancy achieved record levels for the last three years during this month, ADR was the driving force behind the strong RevPAR performance in December�.

DUBAI

SINGAPORE

Supply: +4.7% Demand: +6.6% Occupancy: 80% ADR: +7.7% $289.49 RevPAR: +9.5% $231.55 “December is in line with the previous months and closed another fabulous year for Dubai, achieving the highest RevPAR levels since 2009 for this month. While occupancy overall showed positive growth, ADR was the dominating force driving positive RevPAR performance in December and during the entire year 2013�.

Supply: +5% Demand: +3% Occupancy: -1.9% ADR:0% growth $139.21 RevPAR: -2% $184.64 “Singapore is closing a year with ups and downs in terms of hotel performance posting negative growth in to last year, occupancy fell to the lowest level since 2009, impacted by the additional supply coming into this market�.

hospitalitybusinessme.com

FEBRUARY 2014

Material supplied by

12

JOBS

JOB WATCH Looking for a new challenge? Let us help. All jobs can be applied for through www.Hozpitality.com

business community by being

involved in the various trade organisations.

HOTEL BUSINESS DEVELOPMENT MANAGER

DIRECTOR OF FOOD AND

INDUSTRY: Hotels Clubs and Spas

BEVERAGE

DEPARTMENT: Sales and

INDUSTRY: Hotels Clubs and Spas

! " #

HR MANAGER

RECRUITER: Hozpitality Consulting

DEPARTMENT: Food and

LOCATION: United Arab Emirates

INDUSTRY: Hotels Clubs and Spas

ADDITIONAL DETAILS: A top

Beverage Service

(UAE)

DEPARTMENT: Human Resources

branded international 5-star hotel

LOCATION: !$ %&& '$

SALARY DESCRIPTION: AED

(HR)

in Dubai is looking for a chef de

UAE)

10,000 to 12,000 plus executive

LOCATION: United Arab Emirates

cuisine for their French restaurant.

SALARY DESCRIPTION: 60,000

(UAE)

They are looking for a young

START DATE: ASAP

START DATE: ASAP

SALARY DESCRIPTION: Attractive

talented, French, male or female,

RECRUITER: CHA International

RECRUITER: Apt Resources, Dubai

good looking, with excellent

ADDITIONAL DETAILS: We are

ADDITIONAL DETAILS: We are

START DATE: ASAP

presentation and professional

looking for a European director

looking for a hotel business

RECRUITER: Hozpitality Consulting

skills (1* Michelin level), willing

of food and beverage with a

development manager, male or

ADDITIONAL DETAILS: We are

to create a name for himself

passion for quality and excellence

female with a minimum of two

looking for a HR Manager for our

for a 5–star hotel with 449 rooms

years’ experience in a similar

client a 4-star renowned hotel in

cooking demos and classes in the

and a large F&B operations with

position. The candidate must

Dubai. The right candidate should

Restaurant. The classes could be

11 outlets and banquet facilities.

have knowledge of the Middle

have similar experience in the

The director of F&B will assess,

East market, excellent leadership

hotel industry in UAE. Attractive

receive an engraved personalized

evaluate and ensure that long

and interpersonal skills, strong

DVD at the end of the session.

and short term goals of all F&B

networking skills and be deadline

operations are met.

and budget oriented.

FRONT OFFICE MANAGER

DIRECTOR OF SALES AND

INDUSTRY: Hotels Clubs and Spas

MARKETING

SECURITY MANAGER

SPA AND HEALTH CLUB

DEPARTMENT:

INDUSTRY: Hotels Clubs and Spas

INDUSTRY: Hotels Clubs and Spas

MANAGER

Rooms Division

DEPARTMENT: Sales and

DEPARTMENT: Security and

INDUSTRY: Hotels Clubs and Spas

LOCATION: United Arab Emirates

! " #

Transport

DEPARTMENT: Spa and Health

(UAE)

LOCATION: !$ %&& '$

LOCATION: United Arab Emirates

Club

SALARY DESCRIPTION: Attractive

UAE), United Arab Emirates

(UAE)

LOCATION: United Arab Emirates

salary

(UAE)

SALARY DESCRIPTION: Attractive

(UAE)

START DATE: ASAP

SALARY DESCRIPTION: Attractive

START DATE: ASAP

SALARY DESCRIPTION:

RECRUITER: One to One Hotels -

START DATE: ASAP

RECRUITER: &

Competitive salary offered

the Village

RECRUITER: Hozpitality Consulting

ADDITIONAL DETAILS: We are

START DATE: ASAP

ADDITIONAL DETAILS: We

ADDITIONAL DETAILS:

looking for a security manager for

RECRUITER: Flora Hospitality

currently have an opportunity

Our client is a large leading

an international hotel in Dubai.

ADDITIONAL DETAILS: We are

international hotel group and

Similar experience needed in

looking for a spa and health club

manager holding a solid career

we are looking for a director of

star hotels. Candidates with

manager with an experience of

background preferably in UAE.

sales and marketing .The ideal

experience in UAE preferred.

three years in the similar role

The FOM will join a team of

candidate will have a proven

dynamic executives and will

track record in a similar role in

FEMALE TRAINING MANAGER

chain. The ideal candidate should

be required to have previous

the Middle East. This position is

INDUSTRY: Hotels Clubs and Spas

have excellent interpersonal,

accountable for managing the

DEPARTMENT: Human Resources

communication and training skills.

hotels. Salary will be competitive,

total sales efforts, this includes

(HR), Training and Development

Strong attention to detail and able

as per international hotel chain

the generation of all revenues

LOCATION: !$ %&& '$

to work under pressure. Ability to

standards.

consistent with the company

UAE), United Arab Emirates

supervise and coordinate activities

objectives; implementation

(UAE)

of employees.

FRENCH CHEF DE CUISINE

of sales performance

SALARY DESCRIPTION: Attractive

INDUSTRY: Hotels Clubs and Spas

management systems; revenue

START DATE: ASAP

GENERAL MANAGER

DEPARTMENT:

management systems, and

RECRUITER: Hozpitality Consulting

INDUSTRY: Facilities Management,

Kitchen

market segmentation analysis

ADDITIONAL DETAILS: We are

Hotels Clubs and Spas

LOCATION: United Arab Emirates

for group, corporate, wholesale,

looking for a female training

DEPARTMENT: %

(UAE)

and transient. Additionally, this

manager for a renowned

! %!

SALARY DESCRIPTION: Attractive

position is strongly involved

international hotel in Doha. The

LOCATION: Worldwide, Africa,

with key customer relationships

$

!$ %&& '$ :<$=> :

START DATE: ASAP

and takes an active role in the

Arabic. Salary 6,000 to 7,000, plus

Arab Emirates (UAE)

FEBRUARY 2014

/ 38

hospitalitybusinessme.com

13

JOBS

SALARY DESCRIPTION:

produce optimal network level

ADDITIONAL DETAILS: Etihad

same in all channels of selling.

Competitive Salary Offered

availability control by evaluating

Airways is looking for a social

To follow MIRS standards and

START DATE: ASAP

and improving PROS RM System

media manager to help manage

ensure conformity at all times.

RECRUITER: African Management

and drive both strategic and day-

The position will involve hands-on

Services Company (AMSCO)

and managing system parameters.

to-day aspects of social across

management of search campaigns

Additional details: Hotel is

Post holder must be able to

Etihad’s subsidiary businesses

(PPC, SEO, social media presenc)

demonstrate a sound knowledge

(Cargo, Hala Abu Dhabi, Etihad

and all other online advertising

oversee all aspects of property

of revenue management gained

Holidays and HR). This expert

formats.

management with focus on

$ " ! !

will work closely with the leads

practical experience with an

of each of these businesses and

GENERAL MANAGER

performance, guest satisfaction,

airline using the PROS Revenue

and drive strategic planning,

INDUSTRY: Hotels Clubs and

and staff development within

Management and Amadeus

recommendations and execution

/$ ' 2 6

established quality standards.

Inventory or dedicated areas of

to support the goals of each

DEPARTMENT:

advanced academics study.

subsidiary business.

LOCATION: United Arab Emirates

MANAGER

(UAE)

INDUSTRY: Hotels Clubs and Spas

SALARY DESCRIPTION:

DEPARTMENT:

HOTEL APARTMENT MANAGER

Competitive salary offered

Rooms Division, Revenue

INDUSTRY: Hotels Clubs and Spas

Start date: MARCH

Management

DEPARTMENT:

RECRUITER: 7 ' 8&

LOCATION:

DIRECTOR OF HUMAN

ADDITIONAL DETAILS: Cove

(Except UAE), United Arab

RESOURCES

LOCATION: United Arab Emirates

Beach, Jumeirah Beach Hotel is

Emirates (UAE)

INDUSTRY: Hotels Clubs and Spas

(UAE)

looking for a general manager

SALARY DESCRIPTION:

DEPARTMENT: Human Resources

SALARY DESCRIPTION:

to provide club guests with a

Competitive salary

(HR)

Competitive salary

friendly and professional service,

START DATE: ASAP

LOCATION: % $

START DATE: ASAP

excellent food quality, strong

RECRUITER: Islamabad Marriott

UAE), United Arab Emirates

RECRUITER: Arabian Courtyard

price value and consistency of

Hotel

(UAE)

Hotel & Spa, Dubai

execution in an attractive, well-

ADDITIONAL DETAILS: This

SALARY DESCRIPTION: Attractive

ADDITIONAL DETAILS: A hotel

maintained environment. Further

job will include job functions

START DATE: ASAP

apartment manager is required

responsibilities include personnel

such as maintaining complete

RECRUITER: Boudl Hotels and

to manage a furnished residence

development objectives and

knowledge of and compling

Resorts

in Dubai. The candidate must

! $ "9

with all departmental policies,

ADDITIONAL DETAILS: Boudl

be 30 to 45 years old and be

goals. Five years previous

service procedures and

Hotels and Resorts is looking for

experienced working in a similar

$

!

a director of human resources

position for a couple of years. The

requirements and prepare work

of any nationality. Candidate

$ # #"

DIRECTOR OF FINANCE

schedules weekly, adhering to

should preferably have previous

with good understanding of sales

INDUSTRY: Hotels Clubs and Spas

budget goals. Ensuring that the

experience in ME in a similar role

and marketing and e-commerce.

DEPARTMENT: Finance and

reservation lines are attended at

with an international hotel chain.

all times during scheduled hours

Outstanding ability to create,

LOCATION: 8 #

!

maintain and motivate a team.

INDUSTRY: Hotels Clubs and Spas

Emirates (UAE)

present to meet the daily business

!

DEPARTMENT: Sales and

SALARY DESCRIPTION: Attractive

demands, and more.

and excellent guest relation skills.

&'

" #

" #

LOCATION: United Arab Emirates

START DATE: ASAP

offered for the right candidate.

(UAE)

RECRUITER: Boudl Hotels and

PLANNING ANALYST

SALARY DESCRIPTION: Attractive

Resorts

INDUSTRY: Airlines, Travel

salary

ADDITIONAL DETAILS: Boudl

Industry

START DATE: ASAP

Hotels and Resorts is looking for a

FORECAST AND DEMAND

Accounts

DEPARTMENT: Travel

SOCIAL MEDIA MANAGER

RECRUITER: Marjan Island Resort

1! $ #

Management

INDUSTRY: Airlines, Travel

& Spa

has previous experience in the

LOCATION: United Arab Emirates

Industry

ADDITIONAL DETAILS:

Middle East in a similar role within

(UAE)

DEPARTMENT: Sales and

Responsible for the online sales

an international hotel chain.

SALARY DESCRIPTION: Attractive

&'

$ ! +/

The candidate should have an

" #

LOCATION: United Arab Emirates

IDS channels. Uploading rates

outstanding ability to create,

START DATE: ASAP

(UAE)

decided by the revenue manager

maintain and motivate a team.

RECRUITER: Etihad Airways

SALARY DESCRIPTION: Attractive

'/ $ & 1 !

They should have good English

ADDITIONAL DETAILS: We

START DATE: ASAP

urgency. Be aware of the hotel’s

communication skills and excellent

are looking for a candidate to

RECRUITER: Etihad Airways

rate strategy and adhere to the

guest relation skills.

hospitalitybusinessme.com

FEBRUARY 2014

14

TENDERS

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

residential village comprising (65) villas, (102 Nos.) four-bedroom townhouses and a number of two-bedroom apartments,

TENDERS

including a community center, open spaces along with additional amenities such as a gymnasium, swimming pool and a few retail outlets.

All the latest tenders information you need to know about

CLIENT : (Dubai) COUNTRY : UAE CONSULTANT : HAO Architects (Dubai) : 275,000,000 STATUS : New Project NAME : Jabal Akhdar Anantara Hotel Resort & Spa Project DESCRIPTION : Construction of Hotel Resort & Spa. CLIENT : Oman Tourism Development Company S.A.O.C (Omran) COUNTRY : Oman CONSULTANT : Engineering Innovation Design & Consulting (Oman) CONTRACTOR : Al Jaber Engineering & Contracting -ALEC (Oman) : 53,000,000 STATUS : Current Project NAME : Mixed-use Development Project - Reem Island DESCRIPTION : Development of a mixed-use scheme comprising a new 61-storey residential tower containing (613) furnished apartments and a 15-storey, C-shaped hotel building with (400) guestrooms and (200) apartments. CLIENT : Private Investor (Abu Dhabi) COUNTRY : UAE

NEW & CURRENT PROJECTS

(Omran)

CLIENT : Saudi Hotel & Resorts

CONSULTANT : Architecture &

NAME : W Hotel Muscat

COUNTRY : Oman

Company - SHARACO (Saudi

Planning Group (Abu Dhabi)

Construction Project

CONSULTANT : COWI & Partners

Arabia)

CONTRACTOR : Arabtec

DESCRIPTION : Construction of

LLC (Oman)

CONSULTANT : Perkins & Will

Construction L.L.C (Abu Dhabi)

5-star W Hotel Muscat consisting

STATUS : New Project

(USA)

: 705,000,000

of (290) hotel rooms and suites,

NAME : Five-Star Hotel Project -

STATUS : New Project

STATUS : Current Project

including (29) suites and a royal

Riyadh Diplomatic Quarter

Saudi Arabia

villa.

DESCRIPTION : Construction of

NAME :

NAME : Commercial Tower

CLIENT : Oman Tourism

Dubailand

Project - Bahrain Bay

Development Company S.A.O.C

storeys.

DESCRIPTION : Development of a

Development

FEBRUARY 2014

hospitalitybusinessme.com

15

TENDERS

DESCRIPTION : Construction of

CLIENT : Meraas Development

a commercial tower comprising

(Dubai)

STATUS : New Project

COUNTRY: UAE

NAME : The Boardwalk

STATUS : New Project

Development

COUNTRY : Saudi Arabia PHONE : (+966-1) 488 3800

FAX : (+966-1) 487 939 WEBSITE: http://

Project - Palm

www.riyadh. usembassy.gov

(260) guestrooms, over 500

NAME : Mall of Egypt Project

Jumeirah

square metres of meeting space

DESCRIPTION : Construction of

DESCRIPTION :

and a 900 square metre ballroom.

Mall of Egypt comprising (380)

Development of

Cooperation Investment House

stores along with associated

The Boardwalk

BSC (Bahrain)

retail and entertainment

comprising a pier

COUNTRY : Bahrain

facilities.

on the crescent,

CONSULTANT : Arif Sadiq Design

CLIENT : Majid Al Futtaim Group

consisting of cafes

Consultants (Bahrain)

(Egypt)

and restaurants.

CONTRACTOR : Ahmed Al Qaed

COUNTRY : Egypt

CLIENT : Nakheel PJSC

$34m Hub Zero Theme Park, Belhasa`

NATURE OF WORK : Provision of catering and decoration services. LAST DATE OF SUBMISSION :

February 2, 2014

Group (Bahrain)

CONTRACTOR : Orascom

(Dubai)

: 55,000,000

Construction Industries (Egypt)

COUNTRY : UAE

NAME : Sultan Qaboos University

STATUS : Current Project

: 800,000,000

CONSULTANT : Halcrow

(Oman)

STATUS : Current Project

International Partnership

ADDRESS : Al Khod

NAME : Hub Zero Theme Park

NAME : Red Sea Astrarium

(Dubai)

CITY : Muscat PC 123

Project

Theme Entertainment Resort

STATUS : New Project

50

DESCRIPTION : Construction of a

Project

new Theme Park.

DESCRIPTION : Development

NEW TENDERS

PHONE : (+968) 2451 3333/ 2451

CLIENT : Private Investor

of Red Sea Astrarium theme

NAME : Bahrain Exhibition &

5081 / 2414 1111

(Dubai)

entertainment resort comprising

Convention Authority (BECA)

FAX : (+968) 2451 3158/ 2451

COUNTRY : UAE

four world-class hotels, and

CITY : Manama

3013 / 2441 3391

CONTRACTOR : Belhasa Six

expansive retail and dining

11644

WEBSITE: http://www.squ.edu.

Construct L.L.C (Dubai)

district, a theatre, a 4D cinema,

COUNTRY : Bahrain

om

: 34,000,000

waterpark and an entertainment

PHONE : (+973-17) 558 800

NATURE OF WORK : Provision of

STATUS : Current Project

district that includes (16)

FAX : (+973-17) 555 513

Cafeteria Services.

entertainment attractions.

EMAIL : info@bahrainexhibitions.

COST OF TENDERS : ($) 75

NAME : Mall of Qatar Project

CLIENT : Aqaba Special

com

LAST DATE OF SUBMISSION :

DESCRIPTION : Construction of

Economic Zone Authority -

WEBSITE: http://www.beca@

February 13, 2014

a new shopping mall comprising

ASEZA (Jordan)

bahrainexhibitions.com

NAME : Sohar Industrial Port

three storeys featuring a

COUNTRY : Jordan

NATURE OF WORK : Provision

Company - SIPC (Oman)

of Hospitality Equipment &

CITY : Sohar PC 327

Rubicon Group

Accessories.

9

Holding (Jordan)

COST OF TENDERS : ($) 40

COUNTRY : Oman

CONTRACTOR

LAST DATE OF SUBMISSION :

PHONE : (+968) 2685 2700

: Arabtec

February 5, 2014

FAX : (+968) 2685 2701

hypermarket, a

CONSULTANT :

$16m

department stores and at least 20 restaurants, in addition to a car

COUNTRY : Oman

Mall of Egypt Project

park with capacity to accommodate (7,000)

for Aqaba Special Economic Zone

NATURE OF WORK : Provision of

(Jordan)

NAME : Royal Guard (Saudi

Catering Services.

:

Arabia)

COST OF TENDERS : ($) 130

1,600,000,000

CITY : Riyadh

LAST DATE OF SUBMISSION :

COUNTRY : Saudi Arabia

February 25, 2014

STATUS : Current

cars. CLIENT : Private Investor

Construction L.L.C

Project

EMAIL : info@royal guard.gov.sa

(Qatar)

WEBSITE: http://www.rg.gov.sa

NAME : Ministry of Interior

COUNTRY : Qatar

NAME : Katara Towers Project -

NATURE OF WORK : Provision of

(Qatar)

CONSULTANT : Chapman Taylor

Lusail Marina District

catering services.

CITY : Doha

(UK)

DESCRIPTION : Construction

COST OF TENDERS : ($) 535

2433

CONTRACTOR : UrbaCon General

of Katara Towers comprising a

LAST DATE OF SUBMISSION :

COUNTRY : Qatar

Contracting (Qatar)

February 23, 2014

PHONE : (+974) 433 0000/ 484

STATUS : Current Project

luxury hotel, including branded

9444

apartments, consisting a total of

NAME : Embassy of USA (Saudi

FAX : (+974) 444 9228

NAME : Dubai Theme Parks

(614) rooms.

Arabia)

EMAIL : info@moi.gov.qa

Development Project

Hospitality (Qatar)

ADDRESS : Abdullah Ibn

NATURE OF WORK : Rental of

DESCRIPTION : Development

COUNTRY : Qatar

Hudhafah As Sahmi, Safarat,

Cafeterias.

!

CONSULTANT : Kling Consult

CITY : Riyadh 11693

LAST DATE OF SUBMISSION :

promote tourism.

(Dubai)

94309

February 15, 2014

hospitalitybusinessme.com

Katara

FEBRUARY 2014

16

GLOBAL DATA

UNWTO TOURISM FORECAST, 2014 The UN World Tourism Organisation predicted an average growth of 3 – 4% in 2013, but global results show further gains and a strong start to 2014, as international arrivals top 1bn

I

nternational tourism performance exceeded expectations last year with arrivals increasing by 5% and forecasts calling for the good news to continue in 2014, the United Nations World Tourism Organisation announced last month. “It was a remarkable year for tourism growth despite challenges to the sector, both natural and man-made,� UNWTO Secretary-General Taleb Rifai told a news conference, where the results were released.

International arrivals were up by 52 million to a record 1.08 billion in 2013,

the growth leaders, followed closely by Europe and the Americas. “Indeed, tourism has been among the few sectors generating positive news for many economies,� he said. Looking ahead, Rifai said the UNWTO panel of 300 worldwide experts predicted an increase of between 4% and 4.5% this year, with regional

region (+5% to +6%) and Africa (+4% to +6%). Other advanced economy source markets, such as Japan, Italy and Germany, all experienced declines in outbound expenditures. International tourism arrivals in Europe and the Americas were expected to grow by 3% to 4%. The Middle East is the most volatile and unpredictable region,

Europe UK Canada +3% overall growth in outbound expenditure

+3% overall growth in outbound expenditure

+29m arrivals on 2012, totalling 563m arrivals in 2013. 5% total growth doubled regional average of 2.5% from 2005 – 12

Russia +26% growth in tourism expenditures through September. 5th largest outbound market

+14m arrivals on 2012, with total 248m in 2013, up 6% over 2012. Strongest growth recorded

Americas +6m cross border arrivals. Leading growth destinations: North America +4%; Central America +4%; South America +2%; Caribbean +1%

China Middle East

Africa +3m tourist arrivals on 2012, reaching a total of 56m in 2013, aided by recovery in North Africa and sub-Saharan destinations, according to the !

"# $ & $ ' growth due to the fallout from political unrest in some key destinations dampened positive results in Gulf states

FEBRUARY 2014

+28% increase in * ! nine months of 2013. The largest outbound & 2012, maintained in 2013

Australia +3% overall growth in outbound expenditure

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“The online MBA from Glion is a perfect match for busy hospitality professionals anywhere in the world...� Philippe Le Bourhis General Manager, Novotel Bangkok on Siam Square, Thailand, Glion Online MBA student

Glion Institute of Higher Education

Glion’s Suite of Online Programs:

Ranked number 2* among all international hospitality management schools in the world for an international career, Glion’s 100% online programs are dedicated to developing executive talent for the global hospitality and wider services industry. As a market leader in hospitality management education and with close ties to the industry, Glion delivers tailor-made online programs for corporate partners and individuals. Contact us for more information.

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Email: inquiry@gliononline.com For more information visit: www.gliononline.com

18

ANALYSIS

IN FOCUS: MEDICAL TOURISM

On behalf of Euromonitor International, Abdelwahid Afennas, explains the data supporting the development of Dubai’s health tourism industry

H

ealth and wellness tourism is increasingly becoming a factor within the United Arab Emirates Medical tourism not only dominates health and wellness tourism in the United Arab Emirates, accounting for 83% of retail value in 2012, but also posted stronger growth in comparison with spas at 10% in current value over the previous year. Spas are meanwhile less common in standalone locations in the country, with the majority found in hotels/resorts. Most medical tourists come from neighboring countries seeking surgical procedures that are not available in their own country, such as cardiac or orthopedic treatments. On the other side,

some Western tourists sometimes seek minor plastic surgery whilst on holiday. The high quality of healthcare in the United Arab Emirates and shorter waiting times are usually key factors to opt for treatment in the country, as well as the plastic surgery. Spas recorded slightly lower growth than medical tourism, with current value sales rising by 6% in 2012 over the the rising number of both domestic and inbound tourists in 2012, even if sales remained constrained by tourists simply opting for inclusive deals in hotels, where the majority of outlets are located. Hotel/resort spas in turn saw a better performance than other spas, which

Who is Arthur Gillis?

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remained a niche area in the United Arab Emirates. Hotel/resort spas posted outlet volume and current value growth of 6% in 2012 over the previous year. Growth was primarily supported by new launches in this area. Growth in spas is likely to be driven by ongoing investment in luxury hotel/ resort spas. Over the forecast period, the number of outlets is predicted to rise by a CAGR of 6% due to a range of new developments in the pipeline amongst leading operators. Coupled with a rise in tourist numbers and more and more consumers looking to pamper themselves, constant value sales are thus predicted to grow at a similar rate.

FEBRUARY 2014

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Four Seasons Hotel | Pudong, Shanghai, 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 F + 971 4 884 8235 E sales@gulf.preciosa.com

www.preciosalighting.com

20

DTCM

DTCM to split marketing and regulatory activities One of many announcements made in the run up to Expo 2020 A shakeup at DTCM will see the Department separate its marketing and regulatory responsibilities in order to better promote Dubai on the global stage, while still keeping check on the Emirate’s hotel industry in terms of development and regulation. The move will see the creation of DCTCM (Dubai Corporation for Tourism of DTCM that will become the entity responsible for the promotion and marketing of the Emirate of Dubai. The decree dictates that the Corporation will have a mandate which includes promoting the Emirate as a prime destination for tourism, entertainment, and events; promoting the Emirate’s credentials for global business, with the essential facilities, infrastructure, events and expertise

required to facilitate trade; and attracting regional and international businesses Corporation will be responsible for public and private sector organisations whose work relates to the tourism and commerce sectors in the Emirate and for fostering trade relations with local, regional and international companies within relevant industries, with a view to increasing inbound travel and trade. With responsibility for promoting the Dubai brand, the Corporation will establish and operate representative ! taking responsibility for the commercial marketing of the Emirate and its tourist facilities, resorts, products and services through advertising, event organisation, festivals, exhibitions, entertainment

and commercial shows, social media, digital marketing and other means of communications. In a series of announcements made in late January, it was also revealed by DTCM director general, HE Helal Saeed Al Marri that a new leadership team would be appointed to lead developments ahead of Expo 2020. “Very few people do not know Dubai and as we move forward as a major hub we need to manage our message to the world and brand ourselves globally.� New initiatives and structures from the Department will be funded by the Tourism Dirham, Al Marri added, during a keynote address at a conference last month, in addition to an annual government budget and proceeds from commercial sponsorship and promotional campaigns.

Australian government commends Emirates’ security Emirates group security awarded by authority Emirates Group Security has received an award by the Australian Department of Immigration and Border Protection in recognition of the Group’s cooperation and assistance in border enforcement. The award was presented to His Highness Sheikh Ahmed Bin Saeed Al Maktoum, Chairman and Chief Executive of Emirates Airline and Group, by Major General Jim Molan, the Special Envoy for Operation Sovereign Borders, to acknowledge Emirates Group Security’s " ! #!

FEBRARY 2014

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21

DTCM

Hotel investment and development streamlined Initiatives introduced by HH Mohammed bin Rashid Al Maktoum In his capacity as the Ruler of Dubai, UAE Vice President and Prime Minister, His Highness Sheikh Mohammed bin Rashid Al Maktoum issued a series of directives designed to enhance and streamline hotel investment and development in

the Emirate. The directives were made in response to recommendations raised by Dubai’s private sector developers during a consultation workshop organised and hosted by Dubai’s Department of Tourism and Commerce Marketing

Dubai Food Festival launched 23 day event, more than 200 cuisines featured Already making waves as an emerging gastronomic destination, Dubai has further strengthened its gourmet credentials with Launched by Dubai Festivals and Retail Establishment (DFRE), an agency of Dubai’s Department of Tourism and Commerce Marketing, the new festival brings together some of the Emirate’s most popular business and consumer food events for business and consumers over 23 days, including four weekends

hospitalitybusinessme.com

from February 21 to March 15, 2014, Dubai Food Festival will also feature a wide range of food-related activities, ! "# $ ! # Michelin starred chefs to street food, drawn from the cuisines of more than 200 nationalities.

FEBRUARY 2014

(DTCM) and Dubai Municipality and attended by representatives of key investors in the hospitality sector including Al Habtoor Group, Al Futtaim Group, Al Ghurair Group, Rotana Group, Dubai Holding and Emaar.

22

Driving healthy revenues across the Middle East, Sophie McCarrick by both guests and local residents

F

or many hotel visitors, health and wellness programmes located within resorts are simply seen as added amenities, provided to enhance their stay. However, from the hotelier’s perspective, is that really all they are? With the general public becoming increasingly more in tune with their personal health and wellbeing, it seems that those successful management and evolvement of their gyms, inhouse wellness programmes not only boost guest satisfaction, but also tremendously contribute to revenues. manager, Habtoor Grand Beach Resort and Spa explains: “The health and wellness programmes at the hotel add substantial revenue, as they are not only used by our guests but by residents who sign up for annual memberships and other increased occupancy levels and guest satisfaction. “At the beginning of each year we see a rise in people joining Elixir Spa and Health Club as this is a prime time for everyone ! " ! # to improve their health.� # $ % ! & & ! & facilities. # & & ! ! Cedric Betis, director of wellness for the Jumeirah Group

comments: “The concept of functional training is becoming immensely popular. Functional training is not a new system, but

& ' ( & ) *

! & ! & ! + / ! also penetrating the industry and “will continue to innovate and grow in the coming years.� New look 0 & & goes hand-in-hand with maintaining 0 1 # ShuiQi Spa and Fitness Centre recently underwent refurbishment, to guarantee the facility remains maximised and guest satisfaction is increased. “We decided to renovate with the intention of developing an experience that would exceed the already high expectations of our guests. In order to do this, we ensured we went straight to the top for

2 3 eager to stay healthy on the road and to experience new ways to improve their well-being irrespective of age and ability. At the moment 90% of usage comes from guests at Atlantis,� said Neil Hewerdine, vice president of spa services at the hotel. Also celebrating the launch of their new health venue, In Balance Spa by Novotel, Al Barsha, has already received ! & 61 especially among UAE residents who are moving towards

healthier diets and exercise regimes,� comments Claudette Abela, spa and recreation manager, In Balance Spa, Novotel " ! & ' popular. $ ! considerable revenue, Nel Tenorio from Spa Al Aqah, Le Meridien Al Aqah Beach Resort says: “Wellness programmes are ! & &

Spa Al Aqah is incredibly popular and an asset for us that most 7 ! the long-term.� At Spa Al Aqah, the resort boasts a health club that is fully 8 2 sauna, steam room, jacuzzi, free-form swimming pools, tennis

Popularity for wellness

growing, especially among UAE residents

Amara Entrance.

Habtoor Grand - Elixir - Spa Treatment Room.

FEBRUARY 2014

hospitalitybusinessme.com

23

and squash courts, personal training, various classes and more. Fitness evolution A vital role in creating a successful business out of a hotel’s fitness centre is catering to the ever-changing expectations of guests, contemporary standards of safety and hygiene, in addition to ensuring that a property offers quality, unique services. “To ensure that our fitness regimes remain popular we

perspective, our most frequent requests are for specialised dieticians. Everyone is getting more health conscious and

Although our highest percentage of revenue is brought in via tourists, we also have many Fujairah residents who are members at the spa too,� adds Tenorio. ! " # $ % ! &

a vast selection of treatments and facilities ranging from customised experiences using the ancient healing philosophies of sapphire, ruby, emerald and diamond, to a Technogym equipped fitness centre where all cardio equipment feature personal television touch-screens. ' ! ! & ( " # $ explains: “The Amara Spa is a very successful, revenue generating outlet within the hotel. The award-winning spa is especially popular amongst residents as people become increasingly health conscious. They are realising the benefits of being active and healthy and seem more dedicated in opting for such a lifestyle, thus programmes such as our yoga classes and memberships are becoming ever-more popular. “In order to maintain the revenue stream, Amara Spa listening to the wants and needs of our guests, we are always aiming to exceed their expectations. The majority of Amara & % $ guest database. We recently launched a new membership programme and yoga classes after concluding that our guests want to be more active.� ! ) * # $ $ training sessions are becoming all the rage. The Radisson Blu Health Club provides a wealth of health and wellness facilities including a sauna, steam room, different types of massage treatments and gym facilities aimed at muscles shaping, weight loss, stamina and physical fitness. “Health and wellness facilities and programmes are a very important sector in our hotel and their popularity is certainly growing, since people nowadays are striving to adopt healthier lifestyles when travelling or at home. Although these facilities are added guest amenities at the Radisson Blu, it is also a successful revenue stream, especially since we implemented ongoing promotions that are popular with in-house guests and visitors,� says Hisham Salama, recreation manager, Radisson Blu. “As manager at our health club, I am always trying to follow

In Balance Spa Interior Novotel.

Atlantis Spa Royal Suite 3. Jumeirah Creekside Hotel, The Aviation Club, Relaxation Room.

Jumeirah Messilah Beach Hotel & Spa Salt Room.

huiQi Entrance at Atlantis.

Madinat Jumeirah - Talise Spa - beach sunset yoga.

24

352&85(0(17 Ç– +($/7+

Shuiqi juice counter at Atlantis.

Tranquility Garden.

implement different programmes of interest for our guests and members. Weight loss programmes, personal and group training programmes are very much in trend and we now have programmes is from residents, because of the memberships

favoured by our tourists,� adds Salama. Reaching new heights ! " # $ East, the Jumeirah Group is now investing time and money towards research and development in their health and fitness sector, to ensure all of their equipment and facilities are cutting-edge and aesthetically pleasing to visitors; ultimately raising their profit bar. Recognising the business potential of incorporating health programmes in their facilities, Jumeirah Group’s global wellness branding, Talise, encompasses fitness, spas and nutrition, offering a holistic collection of experiences dedicated to providing members and guests with integrated solutions for overall wellbeing. Their programmes can be tailormade to suit individual needs and can incorporate weight management,

rejuvenating massages and more. At their hypoxic training venue, altitude fitness offers maximum health benefits within a short timeframe. The suite operates on the principle that as altitude increases, air pressure decreases and less oxygen is available for the body. This leads to positive health benefits for the guest, including better utilisation of nutrients within muscles and tissues. %

Cedric Betis, director of wellness for the Jumeirah Group explains: “Managing and reducing lifestyle diseases through healthy eating and exercise is becoming increasingly important for individuals and corporations around the globe. The diversity in fitness enthusiasts has increased over the &

' we are surrounded by tasty food; because of this wellness programmes will therefore continue to grow.� According to Betis, Jumeirah Group’s fitness operations are supported greatly by residents, who bring in around 90% of ) income stream is equally sustained by both visitors and residents. *

up but operate independently with a dedicated team and structure. They complement our hotel offering but are also & & socialise,� Betis concludes.

Our most frequent requests are for specialised dieticians. Everyone is getting more health conscious

Le meridien al aqah.

Jumeirah Messilah Beach Hotel & Spa Theraphy Room.

Le meridien al aqah

FEBRUARY 2014

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26

SPECIAL FEATURE

In with the new As the luxury market continues to grow, established hotels are taking a competitive stance against the newcomers, with extravagant and endless refurbishments. Sophie McCarrick reports

Hotel name: Le Royal MÊridien Location: Abu Dhabi In operation since: 2005 under the Le MÊridien brand, but established in 1993 Refurbishment details: Full redesign of public spaces, F&B outlets and all rooms and suites Completion due: April 2014 Cost: Undisclosed. refurbishment on October 1 2013, Le Royal MÊridien guests are now reaping and suites in the Deluxe Tower, which for today’s sophisticated business and leisure traveller. Thus far, additional highlights of the project include implementation of a traditional lobby, redesign of the all-day dining restaurant

CafĂŠ Palmier and the artisan bakery and bistro, Wheat, and introduction of Le Royal Club Lounge. “The decision to carry out the refurbishment was made in order to bring the hotel into a modern and contemporary class within the hospitality market and to enrich our guest experience with stylish Le MĂŠridien concepts. The objective is to keep the hotel as one of the best when it comes to 5-star hospitality,â€? explains Shaun Parsons, GM. This year’s renovations will see three of the hotel’s main F&B destinations launched into the lavish redesign; Latitude 24, Amalfi and Stratos. “We fully understand the importance of outstanding F&B to our business, which is why we are introducing new culinary offerings while revamping our existing restaurants to engage guests with exciting and diverse dining experiences,â€? Parsons concludes.

FEBRUARY 2014

hospitalitybusinessme.com

27

SPECIAL FEATURE

Hotel name: Beach Rotana Location: Abu Dhabi In operation since: 1993 Refurbishment details: Renovation of 152 rooms and F&B venues Completion date: 2014 end Cost: Undisclosed A large-scale renovation project launched bringing fresh, modern vibes to its residence. Under refurbishment during 2013, Italian restaurant Prego’s was the programme. The venue now boasts a warm, acquainted welcome with new beige, black and red hued furnishings and intimate, decorative lighting. Hotel restaurants Trader Vic’s, Benihana, Brahaus and Finz also undertook a sprucing-up last year. Continuing into this year, all hotel apartment rooms will be revived with modern dĂŠcor and trendy furnishings, coupled with simultaneous refurbishment of The CafĂŠ at the Suites and possible upgrade of facilities at the beach club. “Management is always looking for the best way to serve our guests, enabling them to have a memorable stay. Based on this foundation we understand that the key to remaining competitive within the market is to upgrade the product, which is where our plan to refurbish some of our outlets and hotel rooms came in. Following refurbishment completion, our hope for the hotel is to maintain continuous high occupancy and most importantly ensure our guests’ satisfaction,â€? says JĂśrg A. Hauri, hotel GM. “Considering the growing competition in Abu Dhabi, my main expectation is to maintain our position in the market place,â€? he adds.

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FEBRUARY 2014

28

Hotel name: Kempinski Mall of the Emirates Location: Sheikh Zayed Road, Dubai In operation since: 2006 Refurbishment details: Thorough enhancement of rooms, F&B outlets, lobby and driveway Completion date: During 2014 Cost: Undisclosed An elaborate enhancement plan, set out in 2012 continues to see luxurious improvements and alterations being made at the Kempinski. So far, a complete redesign of Aspen by Kempinski has been carried out, transforming it from a restaurant. In addition to a stylish

SPECIAL FEATURE

lobby revamp and an extension of the hotel’s driveway, which now features four lanes instead of two, with Arabic “The hotel is only seven years old, but the enhancement programme is a chance to further improve our facilities. We have worked hand in hand with our owners, who understand the importance of innovation and novelty in the industry, to upgrade the hotel and to ensure an even more comfortable stay for our guests,� explains Konstantin Zeuke, GM at the Kempinski Hotel Mall of the Emirates. Throughout this year, the hotel expects to introduce two new dining concepts and complete the ongoing refurbishment programme of all guest rooms.

FEBRUARY 2014

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30

SPECIAL FEATURE

Hotel name: Le MĂŠridien Al Aqah Location: Dibba Road, Fujairah In operation since: 2002 Refurbishment details: Full redesign of 218 rooms, pool and lobby Completion date: Q4, 2014 Cost: $6.8 million

Bose music systems. The guest room environment is inspired by Furairah’s surroundings such as waterfalls and long beaches, bringing a natural, relaxing beauty to the rooms. According the Patrick Antaki, complex GM: “The hotel continues to set the benchmark for hospitality on the East Coast despite growing competition, and as market leaders our commitment to quality remains steadfast. “The decision to refurbish the rooms was a natural one based on guest feedback and a need to remain contemporary.� Currently enjoying an average occupancy of 83%, Antaki is certain this number will increase following project’s completion.

Initiated last year, this ambitious renovation and modernisation programme, now sees more than half of the hotel’s rooms refurbished, encompassing new Le MÊridien brand design concepts. Introducing an appealing blend of style and technology, main features in the new rooms include TVs, wireless high speed internet and

FEBRUARY 2014

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32

SPECIAL FEATURE

Hotel name: Habtoor Grand Beach Resort & Spa Location: Al Sufouh Road, Dubai Marina In operation since: 2005 Refurbishment details: Complete revamp of 320 rooms and F&B outlets Completion date: September 15 2014 Cost: To date, $2.4 million Already half way through a complete revamp of the hotel’s facilities, the Habtoor Grand Resort and Spa proudly presents 320 newly refurbished premium tower rooms equipped with the latest technology and interiors to maximise guest comfort. Accentuating the hotel’s vision to remain a leading 5-star establishment, upholsteries are made from Italian silks and beds include

FEBRUARY 2014

the highest quality mattresses, down room entertainment systems, full HD and high-speed wireless internet access are all supplied to cater to today’s clientele. “The recent refurbishments are not only a necessity in terms of remaining a step ahead of the industry but also a statement to our guests, to show that they are constantly at the forefront of our minds,� explains Nicolas Villemin, director of sales and marketing at the Habtoor Grand. This year’s refurbishment will see further room renovations in the resort’s garden area, and expansion to F&B venues available, which will aim to accommodate the evolving preferences of each and every guest.

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34

SUPPLIES & SERVICES

SUPPLIES & SERVICES

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

Inspiring future sustainability

New security systems launch

Interface, designer and manufacturer of carpet tiles, has ! new sustainable product collection. The new product range of carpet tiles is designed to provide sustainable business opportunities for the hospitality industry and meet customer demands to supply sustainable products in the region. A pledge by the company entitled ‘mission zero’ aims to eliminate their entire impact on the environment by 2020.

Global energy management specialists, Schneider Electric, introduced their latest video security technology last month under the brand ‘Pelco by Schneider Electric’. With Pelco’s IP camera range and video portfolio, Schneider Electric seeks to promote valuable, costoptimising video security systems. The new product video management systems, as well as thermal imaging series of IP video accessories were also launched, designed to operate in all environments and applications.

Newly introduced range of bi-folding doors Specialist manufacturers of aluminium bi-folding doors, Origin, has recently launched a new range of electric bi-folding doors. According to Origin, demand for the folding sliding doors is strong in Europe and is now sweeping the Middle East, as more designers and ! " doors have been used in developments across the UAE such as Maison Mathis at Arabian Ranches, the Al Bustan Hotel in Abu Dhabi and Anantara The Palm Jumeirah.

FEBRUARY 2014

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SUPPLIES & SERVICES

35

Hirsch Bedner Associates’ MENA expansion

Highest chairlift in Mecca Clock Tower

Following a successful year of growth in 2013,

Associates (HBA) has mapped out plans for further ! " #$

!

Dubai has increased its revenue by 50%, accounting for almost 10% of total company global revenue, translating into $10 million dollars. HBA’s upcoming projects include the Grand Hyatt Mecca in Saudi Arabia, the Corinthia Hotel Benghazi in Libya, the Saraya Aqaba Resort in Jordan, and the Harbour Point Development in Lagos, Nigeria.

Platform lift and chairlift suppliers, ThyssenKrupp Access, recently won the 2014 Project of the Year award for its successful installation of the highest chairlift in the world at the Mecca Royal Clock Tower Hotel the world’s third tallest building. It took one week to install the complete rail system with 13 sections and 29 curves. The ‘Flow’ chairlift was found to be the only suitable lifting solution to provide access to the very top of the building.

! '

time in the UAE, by bedding solutions company, Intercoil International. Combining the latest design in mattress comfort with patented temperature control technology, the

'

*+/6

78/6 :

$

!

Intercoil International’s showroom in Al Quoz, Dubai, queen and king size mattresses can be found for AED14,200 to AED15,000.

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FEBRUARY 2014

36

EVENT

GULFOOD: ! "#$

edition of Gulfood will also see a number of new initiatives and show highlights. Ahead of the show’s February 23 opening, Hospitality Business brings you the roundup BARISTA BONANZA AND COFFEE COUNCIL A first for Gulfood, this is a unique opportunity to experience a variety of brewing techniques performed by top baristas in partnership with The Speciality Coffee Association of Europe (SCAE). SCAE will operate The Coffee Stage, with the SCAE Education team delivering a series of seminars to

introduce its new, three-tiered Coffee Diploma System. SCAE will also be running a ‘brew bar’ where worldclass baristas offer exclusive tastings of speciality coffees from all over the world. Where: DWTC, Hall 2 When: Throughout the show

FEBRUARY 2014

Why Visit: Coffee enthusiasts and professionals will have the opportunity to participate in the Coffee Diploma System programme, to learn more about brewing techniques, attend cupping sessions with coffees from different roasters, gain theoretical knowledge of the green coffee market and more.

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37

The number crunch

THE INNOVATION GALLERY The Gulfood Awards are now the region’s most highly-regarded industry accolades, and the launch of the Innovation Gallery will showcase, for the first time, innovations recognised by the awards. When: Throughout the show

Where: Sheikh Saeed Halls Why Visit: Opened for all Gulfood exhibitors and food traders. An excellent opportunity for visitors and exhibitors to get the ‘touch and feel’ of the extraordinary innovations being recognised by Gulfood Awards.

4,500

Exhibitors in 2014

120

International Pavilions in 2014

10

EXPORT ADVICE CLINIC

New Country Pavilions in 2014 Importers and exporters alike will benefit from the expert advice provided by key government, industry, trade authorities and market analysts. Whether you are seeking advice on legal issues, logistics challenges, regulations, business start-up or simply looking for credible and comprehensive market research, the Export Advice Clinic is an excellent starting point from which to plan your agenda.

Where: DWTC When: 23-27 February 2013 Who/ Why Visit: Food importers and exporters will have the opportunity to develop their business network and gain professional advice from key government and industry authorities and market analysts. A great opportunity to gain new information and start up guidance for food industry players looking to expand into the Middle East.

68,681

Trade visitors from 152 countries - 2013

13%

Visitor Increase in 2013 compared to 2012

3,864

Competing Chefs

80,000

Visitors are expected in 2014

27,000m²

WORLD CUISINE International chefs prepare signature national dishes in live animation theatres within their national pavilions, giving visitors a chance to taste, enjoy and source authentic ingredients from around the world, direct from the most qualified source.

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Where: Country pavilions When: Throughout the show Why Visit: Opened for all Gulfood exhibitors and food traders. Also a creative and fun event that will give participants the chance to plan their own menu and enjoy national dishes.

FEBRUARY 2014

Gulfood 2014 is strictly a trade-only event and is open to business and trade visitors from within the industry only. The show is open 11am7pm from February 2326 and 11am-5pm on February 27. The online entry fee is AED150 ($40) and onsite entry fee is AED250 ($ 66.65). For more information, please

38

EVENT

THE TEA HOUSE Dubai is now the world’s biggest hub for the import and export of tea - a commodity of global relevance. The dedicated pavilion at Gulfood, created as an authentic China Tea House, will provide a meeting point for the global tea trade and tea aficionados, and will offer demonstrations and tasting sessions throughout the day. Where: DWTC When: Throughout the show Who/ Why Visit: For tea industry traders and tea aficionados this will be a new opportunity to experience rare, new products and a chance to strengthen relationships within the tea industry, explore new business strategies and meet potential business partners.

WORLD FOOD SECURITY SUMMIT The first global event of this scale to be hosted in the region, the World Food Security Summit will bring together over 300 government ministers, high ranking officials and key decision makers in the food and agriculture sectors to discuss food security challenges and find common solutions for a secure and sustainable food future. Key topics

include food security in the Arab world, innovation and responsible investment in agriculture, poor nutrition and waste reduction. Where: DWTC When: Throughout the show Why Visit: Nearly 90% of the food consumed in the GCC is imported and current trends suggest populations will

cross 50 million, domestic agricultural output increase will be conservative, and food spending will jump to $106bn Summit highlights: Interactive discussions, networking luncheons, VIP connections, and a selection of auxiliary events to network and build lasting partnerships.

Bobby Krishnathulasi, senior food studies and surveys officer, Dubai Municipality, will speak at the World Food Security Summit.

FEBRUARY 2014

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Chef Competition United Arab Emirates, 2014 Do you have a desire to push culinary boundaries? Are you open to experimenting with new ingredients? Would you like to win an all-expenses paid business and leisure trip to New Zealand to experience the country’s food, lifestyle and culture?

Here is your chance New Zealand Trade and Enterprise invites all UAE-based chefs to enter the 2014 Taste New Zealand Chef Competition. For more information about the competition, including how to enter, visit www.nzte.govt.nz/TasteNZ The Taste New Zealand Chef Competition is open to all senior chefs over 21 years of age, based in the UAE.

40

VP SPOTLIGHT

KEYS TO THE KINGDOM I

Already the largest international hotel company in Saudi Arabia, IHG is on a 50% growth trajectory to hit a 7,765 room target by 2018. India Middle East and Africa COO, Pascal Gauvin reveals the plan

n the 50 years since its Middle East debut – back when the market was so under-developed this was the

region – Intercontinental Hotel Group has become the largest international hotel company in Saudi Arabia, with 24 properties operating today and a further

50% mandate for growth over the coming The growth isn’t just underpinned by the kingdom’s travel and tourism ! ! " # $

FEBRUARY 2014

&' $ # # (

' $ ) $ * # + business is diversifying, pilgrimage is increasing dramatically and the country is secure,� observes COO for Middle East . / + 1

3 &6 $

grow as the market grows, or more if we

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VP SPOTLIGHT

have a greater market share than our competitors,� he says while continuing to reveal that, in actual fact despite the strength of the market it will be the latter part of that statement most likely Last year the group announced it is to build the world’s largest Holiday Inn

in 2016 and will debut the Staybridge Suites brand, with two openings scheduled for Jeddah and a further seven Referring to the country as nothing ! Saudi Arabia is one of the most critical territories for IHG’s brands; where " # ! Inn, Crowne Plaza and Intercontinental $

%& & ' ( to understand who the customer is ' Management contracts are 15 to 20 years and it’s a long time, you have to know ' ! & " then make an informed prediction of how & ( & ' & Because we have been there for a long time we have a good understanding of & & ' ' As investments, business and pilgrimage guest numbers continue to soar – the latter currently standing at more than 3m – the future Saudi ) $ & $ * & extended stay properties, short stay brands formerly targeted to the businessfocused Riyadh or leisure oriented Red Sea will increase in frequency to serve the markets between the hubs and the total mix of global and local chains will $ + ) $ ! ! . always been a place where we can develop business very quickly, it has an

STATS

1975

IHG opened Saudi Arabia’s first international hotel

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5,880

41

InterContinental Dubai Festival City.

Holiday Inn Riyadh.

international and domestic market and ! ! / of IHG’s operations today is more than just a reflection of the mite of an $ / Saudi Arabia itself signals the country’s own market maturity, where a range of $ ! $ $ $ ( ! ' you start with the highest level brands and then you start introducing other

rooms operated by IHG in Saudi Arabia, over 24 hotels, rising to 7,765

50%

growth in Saudi Arabia to 2018 under the current growth trajectory

FEBRUARY 2014

brands, which can go for younger customers for example, or different star Recalling the journey to become the operator with more rooms in a single country than some operate globally, 4 ( & Intercontinental 50 years ago and then the other brands came in and people began to understand the variety and how they cater to the range of guests, especially in ' ' + ) $ Growing together / 7 Globally in Q3 last year, IHG’s RevPAR 8 8 ! ! ' 9 999 7 Growth between Q1 and Q3 tipped

42

! ! In emerging markets RevPAR was # $ # % & ' increase in the third quarter driven by continued strength in Indonesia and ( ( ) *+') % , - business for IHG with particular strength ( . % '/0' ) *+') 1 % 1

2( 3'0 4 * * 5 just announced the new Crowne Plaza in 6 / 5 % Intercontinental in the city in Dubai / 7 5

VP SPOTLIGHT

* & 3'0 there are three more in the pipeline,� 9 * 5 the concept of the world’s largest Holiday Inn in this region could be seen as a natural progression, but taking such decisions lightly is far from 9 * 7 2: % down to three ; : is an amazing brand and there are not many brands that can open a hotel of < & / % * (

= * % % ( % to build these facilities to provide what 2( plus the vision of the owners for a market which exists as the result of > 5 % in other regions, predominantly Asia, has resulted in the addition of new culturally-tailored brands Gauvin maintains such an exercise % * / 0 However the delivery of that brand experience, regardless of which brand

20 years ago as a GM, I would have managed my hotel within my management style. Today it’s a bit

Staybridge Suite Cairo.

InterContinental Dubai Festival City.

Holiday Inn Riyadh - Meydan.

FEBRUARY 2014

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44

VP SPOTLIGHT

Staybridge Suites Abu Dhabi.

it is, he predicts to be one of the most important industry developments over the

to ensure the guest experience is

customer satisfaction every day and we have a lot of data and this region has grown by four points on a scale of 100 over 15 months and that is

achievement,� says Gauvin who credits this single element of his role as the proudest moment of his COO tenure to !

The mission is heavy on my shoulders and you need to have your successor ready for you, to get the continuity in the company to see that we are delivering on "# In practice, the philosophy works by analysing who the customer is and why

STATS

7

new hotels will be opened by IHG in Saudi Arabia before 2018 end

1998

$ % &!% '( %

much more likely to name a destination # So important is the initiative there is

general manager as a brand manager�, which aims to ensure a Holiday Inn doesn’t deliver the brand promise of an !

)* as a GM, I would have managed my hotel within my management + % -

+ GM is in charge of the brand so he is in charge of delivering that brand

.

! % /

goes from one Intercontinental to

"

2 in the way they are welcomed, the

Club Lounge, the room, the service, the "

! it too low or too high the guest will not

# It’s a bold observation in an age where price comparison and review websites

3 consumer behaviour, yet the academics also agree and everything from research papers to books back Gauvin’s 2

Looking ahead to 2014, when Gauvin will mark two years in his current role, the focus will be on India and continuing to enhance operations, which are 2 (

which is very ambitious and important for us and I also want to be successful in ! ! " !

so dynamic and that’s part of the things I want to focus on, in addition to the three consistencies of guests, the brand experience, and clarity in delivering that .

#

We have a very large growth plan which is very ambitious and important for us and I also want to be successful in India

the year Staybridge Suites debuted in Cairo, the first branded property in MENA

1,224

rooms at Holiday Inn Macao Cotai, China, the largest currently

FEBRUARY 2014

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46

INDUSTRY ANALYSIS

THE ARABIC INTERNET REVOLUTION

No longer dependent on .com or .net domains, the Arabic Internet now has its own TLD; a revolutionary development, that will reshape local Internet access. But what will it mean for hoteliers whose sites are only available in English?

W

hen Tim Berners Lee’s World Wide Web first launched, it was designed to be a communication channel to connect the whole world but, as in offline life, language barriers remained. Now, a year after the initial awareness campaign began, the Arabic equivalent of .net, which translates to .Shabaka, is taking off, and global brands from Google to Rolex and Mont Blanc have

clamoured to secure their Arabic TLD (top level domain). Like the Internet itself, the trend shows no sign of slowing and in the ten years to 2011 the prevalence of Arabic language websites saw a 2,500% growth. Arabic is the fifth most used language online and the eighth most spoken language globally but until now users have had to navigate to Arabic language sites via English language search engines. Eliminating the idiosyncrasy, this new chapter in

FEBRUARY 2014

the enablement of the Arabic Internet will open up the web to the Middle East and North Africa’s 380m Arabic speakers and with it bring unrivalled business opportunities, as the new domains have the technology to replace previously issued CTLDs (country top level domain) such as .ae and .om. “There is huge potential for the major hotel brands both for those organisation’s needs and possible business,” comments Yasmin Omer, GM at ARI Registry Services, the TLD

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47

INDUSTRY ANALYSIS

specialists who launched .Shabaka. she adds: “Speaking from experience, you can feel a greater sense of loyalty with the companies who have built an Arabic Internet site. If you go to a page that is English you cannot create the same resonance,” she adds of the user value for the Arabic language user community. There are around 160 million active websites, and 111 million of them are .com. All this is about to change with around 1,300 new domains going through the final stages of launch — with the first ones likely to be online in the next few months. Industry take up According to research conducted by global travel market research company, PhoCus Wright, gross bookings made in the Middle East online travel sector, both through direct channels and online travel agencies, grew by 18% in 2012 to reach $10.5 billion. Online bookings are expected to nearly double between 2011 and 2014, when the region’s online leisure/unmanaged business travel market will approach $16 billion in value. Compounded with the breadth and reach of the Arabic language Internet community, one would expect hospitality chains too, to be clamouring with the likes of Google and Mont Blanc to register their TLD, however the take-up to date – even for translating of existing websites – has been slow. Time Hotels now has an Arabic language .ae site, which debuted ahead of the Eid Al Adha holiday last year, and will leverage a near $3bn global online hotel reservations market for the local chain. Marriott Hotels has a translated booking engine for 3,800 properties in 74 countries, allowing both ME users and Arabic speakers elsewhere to access full property and booking information in their native tongue. Marriott Rewards members can also collect points for their stays via the new Arabic portal.

STATS

380m

Arabic speakers in MEA

hospitalitybusinessme.com

50%

Estimates of the percentages of Web sites using various content languages as of 26 April 2013 by W3Techs.com

2%

PORTUGUESE

3% ARABIC

11% OTHERS

4%

JAPANESE

4%

55%

FRENCH

4% 5%

ENGLISH

CHINESE

SPANISH

5% RUSSIAN

5% GERMAN

“We currently have over $100 million of revenue booked annually via marriott. com in Arabic speaking countries and clearly recognise the role that online technology is playing in people’s everyday lives,” commented MEA president and MD Alex Kyriakidis. “ “For our guests, booking a room online is the beginning of their hotel experience. As one of the world’s leading operators, it was important for us to give our Arabic speaking customers, who are looking for speed, rich content, features and ease of use, the freedom to book a hotel in their own language.”

increase in web sale ambition Accor’s Arabic site

$100m

revenue from bookings in Arabic geographies, Marriott.com

Last month, Accor launched its Arabic language point of sale website for hotel reservations across its 14 brands in the Middle East, with an aim to achieve a 50% increase in web sales by year end. The English language Accor.com, currently registers 280m unique users annually and reaches 30% penetration. The company buys 12 million keywords annually and is currently the third “first visit” travel booking website on the Internet, after Booking.com and Expedia. More than two years in the making, the website is part of a “360° digital strategy to serve hotels and guests better”,

18%

increase in hotel bookings made from ME, 2012

FEBRUARY 2014

2,500% growth in Arabic language websites, 2001 – 11

48

executive vice president Jean-Luc Chretien said at the launch. Working alongside the regional English language website that went live in 2011 – and which achieved a 32% revenue growth in 2013 – it took 12 months and 30 developers to build. However, .com does not exist on an Arabic keyboard and as these sites have an English language TLD they will require re-registration or re-routing in order to truly penetrate the Arabic booking market. With ever growing numbers of ‘window shoppers’ visiting sites before committing to a booking, the first impression such a commitment creates, will be more important than ever. The world awaits Considering the numbers, it’s surprising the technology has not been rolled out sooner. Says Omer: “We have had 30 years of .com and .net and even when the technology to introduce an Arabic equivalent to these sites was rolled out, there was no body to bring the Arabic Internet to Arabic speaking Internet users. We are now in the ‘land rush’ period and are accepting applications from January 31 to register

INDUSTRY ANALYSIS

Rank

Language

%

1

English

54.9%

2

Russian

6.1%

3

German

5.3%

4

Spanish

4.8%

5

Chinese

4.4%

6

French

4.3%

7

Japanese

4.2%

8

Arabic

3.0%

9

Portuguese

2.3%

10

Polish

1.8%

The most used languages online, as of April 2013.

yourhotelname.shabaka for example,� she adds, while promising that the aim is not to out-price companies who want to register their Arabic TLD. Arabic is the fastest growing language online and .Shabaka will have a global audience, even beyond the 20 countries that use Arabic as their official language, states Internet Corporation for Assigned Names and Numbers (ICANN). The aim to facilitate communication in a language that until now has been largely ignored on the most important communication platform that exists

today, is what Omer describes as “becoming part of the movement to empower to Arabic language on the Internet�. The development comes at a critical time, when online booking values are surging and the scramble to take a greater share of the regional and domestic tourism markets is defining the success of individual hotel chain’s activities, both the internationals and local unbranded. In what could become a turning point for the prominence of traditional, independent and local brands, should the internationals fail to seize on the .Shabaka opportunity, the undeniable impact on the hospitality industry will begin to trickle through, over the course of 2014 and the rush to register domain names and translate existing English language websites will cause a revolution in how the industry moves forward on this critical element of sales and distribution. “The majority of Internet growth is coming from the developing world and these Internet users will increasingly demand an end to end user experience in their native tongue. The Internet of the future will fully support language diversity,� Omer concludes.

What is .Shabaka? Translated from Arabic, .Shabaka is the Arabic equivalent of .com or .net (TLD) for the Arabic Internet. The technology behind the TLD means that Arabic language Internet users no longer have to use English search engines or domain names to access Arabic language websites. Revolutionising 30 years of Internet history, which saw a dominance of .com and .net domains, the closest the Arabic Internet community came to its own TLD was the launch of the country TLDs (CTLD), such as .ae and .om. International global brands have already begun registering their .Shabaka domains and where dual been made an auction will be held by

FEBRUARY 2014

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The15 HOSPITALITY COMPANIES YOU NEED TO KNOW OUT THIS MONTH Get your copy at Gulfood and top hospitality trade shows in 2014 PUBLISHED BY

50

ROUNDTABLE

SERVICE OR BUSINESS?

Dubai’s top F&B directors, GMs and chefs debate the ever evolving concept of hotel F&B and ask if changing licensing and star rating regulations could

F

rom the restrictions in licensing laws to the development of neighbourhood facilities, until very recently the top F&B destinations were concentrated in the UAE’s hotels. Today however, with increasingly aggressive ROI targets and pocketed relaxations of the alcohol licensing regulations, the hotel’s once guaranteed revenues and customer bases require more persuasion in

From top left: Walter Knight, GM, Citymax; Subarna Thapa, F&B manager, Dusit Thani; Joachim Textor, executive chef, Anantara; Marc Gicquel, regional director of F&B, Hilton Worldwide Arabian Peninsula; Christian Gradnitzer, group culinary director, Jumeirah. From lower left: Carlos Hannon, chef patron, Tortuga; Chris Lester, Caprice executive chef; Thomas Pendarovski, executive chef, Martinez, executive chef, Jumeirah Emirates Towers; Claudio Melis, executive Italian chef, Jumeirah Group; Uwe Micheel, director of kitchens, Radisson Blu.

return for their loyalty. These changing market conditions – compounded with the impact of all-inclusive and halfboard leisure activity packages, not to mention pressure from owners to look at the hotel on a Rev/SQM model rather than RevPAR – are sparking debate as to whether F&B within hotels should in future be developed as merely another guest service or a business driver in its own right.

FEBRUARY 2014

Gathering top chefs, F&B directors and GMs from a broad cross section of local properties, Hospitality Business asks if the 400 room hotel with 10 or more restaurants is still a viable business model; if POS marketing should be leveraged to claw back a greater market share; and whether or not there is enough courage and demand in the market to deliver truly authentic and original dining experiences.

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ROUNDTABLE

Looking at F&B versus rooms as a revenue stream, where the split between each has varied from 20/80 to 60/40 (see graph) would the percentages be the same in terms of profits rather than revenue? All: No TP: We are pushed for a bottom line and we have to push those profits, but you can only do so much sometimes, so you have to think ‘what can I do differently’ while considering the pressure from the owners. MG: The structure of the family versus single room property is very different. F&B is more labour intensive so you’re never going to achieve the same ROI and that also depends on the hotel brand, for example luxury versus limited service. UM: Nobody cares about the money brought in by F&B per head, it’s all about RevPAR. TP: the overhead on the rooms is less. UM: What’s to stop the conversion of restaurants to spa? It you’re working on a revenue per square metre model, which it how revenue management is kicking in these days, rather than on the traditional RevPAR model, that will be the future. The B&B concept has huge potential here. So there should be fewer outlets and more rooms? WK: A lot of the outlets in Dubai are in hotels because of the alcohol laws. Traditionally hotel F&B outlets are added service, they weren’t originally designed as big profit generators. We have created them to become profit generators over the years. In Dubai you have so much competition on the F&B front – look at how much more marketing goes into advertising the F&B outlets than the hotel. You spend far more time and more money on trying to promote an F&B product than you do promoting a hotel. MG: It’s all about what you promote locally too. For F&B you need to be focused on the local market. WK: Exactly, but you only have so many people in a local market so if you have such choice you are all going for that same piece of pie. You have to be more aggressive with higher costs. CL: The economics are changing slightly.

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If we look at annual revenue for a hotel, what percentage do you aim for F&B to contribute? REVENUE FROM F&B

MARC GICQUEL HILTON

WALTER KNIGHT, CITIMAX MATIAS MARTINEZ, JUMEIRAH EMIRATES TOWERS

REVENUE FROM ROOMS

THOMAS PENDAROVSKI, SOFITEL

UWE MICHEEL, RADDISSON

Hotels have had market share because of licensing but the freestanding restaurants years I see that market increasing, which creates even more pressure on the hotels because, let’s be honest, where else in the world do more than half the hotels have more than 10 outlets? TP: Look at the hotels around DIFC. That was a dry area and then they granted the alcohol licences to all those freestanding restaurants and business dynamic. The same will happen elsewhere.

opportunity. In terms of thinking about # ( " restaurants will be full because of the rooms but Dubai doesn’t work like that. WK: The tour operators bring in the bulk of your leisure markets anyway and they lot of the time they include a meal; dhow cruise with dinner, desert safari with lunch. On a seven day holiday, apart from planned. If hotels don’t sell half board you’re going to sit with empty outlets. MG: I agree with you and we as F&B professionals should be more aware to target # We should be working with sales, marketing and business development before the customer arrives and we should include casual dining and speciality restaurants in packages.

F&B outlets in hotels traditionally are added service, they weren’t originally generators

How will the optimum revenue split change in line with such economics? UM: The only person ahead here is Walter because he isn’t dependent on ! " # $ # CL: If you have 600 rooms you want to be able to accommodate those guests in the hotel’s restaurants, you don’t want them to leave. If they are spending two weeks with you, you want repeat visits. TP: There was a study conducted on # % " ' breakfast, on average your guest will dine in your hotel restaurant once and that’s usually the day they arrive because they are tired. That’s a major problem. MG: We should see this as an

FEBRUARY 2014

This is also an issue of in-house marketing once the guest arrives. Taking the first time visitor leisure market: We’re seeing a trend now in concierge apps and more inventive POS promotions, in-room during check in and even before guests arrive, especially since the rise in mobile apps. Do you see any opportunity to putting that information into guest’s hands?

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CG: thinking as hoteliers: Why are people only coming to our outlets once? Yes because we deliver a service and that is the mind-set we have and we deliver a concept that may not be properly set. Why do some freestanding places do 700 covers a day and hotels do none, despite having perhaps up to 700 people sleeping in the hotel? TP: When I travel, for example when I go home, yes I want to see what’s out there but I also want to see what’s new in the market. When I go to a hotel, I will eat see what else is out there. CL: Remember the economics that go into the restaurant. There are also a lot of residents who eat out and some places only ever really get the residents because until a few years ago residents had no choice but to go to hotels. It’s not just the guests who aren’t going to the hotels but the residents also. CG: Hotels freestanding restaurants because they have a bigger market to draw to but the

concept, then execute and deliver it with consistency. If you’re staying there for and are blown away by the food, why can’t you come back? We have locations

Carlos Hannon and Chris Lester.

within the group where our guests do not leave the place. Yes we have selection but it’s the consistency of delivery and giving people the feel you’re not just in a quality standard restaurant. CL: It’s the clientele. UM: No, it’s not. These places have great service, music, lighting. In hotels that can be a disaster. CG: We are building a very big commitment behind the creation of freestanding destinations. We have these ideas but we have to achieve them. Why do you go to certain places? Consistency. And you can crave it and go back. Think freestanding, think about the business model and have a commitment from the ownership. WK: Something I am basing my outlets on is a friend in Johannesburg, who has fantastic restaurant called The Grill

Where else in the world do more than half the hotels have more than 10 outlets?

FEBRUARY 2014

House. He hasn’t changed his menu in 25 years. It’s three items and he is full. Constantly. CH: Sometimes the message we want to translate is the sequence of service, and what the guest needs. Be yourself and once you’re yourself you will have

new concepts. Your culture is what you want to share with the people. How is the relationship between F&B directors, procurement managers and chefs changing? Are competition and new economic conditions shaping that relationship? UM: I think there is much more partnership today. I don’t know many hotels that still entertain the old concepts of the executive chef being the outlet manager attending meetings and counting tea spoons between services. I think the F&B director and chef are equal partners and the market dictates what to do. The way Dubai is moving

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Service within Reach

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with all the freestyle restaurants and the ever growing certainty that restaurants in Dubai’s JBR will be licenced within 18 months, competition is going to get tougher. MG: If you take an example of the

implemented a full vision in F&B. We have one person looking after the banqueting, dining and lobby lounge and another is looking after the branded outlets so has the objective of being very reactive to that market. These compete with high street business and

very successful so far. SP: But we’re missing another point here and that’s SOPs. Every major corporation whether it’s Jumeirah, Marriott or Hilton, the difference between a freestanding and hotel is the SOPs, surely? CG: I proudly say we don’t have SOPs in

the concept. You can say you’re Italian but you’re not Italian because you’re following one cookie cutter standard. Restaurants are not as rooms. Rooms you you execute. Restaurants are delivered by people and the concept you set. In other countries when you talk about restaurants it’s being clear on the concept. Very big words. If I say I’m a Mexican restaurant I have to have the right people working in there.

ROUNDTABLE

CG: On the other hand brand creation is ! creation is about consistency. That’s why we have a philosophy of core menus for a year to which we make slight changes or add promotions to them. We as an industry try to impress people everyday but sometimes we just confuse them.

Joachim Textor and Uwe Micheel.

We hired Claudio four months before opening because he was the right person

pressure but we are trying to create freestanding restaurants through talent. If you’re in the luxury segment, focus. WK: The other in the freestanding mentality whether it’s the guy on

kitchen, if they don’t make money they don’t stay open. CL: Our brands work within Jumeirah just as much as any other. There is integration and we are still able to have not necessarily all the SOPs but to work within their guidelines and reactively. You have to make yourself a niche that way.

Marc Gicquel, Hilton is a brand traditionally built on knowing what to expect, because historically that’s what business travellers wanted. How difficult is it to shift corporate culture that is so engrained into this new world? MG: It’s not a shift, we are going to run two businesses in parallel. One of them an established brand and has a big value and that’s why you need the SOP because you cannot compromise. Whether the Waldorf Astoria or the Conrad, every brand is different and guest expectations are based on that. But it doesn’t stop you within that hotel from having all day dining and traditional restaurants in the hotel, especially with Table 9 and the new chef there, this person is responsible for his restaurant and for his food and he is running it as he runs it. They are bringing some life and a "

not about making a shift from one to one as both are complementary. You want to

# If you design all day dining well you can shift from breakfast to lunch and dinner $

creativity in terms of design is important. CG: That’s the challenge, dining and destination is what everybody has and working backwards up and that’s where you will be able to attract. Business is understanding, feeling and living and putting the right package together. Creating history creates culture and that’s what we are doing; segregating into a restaurant culture and a restaurant and bar culture. During that process people will fall off, people will come on board and people will be attracted to that model.

On a 5 day booking, eliminating breakfast, on average your guest will dine in your hotel restaurant once

Walter Knight and Subarna Thapa.

FEBRUARY 2014

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ROUNDTABLE

Joachin at Anantara you have brought new concepts and restaurants to the scene, but how difficult was it to drive through? JT: We didn’t want to create just another Chinese or Vietnamese restaurant so we came up with Mekong, which combines all of these things. The Mekong is a river in Thailand and there are a few thousand people living on its banks, cuisines, so our menu is a journey down that river. That combination brings relevance. Another concept gaining popularity is Australian cuisine, but on the other hand there are a lot of steak houses, so we serve Australian steaks with fresh seafood and we will introduce Australian cheeses later. We wanted to create

to invest in management to eventually make them owners. But that goes back to the start and when you actually begin that process. CH: For me the challenge is in delivering a unique service. When we opened I was afraid to say Authentic Mexican Cuisine, because people then only expect fajitas. I want to introduce unique recipes and family recipes, that don’t always need nachos. But if I don’t put those big fajitas on the menu, perhaps the restaurant would be empty. TP: What’s the most powerful thing we have? Word of mouth. If you are doing true authentic, beautiful cuisine, that person who dines there will tell people. CH: So we go back to the beginning: People, personality, identity. How many beautiful restaurants do you find in Dubai? But where is the culture? It’s our responsibility to build that in Dubai, the city. UM: When I opened a Chinese restaurant I only hired people who had never left ! Chinese restaurant in Dubai, but it took a year for people to accept that the food ! " # $ &

We should be working with sales, marketing and business development before the customer arrives and we should include casual dining and speciality restaurants in packages

Over the last year we have heard of a number of potential challenges, from introducing a set number of Emirati dishes in each restaurant in Dubai to a more rigid approach to food and recipe labelling. Then we look at Qatar which tightened up on alcohol overnight. All these things happen without warning but what do you see as the main challenges? MM: How does a menu that has to be 10% Emirati work in a Chinese restaurant? UM: 2014 has a strong focus on this and we have Emirati chefs but they are very two or three in each property to provide this. In terms of the food labelling we all have our systems in place. WK: somebody demanding 10 Emirati dishes on your menu. And as the market sees more supply it’s going to become even CG: The challenges in consistency are because of turnover, the industry philosophy to move around. So you have

a Mexican restaurant with three Mexican chefs and it was empty. After six months they ordered a Mexican take-away gave it to the chef and said ‘this is what’s successful’. What did the chef say? ‘That’s not Mexican food’. Finally, can we have a 4-star or 5-star hotel in Dubai that only does breakfast and has no other outlets? UM: In future, yes MM: In order to be a 5-star you need all day dining and a lobby lounge but I think that if the regulations cease to apply you will find many operators seeking to do that. WK: We are doing the opposite. The perception of the customer is that a '( $ )*+ have Angus and Grade A beef. Yes there will be hotels in the future with only one restaurant, but we are trying to break that mentality by having a mid-market hotel that isn’t restricted to mid-market outlets. TP: / 3 kill us. MG: " $ )*+ & ST: In the future we will not be seeing 400 room hotels with 15 outlets. Hotels with no more than four restaurants will be the norm.

Hospitality Business would like to thank Alta Badia, at Jumeirah Emirates Towers, for hosting this discussion, and all the participants for their involvement.

Thomas Pendarovski and Christian Gradnitzer.

FEBRUARY 2014

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Gerald Lawless CEO, Jumeirah Group

Hospitality Business ME magazine The choice of the professionals To advertise please contact: DIRECTOR OF SALES BUSINESS DIVISION

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GM PROFILE

Sheraton Dubai Creek GM and Dubai area manager, Stephan Vanden Auweele, invites Hospitality Business behind the scenes on one of the most extensive refurbishment projects in the emirate

ince it closed on July 8, 2013, Sheraton Dubai Creek has undergone a transformational refurbishment. Inclusive of an extensive structural, hardware and services upgrade, the hotel about to re-open will be almost unrecognisable to Now a matter of weeks before its ! rooms and suites are complete; new lobby concepts and outlets are in the testing phase; and drastic new touches to the hotel entrance, reception area and F&B outlets are in place. "

in Q2 last year, the plan was to refurbish guest rooms and public areas, including the Vivaldi restaurant; introduce new # $ brand development; and refresh other facilities. At the time there was no

publically announced intention to undertake any structural work, not least because of the iconic stature of the creekside building, however that soon changed. Explaining the joint owner/operator input on the drastic decision, hotel GM and Dubai area manager, Stephan Vanden Auweele, comments: “The partnership knew the renovation of this hotel was due but of course you

The original renovation was planned for last year but was delayed due to additional structural work that was decided upon. “From a customer perspective, to do both those tasks at once you then are

set new standard in a property.� That new standard will see the installation of a new reception area in keeping with new trends in customer interaction, design and technology; new lighting; state-ofthe-art elevators; arrival canopy and # % '

the guest rooms 42 inch LCD television, DVD player, iPod docking station and WiFi internet, in addition to soft furnishing updates. On the F&B side, highlights of the work include Vivaldi restaurant and bar; Hatta room, where guest breakfasts and lunch % ' ( new Lobby cafĂŠ and the Link@Sheraton,

20 years ago having silver cutlery was the highest priority, today it’s high speed internet

FEBRUARY 2014

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GM PROFILE

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FEBRUARY 2014

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to make the entire lobby area more interactive. Soft refurbishments have been completed on all other outlets and banquet areas. The physical changes are only half the story. While some of the work is designed around the concept of shared spaces and facilitating interaction – both guest-to ) ) * hospitality will also receive a facelift. That is, the common denominators Sheraton stands for that allow the freedom to develop what is absent in niche brands such as W and Aloft. " # % + /0 putting nice sofas into a building, we have taken time to assess and identify

GM PROFILE

the gap in what we were doing and what the higher grade hotels are doing, both here and globally. That goes from valet, doorman, being escorted to where you want to go. We want to take this hotel to the next level, in both hardware and service.� The services upgrade pre-empts the consumer demands of tomorrow, as Auweele explains, and when transferred to 1 # * 1 near six decade history – is the premise underpinning concepts such as Sheraton Club, Social Hour and Link@Sheraton. As Auweele articulates it, “this is an ongoing evolution that will continue�.

Another major point in the overhaul is Global Personalisation Starwood, or GPS, that sets out a mandate to at this Sheraton but across the portfolio, facilitated largely by technology. “Dubai has raised a bar in service over the last few years. A decade ago this hotel would have been a good 5-star, but the bar has been raised on the competition and we are ready now to take it on.� The Glocal market While on the one hand, the renovations – both hard, soft and conceptual – are the local take on instructions from Sheraton ! " # $ % & '( has also been unmistakable. ' prerogative to mandate everything from % % % services, Auweele credits the system with & %% And in reference to that global standard " # % observations of global trends, from

The new look rooms.

FEBRUARY 2014

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Fine dining? Fine reading! If you work as a chef, restaurant manager, sommelier, banqueting manager or catering manager for a four or ďŹ ve star restaurant in the UAE, then apply for your free monthly copy of The Pro Chef Middle East, the magazine for ďŹ ne dining professionals.

To advertise please contact: Ankit Shukla Sales Director E: ankit.shukla@cpimediagroup.com M: +971 (0) 55 257 2807 Published by

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GM PROFILE

bathroom sizes to the technological provisions. “Is this something Dubai has said? No it has come from the design world and how hotels are being developed. The directive

space to the bathroom is a reaction to that. “In observing how the industry is evolving they have pushed the owners to upgrade their properties. Dubai is the place that will lead the global standard because the DTCM directives are putting Dubai at the forefront of innovation.� While there is little doubt such compromise is to spark evolution, rather than revolution. “The customer base here is changing and we are adapting to it. The traveller of the 20th century interested in the same standards that existed 20 years ago; having silver cutlery was the highest

And in marrying the old with the new to create a progressive hospitality experience, Auweele is also able to preserve the architectural heritage of a property that is one of only a small handful of hotels to be truly located ! " Shunning the glamour status the hotel ! " #$%& shiniest and “best� on the market, today ' ! ( " understated gem in an enviable location. “Even today it is an architectural landmark unlike other designs that you see today. It is well designed but in a way that was timeless for its time, especially in this location. And those are qualities no other hotel has. “The rich history of this building means it has grown up with Dubai, and with most of the famous events happening in this location I think it is regaining its position. )*

#$%+ life span mirrored that of the growth of Dubai. Even today it is an architectural landmark and we have been the biggest, tallest, most impressive building. Today !

The DTCM directives are putting Dubai at the forefront of innovation

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INSIGHT

THE MOBILE DIGITAL FUTURE Alexander Rauser, CEO of Prototype Interactive explains the importance of prioritisation in digital strategies

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martphones and tablets have become central to consumers’ personal and professional lives and impact on the way deliver their products and services. The hospitality sector is not exempt from this ongoing change and the need for integrated technical solutions across booking sites, such as TripAdvisor, Expedia, Zomato and many others, the industry needs to keep up with their socially earned media, reputation and online presence as well with their own technologies from booking engines, to websites and apps. time and cost intensive. Therefore it is important to prioritise and manage the digital portfolio carefully and strategically. being present across all social channels is involving engagement and constant monitoring, many brands are developing their own digital assets too. This includes websites, mobile web, apps and their own social outlets. excitement these days and many brands that allow customers to book, manage or plan their trips. This brings hospitality brands even closer to the world of technology, because developing your own applications can bring a lot of complexity smartphone operating systems such as !"# # $ # # % requirements and distinct technical # & for a company to enter the mobile market. Therefore any custom and bespoke solution needs to be planned very carefully and even more importantly needs to be integrated into any existing systems seamlessly in order to add value, drive conversion and save costs.

' # ( quite obvious: Customers, especially customers of the hospitality industry are on the move. It is no longer given that a user is making a booking from a desktop computer, a mobile phone or tablet. Users are constantly connected and are getting used to manage their life digitally, wherever they are. Consumers are expecting relevant information and

FEBRUARY 2014

personalised experiences based on their time and location. Customer relationship management tied into solid digital experiences combined with analytics & future and the question is not if, but when and how to enter the realm of digital innovation. For more information, visit http://

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