Arabian Travel News - Sept 2010

An ITP Business Publication

September 2010 Issue 9 Vol. 5

Licensed by Dubai Media City

VISIT BRITAIN ROLLS OUT ‘BRITAGENTS’ Tourism board launches free training scheme

LUXURY TRAVEL IS HEATING UP IN AFRICA THE ISSUE

S L I N G T I PW S L E S P O E T I N T E RV I EXPERT NDTABLE ROU

RAMADAN SEES BOOKINGS SLUMP Holidays cut short for the Holy month WIN! A STAY FOR TWO AT LE MERIDIEN AL AQAH | INDUSTRY INSIDER | TECHNOLOGY: WHAT’S NEW WITH GDS?

Contents News

40

05 News Ramadan sees bookings slump; Orient Travels bucks trend with four new shop openings; Agents pass with flying colours; Air Berlin appoints Oasis Travels as local GSA; Emirati tour guide gets accredited; Kuwait tourism lacks promotion; Royal Caribbean sees surge in Middle East guests; Sabre wins GDS race into Iraq.

10 Tourism Boards Visit Britain launches agent training scheme.

26

11 Accommodation Raffles opens in Makkah; First five-star for Iraqi city; GCC sees highest hotel rate falls.

12 Airlines Sama grounded due to losses; BA to increase Gulf winter capacity; Oman Air starts Kathmandu service; Gulf Air adds three new destinations; Etihad launches alleconomy flights; Emirates adds extra US flights.

18 How to sell

Q&A

14 BTSME

18 Upmarket Africa

25 Cecily Mbarire

Business travel restoring confidence; BTS ties up with ACTE for show seminar programme.

South Africa and Kenya are emerging as the hottest new luxury travel destinations.

Kenya’s Assistant Minister for Tourism says it’s time the UAE market discovered Kenya.

26 The Luxury Line-up

38 Patrick Antaki

We asked the experts in the luxury travel sector for their advice on luxury travel trends, how to sell and where to book your VIP clients next.

The general manager of Le Meridien Al Aqah talks about the new Fujairah Tourism Authority.

Comment 16 Industry Insider Content fragmentation means finding the best fares costs time and money says Tim Waddell.

33

30

Interview 30 Campbell’s collection Jacqueline Campbell, managing director of the Travel Collection.

Roundtable debate 33 Leaders in Luxury We gathered the experts in luxury travel at Raffes Dubai.

Agent Action

Technology

47 Fam: LaDolce Vita

40 GDS Update

Agents report back from Florence.

The latest in the airline / GDS battle, plus GDS providers update us on their new products.

www.hoteliermiddleeast.com

48 An Iftar Extravaganza Travelport hosts agents at Atlantis.

September 2010 – Arabian Travel News

01

REGIONAL NEWS

Online

The online home of

Most-read stories on

hoteliermiddleeast.com EDITOR’S PICK

1. PHOTOS: Rhodes Twenty10 launch party

Brit holidaymakers left stranded after tour operator collapse

2. Hotel workers arrested outside Hyatt

British travel company Sun4U has collapsed, leaving over a thousand holiday makers stranded abroad. The company is the second UK travel firm to go under this summer after tour operator Goldtrail went into administration in July.

A message on Sun4U’s website said the Birmingham-based company had ceased trading and advised passengers to contact the ABTA Travel Association.

Around 1,200 Sun4U customers are currently abroad, mainly in Spain.

5. Airbus crash in Pakistan

3.Gordon Ramsey’s Cape Town restaurant shuts down 4. World’s sexiest DJ to play in Dubai 6. Top 10 outlet openings in 2010 7. Dubai Hard Rock Cafe lands world’s largest guitar 8. Plane crash email ‘racist’ - Etihad CEO 9. Hot summer hotel offers

LATEST FEATURES

10.Ritz-Carlton sale imminent - paper IN PICTURES

Million-starhotellaunches inGermany

Paris Hilton to launch own hotelchain

A hotel in Bad, Germany is marketing itself as a million-star property, despite boasting no walls and no roof. The shape of the hotel has been cut into a wheat field.

Paris Hilton wants her next business venture to be her own hotel chain.“I’ve pretty much done all you can do, but my next project is get more involved in real estate,” she said.

Rhodes Twenty10 launch party

For a list of upcoming properties, see www.hoteliermiddleeast.com. To update your company’s list, contact monika.grzesik@itp.com

02

Arabian Travel News – September 2010

www.hoteliermiddleeast.com/travel

Personalized Holiday Planning Whether on one resort or over several resorts; or combine your resort stay with a cruise.

Our customer-tailored holidays offer you the choice of more than one Maldivian experience.

Fasmeeru Building 5th Flr, Boduthakurufaanu Magu P.O. Box 2034, Male, Republic of Maldives Tel: +960 332 9889, Fax: +960 331 2832, Email: sales@crowntoursmaldives.com

www.crowntoursmaldives.com

Register online

The best event for those who buy or book corporate travel ● ●

● ●

Discover the best deals & save money Learn from experts at the Educational Conference Be prepared for future travel trends Network with the travel industry & build relationships

Go. Meet. Connect.

Madinat Jumeirah Arena, DUBAI

For enquiries call us on + 971 (0)4 316 6371 or visit www.businesstravelshowmiddleeast.com

ATN News

September 2010

Ramadan sees bookings slump Demand peaks in July but travellers cut short holidays for start of the holy month BOOKINGS The summer holiday season has felt the impact from an early Ramadan which caused August bookings to slump.

Travel agents canvassed

by ATN reported that while business in July was up on last year, many travellers chose to cut short summer breaks and return home in time for the start of Ramadan in August.

Eid holiday traffic has also been impacted by the fact that it will take place in midSeptember, when many expats are due to return from leave in time for the start of the school year.

“Ramadan starting early this summer definitely impacted on the volume of sales,” said Mansoor Pasha, manager retail and leisure, Al Futtaim Travel.

“We have lost one full month in the summer period.

UAE nationals have returned earlier than expected as they

Travel agents pegged Malaysia as the clear winner this summer in terms of holiday destinations.

prefer spending Ramadan at home and expats visiting their home countries are not due back until mid-September, which has impacted the Eid holiday traffic. So far August sales are very low compared to last year, but hopefully the last 10 days of Ramadan should pick up as this is a last-minute market.”

Mohamed Al Rais, deputy

managing director, Al Rais Travel said that while he had seen a major slump in leisure bookings in August, he was able to offset this by catering to the pilgrimage market with Umrah packages to Mecca. “All travellers booked early and came back early, so demand was very high for July and most seats were sold out for the main destinations,”

said Al Rais. “In Ramadan it is slow, but on the other hand a lot of people have travelled to Saudi for Umrah, which meant we were less affected.”

EmiratesHolidaysreported a “very good” season this year for the high-end market, with business levels “much better than last year”. Davinder Kaur, destination development manager, Emirates Hol-

idays said the trend had been for travellers to leave much earlier than usual to be back in time for Ramadan.

Kaur agreed that while the Eid break was expected to be quieter than usual due to the timing, this year’s second Eid is expected to see high demand. “We are still monitoring the figures for Eid but they are suggesting so far that this Eid will not be that popular. This year we expect the second Eid [in November] which is normally the quieter one to be very busy.”

Travel agents surveyed pegged Malaysia as the standout favourite this summer, which Kaur attributed partly to the destination’s ‘Ramadan-friendly appeal’. “This year Malaysia is the clear winner in terms of destinations,” said Kaur. “This year we did a special brochure just for Malaysia, separate to our normal brochure, which was very successful.”

Orient Travels bucks trend with four new shop openings EXPANSION Orient Travel Services is expanding its network of retail travel shops with a flurry of new openings across the UAE. One of the largest travel companies in the UAE, Orient Travels has 400 staff members and 28 offices across the emirates. The company has opened four new retail travel shops in Al Quoz, Dubai; Madam in Hatta; Sajaa Oil Field in Shar-

www.hoteliermiddleeast.com/travel

jah and in a prime spot on Sheikh Zayed Road, Dubai.

Asim Arshad, chief executive officer, Orient Travel Service said he was confident there were still opportunities for growth despite the impact of the recession on the travel industry.

“People are talking about cutting costs but I’m opening four offices. I feel that we can increase our market share because there are certain areas that we haven’t taken full advantage of yet.”

He added: “You can look at it in two ways – one is that you can shrink your business or you can start looking at opportunities that are there and take them. I don’t see a reason to get pessimistic. There is a recession but we will survive through.”

Arshad added that while online penetration was not as prevalent as in the West, travel companies had to be “realistic” when it came to the impact of the internet.

The company is also making

Asim Arshad, CEO, Orient Travels

“substantial investments” into online solutions. “In the West it is alarming because retail business has virtually wiped been off in favour online. But it’s not fair to say we are not under threat from online. What we are doing is putting in place our own online solution because we don’t want to lose out on that market segment.

We have invested a great deal in technology, if you want to have a good solution that’s important.”

September 2010 – Arabian Travel News

05

News

Agents pass with flying colours First Middle East CTA graduates say investment in training is seriously lacking TRAINING The first group of Middle East students has successfully passed an internationally recognised travel industry qualification – the Certified Travel Associate (CTA).

Most of the graduates were current travel industry employees who took the course as a way of developing their careers in the industry.

Jane Kamani from World Wide Resorts said the course had been an “eye-opener” in terms of customer service skills. “I realised there was much that I was not aware of despite the fact that I have been working in the industry for the past three years. Relationships with my clients have to change completely.

We have to let them know that

The CTA graduates with course director Sundar Vasudaven (right)

even though it is a business relationship, their welfare should be our first priority. It is time for travel industry staff to make sure they are always one step ahead with sound guidance for clients who are ready to pay for our services.”

Kamani added that the current level of investment in training and development

Air Berlin appoints Oasis Travels as local GSA GSA Air Berlin has appointed Oasis Travels, a company fully owned by the Sharaf Group, as the passenger general sales agent for the UAE and Oman.

Air Berlin is due to launch the first non-stop connection between Dubai and Berlin with the start of the winter schedule in November.

The carrier will operate three times weekly flights to Berlin with an Airbus A330 aircraft. The flights

06

Air Berlin is launching Dubai flights

will be integrated into the Air Berlin hub in Berlin-Tegel, allowing convenient connections to further destinations in Germany and the rest of Europe.

Arabian Travel News – September 2010

of travel agency staff falls well below par. “Most of the staff have just the basic information, not the accurate knowledge they need as qualified professionals. With the changes in the industry, staff members need to step up.

Our customers are taking to the internet, cutting out the middle-man, and in order for

travel agents to remain effective major changes must take place. Companies should invest in themselves as well as their staff to provide better services to their customers and maintain their market position,” she said.

Course graduate Yulia Horvath, senior travel consultant, Kanoo Travel added that while the airline and hospitality sectors had made great strides in staff training, travel agencies were still seriously lagging behind. “While travel agencies in the region have recognised the need for their staff to be competent in ‘tech-

nical’ skills, such as competence with Sabre or Galileo I think it is fair to say that it is only more recently that agencies have been making training investments in the type of skills covered by the CTA course – such as customer service, cross-selling, up-selling and the like,” she said.

The American CTA qualification is run by TRS Consulting in Dubai Knowledge Village and covers eight core subjects including: Understanding customer needs; Customer-focused selling; Professionalism at work and computer technology.

Registration for the next CTA course is currently open and the course will begin after Eid. Contact www.trsplus.com / +971 4 390 2256

Emirati tour guide gets accredited TTOUR GUIDE A UAE national from Sharjah has become the first Emija rati tour guide to take part in ra an international programme a run by the World Federation ru of Tourist Guide Associations o (WFTGA).

(W Majid A. Al Qassimi, who is responsible for overseeing the re newly implemented Sharjah n Tourist Guide Training and T Licensing Programme introL duced in May 2009, took part d in the two-week long ‘Train the Trainer’ course at WFTth GA’s regional training centre G in Nicosia, Cyprus.

Mohamed A. Al Noman, director general, Shard

jah Commerce and Tourism Development Authority (SCTDA) commented: “The SCTDA is always looking to promote the goals of Emiratisation, as laid out by the UAE government, and to advance the prospects of our Emirati

employees.

“WFTGA accreditation is an important step for many trainers and we are delighted that Majid A. Al Qassimi has become one of the few Emiratis to be recognised as a WFTGA-accredited trainer.”

The tour guides on the WFTGA programme in Cyprus

www.hoteliermiddleeast.com/travel

Advertorial

Gemütlichkeit:

Austrian combination of hospitality, contentment and coziness

A

ustria is a perfect holiday destination during the summer months. Before visiting Austria for the first time, most people have a vision of snow-capped peaks, tumbling cataracts, tilted mountain meadows and gingerbread chalets. All these exist in abundance, but Austria is much more than alpine vistas and appealing hillside villages. The country, stretching some 700 kilometres from the Swiss border on the shores of the Bodensee in the west to the edge of the flat Hungarian plain in the east, encompasses rolling hills, broad valleys, wide rivers, fertile farmland, delightful cities, magnificent Baroque architecture, as well as some of Europe’s most spectacular alpine scenery.

Austria’s diverse tourism offers enables visitors to combine a stay in the historic romantic cities such as Vienna, Salzburg or Innsbruck with a visit to a picturesque mountain resort in the alpine region of Austria without travelling for more than one to three hours. In the last five years, arrivals from the region have

increased by 125%, proving that Austria caters well to the requirements and needs.

Indulge in the famous coffeehouse traditions and savor the vast variety of cakes and coffee. Visit the zoos, Vienna being home to the oldest zoo in the world, Innsbruck’s zoo offers a magnificent view over the city as it is the highest zoo in Europe and next to Salzburg’s zoo there is another famous activity – the famous water trick fountains.

Shopping for souvenirs, international designers, local brands and local delicacies are available in the historic city centers which often are dedicated pedestrian zones and therefore jokingly called “open air malls”.

All three cities offer a city card which will offer many discounts and free services for public transport, sightseeing and museums.

GETTING THERE Consider your time flying to Austria as a part of your vacation when you fly with Austrian Airlines! In the Middle East, Austrian Airlines flies daily out of Dubai with a Boeing B767 aircraft, via Vienna to more than 130 destinations worldwide.Business Class passengers will enjoy the Austrian Pre-

www.hoteliermiddleeast.com/travel

used successfully by the Group to distinguish itself in a positive way from other airlines.

As its favourable geographical location- Vienna provides the perfect basis for an East-West hub. Making Austrian Airlines the only carrier to offer a high quality long-haul product on medium –haul flights.

To make the experience of flying with Austrian more beneficial to its customers, the Austrian Boarding Card can be used to get attractive savings and greatly reduced or free entrance to museums, galleries and exhibitions in Vienna.

Austrian Airlines also offer add on services for its customers: even for a short time before their flight, Economy Class customers can easily upgrade into Business Class or take advantage of the Austrian lounges in Vienna. With just a few mouseclicks during the web check-in, all passengers can travel the way they prefer.

mium Service - an exclusive culinary package appealing all the senses.

Passengers will enjoy the comfortable facilities on board and the competitive prices for both Business and Economy Class tickets. Passengers coming from Abu Dhabi and Al Ain are given complimentary transportation to and from Dubai airport.

Austrian Airlines provides an attractive portfolio of services with top levels of quality and punctuality, outstanding price-performance ratio, and the biggest European network with 105 destinations served out of a single hub, its home base Vienna. Individualized fare selection options and the proven Austrian touch are just some of the features

NOW ITS TIME TO EXPERIENCE AUSTRIA! Visit Vienna and Salzburg for only AED 2520*! Explore the wonders and attractions of these cities for 2 nights each and experience Austrian hospitality and cheerful service onboard Austrian Airlines! * Package includes Economy Class return tickets and 2 nights stay in each city at a 4* hotel (total of 4 nights) per person in a double room. Terms & conditions apply.

September 2010 – Arabian Travel News

07

News

Kuwait tourism lacks promotion Action Hotels head says tourism sector in Kuwait needs more push from government KUWAIT A lack of infrastructure, promotion and motivation by the government are the main reasons why Kuwait’s tourism sector has not seen the level of investment and growth witnessed in other Gulf countries such as the UAE, one of the country’s top tourism executives told Arabian Business.

“There is limited tourism in Kuwait,” said HE Sheikh Mubarak AM Al Sabah, chairman of Kuwait-based hotelier Action Hotels.

“It is a very friendly country and it is very different from the other states in the GCC but it has not moved towards

developing [its tourism sector].”

He added that Kuwait was “well placed” to take advantage of the three large growing markets of Saudi Arabia, Iraq and Iran but the tourism sector in Kuwait was not given enough support or backed up with adequate infrastructure.

Sheikh Mubarak said he believes the lack of incentives is a political problem and when asked if it was down to a lack of motivation by the government to develop the tourism sector he answered that “unfortunately that is the case.”

“We are a very liberal country and no different from any

Royal Caribbean sees surge in Middle East guests CRUISE Royal Caribbean Cruises has seen a major increase in bookings from the Middle East for its three brands, Royal Caribbean International, Celebrity Cruises and Azamara Club Cruises.

From January through July 2010 the guest volume increased 63 percent com-

Xxxxxxxxxxxxxxxxxxxxxxxxxxx Lakshmi Durai

08

pared to the same period last year. The average duration of cruises is nine nights, and the most popular destinations are the Mediterranean and Caribbean.

Lakshmi Durai, executive director, Royal Caribbean, Middle East said: “With the support of our travel agent partners and targeted marketing initiatives for the introduction of our first ship Brilliance of the Seas in January, we‘ve put a spotlight on the joy of cruising.

All Middle East markets performed well, with UAE and Lebanon doubling their guest bookings and new ships like Oasis of the Seas proving to be very popular.”

Arabian Travel News – September 2010

HE Sheikh Mubarak AM Al Sabah, chairman, Action Hotels

other GCC state but we are not promoted. The lack of infrastructure is not there to attract tourists to be a hub,” he said.

In May, Dubai-based research company Proleads reported there are currently more than 470 active hotel projects in the Gulf. However, only 27, or 5.7 percent, of these were planned in Kuwait, compared to 258 in the UAE, 83 in Saudi Arabia and 35 in Bahrain.

Action Hotels specialises in the midscale hotel market and has a portfolio of fourteen hotels in the Gulf and Australia. It is on track to open 2,600 hotel rooms in the region by 2012.

Sabre wins GDS race into Iraq TECHNOLOGY Sabre Travel Network Middle East has tied-up with Kanoo Travel to become the first GDS supplier to operate in Iraq.

Kanoo Travel will distribute Sabre’s travel technology solutions in Iraq through a General Sales Agent (GSA) structure. The new partnership will give agencies in Iraq access to all of Sabre’s solutions including global content from hundreds of airlines, thousands of hotels, as well as car rental companies, tour operators and cruise liners.

Daniel Naoumovitch, CEO, Sabre Travel Network Middle East said, “Iraq is experiencing significant growth daily and establishing a presence in this market reinforces our commitment to support the

Daniel Naoumovitch and Mubarak Kanoo

travel industry by providing agencies there with solutions and the expertise to expand their business, and travel suppliers with additional distribution opportunities.”

Mubarak Kanoo, deputy group chairman, Kanoo Travel said, “Kanoo Travel

and Sabre have had a long standing partnership based on mutual trust and progressive business focus. This is yet another feather in our caps reflecting our commitment to growth and development of new regions within the Middle East.”

www.hoteliermiddleeast.com/travel

Tourism Boards Visit Britain launches training scheme Agents who successfully become a BritAgent to qualify for Fam trips and events TRAINING Visit Britain, the UK’s national tourism board is to launch its first travel agent training programme in the Middle East to boost knowledge of the destination among the travel trade.

The ‘BritAgent’ programme – a free, e-learning course –– will be launched in the UAE at the end of September at a cost of AED 56,562 (£10,000 ).Visit Britain aims to get at least 30 UAE Britain specialists trained up before rolling out the programme across the GCC. Carol Maddison, manager, UAE, Visit Britain said the idea behind the

programme was to increase knowledge among agents about areas of Britain outside London.

“This market thinks Britain is London,” said Maddison. “Agencies promoting Britain don’t know the rest of the UK so it’s part of our remit to get more information to them about England, Scotland andWales.

“The Arab traveller – which is our main target audience because they are high-spenders – is still very much interactive with the travel trade. We want when people say to agent “I’m interested in Britain” that they don’t just hear “Go to London, stay in Marble Arch and go to Oxford Street.” This programme is about ensuring agents’ product knowledge is better.”

The three-month programme is free

of charge and agents that complete the course will have the chance to qualify for fam trips and trade events. Any agency with two qualified ‘BritAgents’ will be awarded ‘specialist status’ from Visit Britain.

“We will include agents in a draw to come on our UK travel trade events,” said Maddison. “For example DEBI (Destination Britain and Ireland), which was in Dubai this year but will either be in India or South Africa next year, the Visit Scotland Expo, Discovery, which is a MICE event, and Best of Britain and Ireland, which will be held in Birmingham next year.”

“There will also be other goodies and giveaways to incentivise them along the way,” added Maddison. “But we’re hoping that the agents will want

BritAgents programme details: The BritAgent programme is broken up into three core modules: Module 1: Destination Britain This involves learning about the history and culture of Britain; as well as important information about visa and customs, weather, transport, accommodation and travel trade contacts such as ground handlers and guides.

Module 2: Explore Britain This involves learning what there is to see and do in all regions of Britain including London, England, Scotland and Wales.

Module 3: Experience Britain Activities and attractions in Britain to help you build itineraries for your clients: including heritage and culture; museums and galleries; shopping; outdoor activities and sports.

to know more about a country they’re promoting as part of their own career progression and interest in selling the destination. It’s so much easier to have an interactive conversation with someone if you know what you are talking about.”

Maddison added that in today’s zero commission environment it was vital that travel agents ensured their product knowledge was as up to date as possible.

“Commissions that you used to get on selling tickets used to keep the agency going but they have fallen by the wayside now. And it’s such a competitive market that to make your agency stand out you want to give your customer that value-added experience, so having the right information so you can suggest to your client where to go and what to do is a good thing.”

BritAgents will be launched in Dubai on the 29 September at the British Ambassador’s residence followed by an Abu Dhabi launch in the first week of October with a presentation to general managers of the region’s top travel agencies.

Each agency will be asked to nominate two counter staff to sign up for the course. Visit Britain is targeting March 2011 for its first graduation ceremony of successful BritAgents.

Agents interested in finding out more about BritAgents should contact: Prasad Shirke, Visit Britain +971 4 396 5678 / Prasad.shirke@visitbritain.org

Why become a Brit Agent?

Carol Maddison, manager, UAE, Visit Britain

10

• Agents who successfully complete the BritAgents programme will be invited to a special graduation ceremony hosted by Visit Britain and will receive a BritAgent certificate.

• Official BritAgent ‘specialist status’ will be awarded to any Travel Agency with two or more

Arabian Travel News – September 2010

qualified BritAgents.

• All BritAgent specialists will be listed on www. visitbritain.com • All BritAgents get a Britain marketing toolkit • All BritAgents get the chance to qualify for fam trips and B2B Trade Events

www.hoteliermiddleeast.com/travel

Accomodation

Raffles opens in Makkah Raffles Makkah Palace hailed as ‘new step’ for Saudi hotel sector NEW LAUNCH Raffles Hotels & Resorts has opened its first hotel in Saudi Arabia in the holy city of Makkah.

Raffles Makkah Palace is located in the Abraj Al Bait complex, a seventower community directly adjoining the Masjid Al Haram (Grand Mosque) and the Kaaba.

Mohammed Arkobi, vice president and managing director of Fairmont Raffles Hotels International Makkah, said the location gave Raffles “the opportunity to cater to guests of the Holy City, making it a unique and one-of-a-kind experience”.

The 213-suite property is designed

to offer “an extremely discrete yet highly refined residential sanctuary” with personal butlers on hand to anticipate guests’ needs.

The hotel is designed to cater for both religious and business tourism, with a business centre and business rooms also available.

Khaled Yamak, director of communications and business development said: “Raffles Makkah Palace is considered a new step in the hospitality sector in Saudi Arabia.

With its unique heartfelt service and enchanting accommodation, residents will feel the difference.”

Raffles Makkah Palace is the first of three hotels operated by FRHI to

First five-star for Iraqi city INVESTMENT Range Hospitality is to develop the first five-star hotel in Karbala – Iraq’s pilgrimage centre.

Around 18 million pilgrims visit Karbala every year and Al Rawdatain Gardens will cater to the significant shortage of hotel accomodation in the area.

The first modern development to be built in Karbala, Al Rawdatain Gardens will feature an elegant 12-storey residence structure at its core comprising a mix of fully furnished and serviced studios, one-

Al Rawdatain Gardens in Karbala

www.hoteliermiddleeast.com/travel

bedroom and two-bedroom suites.

Spread over 55,000 square metres, the development is designed and furnished in accordance with international standards, with full air conditioning and heating, including internet access and safety deposit boxes. The entire development will include a total of 624 suites, extensive public areas, four restaurants, landscaped gardens, health facilities, 24-hour security, child care facilities, business centre, and additional guest services.

As yet, no operator has been selected to manage the hotel.

“We are receiving independent approaches from some of the world’s leading hotel operators to manage Al Rawdatain Gardens,” said Mohammed Asaria, vice chairman, Range Hospitality. “We are in the process of operator selection and the calibre of the companies approaching us is clear evidence of the importance of Karbala within ‘New Iraq’ and the wider MENA region.”

Mohammed ArkobI, VP, Raffles, Makkah

open at the Abraj Al Bait complex.

Also underway are the Makkah Clock Royal Tower, a Fairmont Hotel — a 76 storey hotel with 858 rooms — and Swissotel Makkah, due to open in 2011.

GCC hotels see highest rate falls ROOM RATES The highest regional hotel rate decreases worldwide were witnessed in the Middle East region during the first half of this year, according to a hotel survey carried out by Hogg Robinson Group. While the region dipped by fifteen percent, the Gulf countries were particularly badly affected, with Dubai (-12 percent), Bahrain (-14 percent), Qatar (-22 percent) and Oman (-24 percent) also suffering major drops. Abu Dhabi was the worst performer with a 26 percent drop.

26% Drop in Abu Dhabi hotel rates

September 2010 – Arabian Travel News

11

Airlines BRIEFS BA STILL MULLING IRAQI MARKET British Airways has no plans as yet to launch services to Iraq, according to the carrier’s CEO Willie Walsh: “[Iraq] is clearly a market we are watching with great interest. A number of carriers are starting to fly to Iraq and clearly it is an area we have served in the past and we would look to serve again in the future but there are no plans at this stage.”

A380 HEADS TO HONG KONG Emirates has confirmed Hong Kong as the newest destination for its Airbus A380. Hong Kong will become the carrier’s 11th A380 destination. Starting on 1 October, Emirates’ A380 will operate daily from Dubai as EK384 via Bangkok with the return flight operating as EK385.

STRONG DEMAND FOR SAUDI Etihad Airways is providing additional flights between Abu Dhabi and Jeddah during Ramadan. The extra services to Jeddah will operate until 12 September and add to the 28 return flights Etihad currently operates every week to Riyadh, Jeddah and Dammam.

Sama grounded due to losses Budget Saudi carrier has suspended operations due to $266 million loss COLLAPSE Saudi Arabian budget carrier Sama has suspended its operations after recording a loss of US$266 million.

The airline, one of two low cost carriers in Saudi Arabia, had received a loan of $53 million from the government to cover fuel costs, in addition to $133 from shareholders.

But it needed an extra $80 million to keep its operations on track, an anonymous board member told Bloomberg.

Sama launched in 2007 and served 10 destinations in Saudi Arabia and neighbour-

ing countries. The airline is chaired by Prince Bandar Bin Khaled Bin Faisal. It competed with Saudi Arabian Airlines, which receives gov-

BA plans to increase Gulf winter capacity CAPACITY BA’s Gulf bookings going forward have not been affected by cabin crew strike actionthis year and the carrier plans to increase capacity in the region by three percent reported Arabian Business.

“Looking forward our bookings have not been affected by the experience that our cus-

Willie Walsh, CEO, BA

12

Prince Bandar Bin Khaled Bin Faisal

Arabian Travel News – September 2010

tomers have seen during the industrial action,” said Willie Walsh, BA’s CEO. This is despite the fact that in July BA reported a 13.5 percent drop in passenger traffic in the Middle East and Africa between April and June due to the ash cloud and strikes.

Walsh said: “We believe there is some scope for capacity and we will be increasing slightly our flying there next winter. We are looking to put larger aircraft, the [Boeing] 777-300, which we have taken delivery of.

“That will allow for some increase in capacity, and that aircraft will enter into service at the beginning of September.” said Walsh.

“Overall we are looking at a three percent increase in capacity in winter 2010 versus 2009,” he confirmed.

ernment support and subsidised fuel, and Riyadh-based National Air Services (NAS), Saudi’s first budget carrier.

Bruce Ashby, Sama CEO explained: “The decision to stop flying was not taken lightly, but we have spent many months seeking alternatives, and now this is the only option remaining to us.”

“We had been awaiting a significant aviation relief package with respect to fuel subsidies, subsidies for PSO routes, a gradual lifting of domestic fare caps, and additional funds to support the past losses and growth of our business. In addition,

we sought for, and found, more than one potential new equity investor willing to inject cash into the business.

Unfortunately, none of these alternatives came together in the required timeframe.”

“Sama, and all other airlines throughout the region, experienced very low fares and somewhat slow demand for regional travel during the winter season (October 2009 through March 2010).

Although revenues were up sharply during the summer peak season, it has not been enough to offset the heavy losses we suffered during the winter,” added Ashby.

Oman Air starts Kathmandu service from September NEW ROUTE Oman Air will start a service between Muscat and Kathmandu from September 2.

Kathmandu is the 40th destination in the Oman Air network and will be operated with a B737-700.

Peter Hill, CEO, Oman Air said: “Kathmandu is a much awaited destination. In addition to the strong demand for flights from Nepalese nationals who work in Oman and fur-

ther afield, we expect to see a significant corporate and leisure traffic, which is important to the economic development of Nepal.”

Oman Air will operate the Kathmandu service four times per week on Mondays, Tuesdays, Thursdays and Saturdays.

Oman Air also said it would increase the number of flights to Salalah to meet increased passenger demand during the summer months.

Oman Air will fly four times per week to Nepal starting in September

www.hoteliermiddleeast.com/travel

Gulf Air adds three destinations Carrier announces new services to Addis Ababa, Basra and Isfahan NEW ROUTES Bahraini airline Gulf Air is launching new services to Addis Ababa, Ethiopia; Basra in Iraq and Isfahan in Iran.

The carrier also recently announced new services to Aden and Colombo.

Gulf Air will begin services to Isfahan from 30 October with three weekly services while services to Aden via Sana’a and Colombo will begin on 31 October with five weekly services. The Basra route will be launched on 31 October with three weekly services. Addis Ababa will be served from 6 December with

Gulf Air execs announce the new destinations at a press conference

five weekly services.

Samer Majali, CEO, Gulf Air said: “The launching of these five new destinations demonstrates our new strategy to identify and serve niche and under-served markets and create potentially high yield city-pairs by providing

Etihad launches all-economy flights for shorthaul market BUDGET Etihad Airways is to launch its first ‘all economy’ flights in October. Two Airbus A320s will be configured to carry 162 economy class passengers – an increase of 42 from the current economy capacity.

The all economy aircraft will operate to short-haul destinations. Initially these will be Alexandria, Calicut, Colombo, Damascus, Doha and Thiru-

vananthapuram. Plans are in place to expand the all economy fleet to 10 aircraft.

James Hogan, CEO, Etihad Airways’ said: “Our all economy aircraft will allow us to offer a more competitive product in key pointto-point markets in Asia, the Middle East, North Africa and the Indian Subcontinent, while maintaining the high standards of service we have become known for.”

Etihad is aiming to compete with budget carriers on short haul routes.

www.hoteliermiddleeast.com/travel

direct services to Bahrain and beyond. None of the Gulf carriers are serving Aden and Basra at present, and cities like Addis Ababa and Isfahan are unexplored markets. We believe there is a strong commercial potential in all these cities,” he added.

Majali highlighted some key features of Gulf Air’s winter schedule: “The new winter schedule reflects one of the main objectives of our new strategy – to serve every regional capital with at least a doubledaily service and generate a new market of travellers, who wish to conduct business in the region and return home the same day.”

The schedule brings the number of Gulf Air flights in the region per week to 644. In the last 13 months Gulf Air has launched 11 new routes while suspending four that were not commercially viable.

Emirates adds extra flights to US cities CAPACITY Emirates has announced the launch of second daily flights to Los Angeles and Houston.

The Dubai-based airline, which recorded a significant increase in revenue for the Americas in 2009-10, will soon offer over 15,000 seats on 98 return flights per week to the United States.

Starting 31 October for Los Angeles and 1 November for Houston, Emirates will fly non-stop to both cities twice a day on Boeing 777 aircraft.

“Emirates has experienced very strong demand across all of its US gateways this year, including very healthy premium and business traffic,” said Tim Clark, president of Emirates Airline. “We are delighted to meet this increased demand

Houston has seen strong demand

with the start of second daily services to both Houston and Los Angeles.”

“The additional services will provide customers in the Middle East and Asia with even easier access to the largest cities in Texas and California, supporting the burgeoning business and leisure traffic between these markets and the United States,” he added.

BRIEFS FLYDUBAI LAUNCHES RUSSIAN ROUTE Flydubai, is expanding its network into the foothills of the Ural Mountains on October 16, when it begins flights to the Russian city of Yekaterinburg.

One of Russia’s largest cities, Yekaterinburg is a hub for heavy industry, as well as a key centre for business and finance.

The flydubai service to Yekaterinburg will operate twice weekly on Wednesdays and Saturdays.

EMIRATES TO DAKAR Emirates has launched its new direct service to Dakar in Senegal, West Africa. Dakar is the airline’s 105th destination and the only non-stop, scheduled passenger link between Dubai and Senegal. The new route will cut current journey times to Dakar by the equivalent of an eight hour day.

EMIRATES INCREASES SAUDI SERVICES Emirates will increase flights to Al Medinah al Munawarah to seven per week from 31October. The new services will bring the total number of flights to Saudi Arabia to 28 per week through its four gateways, increasing capacity to the Kingdom by 15 percent.

September 2010 – Arabian Travel News

13

Business travel news BTSME Business travel “restoring in confidence” Industry will not see a full return to “the halcyon days gone by” but it will get close ANALYSIS Business travel may not see a full recovery to pre-recession levels any time soon – but it will get “close” – that is the cautiously optimistic prediction from Mike Sherrard, managing director, Centaur Travel Group, organisers of the Business Travel Show Middle East, which is set to take place in Dubai next month.

“From my perspective, it’s difficult to see a full return to the halcyon days gone by where First/Business Class travel seats were always full,” said Sherrard. “Indeed airlines have recognised this by reconfiguring their aircrafts’ layouts. However, I am a born optimist, and I believe we will get close.”

While companies slashed

Sherrard believes the business travel industry is restoring confidence.

BUSINESS TRAVEL SHOW MIDDLE EAST The Business Travel Show Middle East (BTSME) brings together the leading suppliers of business travel solutions and the high-spending buyers of the Middle East. Airlines, travel management companies, hotels and accommodation groups, ground transportation and technology suppliers will find a platform to meet professionals who buy and arrange business travel and meetings - including PAs, managers and company

their business travel budgets by up to 40 percent in 2009, this year has seen a slight loosening of the purse strings – a trend which is set to continue as corporates emerge from the grips of recession.

He added that business travel was returning to growth as corporates recognised the value of face to face meetings.

“In my view business is always better conducted face-to-face as human interaction produces stronger commercial bonds and lasting business transactions.

Trust and belief is much enhanced, and products better illustrated, injecting customer confidence and hence enhanced retention - old school beliefs perhaps, but in this light I do expect

directors from SMEs and larger corporations from across the trade and industry spectrum. Alongside the show is a two-day seminar programme, offering practical solutions for all levels of travel bookers and buyers from leading industry experts.

What: Business Travel Show Middle East When: 25-26 October 2010 Where: Madinat Arena, Dubai Contact: www.businesstravelshowmiddleeast.com

to see steady growth back to, or at least, close to prerecession levels.”

According to Sherrard the general trend is of an “industry restoring confidence”. There was graphic evidence of this following the Business Travel and Meetings Show held in London in February, he said.

“There were many more exhibitors at the event than in 2009, and audience figures showed a healthy increase. Most importantly, exhibitors reported that visitors to the show had increased budgets and were more ready to spend – a significant difference to postshow reports in 2009 when confidence - and travel budgets – was a scarcity.”

However, Sherrard warned that it was still too early to measure the true pace of recovery of the business travel market following the recession.

“The speed of this recovery can only be judged on an individual basis, and there is no definitive trend data available at present to back up the anecdotal impressions given by the travel management buyers.”

BTS ties up with ACTE for show seminar programme EDUCATION BTSME has announced that ACTE (Association of Corporate Travel Executives) has been appointed ‘Exclusive Education Partner’ to the event.

ACTE will present a series of keynote sessions,

14

seminars and roundtables designed to reflect the needs of the corporate and travel buying community within the Middle East.

Paul Grinnall, events director, BTSME said: ‘When we set about the task of selecting our educational providers, one name was at

Arabian Travel News – September 2010

the top of our list by some margin. ACTE is recognised as the worldwide authority in education provision for the business travel sector – and that’s who we wanted.

Obviously we are delighted that they are now working so closely with the event”.

Monique Swart, project

manager for ACTE added: “Whilst ACTE is active in more than 80 countries world-wide, the Middle East is recognised as a strong and growing force for the Business Travel community, and we are pleased to be associated with the event dedicated to this market”.

She added: “Our objective has been to produce an educational programme that matches the needs of business travel buyers, bookers and managers throughout the GCC. We’ll be releasing the programme details shortly, and are confident that we have hit this brief.”

www.hoteliermiddleeast.com/travel

WWW.HOTELIERMIDDLEEAST.COM/CONFERENCES

HOTELIER MIDDLE EAST:

THE GREAT GM DEBATE WEDNESDAY 29 SEPTEMBER 2010 - JUMEIRAH BEACH HOTEL, DUBAI

LIMITED TO 12 ORS T I B I H X E T

189 HO GMS A TEL LR CONFI EADY RM TO ATT ED END

LEF ONLY 3

FEATURING PRESENTATIONS AND WORKSHOPS FROM:

;K:D 8Yl ;_XY` Kfli`jd 8lk_fi`kp <d`iXk\j GXcXZ\ IfkXeX <dXXi ?fk\cj Xe[ I\jfikj

GOLD SPONSOR

Gi\d`\i @ee ?fk\cj 8idXe` ?fk\c CXe[dXib >iflg J\m\e K`[\j ?fjg`kXc`kp 8ZZfi ?fjg`kXc`kp

ASSOCIATE SPONSORS

D m\eg`Zb ?fk\cj Xe[ I\jfikj =X`idfek ?fk\cj Xe[ I\jfikj Ald\`iX_ >iflg CXp`X ?fjg`kXc`kp A`eXe ?fk\cj Xe[ I\jfikj

LUNCH SPONSOR

EXHIBITORS

M`XY`c`kp ?fjg`kXc`kp :fejlckXekj :`kpdXo ?fk\cj ID8C ?fjg`kXc`kp TRI ?fjg`kXc`kp :fejlck`e^ IfpX @ek\ieXk`feXc WORKSHOP SPONSOR

EXCLUSIVE WATER SPONSOR

COFFEE SPONSOR

MEDIA PARTNERS

FOR SPONSORSHIP ENQUIRIES PLEASE CONTACT DIARMUID OMALLEY ON +9714 2108568 OR diarmuid.omalley@itp.com SARAH WORTH ON +9714 2108595 OR sarah.worth@itp.com

events ad-Hotelier GM Conference aug 2010.indd 37

9/1/2010 2:11:52 PM

REGIONAL NEWS

Comment Q&A CELEBRITY CRUISES

A fragmented issue Content fragmentation means finding the best fares costs time and money. It’s time customers realised they must pay the price.

s a Travel Management Company (TMC), finding the best fares within the scope of a client’s travel policy, has always been the best way to present the client with savings. But in today’s changing landscape of travel content, actually finding those savings is an ever increasing challenge.

In May 2006, when Air Canada removed its low, Tango Class fares from the GDS (Global Distribution Systems) and made them available only via its own website, the reaction from the corporate travel industry was fast and furious.

Corporations, GDS providers and travel management all weighed in. But, despite the outpouring of concern, in the months that followed one thing quickly became clear – a new age of content fragmentation had begun.

For travel management companies, (and GDS providers), the concern was obvious: if airlines and hotels were going to reserve their best prices for their own websites, then continuing to offer clients full access to content and savings was not only going to be difficult but time consuming.

Five years on and the furore directed at Air Canada now appears to be a thing of the past – at least from the corporate clients’ point of view.

Today, dealing with the fragmented world of travel content is an everyday occurrence for us as travel management providers and, while GDS companies attempt to evolve into ‘technology partners’ to help us deal with the continuing challenge of finding and displaying ‘best content’, the reality is that it is about more than just the content.

Any content booked outside the GDS requires either credit terms with that supplier or direct payment with a credit card.

However, simple cost issues aside, there is

16

Arabian Travel News – September 2010

Corporate companies are not unaware of the ‘fragmentation’ issue and therefore must understand the time it takes for TMCs to combat it. And yet they continue to demand that their travel management provider offers a ‘best fare guarantee’ while at the same time making the incongruous demand for lower service fees” another issue here too – the cost of time.

It is not just the time associated with searching multiple platforms to find the best fares (including careful checking of online fare rules to ensure policy compliance). It is the additional time required to ensure that booking data from third party sites is captured into our back office and security tracking systems to ensure we can offer consistent, accurate and detailed reporting to clients.

Corporate companies are certainly not unaware of the ‘fragmentation’ issue and therefore, they must understand the time it takes for TMCs to combat it. And yet, while corporates are no longer raising their concerns directly with suppliers – as they did in 2006 with the Air Canada situation – they still continue to demand that their travel management provider offers a ‘best fare guarantee’, while at the same time making the somewhat incongruous demand for lower service fees.

Smart travel management companies

are able to overcome the challenge of content fragmentation through effective technology, training and skilled staff – granted a costly investment in terms of time and resources.

But in doing so, these TMCs are able to continue delivering measurable savings to their clients on their travel cost. The wisest companies have realised this and, focused on further optimising their travel programme, have started to offer TMCs savings-linked incentives or higher base service fees in exchange for delivering a successful best fare guarantee. After all, time is money – whatever business you are in.

Tim Waddell is director of marketing at Alshamel Travel.

What’s your view on the issue?

Email: monika.grzesik@itp.com

www.hoteliermiddleeast.com/travel

ArabianTravel News and analysis for Middle East travel agents and tour operators

REGIONAL NEWS

Comment

NEWS

Registered at Dubai Media City PO Box 500024, Dubai, UAE Tel: 00 971 4 210 8000 Fax: 00 971 4 210 8080 Web: www.itp.com Offices in Dubai & London ITP Business Publishing CEO Walid Akawi Managing Director Neil Davies Managing Director Karam Awad, ITP Business Deputy Managing Director Matthew Southwell Editorial Director David Ingham

EDITORIAL Group editor Louise Oakley email: louise.oakley@itp.com Tel: +971 4 210 8475 Editor Monika Grzesik email: monika.grzesik@itp.com Tel: +971 4 210 8413

ADVERTISING Publishing director Diarmuid O’Malley Tel: +971 4 2108568 email: dom@itp.com Sales manager Karolina Wend Tel: +971 4 210 8721 email: karolina.wend@itp.com

STUDIO Group Art Editor Dan Prescott Designer Angela Ravi

PHOTOGRAPHY Director of Photography Sevag Davidian Senior Photographer Efraim Evidor, Jovana Obradovic Staff Photographers Isidora Bojovic, George Dipin, Murrindie Frew, Lyubov Galushko, Shruti Jagdesh, Mosh Lafuente, Ruel Pableo, Rajesh Raghav PRODUCTION & DISTRIBUTION Group Production & Distribution Director Kyle Smith Deputy Production Manager Matzhew Grant Tel: +971 2108290 email: matthew.grant@itp.com Distribution Manager Karima Ashwell Distribution Executive Nada Al Alami CIRCULATION

Time to pitch the ‘halal holiday’ Agents must find a way to tackle the Ramadan conundrum Speaking to travel agents this month it seems that this year’s summer holiday season has offered up something of a mixed bag of challenges. While most agents reported that they were rushed off their feet in early summer, with business well up on last year and plane seats selling out to the most popular destinations throughout July; come August and the onset of Ramadan, and travel demand somewhat predictably took a nose dive. One agent said he had effectively “lost one full month of summer bookings” due to Arab nationals cutting short their holidays and returning home in time for the start of the holy month.

Ramadan is of course a time traditionally spent at home with the family – bad news for travel agents as for at least the next three years it is set to edge ever further and further into the peak summer holiday season. Next year, it will begin around August 1, the year after on July 20 and in 2013, on July 9 – signalling potentially millions in lost revenue for

travel agents if big-spending Arab clients choose not to pack their bags and escape the Gulf heat as usual, but to remain at home instead.

Clearly it’s time for travel agents to get innovative.

There are plenty of Muslim destinations around the world where agents could devise special packages offering up a different kind of Ramadan experience to their clients – Turkey, Egypt, Malaysia and Jordan all spring to mind as places that would offer a welcoming religious experience, plus the ideal climate to escape the heat of the Gulf while fasting.

But it’s not just Muslim countries that have latched on to the potential to woo Muslim guests over the holy month. Popular destinations in Europe and Australia have been bending over backwards to accomodate the Middle East market, with hotels laying on iftars and suhours, as well as buses to ferry tourists to nearby mosques, shops and swimming pools opening later, and even special night-time prayers – all with the added attraction of being far from the sweltering heat.

If you pitch it to them right, maybe your big-spending clients will still decide to combine the holy month with a holiday next year after all.

Monika Grzesik, Editor, Arabian Travel News

Head of Operations & Database Gaurav Gulati MARKETING Head of Marketing Daniel Fewtrell Marketing Manager Annie Chinoy

. In its capacity as mouthpiece of the Middle East travel trade, ATN is eager to hear your

news and views. Email monika.grzesik@itp.com

ITP DIGITAL Director Peter Conmy ITP GROUP Chairman Andrew Neil Managing Director Robert Serafin Finance Director Toby Jay Spencer-Davies Board of Directors K.M. Jamieson, Mike Bayman, Walid Akawi, Neil Davies, Rob Corder, Mary Serafin Circulation Customer Service Tel: +971 4 4356000 Certain images in this issue are available for purchase.

Please contact itpimages@itp.com for further details or visit www.itpimages.com.

Printed by Atlas Printing Press L.L.C. Dubai Subscribe online at www.itp.com/subscriptions Controlled Distribution by Blue Truck The publishers regret that they cannot accept liability for error or omissions contained in this publication, however caused. The opinions and views contained in this publication are not necessarily those of the publishers. Readers are advised to seek specialist advice before acting on information contained in this publication which is provided for general use and may not be appropriate for the reader’s particular circumstances. The ownership of trademarks is acknowledged. No part of this publication or any part of the contents thereof may be reproduced, stored in a retrieval system or transmitted in any form without the permission of the publishers in writing. An exemption is hereby granted for extracts used for the purpose of fair review.

*BPA Worldwide Audited Average Qualified Circulation 4,910 (Jan - June 2010)

To subscribe, visit www.itp.com/subscriptions Published by and Copyright © 2010 ITP Business Publishing, a division of ITP Publishing Group Ltd. Registered in the B.V.I. under Company Registration number 1402846.

www.hoteliermiddleeast.com/travel

LETTERS TO THE EDITOR RE: DON’T GIVE CREDIT WHERE IT’S NOT DUE Monika, you have hit the nail on the head. There are more skeletons in each of our TMC’s cupboards that would rattle the bones of the business community and the general public at large. It is a fact that quite a few well known MNC’s fly and either don’t pay or delay payment. Keep in mind when a credit card holder defaults for a paltry sum the bank goes berserk with their collection gangs resembling the chain-saw massacre ghouls crawling all over the place. Not forgetting you may get on Interpol’s who’s who list. But

when a large MNC delays payment after flying first class, dining (the whole nine yards) the travel agent can only whimper and scamper. I think it’s time the Travel Agents Association gets together and names to shame these crooked companies who masquerade as savants to the community at large. CJ Well done Monika for highlighting this issue in the travel industry that is becoming a major problem. Travel Companies should consolidate and agree on new terms and conditions for the market in order to re-gain the power of dictating conditions

to their customers, and to airlines.

They should not use this factor as a marketing tool to compete with each other. Raed Mohtar It is the unhealthy practices and competition of TMCs which has made the situation into such bad shape. Whether we are getting commission or not us TMCs do not need to give credit to our customers. A corporate with expenses of US$10,0000 will have a business turnover of 100 times more. For him the TMC invoice is peanuts and he can easily pay it. So why should we be extending credit? Sebastian

September 2010 – Arabian Travel News

17

REGIONAL NEWS

How to sell Q&A CELEBRITY CRUISES

Upmarket

Africa South Africa and Kenya are emerging as the hottest new luxury holiday destinations knocking spots off others for a truly exclusive break

18

Arabian Travel News â&#x20AC;&#x201C; September 2010

www.hoteliermiddleeast.com/travel

Luxury Africa

or years Africa has been overlooked by the travel trade when it comes to luxury holiday destinations in favour of time-honoured favourites such as shopping breaks to Paris and London or Indian Ocean Island escapes. But as our luxury travel experts point out (see p.26-37) affluent travellers are now demanding more ‘experiences’ for their money and where better to find those than in this incredible continent?

In Africa ‘luxury travel’ takes on a whole new meaning to anywhere else in the world – it’s not about designer shopping trips, marble bathrooms and exclusive restaurants.

And however much your clients pay for the trip they are bound to come across a creepy crawly or two. Far from materialistic pleasures, luxury in Africa is about sweeping vistas, wide open plains, rolling mists on moun-

tain peaks, and getting up close and personal with nature and animals. Add all that to some top-class accommodation options and fivestar safaris where your clients will be treated like royalty and they are in for an experience they won’t forget.

INCREASING AWARENESS Excellent flight links from the Middle East make Kenya and South Africa the top two African destinations for GCC travellers.

Interest has been growing in both destinations of late, mainly thanks to the huge boost given to South Africa following its successful hosting of the 2010 World Cup this summer, and also thanks to the efforts of the newly established Kenyan Tourism Board Middle East office, which has been working hard to educate the trade about Kenya since its launch in Dubai in December.

However, there is a still an unfortunate

5 LUXURY AFRICA TRAVEL EXPERIENCES: 1 Take a hot air balloon safari over the Masai Mara followed by a silver service champagne breakfast 2 Soak up the serenity of the African bush whilst relaxing on the terrace of your luxury lodge and enjoying an outdoor spa treatment.

3 Rent a private yacht to explore the

www.hoteliermiddleeast.com/travel

Kenya coast and rich coral reefs and their teaming marine life, including a scuba dive with whale sharks 4 Stay at a boutique luxury villa on the island of Lamu, off the coast of Kenya – a top getaway for Hollywood’s A-list 5 Check into a top resort in Sun City, South Africa’s Kingdom of Pleasure

Kenya’s tropical coastline

lack of awareness about what both destinations can offer as a luxury travel product.

According to Bruno Hivon, regional manager, destination development, Africa and Indian Ocean, Emirates Destination & Leisure Management Division, African safari holidays are often viewed by both travel agents and consumers in the Middle East region as an ‘adventurous’ product, too risky for many clients to tackle – when the reality could not be further from the truth.

“A lot of people think a safari is difficult and only for sporty or outdoor types,” says Hivon, but that’s a total misconception. You don’t need to be an ‘Indiana Jones’ type character to go. What people don’t realise is that there are all types of safaris, luxury as well as rugged, and it’s the perfect family product.”

Mary Stephania Paul, chief executive of Dubai-based Africa marketing company African Odyssey agrees that agents don’t realise the full potential of what Africa can offer.

“There is definitely an interest as a holiday destination as far as Africa is concerned,” she says. “But in terms of its popularity as a luxury destination, I think the mindset has to change first. I tell agents that when it comes to selling Africa, don’t tell your clients you are going on just another holiday. Selling Africa as a destination is about selling the experience. No two visits to Africa can be the same.”

September 2010 – Arabian Travel News

19

REGIONAL NEWS

Luxury Africa

SOUTH AFRICA After its successful hosting of the World Cup, interest has surged in South Africa. “The wildlife and spectacular, breathtaking scenic beauty are very appealing to travellers from this part of the world,” says Paul.

South Africa’s game reserves are amongst the best on the continent, such as the world famous Kruger National Park – the mother of all safari parks, home to 147 species of animals, 507 species of bird and more than 1,950 plant species. At Kruger you can spot the big five, plus cheetah, wild dog, hippo, giraffe, zebra, wildebeest – and the list goes on.

For the Arab market, Hivon recommends Johannesburg as a starting point to explore South Africa. “As well as being the gateway to Kruger, Johannesburg is a great place to go shopping, plus you can drive to Sun City [one of the world’s biggest resorts featuring hotels, attractions and casinos] two hours away, where there are a lot of activities to do.”

Hivon is eager to dispel the myth that heading off on a safari adventure means roughing it in a rustic campsite with no facilities in the middle of the African bush. While Kruger does offer basic rest camps for the budget traveller, other lodges present an out-of-this-world level of luxury on a par with the top hotels in the world. In fact Hivon compares the accommodation offering with what’s on offer in the Maldives.

“You have some lodges that are as luxuriSouth Africa is a haven for wildlife spotting

HOW TO SELL SOUTH AFRICA How to get there: Emirates flies three times daily to Johannesburg, daily once to Cape Town and Durban. South African Airways flies from Dubai to Johannesburg, Cape Town and Durban.

At Kruger you can spot lions and other wildlife

ous as any resort in the Maldives,” he says.

“Exactly the same level of luxury is there and there’s a lot of similarity in terms of the offering. I make the comparison because a lot of people from this region will go to the Maldives to relax and get away from it all, but I always personally find that in the Maldives you can run out of things to do. Whereas in Africa you can find the same level of relaxation, but you have the added bonus of doing game drives. Plus all the luxury touches are there – such as a pampered champagne breakfast brought to your door before heading off on a game drive in the morning.”

Close to Kruger are private game reserves such as Sabi Sands and Singita which are synonymous with luxury. Lodges such as Ebony Lodge and Le Bombo Lodge offer private plunge pools, spas and massages on the deck of your suite or spa. Dinner is served in an

When to go: The seasons are the reverse of those in the northern hemisphere. Winter (June to September) is cooler, drier and the best time for wildlife watching because vegetation is less dense and thirsty animals congregate around water sources.

Visas: All GCC nationals require a visa for South Africa which can be obtained from the South African consulates in Dubai and Abu Dhabi. Visitors from most Commonwealth and Western European countries do not require one.

Sample package: Springbok Flying Safaris is a specialised tour operator offering high-end, luxury tours for travellers that want to experience ‘authentic’ Africa. Springbok has a six-day ‘African Adventure Tour’ through Southern Africa, starting at Johannesburg International Airport and taking in the Tuli Block, Chobe National Park, Victoria Falls and Sun City.

A tailored itinerary starts at around US$ 10,000 per person including accommodation, transfers and guides.

Contact: African Odyssey 050 910 6745 / marypaul@emirates.net.ae

open air ‘Boma’ (a reed enclosure) next to a crackling log fire, looking out over the peaceful stillness of the African bush.

“My biggest worry is that the tourism board does not utilise the World Cup excitement enough to promote South Africa,” comments Hivon. “They have not been very active in the Middle East so far but now they have started to communicate to us that they will begin to promote the destination in this part of the world. I’m sure the day that Middle East travellers discover what South Africa has to offer they will love it.”

20

Arabian Travel News – September 2010

www.hoteliermiddleeast.com/travel

REGIONAL NEWS

Luxury Africa

Luxury Africa

When it comes to selling Africa,don’t tell your clients they are going on just another holiday. Selling Africa as a destination is about selling the experience. No two visits to Africa can ever be the same.”

TOP LUXURY STAYS: Twelve Apostles Hotel, Cape Town Named one of the “Best places to stay in the world,” in the 2010 Conde Nast Gold List, this stunningly located hotel has incredible views over mountains and sea and one of the rarest private wine collections in Africa. The hotel also features The Sanctuary – an award-wining cave-like spa offering mountain side treatments. The hotel is offering a ‘Stay four, Pay three’ package until 30 September 2010.

Rates start at AED 2,870 per person, based on double occupancy including breakfast, airport transfers, taxes and service charge.

Contact: luxuryhotels@dnata.com / www.12apostleshotel.com

Fairmont Zimbali Resort

Royal Madikwe, South Africa For guests seeking the ultimate sense of exclusivity in the African bush – the Royal Madikwe luxury safari residence is a private safari villa in the heart of South Africa’s game-rich Madikwe Game Reserve. The villa can accommodate just ten guests on an exclusive-basis, where they will experience the luxury of an infinity pool, outdoor showers, hot tubs on elevated game viewing decks, private plunge pools - as well as the beauty of the African bush all to themselves.

Contact: www.royalmadikwe.com

One and Only, Cape Town With its spectacular location in the Victoria & Alfred Waterfront and its stunning views of Table Mountain, the One and Only Cape Town is the first luxury hotel to open in the city in nearly a decade. The trendy destination resort features the first Nobu restaurant in Africa, and Cape Town’s most expansive spa. The One and Only Cape Town has a ‘stay three pay two’ offer until 30 September 2010, the offer includes breakfast at Maze by Gordon Ramsey, tax and service charges.

Contact: reservations@oneandonlycapetown.com

www.hoteliermiddleeast.com/travel

The newly-opened Fairmont Zimbali Resort on South Africa’s east coast near Durban is nestled between a forest reserve and the Indian Ocean. The resort is a gateway to nature, offering game viewing and safari opportunities. Its 154 rooms offer spectacular views from the oversized verandas, as well as an elegant decor of stone, wood and earth tones inspired by its breathtaking natural surroundings.

Contact: www.fairmont.com/zimbaliresort

September 2010 – Arabian Travel News

21

REGIONAL NEWS

Luxury Africa

KENYA Kenya Tourism Board launched its first dedicated Middle East office in December, and thanks to a dedicated travel agent education programme has seen a thirty percent increase in visitors from the region compared to the same period last year.

Emirates Holiday reports a major increase in demand for Kenya. “This year demand has increased dramatically for us and we are nearly tripling our product to Kenya,” says Hivon. “But we still think there is a lot of scope.”

John Chirchir, regional marketing manager, Emerging Markets Kenya Tourist Board,agrees that there is still a great deal of potential for the local market to experience Kenya, particularly considering that it is a short haul destination – only four hours flight from the Middle East.

“Our greatest challenge has been getting the word out about Kenya and the once-in a-life-time experiences that can be carried out with style and flair – and in safety,” says Chirchir. “These messages have been quite limited in the past as there were not many consumers, travel agents or indeed package planners that had acquainted themselves

A Masai looks out onto a stunning vista

well with the destination and its variety of offerings. We are steadily looking to improve this situation.”

With the new trend in luxury travel being for ‘experiential’ travel, Kenya offers such out-of-this-world experiences in droves: “Kenya has much to offer in what we like to term ‘new luxury’,” explains Chirchir.

“Whether it be high-altitude training with Kenya’s long distance Olympic runners, on-foot personal safaris with professional hunters, diving from a privately rented and serviced yacht surrounded by whale sharks, arriving by hot air balloon to a silver service breakfast in the middle of the Masai Mara, or lying in the lap of luxury soaking up the

HOW TO SELL KENYA How to get there: Kenya is well connected with direct flights from the GCC by a number of major airlines to Nairobi Airport. Kenya Airways has 10 flights a week from Dubai and three flights a week from Muscat. Emirates Airlines offers 12 flights weekly from Dubai, Qatar Airlines provides daily flights from Doha, and Air Arabia flies thrice weekly from Sharjah.

When to go: The main tourist season is in January and February, when the weather is hottest and driest. At this time, the animals in the wildlife parks tend to congregate more around the watercourses, making them easier to spot. However, the parks can get crowded and rates for accommodation soar. From June to October, the annual wildebeest migration takes place, with thousands of animals streaming into the Masai Mara National Reserve from the Serengeti.

Visas: Most nationalities can be issued visa on arrival at the airport.

Should you require a visa prior to departure, Kenyan Embassy officials are available every Wednesday at the Kenya Airways office in Deira, Dubai to process visas. The visa cost is AED 100. Children under 16 are issued a free visa.

22

Arabian Travel News – September 2010

Top Tip: Kenya is only a four hour flight from the Middle East so an ideal sell for clients seeking a short-haul luxury mini-break Sample packages: Emirates Holidays has a ‘Taste of Kenya’ package. The four-day / three-night overland minibus safari starts in Nairobi and takes in Lake Naivasha and Masai Mara National Reserve with overnight stays in lodges in Lake Naivasha and Masai Mara. The tour can be tailor made as a five-star luxury experience with fivestar accommodation and private, chauffeur driven 4x4 or light aircraft.

Emirates Holidays also offers the five-day ‘Big Cat Special’ package. Guests are flown from Nairobi to the Masai Mara where they will enjoy game drives over two days and the chance to see big cats. For a special experience guests can opt for an aerial view from a hot-air balloon. Guided big game walking safaris as well as flying safaris to Lake Victoria for fishing and bird watching at Mfangano Island Camp can also be arranged.

Contact: www.emirates-holidays.com Useful contact: Kenya Tourist Board GCC Office: Tel: +971 4 375 3294 Kenya.ae@aviareps.com / www.magicalkenya.com

www.hoteliermiddleeast.com/travel

REGIONAL NEWS

Luxury Africa

Luxury Africa

TOP LUXURY STAYS: Serena Hotels, Resorts & Safari Lodges With 23 stunning properties around Kenya, Tanzania, Uganda, Rwanda and Mozambique, several of which are members of ‘Leading Hotels of the World’ or ‘Small Luxury Hotels of the World’, Serena Hotels are the top pick for premium African getaways. Each property is utterly unique mixing indigenous design and materials with exceptional service and modern amenities. For an amazing wildlife experience, recommend the Amboseli Serena Safari Lodge.

Set against the backdrop of Mount Kilimanjaro in the heart of Amboseli Safari Park, the lodge has a unique position in this world famous wildlife park - one of the best places to view elephants. The lodge is inspired by local Masai architecture and is furnished with authentic African murals painted by a local artist.

Amboseli Serena Safari Lodge offers a ‘Plains and Migration Safari package’ from US$1,950 per person including two nights accomodation, game drives and a bush barbeque.

Contact: www.serenahotels.com The Majlis Lamu, Kenya The Majlis is a small luxury beach hotel on the island of Lamu, Kenya. The privately-owned hotel, only accessible by boat, offers 25 superbly-appointed suites in understated elegance reflecting Lamu’s local tradition and style. The Majlis is the perfect getaway for someone looking for a relaxing holiday, facing the spectacular twelve kilometre Shela Beach on the Indian Ocean.

The hotel has free night promotiions until 10 December 2010.

Contact: www.themajlisresorts.com Larsens Camp, Kenya A luxury boutique hotel located in the famous Samburu National Reserve, the resort comprises just 20 ultra-plush tents featuring king-sized beds dressed with Egyptian cotton linen, mahogany and teak wood furniture and en-suite bathrooms filled with Molton Brown toiletries. The lodge also features The Eseriani Spa with stunning views of the game reserve. All the tents have perfect views of the Ewaso Nyiro River where wildlife can be spotted from the luxury of your tent verandah. Larsens Camp has a ‘Gourmet package’ including two nights full-board accommodation starting from US$1450.

Contact: www.wildernesslodges.co.ke

history and beauty at a historic residence in the heart of UNESCO World Heritage Lamu city – the options are endless and each one is unique.”

Kenya’s wilderness areas are famous worldwide. The Masai Mara National Reserve is known for the spectacular annual sight of millions of migrating wildebeest, while Amboseli National Park, noted for its elephant and buffalo is renowned for superb views of Mount Kilimanjaro. The national parks all offer high-end lodges with private pools, exquisite vistas, and personalised safari tours.

For a different type of luxury escape you could also suggest that your clients pay a visit to the island of Lamu, off the coast of Kenya. Traditionally an Arab trading island hub, many of the grand old rich merchant’s houses have now been restored into privately-run luxury boutique hotels – such as Baytil Ajaib, Lamu House and The Majlis some with just three or four suites per property. The guest lists at these hotels provide a who’s who of Hollywood A-list celebrities, who flock there for the bespoke service and tranquil settings.

“Kenya is the perfect destination choice for clients that have been everywhere and are looking for an experience with “wowfactor” that is not easily forgotten,” says Chirchir. “The majority of visitors to Kenya describe their experiences as “magical”. The level of luxury offered is comparable to any major destination in the world but with the added excitement of being amongst landscapes of such natural beauty that makes it completely unique and special.”

Serengeti Bushtops Camp, Kenya The brand new Serengeti Bushtops Camp opened in June in the Serengeti plains, directly in the path of the annual wildebeest migration. Each of the twelve, luxurious tents faces the sunset and is open on two sides giving guests an extraordinary, panoramic view of the surrounding vista. Lavish facilities include beautiful wooden flooring, an en-suite shower area, large private terrace, a hot tub, writing desk, 24-hour butler service, and ondemand in-tent massages.

Contact: www.orion-hotels.net A hot air balloon safari over the Masai Mara

www.hoteliermiddleeast.com/travel

September 2010 – Arabian Travel News

23

REGIONAL NEWS

Q&A

Q&A CELEBRITY CRUISES

It’s time to discover Kenya Kenya’s assistant minister for Tourism, Cecily Mbarire says Kenya makes the ideal short-haul getaway for the Middle East market – if only everyone knew about it.

ATN: What does Kenya have to offer visitors from the Middle East?

I think Kenya offers a very unique and diverse product in that we have a lot of things happening within the same country. We have the beach and safaris and we are able to give the necessary luxury that tourists in the UAE love to enjoy. We also have golf tourism which is developing very well, as well as cultural and eco-tourism. There’s so much to do in one destination, which is what makes Kenya a very unique and attractive destination.

ATN: How important is the Middle East market to your tourism strategy?

The UAE is a very important market. It’s among what we are calling the emerging markets of the world. These are the markets that we haven’t put a lot of effort into reaching out to the consumers yet. But as a result we realised there was potential because even without doing much there were still very many people coming to the country.

ATN: What is Kenya Tourism Board doing to attract visitors from the UAE? In December we established a Kenya Tourism Board office here in the UAE that is now permanently going to engage the consumer and, as a result, we are expecting an increased number of tourists from UAE. It’s a very recent office but we feel that in a short time we have been able to do so much.

We have trained well over 500 travel agents in partnership with Emirates Holidays. After the training we did a fam trip to Kenya with some of the agents so that they could gain first-hand experience of Kenya and what it has to offer. Before nobody was trained, and nobody knew much about the destination, so we really hope to see a great deal of improvement by the end of the year. Kenya Tourism even won an award from Emirates Holidays for being ‘the most supportive national tourist organisation’.

www.hoteliermiddleeast.com/travel

Kenya is a short-haul destination from here. You’d be surprised to know that people leave here on a Thursday evening, they are in Kenya on Friday and Saturday and back on Sunday.”

ATN: What are your targets for increasing visitor numbers from this region?

Last year we received around 12,000 tourists from this region. And our target is that by the end of the year we want to get at least between 20 to 25,000, which we think would be a great thing. Then of course it will grow over the years. There’s a lot of potential in this market.

ATN: What kind of tourists do you want to attract?

Honeymooners, family, people who want to come for luxury and relaxation. We are not particularly targeting any specific type of tourist, we want to open it up so that different people can have different experiences and from that they can give their feedback on what they felt about Kenya.

ATN: Kenya is famous for its safaris but are there any new tourism products being developed in Kenya?

Sports tourism, and especifically golf tourism.

We already have 40 golf courses in Kenya and we are developing an 18-hole golf course in Vipingo in coast prov-

ince which is going to be one of the best golf courses in the world – it’s really state of the art.

ATN: What are the key USPs about Kenya for this market?

Kenya is a short-haul distance destination from here – it’s just four and a half hours flight.

You’d be surprised to know that there are people who leave here on a Thursday evening, they are in Kenya on a Friday and Saturday and they are back on Sunday. Especially in the summer it’s a great place to escape the heat for a few days and relax. We want to really tell the UAE nationals that Kenya is a safe place to come to, they will be well taken care of, we treat our visitors very well and they have no reason to think or feel otherwise. For those that have been there they will have a lot of good stories to tell about the destination.

Septmber 2010 – Arabian Travel News

25

REGIONAL NEWS

How to sell How to News analysis sell: Luxury

The Luxury Line-up Where will your affluent clients choose to holiday next? We asked the experts in luxury travel for their advice on hot destinations and top selling tips.

It may be something of a cliché but the concept of ‘luxury’ means something different to everyone. So for travel agents specialising in selling luxury travel it can be something of a minefield. On one end of the scale you have Burj-al Arab style opulence – helicopter transfers and personal butlers to run your bath for you, while on the other you’ve got the luxury of paying top dollar for an out-of-this-world experience – such as an isolated island or amazing adventure. But wherever your VIP client’s perfect holiday lies, the luxury travel market signals big-value bookings and some incredible products to sell.

We picked the brains of the specialists to find out more about the latest trends in luxury travel.

Simon Mayle, marketing manager, International Luxury Travel Market TOP LUXURY DESTINATIONS: Western Europe is still number one for luxury travellers across the world – GCC included.

Countries such as France, Spain, Switzerland and the UK offer clients discretion, security, a cooler but nevertheless good climate in the summer months, as well as exclusive shopping and cultural experiences, and are also culturally sensitive.

London and Paris are timeless classic destinations. The Maybourne Group’s hotels in London: Claridges; The Connaught and The Berkley are excellent choices offering a variety of cultural and gastronomic experiences from Michelinstarred chefs Gordon Ramsay and Marcus Wareing, as well as close proximity to West End theatres and Knightsbridge’s exclusive department stores.

In Paris, the Dorchester Collection’s Hotel Plaza Athenee and Le Meurice are ranked amongst the most elegant in the world.

For a totally different experience, Asia is number one for the high levels of service which GCC travellers

26

Arabian Travel News – September 2010

are accustomed to. Legendary hotels Raffles, Singapore; The Peninsula Hong Kong and Mandarin Oriental Bangkok are all renowned for first class levels of service.

TOP SPENDING CONSUMERS: What is clear is that luxury travel consumers are not homogenous – each consumer is different – requiring bespoke tailor-made luxury travel experiences. In terms of markets there is huge growth emerging from countries such as China and Brazil although highend travellers from the US, UK, Germany and Japan are still some of the largest consumers of luxury travel products.

IMPACT OF THE RECESSION: This very interesting debate has undoubtedly focused on the question of values: both in terms of value for money and an individual elite traveller’s personal values. Luxury travellers certainly expect value for money – whilst they don’t mind paying a high price.

Aspirations are also changing; people are less in the mindset of ‘self-indulgence’ but more ‘self-discovery’.

TOP LUXURY TRENDS: Whilst the traditional ‘fly and flop’ beach holiday is still popular there is a major trend towards exclusive experiences. Within the

Chiva Som in Thailand has pioneered the trend for ‘holistic tourism’

www.hoteliermiddleeast.com/travel

REGIONAL NEWS

How to sell: Luxury

Luxury

Mayle picks the Mandarin Oriental, Bangkok as his top luxury stay.

Holistic as well as medical tourism is a hot trend. More than just spas, luxury travellers are looking for a total wellbeing package. Hotels such as Chiva Som in Thailand and La Prairie Spas across the world have pioneered this.”

adventure theme for example, ILTM exhibitor Yak & Yeti introduces clientele to helisking, trekking and luxury yachting. Pure Escapes, the Indian Ocean’s luxury inbound tour operator offers bespoke yet traditional experiences with an untraditional twist. Recently hiring the whole of Round Island for Russian oligarchs, guest experiences included learning the traditional ‘Sega’ dance; learning from local fishermen how to catch octopi with traditional spears and being taught how to navigate by the stars on an organised night boating trip.

FAVOURITE LUXURY EXPERIENCE: It was in August 2002, travelling on BA001 Concorde, London Heathrow to New York and staying at the elegant St Regis Hotel just off 5th Avenue. The trip included a private recital at the Lincoln Centre as well as wining and dining at some of New York’s finest and hippest restaurants such as 60 Thompson, Balthazar and St Regis’ Old King Cole bar.

DREAM DESTINATION: My ideal holiday is a couple of days in a vibrant city followed by a week on the beach.

For me Thailand offers exactly that: a couple of nights at the legendary Mandarin Oriental Bangkok followed by a week in Ritz Carlton Reserve: Phulay Bay – travelling on the upper deck of the Emirates A380 of course.

HOW TO SELL

WHAT’S ON AT ILTM: ILTM is the leading ‘by invitation only’ event for the global luxury travel industry where the most exclusive travel industry buyers will see the world’s top luxury properties, new boutique hotels, private island getaways, relaxing spa and wellness retreats and out of this world adventure experiences. Newcomers at ILTM 2010 this year include Le Royal Mansour Resort in Marrakech, consisting of 53 beautifully-appointed individual riads with interior gardens; Croatia’s first luxury hotel – The Monte Mulini Hotel; The Ràcz Hotel & Thermal Spa in Budapest and the brand new Indigo Pearl Spa, Phuket – both opening in November.

ILTM takes place in Cannes 6-9 December Visit: www.iltm.net/cannes

Selling ‘luxury travel’ is about offering a truly personal service with one dedicated point of contact for your client supported by knowledgeable staff fully immersed in the products they sell, and utterly confident that these products meet the premium five-star standards each client expects. An understanding of and excellent relationship with your customers is paramount.

Luxury Indian Ocean operator Pure Escapes hired the whole of Round Island in Mauritius for Russian oligarchs and arranged traditional fishing trips.

www.hoteliermiddleeast.com/travel

September 2010 – Arabian Travel News

27

REGIONAL NEWS

How to sell: Luxury

La Residencia Deia, Mallorca is Rogers’ top luxury stay

John Rogers, general manager, Desert Islands Resort & Spa by Anantara FAVOURITE LUXURY GETAWAY: La Residencia, Deia, Mallorca in Spain. It’s a unique location with fantastic staff.

TOP LUXURY TRAVEL TRENDS: Travellers are expecting to plan luxury vacations that maximise unforgettable moments and detailed experiences while minimising spending on extraneous amenities that they will not use.

TOP SPENDING CONSUMERS: UAE residents with disposable income who are looking for a getaway but don’t have the time to travel out from the UAE. IMPACT OF RECESSION: Reflecting the current economic environment, it’s more about great value for money.

Travellers are expecting to plan luxury vacations that maximise unforgettable moments while minimising spending on extraneous amenities that they will not use.”

MOST MEMORABLE TRAVEL EXPERIENCE: Taking the Orient Express train from Cusco to Machu An agent must get to know Pichu.

HOW TO SELL

their clients and be able to show why it’s worth paying a bit more to get something extraordinary. It pays dividends to get to know travel suppliers personally in order to meet great expectations.

Sample package: Desert Islands Resort & Spa by Anantara Sir Bani Yas Island has a Spa Essence package. The package includes buffet breakfast and two island activities per person per day (including nature and wildlife drives, kayaking, snorkelling, trekking, hiking, archery and guided game walks) plus a one-hour spa treatment daily per person. Valid until October 31 2010. Rates start from AED 2,600 per night.

Tel: +971 2 801 5400 / www.anantara.com

Desert Islands Resort & Spa by Anantara is one of the region’s most luxurious properties.

28

Arabian Travel News – September 2010

www.hoteliermiddleeast.com/travel

REGIONAL NEWS

How to sell How to News analysis sell: Luxury

The Luxury Line-up Where will your affluent clients choose to holiday next? We asked the experts in luxury travel for their advice on hot destinations and top selling tips.

It may be something of a cliché but the concept of ‘luxury’ means something different to everyone. So for travel agents specialising in selling luxury travel it can be something of a minefield. On one end of the scale you have Burj-al Arab style opulence – helicopter transfers and personal butlers to run your bath for you, while on the other you’ve got the luxury of paying top dollar for an out-of-this-world experience – such as an isolated island or amazing adventure. But wherever your VIP client’s perfect holiday lies, the luxury travel market signals big-value bookings and some incredible products to sell.

We picked the brains of the specialists to find out more about the latest trends in luxury travel.

Simon Mayle, marketing manager, International Luxury Travel Market TOP LUXURY DESTINATIONS: Western Europe is still number one for luxury travellers across the world – GCC included.

Countries such as France, Spain, Switzerland and the UK offer clients discretion, security, a cooler but nevertheless good climate in the summer months, as well as exclusive shopping and cultural experiences, and are also culturally sensitive.

London and Paris are timeless classic destinations. The Maybourne Group’s hotels in London: Claridges; The Connaught and The Berkley are excellent choices offering a variety of cultural and gastronomic experiences from Michelinstarred chefs Gordon Ramsay and Marcus Wareing, as well as close proximity to West End theatres and Knightsbridge’s exclusive department stores.

In Paris, the Dorchester Collection’s Hotel Plaza Athenee and Le Meurice are ranked amongst the most elegant in the world.

For a totally different experience, Asia is number one for the high levels of service which GCC travellers

26

Arabian Travel News – September 2010

are accustomed to. Legendary hotels Raffles, Singapore; The Peninsula Hong Kong and Mandarin Oriental Bangkok are all renowned for first class levels of service.

TOP SPENDING CONSUMERS: What is clear is that luxury travel consumers are not homogenous – each consumer is different – requiring bespoke tailor-made luxury travel experiences. In terms of markets there is huge growth emerging from countries such as China and Brazil although highend travellers from the US, UK, Germany and Japan are still some of the largest consumers of luxury travel products.

IMPACT OF THE RECESSION: This very interesting debate has undoubtedly focused on the question of values: both in terms of value for money and an individual elite traveller’s personal values. Luxury travellers certainly expect value for money – whilst they don’t mind paying a high price.

Aspirations are also changing; people are less in the mindset of ‘self-indulgence’ but more ‘self-discovery’.

TOP LUXURY TRENDS: Whilst the traditional ‘fly and flop’ beach holiday is still popular there is a major trend towards exclusive experiences. Within the

Chiva Som in Thailand has pioneered the trend for ‘holistic tourism’

www.hoteliermiddleeast.com/travel

REGIONAL NEWS

How to sell: Luxury

Luxury

Mayle picks the Mandarin Oriental, Bangkok as his top luxury stay.

Holistic as well as medical tourism is a hot trend. More than just spas, luxury travellers are looking for a total wellbeing package. Hotels such as Chiva Som in Thailand and La Prairie Spas across the world have pioneered this.”

adventure theme for example, ILTM exhibitor Yak & Yeti introduces clientele to helisking, trekking and luxury yachting. Pure Escapes, the Indian Ocean’s luxury inbound tour operator offers bespoke yet traditional experiences with an untraditional twist. Recently hiring the whole of Round Island for Russian oligarchs, guest experiences included learning the traditional ‘Sega’ dance; learning from local fishermen how to catch octopi with traditional spears and being taught how to navigate by the stars on an organised night boating trip.

FAVOURITE LUXURY EXPERIENCE: It was in August 2002, travelling on BA001 Concorde, London Heathrow to New York and staying at the elegant St Regis Hotel just off 5th Avenue. The trip included a private recital at the Lincoln Centre as well as wining and dining at some of New York’s finest and hippest restaurants such as 60 Thompson, Balthazar and St Regis’ Old King Cole bar.

DREAM DESTINATION: My ideal holiday is a couple of days in a vibrant city followed by a week on the beach.

For me Thailand offers exactly that: a couple of nights at the legendary Mandarin Oriental Bangkok followed by a week in Ritz Carlton Reserve: Phulay Bay – travelling on the upper deck of the Emirates A380 of course.

HOW TO SELL

WHAT’S ON AT ILTM: ILTM is the leading ‘by invitation only’ event for the global luxury travel industry where the most exclusive travel industry buyers will see the world’s top luxury properties, new boutique hotels, private island getaways, relaxing spa and wellness retreats and out of this world adventure experiences. Newcomers at ILTM 2010 this year include Le Royal Mansour Resort in Marrakech, consisting of 53 beautifully-appointed individual riads with interior gardens; Croatia’s first luxury hotel – The Monte Mulini Hotel; The Ràcz Hotel & Thermal Spa in Budapest and the brand new Indigo Pearl Spa, Phuket – both opening in November.

ILTM takes place in Cannes 6-9 December Visit: www.iltm.net/cannes

Selling ‘luxury travel’ is about offering a truly personal service with one dedicated point of contact for your client supported by knowledgeable staff fully immersed in the products they sell, and utterly confident that these products meet the premium five-star standards each client expects. An understanding of and excellent relationship with your customers is paramount.

Luxury Indian Ocean operator Pure Escapes hired the whole of Round Island in Mauritius for Russian oligarchs and arranged traditional fishing trips.

www.hoteliermiddleeast.com/travel

September 2010 – Arabian Travel News

27

REGIONAL NEWS

How to sell: Luxury

La Residencia Deia, Mallorca is Rogers’ top luxury stay

John Rogers, general manager, Desert Islands Resort & Spa by Anantara FAVOURITE LUXURY GETAWAY: La Residencia, Deia, Mallorca in Spain. It’s a unique location with fantastic staff.

TOP LUXURY TRAVEL TRENDS: Travellers are expecting to plan luxury vacations that maximise unforgettable moments and detailed experiences while minimising spending on extraneous amenities that they will not use.

TOP SPENDING CONSUMERS: UAE residents with disposable income who are looking for a getaway but don’t have the time to travel out from the UAE. IMPACT OF RECESSION: Reflecting the current economic environment, it’s more about great value for money.

Travellers are expecting to plan luxury vacations that maximise unforgettable moments while minimising spending on extraneous amenities that they will not use.”

MOST MEMORABLE TRAVEL EXPERIENCE: Taking the Orient Express train from Cusco to Machu An agent must get to know Pichu.

HOW TO SELL

their clients and be able to show why it’s worth paying a bit more to get something extraordinary. It pays dividends to get to know travel suppliers personally in order to meet great expectations.

Sample package: Desert Islands Resort & Spa by Anantara Sir Bani Yas Island has a Spa Essence package. The package includes buffet breakfast and two island activities per person per day (including nature and wildlife drives, kayaking, snorkelling, trekking, hiking, archery and guided game walks) plus a one-hour spa treatment daily per person. Valid until October 31 2010. Rates start from AED 2,600 per night.

Tel: +971 2 801 5400 / www.anantara.com

Desert Islands Resort & Spa by Anantara is one of the region’s most luxurious properties.

28

Arabian Travel News – September 2010

www.hoteliermiddleeast.com/travel

REGIONAL NEWS

How to sell: Luxury

Shibly Jowhershah, head of leisure and marketing, Al Naboodah Travel & Tourism Agencies

HOW TO SELL Know what you are trying to sell and know what your client wants. A person spending 100k+ is worth the maximum time and effort you can give. And trust me, the person will return to you again.

TOP LUXURY DESTINATIONS: It depends on the purpose of travel and what the client wants; each has its uniqueness – Seychelles, Mauritius and Maldives for beach; and Paris and London for shopping.

TOP LUXURY TRAVEL TRENDS: This year’s travel pattern has been to Europe.

Luxury travellers usually demand high service levels, opulent décor, spa and dining options and a satisfaction of indulgences away from everyday life.

TOP SPENDING CONSUMERS: Mainly locals: couples and small families.

IMPACT OF RECESSION: Less travel spend, while still trying to maintain the same requirements.

TOP SELLING TIP: I try to cater to the client’s needs, listening to what he wants and providing alternates as well, with justification.

This way he knows he is talking to someone who knows his needs and has handled such requests before.

Above all, I treat

Jowhershah says Mauritius is one of the top luxury destinations for the local market

every client like a friend.

MOST LUXURIOUS PACKAGE: The rental of a private island, aircraft and yacht charter for 14 nights in the Maldives.

DREAM HOLIDAY DESTINATION: A luxury tented safari in Kenya.

TOP VIP DEMANDS: First class/Charter travel, Meet & Greet at the aircraft, assistance through customs, immigration and baggage control, Limousine transfer, refreshments on arrival, prechecked in to the suite (or in the suite itself,

not the lobby). Manager to greet client at hotel, extra amenities provided, complimentary spa, shopping assistance (if available), private concierge, private butler service, private dining.

These are some of the elements of a luxury holiday, but every package is unique and different, and is made to suit individual tastes. It’s like an expensive suit – you cannot buy it off the shelf, it needs to be tailored to fit you.

CONTACT: Al Naboodah Travel & Tourism Agencies LLC, Deira, 04-294 0099 or ataleisure@alnaboodah.com

The Seychelles is one of the top luxury destinations fror GCC travellers

Every package is unique and different, and is made to suit individual tastes. It’s like an expensive suit – you cannot buy it off the shelf, it needs to be tailored to fit you.”

w www ww www.hoteliermiddleeast.com/travel ww w w.hot hooteeli ho ellilie ier erm mid id ddle dllleeeea eas aasstt.c t..ccoom/ om m//ttrrra m ave veell vel

September 2010 – Arabian Travel News

29

REGIONAL NEWS

Interview Q&A CELEBRITY CRUISES

Campbell’s collection Jacqueline Campbell, managing director of The Travel Collection tells ATN about the unique style of luxury found at her individual properties.

Jacqueline Campbell, managing director, The Travel Collection

30

Arabian Travel News – September 2010

f there’s one person who has her finger on the pulse when it comes to the luxury travel industry, it’s Jacqueline Campbell. A Dubai veteran, 10 years ago Campbell, who was corporate director of sales and marketing for Jebel Ali Hotels and Golf resorts at the time, realised there was a gap in the market for someone offering sales and marketing support to individual luxury hotel properties around the world.

The Viceroy Anguilla Approaching her 40th birthday, she decided to take the leap and set up property is amazing, but the special experiThe Travel Collection, which 10 years on now ence was the dolphins.”

While chain brands provide a certain level represents over 40 premium properties to of comfort and security, Campbell believes the Middle East market.

“Next year is a big year for me,” states it is the individual nature of each property Campbell. “I’m 50 years of age; it’s she represents that makes them appeal to been 10 years of running the Travel the affluent traveller.

“When people want to travel somewhere Collection and 15 years in Dubai.”

Her energy and enthusiasm different and unique and not your internafor the business are completely tional hotel groups, they look at properties unrelenting, which is clearly like ours. Look at the luxury institutional what has made The Travel Col- properties like the Savoy in London and the Maybourne that have been going for years lection such a success.

Each property in the port- and years. They’ve got an individuality to folio has been carefully them and are very unique in their style.”

The recession has undoubtedly been a difhand-picked for its individuality, levels of ser- ficult time for the travel industry, but Campvice and style, as well as bell says that far from witnessing any major for the ‘experiences’ drop in demand, the trend at the high-end of the market has been a focus on ‘value’. afforded to each guest.

“In the past it was “I’ll pay whatever but I “When we travel we are looking for a spe- want to go there”. Now people are asking, cial experience,” says where is a destination that’s good value for Campbell. “I went to money? Send me your special offers for all one of our properties your hotels, and where people have seen the Shanti Ananda Mau- most attractive is where they’ve gone.”

“It doesn’t necessarily mean cheap,” she rice in Mauritius and if you asked me clarifies. “The upper-end market wants to what I remember look after their money too. They still want to most, it was swim- stay somewhere nice but they think – we may ming with the not go for two weeks, we may only go for 10 dolphins. The days. So we have seen a shortening of stays

www.hoteliermiddleeast.com/travel

and taking advantage of the special offers.”

In terms of hot spot destinations, Campbell says Europe has been the stand-out favourite from the Middle East this year.

“London has been phenomenal this year.

GCC travellers love it.

“We have also seen huge increases to Austria, Switzerland and Germany. However, I understand talking to the industry that Paris is down slightly, and that’s to do with the new law being introduced banning burquas.”

Campbell pegs Bali and South Africa as emerging destinations, as well as the US as a new up-and-coming favourite.

“We have certainly seen a bit more interest in America. Miami is very popular with cruising – a lot of companies such as Silversea and Royal Caribbean stop there. Florida is big with DisneyLand, and Los Angeles is the home of shopping and very popular for studying in this part of the world.”

For Campbell, the key to establishing The Travel Collection has been developing successful relationships with the region’s travel trade – relationships that she has built up through years of dedicated sales calls. “At the end of the day I am a very old fashioned sales

person,” explains Campbell. “I believe in relationships and I believe in pounding the streets. I have a passion for sales and that’s what’s kept me going all these years.”

Her motto is to ‘drip feed’ crucial information to agents:“What I find is that so often people go in and throw spaghetti at travel agents – by that I mean they throw all the information –– 50 bedrooms, 16 restaurants and then they leave. We always try to leave three main messages. One could be the location of the property, two could be something that’s unique about the property: it could be that the Viceroy in Miami is right next door to Nobu; it could be that at Hotel Sacher in Salzburg guests can experience the famous Café Sacher.”

Ultimately people buy into Campbell’s collection because they trust her judgment.

“Buying anything is a matter of trust and the longer I’ve lived here I’ve taken on more of the Arab ways,” says Campbell. “When I first started in Dubai I was taught that people will work with you if they trust you. It’s only by building a relationship that people become more open and honest. That’s when it becomes a friendship,” she says.

What we have seen is people looking for value for money. In the past it was “I’ll pay whatever but I want to go there”. Now people say send me all your special offers.”

The Viceroy Anguilla in the Caribbean is Campbell’s dream luxury escape

CAMPBELL TALKS LUXURY: • TOP PICK DESTINATION: From this region, there are destinations that will always be popular, such as London, Vienna and Zurich as well as the Maldives, Thailand and Malaysia. However “hot destinations” such as Mauritius, South Africa and Los Angeles are emerging as easy direct air links are now available.

• THE LATEST TREND IN LUXURY TRAVEL: We have seen a move towards ‘experiential holidays’ where guests no longer want to lie on a beach for two weeks but want to experience culture, adventure and educational activities such as cooking classes or crafting. They want a new and exceptional experience over and above high-quality accommodation.

• THE IMPACT OF THE RECESSION: The main impact that we have noticed is that people will opt to stay for shorter periods in five-star hotels as opposed to staying for longer in a four-star property.

• TOP TIPS FOR TRAVEL AGENTS: The agent should know as much as possible about the property and the region so as to be in a position to make suggestions and recommendations to the client. This means going beyond what info is available in a fact sheet.

Tip: Build up a personal relationship with the hotel and its management. They are the people on the ground that can make miracles happen when you need them.

• TOP TREND TO LOOK OUT FOR: Cruising. With some cruise operators, such as Silversea, moving away from large and imposing vessels to smaller, bespoke, luxurious ships, you can experience the very best accommodation and multiple international destinations in one holiday.

• DREAM DESTINATION: Viceroy Anguilla, Caribbean. Think private beaches, amazing cuisine, stunning views and glorious weather.

www.hoteliermiddleeast.com/travel

September 2010 – Arabian Travel News

31

T H E D I G I TA L H O M E F O R H O S P I TA L I T Y P R O F E S S I O N A L S I N T H E M I D D L E E A S T

| BREAKING NEWS | EXPERT COMMENT & ANALYSIS | INTERVIEWS OF LEADING INDUSTRY NAMES

| LATEST INDUSTRY EVENTS | TOPICAL ENEWSLETTERS | COMPREHENSIVE DIRECTORY OF PRODUCTS, COMPANIES & SERVICES

FOR ADVERTISING ENQUIRIES, PLEASE CONTACT: Diarmuid O’Malley Publishing Director Tel: +971 4 210 8568 E-mail: dom@itp.com

Sarah Worth Commercial Director Tel: +971 4 210 8595 E-mail: sarah.worth@itp.com

ITP BUSINESS PUBLISHING CO. LTD. Al Hilal Building PO Box 500024, Dubai, United Arab Emirates Tel: +971 4 210 8000, Fax: +971 4 210 8080, Email: subscriptions@itp.com, www.itp.com/subscriptions

REGIONAL NEWS

Roundtable debate

Leaders in

Luxury

Meet the Arabian Travel News panel of experts (l-r): Firas Rashid, director of sales, leisure & Middle East, Raffles Dubai John Flower, product development manager, Destinations of the World Lisa Balsom, manager, Luxury Hotels by Dnata Adnan Aridi, general manager, Alpha Tours Peter French, general manager, Raffles Dubai

Experts in the luxury travel sector met at the ultra-plush Fire Presidential Suite in Raffles Dubai to talk luxury travel trends, the secrets to dealing with VIP travellers and how securing high-end clients means big value bookings for travel agents. www.hoteliermiddleeast.com/travel

September 2010 â&#x20AC;&#x201C; Arabian Travel News

33

REGIONAL NEWS

Roundtable debate

ATN: How has the luxury travel market been impacted by the recession? Are high-end clients still spending money on travel?

John: The biggest trend is value. It’s not necessarily a price driven market but it is a value driven one. It comes down to the old adage – what’s in it for me? People will look at what it costs per night here and what it costs per night there, and what added extras are actually included in that package.

Peter: Everyone is very savvy now. They all have access to the internet so they tend to know prices. The mood we find is that it’s reached a point where if you pay retail you’re an idiot – nobody wants to pay full price, so it’s really a question of how you can get that price by building in all these add-ons and little extras.

Lisa: We still get travellers who decide today that they want to go to London tomorrow and they want a particular suite and price will not come into it. But the majority of travellers now do wait to see what’s out there. I think it’s more

The star system has become so confused that the general public doesn’t really understand what the stars mean anymore – it’s really lost its relevance. Today it’s all about branding.”

Peter French

Peter French joined Raffles Dubai as general manager in July. He has over 40 years of experience in the international luxury hospitality industry and has worked as GM in prestigious properties around the world including the Sukothai in Bangkok, the Carlyle in New York, Grosvenor House in London and Mandarin Oriental Hong Kong.

34

Arabian Travel News – September 2010

about value-add than real price reduction – it’s about the extra things that go into it.

Adnan: Our experience with the recession is that high-end clients and the luxury market is doing much better because these people have the money and they will go on vacation and spend it. We were worried that the demand for private jet flights would disappear but we have actually had our busiest period over the last year and a half for private jets.

ATN: What trends are you seeing at the moment in the luxury sector?

Peter: I think people today are looking for more of an ‘experience’. There was a time years ago when it was more about being acquisitive.

You wanted watches and things around you.

Whereas today a lot of people, particularly the older generation in the 50 to 60 year old age group are really out there to have experiences.

A hotel room is a commodity, so you can compare your bedroom price with Marriott, Hilton, Four Seasons, whoever. Whereas if you’ve got a destination that’s unique, with a very limited inventory, you’ve created something that you can’t put a price on. At that point in time with that level of luxury, price becomes slightly irrelevant. A good example is these high-end safari lodges. In many ways they can command a price that is way beyond anything that’s in the market.

Lisa: There are two different sides to luxury – there are luxury hotels, luxury cars etc. And then there’s aspirational luxury and I think that’s what people will pay money for – they will pay for an aspirational experience.

Peter: The problem with luxury hotels is that the star system has become so confused that the general public doesn’t really understand what the stars mean anymore – it’s really lost its relevance. Today it’s all about branding.

People buy into Four Seasons, Mandarin Oriental, Raffles, Ritz-Carlton, because the brand stands for a standard and I think that’s the recognition today. You know what you’re going to get with those hotels. You know the quality, you know the service you’re going to get.

ATN: What type of experiences are high-end travellers looking for today?

Adnan: I don’t see people travelling anymore for museums and cultural aspects. They can see these things on the internet. I would not pay 60 Euros to see a museum in Paris but I will go and have a luxury massage. Who’s going to travel somewhere just to place his hand on a

www.hoteliermiddleeast.com/travel

REGIONAL NEWS

Roundtable debate

Firas Rashid is director of sales, leisure & Middle East, Raffles Dubai. He joined Raffles in July 2008 from Grosvenor House, and has since utilised his extensive relationships with VIP clients to manage the leisure segment at the hotel.

The first thing an agent should look at is having a good relationship with his suppliers. This will help to deliver customers’ needs.”

Firas Rashid

17th century stone? In Lebanon, would you drive an hour and a half from Beirut to Baalbek to see some columns? Would you go to Egypt just to see the pyramids? Why are there 600 spas in Dubai? Because people want the full luxury experience when they travel, they want to have dinner in nice restaurants, they want to go to the spa and relax.

John: I think that’s where we come from different backgrounds in that Australians will travel to do that.

Lisa: I disagree in that I think there is a huge market of ‘empty nesters’ that are looking to go and experience culture.

Peter: Did you know that one million Americans bend over backwards and kiss the blarney stone every year in the south of Ireland?

It’s a cultural thing, it’s a heritage thing.

ATN: Which consumers are spending the most money on travel?

John: The number of luxury and affluent travellers is generally increasing. An interesting trend that we’ve noticed is what we call ‘combination travellers’ from China and India.

www.hoteliermiddleeast.com/travel

They will stay in a four-star hotel but they will always tack on one night in the Burj Al Arab.

In some ways luxury travel is about ticking boxes. It’s the ‘thousand things you do before you die’.

Adnan: The Chinese market will always come for four nights, with one night in the Burj Al Arab, the second at Mina Al Salam and then they end up in a three star hotel.

Peter: It’s a very Asian thing – there was a Chinese group I saw staying in a three-star hotel but they were having tea in the Armani. They wanted to tick that box.

John Flower has 18 years experience in the travel industry.

His most luxury booking ever? “It was in Australia. What started out as a simple AED 45,000 booking turned into AED300,000 and included a cruise on the QE2, luxury Nile cruise with private sightseeing and transfers, round-theworld First Class ticket, Orient Express train trip, and London to New York on Concorde. The client even came back and thanked us for making him spend the extra money – that was how he put it!”

The biggest trend is value. It’s not necessarily a price driven market but it is a value driven one. It comes down to the old adage – what’s in it for me? ” John Flower

September 2010 – Arabian Travel News

35

REGIONAL NEWS

Roundtable debate

It’s about anticipating your customers’ needs. If you’re an affluent traveller it means you’re used to business being taken care of. That’s the luxury experience. ” Lisa Balsom

Roundtable points raised: • Since the recession, seeking ‘value for money’ has become a priority for high-end travellers.

• ‘Experiential travel’ is a top trend – travellers are willing to pay more for unique experiences such as luxury safaris.

• China and India are the markets to watch in terms of highspending travellers.

• Affluent travellers are demanding a more personalised, one-on-one style of service.

• Agents selling luxury travel should aim to become specialists and deliver as hands on service to the client as possible.

John: This is a trend that’s going to pay dividends later. Both India and China are becoming more affluent, so that one night luxury stay this trip - five years from now will be a five night or 10 night stay.

Peter: China is a good example because they are a very unsophisticated traveller in the main. But in a few years time they will have done a few trips and stayed in a few hotels and I think you’ll find that they will then move into the sort of levels we are talking about. And there are more middle class Indians in India than in the whole of Europe – so these are the markets to look out for in the future.

Adnan: We have a lot of high-end business from the Russian market. We personally go to Moscow and fly with our clients here in their private jets and we stay with them from day one until they leave. These kind of clients won’t travel everywhere – first for security

Lisa Balsom is manager of Luxury Hotels by Dnata, representing some of the finest hotels in the world to the GCC market. She has 20 years experience in the travel industry and has worked for Jumeirah Hotels and Resorts as well as for British Airways, handling the entertainment industry, which involved booking VIP clients into Premium Class and Concorde.

36

Arabian Travel News – September 2010

reasons and second because they have tried everything so you have to give them something new, which they can find in Dubai.

ATN: What kind of service standards are your high-end clients demanding? Is there a trend towards a more personalised service style today?

Peter: I used to have a guest that would check into the Mandarin Hong Kong and 45 things would have to be done in their room prior to their arrival at the hotel. It wasn’t a question of them coming and it could all be shuffled around – it was the anticipation that we knew what they wanted and everything had to be done. The one thing I always remember was that she didn’t want to get up in the middle of the night to open the TV cabinet doors so we had to take those off the hinges. For a hotelier it becomes quite interesting – it becomes a challenge to ensure you are not outwitted.

Adnan: In Dubai the service is always number one. Here you arrive at the airport, you have a VIP lounge for the client to go straight from the aircraft so they do not have to wait around, somebody will take their passport and their luggage. They will get taken to a hotel suite which is amazing. The service you have in the hotels here, despite all the cutbacks and the recession, is of a very high level.

Lisa: I have to beg to differ in the sense that in Dubai you have one of the highest ratios of staff to guests but I think it’s a very different standard of service than if you go to a hotel in London. We look after a small boutique hotel in London where the staff know their guests inside out, they know their requirements and can confidently recommend to their guests whatever they are looking for – whether it’s a restaurant, or anything they might need – it’s a totally different style of service.

Peter: In Europe and America they have been doing that for a while but in parts of the Middle East and Asia, particularly where you’ve got a fairly young up-and-coming workforce who may have a language barrier, and who don’t have the confidence of dealing with high-end clients you’ve got a training issue.

Professionalism probably still needs to be improved upon here.

ATN: What advice can you give to a travel agent looking to specialise in the luxury travel market – what are the best ways to secure high-end bookings?

Lisa: It’s about recognition and anticipating

www.hoteliermiddleeast.com/travel

REGIONAL NEWS

Roundtable debate

Adnan Aridi has over 22 years experience in the travel industry. The list of VIP clients he has handled through Alpha Tours stretches from company CEOs to presidents and ministers, and he regularly arranges luxury experiences such as helicopter trips, private jet and yacht charters and cruises. His highest revenue booking ever was for Johnson & Johnson, Russia who spent AED 7.5 million on a luxury six-day incentive trip in Dubai last year.

your customers’ needs. It’s also making sure that if you’re being asked something you fully research your answer – you don’t try to sell something that’s not going to fit the customer’s needs. That’s how you keep these clients.

I visited eight or nine different travel agents in Riyadh last week and over half of those had a VIP section which literally hand held their clients bookings. There was also one that had a ‘concierge service’ to take care of every last thing for the client.

If you’re an affluent traveller it probably means you’re quite used to business being taken care of, and that’s the luxury experience.

It’s also about having that trust with your client and being available to them. If somebody makes a decision late at night you need to ensure you can actually secure that booking.

Peter: Today with a customer it’s about getting as close to them as you can. The more you know about them the more you can provide them with a good service. You’ve got highend travel agents in LA and New York that only have 10 clients, maybe even less than that.

John: In Australia we used to call them ‘rent a desks’. You’d have an established travel agent with a license and these guys would just look after 10 or 15 clients max. The yield retention on those sorts of clients is usually massive.

Lisa: Exactly, if someone is taking a three week vacation and they are staying in x number of five-star hotels it’s certainly going to pay off.

Peter: It’s a big responsibility because if you are booking a $100,000 yacht per week and you get it wrong, you have lost that client, so the level of expertise, knowledge and the work

I don’t see people travelling anymore for cultural aspects.

Why are there 600 spas in Dubai? Because people want the full luxury experience when they travel”

that has to go into it is huge.

Firas: The trend of booking in this region is through a travel agent especially for the luxury sector. The first thing a travel agent should look at is what relationship he has with his suppliers. Having a good relationship with a hotel for example will help to enhance his customers’ needs and deliver requirements. So he has to have a point of contact. We as hoteliers also have to establish loyalty with these valued travel agents who have valued clients at the end of the day.

ATN: Where do you see the future trends for the luxury travel industry?

John: One of the trends that we’re seeing is for luxury yachts and there is a trend towards luxury motor yachts here. Seabourne Cruises are a great example.

French: Security is a big issue today. I was operating The Carlyle Hotel in NewYork where 45 percent of the arrivals were coming in on private jet. One reason is that to travel today on regular airlines through airports can be a hassle, whereas with a private jet it takes off when you want it to and it’s got all the service.

The other aspect at this top-end of the market is that people are worried about security and to fly in a private jet, and stay in a more secure, remote location, is definitely something that is very sought after.

Lisa: I think its about maximising time for people – so no restricted check in or check out times, not having to worry about getting down to breakfast at a certain time. We have two hotels that now offer a 24-hour check in, and ‘service ambassadors’, who are basically there to do anything for you. They check you in, which they can do in the room, if you want to go to the market and buy some local produce they will go with you as a personal shopper, if you want to do a tour of the area, they will go with you. What is key to making that successful is being able to read your customer and knowing do they want to be bothered? Do they want to have their hand held or not? It’s a one-on-one relationship which is really about understanding your guests.

ATN’s roundtable debate was held in the luxurious Fire Presidential Suite at Raffles Dubai.

Adnan Aridi

www.hoteliermiddleeast.com/travel

September 2010 – Arabian Travel News

37

REGIONAL NEWS

Q&A

Q&A CELEBRITY CRUISES

Fujairah goes forth

As general mananger of Le Meridien Al Aqah Beach Resort since it opened in 2002, Patrick Antaki has been an enthusiastic promoter of tourism to Fujairah, with a mission to put the UAE’s East Coast on the map.

Patrick Antaki, general manager of Le Meridien Al Aqah explains how the newly established Fujairah Tourism and Antiquities Authority (FTAA) will make the emirate a tourism force to be reckoned with.

ATN: What drove the formation of the new Fujairah Tourism and Antiquities Authority?

His Highness the Ruler of Fujairah saw that tourism was here to stay and that Fujairah is going to be a major player in the tourism market so he decided it was time to make it official. The objective of the authority is to grow the infrastructure and to grow the investment as well. We have to make it attractive for investors to come into Fujairah, and put their money into it.

ATN: What will the FTAA be responsible for?

The authority’s job is to put the tourism house in order and to utilise the assets of Fujairah. I don’t know if you know but Fujairah has the largest number of antiquities in the country. I mean forts, old houses, old mosques and nobody knows about them – it’s the UAE’s best kept secret. It’s up to the authority to make a big noise and to make everybody know Fujairah, whereas in previous years it was very much the individual hotels’ responsibilities.

ATN: What are the selling points of Fujairah as a destination?

People who want beach holidays have a much better product on the east coast and the value for money is a lot higher than on the west coast. The options available are not as big but you can have a beach holiday with diving, fishing and specialised fishing.

If you want to do fly fishing Fujairah is the one place that offers it and Al Aqah is the only hotel. We bring in an angler from the UK and we do a two-day academy.

There are also areas of natural beauty like Wadi Wurayah, which recently received a US$1 million protection grant because it’s the only waterfall area in the UAE. It’s a very wild place of natural beauty, and it was totally unprotected. So the FTAA now needs to start protecting it with a ranger and proper security and start looking after the entire area.

38

Arabian Travel News – September 2010

ATN: So is it about finding niche ways to differentiate Fujairah as a destination?

Absolutely. Dubai has spent millions and millions on promoting itself and it has done a fantastic job. If it wasn’t for Dubai and for Emirates Airline Al Aqah probably wouldn’t even exist.

But we don’t have the resources of DTCM or Emirates Airline. And we are not trying to be at the same level as them.We have to appear different and use niche markets so what better than to use the nature and the history? Under the water it’s beautiful – I was diving with some guests last week to Dibba Rock and we saw sharks, turtles and all sorts of colours of fish. There are not many places around the world where you can get this type of diving.The other part is the antiquities, which the FTAA will now start to promote.

But first you need guide books, an infrastructure, facilities for the guests, maps etc.

ATN: What are your strategies for increasing visitors to Fujairah – do you have any targets?

At this stage we are preparing the back bone so we don’t have any plans ready to fire up in the next few days. The work at the beginning might appear to be slow but that’s how you get established. You set up, you prepare a strategy, and the next five to ten years you start really making some noise. We are not trying to compete with any other emirate; we are trying to make the emirate complement the rest of the country.

There are bigger plans to do direct marketing with the bigger tour operators, doing ‘Fujairah weeks’ or ‘Fujairah months’, but first we have to educate people where Fujairah is. A lot of people still don’t know. You are talking to me at a very fragile moment because we are still very, very new, so there are a lot of thoughts banging around and I don’t want to give any false hopes.

ATN: How has tourism development in Fujairah been impacted by the recession?

It has slowed things down. There were three active projects. One of them, the company that was building it has gone bankrupt – that

www.hoteliermiddleeast.com/travel

The biggest challenge for Fujairah is to be heard above all that noise. There are people with more money that can shout louder.

Otherwise it’s a beautiful destination and a very sellable destination.” was Damas Hotels. Another is InterContinental management group, but the owners have slowed down the process in order to save money. So they are still building it but it’s taking its time. And the third one – Mina Al Fajer [a Fairmont resort] is still going ahead so that should be ready by the end of 2010.

ATN: Are there any other tourism developments in Fujairah?

Fujairah has a lot of hotels coming up in the town itself. On the main street there is a Rotana opening, there is a Concord opened, there is a Coral residence, there are another two under construction – Premier Inn has signed on some land there. Don’t forget Fujairah town is growing through a lot of commercial investments.

The port is doubling in size, there are a number of industries as the oil pipeline so we are looking at between 20 and 30,000 new residents coming to Fujairah.

ATN: How has business at Le Meridien Al Aqah been impacted by the recession?

It’s had less of an impact for people who were thinking outside of the box, who still put investment and development of the product as a major objective, who still made sure that quality and service delivery is the number one. You can do two things in bad times, you can start cutting costs or you can make sure that your services are top notch to make sure the people who are still travelling will come to you, not your neighbour. So that’s what Al Aqah is doing. We are just about to go into a room refurbishment; we are refurbishing our main restaurant. People ask me: why are you investing in the middle of a recession? But it’s so that I’m ready for the upswing so that when business starts pulling back, we are there and we’re fresh.

ATN: Have you had to drop room rates to entice guests in the current market?

Yes thirty to forty percent.You have to work with a formula called the ‘elasticity of pricing’. It’s about supply and demand. So when I see it’s not selling, you have to reduce your prices. That’s

www.hoteliermiddleeast.com/travel

Le Meridien Al Aqah Beach Resort

the way the cookie crumbles. We are competing today against different countries, not just within the UAE. We need to attract customers going to Egypt and Turkey too.

ATN: What are the major challenges ahead in promoting Fujairah as a tourist destination?

To be heard above all that noise, and the other destinations coming up against us. There are people with more money that can shout louder, so this will definitely be a challenge. Otherwise it’s a beautiful destination and a very sellable destination.

Nestled between the Hajar Mountains and the Indian Ocean, just 90 minutes drive from Dubai Airport, the five-star Le Méridien Al Aqah Beach Resort features 218 sea-view rooms, nine F&B outlets, a dive centre, and luxurious spa. The resort is offering one lucky travel agent the chance to win a two night’s stay for two in a superior sea view room with private balcony including breakfast by answering the following question: How far is Le Meridien Al Aqah from Dubai Airport?

Email monika.grzesik@itp.com with your answer to win!

September 2010 – Arabian Travel News

39

REGIONAL REGIONAL NEWS NEWS

Technology

Fee Fight:

AIRLINES vs GDS With airlines looking to cut distribution costs, what’s the future for the GDS? merican Airlines has rocked the travel distribution world in the US by announcing its intention to distribute ‘ancillary services’ – as in all the airline extras – from additional luggage, extra leg-room, on-board meals, and entertainment to wireless connectivity – exclusively through Farelogix and not through the GDS. According to American Airlines, the GDSs will have to connect to Farelogix in order to access the content.

Ailing airlines looking to cut costs have made no secret of the fact that the GDSs are a target. In his ‘State of the Air Transport Industry’ address earlier this year, IATA director general, Giovanni Bisignani said western

GDS systems deserved “a special place” on IATA’s “wall of shame” because of the high fees they charge airlines for each booking. “They are leeches, charging at least $4 per transaction, when China’s TravelSky does it for just $1.20,” he said.

Unsurprisingly, the move by American Airlines has caused uproar among travel agents, TMCs and GDSs. Business Travel Coalition (BTC) chair Kevin Mitchell, who is leading a campaign against the move explains that it will effectively “flip the distribution system economic model from one where the airline funds its unbundling, merchandising and selling activities - to a ‘user-pays’ model

AIRLINES CHARGING FOR EXTRAS Airlines looking for new income streams are finding creative ways to ‘unbundle’ their services and charge for extras, including everything from extra luggage to onboard entertainment. According to a recent report by IATA, the airline industry will take in US$58 billion in ancillary fees in 2010. Low Cost Carriers are the masters of this - Ryan Air even proposed the introduction of a £1toilet charge on its flights.

GDSs are rolling out new product developments to keep pace with this unbundling by providing technology for agents to book ancillary fees.

- The new Sabre Red system makes it possible for agents to filter searches by airline extras such as baggage fees with its ‘Shop by Total Price’ facility.

- Amadeus is developing its Amadeus Airline Ancillary Services. The solution will enable the sale of products such as excess baggage, lounge access, seat selection or in-flight entertainment. This new product is coming soon to the Middle East.

40

Arabian Travel News – September 2010

where virtually all merchandising and distribution costs would be shifted to TMCs, and ultimately onto the backs of the airline’s best customers.”

Mitchell said: “At the airline firm level, this probably seems very rational. It generates more revenue while lowering and shifting costs. But it also throws so much complexity and burdens the industry with so many new costs; it is irrational. The airlines just don’t get it. They want to eliminate the middle-man, but corporations have a very efficient and time-tested way of doing business and this will undermine that.”

Sabre’s CEO Sam Gilliland has even called on the US Transportation Department to “to advocate and even mandate” that airline ancillary services be available in all distribution channels – including GDSs. He said Sabre has teamed up with other major GDSs and TMCs to develop new standards for ancillary services distribution. “But in order for this whole process to remain transparent, you need to be very clear with your suppliers about making these services available through your preferred channels, which in the vast majority of cases are the GDS and travel management companies.”

THE COST OF DISTRIBUTION So what is the future for the GDS? Will other airlines around the world start to follow suit

www.hoteliermiddleeast.com/travel

REGIONAL NEWS

Technology

and increasingly look for ways to by-pass the GDS with their own distribution channels? And if they do, will TMCs be forced to bear the brunt of the costs to access that content?

Naz Nizari, senior vice president, EmQuest – the travel distribution arm of Emirates Airline – says that GDS costs in the Middle East market are “substantial” for airlines.

A major problem is the vast amount of “wastage” that occurs in this region. Just like airlines, GDS systems have broken down their costs too, so for every single transaction – including cancelled bookings – the GDS charges the airline a fee.

“The airlines feel that GDSs do charge too much and they may have a point,” says Nizari.

“I’ll give you an example: if you go to a travel agent and book two tickets for different dates, then cancel one, the GDS charges for both. Or supposing someone makes a booking and doesn’t show up at the airport, the GDS still charges – this is what they call ‘wastage’. The GSD charges because it’s a transaction that has happened.”

“There are certain markets where this is minimal,” she adds. “Disciplined markets where people book, they turn up and they fly. But in this market, its not. The wastage here is substantial. By the time you add all the extra charges, your booking has already cost the airline $20 – 25 extra, because of agency behaviour and passenger behaviour. So that’s when airlines here start saying you know what? I’ve got too many bills from you, I can no longer sustain this.”

“Airlines are saying to the GDSs – we don’t mind paying your fees, we’ll happily take your tool, providing you bring the price down to a reasonable level.”

AIRLINES BY-PASSING GDS? Nizari insists that despite the costs, Emirates has no plans to launch its own direct tool in this market. “If Emirates did it in this market, yes we would have some savings, but because we are the distributors of Sabre we get those savings anyway through commissions, so it’s not in our interest to go and put out a direct tool in this market.”

She adds that it would not be a viable commercial solution for any airline to pull its content out of the GDS completely. “GDSs are global and offer a very wide

www.hoteliermiddleeast.com/travel

The airlines feel that GDSs do charge too much and they may have a point. The ‘wastage’ here is substantial. By the time you add all the extra charges your booking has already cost the airline $20-25 extra because of agency and passenger behaviour.” distribution. If the airline wanted to do that themselves in an international market they would have to put their own people everywhere, and start an education programme on how agents can book alternatively.”

“There are still hidden and indirect costs, so it doesn’t work out that much cheaper. You still need someone to look after that technology, you still need to have a service centre.”

“And if you are looking at providing these services internationally as an alternative to GDS then you’re basically looking at the same sort of cost,” she adds.

Naz Nizari, seniot vice president, Emquest

According to Nizari the American Airlines deal with Farelogix is simply a ‘negotiating ploy’ to come to a better commercial agreement with the GDSs. “It’s basically strongarm tactics towards the GDSs. What the airline is saying is: if you want all of my content, my web fares etc. I need you to offer me a discount. They are saying: we have got alternatives – if you don’t give us what we want we don’t have to go with you. But if you give us a discount then we will use the GDS.”

PRESENTING A UNITED FRONT But as airlines continue to look for ways to cut costs, it seems that cutting out the middleman, including GDSs and TMCs will be part of that strategy, says Benjo van Laarhoven, executive vice president, Al Shamel International.

“It’s a deliberate strategy by the airlines and we will not stop them,” says Laarhoven. “It’s up to us to re-invent ourselves. We all have to invest in technology to keep up with what the airlines are doing.”

Laarhoven adds that it’s vital for TMCs to maintain a united front to ensure that, at the end of the day, it’s the customer who doesn’t lose out. “Everybody who works with the GDS knows that it is the most efficient way of booking travel. Now the airlines want it differently so it’s really up to us to put pressure on the airlines – together with our customers – to make sure that doesn’t happen.

“The airlines won’t listen to us but they might listen to large corporates. In the US when American Airlines decided to take its content out of Sabre, the TMCs called the big corporations together and they went to the airline and said: we believe in the GDS, we believe in our TMCs and if you are going to do this we will shift market share to another airline. We need to come together and have a united voice towards the airlines. If we don’t do this we are on our own.”

September 2010 – Arabian Travel News

41

REGIONAL NEWS

Technology

Wanna be in my gang?

GDS providers explain how they’re keeping up with changing times

SABRE Daniel Naoumovitch, CEO, Sabre Travel Network Middle East ATN: What is the latest product development from Sabre?

Sabre Red is an innovative total travel solution designed to help travel agencies drive customer loyalty and power business performance, resulting in increased revenues, improved efficiency and reduced costs.

Sabre Red features a portfolio of new capabilities that span the entire spectrum of an agency’s business, from shopping and booking travel, to serving customers throughout their trip, to using business intelligence for insight and continuous improvement. It’s unlike anything on the market today.

Using Sabre Red, agencies will be able to respond nimbly to the emergence of airline ancillary fees and other merchandising initiatives, the growth in demand for

mobile services, changes in preferred supplier agreements, the challenge of finding agents with GDS format knowledge, and ultimately to meet the needs of more informed and demanding travellers.

A key capability of the product is that a travel agency can save their customers an average of 20 percent or more per ticket with the best low fare search capabilities. Sabre outperforms all GDS competitors globally in finding the lowest available fares.

customers around the world and plan to upgrade all our customers onto the new Red Workspace in the coming months.

ATN: What’s the best feature of Sabre Red? The Red Workspace is built on a future-ready, open platform – the same used by NASA to command its Mars Rover mission. The new platform provides faster start up times, greater stability, and high-performance worldwide – including in low bandwidth areas like the Middle East, superior application integration capability, and administrative controls to manage user level configuration and updates.

ATN: Have you partnered with any new travel agencies recently?

We’ve signed with Meezon Travel, Sameal Travel and Falcon Gulf Travel in Oman; Continental Travel and Dolphin Travel in Qatar; Eternity Travel in Jordan; Caesars Travel, Sanam Travel and Dahab Tours & Travel in Kuwait; World Dream Travel, EGY Travel, A Travel and Dream Egypt Travel in Egypt; Safir Travel in Syria; and Hilton Travel in Bahrain.

ATN: What has been the feedback from agents so far?

Extremely positive. We’ve spent the past six months pilot testing with more than 250

ATN: What’s in the pipeline from Sabre?

Our priority is now on upgrading all our 57,000 agency customers around the world onto our Sabre Red Workspace.

ATN: Have you signed any new content agreements recently?

In the past few months alone we have announced new agreements with BA, Swiss, SAS, Aeroflot, Accor Hotels and Carlson Hotels. We have also brought in new LCCS such as easyJet and Sky Express in Russia.

FAST FACTS What: Sabre Travel Network Middle East is headquartered in Bahrain Middle East market share: We do not disclose regional market share. We can say that we are the world’s leading GDS with 39 percent global air marketshare.

Useful tool: Sabre Red is designed to improve agency performance. The tool has a fully graphical workflow to manage customer profiles, shop and book air and hotel and handle ticket exchanges, helping to reduce agent training time and keystrokes by up to 50 percent. Plus it’s multi-GDS capable enabling agencies who serve clients on more than one GDS to simplify operations with a standardised workflow across their customer base.

Contact: www.sabretravelnetwork.com Sabre Red is designed to increase efficiency

42

Arabian Travel News – September 2010

www.hoteliermiddleeast.com/travel

REGIONAL NEWS

Technology

TRAVELPORT Rabih Saab, vice president Middle East, Travelport ATN: What is the latest product development from Travelport?

Our latest product roll-out is Travelport Leisure, a new, one-stop leisure portal for travel agents that includes extensive new hotel, hostel, B&B and car options. This includes specially sourced and negotiated rates from a range of well-known, market leading leisure suppliers; on top of the existing content available through our sister company GTA.

We will soon be unveiling a revolutionary new platform called Travelport Universal Desktop, an integrated booking solution that seamlessly unifies selling and merchandising programmes.”

ATN: When was this launched?

The previous version, Galileo Leisure, was launched in 2005 and the upgraded version was made available in June 2010 across the globe, including the Middle East.

ATN: How does it benefit travel agents?

It makes booking leisure content and earning revenues on it easier than ever. The level of commission varies, however our launch partners (GTA/ Kuoni Connect/ Cars by TUI/ HotelClub by Orbitz) pay an average of 10 percent commission. This allows agents to increase their earning potential through the lucrative non-air market, which according to Travelport research, accounts for nearly 70 percent of all consumer travel spend.

ATN: What has been the feedback from agents so far?

The customer feedback on Galileo Leisure has been very positive worldwide and it’s been a very successful product for us in several markets, which is why we have now made it available to agents in the Middle East. Since going live, we can see that the UAE is already in the top 10 list of countries worldwide visiting the site, which is an indication of how well it has been received.

ATN: Have you signed any new content agreements recently?

In addition to the full content agreements we signed earlier this year with Etihad and Emirates, we’ve upgraded Jazeera Airways to full content participation and signed on Gulf Air for our ViewTrip online check-in facility.

In terms of hotel deals, we’ve just reached a major, five-year global agreement with Marriott International which secures access to

www.hoteliermiddleeast.com/travel

ify relationships with our loyal travel agency partners across the region.

Travelport Leisure includes extensive hotel content

Marriott International’s wide variety of content, inventory, and brands for all Travelportconnected users worldwide.

ATN: Have you partnered with any new travel agencies recently?

We’ve made significant inroads in Abu Dhabi, where we’ve recently signed up major accounts including Omeir Travel. We are also increasing our level of business with several key customers as we continue to solid-

ATN: What’s in the pipeline from Travelport, are you working on any new and exciting developments?

We will soon be unveiling a revolutionary new platform called Travelport Universal Desktop (TUD), an integrated booking solution that seamlessly unifies selling and merchandising programmes, improves workflow and accesses a world of multi-source content. TUD will be launched with several travel agency partners in Q4 2010, followed by a wider roll-out in 2011.

ATN: What’s the future for GDS? The new generation GDS is expanding into further levels of customisation, moving from being primarily a distribution vehicle into a merchandising platform for airlines, hotels, car rental companies and other travel providers. We see the GDS of the future providing more integrated and targeted opportunities at the point of sale for these suppliers as travel agents search for product information.

FAST FACTS What: Travelport GDS comprises the Galileo and Worldspan software platforms.

Middle East market share: According to Travelport the company is the leading GDS provider in the Middle East with more than a third of GDS share in the region.

Travel agencies signed up with Travelport: Al Rais, Al Futtaim, Al Ghaith, Al Moosa, Alpha Holidays, Deira Travel, SNTTA, Al Tayaar, Al Hind, ITL, Al Misr, Uranus Travel, Al Naboodah, Nakheel Travel.

Useful tool: ViewTrip White Label allows agencies to access a version of the ViewTrip product which can be customised to their own requirements. Agents can view, print and email itineraries and expense receipts via a website.

Contact: www.travelport.com

September 2010 – Arabian Travel News

43

REGIONAL NEWS

Technology

AMADEUS Antoine Medawar, vice president, Amadeus ME E ATN: What’s the latest product development from Amadeus?

Amadeus SMS solution is an industry-first web-based tool that allows travel agencies to update their customers with their latest travel itinerary via SMS. Agents can alert travellers on important travel details, including itineraries, e-tickets, flight information, and any changes to the Ticketing Time Limit through their mobile phones. The SMS solution is designed to give travel agencies more flexibility and convenience in ensuring important data reaches their customers immediately. It can operate with multiple itineraries and multiple mobile phone numbers and covers 700 networks in more than 200 countries.

line from Amadeus, are you working on any exciting developments?

We are working on the Amadeus Airline Ancillary Services solution to deliver a comprehensive, multi-channel ancillary services solution to enable airlines in the region to maximise revenue profitably and deliver unmatched levels of customer service. The solution will enable unbundling of the fare and the sale of additional products such as excess baggage, lounge access, seat selection or in-flight entertainment across multiple channels. When introduced in the region the Ancillary service solutions will be fully integrated within the travel agent workflow, removing the need for consultants to book ancillary services across multiple interfaces.

ATN: Have you signed any new content ATN: What is the future for the GDS? agreements recently?

Technology is key to maintaining the comAmadeus has entered in an agreement with petitive edge in the travel sector. The tradiSaudi Arabian Airlines where we will pro- tional travel agency will have to re-invent vide the carrier with Amaitself and propose a richer deus Altéa customer manexperience to the travelagement solution and ler with the offer of valueAmadeus e-commerce added services together solutions as part of our with the biggest content long-term IT partnership. and consulting approach July 21, 2010 2:24:31 PM The airline has also impleto the customer requiremented Amadeus’ portments.

Dear Customer, your folio of e-commerce soluInternet penetration flight EK078 from Dubai tions, used by more than and its usage are growing (DXB) is scheduled on 100 airlines, to manage its exponentially. The travel 14 AUG 2010 at 09:30. global online presence. industry – including traYour travel agency ditional travel agents – has wishes you a pleasant recognised this and are ATN: Have you partnered flight. steadily adapting to this with any new travel agenreality. We believe there cies recently? will be a role for travel Yes, Amadeus has just agents to better underannounced a three-year stand and address the partnership agreement travellers’ diverse prefwith Kanoo Travel. Kanoo erences and needs. This has chosen Amadeus’ requires multiple/ differe-Travel Management, the ent channels from which widely deployed online to purchase travel. booking solution for manAmadeus continues to aged travel, for its corpoinvest in innovative busirate travel services in the ness solutions to allow Middle East. travel agents in the region to improve their customer ATN: What’s in the pipe-

44

Arabian Travel News – September 2010

experience and services. We are committed to help the travel agent community to successfully compete and increase profitability and results.

Amadeus defined a clear and unique strategy based not only in GDS services but also as an IT provider to the travel industry which has been crystallised in its leadership in the Middle East from January 2009 in both arenas. The combination of GDS and IT provider allows Amadeus’s partners, travel agencies and airlines the edge to maximise business.

The growth of the Middle East will not come from the “GDS realigning”, but rather from local trends and global economic development. Amadeus will help its partners, travel agencies and airlines, increase their share of business; be more efficient through technology and maximise their market reach through our unique presence (in more than 217 countries globally).

FAST FACTS What: Amadeus is present in more than 217 countries worldwide.

Middle East market share: According to Amadeus, the company is the fastest growing GDS provider in the region. While bookings in the region fell by 0.34 percent in 2009, Amadeus increased its volume of bookings by more than 30 percent. In 2009 Amadeus grew its market share to an estimated 43 percent increasing its market share by more than 10 percentage points compared to the previous year - consolidating its leadership in the region.

Travel agent partners: In the MENA region more than 8,850 travel agencies use Amadeus through 22,560 travel agency terminals.

Useful tool: Amadeus e-Support Centre, a 24/7 online support solution developed specifically for travel agencies in the region.

Contact: www.amadeus.com.

www.hoteliermiddleeast.com/travel

27th September 2010 Park Hyatt, Dubai

HAVE YOUR CAKE AND EAT IT TOO The Caterer Awards present an ideal opportunity to promote your brand, meet potential customers and entertain existing clients.

Receive exposure at every opportunity throughout the complete awards marketing cycle

Post-event branding On-site branding Pre-event branding Get maximum return from your investment with one of our many sponsorship packages.

For more details, please contact: Diarmuid OMalley Publishing Director Tel: +971 4 210 8568 Email: diarmuid.omalley@itp.com Sarah Worth Commercial Director Tel: +971 4 210 8595 Email: sarah.worth@itp.com Or visit the awards website:

www.hoteliermiddleeast.com/catererawards

Category Sponsors

Supporting Sponsor

ad-caterer-2010.indd 1

9/1/2010 11:48:04 AM

Agent action New recruit Mario Segovia Sman talks about his brand new role at Amadeuss MENA as regional head for Airline Business Group ATN: What is your career background?

Prior to my new role in Dubai, I worked at Amadeus in Europe in various departments related to the airline industry, holding sales and account management roles.

ATN: What are your main responsibilities?

I am responsible for the management of the Amadeus airline account and sales team for the MENA region - one of the fastest growing regions in terms of importance to Amadeus due to the success with the Arab Air Carriers Organisation (AACO) distribution agreement. This position is to be maintained and grown out in the years ahead by efficiently managing the commercial and day-to-day relationship with the airlines in the region.

ATN: What do you think will be your biggest challenges?

To ensure consistent growth in the MENA region as the precedence set is enormous, both on a distribution level and IT level; and increasing focus to act as cost-consciously, innovatively and efficiently as possible in order to pass on benefits to our airline customers where possible and further broaden the gap with our competitors.

ATN: What are you most excited about?

I am excited about the possibility to further foster relationships and business opportunities in one of the most dynamic and competitive market places in the world; the MENA region ATN: What do you love most about the travel industry?

Innovation, differentiation and the drive to outperform are just some key attributes that make working in the travel industry enjoyable, challenging and interesting.”

Although one of the hardest hit in any economic downturn and volatile to many other external circumstances, travel remains one of the most dynamic areas to work in. Innovation, differentiation and the drive to outperform are just some key attributes that make working in the travel industry enjoyable, challenging and interesting.

ATN: What are the hardest parts of your job?

The constant changes to

which we are being exposed (competition, new airline business models, innovative products and services, regulatory changes and increasing customer requirements) make it necessary for us to be constantly out in the field, understand and anticipate customer requirements and competition’s strategy in order to grow our competitive advantage. Adaptation and anticipation of change is absolutely fundamental in this rapidly changing industry.

ATN: What are you most proud in your career?

I am proud to have been given the opportunity to be a part of the success of Amadeus in the region. It has been an enriching experience growing a small local office to a minihub that in future will be able to work semi-autonomously.

The Middle East hub emphasises Amadeus’ intention to locally serve our customers with products designed for the global travel industry, but with its distinct local flavours.

Checkin’ in/checkin’ out HAREB AL MUHAIRI

JASON GEIDEMAN

SIMONE BROEKHAAR

Hareb Al Muhairi has joined Etihad Airways as vice president of UAE sales. A UAE national, Al Muhairi is responsible for developing the airline’s sales strategy in the UAE. Al Muhairi joined Etihad after studying political science and management at UAE University, Al Ain. He has held various positions in marketing and product development, as well being posted to London as business development manager.

In his most recent role, as vice president of corporate communications, Al Muhairi was responsible for implementing the airline’s media strategy.

Jason Geideman is the new branch manager of Dollar Rent A Car in Abu Dhabi. Geideman’s immediate focus is to realign Dollar’s strategic approach to the increasing customer demand in the Abu Dhabi. Geideman brings more than 10 years of successful business management to the branch, seven of which are in the car rental industry in the UAE and USA. His core strengths remain in competitive market expansion and customer relationship development.

Geideman will oversee all of the marketing and sales activities in the Dollar Abu Dhabi branch.

The Chedi Muscat has appointed Simone Broekhaar as director of sales and marketing. Broekhaar was formerly director of marketing for Swissôtel Hotels & Resorts and worked with the brand in Amsterdam, London, Ankara and Tallinn.

A Dutch national Broekhaar brings a wealth of knowledge and expertise in sales, marketing, PR, communications and branding related to the luxury hospitality segment.

She is responsible for the overall sales, marketing and PR strategies including business relationships with all travel and trade partners locally and internationally.

46 4 6

Arabian Ar Ara biaan TTravel bia rav rra aavvel el N el News – September 2010

www.hoteliermiddleeast.com/travel

Fam Report: Living ‘La Dolce Vita’ A group of Dnata travel agents are whisked off on a fabulous five-star fam to Florence A four-strong group of Dnata agents were Italy-bound last month to check out the newly opened Il Salviatino, an ultra-luxury villa property nestled in the rolling Tuscan countryside in the village of Fiesole just outside Florence. The stunning 58-room 15th Century Florentine villa is the latest addition to the Luxury Hotels by Dnata portfolio. Surrounded by 11 acres of parkland, it features original frescos, marble fireplaces, and a spa with heated pool.

The agents flew to Rome with Emirates and after a two hour drive to Florence were welcomed at Il Salviatino by the villa’s ‘Personal Service Ambassadors’, who are there to cater to guests’ every whim.

The five-star itinerary included spa treatments (therapists are trained at the Devarana Spa in Thailand), and a cooking class where agents tried their hand at making gnocchi, as well as tours of the surrounding Tuscan countryside, and a city tour of Florence including a spot of shopping at famous designer outletThe Mall.

Sample package: Il Salviatino has a Suites Promotion for Eid. The hotel is offering an upgrade to a Dome View Junior Suite (65 square meters) when a Junior Suite is booked. Starting from AED 5,100 per person for three nights, valid until 30 September.

Breakfast, taxes and service charge are included.

Contact: luxuryhotels@dnata.com.

The agents report back: ELENA GIRLEA, travel consultant, Dnata World Travel On Florence: As my first time visiting Florence, I found it very beautiful. Its surrounded by mountains and green trees. The fresh weather makes you feel so relaxed and you can visit a lot of nice places like the Saint Trinity Cathedral, the Old Bridge, Duomo of Florence, and the shopping boutiques.

On Il Salviatino: Il Salviatino was amazing. Situated on top of a mountain it features luxurious 18th century design and unique views over the city of Florence. I will highly recommend it to all my clients, and would personally like to return there again.

On how to sell: Florence is a very romantic city, so I will be recommending it to couples and honeymooners.

www.hoteliermiddleeast.com/travel

MARWA EL PRINCE, senior leisure travel consultant, The Holiday Lounge On Florence: Florence is a fascinating city and a very interesting destination. Everything around the area is very natural. It’s a small city, but amazing as well.

On Il Salviatino: Il Salviatino is a beautiful hotel and I felt like I was at home there. There is no reception desk, but the hotel’s Service Ambassadors check you in and take care of all of your needs. People working there are so friendly and very helpful and we got a very good service.

On how to sell: : I will recommend the destination, especially to those who want to discover cities in Europe. It is a very good place for couples and honeymooners.

CHIRAG CHUGH, senior business travel executive – Operations, HRG On Florence: Florence is an excellent city with a blend of romance, youth and cultural activities. I would recommend a minimum three-night stay due to the long distance from Rome to Florence (approx 275 kms by road) after a six-hour flight from Dubai.

On Il Salviatino: A USP of the hotel is it has no reception.

Each guest has a personal service ambassador to guide them right through until check-out. The warm and personalised service is definitely a strong plus.

On how to sell: : Florence can be classified as ‘a must visit excursion’ on trips to Rome or Milan. It would be popular for honeymooners and large local families looking for a ‘home away from home’.

NICOLA DIABIRA, senior sales executive, Luxury Hotels by Dnata On Florence: When I think of Tuscany, I think of green rolling hills, vineyards and isolated villas dotted across the landscape. The reality was just as good as I had imagined.

On how to sell: There are a variety of activities available within a short drive of Il Salviatino. There is a Pinocchio theme park for children, wine tasting in nearby Chianti and the opportunity to visit cities such as Siena and Pisa only 50 minutes drive away.

On Il Salviatino: Il Salviatino caters for guests of all ages, offering cooking classes for children and adults, spa treatments in Devarana Spa and the chance to sketch the local architecture with a local artist. Honeymooners and couples will find the location amazing.

September 2010 – Arabian Travel News

47

REGIONAL NEWS

Agent action

Travelport hosts an Iftar extravaganza Travel agents enjoyed Iftar at the dazzling Asateer Ramadan Tent at Atlantis Dubai 3

1

1 Melanie King and Janine Trotter

4

2 Regina Lombard and Hazel Standen 3 The delicious feast

2

4 Narendra Bhatia, Ghulam al Balooshi,Nasir Jamal Khan

5

5 Roshan Devkota, Kiran Kunwar, Namraj, Som Tamanji

6

6 George Joseph, Mohammed Ashraf, Alka Mangiani, Farheen Fatima, Ralph Pinto, Abib Syed

7

7 Alana Ngoh, PR Manager, Middle East, Travelport 8 Issam El Rhezzali, Mohammed Rafiq, Pratima Komli Bisht, Dayana Persan

8

9 Catriona McCarthy

9

10 June Bahatan, Minu Pereira, Noor Nahar

10

48

Arabian Travel News â&#x20AC;&#x201C; September 2010

www.hoteliermiddleeast.com/travel

Ethiopian now flys three times a week to Pointe Noire VISIT US AT WWW.ETHIOPIANAIRLINES.COM FOR CONVENIENT BOOKINGS. CONTACT YOUR TRAVEL AGENT, THE NEAREST ETHIOPIAN OFFICE OR THE ETHIOPIAN AIRLINES GENERAL SALES AGENT, KALES AIRLINES SERVICES AT TRIPORT BUILDING 1-6th FLOOR EVERT VAN DE BEEKSTRAAT 46 1118CL SCHIPHOL THE NETHERLANDS

TEL: 04 2284338 FAX : 04 2273306

EMAIL: dxbres@ethiopianailrines.com