GLOBAL HOTEL INDEX: Singapore +2.8%/ +0.2% - London +2.4% / +0.5% - Dubai +8.6% / +2.6% - Sydney +1.2% / +5% (Supply/ Demand fluctuation, key cities, June 2014)
INSIDE INVESTMENTS Developments from Hyatt and 6KD]D +RWHOV DQG 1XUDL ,VODQG development
VP PROFILE ,VVXH r $XJXVW r ZZZ KRVSLWDOLW\EXVLQHVVPH FRP
JA Resorts and Hotels’ David 7KRPVRQ DQG 5RFFR )RUWHoV 5LFKDUG 3RZHU
TREND TALK 6DXGL $UDELD OHJDO VQDSVKRW and being International 5HFHSWLRQLVW RI 7KH <HDU
ANALYSIS 7KH ULVH RI 6KDULD KRWHOV
MADE IN DUBAI
00 Cover August 2014..indd 20
$UFKLWHFWV RI n7KH &HQWUH RI 1RZo (PDDU +RVSLWDOLW\ *URXS LV KDOI ZD\ WKURXJK WKH PRVW VLJQLƬFDQW \HDU LQ LWV KLVWRU\ COO Philippe Zuber talks to Hospitality Business
7/24/14 12:35 PM
Stay with the leader
Leading the world for over 30 years in hotel security and technology solutions.
Infinity II by Elsafe
Allure by VingCard
Orion by VingCard Elsafe
Essence by VingCard
For more than three decades VingCard Elsafe has been the leader in hotel security solutions. Today, over 40,000 properties around the world trust us to provide the most advanced, secure and reliable solutions for electronic locking, energy management, in-room safes and minibars. Our products are designed to meet your needs for efficiency, convenience and peace of mind, with industry-leading technology, sleek designs and user-friendly features for both your staff and guests. With a customer service network that spans the globe, we’re here to help… and here to stay. So stay with the leader – VingCard Elsafe.
ASSA ABLOY Hospitality UAE | POB 125748 | Rep Office Dubai | Dubai, UAE Phone: 00971 50 2400845 | E-mail: mnarang@vcegroup.com info@vingcardelsafe.com | www.vingcardelsafe.com Provider of: VingCard Locks and Systems | Elsafe Safes | Orion EMS | PolarBar Minibars
Untitled-4 1
31/07/2014 09:16
1
CONTENTS
36
NEWS & DATA 04. Editorial board 06. News 40
09. Data 18. DTCM
PROCUREMENT )LJKWLQJ ƬW
From guest demands to the importance of BNQONQ@SD ƥSMDRR OQNFQ@LLDR
22. Concierge confessions The most bizarre guest requests and their most popular demands
26. Supplies & Services 28. Supplier Spotlight 36 Strategies shares procurement and DƧBHDMBX SHOR
INVESTMENTS 32. All systems go 'X@SSÅ&#x2014;R @QD@ CHQDBSNQ NE VNQKCVHCD R@KDR in the GCC, Tareq Daoud on the UAE and Saudi Arabia pipeline
35. Five minutes with Shaza Hotels on investments Saudi Arabia RSXKD @MC DWDBTSHMF SGD &"" OHODKHMD
36. Island paradise 3GD RSNQX ADGHMC SGD Ê&#x2122; L -TQ@H (RK@MC
hospitalitybusinessme.com
01 CONTENTS.indd 21
INDUSTRY 40. Ruling the waves JA Resorts and Hotels COO David 3GNLRNM NM SGD (MCH@M .BD@M OK@MR
44. Suite spot 1NBBN %NQSD NM HSR ,HCCKD $@RS QD DMSQX @MC VGX SGD ENBTR HM $TQNOD HR NM RTHSDR
47. Embracing Islam 3GD O@Q@CNW NE BQD@SHMF @ BTKSTQ@K LDKSHMF ONS VGHKD DMBNTQ@FHMF 2G@QH@ GNROHS@KHSX
50. Made in Dubai $L@@Q 'NROHS@KHSX ".. /GHKHOOD 9TADQ NM MDV AQ@MCR @MC MDV CDRSHM@SHNMR
56. Trend Talk "NLLDMS@QX EQNL #+ /HODQ #DRDQS 1HUDQ @MC SGD VHMMDQ NE ("1 1DBDOSHNMHRS NE SGD 8D@Q (MSDQM@SHNM@K "NLODSHSHNM
65. One in a hundred Dominique Mercier on running the largest Adagio in the UAE
68. Change management '@ASNNQ &Q@MC &, /DSDQ .Å&#x2014;"NMMNQÅ&#x2014;R Å&#x2013;NTS VHSG SGD NKC HM VHSG SGD MDVÅ&#x2014; LDMS@KHSX
AUGUST 2014
7/23/14 10:20 AM
2
PUBLISHING PANEL
PUBLISHER
DIRECTOR OF SALES BUSINESS DIVISION
DOMINIC DE SOUSA
SARAH MOTWALI sarah.motwali@cpimediagroup.com D: +971 04 440 9113 M: +971 (0) 50 678 6182
GROUP CEO NADEEM HOOD
COO SALES MANAGER HOSPITALITY BUSINESS ME
GEORGINA Oâ&#x20AC;&#x2122;HARA
EDITORIAL GROUP DIRECTOR OF EDITORIAL PAUL GODFREY paul.godfrey@cpimediagroup.com D: +971 04 440 9105
JULIE CAULTON Email: Julie.Caulton@cpimediagroup.com D: +971 04 440 9112 M: +971 (0) 56 778 9793
PRODUCTION MANAGER ASSOCIATE PUBLISHER HOSPITALITY DIVISION
JAMES THARIAN
DAVE REEDER dave.reeder@cpimediagroup.com M: +971 (0) 55 105 3773
WEB DEVELOPER, HOSPITALITY DIVISION
GROUP MANAGING EDITOR
DISTRIBUTION MANAGER
MELANIE MINGAS melanie.mingas@cpimediagroup.com D: +971 04 440 9152
ROCHELLE ALMEIDA
LOUIE ALMA
PRINTED BY Printwell Printing Press LLC, Dubai, UAE
ASSISTANT EDITOR SOPHIE MCCARRICK sophie.mccarrick@cpimediagroup.com D: +971 04 440 9150
PUBLISHED BY
SENIOR GRAPHIC DESIGNER HOSPITALITY DIVISION CHRIS HOWLETT
PHOTOGRAPHER HOSPITALITY DIVISION ANAS CHERUR
ADVERTISING GROUP SALES DIRECTOR CAROL OWEN carol.owen@cpimediagroup.com M: +971 (0) 55 880 3817
'D@C .ƧBD /. !NW Dubai, UAE D: +971 4 440 9100 &QNTO .ƧBD #TA@H ,DCH@ "HSX !THKCHMF .ƧBD & #TA@H 4 $ A publication licensed by IMPZ © Copyright 2014 CPI. All rights reserved.
In association with...
AUGUST 2014
02-03 PUBS PAN AND EDS.indd 2
hospitalitybusinessme.com
7/22/14 1:48 PM
EDITOR’S LETTER
3
CATCH 22 T
he UAE’s hotel industry is at a curious point in its ongoing maturity. After decades of boom, building both the tangible and intangible, the best and (literally) biggest of the international players are sharing in the success of a young, yet diverse country and the UAE’s most prominent indigenous brands are now preparing to export on a major scale. Some will carry the ethics of Emirati hospitality, some a broader Arabic hospitality, and others will replicate international brand standards to a tee, albeit in another destination. But one sector appears to lag a little behind. Since Dubai announced its intention to become a ‘regional capital’ for Islamic finance, governments across the UAE have slowly begun to appoint authorities to oversee the development and standards of hotels that can carry the same stamp. The lack of Sharia hotels in the UAE can be attributed to everything from investment models to demand, depending on who the chosen commentator is. But operators of the properties which have adopted pick and mix variations of the basic Sharia principles, report no such thing. Aforementioned authorities are still too under-developed to peddle much of an opinion – instead, rightly, occupied with the establishment of the necessary frameworks.
hospitalitybusinessme.com
02-03 PUBS PAN AND EDS.indd 3
Yet, simply put it’s a game of numbers. International hotel brands peg their entire feasibility for pipelines and expansion plans on social trends and population, they look at the 200m under 25s in the region and know their traditional brands will have to innovate; they take note of the 74 mobile phones per 100 people in India and know to develop mobile and tablet booking apps in local languages. So consider the numbers in favour of a true Sharia sector. The global Muslim population is currently estimated to stand at 2.8bn; by 2020 the total number of international travellers in this group will be spending $192bn annually. The most popular holiday destination among those considered to be non-Islamic countries, is Singapore. Among Islamic countries it’s Malaysia. Although by only a single place, the record has slipped from the grip of the UAE; a country home to a city whose ambition it is to become the ‘most visited city in the world’. While notably there are many other factors in this ambition, clearly the attention of the Muslim traveller will be a strong one. So the question now remains, is it time for change or is this simply the paradox of the melting pot? MELANIE MINGAS GROUP MANAGING EDITOR
AUGUST 2014
7/24/14 12:28 PM
4
EDITORIAL BOARD
THE INDUSTRY EXPERTS SHAPING YOUR MAGAZINE Hospitality Business magazine’s top industry contacts who assist in guiding the direction of the magazine to create the most relevant content possible
Christopher Hartley CEO, Global Hotel Alliance Chris Hartley is CEO of Global Hotel Alliance (GHA), an organisation based on a business model similar to that of the airline alliances. Chris was one of the pioneers behind the launch of GHA in 2004, and since 2006 he has overseen its development into the world’s largest alliance of independent hotel brands. Today GHA has 23 member brands and over 420 hotels in 63 countries.
Mark Fraser Managing Partner, Taylor Wessing Mark Fraser is Managing Partner of Taylor Wessing (Middle East) LLP and head of its construction and dispute resolution practices. Mark has advised on a range of development and infrastructure projects in the Middle East, Asia and Europe covering the hotel and entertainment, transportation and energy sectors.
Karyn Williams-Sykes Director of Professional Training and Development, The Emirates Academy of Hospitality Management In the past six years in professional training and development, Williams-Sykes has designed, developed and delivered a wide range of soft skills training to many organisations, both within and beyond the hospitality industry and holds an MBA from the University of Leicester.
Tatjana Ahmed Chair and founding member, UAE Professional Housekeepers Group and executive housekeeper Grand Hyatt Dubai Tatjana Ahmed is a member of the Council of Experts for Hyatt International, assisting hotels in the South/West Asia region during the pre-opening stage to set up the Housekeeping Department and implement brand and procedural standards. An award winning housekeeper, Ahmed is the founding member of the UAE Professional Housekeepers Group.
Martin Kubler Founder, Iconsulthotels FZE Martin Kubler is a hotel GM turned hospitality and service industries consultant with more than 15 years’ executive-level management experience in 3-,4-, and 5-star hotels in Europe and the Middle East. Martin runs Iconsulthotels FZE, an ultraANTSHPTD BNMRTKSHMF ƥQL VGHBG RODBH@KHRDR in assisting small and medium hospitality and service industries companies and international hospitality and service industries professionals.
Fabian Schmittmann President, AICR Dubai Section Fabian Schmittmann leads the Association NE %QNMS .ƧBD ,@M@FDQR @MC RRHRS@MS Managers of 4- and 5-star hotels. Founded in 1964 it has developed into an international fellowship with sections in 18 BNTMSQHDR ^3GD #TA@H RDBSHNM NE SGD ("1 V@R founded in 2005 and has grown to become @M DWBHSHMF @BSHUD MDSVNQJ ENQ @KK 1NNLR Division Executives working and living in the city. Schmittmann is also Director of Front .ƧBD @S SGD ,HKKDMMHTL HQONQS 'NSDK #TA@H
AUGUST 2014
04 EDITORIAL BOARD.indd 4
hospitalitybusinessme.com
7/21/14 3:51 PM
6
NEWS
1 / EGBC joins UN Global Compact 3GD 4 $ŗR NƧBH@K HMCDODMCDMS ENQTL OQNLNSHMF FQDDM ATHKCHMF OQ@BSHBDR @MC @V@QCHMF &QDDM *DX BDQSHƥB@SHNMR^ SN RTRS@HM@AKD GNSDKR HM SGD QDFHNM G@R ADDM ENQL@KKX @BBDOSDC @R @ O@QSHBHO@MS NM SGD 4MHSDC -@SHNMR &KNA@K "NLO@BS RSQ@SDFHB ONKHBX HMHSH@SHUD SG@S @KHFMR SGD NODQ@SHNMR NE LDLADQR VHSG SDM TMHUDQR@KKX @BBDOSDC OQHMBHOKDR HMBKTCHMF DMUHQNMLDMS@K RTRS@HM@AHKHSX SGD 4- &KNA@K "NLO@BS G@R MD@QKX ATRHMDRR @MC MNM ATRHMDRR O@QSHBHO@MSR HM BNTMSQHDR QDOQDRDMSHMF SGD K@QFDRS UNKTMS@QX BNQONQ@SD QDRONMRHAHKHSX HMHSH@SHUD HM SGD VNQKC 2@DDC K AA@Q $&!" BG@HQODQRNM R@HC ř3GD HMCTBSHNM VHKK ETQSGDQ KDMC LNLDMSTL SN NTQ @BSHUHSHDR SN OQNLNSD FQDDM ATHKCHMF OQ@BSHBDR (S VHKK @KRN DM@AKD TR SN RDS TO @M DRS@AKHRGDC @MC FKNA@KKX QDBNFMHRDC ONKHBX EQ@LDVNQJ ENQ SGD CDUDKNOLDMS HLOKDLDMS@SHNM @MC CHRBKNRTQD NE DMUHQNMLDMS@K RNBH@K @MC FNUDQM@MBD ONKHBHDR @MC OQ@BSHBDR Ś
1
2 / Kempinski welcomes Africa addition *DLOHMRJH 'NSDKR G@R NƧBH@KKX S@JDM NUDQ L@M@FDLDMS NE SGD E@LDC JDX '¯SDK #DR ,HKKDR "NKKHMDR HM 1V@MC@ŗR B@OHS@K *HF@KH HM KHMD VHSG HSR DWO@MRHNM HM EQHB@ 3GD OQNODQSX JMNVM ENQ HSR @OOD@Q@MBD HM SGD ƥKL Ŗ'NSDK 1V@MC@ŗ G@R ADDM QDM@LDC @R '¯SDK #DR ,HKKDR "NKKHMDR AX *DLOHMRJH @MC VHKK QDOQDRDMS SGD BNLO@MXŗR MHMSG GNSDK NODQ@SHMF NM SGD BNMSHMDMS VHSG SGQDD LNQD GNSDKR HM EQHB@ RBGDCTKDC SN NODM HM SGD MDWS RHW LNMSGR -NV ANNJ@AKD NMKHMD SGQNTFG *DLOHMRJH BNL SGD GNSDK HR DWODBSDC SN TMCDQFN @ L@INQ QDETQAHRGLDMS NUDQ SGD MDWS LNMSGR VGDQD SGD QNNLR @MC QDRS@TQ@MSR VHKK AD QDMNU@SDC SN E@BHKHS@SD SGD ETKK HLOKDLDMS@SHNM NE *DLOHMRJHŗR RHFM@STQD RDQUHBDR @MC RS@MC@QCR *DLOHMRJH 'NSDKR BTQQDMSKX NODQ@SDR GNSDKR HM BNTMSQHDR @MC G@R LNQD SG@M GNSDKR TMCDQ CDUDKNOLDMS VNQKCVHCD
2
3 / BMJBR acquires Mövenpick JBR (M RTOONQS NE #TA@HŗR SNTQHRL HMCTRSQX "NLLDQBH@K !@MJ NE #TA@H "!# G@R @MMNTMBDC SGD @QQ@MFDLDMS NE $# L SN ƥM@MBD SGD @BPTHRHSHNM NE ,±UDMOHBJ 'NSDK KNB@SDC HM )TLDHQ@G !D@BG 1DRHCDMBD NM ADG@KE NE !,)!1 /QNODQSHDR @ BNLO@MX NVMDC AX !, &"" /QNODQSX (MBNLD %TMC 3GD CD@K NQHFHM@SDC AX "!#ŗR BNQONQ@SD A@MJHMF SD@L VHSG BNNQCHM@SHNM VHSG !@MJ ,TRB@S @RRDS L@M@FDLDMS SD@L 3GD A@MJR MNSDC SG@S SGD ETMC VHKK @KKNV SGDL SN S@O HMSN SGD &""ŗR OQNODQSX RDBSNQ GHFGKHFGSHMF SGDHQ BNLLHSLDMS SN RDQUHBHMF #TA@HŗR JDX DMFHMDR NE FQNVSG /DSDQ !@KSTRRDM "$. NE "!# R@HC HM @ RS@SDLDMS ř3GD @BPTHRHSHNM NE ,±UDMOHBJ 'NSDK )!1 #TA@H HKKTRSQ@SDR SGD HMUDRSNQRŗ BNMƥCDMBD HM SGD 4 $ŗR DBNMNLX HM FDMDQ@K @MC HM SGD RDBSNQR VHSG GHFG OQNRODBSR NE FQNVSG HM O@QSHBTK@Q Ś
AUGUST 2014
06-07 NEWS.indd 6
3
hospitalitybusinessme.com
7/21/14 3:53 PM
7
NEWS
4 / Rezidor signs 11 new hotels
4
3GD 1DYHCNQ 'NSDK &QNTO G@R RHFMDC ENQ MDV HMSDQM@SHNM@K OQNIDBSR QDOQDRDMSHMF @KLNRS QNNLR SG@S VDQD TMCDQ EDD A@RDC BNMSQ@BSR RTOONQSHMF 1DYHCNQŗR @MC RTRS@HM@AKD FQNVSG RSQ@SDFX @BQNRR $,$ .E SGD MDV RHFMHMFR ƥUD VDQD ENQ TOBNLHMF GNSDKR HM 2@TCH Q@AH@ ETQSGDQ SVN RHFMHMFR VDQD QDK@SDC SN 3TQJDX @MNSGDQ JDX ENBTR BNTMSQX ENQ 1DYHCNQ (M (RS@MATK 1@CHRRNM !KT MNV G@R RDUDM GNSDKR @MC QNNLR @MC HR SGD K@QFDRS TOODQ
TORB@KD AQ@MC HM SNVM ř#TD SN HSR E@RS DBNMNLHB FQNVSG @MC @LAHSHNTR OTAKHB RODMCHMF HMHSH@SHUDR 2@TCH Q@AH@ HR @ ONVDQGNTRD HM SGD ,HCCKD $@RS 6D G@UD @BBDKDQ@SDC NTQ CDUDKNOLDMS HM SGD *HMFCNL SNFDSGDQ VHSG RSQNMF QDFHNM@K O@QSMDQR @MC @QD @BSHUDKX RDDJHMF ETQSGDQ FQNVSG NOONQSTMHSHDRŚ BNLLDMSDC 6NKEF@MF -DTL@MM OQDRHCDMS @MC "$. NE 1DYHCNQ
5 / $300m hospitality development fund from ADIH
5
AT #G@AH (MUDRSLDMS 'NTRD G@R @MMNTMBDC SGD K@TMBG NE @ ʙ L GNROHS@KHSX CDUDKNOLDMS ETMC '#% OQDCNLHM@MSKX SN HMUDRS HM OQNIDBSR @BQNRR SGD ,$- QDFHNM @MC RH@ 1@RG@C 8 )@M@GH (MUDRSLDMS 'NTRD ,# R@HC ř'#% VHKK B@SDQ SN HMUDRSNQR VGN @QD KNNJHMF SN CHUDQRHEX SGDHQ HMUDRSLDMS ONQSENKHN AX @CCHMF 2G@QH@ BNLOKH@MS GNROHS@KHSX QDK@SDC OQNCTBSR SN SGDHQ BTQQDMS A@RJDS NE HMUDRSLDMSR &HUDM SGD ONSDMSH@K VHSGHM SGD ,$- 2 GNROHS@KHSX RDBSNQ @MC #('ŗR DWODQSHRD VD @QD BNMƥCDMS SN Q@HRD S@QFDS B@OHS@K VHSGHM SGD S@QFDS RTARBQHOSHNM ODQHNC )@M@GH R@HC SGD ETMC VHKK HMUDRS HM RDUDQ@K GNROHS@KHSX RTA
RDBSNQR HMBKTCHMF @HQKHMDR SNTQHRL @BBNLLNC@SHNM ENNC RDQUHBDR @MC KDHRTQD 3GD ETMC VHKK @KRN HMBKTCD HMUDRSLDMSR HM MDV CDUDKNOLDMS OQNIDBSR HM @CCHSHNM SN SGD DWHRSHMF GNROHS@KHSX @MC DMSDQS@HMLDMS BNLO@MHDR SG@S G@R @ ONSDMSH@K ENQ FQNVSG
6 / Largest Adagio opens in Abu Dhabi
6
hospitalitybusinessme.com
06-07 NEWS.indd 7
BBNQ &QNTOŗR C@FHN AT #G@AH K !TRS@M GNSDK @O@QSLDMSR NƧBH@KKX NODMDC NM )TKX QDOQDRDMSHMF SGD K@QFDRS C@FHN OQNODQSX HM BBNQŗR ,HCCKD $@RSDQM ONQSENKHN "@SDQHMF SN RGNQS NQ KNMF RS@X ATRHMDRR @MC KDHRTQD FTDRSR SGD OQNODQSX NƤDQR @O@QSLDMSR SG@S HMBKTCDR RSTCHNR NMD ADCQNNL @O@QSLDMSR SVN ADCQNNL @O@QSLDMSR @MC SGQDD ADCQNNL @O@QSLDMSR @KK NE VGHBG BNMS@HM ETKKX DPTHOODC JHSBGDMR LNCDQM CDBNQ@SHNM @MC @ VNQJRO@BD 3GD @O@QSLDMSR @QD BN KNB@SDC VHSG SGD -NUNSDK K !TRS@M AT #G@AH VGHBG NODMDC D@QKHDQ SGHR XD@Q &DMDQ@K L@M@FDQ #NLHMHPTD ,DQBHDQ BNLLDMSDC ř3GD @CU@MS@FD NE G@UHMF SGD BNLAHMDC -NUNSDK @MC C@FHN AT #G@AH K !TRS@M HR SG@S FTDRSR B@M DMINX @M @QQ@X NE ENNC @MC ADUDQ@FD NTSKDSR @R VDKK @R RO@ E@BHKHSHDR NM SGDHQ CNNQRSDO Ś ,DQBHDQ @CCDC %NQ SGD ETKK RSNQX STQM SN O@FD
AUGUST 2014
7/21/14 3:53 PM
QUALITY THAT’S RECOGNIZED INTERNATIONALLY
The Glion Online MBA in Hospitality Management is the key to a global career. Exclusively available from Glion, it’s the only degree of its kind that is both industry-specific and internationally recognized. The flexible course plan lets you combine both work and studies, while getting an MBA that could take you all the way to the top.
If you’re ready for the next stage in your career, visit www.gliononline.com or call +31 20 7192500 Untitled-5 1
6/2/14 1:01 PM
FIGURES
Pull and tear here
9
IN FIGURES Of Chinese travellers share holiday pictures on social media during and after trips, pg 18
GOPPAR growth, MEA region, the strongest recorded result in STR annual survey, pg 16
Recorded domestic tourists in Saudi Arabia 2013, up 7.5%, pg 62
The year Emaar Hospitality launched Uptown Cairo and signed Armani deal, pg 56
Total number of assets operated by JA Resorts and Hotels, across hospitality and leisure, pg 44
Total keys across rooms, suites and serviced apartments at new Rocco Forte Jeddah property, pg 48
Upper limit of spending allocated to procurement in average business, pg 30
Occupancy at Habtoor Grand, June 2014 according to GM Peter Oâ&#x20AC;&#x2122;Connor, pg 72
Cost of Nurai Island development, by Zaya Retreats, pg 40
Number of rooms Accor operates in the UAE today, across all brands, pg 76
Rooms to be added to Shaza Hotels portfolio by 2017, pg 38
Value of 32 hotels sold by Hyatt in the US , pg 34
hospitalitybusinessme.com
09 DATA - PULLOUT FIGURES.indd 9
AUGUST 2014
7/24/14 12:29 PM
10
DATA
Hotel Benchmark Survey The EY Hotel Benchmark Survey, May 2014, with commentary and insight from Yousef Wahbah, MENA Head of Transaction Real Estate
Various markets Year-to-Date performance (US dollar) EY Middle East Hotel Benchmark Survey Year over Year performance (January–May)
Currency: US$
Occupancy
Average room rate
Rooms yield
Currency
2014%
2013%
Change in % points
2014
2013
Change
2014
2013
Change
US$
50.0
45.0
5.0
207
214
-3.3%
105
99
6.3%
Cairo — City
US$
28.0
29.0
-1.0
80
84
-5.1%
23
25
-8.6%
Sharm El Shaikh
US$
54.0
61.0
-7.0
48
50
-5.2%
26
31
-16.5%
US$
65.0
61.0
4.0
164
157
4.1%
107
96
10.8%
US$
46.0
58.0
-12.0
155
169
-8.1%
73
99
-26.5%
US$
72.0
67.0
5.0
236
243
-2.8%
172
165
4.6%
Jeddah
US$
78.0
77.0
1.0
268
248
8.4%
209
192
8.9%
Madina
US$
81.0
70.0
11.0
178
196
-9.3%
145
139
4.1%
Makkah
US$
76.0
68.0
8.0
158
193
-18.1%
121
132
-8.8%
Riyadh
US$
73.0
66.0
7.0
219
225
-2.9%
161
149
8.0%
-5.8%
Bahrain Manama Egypt
Jordan Amman Lebanon Beirut Qatar Doha Saudi Arabia
United Arab Emirates Abu Dhabi
US$
82.0
82.0
0.0
210
225
-6.3%
174
185
Dubai — Beach
US$
82.0
86.0
-4.0
453
434
4.5%
376
373
0.8%
Dubai — City
US$
87.0
88.0
-1.0
229
216
6.0%
201
191
5.2%
Dubai — Overall
US$
85.0
87.0
-2.0
309
296
4.3%
265
259
2.5%
Yousef Wahbah, MENA head of transaction real estate: “May 2014 was another good month for the MENA region’s hospitality industry. As we move into the summer months, we can expect to see slight decreases in occupancy rates, largely due to the change in climate, decrease in visitors and slowdown from the Holy month of Ramadan. However, despite these factors, a number of key markets have
AUGUST 2014
10-11 DATA.indd 10
still demonstrated stable growth across Key Performance Indicators (KPIs). The industry remained largely stable in May 2014, despite small declines in a few markets. It is expected that the industry will see a slowdown in the summer months, as it does every year, however we remain positive about the MENA hospitality market as a whole and continue to predict strong growth through the rest of 2014.
hospitalitybusinessme.com
7/20/14 12:08 PM
DATA
11
DUBAI In May 2014, Dubai’s hospitality market witnessed a slight drop, with overall average occupancy decreasing by approximately 3.2% percentage points (pp) over last year. This was coupled with a slight drop in ADR of 1.2% and decrease in RevPAR by 2.5%. This is mainly due to the additional supply of over 3,400 new branded hotel rooms, all within 4 and 5 star hotel segments which have been added to Dubai’s hotel supply over the past year. May 2014 performance slowed in comparison with April, which is in line with the city’s typical summer season. Occupancy fell by approximately 5.0% pp month on month, while average room rates decreased from US$327 in April 2014 to US$244 in May 2014.
SHARM EL SHEIKH
MAKKAH
The hospitality market in Egypt’s key resort destination has continued to suffer in 2014, compared to the same period last year. ADR increased from US$46 in May 2013 to US$53 in May 2014. However, the increase in ADR was offset by a drop in average occupancy of 18.0% pp during the same period. This resulted in a decrease in RevPAR of 19.5%.
Makkah’s hospitality market witnessed a decrease in RevPAR, from US$80 in May 2013 to US$58 in May 2014, mainly due to a drop in ADR by approximately 28.4%. The decrease in ADR can be attributed to the hotel operators’ pricing strategies in order to attract visitors to the Holy City.
MANAMA Bahrain’s capital recorded an increase in RevPAR of approximately 36.3% in May 2014 when compared to May 2013. This increase is mainly due to an increase in average occupancy from 34.0% to 46.0% during the same period. This was coupled with a slight increase in ADR of 2.4%. These increases can be largely attributed to a number of conferences held in Manama and in May, the city hosted events for the Petrochemicals, Property, Construction and Architecture industries.
AMMAN
DOHA
The Jordanian city’s ADR increased by approximately 18.0% from the same period last year, jumping from US$155 in May 2013 to US$283 in May 2014. This resulted in an increase in RevPAR of 29.3%. Additionally in May, Amman’s overall occupancy reached 70.0%, a 6.0% pp increase. These increases can be credited in part to the conferences Amman hosted in May, which included The Soccerex Asian Forum, Investing in the Levant, Sofex Trade Show, and the Special Operation Forces Exhibition.
The hospitality market continues to record positive growth in 2014, with RevPAR increasing by approximately 18.7% in May 2014 when compared to the same period last year. This increase in RevPAR was mainly attributed to a rise in average occupancy from 68.0% in May 2013 to 79.0% in May 2014. In addition, Doha’s ADR saw an increase of 3.3% in May. These increases can be attributed to the number of events and conferences held in Doha in May, including Trans Middle East, World Stadium Congress and the Doha Forum.
hospitalitybusinessme.com
10-11 DATA.indd 11
AUGUST 2014
7/20/14 12:09 PM
Material supplied by
12
JOBS
JOB WATCH Looking for a new challenge? Let us help. All jobs can be applied for through www.Hozpitality.com
SALARY DESCRIPTION:
accounts manager is required
Competitive salary offered
for a renowned hotel, Dubai
START DATE: ASAP
based. To assist in supervising
RECRUITER: Islamabad Marriott
all personnel down the line. To
Hotel
DVVLVW LQ WKH VPRRWK DQG HIĂ´FLHQW
ADDITIONAL DETAILS: Recruiter
working of the department.
is looking for a Japanese Chef
To assist in ensuring proper
RECREATION MANAGER
(UAE)
who has previous working
control of revenue received and
INDUSTRY: Hotels Clubs and Spas
SALARY DESCRIPTION:
experience in a 5-star hotel
disbursed. To assist in handling
DEPARTMENT: Animation and
Competitive salary offered
operation or renowned restaurant
all matters pertaining to taxation,
Recreation
START DATE: ASAP
with traditional Japanese cuisine.
insurance policies, banking
LOCATION: Sharjah, United Arab
RECRUITER: The Royal
They must also have experience
procedures etc. To assist in
Emirates
International Hotel
in creating new menus, menu
SUHSDULQJ Ă´QDQFLDO UHSRUWV DV
SALARY DESCRIPTION: Attractive
ADDITIONAL DETAILS: The
calculation, cost controlling, food
stipulated. To be responsible for
salary offered
Royal International Hotel is
safety management system,
both internal audit and annual
START DATE: ASAP
looking for a candidate that
and needs to have strong
audit. To assist in safeguarding
RECRUITER: Radisson Blu Resort,
is able to coordinate sales
technical skills in Japanese food
hotel assets in accordance with
Sharjah
forecasting, planning, and
preparation and processing. This
the standards
ADDITIONAL DETAILS: The
budgeting processes used within
candidate must have the ability
Radisson Blu Resort, Sharjah
the sales organisation. This
to create new dishes and menu
FOOD & BEVERAGE DIRECTOR
needs a person to effectively
person proactively monitors
concepts (menu engineering,
INDUSTRY: Hotels Clubs and Spas
manage a diverse team, with a
and strives to maintain high
market analysis, current guest
DEPARTMENT: Food and
minimum experience of 2 years
levels of quality, accuracy, and
segment analysis, potential
Beverage Service
and in a similar beach property.
process consistency in the sales
markets, calculating of new
LOCATION: Dubai, United Arab
The person should quickly adapt
organisationâ&#x20AC;&#x2122;s planning efforts.
dishes).
Emirates (UAE)
to and understand the impact of
As needed, coordinates planning
departmentâ&#x20AC;&#x2122;s operations on the
activities with other functions and
FRONT OFFICE MANAGER
20,000 plus hotel executive
RYHUDOO SURSHUW\ Ă´QDQFLDO JRDOV
VWDNHKROGHUV ZLWKLQ WKH Ă´UP
INDUSTRY: Hotels Clubs and Spas
EHQHĂ´WV DV SHU KRWHO VWDQGDUGV
DEPARTMENT: )URQW 2IĂ´FH
START DATE: ASAP
and objectives and managing
SALARY DESCRIPTION: AED
to achieve or exceed budgeted
AREA DIRECTOR OF SALES AND
Rooms Division
RECRUITER: Apt Resources,
goals.
MARKETING
LOCATION: United Arab Emirates
Dubai
INDUSTRY: Hotels Clubs and Spas
(UAE)
ADDITIONAL DETAILS: For a
FINANCIAL CONTROLLER
DEPARTMENT: Sales and
SALARY DESCRIPTION:
reputed global chain of hotels to
INDUSTRY: Hotels Clubs and Spas
Marketing/PR
Competitive salary offered
open in Dubai, an F&B director is
DEPARTMENT: Finance and
LOCATION: United Arab Emirates
START DATE: ASAP
needed. This candidate must be
Accounts
(UAE)
RECRUITER: Fraser Suites Dubai
D TXDOLĂ´HG DQG G\QDPLF SHUVRQ
LOCATION: Abu Dhabi, United
SALARY DESCRIPTION: AED
ADDITIONAL DETAILS: As
to join the pre-opening team.
Arab Emirates
20,000 - AED 23,000 basic plus
FOM, the candidate will oversee
Candidates must have excellent
SALARY DESCRIPTION:
accommodation, duty meals and
the FO team which is the main
track record in the hospitality
Competitive salary offered
RWKHU KRWHO EHQHĂ´WV
connection between the guest,
segment and should have relevant
START DATE: ASAP
START DATE: ASAP
the hotel, and the various hotel
experience from a reputed 4 to
RECRUITER: Dusit Residence
RECRUITER: Apt Resources,
departments. They will strive
5-star chain.
Dubai Marina
Dubai
to continually improve guest
ADDITIONAL DETAILS: An
ADDITIONAL DETAILS: For a
and employee satisfaction
RISK MANAGER
RSSRUWXQLW\ IRU D IXOO\ TXDOLĂ´HG
4-star hotel chain in Dubai, this
DQG PD[LPLVH WKH Ă´QDQFLDO
INDUSTRY: Hotels Clubs and Spas
Ă´QDQFLDO FRQWUROOHU UHTXLUHG WR MRLQ
candidate must have a minimum
performance of the department.
DEPARTMENT: Security and
a property in Abu Dhabi. The role
of 2 yearsâ&#x20AC;&#x2122; experience in the same
will be suitable for someone who
role and 5 years in the same
ACCOUNTS MANAGER
LOCATION: Doha, Qatar
is highly organised, has a strong
industry. They must also have
INDUSTRY: Hotels Clubs and Spas
SALARY DESCRIPTION: Attractive
EDFNJURXQG LQ Ă´QDQFH D PLQLPXP
excellent English communication
DEPARTMENT: Finance and
salary
of 5 yearsâ&#x20AC;&#x2122; experience in the
skills with a pleasing personality.
Accounts
START DATE: ASAP
LOCATION: Dubai, United Arab
RECRUITER: Hozpitality
JAPANESE CHEF
Emirates (UAE)
Consulting
SALES DIRECTOR
INDUSTRY: Hotels Clubs and Spas
SALARY DESCRIPTION: Attractive
ADDITIONAL DETAILS: For
INDUSTRY: Hotels Clubs and Spas
DEPARTMENT: Food Production/
salary offered
a 5-star hotel in Doha, this
DEPARTMENT: Sales and
Kitchen
START DATE: ASAP
candidate will be responsible for
Marketing/PR
LOCATION: Asia, ME/GCC
RECRUITER: &RQĂ´GHQWLDO
overall coordination and execution
LOCATION: United Arab Emirates
(Except UAE)
ADDITIONAL DETAILS: An
RI WKH KRWHOĂ&#x161;V Ă´UH OLIH VDIHW\
hospitality industry in the UAE.
AUGUST 2014
12-13 JOBS.indd 12
Transport
hospitalitybusinessme.com
7/21/14 3:58 PM
13
JOBS
programme in accordance to the
LOCATION: Bahrain
(UAE)
SALARY DESCRIPTION: Attractive
company policies, standards and
SALARY DESCRIPTION: Approx.
SALARY DESCRIPTION: Attractive
package offered
procedures. They will develop
$1,326 - $1,592
VDODU\ DQG EHQHĂ´WV
START DATE: ASAP
Ă´UH OLIH VDIHW\ ULVN DVVHVVPHQW
START DATE: ASAP
START DATE: ASAP
RECRUITER: Apt Resources,
emergency and disaster plans
RECRUITER: Hozpitality
RECRUITER: Hozpitality
Dubai
in compliance with the local
Consulting
Consulting
ADDITIONAL DETAILS: A
government and law enforcement
ADDITIONAL DETAILS: Recruiter
ADDITIONAL DETAILS: A group
purchasing manager is required
agencies. They will compile,
is looking for a competent and
IT manager is needed for a local
for a reputed 4-star hotel chain in
analyse, conduct and summarise
well experienced recreation
group of hotels with hotels in UAE
Dubai. This candidate must have
monthly training activities and
manager for a 5-star international
and Oman. The right candidate
2 years hospitality experience
accident prevention results into a
hotel in Bahrain. In addition to
should have similar experience
from an international 4 or 5-star
report.
an approximate salary of $1,326
in star hotels preferably in UAE/
property and have excellent
- $1,592), he or she will also be
GCC.
communications skills.
KEY ACCOUNTS MANAGER
CHIEF ENGINEER
INDUSTRY: Hotels Clubs and Spas
INDUSTRY: Hotels Clubs and Spas
FOOD AND BEVERAGE
entitled for 25% commission on
MANAGER
personal training and exercise.
INDUSTRY: Hotels Clubs and Spas DEPARTMENT: Food and
EXECUTIVE CHEF
DEPARTMENT: Finance and
DEPARTMENT: Engineering and
Beverage Service
INDUSTRY: Hotels Clubs and Spas
Accounts
projects
LOCATION: Doha, Qatar
DEPARTMENT: Food Production/
LOCATION: United Arab Emirates
LOCATION: Dubai, United Arab
SALARY DESCRIPTION:
Kitchen
(UAE)
Emirates (UAE)
Competitive salary offered
LOCATION: Dubai, United Arab
SALARY DESCRIPTION:
SALARY DESCRIPTION: Attractive
START DATE: ASAP
Emirates (UAE)
Negotiable
salary offered
RECRUITER: CHA International
SALARY DESCRIPTION: AED
START DATE: ASAP
START DATE: ASAP
ADDITIONAL DETAILS: An F&B
SOXV KRWHO EHQHĂ´WV DV SHU
RECRUITER: Liwa Hotel
RECRUITER: &RQĂ´GHQWLDO
manager is required for a new
hotel standards
ADDITIONAL DETAILS: Liwa
ADDITIONAL DETAILS:
deluxe property opening in Doha.
START DATE: ASAP
Hotelâ&#x20AC;&#x2122;s parent company located
&RQĂ´GHQWLDO LV ORRNLQJ IRU D FKLHI
This person will be responsible
RECRUITER: Apt Resources,
in Dubai is looking for a key
engineer for an international
for the F&B department and will
Dubai
accounts manager with both
branded hotel in Dubai. They
support the general manager in
ADDITIONAL DETAILS: For a
hospitality and residential
must have a minimum of 2 years
hotel operations. They must be
reputed global chain of hotels
background.
of experience in an international
a degree holder and be between
to open in Dubai an executive
30 to 45 years old. Send CV with
chef with a minimum of 2 years
REVENUE MANAGER
experience in the same position
photograph to susanne@cha-
of experience is required. This
INDUSTRY: Hotels Clubs and Spas
in the UAE. They must be locally
international.com.
candidate must have been in the
DEPARTMENT: )URQW 2IĂ´FH
available and hold a degree or
same industry for at least 5 years
Rooms Division
diploma in engineering.
and have a degree.
LOCATION: United Arab Emirates
EXECUTIVE HOUSEKEEPER INDUSTRY: Hotels Clubs and Spas
hotel chain, in addition to
(UAE)
RESTAURANT RESERVATION
DEPARTMENT: Housekeeping
EUROPEAN PASTRY CHEF
SALARY DESCRIPTION: AED
MANAGER
LOCATION: Doha, Qatar
INDUSTRY: Hotels Clubs and Spas
11,000 to 12,000 basic plus hotel
INDUSTRY: Hotels Clubs and Spas
SALARY DESCRIPTION:
DEPARTMENT: Food Production/
EHQHĂ´WV
DEPARTMENT: Food and
Competitive salary and package
Kitchen
START DATE: ASAP
Beverage Service
offered
LOCATION: Doha, Qatar
RECRUITER: Apt Resources,
LOCATION: United Arab Emirates
START DATE: ASAP
SALARY DESCRIPTION: Attractive
Dubai
(UAE)
RECRUITER: CHA International
salary offered
ADDITIONAL DETAILS: For a
SALARY DESCRIPTION: Attractive
ADDITIONAL DETAILS: An
START DATE: ASAP
reputed 4-star hotel chain in
package offered
executive housekeeper is required
RECRUITER: Hozpitality
Dubai, a revenue manager is
START DATE: ASAP
for a new hotel opening in
Consulting
needed. This candidate must
RECRUITER: Apt Resources,
Doha. This candidate will report
ADDITIONAL DETAILS: A
have a minimum of 2 years of
Dubai
directly to the general manager
renowned international hotel in
experience in the same role and
ADDITIONAL DETAILS: For a
and will be responsible for all
Doha is looking for a European
at least 5 years of experience in
reputed 5-star hotel chain in
housekeeping areas. They are
pastry chef with a minimum of 10
the same industry.
Dubai, a restaurant reservation
required to have experience in the
years of experience in the Middle
Middle East in the same role.
East.
manager is required. The PURCHASING MANAGER
candidate is required to have
INDUSTRY: Hotels Clubs and Spas
2 years minimum experience
RECREATION MANAGER
GROUP IT MANAGER
DEPARTMENT: Finance and
in the same role and have a
INDUSTRY: Hotels Clubs and Spas
INDUSTRY: Hotels Clubs and Spas
Accounts
degree in hotel management.
DEPARTMENT: Animation and
DEPARTMENT: IT and Computers
LOCATION: United Arab Emirates
They must have excellent English
Recreation
LOCATION: United Arab Emirates
(UAE)
communication skills.
hospitalitybusinessme.com
12-13 JOBS.indd 13
AUGUST 2014
7/21/14 3:58 PM
14
TENDERS
TENDERS All the latest tenders information you need to know about
Tel: (+971) 2 634 8495 / www.EmiratesTenders.com
$28 million.
TEL: (+965) 2240 1200
MAIN ARCHITECT : Ellerbe Becket
FAX: (+965) 2241 6574
International (USA)
LOCAL : Mohammed Abdul Mohsin
DESIGN CONSULTANT : AECOM
$O .KDUDĂ´ 6RQV &RPSDQ\
(Saudi Arabia)
has been selected as the main
STRUCTURAL CONSULTANT :
contractor on this scheme.
AECOM (Saudi Arabia)
DESIGN CONSULTAN : Pan Arab
PROJECT NAME : Amity University
square meters of space. The
PROJECT MANAGER : Vanir
Consulting Engineers - PACE
Campus Project
contract for these works will be
Construction Management Inc.
(Kuwait)
TERRITORY : Dubai
tendered later this year. UKâ&#x20AC;&#x2122;s HOK
(Saudi Arabia)
DESIGN CONSULTAN : 2
CLIENT : Amity University (Dubai)
is the main architect. Local WME is
TENDER CATEGORIES :
TRO Jung Brannen Associates
DESCRIPTION : Construction of a
acting as the structural engineer.
Construction & Contracting, Medical
(USA)
university campus with capacity to
Local Black & White is providing
& Healthcare
MAIN CONTRACTOR : Mohammed
accommodate 5,000 students.
MEP consultancy services.
TENDER PRODUCTS : Commercial
$EGXOPRKVLQ $O .KDUDĂ´ 6RQV
%8'*(7 Ç&#x201C; Ç&#x201D; : 81,000,000
MAIN ARCHITECT : HOK
Buildings, Hospital Construction,
(Kuwait)
PERIOD : 2016
International (Dubai)
Residential Buildings
TENDER CATEGORIES :
LAST UPDATED : July 14, 2014
MEP CONSULTANT : Black & White
STATUS : New Tender
Consultancy Services (Dubai)
PROJECT NAME : Al-Jahraa New
& Healthcare
REMARKS : This project will be
STRUCTURAL CONSULTANT :
Hospital Construction Project
TENDER PRODUCTS : Hospital
located in Dubai International
Whitby & Mohajer Engineering
TERRITORY : Kuwait
Construction
Academic City (DIAC) and cover
Consultants (Dubai)
CLIENT : Al Diwan Al Amiri (Kuwait)
an area of 65,000 square metres.
TENDER CATEGORIES : Construction
DESCRIPTION : Construction
PROJECT NAME : Dubai Lagoon
The facility will be the largest
& Contracting
of a new Hospital comprising a
Development Project - Dubai
private university campus in DIAC
TENDER PRODUCTS : Retail
EDVHPHQW OHYHO D JURXQG ĂľRRU DQG
Investment Park
and incorporate engineering,
Developments
DGGLWLRQDO ĂľRRUV RIIHULQJ D WRWDO
TERRITORY : Dubai
of (1,171) beds.
CLIENT : Schon Properties Limited
management, hospitality and
Construction & Contracting, Medical
forensic science. It will also
PROJECT NAME : King Khalid
%8'*(7 Ç&#x201C; Ç&#x201D; 1,400,000,000
(Dubai)
provide extensive sports facilities.
Medical City Project
7(1'(5 &267 Ç&#x201C; Ç&#x201D; 8930
DESCRIPTION : Development of
Anticipated to be completed in the
TERRITORY : Saudi Arabia
PERIOD : 2017
Dubai Lagoon project comprising
fourth quarter of 2016. Local Arch
CLIENT : Ministry of Health (Saudi
LAST UPDATED : July 15, 2014
(52) low-rise residential buildings
Group is the design consultant.
Arabia)
STATUS : Current Project
consisting of (3,800) units offering
DESIGN CONSULTANT : Arch Group
DESCRIPTION : Construction of a
REMARKS : This project involves
studio and one-four-bedroom
(Dubai)
Medical City comprising a 1,500-bed
construction of Al-Jahraa New
apartments, including associated
TENDER CATEGORIES : Construction
hospital, a research center, staff
Hospital in Kuwait. It will comprise
facilities such as commercial
& Contracting, Education & Training
accommodation, a conference
seven distinct buildings. The main
centre consisting of a supermarket,
FHQWHU DQG DQ DGPLQLVWUDWLRQ RIĂ´FH
building will cover a total built-up
gymnasium, swimming pools,
PROJECT NAME : Dubai Festival City
building.
area of 426,000 square meters. The
sauna, Jacuzzi etc.
Mall Project
%8'*(7 Ç&#x201C; Ç&#x201D; 1,200,000,000
28,000 square meter dental center
%8'*(7 Ç&#x201C; Ç&#x201D; 600,000,000
TERRITORY : Dubai
CLOSING DATE : August 18, 2014
will have a basement level, a ground
PERIOD : 2016
CLIENT : Al-Futtaim Group Real
PERIOD : 2018
ĂľRRU DQG WZR DGGLWLRQDO ĂľRRUV ,W ZLOO
LAST UPDATED : July 14, 2014
Estate (Dubai)
LAST UPDATED : June 26, 2014
house over (104) clinics. The 5,200
STATUS : Current Project
DESCRIPTION : Construction of a
STATUS : New Tender
square meter administration building
REMARKS : This project will be
shopping mall with 34,000 square
REMARKS : Services including
will be a single-storey structure.
located in Dubai Investments
meters of retail space.
master planning; architecture;
The project will also include a
Park (DIP) and cover an area of
%8'*(7 Ç&#x201C; Ç&#x201D; 30,000,000
landscape; interior design; MEP;
service center with a built-up area
163,000 square metres. Scope of
LAST UPDATED : July 9, 2014
civil and structural engineering; cost
of 19,300 square meters comprising
work also involves construction
STATUS : New Tender
consultancy; medical equipment
a basement level and a ground
of internal roads, landscaping,
REMARKS : This project is located
SODQQLQJ DQG WUDIĂ´F HQJLQHHULQJ 86Ă&#x161;
ĂľRRU 7ZR FDU SDUNV RQH IRU WKH
lagoon formations, and mechanical,
at Dubai Festival City. Client has
Vanir Construction Management
public with a capacity of 2,900 cars
electrical and plumbing (MEP).
received bids from contractors for
has been selected to provide
and one for hospital staff with a
The scheme will be divided into
WKH FRQWUDFW WR EXLOG WKH Ă´UVW SDUW
project management services
capacity for 1,660 cars will also be
seven zones, known as Lotus,
expansion on this scheme, known
for the scheme. A US-based
constructed. The last component of
Rowan, Lily, Winterberry, Primrose,
as Milestone 1 which includes
team of Aecom/Ellerbe Becket is
this scheme will be a power station
Iris and Zahra. The residential
extension of atrium at the centre of
the architect and lead designer.
with total built-up area of 1,800
units will consist of one, two and
the mall. Later phases will involve
AECOM will provide architectural,
square meters.
three-bedroom and penthouse
extending the mall across the
engineering design and production
Central Tenders Committee (CTC)
apartments, comprising four building
waterway that runs alongside the
services for the scheme. The 2-year
Safat 13011,
GHVLJQV +DUPRQ\ 6HUHQLW\ ,QĂ´QLW\
shopping centre, adding 34,000
contract is estimated to be worth
Kuwait.
and Tranquility. The commercial
AUGUST 2014
14-15 TENDERS.indd 14
hospitalitybusinessme.com
7/21/14 4:04 PM
15
TENDERS
centre will consist of a supermarket,
Contracting
laundry, world-class gymnasium,
to each other by means of three
DESCRIPTION : Construction of a
linking buildings. The complex
trauma centre to accommodate
swimming pools, sauna, Jacuzzi,
PROJECT NAME : King Khalid
includes a modern VIP terminal
additional (160) beds
squash courts, tennis courts,
International Airport Expansion
plus restaurants, cafeterias, airline
%8'*(7 Ç&#x201C; Ç&#x201D; 45,000,000
bowling alley, and mosque.
Project
RIĂ´FHV JRYHUQPHQW GHSDUWPHQWV
PERIOD : 2016
USâ&#x20AC;&#x2122; Crystal Lagoons Corporation
TERRITORY : Saudi Arabia
hotels and counters of rent-a-car
LAST UPDATED : July 14, 2014
has been awarded a contract to
CLIENT : General Authority of Civil
FRPSDQLHV EDQNV Ă´UVW DLG FOLQLFV
STATUS : Current Project
build the main water features within
Aviation - GACA (Saudi Arabia)
and commercial shops.
REMARKS : This project is in
this development. The entire lagoon
DESCRIPTION : Carrying out
USâ&#x20AC;&#x2122; Aecom has been awarded an
Dubai. Local Al Hashemi Planners,
is set to occupy a land area of
expansion of King Khalid
estimated $72-million 5-year project
Architects & Engineering
21,255 square metres. In total, over
International Airport, with capacity
management consultancy (PMC)
Consultants is acting as the main
14 million gallons of water would
to handle 20-25 million passengers
contract on this scheme. Project
consultant on this scheme. Local
EH UHTXLUHG WR Ă´OO WKH ODJRRQ ZKLFK
per year.
completion is expected by the fourth
Condor Building Contracting
will have a maximum depth of 2.5
%8'*(7 Ç&#x201C; Ç&#x201D; 800,000,000
quarter of 2017.
has been appointed as the main
metres.
PERIOD : 2017
MAIN CONTRACTOR : TAV
contractor. Enabling works
Dubai Land Department has been
LAST UPDATED : July 14, 2014
Construction (Saudi Arabia)
are currently in progress and
decided to oversee the construction
STATUS : Current Project
0$,1 &2175$&725Ç&#x201C; Ç&#x201D; Al-Arrab
construction is expected to
progress on this scheme.
REMARKS : Currently, the airport
Contracting Company (Saudi
commence soon. Project is
Mobilization work has commenced
is handling about 15 million
Arabia)
expected to completed by the end
by the new contractor, with project
passengers annually. The airport
TENDER CATEGORIE : Airport,
of 2016.
completion anticipated in December
consists of 4 passenger terminals
Construction & Contracting
MAIN CONSULTANT : Al Hashemi
2016.
(only three of which are in use) with
TENDER PRODUCTS : Airports
Engineering Consultants (Dubai)
MAIN CONSULTANT : Architectural
eight aero-bridges each, a mosque,
Development & Management
MAIN CONTRACTOR : Condor
& Engineering Consultants - ARTEC
covered and uncovered parking for
(Dubai)
11,600 vehicles, a Royal Terminal
PROJECT NAME : Trauma Car
(Dubai)
MAIN CONTRACTOR : Power Line
(for VIPs and Saudi Royal family
Centre Project - Rashid Hospital
TENDER CATEGORIES :
Gulf Construction Company L.L.C
use), a central control tower (one of
Expansion
Construction & Contracting, Medical
(Dubai)
the worldâ&#x20AC;&#x2122;s tallest), and two parallel
TERRITORY : Dubai
& Healthcare
TENDER CATEGORIES : Leisure
runways, which are each 4,205
CLIENT : Dubai Health Authority
TENDER PRODUCTS : Hospital
& Entertainment, Construction &
metres. The terminals are connected
(DHA)
Construction
Building Contracting Company
Tender Name
Description
Client
Region
Tender Cost (USD)
Post Date
Closing Date
Catering Services-786
Provision of catering services for Students.
Imam Mohammed Bin Saud Islamic University (Saudi Arabia)
Saudi Arabia
1335
6/23/14
8/25/14
Cooked Nutrition Services-9
Provision of Cooked Nutrition for Hospital.
Ministry of Health (Saudi Arabia)
Saudi Arabia
7/2/14
8/20/14
Cooked Nutrition Services-8
Provision of Cooked Nutrition for Hospital.
Hafr Al Batin Health Affairs (Saudi Arabia)
Saudi Arabia
270
6/30/14
8/20/14
Catering Services-800
Provision of Nutrition to Compounds.
Ministry of Education (Saudi Arabia)
Saudi Arabia
270
7/14/14
8/17/14
Restaurants Equipment & Accessories
Supply and Installation of Equipment and Accessories.
Ministry of Defence & Aviation (Saudi Arabia)
Saudi Arabia
135
7/15/14
8/12/14
Canteen Equipment Maintenance Services
Provision of Canteen Equipment Maintenance Services.
Sohar Aluminium Company (Oman)
Oman
65
7/8/14
8/12/14
Nutrition Services-11
Provision of Nutrition Services for Hospital.
Jouf Health Affairs (Saudi Arabia)
Saudi Arabia
270
7/6/14
8/12/14
Nutrition Services-10
Provision of Nutrition Services for Hospital.
Jouf Health Affairs (Saudi Arabia)
Saudi Arabia
270
6/30/14
8/12/14
Catering Services-795
Provision of Nutrition Services.
Jouf Health Affairs (Saudi Arabia)
Saudi Arabia
270
6/15/14
8/12/14
2IĂ´FH 3XEOLF $UHD Accessories & Pantry Items
6XSSO\ RI 2IĂ´FH 3XEOLF Area Miscellaneous Accessories and Pantry Items.
Oman Airports Management Company (OAMC)
Oman
515
7/8/14
8/11/14
hospitalitybusinessme.com
14-15 TENDERS.indd 15
AUGUST 2014
7/21/14 4:04 PM
16
DATA
Global GOPPAR performance 675 *OREDO UHOHDVHV DQQXDO SURĆŹWDELOLW\ GDWD IRU ZLWK 0($ UHJLRQ GHPRQVWUDWLQJ VWURQJHVW JURZWK
S
TR Globalâ&#x20AC;&#x2122;s annual profitability survey shows the Middle East and Africa has achieved the highest growth in gross operating profit per available room (GOPPAR), at 5.4%. Asia Pacific reported a slight decline of -0.5% while Europe reported declines in total revenue per available room (TrevPAR) by 0.6% in Euros. However, GOPPAR in Europe grew by 1.4% in 2013 due to lower departmental and undistributed operating expenses compared to 2012.
â&#x20AC;&#x153;We are pleased to see a growing sample of hotel operators all around the globe willing to share profit and loss dataâ&#x20AC;?, said Elizabeth Winkle, managing director of STR Global. â&#x20AC;&#x153;The ability for an operator to analyse their income statement compared to competitive aggregate and market performance provides increased visibility and illustrates opportunities to not only grow revenues but control costsâ&#x20AC;?. STR Globalâ&#x20AC;&#x2122;s Annual Profitability Data for 2013, covers 50 countries outside North America.
AUGUST 2014
16 DATA.indd 16
The Annual Profitability Data for 2013 comprises P&L performance for more than 8,000 hotels globally, providing an invaluable strategic source of information and helping industry stakeholders understand profitability market dynamics on a city, country and regional level. Each report consists of 47 different line items allowing detailed analysis on revenues as well as expenses breakdown such as Food Cost and Payroll by department in terms of ratio to sales, per available room and per occupied room.
hospitalitybusinessme.com
7/20/14 12:12 PM
Presents
The Procurement Network will return with an event themed around buying for new build hotels in the UAE. Register your interest to attend by scanning the QR code below, or visit www.hospitalitybusinessme.com/allevents
For unique networking opportunites tailored to your business needs please contact: Sales Director Sarah Motwali sarah.motwali@cpimediagroup.com D:+971 4 440 9113 M:+971 50 678 6182
Sales Manager Julie Caulton julie.caulton@ cpimediagroup.com D: +971 4 440 9112 M: +971 56 778 9793
Organised by:
PROCUREMENT NETWORK AUG.indd 20
7/27/14 1:31 PM
18
DTCM
High-net-worth Chinese travellers favour Dubai Dubai’s popularity with luxury Chinese travellers continues to rise
While China remains a key focus for Dubai’s Department of Tourism and Commerce Marketing (DTCM) and its tourism strategy, Dubai has ranked in the top three most popular destinations amongst high-net-worth Chinese travellers. According to The Chinese Luxury Traveller 2014 report, conducted by the Hurun Report in association with ILTM Asia, Dubai has risen from an eighth place ranking last year to third place this year. Details of the report also reveal that 10% of those surveyed named Dubai as a must visit destination in the upcoming three years and placed the UAE within the top ten most popular countries for shopping. Ever-strengthening foundations between China and Dubai have seen steady growth over the last couple of years, with China being one of the top ten source markets for visitors to Dubai in 2013, providing 275,675 Chinese
visitors, an increase of 11% when compared to 2012. Commenting on Dubai’s strategy to further target Chinese tourism, Issam Kazim, CEO of DCTCM said: “The continual increase in guests from China can be attributed both to the emerging middle-class and increasing propensity for people from China to travel overseas and to the focus of DTCM and our partners on growing this high potential market.” He added: “With sight-seeing and shopping high on the agendas of Chinese leisure travellers, Dubai is an ideal destination; while for business travellers, through its superior business offering, the Emirate provides access to the wider MENASA (Middle East, North Africa, South Asia) region and also to the markets of Africa and South America. Dubai also offers the largest Chinese trading hub outside of China – DragonMart, with plans for expansion currently underway.” Looking at connections between the
two destinations, operates to three cities across China, offering 35 weekly services to Beijing, Shanghai and Guangzhou, all of which are operating at maximum capacity, revealed Barry Brown, Emirates’ divisional senior vice president, commercial operations east. “Emirates has been operating passenger flights to China since 2004 and has progressively grown; market access permitting we are committed to further expanding the connectivity between China and Dubai via additional services and launching new routes to cities,” said Brown. To ensure Dubai is positioned as a destination of choice with the Chinese Traveller, DTCM regularly conducts roadshows and market specific campaigns. Following the opening of DTCM’s fourth office in China last year, in April this year Dubai welcomed the single largest incentives group in its history, comprising of over 14,500 delegates from China.
7HFKQRORJ\oV LQƮXHQFH RQ &KLQHVH WRXULVWV Latest data by Hotels.com’s Chinese International Travel Monitor (CITM) survey of 3,000 international Chinese travellers revealed that technology is having increasing power over how Chinese travellers book their holidays.
50%
Use online accommodation websites and online review sites to research trips
84%
Share holiday photos on social media during and after international trips
59%
Chose Wi-Fi as the most important hotel service
AUGUST 2014
18-19 DTCM.indd 18
50%
Book international hotel accommodation via the web or mobile apps. A 45% increase on 2013
97m
Chinese travelled abroad in 2013, 14m more than in 2012
618
Million internet users live in China, 500 million of which access the web via mobile devices
hospitalitybusinessme.com
7/20/14 1:45 PM
19
DTCM
Emirates cements position as worldâ&#x20AC;&#x2122;s largest airline $LUOLQH KLWV PLOHVWRQH ZLWK GHOLYHU\ RI WK $ DLUFUDIW UHSUHVHQWLQJ WKH ZRUOGoV ODUJHVW ĆŽHHW Strengthening its position as the worldâ&#x20AC;&#x2122;s largest international airline, Emirates will enter its 50th A380 aircraft into service this month, taking the airlineâ&#x20AC;&#x2122;s fleet to 224 aircrafts, representing the worldâ&#x20AC;&#x2122;s largest fleet of A380s, and also the worldâ&#x20AC;&#x2122;s largest fleet of Boeing 777s. Introduction of the new double-decker aircraft means that Emirates now offers a total of 5.7bn available seat kilometres (ASKMs) to 145 destinations which span the globe on a weekly basis.
Since April 2010, Emirates has received 96 aircraft (all A380s and Boeing 777s), increasing its overall capacity by 64% in ATKMs and 71% in ASKMs, while consistently maintaining seat load factors of close to 80%. During this period, Emirates also added 48 cities to its global destination network. Tim Clark, president of Emirates Airline said: â&#x20AC;&#x153;Emirates has seen tremendous organic growth in the past four years.
This speaks to the strength of our worldclass product, and also our business model which is based on an efficient global hub that connects Dubai to the world, and almost any two cities in the world via Dubai.â&#x20AC;? By the end of this year, the number of destinations served by an Emirates A380 will increase to 33, with the addition of Frankfurt from September 1, Dallas from October 1, San Francisco from December 1 and Houston from December 3.
#MyDubai initiative proves popular with tourists One million Instagram submissions attracted by #MyDubai initiative Less than six month since its launch, His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoumâ&#x20AC;&#x2122;s initiative to create the worldâ&#x20AC;&#x2122;s first autobiography of a city has crossed the one millionth use of the hashtag #MyDubai on Instagram. Creating a fascinating portrait of the lives of Dubaiâ&#x20AC;&#x2122;s residents and visitors, #MyDubai initiative allows tourists and residents alike to post photographs from around Dubai that relate to the emirateâ&#x20AC;&#x2122;s
hospitalitybusinessme.com
18-19 DTCM.indd 19
culture, historic heritage and their unique experiences, allowing people globally to see an all rounded view of Dubai and what to expect if they visit. To mark the achievement, the DIFC and Elevision Media have donated space on the longest digital out of home space in the region, known as the â&#x20AC;&#x2DC;DIFC Tickerâ&#x20AC;&#x2122; to showcase #MyDubai images. Issam Kazim CEO of Dubai Corporation for Tourism and Commerce Marketing
said: â&#x20AC;&#x153;To date 1,018,952 images have been displayed on #MyDubai, and when collectively viewed they create a fascinating portrait of life, each image chosen showing a human experience of our emirate. When HH Sheikh Hamdan, Crown Prince of Dubai, announced the initiative, he said that #MyDubai will provide the opportunity for each resident and tourist to share the exciting, diverse and remarkable lives they lead.â&#x20AC;?
AUGUST 2014
7/20/14 1:45 PM
20
PROCUREMENT
Fighting fit Sophie McCarrick explores what the traveller of today is looking for from hotel ƬWQHVV DQG ZHOOQHVV IDFLOLWLHV
A
s the health and fitness industry continues to burgeon, with the latest fitness fads and equipment gaining an ever greater presence in the public conscious, so too does the pressure on hotels to keep up. Ensuring personalised delivery, hotels are now enhancing fitness and wellness facilities to cater to alternating demands and requests, in order to attract guests, build a reputation for innovation and gain brand loyalty. The global hospitality industry is witnessing a boom in health and fitness-related services, accelerated not only by guest demand, but the rapid rise of new technology-enabled equipment and increased awareness of the importance of exercise. Impacting the market, these trends are encouraging the creation of wellness-tailored brands such as the recently launched Even Hotels lifestyle product by InterContinental Hotels Group, which offers a hotel experience purely focused on wellness. Setting the pace In addition to health and technology-driven trends, Pravin Kannaik, Soul Fitness Club manager at Mövenpick Hotel Jumeirah Lakes Towers explains that an increasing amount of guests are looking for that ‘home away from home’ feel, and the option to stay in a property accommodating fitness routines. He says: “With a growing health conscious trend where everyone wants to stay in shape, even while away from home, whether a business or leisure traveller, guests look for a welcoming, clean environment with well-maintained state-ofthe-art equipment. Today, travellers are looking for innovation in hotels, not just a simple corner hotel gym. Guests want highstandard offerings of equipment and training.” According to the club manager, guests are looking for fitness flexibility. “Guests need to be able to work alone comfortably or with a certified in-house personal trainer. Innovation is the key to enticing guests, so we offer state-of-the-art cardiovascular machines equipped with personal TVs that entertain them during their work out.” On average, the Soul Fitness Club caters to 200 residents and a minimum of 40 in-house guests per week, with the health and fitness facilities contributing 5.6% to the hotel’s overall revenue. Further supporting the theory that guests want personalised experiences, Claudette Abela, spa and recreation manager at Novotel Dubai Al Barsha, In Balance Spa comments: “Today’s traveller prefers to stick to their fitness regime even if they
AUGUST 2014
20-21 PROCUREMENT - HOTEL GYMS.indd 20
are on holiday or a business trip. According to several surveys, fitness facilities are the second or third most important parameter for travellers when assessing and choosing a hotel. Flexibility is what guests are looking for.” Ensuring there’s something for everyone, In Balance Spa promotes a range of packages for both in-house guests and residents, single guests, couples, corporate clients and residents, all of which come in three month, six month or annual packages. “On average we have around 25 visitors per day, however in the peak season this goes up to approximately 80 visitors a day. In Balance Spa revenues contribute to the overall performance of the hotel and we are constantly improving facilities as per the latest trends,” reveals Abela. State-of-the-art technology Bringing focus to the fact that state-of-the-art equipment within a gym is no longer a hoped for expectation, but a mandatory demand of today’s gym-goer, Kyra Nagy, recreation manager at Elixir Spa and Health Club, Habtoor Grand Beach Resort and Spa, believes: “All guests expect state-of-the-art health facilities and the highest standards of hygiene. We use Life Fitness equipment at Elixir, which is suitable for different types of fitness regimes. “We have cardio and strength offerings including running machines, bikes, weights, and cross trainers along with trained, professional instructors to assist our guests with customised programmes suiting their needs and body type. Personalisation is crucial,” Nagy adds. Receiving an average of 1,200 visits from guests and resident members per week, ShuiQi Spa and Fitness Centre at Atlantis, The Palm is also supporting the technology hype, through the use of Technogym’s exclusive ARTIS range, the first integrated collection of cardio, strength and functional equipment in the region, which comprises a complete cardio line (treadmill, elliptical, vario, bike and recline), strength pieces and functional stations. Neil Hewerdine, vice president of spa services at Atlantis, The Palm, says: “Guests these days want a good cardio selection with a combination of classical strength machines as well as functional spaces for free body exercises. In addition to offering the latest innovations in gym equipment, we also entice guests by promoting the ‘mywellness app’ by Technogym.”
hospitalitybusinessme.com
7/23/14 10:21 AM
21
Bringing in the experts In the Middle East market where independent gyms are abundant, Hewerdine evaluates the value of hotels teaming up with ‘the experts’ to make the most out of their facilities. Drawing the conclusion that, they should not partner with independent gyms, he says: “Although there are many gym operators in Dubai, we would only ever consider partnering them for some specialised areas such as Pilates or Indoor Group Cycling, but not for general gym operation, and our awards are a testament to that.” This year, ShuiQi Spa won the ‘Hotel Spa of the Year’ Award MENA region for the second year in a row at the World Spa and Wellness Awards, in addition to the Best Luxury Resort Spa at the World Luxury Hotel Awards. Supporting Hewerdine’s opinion, Katrin Fichtner, executive housekeeper at Radisson Blu Dubai Media City health fitness centre and spa, comments: “There is a massive fitness demand in Dubai, which is mirrored by the amount of independent fitness providers around the city, however we wouldn’t ever consider partnering with them. We consider ourselves selfsufficient and can see no benefit through working with other gym operators.” With an average of 80 hotel guests and 35 gym members from outside using facilities at the property on a weekly basis, Fichtner says that as fitness awareness rises, the Radisson Blu Dubai Media City is finding that guests are looking for flexible opening hours to fit their varying schedules, particularly business guests. “With today’s technology influences, guests also want highspeed WiFi connection within the gym, and of course the latest equipment in a spacious environment,” adds Fichtner. Fitness requests at the Mövenpick Hotel Jumeirah Beach Body Talk Wellness Centre are receiving increased demand for outdoor fitness sessions reveals assistant spa and recreation manager, Ana Joanovic. “We have around 200 guests on a weekly basis using our gym facilities, and keeping up with recent trends, we have personal trainers on hand to assist guests. We also offer our in-house guests Pilates and Yoga group sessions as well as special membership deals with personal trainer. For Dubai residents, we are providing group session deals with complimentary sauna and steam,” Joanovic concludes. So, whether it be the need for personalised programmes, in-gym Wi-Fi, the latest innovations in equipment or a space to stretch outdoors, guests visiting the Middle East can be assured that regional hotels are branching out to facilitate their fitness demands.
Fitness facilities are the second or third most important parameter for travellers when assessing and choosing a hotel hospitalitybusinessme.com
20-21 PROCUREMENT - HOTEL GYMS.indd 21
Soul Fitness Club Soul Fitness Club, Mövenpick Hotel Jumeirah Lakes Towers 200 residents and a minimum of 40 in-house guests use gym facilities weekly. The health and fitness centre contributes 5.6% to the hotel’s overall revenue.
Novotel In Balance Novotel Dubai Al Barsha, In Balance Spa Approximately 25 guests per day, up to high season
80 guests in
Atlantis - Circular Wellness zone ShuiQi Spa and Fitness Centre at Atlantis, The Palm Facilities receive an average of 1,200 visits from guests and resident members per week,
Mövenpick Jumeirah Beach Fitness Centre Mövenpick Jumeirah Beach Residence Approximately 200 guests on a weekly basis
AUGUST 2014
7/23/14 10:22 AM
22
PROCUREMENT
Concierge Confessions From the most bizarre guest demands to the most important responsibilities of a hotel’s most trusted employee, Sophie McCarrick speaks to the concierges making dreams come true
W
orking around the clock to provide infallible services, hotel concierge teams hold great responsibility when it comes to ensuring a guest’s experience is second to none. From midnight shopping orders, to last-minute flight bookings, concierge take full ownership of catering to a guest’s every need, with the aim of creating a flawless service platform. Unbeknown to many, services provided by concierge stretch much further than the eye sees in a hotel lobby, and although responsible for the ‘typical’ concierge tasks, teams working in the Middle East’s luxury hotel industry cater to a growing list of requests from today’s ever-demanding traveller. Looking at concierge operations at various Dubai properties, head of concierge personnel explain their roles, recent trends, exclusive concierge networks and challenges they face day to day.
AUGUST 2014
22-24 PROCUREMENT - CONCIERGE.indd 22
hospitalitybusinessme.com
7/24/14 12:30 PM
PROCUREMENT
Hotel name: /TKKL@M #DHQ@ "HSX "DMSQD Chief concierge: Mohd Ali Khaja As concierge, what job responsibilities do you believe are most important to your role? 3N @RRHRS HM DUDQXSGHMF SG@S @ FTDRS MDDCR CTQHMF SGD BNTQRD NE their stay, summarises what a concierge’s role should be. From explaining the local map to daily weather, arranging transfers @MC BG@TƤDTQ QDPTHQDLDMSR G@MCKHMF KTFF@FD @MC @QQ@MFHMF tours to anything a guest asks for. A concierge should have a wealth of information, expansive knowledge and intricate understanding of Dubai. How is your role evolving with the introduction of ‘electronic concierge’? 3GD QHRD NE SGD CHFHS@K VNQKC HM RNLD V@XR G@R BG@MFDC SGD QDPTDRSR NE NTQ FTDRSR 3GDX MNV QDKX LNQD NM NMKHMD OK@SENQLR SN ƥMC NTS VGDQD SN FN @MC VG@S SN CN CTQHMF SGDHQ RS@X However, there’s still demand for personalisation and guests still rely on our knowledge and to make arrangements for them. How does concierge contribute to guest safety differently than the security team? In my 16 years of working as concierge, I’ve learnt to relate SN FTDRSR EQNL CHƤDQDMS V@KJR NE KHED (M SGNRD CHƤDQDMBDR
23
BNMBHDQFD HR @AKD SN ƥMC RNLD RHLHK@QHSHDR @MC @ O@SSDQM SG@S OQNƥKDR FTDRSRŗ KHJDR DWODBS@SHNMR @MC ADG@UHNTQR %QNL SGDRD O@SSDQMR VD B@M HCDMSHEX QDC Ʀ@FR SG@S CDUH@SD from the norm and can be construed as a security concern. We also handle safety requests from guests, such as arranging transportation for an elderly person or a child on their own. Are there any initiatives that recognise concierge for the work that they do? Internally, we have an Employment Recognition programme that recognises the “stars” every month. Online platforms also play a large part in being recognised on websites such as tripadvisor.com or booking.com. It means a lot to know that we made someone’s travel experience memorable.
Hotel name: 2NƥSDK 3GD /@KL Chief concierge: Amod Jha What services are guests asking for? Demands and requests from guests are always changing. Recently we are experiencing demand for personalised shoppers, many visitors come on short stays and do not necessarily know the city, so they want someone to guide them. Another is guests wanting cultural and traditional experiences, requesting to see the old, ‘real’ side of Dubai. What is the most bizarre request you have ever received from a guest? We receive them all the time. I recently had one guest who insisted NM JMNVHMF SGD BNKNTQ NE SGD RODBHƥB Saudi Airlines aircraft that he would AD ƦXHMF NM 3N ƥMC NTS ( G@C SN L@JD several phone calls whilst he waited. No matter the request or how inconvenient it L@X AD SN ƥMC out, our motto is never to say no to a guest. It’s my job to serve.
hospitalitybusinessme.com hos ho h osspi o pit pit pita ital alliity tyyb bu usssiin nes essme.c es me m e.cco om
22-24 PROCUREMENT - CONCIERGE.indd 23
What are the main challenges of being concierge? Unorganised guests probably create the most challenges for us. For example a lot of the GCC travellers do last minute travel ANNJHMFR @MC SGDX FDS SGDLRDKUDR GDQD VHSGNTS @ QDSTQM ƦHFGS 3GDX BNLD SN TR SGD C@X SGDXŗC KHJD SN KD@UD VHSG ƦHFGS QDPTDRSR and occasionally there aren’t seats available, and they rely on us SN ƥMC @ RNKTSHNM Do you feel technology is reducing the role of the concierge? "NMBHDQFD HR CDƥMHSDKX MNS @ CXHMF AQDDC 8DR DKDBSQNMHB concierge and the role of the internet and social media sites are BG@MFHMF NTQ QNKD GNVDUDQ VD NƤDQ RNLDSGHMF SG@S SDBGMNKNFX cannot and that’s a personalised approach. Our role is to make things go from impossible to possible, and as long as things are within the legal requirements, we will go above and beyond to cater to guests needs.
AUGUST 2014
7/24/14 12:30 PM
24
PROCUREMENT
What are the top leisure activities you promote to guests? Our top suggestions include desert safaris, quad biking in the desert, dune buggy rides, helicopter rides, coastal boat ride sightseeing, jet skiing, camel riding, horseback riding and visiting waterparks, such as Wild Wadi NQ PT@UDMSTQD 3GDQD @QD KNSR NE things to do in Dubai
Hotel name: Kempinski Mall of the Emirates Head of concierge: Gerardo Gabat How do you and your team optimise the guest experience? It’s vital that concierge is on hand 24/7, from restaurant reservations and airport transfers, organising sightseeing tours and concert tickets, we have to be ready to help with any guest request. It’s also important to share our local knowledge.
How are you and your team recognised for the work you do in the hotel? We receive regular acknowledgement and praise from the management team during their monthly meetings and we achieve high customer R@SHRE@BSHNM RBNQDR 3GD guests also recognise our work by leaving tips or giving positive feedback. A happy guest is our biggest reward.
‘MUST HAVE’ CONCIERGE SERVICES t Exotic car rentals
t Arranging air tickets
t Valet
t Restaurant reservations
t Limousine transfers
t Sightseeing services
t Gift purchasing and personal shopping
t 9,3 WUDQVIHUV RU SLFN XS DQG GURS Rƨ
t Running outside errands for the guests
Hotel name: *DLOHMRJH 'NSDK 1DRHCDMBDR /@KL )TLDHQ@G Assistant chief concierge: Nabil Ben Addi What services does concierge offer to enhance a guest’s stay? Concierge is a unique. We not only provide guests with their day to day reservations, bookings and information, but we also OQNUHCD NUDQ@KK DWODQHDMBDR 3GHR BNTKC AD OK@MMHMF @ ƥQRS SHLDQŗR GNKHC@X HSHMDQ@QX to creating a once in a life time evening for a couple about to be engaged, whatever their needs, the concierge team will always look to create memorable experiences that enhances the overall stay of guests. How are guest requests changing? We are seeing a rise in guests requesting overall day planning and unique local experiences. In additional to gift purchasing and personalised shopping services, and car rentals or limousine transfers.
How do you create the all important first impression? From a warm pick-up at the airport to arriving in the hotel lobby and being met by a team member with a cold towel and QDEQDRGLDMS 3GD RL@KK SNTBGDR @QD HLONQS@MS @MC SG@S HR VG@S we focus on to ensure that our guests are pampered and taken care of from the moment they land. Our concierge team is often recognised by the guests they work with and the positive EDDCA@BJ SGDX QDBDHUD HR CDƥMHSDKX @ ANNRS ENQ SGDL
hospitalitybusinessme.com
22-24 PROCUREMENT - CONCIERGE.indd 24
7/24/14 12:30 PM
26
SUPPLIES & SERVICES
SUPPLIES & SERVICES The world’s most useful and innovative new designs, delivered to you every month
The rise of pink gold and copper
Meeting Wi-Fi demands
Following several years of interior design being dominated by silver, steel and aluminium, the design world is now experiencing a demand for kitchen and bathroom appliances in hues of pink gold and copper. Catering to the growing trend, German manufacturers of high-end fittings and accessories, Dornbracht has introduced a new product finish called ‘Cyprum’, which is made from 18-carat gold and genuine copper. These high-gloss, rose-gold fittings bring warmth to contemporary kitchen and bathroom architecture.
Swedish operator Scandic Hotels has named Ruckus Wireless products a ‘brand standard’, for satisfying growing guest requirements for pervasive and highspeed wireless connectivity. “We needed a solution that could deliver capacity, coverage and performance, and that’s exactly what we get from Ruckus,” said Martin Thell, CIO. Since installing Ruckus Smart Wi-Fi, Scandic has seen dramatic improvements in guest satisfaction scores as well as a significant reduction in Wi-Fi trouble tickets, with users enjoying connection rates that are often two to four-times faster than the group’s previous system.
Apps for all hospitality sectors To support growing Middle East demand, iRiS Software Systems recently opened an office in Dubai. The UK founded company, provides innovative, multi-lingual and interactive apps that cater to the hospitality industry and are used by more than 200 hotels worldwide, including Kempinski Hotel Mall of the Emirates. Designed to improve guest experience, the apps also generate additional revenue, reduce costs and enhance customer engagement. iRiS’ applications cover all hospitality sectors including F&B, in-room, lobby, spa and conferencing.
AUGUST 2014
26-27 SUPPLIES AND SERVICES.indd 26
hospitalitybusinessme.com
7/23/14 10:23 AM
27
SUPPLIES & SERVICES
Management change for Acer
Streamlining guest check-in and out
Technology hardware supplier, Acer, has announced that Luca Rossi will be appointed president for Acer Europe, Middle East and Africa (EMEA). Prior Acer EMEA president, Oliver Ahrens, embarked on a new challenge on August 1 as president of the newly formed Pan-Asia Pacific regional operation which will encompass China, Taiwan and Asia Pacific. With the grouping of China, Taiwan and Asia Pacific under one regional management, Acer expects to improve the allocation and sharing of resources, enhance competitiveness and boost business performance in the region. This announcement is in line with Acer’s plan to move from a hardware vendor to an information, technology and communications company.
Hospitality solutions and services provider, FCS Computer Systems has announced a strategic partnership with Ariane Systems, to allow for integration of FCS solutions with Ariane’s online check-in system. The combined FCS/Ariane solution will provide guests with the ability to register and check-in before they arrive through a mobile-friendly online check-in module or via FCS i-Guest, and then pick up their guestroom key cards from interactive kiosks located on the property. Upon completion of their stay, guests can also check-out online or via FCS i-Guest, while retaining the ability to request additional end-of-stay services.
Optimising revenue with Infor Business application software provider, Infor, has announced that more than 340 hotels globally have selected the Infor EzRMS system over the past 12 months, to assist with their revenue management systems. With this system, Infor says hotels can “sell the right product to the right customer at the right time and for the right price”, which treats bookable hotel nights as a perishable commodity and helps optimise revenue. Whether for a large international hotel company or an independent hotelier, Infor says its EzRMS system is an affordable, fully automated revenue management solution (RMS), developed using the latest business forecasting and optimisation technologies.
hospitalitybusinessme.com
26-27 SUPPLIES AND SERVICES.indd 27
AUGUST 2014
7/23/14 10:23 AM
28
SUPPLIER SPOTLIGHT
Eliminating procurement waste 36 Strategies managing director, Steven Speter, reveals how hospitality procurement teams can simplify lengthy processes down to a simple click, and lends four top tips to optimise procurement operations
W
ith offices in Dubai and Muscat, 36 Strategies provides procurement solutions across the region, delivering savings to its customers while embedding compliance in day-to-day operations; all with a simple platform that employees actually enjoy using via a smart-phone, laptop or tablet. The firm’s managing director, Steven Speter reveals that when competing in the region’s ever-growing hospitality industry, the importance of maintaining strict adherence within a procurement team and its operations becomes vital to the success of a brand. “Procurement sits on 25 to 60% of the total cost of a company depending on the industry, yet often there is no proportionate amount of organisational focus on it. So getting it right can unleash great potential which can be turned into a competitive advantage,” explains Speter. Through 36 Strategies’ E-procurement platform, procurement teams are able to simplify the procurement process down to the click of a finger, and retrieve purchase order (PO) approvals, wherever and whenever they like. The platform, which brings the traditional paper-based procurement process online and mobile, has proven to cut out the cycle time (from when a purchasing requisition is raised until it is approved and a PO is issued to the supplier) from days to minutes, thanks to the mobile app which allows managers to approve orders real time no matter where they are. He says: “Not only is the admin cost of processing orders saved but greater contract compliance is achieved because only approved suppliers and products are made available Because the cycle time vastly improves, it restores trust in the supply and further cost is saved as employees will not have the need to turn to petty cash and maverick spend to get the items delivered on time.” The 36 Strategies platform takes four weeks to implement
AUGUST 2014
28-29 SUPPLIER SPOTLIGHT.indd 28
Typical implementation by 36 Strategies can achieve:
18%
Immediate procurement cost reduction
99.8% 38% Guaranteed delivery performance of orders being ‘Delivered On Time In Full’ (DOTIF)
Improvement in procurement cycle time, from order placement to delivery
into a procurement department, generating both time and cost savings immediately after. “Our cloud-based solution takes away the complexity of the entire procurement and supply chain process, allowing our clients to focus on their core businesses. The paperless process reduces administration and management, resulting in substantial cost savings for the entire business,” Speter comments. Manageable operations Consolidating procurement processes, when companies source and procure through 36 Strategies they will only have one reliable supplier to deal with, making operations more manageable. Speter comments: “We procure and deliver more than 800 consumables and products in categories catered to the hospitality industry in addition to facilities management and construction sectors. “We have a quality control in place to ensure that all products are delivered in the promised quantity and quality, so there is no more time wasted on phone calls and emails with multiple suppliers,” he adds. Clamping down on late deliveries and un-reachable stock, Speter explains that with a dedicated fleet of trucks and a warehouse holding three weeks worth of inventory, 36 Strategies is able to guarantee delivery within 72 hours of placing an order. With a focus on quality, Speter concludes: “We are committed to meeting and maintaining world standards for quality, continuous improvement, and customer satisfaction, and we are certified in accordance with ISO 9001, ISO 14001, and ISO 18001.”
hospitalitybusinessme.com
7/23/14 10:23 AM
29
4 TIPS TO CUT WASTE FROM THE BUYING CYCLE TIP 1: COMMUNICATE SPECIFIC REQUIREMENTS TO SUPPLIERS TO ENSURE YOU GET THE RIGHT PRODUCT EVERY TIME .QRZLQJ WKH H[DFW VSHFLÆ©FDWLRQV RI WKH SURGXFWV \RX SURFXUH DQG EHLQJ DEOH WR FRQVLVWHQWO\ DUWLFXODWH WKRVH WR WKH VXSSOLHUV ZLOO HOLPLQDWH WKH ULVN RI UHFHLYLQJ WKH ZURQJ TXDOLW\ RU W\SH RI SURGXFW ,I QRW PDQDJHG WLJKWO\ SURGXFW TXDOLW\ DQG DYDLODELOLW\ LV SODFHG LQ WKH KDQGV RI VXSSOLHUV ULVNLQJ WKH ZURQJ LWHPV VKRZLQJ XS DW \RXU GRRU ZLWK XQQHFHVVDU\ WLPH DQG PRQH\ VSHQG DV D UHVXOW 7KH DLP LV WR PDNH VXUH WKH VXSSOLHU GHOLYHUV \RX WKH ULJKW SURGXFW DW WKH ULJKW WLPH TIP 2: CONSOLIDATE YOUR SUPPLIERS AND SET UP FRAMEWORK AGREEMENTS &RQVROLGDWLQJ VXSSOLHUV ZLOO JLYH \RX EHWWHU EX\LQJ SRZHU DQG WKHUHIRUH D EHWWHU SULFH %XW WKLV LV DOVR DERXW FUHDWLQJ D ZLQ ZLQ UHODWLRQVKLS IRU H[DPSOH IUDPHZRUN DJUHHPHQWV WKDW LQFOXGH YROXPH IRUHFDVW RU LQGLFDWLRQV ZLOO DOORZ VXSSOLHUV WR SODQ WR SUHYHQW RXW RI VWRFN VLWXDWLRQV
hospitalitybusinessme.com
28-29 SUPPLIER SPOTLIGHT.indd 29
TIP 3: MAKE SURE YOUR SUPPLY CHAIN FULFILS YOUR DELIVERY NEEDS 'R \RX KDYH D UHOLDEOH DQG HÆ«FLHQW VXSSO\ FKDLQ VHW XS" 'R \RX KDYH WHQV RU KXQGUHGV RI VXSSOLHUV HDFK GHOLYHULQJ SURGXFWV WR \RX HYHU\ GD\ RU GR \RX KDYH FRQVROLGDWHG GHOLYHULHV" 7KLQN DERXW KRZ \RX ZRXOG OLNH WR UHFHLYH \RXU GHOLYHULHV DQG HQVXUH WKH ORJLVWLFV DUH VHW XS LQ D ZD\ WR DFFRPPRGDWH LW
TIP 4: MAKE IT EASY FOR YOUR EMPLOYEES TO EXECUTE TIPS $1' 7KHVH WLSV DOO VRXQG JRRG RQ SDSHU EXW WKH ELJJHVW FKDOOHQJH LV WR PDNH VXUH HYHU\RQH LQ \RXU RUJDQLVDWLRQ H[HFXWHV WKHP ,PSOHPHQW DQ H 3URFXUHPHQW SODWIRUP DQG PDNH LW HDV\ IRU \RXU HPSOR\HHV WR FRPSO\ ZLWK WKH JRYHUQDQFH DQG IUDPHZRUN \RX KDYH VHW XS ,W ZLOO PDNH HYHU\RQHÅ&#x203A;V OLYHV PXFK HDVLHU
AUGUST 2014
7/23/14 10:23 AM
Revive Collection taipingcarpets.com/1956
32
INVESTMENTS
All systems go Hyattâ&#x20AC;&#x2122;s recently announced expansion will see focus split between the UAE and Saudi Arabia, with a distinct and measured strategy to expand existing brands and pave the way for the debut of boutique-inspired Andaz. Area director of worldwide sales in the GCC, Tareq Daoud explains
AUGUST 2014
32-34 INVESTMENT - HYATT.indd 32
hospitalitybusinessme.com
7/23/14 10:24 AM
INVESTMENTS
W
hile over the in US, Hyatt Hotels recently announced the sale of 32 properties â&#x20AC;&#x201C; with a reported combined value of $500m that will boost the companyâ&#x20AC;&#x2122;s cash balance to $1.2bn â&#x20AC;&#x201C; the Middle East tells a remarkably different tale. Following years of portfolio management without expansion, the Chicago-based company is now focusing on expansions in the UAE and Saudi Arabia, making two significant announcements in the last quarter. Part one of the new focus will see the launch of Hyatt Place, a new concept
combining the needs of modern business travellers to Dubai in the mid-market segment. Part two will see expansion across Abu Dhabi, home of the iconic Hyatt Capital Gate, and Saudi Arabia. The openings of Grand Hyatt Abu Dhabi Hotel and Residences Emirates Pearl, Hyatt Regency Riyadh and Hyatt Regency Makkah are all scheduled in the next 12 months. There is also a strong possibility of the first Andaz branded property opening in Dubai in the not so distant future. â&#x20AC;&#x153;We have always looked for different ways to increase the hotelâ&#x20AC;&#x2122;s portfolio
33
around the world, but that is dependent upon receiving the right opportunities,â&#x20AC;? explains area director of worldwide sales in the GCC, Tareq Daoud. â&#x20AC;&#x153;When we have those, we are in. Over the last year or so, in Dubai we have seen many project announcements and the win of Expo2020. In Abu Dhabi there is the 2030 development plan and it has all caught the eyes of investors. â&#x20AC;&#x153;When the investors come up with the right project, we come up with the intention to manage any of the hotels we think are suitable,â&#x20AC;? Daoud continues. In Abu Dhabi, the projections for those
HYATT REGENCY RIYADH In collaboration with Mohammed A. Al Swailem Co. Hyatt Regency Riyadh will feature 260 guestrooms, including 40 VXLWHV RYHU ĆŞRRUV 'XH WR ODXQFK WKH KRWHO ZLOO DOVR feature lobby lounge, two restaurants, a Regency Club lounge, ĆŠWQHVV FHQWUH DQG 0,&( IDFLOLWLHV LQFOXGLQJ PRUH WKDQ VTP ballroom, event space and meeting rooms.
HYATT REGENCY DUBAI CREEK Hyatt and wasl Hospitality, will launch Hyatt Regency Dubai &UHHN LQ ZDVO +RVSLWDOLW\ PDQDJHV D SRUWIROLR RI VHYHUDO hotels with over 2,200 rooms, including three Hyatt hotels in 'XEDL 7KH GHYHORSPHQW ZLOO IHDWXUH KRWHO URRPV DQG apartments, a club lounge, spa and F&B outlets.
HYATT REGENCY MAKKAH Hyatt Regency Makkah will be part of a two-phase master planned mixed-use development with a built-up area of PRUH WKDQ PVTP IROORZLQJ DQ DJUHHPHQW ZLWK -DEDO 2PDU 'HYHORSPHQW &RPSDQ\ 'XH WR ODXQFK WKH URRP property will also feature 26 suites, â&#x20AC;&#x153;severalâ&#x20AC;? F&B outlets, club ORXQJH DQG ĆŠWQHVV FHQWUH
*5$1' +<$77 $%8 '+$%, +27(/ 5(6,'(1&(6 (0,5$7(6 3($5/ $Q DĆŤOLDWH RI +\DWW LV WR GHOLYHU WKH (PLUDWHV 3HDUO GHYHORSPHQW ZLWK (PLUDWHV 3HDUO 'HYHORSPHQW DQG ,QYHVWPHQW //& ZKLFK is a joint venture between Atlas Telecom and the Tourism 'HYHORSPHQW DQG ,QYHVWPHQW &RPSDQ\ 7',& 7KH QHZ storey Grand Hyatt, will include 368 rooms, 60 furnished serviced apartments, four restaurants, a lounge, two bars, 0,&( IDFLOLWLHV DQG VSD 7KH KRWHO ZDV GHVLJQHG E\ 'HQQLV /HPV $UFKLWHFWV $VVRFLDWHV ZLWK LQWHULRUV E\ 0.9 'HVLJQ RI /RQGRQ
hospitalitybusinessme.com
32-34 INVESTMENT - HYATT.indd 33
Hyatt Regency Riyadh.
AUGUST 2014
7/23/14 10:24 AM
34
projects will see performance metrics pegged to the market as it currently stands. While still aiming to top its competitor set, Daoud says Hyatt’s potential is strong, but advises the same level of caution that could be expected from markets outside the Middle East. “In a market like Abu Dhabi, there is strong potential for a brand like Grand Hyatt, especially with the scope and quality of MICE facilities the brand is known for, which in Abu Dhabi is important. “When we saw a project that fit with that we immediately agreed and signed with investors. In terms of performance, we go by market benchmarks and select the competitors with whom we will compete, very carefully. “Of course we will have a target to be the leading hotel in that market and it is important to be of leading caliber,” he adds. Over in Saudi Arabia, a string of development announcements were made in 2011 and 2012, following Hyatt’s debut in the Kingdom in 2009. The pace of openings to date is yet to catch up with the initial projections but that should be about to change with
INVESTMENTS
the re-announcements of Hyatt Regency Mecca and Hyatt Regency Riyadh. The latter, originally announced back in 2012, is a venture with Mohammed A. Al Swailem Co. for Commercial Investment, and two years ago was one of seven hotels under development in the country. Now due to open in 2015, the hotel will feature 257 guestrooms, including 37 suites. The second property due for near immediate launch, is Hyatt Regency Mecca. Originally announced in 2011 as the first of three Hyatt hotels for the Holy City, it too is now due to open in 2015. “We left the market for some time but now we are coming back. It’s a huge market and we cannot ignore that. For domestic travellers or international travellers, for those on business, or visiting for religious or other reasons, it’s a huge market in the region,” Daoud says. Bearing in mind the nature of the regional industry, and Hyatt’s history in Saudi Arabia to date, there is no limit to the key markets for future openings, with Daoud commenting: “They are all key markets. We are looking for other Middle East and GCC countries, wherever there
is the right time and the right project, for both the market and the company.” The next step The next significant announcement has been for the Andaz brand, a boutique inspired concept positioned for the creative client. As area GM John Beveridge revealed to Hospitality Business earlier this year, the brand features an indigenous, artistic design described by Hyatt as capturing the “sights, sounds and tastes of its surrounding area”. Already it has seen expansion across cosmopolitan western capitals, such as London, New York and Amsterdam over the last 10 years. Bringing Andaz to Dubai is on the immediate task list. “Andaz has been well received in its current markets, and we are looking at how to bring that to the Middle East,” he informs. While there are no properties signed to date, he adds: “It could work well in many cities, so we are working with that idea and intending to announce something soon. “We will be seeing this product soon in Dubai and across the region.”
Hyatt Capital Gate, Abu Dhabi.
AUGUST 2014
32-34 INVESTMENT - HYATT.indd 34
hospitalitybusinessme.com
7/23/14 10:24 AM
35
INVESTMENTS
Five minutes with…. Shaza Hotels Through a rapid development pipeline, Shaza Hotels is aiming to add 4,000 rooms to its portfolio in the next three years
F
or all its mainstream popularity, Shaza Hotels represents a niche in the regional market. An affiliate of Kempinski, the almost brand new chain is working to take its portfolio of one hotel to a total of 11 within a few short years. Working with new and existing owners, the company pledges to be “a five star contemporary breath of fresh air in the face of stereotyped Eastern aesthetic”, with a boutique touch. Recently signing projects in Jeddah, Muscat and Bahrain, there is currently a total of 11 hotels under the brand; one of which is already open in Saudi Arabia, and the other 10 opening by 2017. There are a further four projects under discussion in Dubai – all with new owners – targeting both the luxury and extended stay market. Targets are to sign at least two by year end. The plans for the UAE are largely based on finding and partnering with new owners, looking to open their first hotel. In terms of rooms, the current property in Saudi Arabia is 460 rooms, but will become the anomaly as the new hotels adopt a strictly, almost boutique, approach of no more than 250 rooms per property. In total it is calculated the pipeline stands at 3,000 rooms, with a further 1,000 to be added by year end. 2013 saw the announcement of properties in Doha, Amman and Jeddah and May 2014 marked the launch of Wave Village Plaza, due to open 2016;
the second management agreement with Taameer Investments, Muscat. The brand positions itself as a “breath of fresh air” and a “celebration of the present” Simon Coombs, president and CEO of Shaza comments: “Our vision is to create
Stats
10
Hotels opening by 2017
1,000
Rooms expected to be added to existing pipeline by year end
hospitalitybusinessme.com
35 5 MINS WITH - INVESTMENT.indd 35
3,000
Rooms confirmed in the pipeline
2016
Scheduled opening of Wave Village Plaza, Muscat
a unique brand for the region, which celebrates its diverse cultures whilst still delivering international standards of luxury. We continue to selectively engage with owners and developers who share this vision, and who desire to create innovative hotels that express the local culture with a lasting personality.” Coombs adds: “In the UAE and especially Dubai there is a big need for specialised boutique brands. All the big names are here and there is a large number of new brands entering this market. We need the local and niche brands to enter now too. I think it will be a big trend moving forwards.”
AUGUST 2014
7/23/14 10:24 AM
36
INVESTMENTS
As developer Zaya Retreats gears up to open its Nurai ,VODQG JHWDZD\ $EX 'KDELoV ĆŹUVW KRWHO RQ D SULYDWH island, director of operations, Stephen Gee explains the hospitality concept that will set it apart
Island paradise
AUGUST 2014
36-38 NURAI.indd 36
hospitalitybusinessme.com
7/23/14 10:25 AM
INVESTMENTS
I
n the years since it was announced that the desolate Nurai Island was to be developed into a luxury getaway by the local, entrepreneur-founded, Zaya Retreats, the residents of Abu Dhabi – and the rest of the GCC – have been waiting patiently to see the results of the $816m development. Upon completion in Q4 this year the private island, located only a seven minute boat ride from Saadiyat Island and 40 minutes from Baniyas, will comprise 32 stand-alone beach retreat villas, 23 residential villas and three F&B outlets. Building on the idea of secluded luxury Zaya Retreats founder Nadia Zaal, created a luxury hospitality experience that is all about disconnection. So thorough is the concept, the island’s hosts have been known to insist visitors remove jackets and ties on arrival and numerous pitches to roll out iPad menus and mobile apps have fallen on deaf ears; it’s an approach in stark contrast to the digitised luxury seen on shore, but is intrinsic to Zaal’s vision. Her vision, in this light, is bold, considering what the digitised luxury hospitality brands report their guests are demanding. “It is. Somebody tried to come to me and sell the idea of a barcode on a restaurant table, which they said would allow the guest to interact in a whole new manner,” says director of operations Stephen Gee, who is tasked with overseeing the smooth launch of the development. “For me that’s the absolute opposite of what we want to create. Technology at that point is really interfering in the connection, the possibility of a conversation and the essence of somebody just relaxing. At Nurai we are effectively selling time,” he adds. The island, with a total area of more than 75 acres, comprises both serviced residential and hotel components, with the built up area of the estates varying between 45,000sq feet to 65,000sq feet. The water villa areas range from 25,000sq feet to 30,000 sq feet and the private suites boast their own private beach front. “Nadia has a very particular style of identifying property products and business models and she identified an
hospitalitybusinessme.com
36-38 NURAI.indd 37
37
opportunity for people to disconnect. Nurai is a place for guests to escape the connections of the modern world and reconnect with themselves,” Gee relays Previously working for Malmaison, Armani and Starwood’s W, he draws on a varied luxury hospitality background combined with his knowledge of Michelin Star F&B, to imbue the signature style of Nurai. “The hotel product is very simple; it’s beautifully done, with great materials, space, clean, open; the toiletries are not ostentatious, they do what they need to do. The TV channels are basic, and have limited news. It’s more about entertainment, music, social focuses, for example the activities on the island. “We will do things here that will get people excited and enjoying their experience,” he promises, with inclusion for the residents who invested in all of Nurai’s 23 residential villas. Building the vision While the clear flagship, Nurai Island won’t be Zaya’s only project. With four properties in the pipeline, Gee reveals that further developments could see the brand move into desert spas, jungle retreats or even more private islands. Another bold commitment in the face of city hotspots and a burgeoning local interest in the mid-market, Gee asserts that current investor demands can be met by a number of concepts. Noting a fragmentation in the market currently, Gee reports a separation of rate in the high-end luxury market. He explains: “In addition, rates are climbing because of occupancy and people are delivering. There is a huge amount of inventory coming over the next four to five years, and the sweet spot that has been announced in terms of government support for the mid-market, is helping. That is important. “From an investor and owner perspective, there is a much more aggressive stance from the asset owner in their ROI. Where previously they would have expected a 12 year pay off, they now want seven.” Refuting the trend affects operations, he continues to observe that owners are also looking to maximise on investments; oversized rooms, increased facilities and bigger pools.
AUGUST 2014
7/23/14 10:25 AM
38
INVESTMENTS
L-R Carl Stockenstrom, Navin Shah, Teresa Chandler, Laureline Bernicke, Wai-Kei Wong, Stephen Gee.
â&#x20AC;&#x153;What is interesting is that you see owners build multi-brand properties on podiums with split assets, so you get a property that has retail, commercial and office elements. You may well get three different hotel brands on a podium that provides all centralised services and the guest doesnâ&#x20AC;&#x2122;t necessarily know that their bread rolls are baked in one central bakery, for example. â&#x20AC;&#x153;Thatâ&#x20AC;&#x2122;s an interesting move, especially here,â&#x20AC;? he adds. 7KH VHFUHW KRVW Like every hotelier, Gee knows the secret to a great experience lies in the service and last month, Nurai revealed the identities of its â&#x20AC;&#x2DC;Zayansâ&#x20AC;&#x2122; the team of hosts who will run the island resort (see image above). Handpicked by Zaal and talent development manager LaurĂŠline Bernicke, the 32-strong pre-opening team will grow to 150 by year end, differentiated from other such luxury hotel teams by the autonomy instilled through their training, which then allows for hosts to work within their own personality and initiative. â&#x20AC;&#x153;We can do great meals on the beach and fantastic rooms, thatâ&#x20AC;&#x2122;s the easy bit. The real interaction with the experience is the point at which the host connects with the guest,â&#x20AC;? explains Gee. Itâ&#x20AC;&#x2122;s a rarity that can be shied from by the international brands, and approached with equal caution by the localised brands looking to capture the same SOP-based magic of their competitors.
NURAI ISLAND Like Saadiyat, Baniyas and Yas, only a few years ago Nurai Island ZDV D GHVHUWHG SORW Rƨ WKH FRDVW RI $EX 'KDEL IUHTXHQWHG E\ ORFDOV ZKR ZDQWHG WR HVFDSH PDLQODQG FLW\ OLIH IRU EDUEHTXHV DQG FDPSLQJ trips. Following an extensive FRPPLWWPHQW IURP =D\D 5HWUHDWV Ĺ&#x2DC; D GHYHORSPHQW FRPSDQ\ IRXQGHG E\ (PLUDWL HQWUHSUHQHXU 1DGLD =DDO Ĺ&#x2DC; WKLV \HDU WKH LVODQG ZLOO RSHQ D XQLW KRVSLWDOLW\ FRPSRQHQW DQG deliver 23 residential villas, all VROG WR WR SULYDWH LQYHVWRUV VLQFH WKH SURMHFW ODXQFK LQ
â&#x20AC;&#x153;My background is boutique lifestyle. I have been very lucky to have worked with some very cool hoteliers who have very particular ideas and I think that is what itâ&#x20AC;&#x2122;s about now. â&#x20AC;&#x153;We hear so much now about new products and new buildings, thousands and thousands of rooms, what is going to set them apart? We genuinely believe that our team are core to our brand values,â&#x20AC;? he adds. The second secret to the hand selected team is that Zaal, Bernicke and Gee recruited from beyond the hospitality industry. Looking for everybody from cabin crew to performers, the hosts are an eclectic team from 27 nationalities and all walks of life. â&#x20AC;&#x153;I very much believe in going out and finding people who havenâ&#x20AC;&#x2122;t been in
AUGUST 2014
36-38 NURAI.indd 38
hospitality before, those who havenâ&#x20AC;&#x2122;t gone through a hospitality programme, so they have full ability to have fun and interact with the guests. â&#x20AC;&#x153;That has been very interesting and as they come together we have found an incredible group of people.â&#x20AC;? $ XQLTXH WRXFK SRLQW Nurai is far from the only island development currently underway in the UAE, with even Sharjah now planning its own offshore leisure and hospitality hub, albeit on reclaimed land rather than a natural island. The concept of getaway private island developments, particularly in the UAE, will always be reminiscent of Nakeelâ&#x20AC;&#x2122;s World Island projects, too ambitious to get off the ground 10 years ago and still mired by legal feuds and economics. Yet for all the behind the scenes issues in executing such projects to date, the guest demand for island developments has remained insatiable. â&#x20AC;&#x153;Nurai has been talked about for a long time. I donâ&#x20AC;&#x2122;t know if thatâ&#x20AC;&#x2122;s due to the local reputation that pre-dates Zayaâ&#x20AC;&#x2122;s involvement, but people are naturally curious about what we are doing. Slowly slowly, itâ&#x20AC;&#x2122;s about building that interest,â&#x20AC;? says Gee. Explaining the promotional approach is based on whispers rather than shouts, he concludes: â&#x20AC;&#x153;This is what we are doing, this is who we are. Nurai is unique in that itâ&#x20AC;&#x2122;s mixed use, both owned and hotel. It really is the first luxury hotel on a private island in Abu Dhabi and I think we will set a standard with that.â&#x20AC;?
hospitalitybusinessme.com
7/23/14 10:25 AM
Untitled-1 1
22/07/2014 13:46
40
VP SPOTLIGHT
Ruling the waves It’s been a busy year for JA Resorts and Hotels, with news of acquisitions and openings across the Indian Ocean and new UAE developments and brand associations with the likes of Chic Collection and PuroBeach. COO David Thomson tells Hospitality Business why it’s only the beginning
L
ast year, JA Resorts and Hotels SNNJ HSR ƥQRS RSDO ADXNMC #TA@H VHSG SGD NODMHMF NE $MBG@MSDC (RK@MC 1DRNQS 3GD 2DXBGDKKDR OQNODQSX B@OODC @ RTBBDRRETK LNMSGR VGHBG @KRN R@V ) .BD@M 5HDV 'NSDK ADBNLD @ MDHFGANTQGNNC E@UNTQHSD VDKBNLHMF FTDRSR HM HSR ƥQRS PT@QSDQ S SGD SHLD HS L@QJDC @ RDLHM@K ONHMS HM SGD NODQ@SNQŗR RSNQX (M GHMCRHFGS HS V@R NMKX SGD RS@QS NE SGHMFR SN BNLD S SGHR XD@QŗR 3, ".. #@UHC 3GNLRNM SNNJ SGD NOONQSTMHSX SN L@JD @ RSQHMF NE @MMNTMBDLDMSR BNUDQHMF DUDQX ONRRHAKD @MFKD NE SGD HMCTRSQX EQNL L@QJDSHMF @ƧKH@SHNMR SN MDV AQ@MCR MDV GNSDKR @MC MDV BNMBDOSR 'D DUDM ENTMC SHLD VHSG BNKKD@FTDR VHSG %QDCQHJ 1DHMHRBG QDFHNM@K &, NE SGD 4 $ @MC 2DXBGDKKDR @MC .SSN *TQYDMCNQEDQ &, NE ) .BD@M 5HDV 'NSDK SN RG@UD GHR GD@C ENQ BG@QHSX Q@HRHMF LNQD SG@M ʙ 3GD L@INQ @MMNTMBDLDMSR NM GNLD RNHK ADFHM VHSG SGD CDUDKNOLDMS NE @ MDV GNSDK HM )DADK KH #TA@H VGHBG HR @KQD@CX GNLD SN SGD ) /@KL 3QDD "NTQS @MC SGD NQHFHM@K ) )DADK KH &NKE 1DRNQS @MC 2O@ VGHBG V@R QDETQAHRGDC HM 4SHKHRHMF U@B@MS K@MC NM SGD R@LD RHSD SGD GNSDK VHKK AD CDUDKNODC @S SGD DMC NE SGD DWHRSHMF FNKE BNTQRD VHSGNTS CHRSTQAHMF SGD DRS@AKHRGDC @MC ONOTK@Q OQNODQSHDR Ŕ VGHBG RS@MC @S NBBTO@MBX 83# 3GD JDX @CCHSHNM CTD HM VHKK ED@STQD @KK RD@ E@BHMF FTDRS QNNLR @MC DKDLDMSR NE ŖADRONJD ATHKCŗ RTHSDC SN K@QFD RONQSHMF FQNTOR @MC SD@LR %NBTR NM % ! VHKK AD LHMHL@K CTD SN SGD DWHRSHMF NTSKDSR .UDQ @S SGD #TA@H+@MC OQNODQSX K 2@GQ@ #DRDQS 1DRNQS $PTDRSQH@M "DMSQD NMD TOL@QJDS RS@MC@KNMD CDRDQS UHKK@ BNLOKDW @MC @ RS@Q GNSDK VHSG RO@ VHKK AD CDUDKNODC ENKKNVHMF UDQA@K @OOQNU@KR #TQHMF CHRBTRRHNMR VHSG RO@ NODQ@SNQR ENQ SG@S OQNIDBS 3GNLRNM V@R HMROHQDC
JA Manafaru, Maldives.
JA Palm Tree Court beach pool.
JA Ocean View Hotel.
SN S@JD SGD BNMBDOS NE SGD GNSDK RO@ řSN @MNSGDQ KDUDKŚ VHSG VG@S GD CDRBQHADR @R @ KHEDRSXKD LDCHB@K RO@ VHSG @ PT@RH
"21 QDLHS SN @RRHRS SGD QDFHNM HM HSR ƥFGS @F@HMRS CH@ADSDR ř#H@ADSDR HR OQDU@KDMS HM SGHR QDFHNM @MC HSŗR @ QD@K HRRTD 3XOD SVN B@M AD BTQDC VHSG KHEDRSXKD BG@MFDR RTBG @R SGD QHFGS CHDS @MC DWDQBHRD ATS SGDQD HR MNVGDQD HM SGHR QDFHNM VGDQD XNT B@M FN ENQ DW@LOKD SN @ CDRSHM@SHNM SG@S HR FD@QDC SNV@QCR SG@S Ś GD R@XR DWOK@HMHMF SG@S SGD BNLAHM@SHNM NE RO@ @MC řLDCHB@K @RODBSRŚ VHKK AD SGD SQTD CHEEDQDMSH@SNQ 6HSG SGD @AHKHSX SN CQ@V NM O@QDMS BNLO@MX #TSBNŗR VHCD Q@MFD NE ATRHMDRR HMSDQDRSR &DMDQ@K ,DCHB@K "DMSQD
BNTKC OK@X @ OQNLHMDMS QNKD HM SGD RO@ŗR CDUDKNOLDMS HM STQM @KKNVHMF SGD OQNUHRHNM NE MNM HMU@RHUD BNRLDSHB RTQFDQX +NNJHMF @S GNV SGD LNCDK DWHRSR HM NSGDQ LDCHB@K SNTQHRL GNSRONSR 3GNLRNM @CCR ř(S G@R ADDM @ KNMF OQNBDRR @MC VD G@UD G@C RNLD UDQX RDQHNTR OQNONR@KR ATS @S SGD DMC NE SGD C@X VD VHKK OQNA@AKX CN HS HM GNTRD (E XNT FN SN (MCH@ NQ 2O@HM XNT FN SN NMD NƤ HMCHUHCT@K TMHSR ODNOKD JMNV ADB@TRD NE VG@S SGDX CN Q@SGDQ SG@M SGD @RRNBH@SHNM ř3GDQD @QD MN QD@K AQ@MCR NTS SGDQD VGHBG XNT B@M G@MF XNTQ G@S NM @MC R@X SGHR HR @ LDCHB@K AQ@MC ODNOKD JMNV 6D @QD BNLLHSSDC SN HMUDRSHMF HM SGHR (SŗR @M DWBHSHMF SHLDR ENQ TR Ś
AUGUST 2014
40-43 VP 1 - JA DAVID THOMSON.indd 40
hospitalitybusinessme.com
7/23/14 10:27 AM
VP SPOTLIGHT
hospitalitybusinessme.com
40-43 VP 1 - JA DAVID THOMSON.indd 41
41
AUGUST 2014
7/23/14 10:27 AM
42
Indian Ocean $KRDVGDQD 3GNLRNMŗR ENBTR HR GNMDC SN @ RHMFKD SDQQHSNQX SGD (MCH@M .BD@M VGDQD GD HR OK@MMHMF ENQ NODMHMFR HM SGD 2DXBGDKKDR ,@KCHUDR 2QH +@MJ@ @MC ODQG@OR DUDM 3G@HK@MC .ODMHMF SGHR RTLLDQ ) ,@M@E@QT HR ANSG ) 1DRNQSR @MC 'NSDKRŗ ƥQRS RSDO HMSN SGD ,@KCHUDR @MC @KRN SGD ƥQRS OQHU@SD HMUDRSLDMS EQNL SGD 4 $ HMSN SGD BNTMSQX )NHMHMF SGD KHJDR NE *DQYMDQ #TA@H /QNODQSHDR @MC )TLDHQ@G &QNTO Ŕ @KK OQDRDMS TMCDQ L@M@FDLDMS BNMSQ@BSR Q@SGDQ SG@M NVMDQRGHO Ŕ ) HR SN CDUDKNO @ AD@BG UHKK@ BNLOKDW NE JDXR D@BG TMHS VHSG @ OQHU@SD ONNK #DRBQHAHMF HS @R řDUDQXSGHMF XNT VNTKC
VP SPOTLIGHT
DWODBS HS SN ADŚ 3GNLRNM CHRBKNRDR SGD CDRHFMDQ BNMSQ@BSDC G@R @KRN VNQJDC NM %NTQ 2D@RNMR ř6D @QD MNV HMUDRSHMF HM NTQ AQ@MCHMF NM SGD OQNODQSX @MC SGD SQ@HMHMF NE RS@Ƥ ATS VG@S HR HMSDQDRSHMF HR SG@S SGDX G@UD RNLD FQD@S DRRDMSH@KR SGDQD @KQD@CX EQHDMCKX ODNOKD E@MS@RSHB KNB@SHNM (SŗR @ FQD@S ƥS ENQ TR Ś %NQLDQKX JMNVM @R !D@BG 'NTRD (QTUDKH SGD CDUDKNOLDMS HR RDS NM @ @BQD HRK@MC @MC NƤDQR ONNKR @ / #( CHUHMF BDMSQD V@SDQ RONQSR RBGNNK RO@ ŖVDKKMDRR O@UHKHNMŗ @MC JHCŗR BKTA 3GD OQNODQSX VHKK ENQL O@QS NE @ RSQHMF NE NODMHMFR @BQNRR SGD (MCH@M .BD@M VGHBG 3GNLRNM HR JDDM SN RSQDSBG @R E@Q
@R 3G@HK@MC Ŕ RN JDDM GD VNTKC ADS řG@KE GHR GNTRDŚ NM RHFMHMF @ JDX GNSDK @S !@JG@V !D@BG SGHR XD@Q (SŗR @ OK@M SG@S HRMŗS CDSDQQDC AX KNB@K ENQDHFM NVMDQRGHO QTKDR @KSGNTFG 3GNLRNM @CLHSR SGDX VHKK ONRD BG@KKDMFDR 3GD RXRSDLŗR HMSQHB@BHDR CDL@MC @ LHW ADSVDDM KNB@K @MC HMSDQM@SHNM@K NVMDQRGHO HM NQCDQ SN QDS@HM QDUDMTDR ENQ SGD BNTMSQXŗR NVM DBNMNLX $KRDVGDQD @ RHW OQNODQSX OHODKHMD HM 2QH +@MJ@ BNTKC QDRTKS @ QNNL BNTMS SN QHU@K BTQQDMS NODQ@SHNMR HM SGD 4 $ Ŕ @ L@QJDS VHSG EDVDQ ƥM@MBH@K @MC KDF@K BG@KKDMFDR CTD SN SGD SQ@MRO@QDMBX NE HSR RSNBJ DWBG@MFD 3GD DBNMNLHB ENQDB@RS HRMŗS SGD NMKX
Enchanted Island Resort, Seychelles 3GD UHKK@ RS@Q KTWTQX $MBG@MSDC (RK@MC 1DRNQS HR ) 1DRNQSR @MC 'NSDKRŗ ƥQRS HMSDQM@SHNM@K L@M@FDC OQNODQSX @MC L@QJR SGD RS@QS NE SGD NODQ@SNQŗR BNLLHSLDMS SN CDUDKNOHMF QDRNQSR HM SGD (MCH@M .BD@M .ODMHMF HM #DBDLADQ SGD ANTSHPTD CDRSHM@SHNM ED@STQDR DHFGS NMD ADCQNNL /QHU@SD /NNK 5HKK@R @MC SVN SVN ADCQNNL $MBG@MSDC 2HFM@STQD 5HKK@R VGHBG G@UD ADDM CDRHFMDC SN QDEKDBS SGD HRK@MCŗR SQ@CHSHNM@K "QDNKD
2DXBGDKKNHR @QBGHSDBSTQD 2DS HM ƥUD @BQDR NE M@STQ@K FQDDMDQX SGD QDRNQS HR KNB@SDC VHSGHM NMD NE SGD (MCH@M .BD@M @QBGHODK@FNŗR OQNSDBSDC -@SHNM@K ,@QHMD /@QJR ř3GD 2DXBGDKKDR G@R KNMF ADDM @ OQDEDQQDC CDRSHM@SHNM ENQ VNQKC SQ@UDKKDQR RDDJHMF @ SQTD HRK@MC O@Q@CHRD DWODQHDMBD 3GD $MBG@MSDC (RK@MC 1DRNQS NƤDQR ITRS SG@S VHSG @ G@MCETK NE KHLHSDC DCHSHNM UHKK@R @MC @ TMHPTD KNB@SHNM SG@S ETKƥKR SGD KTWTQX ƥUD RS@Q AQHDE ATS VGHBG HR RXLO@SGDSHB SN SGD DMUHQNMLDMS @MC SN SGD RSTMMHMF M@STQ@K AD@TSX NE SGD HRK@MC Ś R@XR ) 1DRNQSR @MC 'NSDKR ".. #@UHC 3GNLRNM 3GD EHUD @BQD SQNOHB@K HRK@MC HR NVMDC AX $MBG@MSDC 5DMSTQDR VHSG BKNRD OQNWHLHSX SN SGD MDHFGANTQHMF HRK@MCR NE 2@HMSD MMD ,NXDMMD +NMF @MC "DQE &TDRSR @QQHUHMF @S 2DXBGDKKDR (MSDQM@SHNM@K HQONQS NM SGD L@HM HRK@MC NE ,@G¤ VHKK S@JD @ LHMTSD B@Q SQ@MREDQ SN SGD GNSDKŗR OQHU@SD AN@S IDSSX ENQ SGD LHMTSD LNSNQAN@S QHCD SN SGD island.
AUGUST 2014
40-43 VP 1 - JA DAVID THOMSON.indd 42
hospitalitybusinessme.com
7/23/14 10:27 AM
VP SPOTLIGHT
NMD BNMRHCDQDC HM SGD ED@RHAHKHSX RS@FDR NE SGD DWO@MRHNMR 3GNLORNM R@XR ř6D G@UD RDS NTQ RS@KK NTS @MC VD V@MS SN AD HM SGD (MCH@M .BD@M VD ITRS G@UD SN VNQJ @QNTMC SGD RD@RNM@K M@STQD NE SGNRD L@QJDSR ,@M@E@QT VHKK AD @ RSQNMF ODQENQLDQ LNRS NE SGD XD@Q @R #TA@H HR 6D G@UD @KV@XR CQD@LDC NE G@UHMF @ OQNODQSX HM $TQNOD SN NODM HM SGD RTLLDQ @MC BKNRD HM VHMSDQ VGDQD VD BNTKC RDMC NTQ SD@LR EQNL GDQD SN QTM ř3G@S G@RMŗS G@OODMDC XDS ATS VGDM XNT KNNJ @S SGD 1.( HSŗR UDQX CHƧBTKS SN HFMNQD SGD (MCH@M .BD@M Ś 3GD L@HM R@EDFT@QC VHKK AD B@OHS@KHYHMF NM SGD E@BS SG@S D@BG NE SGD OK@MMDC @MC RHFMDC OQNODQSHDR G@R HSR NVM GHFG RD@RNMR SGTR A@K@MBHMF NUDQ@KK ODQENQL@MBD 3G@SŗR MNS SN R@X SGD KTQD NE SGD DWNSHB HR RSQNMFDQ SG@M SG@S NE M@SHUD L@QJDSR @R 3GNLRNM RTQLHRDR ř( V@MS SN ROQD@C NTQ QD@BG ETQSGDQ SG@M #TA@H ATS #TA@H JDDOR B@KKHMF TR A@BJ Ś 6HSG QDEDQDMBD SN SGD U@QHNTR OK@MR @MC RSQ@SDFHDR OK@MR RSHKK RS@MC ENQ #TA@H 'DQHS@FD 5HKK@FD @MC ) 1DRNQSR @MC 'NSDKR RSHKK NVMR K@MC NM #TA@H "QDDJ VGHBG 3GNLRNM R@XR HR řBDQS@HM SN AD CDUDKNODCŚ NUDQ SGD BNLHMF XD@QR Strength in associations 3GD HMBQD@RDC OQDRDMBD L@X AD @CCHMF RSQDMFSG SN SGD ONQSENKHN ATS 3GNLRNM HR E@Q EQNL BNLOK@BDMS VGDM HS BNLDR SN L@QJDSHMF SGD OQNODQSHDR 2HFMHMF SVN RSQ@SDFHB AQ@MC @ƧKH@SHNMR SGHR XD@Q ) 1DRNQSR @MC 'NSDKR HR MNV @ LDLADQ NE "GHB "NKKDBSHNM $MBG@MSDC (RK@MC 1DRNQS ) ,@M@E@QT @MC 3GD 1DRHCDMBD @S ) /@KL 3QDD "NTQS @QD @KK MNV "GHB "NKKDBSHNM LDLADQR @MC ADMDƥS EQNL SGD L@QJDSHMF LTRBKD NE @ BNMRNQSH@ VHSG SGD ƦDWHAHKHSX SN S@QFDS OQHNQHSX EDDCDQ L@QJDSR ř3GDQD @QD @ KNS NE !NTSHPTD GNSDKR NTS SGDQD HMCHUHCT@K OQNODQSHDR ATS NMD NE SGD OQNAKDLR NE ADHMF @M HMCHUHCT@K OQNODQSX HR SG@S XNT CNMŗS G@UD SG@S L@QJDSHMF LTRBKD .TQ FQNVSG RSQ@SDFX HR @KHFMDC SN SG@S NE SGD BNKKDBSHNM Ś (SŗR @ O@QSMDQRGHO SG@S VHKK NMKX HMBQD@RD HM RHFMHƥB@MBD @R LNQD RTOOKX BNLDR SN SGD L@QJDS @ SQDMC 3GNLRNM R@XR HR BQD@SHMF LNQD @MC LNQD HLO@BS 6GHKD ODQENQL@MBD HR RSQNMF SN C@SD SGDQD HR BNMBDQM QDF@QCHMF GNV LTBG ŗR
hospitalitybusinessme.com
40-43 VP 1 - JA DAVID THOMSON.indd 43
43
JA Manafaru, Maldives.
Enchanted Island Resort, Seychelles.
NODMHMFR BNTKC AD EDKS HM #Q@VHMF @ BQNVC RGNTKCMŗ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
6GHKD SGDQD @QD CDUDKNOLDMSR RTBG @R #TA@HŗR K@SDRS QDBK@L@SHNM LDF@
CDUDKNOLDMS !KTD 6@SDQR VGHBG 3GNLRNM RS@TMBGKX QTKDR NTS NE SGD HLLDCH@SD CDUDKNOLDMS OK@MR BHSHMF HMƦ@SDC K@MC U@KTDR SGD @OOQN@BG SN CQHUHMF ANSSNL KHMD ODQENQL@MBD OQNUDR SGD KNFHB HM GHR SGHMJHMF 6GHKD SGD 4 $ BNMSHMTDR SN FQ@OOKD VHSG $WON EDUDQ 3GNLRNM QDETRDR SN KDS SGD FQNTO ADBNLD O@QS NE SGD GXOD HMRSD@C ENBTRHMF SN OQNUHCD VG@S NSGDQ hotels do not. -NV RTOONQSDC AX -@S@KHD -@RRDQ SGD MDVKX @OONHMSDC #.2, 3GNLRNM VHKK L@JD @ MTLADQ NE ETQSGDQ SD@L @OONHMSLDMSR VHSG řNMD AHF NMDŚ SN AD @MMNTMBDC NUDQ SGD BNLHMF VDDJR @MC HSŗR BKD@Q EQNL SGD RLHKD @BBNLO@MXHMF SGD OQNLHRD SG@S SGD ADRS HR XDS SN BNLD
AUGUST 2014
7/23/14 10:27 AM
44
VP SPOTLIGHT
Suite spot Despite an exit from Abu Dhabi in 2013, Rocco Forte remains a specialist in hosting Middle Eastern travellers in Europe. Communications director Richard Power speaks to Hospitality Business about the opening of the largest suite in Berlin and the ongoing development of its landmark Middle East re-entry
W
hen Rocco Forte departed from its only Middle East property in 2013 – the $163m Rocco Forte Abu Dhabi – it was largely believed the iconic luxury brand, which is a favourite with outbound Arabic visitors to Europe and the UK, would not return. It was an expectation backed by the group’s previous ownership and subsequent sale of 37 Le Méridien Hotels to Starwood. Yet all that is about to change with the imminent opening of a new 5-star hotel, on Tahlia Street, Jeddah. The concept for the Jeddah hotel is a swift departure from that employed for the Abu Dhabi hotel. As opposed to following a crowd of 5-star properties, this hotel will be, as communications director Richard Power describes “Jeddah’s only true 5-star hotel”. It’ll also be Rocco Forte’s only hotel not to be situated in a building protected for its heritage status. The 20-storey development with retail, F&B and residential components will house 146 rooms, 63 suites and 94 serviced apartments across two towers. Like Rocco Forte, the owning company is a family-run entity which already owns a number of mid-market properties in Mecca and is now looking to step into the world of luxury and 5-star hospitality. “Operating successfully in Saudi Arabia is all down to the building being set up properly and, critically, due to the top management team. That’s what makes or breaks a hotel,” says Power. The hotel is due to open Q1 2015, depending not only upon the completion of the building, but the recruitment of all staff – an exercise
Rocco Forte Jeddah exterior.
Power admits is complicated by the BNTMSQXŗR -HS@PT@S^ RXRSDL “There is a constraint at the moment with the current employment laws, but you learn to work within that. The opening schedule is dependent upon
THE ROCCO FORTE PORTFOLIO Ş !QNVMR 'NSDK +NMCNM Ş 3GD +NVQX 'NSDK ,@MBGDRSDQ Ş 3GD !@KLNQ@K $CHMATQFG Ş 'NSDK LHFN !QTRRDKR Ş 5HKK@ *DMMMDCX %Q@MJETQS Ş 3GD "G@QKDR 'NSDK ,TMHBG Ş 'NSDK RSNQH@ 2S /DSDQRATQF Ş 'NSDK #D 1NLD !DQKHM Ş 'NSDK #D 1TRRHD 1NLD Ş 'NSDK 2@UNX %KNQDMBD Ş 5DQCTQ@ &NKE @MC 2O@ 1DRNQS 2HBHKX
AUGUST 2014
44-46 VP 2 - ROCCO FORTE.indd 44
that, as well as soft elements and also the building. We want to make this a very special opening because this should be a very successful hotel, due to the competition in the city currently. It’s the best location you can get and a very good owner,” he adds. The formula of location first is a driving force across the British luxury operator’s portfolio – and in hindsight the only crucial element not applied to the Abu Dhabi property, which has since been re-flagged by Hilton. Building on a legacy of hotels placed “at the heart of their city”, Power exemplifies the Hotel Savoy Florence which is popular year round due to its location. “It’s not just where the building is, but how you relate to the city. We try to make ourselves part of the city, so we can unlock all its charm for the guests,” he adds.
hospitalitybusinessme.com
7/23/14 10:28 AM
VP SPOTLIGHT
hospitalitybusinessme.com
44-46 VP 2 - ROCCO FORTE.indd 45
45
AUGUST 2014
7/23/14 10:28 AM
46
Suite Success Occasionally, location isn’t enough and therein lies the context of Rocco Forte’s next focus: suites. When the location has already been capitalised and the competition and guest demand higher standards, focus turns back to the rooms. Returning to the story of Hotel Savoy Florence, Power admits that the neighbouring Four Seasons may not have the prime location, but regains its edge through size. Last year, Rocco Forte Hotels unveiled SGD RPL "Y@QŗR 2THSD @S 'NSDK RSNQH@ in St Petersburg – the completion of which marked the end of a multi-million dollar refurbishment, also creating 50 junior suites, to celebrate the hotel’s centenary. The refurbishment exercise will be repeated across the portfolio. “The most important thing for us at the moment, as we come out of recession, is to look at our existing hotels and see where the opportunities lie. At the moment, those opportunities are in building more suites and bigger suites into the existing properties, which is quite expensive,” Power says, adding that most of the additional expense is due to the protected and heritage status of much of the portfolio. It’s this drive, which will specifically re-attract the Middle East client, which in some hotels can comprise more than 80% of total occupancy year round, ENQ DW@LOKD HM 3GD "G@QKDR ,TMHBG @ hotel underpinned specifically by its popularity among the Middle East guest. Selling a 17-bedroom suite at this year’s ATM, Power’s enthusiasm is buoyed by the regional corporate sales team, tasked with the promotion of the new generation of luxury suites. “We can see from the regional numbers, where our biggest markets is in suites, they are no longer satisfied with a large bedroom but also want somewhere to live for a long spell. The big driver of our growth in the Middle East is our suites growth,” he says. Designed by Olga Polizzi, the largest suite in the Hotel de Rome is the 200m² Bebel Suite. With 3.2m ceilings, hardwood floors and a 25m-wide balcony extending across the length of the suite, it even has a library with more than 1,000 books and a study
VP SPOTLIGHT
Villa Kennedy Frankfurt, Presidential Suite Bedroom.
Hotel Savoy Florence, Suite Signoria.
Hotel Savoy Florence, Repubblica Suite lounge.
overlooking the public courtyard. The grand bedroom has its own walk-in BKNRDS SGD L@QAKD A@SGQNNL SVN A@RHMR The entire suite can be adjoined to three additional bedrooms and one junior suite, to form a five bedroom unit of 450m², with security so high it even has bullet-proof glazing and a video access monitoring system. An important point considering the recent London attack of an Emirati family at 3GD "TLADQK@MC 'NSDK @MC 'NSDK CD Rome’s dependence upon the Middle East visitor.
be our focus. We know the area well, we know the people, but we will have to see how the market performs here and how we settle. “If Jeddah does well, more people will want to take us on. “Instead of dreaming of new locations, our priority right now is to make this one really special and then asses from there,” he adds, refusing even to rule out a return to Abu Dhabi. “There are other projects we could look at, but we have to wait and see,” he continues, in reference to Rocco %NQSDŗR FNUDQMLDMS NVMDC "@HQN property, for which there are no plans for a reopening. One thing is for sure, as demonstrated across Rocco Forte’s existing – and historic markets – the key to success is the brand’s ability to provide a niche. Whether that be in the caliber and size of suites or the exclusivity of the property, as is soon to be demonstrated in Jeddah, it’s the only way forward for a brand that was born to lead.
High season With the imminent influx of Middle East guests to Europe’s finest luxury hotels and suites from next month, Power’s focal point rests firmly on Jeddah. A city which he himself is a great advocate of, he says success there will be the driver for any further Middle East properties. Although there are no plans for such as yet. He begins: “We need to prove ourselves in Jeddah and that will
AUGUST 2014
44-46 VP 2 - ROCCO FORTE.indd 46
hospitalitybusinessme.com
7/23/14 10:28 AM
48
INDUSTRY ANALYSIS
A
n international hospitality market in an Islamic culture such as the UAE, was almost predestined to face a certain amount of soul searching, specifically if attracting upwards of 30 million visitors, nation-wide, from around the world; a figure set to grow. Creating a cultural melting pot is more difficult than it looks, and no more so than in creating hospitality experiences which fully embrace local Islamic principles. The development of specific Islamic hospitality brands to date has seen stunted growth, the reasons for which are widely debated and contrary to the enormous influx of GCC travellers to the country. Yet, from the UAE’s first Islamic branded operator, Tamini, to the first certified Sharia compliant brand, Constella, there is a growing number of hotels, apartments and even tour operators offering services that do not compromise the religious duties of Muslim travellers. Explains Galadari Law partner, Mojahed Al Sebae: “Although an entire book could be written about this, I think Sharia hotels may be simply defined as ‘any hotel that does not breach sharia in any way, including but not limited to, its design, financing and operations’. Sharia hotels maintain certain facilities that enable Muslim travellers to perform their religious duties.” It’s a selling point which has gained further significance since the announcement of Dubai as a capital of the Islamic Economy, in early Q4 last year and a trickledown effect is beginning.
This year, real estate developer DAMAC, which has maintained an interest in serviced apartments for some time, announced the opening of Constella, the first hotel brand which meets a strict 15-point check list devised by Dubai Islamic Bank entity, Dar Al Sharia. The hotel, to be developed in the emirate’s Jumeirah Village Triangle, marks the first time a Dubai hotel will not just be ‘dry’, but even funded and designed according to Islamic principles. “The majority of the ‘Sharia
I believe clear and simple yet specific regulation, guidelines or standards should be issued by the local authorities in order to support and simplify Sharia hotel development locally and regionally compliant’ hotels you see today are simply dry hotels. They are not designed or managed as Sharia. We do not know how big the Sharia segment is today, but we have taken the risk to develop hotels that have been imagined from the very earliest stage, as fully Sharia compliant,” DAMAC MD Ziad El Chaar disclosed to Hospitality Business
when the Constella project was announced in May of this year. The brand will cater to visitors from the GCC, Pakistan, India, UAE and also Indonesia and Malaysia. Yet for all the progress Constella marks, it is literally one hotel in a pipeline that will see supply in Dubai alone increase by 8.6% this year, according to STR &KNA@KŗR LNRS QDBDMS ƥFTQDR Comments Sebae: “In my view, the shortfall in Sharia hotels could be due to several reasons including the conservative nature and investment approach of the majority of investors in this region. “The hotel industry, until recently, has not been a very attractive investment due to the Sharia compliance issues of lack of financing and the misperception that a Sharia compliant hotel may not be profitable, or may be less profitable, SG@M NQCHM@QX GNSDKR Ś ^ Striking a balance on this issue, hotels operated by Dubai-based HMH class themselves as ‘Halal friendly’ and report no bottom line impact from alcohol free F&B service. In contrast to the ‘Sharia’ label, guests are permitted to bring their own alcohol for private consumption on the family friendly premises. COO Lauren Voivenel explains: “It isn’t an obstacle to do business. We average a very decent GOP in all our hotels and we perform as well as the brands who do serve alcohol. He adds: “People come to our hotels looking for a safe, family environment, this isn’t about exclusively looking after the Middle East market.” Non-official rating In waiting for the concept of Sharia hotels to take off, the idea of ‘Halal
Stats
30m Tourists, approximately, visit UAE annunally, with the number set to grow
3-star 13 Hotels in Bahrain face a blanket ban on the sale of alcohol
Saudi Arabia’s ranking out of 15 countries with the highest growth in tourism receipts, 2013
AUGUST 2014
47-49 INDUSTRY ANALYSIS - SHARIA.indd 48
1.5m
$420
15
estimated Saudi Arabian visitors to the UAE, 2013
4m spend by Saudi Arabian tourists in the UAE, on Visa cards alone, in 2013
points of compliance on the Dar al Sharia certification
hospitalitybusinessme.com
7/23/14 10:30 AM
49
INDUSTRY ANALYSIS
friendlyâ&#x20AC;&#x2122; hospitality has slowly made its way around the globe, not only spurred by outbound tourists from the GCC, but also Malaysia, Indonesia and Turkey. Supporting the sector globally â&#x20AC;&#x201C; and in the absence of take up for strict Islamic hospitality principles outside of Saudi Arabia â&#x20AC;&#x201C; Crescent Rating devised its own three tiered system, covering aspects from prayer facilities, to the provision of Halal food in the hotel, or directions to a nearby Halal restaurant. Hotels must meet the minimum criteria across a number of categories with the entire system applicable to cruises, theme parks, airports and even travel agents. Founder and CEO of Crescent Rating and sister company HalalTrip, Fazal Bahardeen, explains: â&#x20AC;&#x153;We allow hotels to target this segment without the need to brand themselves as Halal or Sharia compliant properties. â&#x20AC;&#x153;Through both Crescent Rating and HalalTrip, we help them reach out to their target market and this allows the hotel to cater to a wider range of clients while still catering to the Halal conscious Muslim traveller.â&#x20AC;? Bahardeen, who himself has authored a number of articles on the subject, says the understanding of the faithbased needs of Muslim travellers will not only spur tourism in a destination, but also support the industryâ&#x20AC;&#x2122;s verticals and therefore a countryâ&#x20AC;&#x2122;s SMEs. (PEUDFLQJ 6KDULD But while the less regimented concept of Halal friendly tourism has cultivated a Muslim-friendly global hospitality sector, the provision of strictly Sharia compliant hotels in the UAE, akin to the principles which are mandatory elsewhere, is still lacking. The potential for the UAE should these opportunities be explored could see a significant rise in the number of stop over tourists travelling to Saudi Arabia for pilgrimage who also wish to see Dubai, Abu Dhabi or the UAEâ&#x20AC;&#x2122;s other emirates, while in the region. Consider that in 2013, Saudi Arabia was ranked 13 in a list of 15 countries with the highest growth in tourism receipts; the total number of Saudi Arabian nationals visiting the UAE over the same period topped 1.5m; and these visitors spent $420.4m on their Visa
hospitalitybusinessme.com
47-49 INDUSTRY ANALYSIS - SHARIA.indd 49
S@QFDS SGHR RDFLDMS VHSGNTS LTBG DƤNQS Ĺ&#x161; However, Bahardeen does add, that specific compliance may not require promotion. He says: â&#x20AC;&#x153;In my opinion it is not really necessary to start branding yourself as a Sharia compliant hotel, but to ensure you have the services that this market is looking for to reach out to them through the right channels.â&#x20AC;? Over recent months, Dubai Government has instructed a number of authorities to develop regulations, standards and guidelines for the industry as a whole when it comes to the development, and prominence, of Sharia compliant hotels. Despite the potential management challenges, it is this which Sebae believes will act as the catalyst for a wave of hospitality establishments which embrace the regionâ&#x20AC;&#x2122;s predominant religion, in a way that is reflective of the local culture. â&#x20AC;&#x153;I believe clear and simple yet specific regulation, guidelines or standards should be issued by the local authorities in order to support and simplify Sharia hotel development locally and regionally.â&#x20AC;? When it comes to the impact on management and development of UAE hotels, the implications could be significant. Unlike Bahrain, which last month reinforced its blanket ban on the service of alcohol at any of the countryâ&#x20AC;&#x2122;s 3-star hotels, UAE is famous for its support of a free economy, and such measures could almost be ruled out with a guarantee. However, depending upon the success of the first Sharia certified hotel, the lead taken by industry could, in future, create a very different landscape.
SHARIA â&#x20AC;&#x2DC;FRIENDLYâ&#x20AC;&#x2122; SNAPSHOT Tamani Ĺ&#x2DC; 7KH 8$(Ĺ&#x203A;V ĆŠUVW EUDQGHG Islamic operator, across its 55 VWRUH\V 7DPDQL KRWHO RƨHUV WZR SRROV DQG D IHPDOH RQO\ ĆŞRRU Gloria Ĺ&#x2DC; )DPLO\ IRFXVHG UDWKHU WKDQ GHĆŠQHG DV 6KDULD *ORULD SODQV WR VSUHDG LWV PHVVDJH RI GU\ hospitality to every major GCC city ZLWKLQ ĆŠYH \HDUV Constella Ĺ&#x2DC; WKH ĆŠUVW FHUWLĆŠHG 6KDULD FRPSOLDQW KRWHO DFFRUGLQJ WR D 15-point check list that covers HYHU\WKLQJ IURP VHSDUDWH ĆŠWQHVV DQG GLQLQJ IDFLOLWLHV WR WKH IXQGLQJ PRGHO RI WKH EXLOGLQJ HMH Ĺ&#x2DC; WKH ĆŠUVW KRWHO FKDLQ LQ WKH 8$( WR RƨHU DOFRKRO IUHH DFFRPPRGDWLRQ Rotana Ĺ&#x2DC; GLYHUVLI\LQJ LWV RƨHULQJ 5RWDQD KDV D QXPEHU RI EUDQGV IRU ERWK WKH DSDUWPHQW DQG GU\ KRWHO element of its 50+ hotel portfolio $PODN +RWHOV DQG 7RXULVP Investment Company Ĺ&#x2DC; -RUGDQLDQ chain to open hotels in every GCC FRXQWU\ E\
cards in the process, according to data released by the bank. Says Bahardeen: â&#x20AC;&#x153;The hotel brands in the Middle East have a huge opportunity to cater to the needs of the Muslim traveller. Already being in a setting which is Muslim friendly, allows them to Top Holiday Destinations, Islamic Countries
Top Holiday Destinations, non-Islamic Countries
Malaysia
6LQJDSRUH
UAE
6RXWK $IULFD
Turkey
Thailand
Indonesia
UK
6DXGL $UDELD
Bosnia and Herzegovina
Morocco
India
Jordan
Hong Kong
Qatar
Germany
Tunisia
Australia
Egypt
Tanzania
Source: Crescent Ratings, February 2014
AUGUST 2014
7/23/14 10:30 AM
50
COVER STORY
S
G f
c l a a g c
i c
T I f s H m k
t w
AUGUST 2014
50 -55 PHILIPPE ZUBAI - EMAAR.indd 50
hospitalitybusinessme.com
7/24/14 12:37 PM
51
COVER STORY
MADE IN DUBAI Architects of ‘The Centre of Now’ Emaar Hospitality Group is half way WKURXJK WKH PRVW VLJQLƬFDQW \HDU LQ LWV KLVWRU\ )ROORZLQJ WKH ODXQFK RI WKH mid-market Dubai Inn, lifestyle brand Vida and ‘Arabesque’ Manzil, not to mention to the announcement of Address Hotel openings in Egypt, Turkey and Kenya, COO Philippe Zuber talks to Hospitality Business
S
ince the signing of its seminal 2005 contract with Armani to open a string of luxury hotels in key cities, Emaar Hospitality Group has become one of Dubai’s most famous indigenous brands. A founding presence in the city, the company is synonymous with its catchline ‘The Centre of Now’ and today owns and operates 12 hotels in addition to assets including serviced residences, golf retreats, and a polo and equestrian club. Yet while the group is made in Dubai, it has also seemed fated to always be confined to Dubai. That is, until now. Confirming the development of The Address Residence Emaar Square, Istanbul, at ATM this year – a project first spoken about four years ago, but seemingly on infinite hold – Emaar Hospitality COO Philippe Zuber maintains the city has “always been” a key focus for expansions. Promising the project will “recreate the DNA of Downtown”, in the a country which corders east and west, Zuber
hospitalitybusinessme.com
50 -55 PHILIPPE ZUBAI - EMAAR.indd 51
discloses the development will continue Emaar’s tried and tested pattern of colocating its hotels with its own retail, entertainment and leisure districts and on occasion, commercial and residential properties. The Address Istanbul will be set in a 1.6sqkm complex, surrounded
WE BELIEVE INTENSELY IN THIS SEGMENT AND IT’S A HUGE OPPORTUNITY FOR US TO GROW AND DEVELOP IN DUBAI. TO ATTRACT PEOPLE WE NEED TO HAVE AN F&B STORY
by a shopping mall, residences, and apartments, located on the Asian side of the Bosphorus River. It’s one of three international projects currently in the pipeline, all of which have faced significant delays largely due to economic and political crises in the host countries. Further historic announcements for openings in India and Pakistan remain on the drawing board. In Egypt, The Address Marassi Golf Resort and Spa will form an integral part of Uptown Cairo. Signed in 2005, the ‘first of its kind’ destination in the ancient city, will replicate the same template as Dubai’s Downtown and Istanbul’s Emaar Square, on a 45sqkm plot. The hotel element is a full conversion. The third international property, Kenya’s The Address Masai Mara, will be the exception to the traditional formula. Owned by a private investor and close to the set of the film Out of Africa, the focus will be on safari-style experience and breath-taking surroundings.
AUGUST 2014
7/23/14 10:31 AM
52
COVER STORY
Asserting that there is still more to come, Zuber maintains the tactic will be to follow the fans. Noting The Address client frequents the likes of London, Paris, New York and LA, as well as Jeddah and Riyadh, he comments: â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s all those key cities that are so crucial to our development. We believe that we need to be there.â&#x20AC;? Yet it begs the question: With so much global focus on Dubaiâ&#x20AC;&#x2122;s hotel pipeline and a string of delays on the international expansions, why is the cityâ&#x20AC;&#x2122;s most widely-recognised indigenous brand choosing now to look elsewhere? â&#x20AC;&#x153;We are very humble in our approach and we are listening to our customers. We are able to respond to the needs of our clientele, with our model for business and leisure in the same component under one roof and we also have the residence component. â&#x20AC;&#x153;The market we are in is very unique and people love it. We donâ&#x20AC;&#x2122;t compartmentalise business and leisure like other brands do,â&#x20AC;? he adds. The philosophy may be basic, but he continues: â&#x20AC;&#x153;It works more than ever. The world is evolving and a new generation is demanding this kind of product with the option to work and relax at the same time, while having the best restaurants sitting in the property, instead of having to go out for good food.â&#x20AC;? New territory It is under this principle Emaar Hospitality Group has in the last 12 months announced new hotel brands in the â&#x20AC;&#x2DC;Arabesqueâ&#x20AC;&#x2122; boutique and midmarket segments, which will use F&B as an anchor point of the USP. The brands arenâ&#x20AC;&#x2122;t so much at opposing ends of the spectrum, but occupying different areas of the same sphere; complimenting The Address and providing Dubaiâ&#x20AC;&#x2122;s less catered-to
THE NEW HOSPITALITY CONCEPTS Manzil: Arabic lifestyle brand for the upscale boutique segment. Every â&#x20AC;&#x2DC;Manzilâ&#x20AC;&#x2122; hotel will have a Courtyard and traditional Arabic majlis. Hotels will open in all key markets. Dubai Inn: JV with Meraas Holding. Creating the largest rooms in its class, Dubai Inn addresses a â&#x20AC;&#x2DC;white spaceâ&#x20AC;&#x2122; in the market pairing value and elegance Vida Residence: A 57-storey tower comprising 320 apartments situated on 3-storey podium, ZKLFK RƨHUV UHVWDXUDQWV VKRSV and amenities, launching in Dubai, Abu Dhabi, London and Baku. The 57-storey Vida Residence Downtown Dubai will be linked directly to Vida Downtown Dubai via an air-conditioned glass bridge.
guest profiles with hotels to match their lifestyles. Closing only a matter of weeks ago, Manzil â&#x20AC;&#x201C; taken over in 2013 from Southern Sun Hotel Group to be managed under the recently launched Vida brand â&#x20AC;&#x201C; will re-open after an extensive refurbishment tipped to transform it into a contemporary Arabic boutique hotel; a brand concept Zuber is clearly confident of. â&#x20AC;&#x153;Market drivers change often and there is a lot of opportunity in Dubai to develop this boutique style of hotel. When we first developed Vida to open in October last year, there was enormous success, praise and applause for a lifestyle brand in a niche boutique market,â&#x20AC;? Zuber says of the fourth name
Dining concept for Manzil.
to launch in the portfolio. Combining Gen Y and GCC preferences, the brand identity will have a specific focus on the 200 million people in the regionâ&#x20AC;&#x2122;s under 25 age bracket. With almost tangible pride, Zuber adds: â&#x20AC;&#x153;As of today, there is
The history of Emaar Hospitality
2005 2006 2007 2010 2012 2013 Emaar launches Uptown Cairo and signs Armani deal to open luxury hotels in key cities
August â&#x20AC;&#x201C; land acquired to develop Marassi, a 1,544 acre tourist resort project in Egypt
May â&#x20AC;&#x201C; The Address Hotels and Resorts launches, opening the first property in October
AUGUST 2014
50 -55 PHILIPPE ZUBAI - EMAAR.indd 52
April â&#x20AC;&#x201C; Armani Hotel opens in the worldâ&#x20AC;&#x2122;s tallest building, Burj Khalifa, marked with a New Year gala
July â&#x20AC;&#x201C; Manzil and Qamardeen brands are to be managed by Emaar
May â&#x20AC;&#x201C; Vida launches, a â&#x20AC;&#x153;new concept in inspired livingâ&#x20AC;?
hospitalitybusinessme.com
7/23/14 10:31 AM
COVER STORY
no equivalent. We are very excited about this brand,” and along with his conviction comes the belief that no other brand will feasibly compete with the concept. Stating that it was Emaar Hospitality which introduced the idea of boutique to Dubai, he notes the appearance of similar brands has been positive, but that he cannot foresee a point where other operators are combining this with regional cultural touches while focusing on the young adult market. “In terms of refreshing the boutique concept, we will do the same as we are doing for The Address and our other brands, using our understanding of food and what the guest wants.
hospitalitybusinessme.com
50 -55 PHILIPPE ZUBAI - EMAAR.indd 53
WE ARE VERY CAREFUL BECAUSE THERE IS A LOT OF DEVELOPMENT AT THE MOMENT “The guest today and the young clientele, who are entrepreneurs and so on, want the comfort of a luxury hotel, which is a fantastic shower, fantastic bed and non-intrusive design. Design is comfort,” he says of the HBA conceived
53
interiors, which in line with the brand principles prioritise comfort, technology and social space, in that order. Defying the strict definition of boutique by maximising F&B, Zuber adds: “To bring life to a hotel you need impeccable F&B and an attractive concept. People will come to Dubai for this hotel.” Diversifying from both its luxury hotel model and the tried and tested mega development formula, Dubai Inn is planned to take the market by storm from 2015 with six projects confirmed to date, in Za’abeel, Al Jafiliya, Port Saeed and Dubai Marina. Shying from the word budget in a way that isn’t entirely detached from DTCM’s
AUGUST 2014
7/23/14 10:31 AM
54
The new Manzil lobby concept.
attitudes towards the sector, Zuber describes Dubai Inn as encompassing a sense of comfort and great recognitions with the traditional luxury brands, but re-worked for “very budget conscious travellers”. It isn’t all hype, the properties themselves will incorporate a touch of Emaar’s trademark luxury by providing the largest rooms in their class at 26sqm.
Under a joint venture with The Beach and CityWalk developer Meraas, the plan is to open a string of properties in quick succession, adding more than 2,000 rooms to Dubai’s stock. Eyeing the point of critical mass with a degree of urgency, Emaar Hospitality is fully aware that Dubai Inn will fail without such rapid expansion. It’s a stark change of direction from the measured growth seen to date –
despite its five brand collection, Emaar Hospitality only operates 12 hotels at a total of 1,900 rooms. Its current 4,200 staff count, will however double over the course of the scheduled openings. Branching out While Zuber maintains The Address has only just reached the required maturity to move outside its home market, international credit rating agency
Emaar Hospitality Group: In numbers
$132m
Group hospitality and leisure revenues Q1, 2014
12
Hotel and resorts
16%
YoY group hospitality and leisure revenue growth, Q1 2013 - 2014
AUGUST 2014
50 -55 PHILIPPE ZUBAI - EMAAR.indd 54
1,900
Rooms currently in operation
92%
Average occupancy across operating properties, Q1 2014
hospitalitybusinessme.com
7/23/14 10:31 AM
55
COVER STORY
of The Address Downtown to COO of the owning company; taking the reins on the domestic and international expansion of Emaarâ&#x20AC;&#x2122;s 5-star premium brands, its new brands and leisure assets. At this yearâ&#x20AC;&#x2122;s ATM the group made a string of announcements in these areas, even going on the record to speak frankly about the wider ambition for the group and its place in the hospitality landscape. Revealing the masterplan, Zuber says: â&#x20AC;&#x153;We take a very dynamic approach when it comes to F&B. We develop concepts on our own, we collaborate with well-known brands, for example CUT by Wolfgang Puck and we are going to continue to give our space to operators with unique concepts.â&#x20AC;? And in that process, can the market expect to welcome any new F&B brands to the table? â&#x20AC;&#x153;Yes. We are very careful because there is a lot of development at the moment. In the Boulevard we have fantastic space. We are very excited because itâ&#x20AC;&#x2122;s a destination on its own. The brand has to increase the total perception of the boulevard. â&#x20AC;&#x153;Most of our F&B spaces today are already utilised and in some cases we are creating space within a space. Then there are three more hotels to come. So when we are building a hotel now we have our own F&B concept but we dedicate spaces to enhance external brands and concepts,â&#x20AC;? he continues. Moodyâ&#x20AC;&#x2122;s last month published a report entitled â&#x20AC;&#x2DC;Emaar Properties: Domestic business to fuel growth, but full potential of international operations QDL@HMR TMQD@KHRDC Ĺ&#x2014;^ In the same report, Moodyâ&#x20AC;&#x2122;s warned that overcapacity in Dubai is a very real risk; something Zuber is no doubt more than aware of, but given the timing of recent announcements it looks unlikely such predictions will have impact on the plans already underway. While Moodyâ&#x20AC;&#x2122;s outlook could create a hit to investor sentiment, the reporting of it in the local media has painted a positive picture, instead focusing on the line that Emaar will benefit from Dubaiâ&#x20AC;&#x2122;s ongoing economic boom. Next month will mark one year since Zuber was promoted from GM
hospitalitybusinessme.com
50 -55 PHILIPPE ZUBAI - EMAAR.indd 55
The centre of now Not only the â&#x20AC;&#x2DC;centre of nowâ&#x20AC;&#x2122; through a re-definition of hospitalityâ&#x20AC;&#x2122;s tried and tested business model, Emaar is looking to secure its future as the centre of tomorrow also. Of all the recent news, Zuber discloses
AS OF TODAY, THERE IS NO EQUIVALENT. WE ARE VERY EXCITED ABOUT THIS BRAND
THE NEW F&B CONCEPTS & BRANDS t CUT by Wolfgang Puck: American steakhouse by the award-winning Michelin-star Chef, Wolfgang Puck, at The Address Downtown t Zeta: Expansion of the outdoor dining and lifestyle experience at The Address Downtown Dubai t At.mosphere, Burj Khalifa: The worldâ&#x20AC;&#x2122;s highest restaurant, ORFDWHG RQ ĆŞRRU %XUM .KDOLID t Emaar Pavilion Downtown Dubai t The Palace CafĂŠ t Madeleine Boulangerie & CafĂŠ t La Serre CafĂŠ and Bistro: Premium French restaurant t Cipriani: Flagship restaurant coming soon to Downtown Dubai, following Emaarâ&#x20AC;&#x2122;s partnership with the global brand
that it is Manzil he is personally the most excited about; for the group, the market and the reputation of Arabic hospitality. With the original hotel closed only a matter of weeks, the work was launched with a â&#x20AC;&#x2DC;demolition partyâ&#x20AC;&#x2122; at which invitees wore hard hats and were encouraged to take a hammer to the hotels fixtures and fittings. Essentially the project will see a new hotel, in the same shell, with a strong focus on Arabic hospitality, Gen Y and F&B. Reporting that huge resources have been invested in the project, which in Zuberâ&#x20AC;&#x2122;s own words â&#x20AC;&#x153;integrates all our peopleâ&#x20AC;?, he shares: â&#x20AC;&#x153;The concept of Manzil is very, very exciting. We are aiming to give to Dubai, and to Emaar, a brand for Emiratis to be proud of. It will be a huge respect of the culture, it will be respectful of habits and how Emiratis want to be served, it will be a brand that will be open to all and enjoyed by all cultures, but will understand the clientele and stakeholders. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s boutique, itâ&#x20AC;&#x2122;s contemporary, itâ&#x20AC;&#x2122;s Arabic. In being first to do this, we have taken on a lot of responsibility and we have to make sure it has a strong launch. If you do a boutique hotel, there is a lot of competition and comparison. Even if it is different people will compare, but Manzil has no comparison.â&#x20AC;?
AUGUST 2014
7/23/14 10:31 AM
56
TREND TALK
Safety and sustainability The impact of sustainable and safe hospitality equipment and furniture on the bottom line
Claudia van der Werf Desert River co-founder
I
t can be argued that, at times, the hospitality industry puts more emphasis on the design and price of a product, than the sustainability and safety of it. What one may not realise though, is that by purchasing a sustainable, environmentally friendly product, they will be saving themselves money in the long run. Nobody likes waste, but unfortunately many hotels, restaurants, bars and retail outlets in the region still donâ&#x20AC;&#x2122;t spend enough time educating staff on optimal storing and cleaning of furniture and equipment so that it lasts longer. Effective cleaning and maintenance saves on early or unnecessary replacement of items. From the better quality uniforms purchased for
employees to the rules on workplace smoking near the premises, everything is centered on sustaining what we have and looking after it properly. We try to pass this motto on to our clients, encouraging them to look after their purchases so they will not find themselves having to buy more of the same thing as replacements. Many hotels may want to only use equipment and furniture that is sustainable and â&#x20AC;&#x2DC;greenâ&#x20AC;&#x2122;, but may encounter difficulties in finding it in the region but there is more available than you think. Here are some tips on securing high quality, safe and sustainable equipment and furniture for your hospitality establishment, or even your own home. Certified standards Firstly, make sure to buy from trusted suppliers that have certified sustainability standards. Many high quality European brands now have these standards in place and their products are made without toxic materials, are fireresistant and produce minimal waste. One of the advantages of purchasing equipment from European suppliers is the fact that they will have been intrinsically tested for safety. Being aware of the water and fire resistance of your equipment is extremely important, to protect it, your customers and your staff. We suggest that every staff member who will be using equipment, especially anything electrical, should be fully trained on how to work it, what to keep them away from, such as fire, heat or water, and what to do in an emergency. Using products that can be recycled is a great way to create a sustainable business. Take Slide from Italy for example; its chairs are made with plastic that can be 100% recycled into another chair or piece of furniture. French furniture company Fermob produces items using aluminum that can be completely recycled.
AUGUST 2014
56-57 TREND TALK - DESERT RIVER.indd 56
By working with companies such as Slide and Fermob who have great work ethics and support environmentally friendly production, we can foster a culture of using quality, safe and sustainable equipment here in the region and this will stimulate local and regional producers to follow the same stringent standards. When purchasing equipment or furniture for a hospitality space, be it a hotel, bar, restaurant or even shop, it is important to use items which are easy to clean and can be easily looked after, as hundreds of people will be using them. If a hotelier is looking for outdoor furniture, it is important that they choose one which is made for outdoor use, easy to clean and easy to store. In the harsh Arabian summer, even the best of material can lose part of its finish. We believe that furniture should be removed from direct sunlight or protected using shading or covers. Likewise, always opt for hardwearing seating and loungers from respected, high quality brands. Educating buyers on the safe and sustainable use of equipment and products will in turn help the industry make better informed decisions, giving buyers the right tools and information to look after their equipment and get the most return out of their investment. Storage Storage is an important factor that sometimes causes furniture and equipment to get broken or damaged by the weather. As a company we know the items we rent to clients need to be packaged and stored in order for them to arrive at and leave an event, in top condition. It is best to keep the goods in their original packaging; store them away from sunlight and heat when they are not in use; cover them to keep off the dust; and make sure you use protective sheets in between items that are stacked to prevent them from getting scratched.
hospitalitybusinessme.com
7/23/14 10:32 AM
TREND TALK
I strongly believe in educating customers on the importance of packaging and storage and this should be one of the first steps wholesalers and retailers go through after the sale. As a supplier to the hospitality industry, we feel it is important that our responsibility does not stop the moment products leave our warehouse but encourage customers to contact us if they have any queries on how to maintain the products they have purchased. The advice we offer
hospitalitybusinessme.com
56-57 TREND TALK - DESERT RIVER.indd 57
customers can then be passed onto the employees who will be using the furniture every day, such as the waiters or restaurant managers. Although there are many ways someone in hospitality can ensure they are using sustainable furniture and equipment, as well as understand what needs to be done to maintain its high quality, unfortunately, many of the employees working in the regionâ&#x20AC;&#x2122;s hospitality industry are not adequately trained on the importance of being
57
environmentally friendly and what sustainability really means. It is imperative that companies spend time to educate their employees on how to can become more environmentally friendly and sustainable in the long run. Without education and understanding from those who will be handling the furniture and equipment on a day-today basis, the high quality products purchased with not last, causing the company to have more waste both environmentally and financially.
AUGUST 2014
7/23/14 10:32 AM
58
TREND TALK
Saudi Arabia: A legal snapshot
Basma Khashoggi, legal consultant at DLA Piper and Helen Hangari, senior legal consultant
T
he hospitality sector in the Kingdom of Saudi Arabia has witnessed an unprecedented boom over recent years. Saudi Arabia’s overall economy shows positive growth in GDP right up until 2016, giving confidence to regional and international investors alike. According to the 2012 Economic Impact Report Saudi Arabia published by the World Travel and Tourism Council, the total contribution of the travel and tourism sector to the country’s GDP in 2011 was $43bn, which equals 5.4%, with a forecasted growth of 3.7% in 2012 to $44.6bn. The latest figures released by Business Monitor International (BMI) predict the number of visitors to Saudi Arabia will increase to 15.8 million by 2014; approximately 2.8 million more than in 2010, which in turn has translated into a steady increase in demand within all hospitality related sectors, including the F&B industry. The Saudi Commission For Tourism and Antiquities (SCTA) recently announced Saudi Arabia’s tourism industry is the Kingdom’s second largest sector to provide employment opportunities, with 751,000 people employed in the sector in the year 2012 and predicting that it would eventually become the largest sector to employ the highest number of workers in the country. Accordingly, Saudi Arabia is ramping up its tourism infrastructure in both primary and secondary cities across the kingdom and is trying to increase tourism-related jobs. The kingdom’s tourism industry, which is dominated by
religious tourists and business travelers, has experienced a rise in religious tourists after the visa policy was relaxed. The SCTA reported earlier this year that 20% of tourists who visit Saudi Arabia travel for business purposes and the majority of remaining visitors travel for tourism and religious purposes. Last year, tourist numbers increased 10% to 16.7 million with 32 million Saudis travelling within the country, a rise of 7.5%. As a result, a raft of business opportunities have opened up for landowners/developers and hotel operators. Based on BMI’s Saudi Arabia Tourism Report Q4 2013, the Eastern Province’s occupancy rates increased over the summer months by as much as 80%. The forecast of BMI for 2013 arrivals is pegged at an increase of 7%. A further 38.6% increase is expected from 2013 up to the year 2017.
Establishing corporate entities As regards corporate set-up, currently there is no legal requirement to have a local partner in a company being established in Saudi Arabia for the purposes of operating hotels. Hotel operators are encouraged to set up a permanent establishment in Saudi Arabia and this may be done either through establishing a subsidiary (limited liability company) or by establishing a branch of a foreign company. The process for both will take a number of months and involves obtaining various approvals from government departments. Irrespective of whether a hotel operator has a permanent establishment in Saudi Arabia or not, the land owner will be required to obtain all the necessary licenses and permits to operate the hotel.
The Saudi Commission For Tourism and Antiquities (SCTA) recently announced Saudi Arabia’s tourism industry is the Kingdom’s second largest sector
Influencing factors Whilst an attractive and lucrative market exists, there are key legal considerations that require careful navigation when setting up or expanding in Saudi Arabia including land ownership interests, hotel licenses and permits, employment matters and dispute resolution issues. It is also important to have an awareness of the objectives of SCTA and how they are shaping the hotel and tourism market. Land deeds From a land ownership perspective, local due diligence is critical in this regard, to ensure that legal title is in place for the plot and the relevant permits and approval can be/are obtained for a hotel development. From a hotel operator’s perspective, land may be in the name of an
AUGUST 2014
58-59 TREND TALK - DLA.indd 58
individual who wants to enter into the hotel management agreement using his company. Further thought to structuring the deal is needed in these circumstances to ensure that the contracting entity on the hotel owner’s side has sufficient rights to the land for the duration of the hotel management agreement. Land may also be registered in the name of a deceased person pending the inheritance being reflected in the land ownership. Again, creative structuring is essential in these circumstances.
Employment Following a hotel management agreement being signed and preopening phase commencing, it is essential for the hotel to comply with the Nitiqat program which requires a certain percentage of staff to be Saudi nationals. The precise percentage
hospitalitybusinessme.com
7/23/14 10:32 AM
TREND TALK
depends on the type of business and size of company. It is also important in Saudi Arabia to consider the special requirements relating to women in employment as there are specific laws and regulations that need to be observed in any recruitment drive and contracts of employment. Disputes In the case of any disputes, there are a number of options that can be selected from in terms of resolving them, and these include litigation in front of the local courts in Saudi Arabia, local arbitration, foreign litigation and foreign arbitration. The major concern here should be enforcement of any award
hospitalitybusinessme.com
58-59 TREND TALK - DLA.indd 59
and we recommend the individual circumstances of each deal are considered carefully to choose the best way to resolve disputes. Saudi Commission for Tourism and Antiquities Finally, it is important to be aware of the SCTA, a government department devoted to developing tourism in Saudi Arabia with particular focus on encouraging and supporting domestic tourism through sponsoring and conducting tourism events across the country. Its core objective is to support and emphasise that the tourism sector is one of Saudi Arabiaâ&#x20AC;&#x2122;s most productive sectors bringing opportunities for
59
investment, development of human potential and expansion and creation of new employment opportunities for Saudi nationals. The Commission also encourages diversity across the various functions of tourism (in terms of encouraging religious tourism, business travel and nature tourism attractions) as well a focus on value-add to the economy of Saudi Arabia. Equally, it supports a focus on the creation of employment and the continued investment in the sector.
For more information on hotel operations and ownership in Saudi Arabia please contact Helen.hangari@dlapiper.com or Basma.khashoggi@dlapiper.com.
AUGUST 2014
7/23/14 10:32 AM
60
TREND TALK
Being receptionist of the year In 2011 Burj Al Arab guest services manager Olga Velceva, was named AICR International Receptionist of The Year. Ahead of the 2014 competition she writes exclusively about the experience for Hospitality Business
Olga Velceva Burj Al Arab guest services manager
A
nother year has passed and here we are, approaching the next Dubai Receptionist of the Year Competition – the coveted event where the most talented, interesting and creative Front Office professionals get together to showcase their skills. It has been two years since the International Competition held in Prague, and I still feel the excitement of
my arrival back to Dubai. It felt like the entire city was celebrating my victory. The David Campbell trophy was brought home for the first time. It was not only my personal achievement, it was Dubai hospitality winning over 13 world countries. My journey started with the Receptionist of the Year in Dubai, held by AICR, the ‘Amicale Internationale des Chefs de Reception et Sous Directeurs des Grand Hotels’ or The Association of Front Office Managers and Assistant Managers of 4-star and 5-star hotels. At that point I didn’t even realise how lucky I was to be selected by Burj
It felt like the world shrank to a single moment, when my humble, discreet ambition generated my proudest achievement
AUGUST 2014
60-61 TREND TALK - CLYDE.indd 60
Al Arab to participate. I was about to encounter the best receptionists of Dubai. It was not only my competitive nature that drove me in the competition, but my true passion for the job; my honest belief that every interaction at the reception can be the highlight of someone’s day and that hospitality is a feature of character. We are not just the front desk agents our guests refer to during their stay, we are their allies and their accomplices in making their dream vacation come true. During the competition I discovered skills I didn’t know I had, I learnt to be more confident and to trust my judgement. Nobody knew my guests better than I did and this feeling erased barriers and made me fearless. The first part of the competition was an interview, which gave me the opportunity to meet outstanding hospitality professionals and share my ideas and my interest for the industry. The second part was a role play – a challenge that allowed me to portray my communication skills, decision making abilities and business acumen. Winning the competition was overwhelming and unforgettable. Yet, the most rewarding thought was that being a good receptionist was considered a talent, enhanced by knowledge and passion. What seemed to be the final destination was just the beginning. I was going to represent Dubai in the International Competition in Prague, as part of my prize. The trip – courtesy of DTCM – was the most memorable experience I have ever had as a
hospitalitybusinessme.com
7/23/14 10:33 AM
TREND TALK
receptionist. I met the best front office agents and the managers of 13 leading hotels of the world. On the world stage Despite being so multicultural, we had one major thing in common; we all spoke the language of hospitality. We shared experiences and “behind the scenes” secrets, we discovered similarities and differences. It was great networking – we built relationships that would open many doors for our future careers. Yet, the most exciting part was still to come…. I was awarded the winner of the International Competition.
Joy, confidence, gratefulness, surprise, and nerves... the range of emotions was unlimited. This experience didn’t only offer me the chance to be promoted in Burj Al Arab, it re-defined me as a professional and gave me a new prospective on the art and science of front office. Now it is that time of the year again, to find the best receptionist to represent Dubai in the International Competition. The competition will be held in September and will consist of two preliminary rounds (September 6 and 13) to select six outstanding candidates. They will be exposed to an interview and a role play that will give them the
We are not just the front desk agents our guests refer to during their stay, we are their allies and their accomplices in making their dream vacation come true
60-61 TREND TALK - CLYDE.indd 61
61
opportunity to showcase their skills, personality and charisma in the final round on September 27. The winner will be announced at a beautiful gala dinner event organised by AICR and will earn a substantial monetary prize along with a fully paid trip to the International Competition held in Singapore in January 2015. One of the judges in the Dubai competition will be Tarryn Adams from Raffles hotel, Dubai’s best receptionist of 2013. She captured the judge’s attention with a genuine care for her guests, reassuring smile and bold decisions.
In 2014, AICR is proudly inviting all Dubai’s receptionist to take the chance to be crowned as the city’s best. To learn more about the event and the terms of participation, please visit www.aicrdubai.com or contact the AICR President, Fabian Schmittmann, at president@aicr-
7/23/14 10:33 AM
62
EVENT
Preparing for the festive season Before the summer break was even underway, the UAE Professional Housekeepers Group hosted an event that put the focus clearly on year end, exploring trends, products and services in the sector
I
n the fourth event of its kind this year, the UAE Professional Housekeepers Group hosted an evening of social networking and product presentation on June 24, sponsored by three companies key to the hospitality sector: Dubai Audio, Joy by Rima and Butlers Laundry. Hosted at the Shangri-La Hotel Dubai, over 80 housekeeping managers, assistant housekeeping managers, laundry managers and other
housekeeping and rooms professionals attended the event to gain insight on new products and services tailored specifically to the industry. The event, which stands as a networking platform for UAE housekeeping professionals, facilitated the innovative exchange of best practices while exploring varying agendas, and for the first time the group welcomed three sponsors to showcase their products and services.
The group event.
Mossallem Saadeh and Ahmed Ali Mohamed Abdel
Scott Fenton, sales
Aziz Al Sarkal, chair person,
managers, Joy by Rima,
Butlers Laundry.
with products.
AUGUST 2014
62-64 PHG EVENT.indd 62
hospitalitybusinessme.com
7/23/14 10:34 AM
63
EVENT
Joy by Rima products.
Jorge Damasceno, Head of Operations and Service at Butlers Laundry.
Butlers Laundry facilites.
hospitalitybusinessme.com
62-64 PHG EVENT.indd 63
AUGUST 2014
7/23/14 10:34 AM
64
Tatjana Ahmed, group chair explained: “Usually we only invite two companies to present and occasionally a sponsor also requests to host an exclusive evening for the housekeepers. Due to the nature of their product range, we decided to welcome Joy by Rima as they offer festive decorations, and it’s a great time of year for hotel teams to start thinking and planning for the holidays upcoming this year.” Catering to hospitality Interior design company, Joy by Rima, which offers luxury in holiday installations and design concepts, themed its presentation on the latest trends in festive decoration, mainly for Christmas. Bringing focus to the common mistakes made approaching the holidays, Joy by Rima explained that many companies fail to prepare in time for festivities and should be looking months in advance to ensure expectations are delivered. As supplier of high quality festive designs and pioneers in developing long lasting festive concepts, the company’s designer, Rima Dardenne works on projects mainly in Dubai, Singapore, Los Angeles and Hong Kong. Concluding the presentation, Joy by
Amir Anwar, Director, Dubai Audio.
Rima presented packages of Christmas ornaments to attendees, and surprised guests by giving away a Christmas tree in the prize raffle. Looking into the needs of hospitalityfocused technology at the event, Dubai Audio, the appointed distributor for Geneva (Switzerland) and Tivoli Audio (USA) for the GCC region, took to the stage to present the latest user-friendly, in-room electrical audio appliances. Offering customisable products, the company introduced the audience to products such as the guest bedside music system with alarm clock, a bedroom accessory made to emphasise functionality, design and simplicity. The third sponsor of the evening, Butlers Laundry, which recently re-branded under new owners and management, demonstrated
AUGUST 2014
62-64 PHG EVENT.indd 64
Dubai Audio product.
in its presentation a commitment to delivering services using new equipment. As leading commercial laundry service providers to the hospitality industry, following the company’s rebranding Butlers announced the installation of new equipment at its facility catering to a capacity of more than 100tones of laundry, the introduction of automated solutions such as RFID tagging and rental options.
For further updates about upcoming events, the ‘UAE Professional Housekeepers’ group is now active on Facebook.
hospitalitybusinessme.com
7/23/14 10:34 AM
GM PROFILE
T
65
In Abu Dhabi’s over-supplied market, results can be hard to generate, so general manager Dominique Mercier is positioning Novotel Al Bustan Abu Dhabi as a Gen Y business hotel with destination dining
o put Accor’s current pace of openings into real terms, the French operator is opening one new hotel every other day, including one Ibis every three days. In the Middle East, the network of operating properties counts 65 hotels; a total of 15,500 rooms. Six of these hotels opened in Q1 2014, including Novotel Al Bustan Abu Dhabi, which within a few short years will literally be one of a hundred Accor properties in the region. In what could be termed a plan for world domination, Novotel Al Bustan and its co-located Adagio aparthotel is one of 23 Accor hotels and 6,300 rooms operating today in the UAE. The Adagio element of the complex is the largest of seven Adagio openings regionally and across that same territory there are at least 27 such branded properties still to open. At the 361 room hotel and 279 unit aparthotel, the theme is a combination of no-frills Gen Y and business, utilising the appeal of truly 4-star, 30sqm rooms while combining the benefits of multiple F&B outlets, both for guests and local residents. GM Dominique Mercier says: “We have had six Novotels open in the UAE and it’s about not just opening the hotel but placing that product with mid-scale apartments. It’s a model used across the group, due to a demand we have seen from owners and the direction we have chosen according to our market intelligence. The market dictates the trends.” Novotel Al Bustan Abu Dhabi began the soft launch period in Q1, completed with the opening of the last of six F&B outlets, Choice Cut, in May. The co-
hospitalitybusinessme.com
65-67 GM 2 - NOVOTEL.indd 65
AUGUST 2014
7/23/14 10:35 AM
66
GM PROFILE
located Adagio element is currently in the last phase of soft launch, with a target to have everything fully operational by September. “We are a large, mid-scale hotel and we are in a great location, which will become even better in future,” Mercier says of the USPs that will drive the hotel. The development, which falls under the Samaya International portfolio, has been well received locally, in part due to the demand for diversification of Abu Dhabi’s market mix. Mercier’s ambition looking ahead will be to cement the top spot in the 4-star market, and hold on to it. “The target for us in terms of occupancy is to be number one in our competitor set. “The initial response to the property has been very positive because Abu Dhabi has seen a lot of 5-star hotels and many people are excited to see what a mid-scale business hotel can bring to the market,”
he continues, adding the initial guest satisfaction survey demonstrated positive results across facilities, service and F&B. The hard sell Yet despite the strong start, Mercier is still acutely aware of the local supply demand situation, which has plagued Abu Dhabi in a way other emirates have not experienced. Last year saw a supply increase of 10% totaling a little over 26,000 rooms according to statistics released by Abu Dhabi TCA in February. Yet for the AL Bustan complex, proximity to Sheikh Zayed Mosque, 12 national embassies and ADNEC will be crucial to the hotel’s appeal, and Mercier has plans to minimise the risk even further. The backup plan lies in the approach to F&B. Unlike hotels of the same competitor set elsewhere, Novotel Al
The outlet focus will be combination, rather than theme, for example our steak restaurant, Choice Cut
AUGUST 2014
65-67 GM 2 - NOVOTEL.indd 66
Bustan Abu Dhabi places a significance on F&B that is often unheard of in the 4-star market. It also has the capacity to host large MICE events in the 100,050sqm basement ballroom, complete with its own access. He explains: “Abu Dhabi is a little different to Dubai. Firstly, even if we have a surge in occupancy as we have since 2013, we are still far from the level of Dubai. “Part of the revenue of the hotel comes from F&B, compared with Dubai where rooms are the first driver of the hotel. Here, F&B has to be present and part of the USP for the guests. I think we will be on a 40:60 F&B to room ratio, especially with the ballroom.” Of the positive results seen of late, he continues: “Since mid-2013 Abu Dhabi has seen occupancy growth across all segments. We will see how things go over summer, but I believe Abu Dhabi will continue to grow this way and will also receive benefits from Expo2020. “All the different ongoing events held here from Formula 1 to the concerts, will all contribute.”
hospitalitybusinessme.com
7/23/14 10:35 AM
67
GM PROFILE
Foodie focus As it is said, the way to the heart is through the stomach, and in cementing the hotel’s position in the hearts and minds of Abu Dhabi’s business travellers and residents, Mercier’s secret weapon will be food. While the hotel boasts an extensive pool deck, enormous gym and spa facilities and complimentary Mac access in the lobby for guests, it will be its six F&B outlets and their 40% contribution to overall revenue that will make or break the deal. Again relating to the target audience, Mercier reports the approach will be to focus on combination outlets, rather than themed, in effect doing away with the age old notion of a token Italian restaurant in every hotel. The aim is to create destination outlets for both guests and local residents, rather than too wide a choice for a 3-night business guest to enjoy and too generic a choice to appeal to residents. “Generally we cater to the Gen Y, 25 – 40, because they are starting their careers and their spending power is less than the senior managers. “Secondly, they are much more comfortable in a room like ours. It has WiFi, we have Macs in the lobby for people to use, and the first E-concierge in Abu Dhabi, which is also integrated with a mobile app. “It’s these things which are very much appreciated by that generation.” As a market, Abu Dhabi could still face a slow climb. But with visitor numbers up 18% in 2013 YoY, Abu Dhabi TCA’s 2.5m visitor target has already been smashed. Across an inventory of 150 hotels, and with a diverse range of source markets and new demand drivers coming online, positioning Novotel Al Bustan Abu Dhabi as number in its competitor set, shouldn’t be too difficult a feat.
Stats
641
Keys across Novotel hotel and Adagio apartments
hospitalitybusinessme.com
65-67 GM 2 - NOVOTEL.indd 67
2.8m
Visitors checked into Abu Dhabi hotels in 2013
150
Hotels and apartments in Abu Dhabi in 2013
3.1m
Visitor target set out for 2014
$1.5bn
Abu Dhabi total hotel revenue in 2013
AUGUST 2014
7/23/14 10:35 AM
68
S
â&#x20AC;&#x201C;
t
t
AUGUST 2014
68-70 GM 1 - HABTOOR.indd 68
hospitalitybusinessme.com
7/24/14 12:31 PM
69
GM PROFILE
Change management When Hospitality Business ĆŹUVW PHW Habtoor Grand GM Peter Oâ&#x20AC;&#x2122;Connor DQG KLV QHZ VHQLRU WHDP WKH\ ZHUH DERXW WR HPEDUN RQ D UHQRYDWLRQ VR H[WHQVLYH RQO\ WKH ZDOOV ZRXOG UHPDLQ WKH VDPH 7RGD\ KDOI ZD\ WKURXJK WKH SURMHFW DQG VLWWLQJ DW RFFXSDQF\ DW WKH WLPH RI LQWHUYLHZ WKH IRFXV LV RQ GLYHUVLI\LQJ VRXUFH PDUNHWV DQG LQFUHDVLQJ UDWHV
S
ince its opening eight years ago, the towers of Habtoor Grand Beach Resort and Spa have been an icon on Dubaiâ&#x20AC;&#x2122;s Jumeirah Beach Residence seafront. Yet while its surroundings developed significantly â&#x20AC;&#x201C; the neighbourhood is now home to around two dozen hotels, numerous leisure attractions and will soon be connected to the Dubai Tram â&#x20AC;&#x201C; the hotelâ&#x20AC;&#x2122;s hardware and software remained unchanged. Initiating a huge refurbishment upon his appointment in late 2012, GM Peter Oâ&#x20AC;&#x2122;Connor is today half way through an overhaul which sees everything, from staff accommodation to room rates, undergoing a huge makeover. To date, 338 guest rooms in the propertyâ&#x20AC;&#x2122;s statement towers are complete. Last month saw work begin on the lobby, all day dining and executive lounge and refurbishment of 104 rooms in the resort is ongoing in preparation for an October 2014 re-opening. Simultaneously, work on the pool continues with resurfacing, landscaping and new furniture on order. Upon re-opening, outdoor restaurants will boast everything from new dining concepts to fire-pits and water features. Adding to the juggling act, at the time of interview, occupancy stood at 100%. Yet for Oâ&#x20AC;&#x2122;Connor the greatest challenge hasnâ&#x20AC;&#x2122;t been the project management of the job at hand, but in the communication of changes to returning guests and long serving staff. In response to the augmented quality of the 5-star product postrefurbishment, Oâ&#x20AC;&#x2122;Connor will raise room rates by around 15%, anticipating this
will also change the guest mix and source markets traditionally supplying the hotel. Admitting prices at the hotel have historically left it â&#x20AC;&#x153;underratedâ&#x20AC;? Oâ&#x20AC;&#x2122;Connor says this strategy will bring things â&#x20AC;&#x153;closer to rightfully where we should beâ&#x20AC;?. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s not going to push us out of the ball park, itâ&#x20AC;&#x2122;s more a balancing. There was a fairly substantial gap between the branded international products and there was a gap in the product also. â&#x20AC;&#x153;But the gap in the market will close, the gap in the product will close and there will still be some variation as an independent hotel would have. But I think we will be in a better position; competitively positioned and priced,â&#x20AC;? he continues. The issue of pricing given recent and current dynamics in the Marinaâ&#x20AC;&#x2122;s hyperlocal market, add both sensitivity and urgency to Oâ&#x20AC;&#x2122;Connorâ&#x20AC;&#x2122;s planned 15% increase. In his own words the area has seen a â&#x20AC;&#x153;clash of the titansâ&#x20AC;? style competition of late, particularly in Q1 as perpetuated by the cycle of supply between The Palm, Marina and JBR, and he predicts it is set to repeat. â&#x20AC;&#x153;You had all this new inventory at very reasonable prices and it was just sucking the air out of the room, even the Ukraine crisis had an effect. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s a balancing act, but overall we are very fortunate, for a variety of reasons, to have been able to gain respectable YoY growth and also out-pace our immediate competitor set within the beach hotel market.â&#x20AC;? But one final dynamic could see the balance tipped out of the favour of any 5-star property, regardless its location,
There are more and more industry professionals being brought into the organisation
hospitalitybusinessme.com
68-70 GM 1 - HABTOOR.indd 69
THE RENOVATION AT A GLANCE t Fish Bazaar - Thai seafood restaurant on the terrace remains, with updated surroundings and ĆŠUH SLW t The Underground â&#x20AC;&#x201C; English pub concept to be updated without London Tube theme. Currently in the design phase t Al Dhiyafah â&#x20AC;&#x201C; all day dining, along with lobby pastry cafĂŠ, to be completely revamped t Meeting rooms â&#x20AC;&#x201C; receiving new equipment and furnishings t Pool and beach â&#x20AC;&#x201C; gardens already landscaped, hardscape changes to the pool to come. New childrenâ&#x20AC;&#x2122;s slides to be installed t Closed: Shahjahan, Indian restaurant and Summer Place Chinese restaurant and that is the continued supply of 4-star and 3-star properties to the emirateâ&#x20AC;&#x2122;s market. â&#x20AC;&#x153;Naturally, that will soak up some of the demand at lower rates, which will pull from the higher rated hotels, which could then create a rate war. When traditionally we have seen that in 5-star against 5-star, the next step will see 5-star against 4-star.â&#x20AC;? Drawing on his international experience, he continues to recall that in markets such as Singapore, supply is so meticulously managed such an event would never cause issue. However, he adds: â&#x20AC;&#x153;Here it is relentless. It was interrupted a little by the crisis, so to speak, but now you have everybody just returning to the party and building.â&#x20AC;? Spreading the word External market forces aside, the 15%
AUGUST 2014
7/23/14 10:35 AM
70
rate increase at Habtoor Grand will also reflect the level of investment ploughed into the renovation works, for guests and also staff, who will see their accommodation renovated as part of the “no stone left unturned” approach. The thorough nature of works isn’t only cosmetically necessary but part of overcoming the greatest resulting challenge of the entire project; communicating and managing change. The extent of change reaches as far as the recruitment process, salary scales and diversity of the workforce; elements which in part are due to O’Connor’s management technique. Crucially for him, the changes are managed with what he describes as an “in house marketing campaign”, rooted strongly in how the idea of change, development and improvement are communicated to staff. “When people get used to a product at a certain level you develop a reputation and everything becomes habit for everyone. To press the refresh button you have to do a very good job with communication,” he says.
EXECUTIVE TEAM Peter O’Connor was appointed GM of Habtoor Grand Beach Resort and Spa at the end of 2012, after recomendation from his pre-opening colleague at Movenpick JBR, Nicolas Villemin, who himself was recently appointed to the position of director of business development. Villlemin and O’Connor were then joined by
GM PROFILE
While internally that task includes everything from staff training to the semantics used in communication with them, externally the leisure nature of the product means the marketing focus will be firmly on TAs, OTAs and the independent hotel’s own online reservations. Next month, the hotel will welcome 1,000 travel agents for a fam trip that will include inspections and introductions to new F&B concepts, a re-vamped pool and recently unveiled guest rooms. Online, O’Connor reports that OTA contributions towards bookings have grown in the region of 8% over recent years, a near double from the initial 10% they started at; a growth that is healthy, but places a somewhat urgent need on a presence across social media and social booking and review engines. “It’s not a case of placing an advert and the drive is over, it has to be continuous and we have to get people in to experience the hotel. What the hotel used to be, what it is today and what it
Massimo Bernardi, F&B director, who was also on the Movenpick JBR preopening team. Executive chef Paul Hage was recruited from within the group and recreation manager Ivica Ancic’s history lies in professional tennis. Together, they have been tasked with the revamp, repositioning DQG HVVHQWLDO Ř DOWKRXJK XQRƫFLDO Ř re-launch of Habtoor Grand.
AUGUST 2014
68-70 GM 1 - HABTOOR.indd 70
is well on its way to being in future, are different. Very different.” The right direction In addition to the ongoing refurbishment of Habtoor Grand, the wider Habtoor Group is also juggling the recent opening of Waldorf Astoria The Palm and the advanced-stage construction of Habtoor City, the three property Dubai development to be managed by Starwood Hotels. While the traditional construction arm of the group is now HLG following an almost 75% sale which sees interests retained through shares, the focus moving forwards is on hospitality and, armed with him insider knowledge, O’Conner says it is entirely plausible the group will be more of an international player with up to a 15 hotel portfolio in the not too distant future. “This is major change from pouring concrete and there are more and more industry professionals being brought into the organisation, changing from a family run business to an international corporation with holdings in different countries,” he reports, disclosing the possibility of two more Metropolitan hotels, which are “being discussed at the moment”. “It’s not 100% but they look strong. Waldorf Astoria changed the game and made everybody take a look at all the other assets.” While in his near-two years on property O’Connor has focused on tapping the untapped potential that brought him to the resort, the future will see a new, truly 5-star independent player making waves across Jumeirah Beach and Dubai Marina, buoyed by a loyal clientele, drawn both from Europe and the UK, as well as locally. “I have seen what we can capitalise on with the right methodology and in that process reposition the hotel and change the market mix in a way that better suits the property, the location and the investment. “By doing that across the board, the uplift of the hardware and software, with a lot of retraining initiatives, and along with a revision of policies and procedures, it’s a completely new place, apart from the shell.”
hospitalitybusinessme.com
7/23/14 10:35 AM
Struggling with hospitality tech challenges? Security Systems in the Cloud Next Generation TV
Mobile Applications
Fiber Optics in Hotels
Hear from the experts! Now in its third year in the Middle East, HTNG’s conference features high-quality expert speakers from industryleading organizations. That’s why the event draws the most senior attendees from both the hotel IT and vendor communities. Attendees praise this event for focused learning, networking and collaboration that are unlike any other in the region! Register today to hear from the experts on how to approach your hotel technology challenges.
HTNG 2014 MIDDLE EAST CONFERENCE 23-25 SEPTEMBER | DUBAI, UAE
SM
7R ÀQG RXW PRUH RU UHJLVWHU KWWS KWQJ RUJ PLGGOHHDVW
204-07-22 Hosp Biz Ad-1330.indd 1
7/22/2014 3:07:39 PM
72
HoD PROFILE
The brand ambassador Dimple Mirpuri, guest experience manager at Pullman Dubai Deira City Centre hotel, speaks about hospitality training in Dubai, diversity and the importance of guest feedback
W
hatâ&#x20AC;&#x2122;s the most enjoyable part of your current role? Training, not only is it enjoyable, itâ&#x20AC;&#x2122;s very motivating to teach and impart knowledge to team members. Sharing this experience helps them develop into better workers and consequently better versions of themselves. Whatâ&#x20AC;&#x2122;s the greatest challenge you face day to day in your role? As part of my duties is to â&#x20AC;&#x2DC;policeâ&#x20AC;&#x2122; all brand guidelines, to ensure they are adhered to and followed. Finding the QHFGS A@K@MBD NE GNV SN ONHMS NTS ĆŚ@VR constructively to each department and
further apply it for development is the greatest challenge in my day to day role. What are the unique obstacles you face working in your current role at this property? Being quite new in the city and in the region, I find it unique that I have to learn again how to deal with people. Dubai is a melting pot of different nationalities, and with that comes different cultures and mind-sets. My job requires a great deal of immersing myself in various departments, so I have to be able to understand not only of human nature but also where each person comes from.
/RRNLQJ DW WKH UROH RI '260 GLUHFWRU RI +5 JXHVW H[SHULHQFH PDQDJHU 'R5 LQ the wider industry: How can this role be developed further to enhance a hotelâ&#x20AC;&#x2122;s bottom line? Having more direct contacts with guests and to be able to get direct feedback from guest during their stay, instead of replying to them through their comments after their experience. Being able to do this would help to increase repeat stays in the property.
Name: Dimple Mirpuri Job title: Guest Experience Manager Time on property: six months Time in industry: 12 years Career to date: 2001: &URVV WUDLQLQJ ZLWK GLƨHUHQW hospitality departments including: F&B service, public relations, kitchen, housekeeping supervisor, JXHVW UHODWLRQV DQG IURQW RĆŤFH to learn a full rounded familiarity with all entities of the business. 2003: )URQW RĆŤFH DJHQW DW *UDQ Hotel Guadalpin Marbella. 2004: )URQW 2ĆŤFH 6XSHUYLVRU DQG then became the Assistant Front 2ĆŤFH 0DQDJHU LQ -DQXDU\ DW Gran Hotel Guadalpin Banus. &RUSRUDWH 6DOHV 0DQDJHU Ĺ&#x2DC; Groups and Events at the Guadalpin Hotels, managing Gran Hotel *XDGDOSLQ 0DUEHOOD 6SD *UDQ +RWHO Guadalpin BanĂşs, and Gran Hotel Guadalpin Byblos for two years. 2007: Reservations Manager for Individuals and Groups in Marbella, 6SDLQ ZLWK +RWHOHV HV 2008: Career Development and Internship Placements role at Les Roches Marbella International 6FKRRO RI +RWHO 0DQDJHPHQW 2013: Pullman Dubai Deira City Centre hotel as the guest experience manager.
AUGUST 2014
72 HoD.indd 72
hospitalitybusinessme.com
7/31/14 9:37 AM
IT INFRASTRUCTURE Â&#x2DC; 7+.&+0) #0#)'/'06 ;56'/ Â&#x2DC; 11/ #0#)'/'06 ;56'/ Â&#x2DC; Â&#x2DC; .'%6410+% 114 1%-5 j 0 +0' n (( +0')
Â&#x2DC; +)+6#. +)0#)' 5 Â&#x2DC; '.'8+5+10 Â&#x2DC; *10' Â&#x2DC; 748'+..#0%'5 Â&#x2DC; 9+6%*+0) n 176+0)
Â&#x2DC; j 16'. #0#)'/'06 1(69#4'k Â&#x2DC; #.. %%1706+0) 1(69#4' Â&#x2DC; j 1+06 1( #.') Â&#x2DC; j 11& n '8'4#)' #0#)'/'06) Â&#x2DC; %%1706+0) 1(69#4' Â&#x2DC; 1(69#4' Â&#x2DC; +:'& 55'6 1(69#4' Â&#x2DC; 0)+0''4+0) n 7#.+6; #0#)'/'06 Â&#x2DC;
M: +971 50 326 6823 F:+971 4 457 7051 Support : +971 4 457 6585 E mail : info@f1infotech.net l www.f1infotech.net Untitled-4 1
31/07/2014 09:17
Untitled-4 1
31/07/2014 09:17
Website:www.shuraemirates.com
Tel: +971-04-4516363
Shura trading & Hotel Supplies is a Company established since more than 30 years back in Abu Dhabi. It was established to cater the ever growing Hospitality, HORECA & Retail business channel In UAE & GCC. Shura Trading & Hotel Supplies is a member of Al Mazroui group of Cos. based in Abu Dhabi. The Chairman of Al Mazroui group is Mr. Rashid Al Mazroui and his brother Mr. Saeed M Al Mazroui as partner of the organization.
Shuraâ&#x20AC;&#x2122;s Corporate Structure