GLOBAL HOTEL INDEX: Asia Pacific 66.7%/ $123.59 - Americas +63.2%/ $112.40 - Europe +66.1%/ $133.12 - MEA +61.6%/ $164.21 (Global Hotel Index, July 2013)
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Why is the Gulf last to get on board the cruising revolution?
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On why MĂśvenpick is placing so many eggs in the same basket
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A $650bn global industry is inching its way towards the region. But is the GCC ready?
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Sheraton MOE GM, John Paul Kavanagh on redefining Starwood’s top performer
In pursuit of
SUCCESS David Thompson, COO of Jebel Ali Hotels and Resorts, talks about Dutco’s expansion mandate, sustainable hospitality and why he’s been giving away diamonds and gold
In association with...
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CONTENTS
16
20
26
22 40
16
20
26
30
35
40
MOVENPICK’S GERARD HOTELIER TALKS ABOUT THE SWISS FIRM’S FIXATION ON M.E. GROWTH FOLLOWING THE ALLOCATION OF 10% OF GLOBAL STOCK TO DUBAI
HOMEGROWN AND LEISURE FOCUSSED, WITH AN EYE ON THE ENVIRONMENT. JEBEL ALI HOTELS AND RESORTS COO DAVID THOMPSON EXPLAINS WHY THE TIME IS NOW
SHERATON MALL OF THE EMIRATES IS TO BECOME THE TESTING GROUND FOR A $6BN GLOBAL REVITALISATION OF THE BRAND. GM JOHN PAUL KAVANAGH REVEALS THE PLANS
IN SOME LOCATIONS FLY AND SAIL AND SAIL AND STAY CRUISE PASSENGERS DRIVE HOTEL OCCUPANCY. WHY IS THE CASE NOT THE SAME IN THE MENA REGION?
GLOBALLY, THE MICE MARKET IS WORTH $650BN. THE MIDDLE EAST IS SLOWLY GAINING PROMINENCE, BUT IS ENOUGH BEING DONE TO CAPTURE THE MARKET
THE ESSENTIAL ROUNDUP OF THE HOTEL SHOW’S THREE DAY EXHIB ITION AND CONFERENCE, INCLUDING DTCM’S LANDMARK FINANCIAL INCENTIVE FOR DUBAI
VP SPOTLIGHT
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COVER STORY
GM PROFILE
RIDING THE WAVE
SPECIAL FEATURE
OCTOBER 2013
FINAL CURTAIN
REGULARS 02 EDITOR’S COMMENT 04 NEWS 10 DATA 56 SUPPLIES & SERVICES 58 APPOINTMENT NEWS 59 JOBS 62 TENDERS 64 INDUSTRY COMMENT
HOSPITALITY BUSINESS MIDDLE EAST / 1
COMMENT / EDITOR’S LETTER
PUBLISHER DOMINIC DE SOUSA GROUP COO NADEEM HOOD EDITORIAL DAVE REEDER PUBLISHING DIRECTOR, HOSPITALITY dave.reeder@cpimediagroup.com M: +971 55 105 3773
#HBME14 W
hat a month. Dubai World Central is rumoured to be forcing the temporary closure of Dubai International, AHIC Nairobi continued uninterrupted despite the tragic events at Westgate Mall, DTCM announced a waive of the 10% municipality fee levied on investment in 3-star and 4-star hotels built in the Emirate until December 31, 2017…. And The Hotel Show has been and gone. Quite how October will shape up is anybody’s guess. But with less than six weeks until the next World Travel Market in London, October is already old news. As we step into Q4, it’s all eyes on 2014 and the trend predictions are already coming thick and fast. Some of it we know. Mobile bookings will inch further into the multi-billion dollar market bracket, millions more tourists will descend on emerging destinations across the region and, locally, there is little doubt we can expect a lot of 3-star and 4-star hotels to enter the market. But here are a few key things we don’t know, both positive and otherwise.
MELANIE MINGAS SENIOR GROUP EDITOR, HOSPITALITY melanie.mingas@cpimediagroup.com M: +971 56 758 7834
Despite popularity in almost every other market – and the glaring advantages of off shore operations – the region’s cruise itineraries will actually shrink this year when Royal Caribbean repositions Serenade of The Seas. In better news – and there seems to be quite a bit on the horizon – the GCC will secure an ever larger share of the $650bn global MICE market; Dubai will become a testing ground for many of the major international chain’s expansions and new products; and a lot of Emiratis will receive training in hospitality management, following Dubai Government’s funding of scholarships for young nationals at Glion’s Swiss campus. This month we’re starting a social media survey to find out your top trend predictions, with the highlights printed in the first edition of 2014. Using the Hashtag #HBME14 (in light of the recent Jimmy Fallon sketch, the #hashtag idea did cross my mind) we want you to share your thoughts on Twitter and LinkedIn on any of the above or your own original observations. Looking forward to hearing from you.... MELANIE MINGAS SENIOR GROUP EDITOR
REPORTERS GARY WRIGHT KAREN OSMAN JAYA JAVA WEB DEVELOPER LOUIE ALMA ADVERTISING VASS MAFILAS DIRECTOR OF SALES vass,mafilas@cpimediagroup.com M: +971 55 887 0720 CHRIS HAILL SENIOR SALES MANAGER chris.haill@cpimediagroup.com +971 52 886 1059 DESIGN & PRODUCTION CHRIS HOWLETT SENIOR GRAPHIC DESIGNER chris.howlett@cpimediagroup.com Graphic Designer: Gillian Smith PHOTOGRAPY ANAS CHERUR PRODUCTION MANAGER V.A. DEVAPRAKASH DISTRIBUTION & MARKETING DISTRIBUTION MANAGER ROCHELLE ALMEIDA SUBSCRIPTIONS www.cpievents.net/mag/magazine.php PRINTED BY Printwell Printing Press LLC, Dubai, UAE PUBLISHED BY
Head Office, PO Box 13700, Dubai, UAE Tel: +971 4 440 9100 Fax: +971 4 447 2409 Grosvenor Business Tower, Tecom, Office 804, Dubai, UAE A publication licensed by IMPZ © Copyright 2013 CPI. All rights reserved. While the publishers have made every effort to ensure the accuracy of all information in this magazine, they will not be held responsible for any errors therein.
2 / HOSPITALITY BUSINESS MIDDLE EAST
OCTOBER 2013
NEWS WATCH
2%
OF VICEROY THE PALM WILL BE RETAINED BY THE DEVEVLOPMER.
MENA Hilton’s first regional Conrad opens in Dubai NEWS Hilton Hotels last month celebrated the debut of its Conrad brand in the Middle East with the opening of the 555 room Conrad Dubai on September 18. The debut follows that of Hilton’s other luxury brand, Waldorf Astoria, which opened in August. Conrad Dubai, located on the arterial Sheikh Zayed Road has a 5500sqm “urban pool oasis”, thermal lounge spa, 4400sqm of meeting and events space, a Latin supper-club and Marco Pierre White Grill. Hilton Worldwide’s John T.A. Vanderslice, global head of luxury and lifestyle brands, who called the hotel a “stunning addition” to the global luxury portfolio, said: “The hotel exemplifies the true
Conrad Dubai GM Mario Ferraro with the executive team. personality of the Conrad brand as a smart luxury retreat with a premium range of amenities, sumptuously chic rooms and an intuitive understanding of world class guest service.” The service promise is backed by
the implementation of the Conrad Concierge app, which allows guests to customise their stay prior to arrival via smartphone or tablet, at any of Conrad’s 22 worldwide properties.
China State Construction Engineering Corporation has been appointed property contractor.
AED2.4bn in Viceroy Dubai sales 4 / HOSPITALITY BUSINESS MIDDLE EAST
OCTOBER 2013
SKAI Holdings has sold 470 hotel rooms and 219 apartments and residential villas at Viceroy The Palm, for a total of AED2.4bn, since May 2013. The figures represent 98% of the total site stock according the real estate firm and the developer is reported to be retaining the remaining 2%, which cover public areas and F&B facilities. The news marks a strong start to
Viceroy’s Dubai debut, which CEO Bill Walshe told Hospitality Business would not be the last opening in the Emirate, pending further suitable locations. Buyers of the hotel rooms will now lease the units back to the hotel for a 40% revenue cut. Based on current market conditions, SKAI claims investors’ annual rate of return is estimated at 12%.
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NEWS WATCH
AED500m
INVESTED 2013 TO DATE BY R HOTELS IN ITS EXPANSION DRIVE
Hakkasan resort for Palm Jumeirah
F&B group Hakkasan is to open its first resort on The Palm Jumeirah, with construction beginning next year. The beachfront resort will be developed on The Crescent, but the exact location has not been announced. “This is a significant time for the Hakkasan brand as we embark on our first venture into the hotel industry. We are excited at the opportunity to create such a luxurious resort in one of the world’s most important business and leisure destinations. As we move forward with our plans for expansion, this project serves as a strategic step towards developing our brand across the globe,” said Neil Moffitt, CEO of Hakkasan Ltd. and HKK Hospitality, contracted to project conceptualisation. The Crescent, Palm Jumeirah is filling fast with the recent openings of Jumeirah Zabeel Saray, Rixos and Sofitel.
Emirates SKyCargo Terminal progressing It has been reported that the construction of Emirates SkyCargo’s new terminal at DWC’s Al Maktoum International Airport (AMIA) is progressing as scheduled. Phase one is due for completion in December 2013, says Dubai World Central (DWC), and that will be followed by the installation of the cargo handling system and working on the interior by April next year and full completion by mid-September.
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R Hotel’s MD Sumair Tariq says AED500m was committed in 2013.
R Hotels in AED1.5bn acquisition and portfolio boost R Hotels, holding company for Dubai and Ajman’s Ramada portfolio, is to invest AED 1.5bn towards acquisition and development with an intended portfolio increase of six properties by 2015 end, including the possibility of The Palm’s first dry hotel. The company has already committed AED500 million in 2013 and this drive will see three properties added to the UAE portfolio. MD Sumair Tariq said: “R Hotels has kept a consistent growth strategy since its inception. Our focus has been on trophy assets and building a strong team. We are on track in terms of our acquisition and development and will be opening our second property this year in JBR, the Walk. We plan to invest AED1.5 billion towards our acquisitions and development over the next three to four years. “We believe this growth pattern will continue and we will double our portfolio of assets over the next two years. We have created a niche market being a dry hotel, focusing on the product and guest services and building strong operations.”
OCTOBER 2013
HOSPITALITY BUSINESS MIDDLE EAST / 5
NEWS WATCH
65 MENA NEWS
THE NUMBER OF CROWNE PLAZA HOTELS ACROSS AMEAA
NEWS IN BRIEF 10,000 ROOM 5-STAR REFURB ON THE CARDS Built asset consultancy EC Harris has calculated that 10,000 5-star hotel rooms currently requrie refurbishment. The figure is one EC Harris concludes could adversely affect the current stock and supply of the region, specifically as Dubai’s 5-star stock currently stands at 23,500 rooms and off season periods are becoming shorter. Christopher Seymour, head of property UAE at EC Harris said: “Some of the hotel assets in Dubai are now over 15 years old… We will see some operators forced to undertake refit and refresh of their older hotel assets in order to remain competitive.”
IHG DUBAI MARINA SET FOR 2016 IHG and TAJ RP International Limited, will open Crowne Plaza Dubai Marina in 2016. Located adjacent to Dubai Marina Mall the 280 room hotel is to specifically target the business market with its MICE and wellness facilities and will open in 2016. Referring to the marina as “a fantastic urban location”, MEAI COO, Pascal Gauvin, commented: “We are delighted to partner with TAJ RP International Limited on this exciting new development and to continue to grow the Crowne Plaza brand in Dubai, and the wider United Arab Emirates.” The signing also reinforces TAJ RP’s move into hospitality markets. There are 65 Crowne Plaza hotels across Asia, Middle East and Africa with an additional 19 in the development pipeline and the first Crowne Plaza resort will open in RAK in 2015.
Professional chefs hit big screen Giving the region’s own Gordons and Hestons the professional boost of an appearance on X Factor, Abu Dhabi based Twofour Arabia is producing a TV programme that will follow professional chefs vying for a job at a top local restaurant. Designed to showcase the UAE’s diverse culinary offerings, and the people behind them, two chefs will compete in each of the 13 episodes, undertaking challenging dishes until the successful finalists are
Digital breakthrough for Starwood As the world woos over the new iPhone, hoteliers and IT developers at Starwood are promoting their new iPad app, an addition to the company’s current suite of digital products. Combining photography and social feeds, the app is designed to be used “with one eye and one thumb” and features links to book, explore, browse visual content and utilise SPG’s SPG Life. commented Starwood’s VP of
6 / HOSPITALITY BUSINESS MIDDLE EAST
OCTOBER 2013
appointed to top kitchens. Arabic speaking chefs are still be auditioned for the series, which begins filming this month. “This is an amazing opportunity for any chef keen to make their mark in the UAE. It will be a tough process but they’ll have the chance to show off their skills and receive really meaningful feedback from some of the region’s most prominent Executive Chefs.” says Reem Nouss, EP at Twofour Arabia.
global digital, Clay Cowan: “We created our iPad App with a deeper, more leisurely experience in mind. We’re literally inviting people to ‘lean back’ and get lost in our destinations and hotels through fantastic photography showcasing great design.” The figures from Starwood quote that 40% of travel searches occur on mobile devices, up from 25% in 2012. Starwood’s mobile bookings are growing at an annual rate of 1000% –five times greater than the annual growth rate of the web 10 years ago.
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NEWS WATCH
China’s Top 10
GLOBAL NEWS
The TripAdvisor list of top 10 most popular outbound destinations for mainland Chinese travellers, based on unique visitors recorded in July and August 2013 on Chinese site, daodao.com, comparing YoY growth for July and August (%)
Holiday Inn Express Bangkok Sathorn The signing of Holiday Inn Express Bangkok Sathorn has taken place, marking the start of a project that will be the first of the Holiday Inn Express brand to be owned by TCC Hotels Group, that also owns InterContinental and Crowne Plaza hotels under IHG’s brand portfolio. Located in Bangkok’s central business district, the 184 room hotel will be the first of two in the city, when Sukhumvit 11 opens in 2014.
TCC Hotels Group currently owns five IHG properties across the region, including InterContinental Singapore, InterContinental Adelaide in Australia, ANA Crowne Plaza Kobe in Japan, and the Crowne Plaza Kunming City Centre and Holiday Inn Kunming City Centre in China. This latest addition, Holiday Inn Express Bangkok Sathorn, marks the group’s first Holiday Inn Express.
t t t t t t t t t t
Taiwan (350%) Bangkok, Thailand (270%) Paris, France (360%) Bali, Indonesia (310%) New York, United States (280%) Jeju Island, South Korea (570%) Boracay, Philippines (360%) Kyoto, Japan (580%) Kota Kinabalu, Malaysia (550%) Hanoi, Vietnam (510%)
Rosewood blooming Following a recent re-brand, Rosewood Hotels and Resorts has revealed its global expansion plans. The brand is expected to double the current portfolio within five years. t t t t t t t t
Rosewood London - October 2013 Rosewood Beijing - early 2014 Rosewood Dubai - 2015 Rosewood at Baha Mar - 2015 Rosewood Phuket - 2015 Rosewood Chongqing - 2015 Rosewood Tanah Lot Bali - 2017 Rosewood Jakarta - 2017
Ritz-Carlton launches Chinese website Ritz-Carlton launched its Chinese website on September 18 supported by its first mandarin-language social network site, hosted on Sina-Weibo, with a mobile site to follow by year end. The launches will support RitzCarlton’s plan to double inventory in China to 16 properties within three years. Ritz-Carlton credits Sina-Weibo as being the leading micro-blogging website and one of the most popular
8 / HOSPITALITY BUSINESS MIDDLE EAST
OCTOBER 2013
sites in China. Over 30% of Internet users subscribe to the social media channel, which was launched in August 2009, and currently has more than 500 million registered users posting 100 million messages each day, giving RC a significant foot on a very tall ladder. “To thrive in China, a brand needs to go beyond the data and immerse itself in the culture to develop relevant marketing in-market.
“That is what The Ritz-Carlton has done and so far our efforts have struck a powerful chord. The research process in China not only helped us to understand the needs of a Chinese consumer in the digital space, but also the way in which they have come to know Ritz-Carlton,” said Ed French, chief sales and marketing officer, who revealed that not everything aimed at a Chinese market requires red branding.
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DATA WATCH
Global performance Global hotel performance analytics from STR Global, August 2013 AUGUST 2013 VS AUGUST 2012
KEY FIGURES
ASIA PACIFIC REVPAR
67.3 ASIA PACIFIC
OCC% 2013
ADR 2012
2013
PERCENTAGE CHANGE FROM AUGUST 2012 2012
OCC
ADR
REVPAR 82.61 85.91
67.3
67.7
122.69
127.16
-0.3
-3.5
-3.8
64.0 AMERICAS
2013
2012
AMERICAS REVPAR
OCC%
67.2
2013
ADR 2012
2013
PERCENTAGE CHANGE FROM AUGUST 2012 2012
OCC
ADR
REVPAR 72.03 68.30
EUROPE
64.0
63.0
112.62
108.46
1.6
3.8
5.5
2013
2012
60.9 MEA
EUROPE REVPAR
OCC%
ADR
PERCENTAGE CHANGE FROM AUGUST 2012
2013
2012
2013
2012
OCC
ADR
REVPAR
67.2
65.6
133.70
133.04
2.4
0.5
2.9
89.80 87.27 2013
2012
MIDDLE EAST / AFRICA REVPAR
OCC% 2013
ADR 2012
2013
PERCENTAGE CHANGE FROM AUGUST 2012 2012
OCC
ADR
REVPAR 99.10 93.96
60.9
59.4
10 / HOSPITALITY BUSINESS MIDDLE EAST
162.74
OCTOBER 2013
158.17
2.5
2.9
5.5
2013
2012
cpimediagroup.com
DATA WATCH
YTD August 2013 RevPAR
YTD July 2013 % Change
$120.00
6.0
$100.00
4.0
$80.00
2.0
$60.00
0.0
$40.00
-2.0
O OCC O ADR O REVPAR
ASIA PACIFIC AMERICAS
$20.00
EUROPE
MENA
-4.0
$0.00
ASIA PACIFIC
AMERICAS
EUROPE
-6.0
MENA
In focus: Middle East and Africa
T
he Middle East/Africa region reported mixed performance results during August 2013 when reported in U.S. dollars, according to data compiled by STR Global. The region reported a 3.7% increase in occupancy to 56.1%, a 0.8% decrease in average daily rate to $154.99 and a 2.9% increase in revenue per available room to $86.97. “The shift of Ramadan from July last year to August this year continued to affect the region’s performance, specifically in the Middle East�, said Elizabeth Winkle, managing director of STR Global.
“Most of the Middle East markets saw double-digit occupancy growth during the month of August�. Highlights among the region’s key markets for August 2013 include (year-over-year comparisons, all currency in U.S. dollars): t "NNBO +PSEBO SFQPSUFE UIF largest occupancy increase, rising 41.0% to 60.9$. Doha, Qatar, followed with a 35.6% increase to 54.2%. t $BJSP &HZQU GFMM JO occupancy to 20.6%, posting the largest decrease in that metric. t %VCBJ 6OJUFE "SBC &NJSBUFT SPTF
8.6% in ADR to $199.09, reporting the largest increase in that metric. t $BQF 5PXO 4PVUI "GSJDB UP $92.51) and Sandton, South Africa, BOE UIF TVSSPVOEJOH BSFBT UP $105.91), ended the month with the largest ADR decreases. t 'PVS NBSLFUT BDIJFWFE 3FW1"3 increases of more than 30%: "NNBO UP %PIB UP %VCBJ UP BOE .BOBNB #BISBJO to $88.42). t $BJSP GFMM JO 3FW1"3 UP $20.69, posting the largest decrease in that metric.
PERFORMANCES OF KEY COUNTRIES IN AUGUST 2013* (ALL MONETARY UNITS IN LOCAL CURRENCY): Country
Occupancy
% change
ADR
% change
RevPAR
% change
Egypt
37.5%
-30.9%
EGP457.96
+12.4%
EGP171.55
-22.3%
Saudi Arabia
47.9%
-15.5%
SAR1,011.21
-23.3%
SAR484.57
-35.2%
South Africa
60.2%
+5.3%
ZAR901.78
+9.6%
ZAR542.99
+15.5%
United Arab Emirates
67.9%
+19.7%
AED635.83
+8.6%
AED431.57
+30.1%
*percentages are increases/decreases for August 2013 versus August 2012
cpimediagroup.com
OCTOBER 2013
HOSPITALITY BUSINESS MIDDLE EAST / 11
DATA WATCH
Accommodating sport It’s one thing to be awarded host status for a major sporting event, but what is the impact on the hospitality industry? With high hopes for the Qatar World Cup and fingers remaining crossed for Expo 2020, STR analyses events in the market during recent Olympic Games
S
TR Global has been monitoring hotel performance for the Olympic host cities since Atlanta hosted the Olympic Games in 1996. The forthcoming 2016 summer Olympics in Rio de Janeiro will be the sixth games STR Global has followed. For the most recent Olympic Games in London, STR Global reported daily hotel performance for 423 properties equating to more than 73,000 rooms. The trend in occupancy and average daily rate (ADR) during the Olympic Games displayed very different patterns of performance compared with pre-and postOlympic years. The year 2011 was strong for London, having recovered from the financial crisis in 2010. Looking at the Olympic year (2012), occupancy was above 85% on most days. Highest occupancy achieved during
this period was 94.4% on the day Team Great Britain won six gold medals, dubbed as “Super Saturday”. This was the day after the new, 80,000-seat Olympic stadium opened for the start of the games. The average occupancy over that same period in 2013 was 83.0%, lower than pre-Olympic and Olympic years, due to Ramadan and increased supply; year-to-date August 2013 supply grew by 4.5% compared to
a historical average of 1.0%. In 2012, London achieved $182.31 during the Olympic period and reported record levels of ADR throughout the rest of the year compared to its previous 2007 peaks. During the games, daily ADR stayed above $319.68, achieving an average ADR of $337.85. Such high levels have not previously been recorded by London hotels for as long as STR Global has been reporting daily data. However, the ADR growth was lower than past host cities, such as Beijing and Athens, when ADR grew more than 200% for both. In Tokyo, YTD July2013 performance for 107 properties totalling 33,739 saw occupancy and ADR increasing by 4.3% and 7.5%, respectively year over year. According to our recent forecast report in Tokyo, supply compound annual growth rate (CAGR) for 2013 to 2015 is up 2.0%, while demand CAGR is up 1.8%.
LONDON DAILY ADR (DAY TO DAY COMPARISON) DURING THE OLYMPIC PERIOD 2012
LONDON DAILY OCCUPANCY (DAY TO DAY) DURING THE OLYMPIC PERIOD 2012
£240
100%
£220
95%
£200
90%
£180
85%
£160
80%
£140 £120
75%
£100
70%
£80
Fri Sat Sun Mon Tues Wed Thu Fri Sat Sun Mon Tues Wed Thu Fri Sat Sun
Pre-Olympic Year 2011
65% Fri Sat Sun Mon Tues Wed Thu Fri Sat Sun Mon Tues Wed Thu Fri Sat Sun
Olympic Year 2012
Post-Olympic Year 2013
Source: STR Global
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OCTOBER 2013
HOSPITALITY BUSINESS MIDDLE EAST / 13
DATA WATCH
Global pipeline stats: August 2013 248 CENTRAL/SOUTH AMERICA TOTAL HOTEL PIPELINE
1,829
Data from STR Global shows the active global hotel pipeline, as of August 2013, with a close up on Dubai MEA PIPELINE AUGUST 2013
ASIA PACIFIC PIPELINE AUGUST 2013
Q UAE Q Saudi Arabia Q Qatar Q Morocco Q Egypt
Q Shanghai Q Manila Q Jakarta Q Tokyo Q Beijing Q Bali
United Arab Emirates reported the largest number of rooms in the total active pipeline, with 32,107 rooms. Four other countries reported more than 5,000 rooms in the total active pipeline: Saudi Arabia (30,642 rooms); Qatar (8,167 rooms); Egypt (5,945); and Morocco (5,162 rooms).
Shanghai, China, reported the most rooms in the total active pipeline, with 10,907 rooms. Five other markets reported more than 5,000 rooms in the total active pipeline: Manila, Philippines (8,767 rooms); Jakarta, Indonesia (8,167 rooms); Bali, Indonesia (7,244 rooms); Tokyo, Japan (7,172 rooms); and Beijing, China (5,351 rooms).
ASIA PACIFIC TOTAL HOTEL PIPELINE
10,907
SHANGHAI, CHINA, PIPELINE IN ROOMS
32,107 ROOMS IN THE ACTIVE PIPELINE, UAE
CENTRAL/ SOUTH AMERICA PIPELINE, AUGUST 2013 Chain Scale
Existing Supply (as of August 31, 2013)
In Construction
Total Active Pipeline*
Luxury
13,219
1,407
2,511
Upper Upscale
31,694
4,004
5,504
Upscale
53,077
4,311
8,750
Upper Midscale
29,110
3,493
9,657
Midscale
21,600
2,737
7,575
Economy
3,622
760
3,052
Unaffiliated
234,350
1,062
3,214
Total
386,672
17,774
40,263
*Includes those projects in the In Construction, Final Planning and Planning phases.
14 / HOSPITALITY BUSINESS MIDDLE EAST
OCTOBER 2013
cpimediagroup.com
DATA WATCH
US HOTEL DEVELOPMENT AUGUST 2013
CARIBBEAN/ MEXICO PIPELINE
The total active U.S. hotel development pipeline represents an 8.2% increase in the number of rooms in the total active pipeline compared with August 2012 and a 19.2% increase in rooms under construction.
The Caribbean/Mexico hotel development pipeline comprises 129 hotels totaling 22,240 rooms. Year-to-date 2013, 13 hotels with 1,784 rooms have opened in the region. During the remainder of 2013, 21 hotels with 4,080 rooms are expected to open. The Luxury segment is projected to open the most rooms for the remainder of the year, with 1,770 rooms in four hotels, followed by the Upscale segment with eight hotels and 1,355 rooms. During 2014, 52 hotels with 8,891 rooms are planned to open in the region. The majority of rooms is expected to open in the Unaffiliated segment (3,158 rooms in 12 hotels). Three other segments are expected to open more than 1,000 rooms next year: the Luxury segment (eight hotels with 1,869 rooms); the Upper Midscale segment (14 hotels with 1,697 rooms); and the Upscale segment (nine hotels with 1,057 rooms).
% change
Total Pipeline (rooms) August 2013
Total Pipeline (rooms)
% change
4,660
+88.7%
39,424
34,779
+13.4%
4,157
3,783
+9.9%
36,322
25,621
+41.8%
West North Central
4,624
3,749
+23.3%
17,435
15,744
+10.7%
West South Central
13,155
10,344
+27.2%
52,639
50,873
+3.5%
East North Central
6,732
6,974
-3.5%
26,861
25,893
+3.7%
East South Central
5,929
5,289
+12.1%
19,693
19,248
+2.3%
Middle Atlantic
17,864
15,879
+12.5%
55,584
54,503
+2.0%
New England
894
1,006
-11.1%
11,576
9,331
+24.1%
South Atlantic
16,589
14,552
+14.0%
70,133
68,833
+1.9%
Region
Rooms In Construction August 2013
Rooms In Construction August 2012
Pacific
8,795
Mountain
Source: STR
In Focus: Dubai cpimediagroup.com
Based on STR Global daily data from August, preliminary data for Dubai includes: t *ODSFBTFT JO TVQQMZ BOE EFNBOE BU 5.81% and 30.4% respectively t " KVNQ JO PDDVQBODZ UP 72.6% total t " JODSFBTF JO "%3 PG UP AED753.16 t " SJTF PG JO SFWFOVF QFS available room to AED546.61 “STR Global’s latest forecast reports
OCTOBER 2013
anticipate an 11% RevPAR growth for year-end 2013 after strong years in 2011 and 2012�, said Naureen Ahmed, manager, marketing and analysis at STR Global. “Dubai has seen occupancy rates above 80 percent for the first five months of the year and demand will continue to outpace the growth of supply, solidifying its place as a desirable destination,� Ahmed added.
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VP SPOTLIGHT
LEADING BY DEMAND
Earlier this year, Mรถvenpick announced plans to add 10 properties to its MEA portfolio by 2015, placing 10% of its global inventory in Dubai alone and moving the emphasis away from the traditional investment model. Gerard Hotelier, VP of operations, explains why
16 / HOSPITALITY BUSINESS MIDDLE EAST
OCTOBER 2013
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VP SPOTLIGHT
W
hen it comes to meeting demand, it’s fair to say the needs and preferences of a guest rank fairly highly. Yet the expansion plan Mövenpick embarked upon earlier this year turns that entire model on its head, instead listening not to the consumer perspective, but the property developers. With this directive providing key structure to Mövenpick’s expansion plan, the Swiss chain is now pursuing a drive that could be seen as akin to putting many eggs in very few baskets, but VP of operations, Gerard Hotelier, begs to differ. “Everything is growing here and everybody is visiting, but most importantly, our concentration of hotels, unlike the larger international chains, is much higher. Therefore, on average we run at over 90% in our existing properties,” he reasons. Within 18 months, 10% of Mövenpick’s global portfolio will be in Dubai alone; a heady gamble considering the bulk of Dubia’s growth and vision is pegged to an event that three other cities are currently competing to host. The majority of new properties will stray from the traditional 5-star hotel model, to capture the extended stay market, both in the UAE and Saudi Arabia. “Developers like the multipurpose model of investment. The developer doesn’t look at a hotel or a hotel apartment, they look at a potential complex that can add offices and retail. This is definitely the way things are going,” reveals Hotelier, drawing reference to the recently opened apartment complexes in JLT, Dubai and Bur Dubai as an example of the markets where this offering is expected to be best received. There are no plans to take the extended stay model to Jordan, he adds. The growth strategy is officially known among Mövenpick management as Vision 2015, and it lays down plans for 100 hotels in four key areas – Europe, Middle East, Asia
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PORTFOLIO SUMMARY UNDER CONTRUCTION OR DEVELOPMENT
AFRICA
3 PROPERTIES 771 ROOMS MIDDLE EAST
2 PROPERTIES 742 ROOMS ASIA
20 PROPERTIES 5185 ROOMS TOTAL
25 PROPERTIES 6698 ROOMS
UNDER CONSTRUCTION/ DEVELOPMENT PHASE PROPERTIES 2014 LOCATION Marrakesh Sanya, Phoenix Island, China Koh Samui, Thailand Pattaya, Bangkok Chiang Mai Colombo, Sri Lanka Riyadh
ROOMS 380 380 89 264 268 219 433
OPENING DATE 2014 Q2, 2014 Q4, 2014 Q2, 2014 Q4, 2014 Q4, 2014 Q1, 2014
HOTEL TYPE City Resort Resort Resort and residences City City City
2015 LOCATION Djerba, Tunisia Bangladesh Bangladesh Chifeng, Mongollia Dharamshala Jimbaran, Bali
ROOMS 255 280 275 323 99 270
OPENING DATE 2015 2015 2015 2015, Q4 2015 2015, Q4
HOTEL TYPE Resort Resort Hotel City Resort Resort
Movenpick Resort, Phuket. and Africa. Of the properties to open in Dubai, Hotelier says that serviced apartments will feature in the mix. Recently The Square, a Bur Dubaibased apartment property that opened in Q1, has run at 100% occupancy, seeing “fantastic financial results from day one”. “We entered the Middle East 10 years ago. To date we have 27 properties and are growing fast, to the point where now we believe the Middle East will surpass our European operations. “We have seen a continuous growth for the last four to five years, with revenue increasing year on year. The
OCTOBER 2013
two destinations driving this are Saudi Arabia and Dubai. Other areas are suffering, but are highly compensated by the strength of these markets and our presence in them. “We now aim to have 100 hotels globally by 2015 and 10 hotels and apartments in Dubai.”
ON THE CARDS While it’s all eyes on Dubai and Saudi Arabia at the moment, Hotelier strongly believes presence in capital cities is the key to brand strength and, as a result a “mental note” has been made of both Abu Dhabi and Amman, Jordan.
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VP SPOTLIGHT
A 433 room property will open Q1 2014 in Riyadh and will be followed by other, as yet unspecified, projects. Existing owners in Jeddah have approached Mövenpick regarding properties in the under-development airport area and it’s a personal ambition of Hotelier for Mövenpick to develop the first Saudi GM in its Talent and Development Centre, to operate one of these properties. In Africa, where three properties already operate, Libya, Algeria, Nigeria and Sudan are on the cards, but only Tunisia has an opening date (Q1 2014). Also on Hotelier’s radar is China. Unperturbed by declining GDP and the recent announcement that no government business is to take place in 5-star hotels, Mövenpick has opened the first international 5-star hotel in the city of Enshi, central China; the “first of several” properties. “The potential [in Asia] is tremendous and shortly it will be just as strong as the Middle East.” The only place to be left untouched will be North America, with Hotelier explaining the decision as one based purely on feasibility. “We are asked about North America quite often and it’s nice to be there but unless you have 700 hotels you’re not going to make a difference. That’s not us.” Asked to define what “us” is, he explains the Mövenpick approach to operating hotels simply as “Swiss”. That is measured, controlled and “human sized”. “We do it right, we don’t want to expose ourselves, we don’t want to bite off more than we can chew. We have a clear plan, a clear policy, we are a human size company and we talk closely with our owners because of that. “You will never hear Mövenpick being described as a luxury brand. We are positioned as a quality international company of Swiss origin,” he adds.
The developer doesn’t look at a hotel or a hotel apartment, they look at a potential complex that can add offices and retail
the late Ueli Prager, who was quoted as saying: “We aren’t doing anything extraordinary. We are simply successful because we are doing quite normal things in an extraordinary manner.” Prager was largely credited with revolutionising the European restaurant industry with this philosophy, based on high quality food, affordable prices and fast service with no set menus. Two decades later Prager’s innovative nature led to the opening of an airport hotel in Zurich, a location many then deemed as unnecessary for a hotel. He later went on to pioneer the concept of management contracts and even for a time ran Mövenpick cruises on the Nile. This year marking its 40th birthday, Mövenpick continues to add the “extraordinary manner” to its operations, not just through
the location and mix of properties managed, but also through a commitment to sustainability; all of Movenpick’s hotels are Green Globe certified and currently undergoing re-certification. Of the future, Hotelier says there will be three key trends to watch: sustainability, online bookings and healthy menus. “The industry has changed a lot. The young generation now want to know that what they eat is healthy, they want to be responsible consumers, they can book a room through a third party OTA on a mobile device while being stood in your lobby and the surge in social media is so significant it will create a new job role. “But how I can ensure I will bring in more guests, that is the name of the game. Owners are looking for us to bring in the top line revenue and standards. Everything else follows. Controlling costs is the easy part.”
GEOGRAPHICAL DISTRIBUTION
ASIA (INCL. INDIA):
8
PROPERTIES
EUROPE:
22
PROPERTIES
AFRICA:
23
CHANGE PHILOSOPHY It’s an ethos Hotelier no doubt inherited from Movenpick founder,
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Movenpick Heritage Hotel, Sentosa.
PROPERTIES
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MIDDLE EAST:
26
PROPERTIES
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COVER STORY
In pursuit 20 / HOSPITALITY BUSINESS MIDDLE EAST
OCTOBER 2013
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COVER STORY
This month Jebel Ali Hotels and Resorts will take its first step beyond Dubai, with the opening of a paradise getaway in the Seychelles that will be followed by further Indian Ocean signings and a golf resort in Scotland. As the Dubai-based operator eyes a 10 property portfolio by 2015 end, COO David Thompson talks expansions, sustainable hotels and Dubai Heritage Vision
of
SUCCESS W
hile David Thompson describes himself as “a Scot with an outrageous English accent”, many of his fellow hoteliers could easily describe him as “the COO with an outrageous approach to marketing”. Since entering the company in 2001, Thompson’s list of achievements include re-naming the native Dubai hospitality brand to Jebel Ali
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International Hotels and growing the portfolio to match that name, despite a subsequent rechristening to Jebel Ali Hotels and Resorts last year. During his tenure as director of sales and marketing he launched Bateaux Dubai, sister-vessel Divaz, Al Sahra Desert Resort, the Centre of Excellence, and Oasis Beach Tower. Since his appointment to COO in 2012 the company has been handed
OCTOBER 2013
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COVER STORY
a mandate from owners Dutco to operate 10 facilities by 2015 end, and reach out beyond Dubai with a Seychelles property - at the time of print due to open this month - and a golf resort in Scotland, which came about due to “high level connections within the company”. Approaching the task at hand – both its successes and inevitable frustrations – Thompson’s approach to what he does is honest to say the least. Unafraid to admit the impact of summer visitor numbers on occupancy and courageous in his recollection of the pros and cons of Ocean View’s opening marketing campaigns, his candid approach to the industry is not only refreshing but highly educational. JA isn’t the only native UAE brand to have such local prominence, or growth ambitions. Jumeirah, Rotana and Habtoor are all significantly ramping up operations and Thompson sees JA as an equally important player on the field. “There is no question. We have a mandate from Dutco that they want to see this business develop and we will double in size in the coming years. Will it continue to be at the pace of these other groups? No definitely not, it’s going to be a lot more organic,” he begins adding that last year’s name change was part of this development. “The aim is to get to a point of critical mass where we are a viable option in terms of management contracts. At the moment, with the limited number we have and the level of growth we have had, it’s a big ask, but it will happen.”
The aim is to get to a point of critical mass where we are a viable option in terms of management contracts. We can’t compete with Atlantis or Jumeirah, we just can’t, but we do still have to when it comes to taking a share of the market.
WHAT THE NEIGHBOURS SAY The first rung on this particular ladder was the opening of Ocean View Hotel in Q4 2012, located at Dubai’s premiere beachfront community, Jumeirah Beach Residence. The neighbourhood provides a microcosmic view of hotel operations across the wider Emirate and Ocean View’s opening demonstrated the seismic shift currently underway in Dubai’s development beyond the 5-star flash.
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OCTOBER 2013
The strip – less than 2km long – boasts a Ritz-Carlton, Mövenpick, Ramada Plaza, Hilton, Sofitel, Rotana and Sheraton, all commanding premium rates. Then the new kid arrived in town, leveraging its star rating to slash room rates and drawing in 78,000 guests in its first quarter. Despite striking a 91% occupancy average YTD, Thompson launched an incentive campaign for GCC-based tour operators that saw iPads, diamonds and gold given away in return for booking room nights over a set period. The success made Ocean View Dubai’s first 4-star to break the 90% mark. “What we do well is distribute and we are proud of the fact that we compete on a sales and marketing budget that is a fraction of other hotels,” he explains, with specific reference to this promotion and the working relationships with TAs. “With Booking.com for example all our properties are on the first page, which is really quite phenomenal, and that’s because we deliver financially for those portals. We can’t compete with Atlantis or Jumeirah, we just can’t, but we do still have to when it comes to taking a share of the market.” Despite being “thrilled” at the success of Ocean View’s launch, Thompson now candidly admits that it’s not an approach he would repeat. “We did take it a little too far when we opened! We had a very powerful offer for half board, but then we added to that and we probably didn’t need to add to it. It was good how it was. And that raised a few eyebrows,” he begins. “Everyone was doing well and we opened at 100%, which was great and unusual, and yes we probably overdid it, but it also showed a massive disparity. It gave TAs the chance to say to the other hotels ‘look what is on offer here, why are you so expensive?’ And that is never our aim. We want to drive the highest possible rate we can. So I did eat a bit of humble pie on that one,” the confession continues, before concluding: “Killer deals do impact on
the rest of the market.” The property is a competitive offering, regardless of the rates driven or insanely fierce levels of hyper-local competition. Not only JBR’s lone 4-star offering, other USPs include six F&B outlets – including a quality Brazilian restaurant – and 338 rooms with the choice between beach or marina views. At the time, a statement from JA quoted Thompson as saying many of the facilities were in fact 5-star standard, but the combination with a casual 4-star classification was “clearly a huge draw”. Referring to how the new property fits into the future strategy and 2012’s rebrand, he tells Hospitality Business: “Last year we rebranded to Jebel Ali Hotels and Resorts to develop the company. Operating this hotel was a very good investment and we are taking to our investments in our stride.”
A TIME LIKE THE PRESENT The aggressive approach is one thing, but for a chain that is native to one of the world’s strongest hospitality markets, that also marks its 30th birthday next year, it does seem a little like closing the stable door after the horse has bolted. Across its 25 operations, Dutco Group of Companies spans construction, trading and manufacturing, oil and gas and hospitality. Founded in 1947 – bearing in mind the UAE wasn’t even a country until 1971 – its growth and resulting expansion has been solid. Investing in its different verticals as global and local markets demonstrate undeniable strength, Thompson reports the time has now come to develop the hospitality arm. Explaining the decision as “just economics”, Thompson elaborates: “In essence there are 25 different companies all beating a path to the same door, saying ‘please invest in us’, and they all have great plans. The growth from 2007 onwards has really convinced them that [hospitality] is
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COVER STORY
an industry that has potential to give reasonable returns on their investment and they are now focusing more attention than they were in the past.” Another huge element of these economics is value. While there is no doubt Dutco could afford to invest in more than one vertical simultaneously, contributing factors to the delay have included everything from visitor numbers, demand drivers and land prices. It’s far from a case of waiting for opportunities, Thompson says, more waiting for opportunities that are of value while also presenting value. “Back in 2006 we went and looked at some locations in Ras Al Khaimah and Fujairah but we felt the value price on the land was over and above what it should have been. Going forward however, why not.”
CREATING A NEW MARKET
Pool side at Ocean View, which as seen phenomenal occupancy rates. Ocean View suite pictured below.
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OCTOBER 2013
It’s not just hospitality JA can leverage. The majority of hotels rely on F&B stock to drive non-guest revenues, but the diversification in this instance is in leisure; a rare market term in the UAE where the amalgamation of sporting activities and pastimes has yet to be ratified as an industry in itself, per se. It’s an angle that DTCM is championing to underpin the widening of tourism offerings and last month saw the inauguration of the first dedicated trade show, but it’s an avenue that JA has seen value in for some time. Jebel Ali Golf Resort and Spa offers sailing, water skiing, wakeboarding, wake skiing, kitesurfing, paddle boarding (with or without simultaneous yoga) and the Middle East’s only Zapcat. On land golfing is complemented by a shooting range. Within the troubled Dubai Land site, JA owns a 14 million sqm plot, Dubai Heritage Vision, which already hosts an operating amphitheatre and stables and offers activities ranging from sunset camel walks to riding. Of course, there is more to come. “We are at the moment developing a master plan for that [site] and
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COVER STORY
assuming it all goes ahead, we will probably start work mid-2014,” Thompson reveals, smiling as he predicts it will revolutionise both Dubai Land as a destination, and the local leisure market. While he cautions that the mixeduse site is “fully subject to approval”, the plan does include residential, hotel and leisure elements. “Looking between now and 2020 leisure and tourism go hand in hand and Dubai is only going to continue to grow in popularity.” Affinity with the great outdoors doesn’t end there. Another mainstay of the JA reputation is a commitment to all things sustainable. Jebel Ali Golf Resort and Spa is the golden child of DTCM’s Green Tourism vision. Winning a Dubai Green Tourism Award in 2011, it was showcased during DTCM’s three day industry seminar, hosted at the property earlier in 2013. While Thompson is a card holding Greenpeace member – despite not being “entirely in agreement” with everything the organisation does or says – he reassures the ethic is company-wide, as well as being a personal mission. Refusing to censor his honesty on this issue either, he says: “We have to accept where we live and for that reason our ability to claim to be eco anything is fairly stretched. “But what we try to do is implement best practices, be as green and conscious of our role in society as we can, and act responsibility.” Despite the humility, it’s clear to anybody those best practices go far beyond the usual towel washing and “CSR initiatives” other chains are so keen to triumph. Certified Green Globe and proud owner of two Blue Flag beaches, the resort has its own bio garden, inclusive of an Aquaponics system that uses waste water from an adjoined fish tank to fertilise organic plants for human consumption. Even the funding for this is sustainable. Utilising dirty kitchen oil for conversion to diesel,
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We are at the moment developing a master plan for that [site] and assuming it all goes ahead, we will probably start work mid2014
Hatta Fort as seen from the approach and below, a deluxe chalet room.
the money generated is used to cover the cost of tools, seeds and an onsite gardener. Marine Enrichment Activities regularly take place to enhance sustainable fisheries and support the Marine Turtle Conservation Project; the hotel financially supports orphaned and destitute children in Sierra Leone; standard energy and water audits have reduced consumption across the board. The list continues and as Thompson summarises, it’s “the whole nine yards.” Those nine yards are repeated at Oasis Beach Tower and Hatta Fort, as each property allows, where for example menus exclude anything endangered or unethically produced. “If you see veal on our menu, you know it’s hand reared,” he exemplifies. “We are quite proud of our stance around that.”
PARADISE BOUND Outside Dubai the focus is currently on the new Seychelles property. Referring to the seemingly endless delays the opening has faced, Thompson doesn’t hide from the fact red tape and regulation have prevented
OCTOBER 2013
the villa resort from meeting a number of projected deadlines. Signed in 2007, at the time of interview even the October 1 2013 deadline was a finger crossing situation. Currently “sitting there with a full team”, the secluded paradise resort capitalises on the same leisure and nature-centric USPs across ten villas, each with private beach and pool access. “Final stage negotiations” continue for two further such resorts in the Maldives and talks are ongoing in Sri Lanka and Thailand, where a JV has already been formed. “High level connections” look set to pave the path to a Scottish golf resort shortly. “Because we are predominantly a leisure and resort company, this is relevant to us, but without this property our focus would be exclusively on the Indian Ocean right now.” Thompson is adamant the success won’t change anything about how JA operates in its native markets and concludes that it will, if anything, strengthen the company’s ethic. “It’s the whole idea of heartfelt hospitality and casual luxury. It’s not just something we are saying, but it’s us as individuals.”
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GM PROFILE
The recently re-flagged Sheraton Mall of The Emirates is not only Starwood’s first mall property, but will become the testing ground for a $6bn revitalisation of the brand globally. GM John Paul Kavanagh explains
I
n February this year guests at the 481 room Pullman Mall of The Emirates went to sleep in one hotel and woke up in another, as a new era was ushered in at one of Dubai’s most prominently located properties. It was one of the most extreme and time sensitive makeovers the regional industry has ever seen, but it wasn’t isolated. The changes – which were far from cosmetic – are part of a $6bn global strategy that will see Starwood’s most popular brand revitalised and
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expanded; with an eye on opening the 500th property by 2015. The growth will be recordbreaking for Sheraton, a name which currently flags 400 properties in 70 countries. Already this year, a string of refurbishments have been announced, along with the brand’s debut in Turkey, re-entry to Kurdistan and the opening of the 1496 room Sheraton Makkah. The newly flagged Mall of The Emirates property will play a pivotal role in the strategy, becoming
OCTOBER 2013
Being connected to Mall of The Emirates is like being connected to Knightsbridge under a roof
a ‘brand icon’ from where new initiatives and guest experiences will be introduced to the market. For recently appointed GM John Paul Kavanagh, the task isn’t nearly as daunting as one would imagine, having successfully taken Edinburgh’s Sheraton Grand Hotel and Spa through the same process prior to arriving in Dubai. Now tasked with “Sheratonising” this property, the Irish-born hotelier comments: “What we are doing is applying our own model to a new
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GM PROFILE
Sheraton GM John Paul Kavanagh.
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property and I am here to run this hotel as a Starwood, transitioning from its former Pullman branding. “In effect I am ‘Sheratonising’ this property, which is a cultural task as much as it is cosmetic.” The cultural task at hand stems from Sheraton’s commitment to keep in employment the hotel’s entire staff, retraining former Pullman associates to work within the Starwood and Sheraton philosophy and award winning SPG programme; significantly
more challenging than changing the coasters, as Kavanagh points out, especially considering the added complication of transition from a 4-star to 5-star rating. While the bulk of this work was carried out before Kavanagh’s appointment in June, training is ongoing. “I’m competitive and I’m quite impatient but I understand culture isn’t built overnight, although the customer tells us we’re doing a fantastic job,” he says.
OCTOBER 2013
Despite the hotel and its adjoining mall being a mere eight years of age, and Pullman parent company Accor only running the property since 2010, building owners Majid Al Futtaim (MAF) Properties announced the “consensual decision to end management contracts” in December 2012. The decision was officially referred to as a “proactive approach to asset management” by MAF CEO Peter Walichnowski, who was quoted as saying at the time: “We have decided to retain the successful Pullman brand for our Deira City Centre Hotel and introduce an American operator to The Pullman Hotel to diversify our portfolio.” Yet far from being an accessory in MAF’s asset management strategies, Starwood used its new positioning to create a ‘brand icon’ that would become a flagship property for the revitalisation of the Sheraton brand as part of a $6bn investment plan between Starwood and its owners.
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GM PROFILE
SHERATON SIGNATURES SWEET SLEEPER BED SHINE SPA AMENITIES FITNESS COLOR YOUR PLATE THE LINK SHERATON SOCIAL HOUR SHERATON CLUB
Sheraton Dubai Mall of The Emirates is clearly visible from the Emirate’s busiest road.
KNIGHTSBRIDGE UNDER A ROOF Marking his 13th year with the company, this is Kavanagh’s fourth Starwood property as GM and he has already been busy applying previously successful business models from his Sheraton and Westin experience to the new role, as well as maximising on the location of Starwood’s first mall hotel. “It has been interesting, especially to explain to friends and family back home that being connected to Mall of The Emirates is like being connected to Knightsbridge under a roof. It’s difficult to explain the scale in any other way.” Despite this property being used as a flagship for future innovation of the brand, it still has its own unique touches that won’t necessarily be replicated in other Sheraton properties. For example, in establishing a synergy between the SPG guest profile and consumer brands, Kavanagh’s team has established a partnership with Harvey Nichols – a first for the Middle East outlet – based on a similar model that yielded success in Edinburgh, that is designed to ‘extend
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the experience of the stay’. In addition, this month the hotel is hospitality partner for Harpers World of Fashion, creating unique leisure experiences for the fashion-savvy guest. “We have tried to define what the heart of Dubai is in order to be connected to it, and you can debate whether it is a physical place or an intangible activity, but we see it as being the shopping and leisure attractions here,” he explains of both the actual and market positioning of the property and how to maximise on its key USP – not just the proximity to the mall, but everything inside it. “We really understand what our SPG guests want and need and no matter where they are staying, as along as they are with Starwood we know who they are and what their preferences are. Where there is a crossover between the SPG guests and the guest profile of consumer brands we can increase our reach and the offering to our clients,” he adds.
TRY AND TEST While the initial focus was on a seamless transition for the guest, the
OCTOBER 2013
We define our customer then design products that suit them because the customer isn’t always necessarily looking for what you give them
attention moving forward will be on testing the water for the new touches and enhanced guest services that will come to (re)define Sheraton moving forward. Kavanagh reports the property is already one of the highest ranking in the company for performance and guest expectation – which he explains is gauged more than satisfaction – while adding that occupancy exceeds budgeted projections. Key elements of the roll-out are the Sheraton Club concept (where Kavanagh is photographed) that is to be rolled out globally, the Sheraton Sweet Sleeper Bed, and a focus on tempting guests out of their rooms with ‘social hours’ – where the emphasis is less on price and more on knowing your beverage – as well as events and fitness (see box). The marketing of none-guest revenue streams will focus on Shine Spa – which at Mall of The Emirates has unwittingly become one of the top retailers of Rodial grooming products – and Friday brunch, already established as a family favourite. The pool area will be re-worked in order to transition between day and night-time venue within 15 minutes, modelled on the W Hotel in Barcelona. Next year, the lobby will be enhanced with a Link @ Sheraton Café, a tried and tested touch from other properties. “The building cannot be changed so it’s about tailoring things to our audience, nothing else will work. We define our customer then design products that suit them because the customer isn’t always necessarily looking for what you give them,” Kavanagh adds.
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SPECIAL FEATURE
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OCTOBER 2013
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SPECIAL FEATURE
RIDING THE WAVE
The UK’s Port of Dover welcomes 12 million cruise passengers annually, providing a significant boost to the tourism and hospitality industries. With the growing popularity of cruising in the Middle East and the soft launch of Mina Zayed Abu Dhabi this month, in addition to multimillion dollar port developments across the region, could the same success be replicated here? Melanie Mingas finds out
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S
urrounded by water, ports and internationally recognised attractions, on paper the GCC should be one of cruising’s sure fire success stories. However, to date its highest profile foray into the industry has been the provision of a retirement berth for the world famous QE2. If the region’s tourism bodies are to have their way, that could all be about to change, with cruising becoming almost as popular as any other type of holiday, over the coming years. In Dubai, cruising will play a significant role LINERS TO DOCK ANNUALLY IN DUBAI BY 2015 in the diversification of tourism offerings with annual projections for up to 500,000 cruise passengers to arrive, on board 120 liners, by 2015; largely due to expansions at Port Rashid that are due to be completed next year. Dubai’s Cruise Terminal was named the world’s leading cruise port for the fifth year running at the World Travel Awards 2011, and has seen five-fold growth since launching its new facility in early 2010. In 2011, the city hosted 396,554 cruise tourists, a number which increased to 407,825 in 2012 with 105 ship calls. Yet, putting that in context the Port of Dover receives an PASSENGERS PASS THROUGH PORT OF DOVER, UK, average of 12m passengers EACH YEAR annually. For the budget break sector – a market the GCC often forgets it needs to attract – cruising will do little to promote the region as a wallet-friendly holiday option. Data sourced globally by Cruise Market Watch reveals almost 40% of US cruise tourists have an annual income of more than $100,000. On the other hand, for the luxury traveller, wealthy citizen or well-todo expatriate, cruising should be an attractive proposition. So why has the market been so slow to take off? Kristina Lauderdale is managing partner of CruiseOne, a locally owned franchise of the American travel giant of the same name that has dominated
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OCTOBER 2013
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SPECIAL FEATURE
cruise bookings in the US for 20 years. The launch of CruiseOne in the Gulf marks the first foray into serious cruise bookings locally. She explains: “Cruising as an industry wasn’t recognised here until recently. Since we started operating this franchise we have seen a dramatic increase in bookings, but these are for the expatriate looking for cruises to and around other regions as much as it is for Gulf and GCC itineraries. So that local industry awareness is still lacking, even though there are some itineraries.”
CRUISE ROADSHOW The issue of market awareness is recognised but only tackled on an industry level, rather than the end-ofchain consumer level. A year ago, DTCM and DP World co-hosted the Seatrade Middle East Cruise Summit at Al Bustan Rotana Hotel, bringing together tourism authorities from UAE, Kuwait, Oman and Saudi Arabia, and senior executives from the major cruise lines including Costa Crociere, Silversea, Royal Caribbean, Celebrity Cruises and TUI Cruises. Among the topics discussed were terminal and port development; border controls, security and immigration; marketing of the GCC as a cruise region and the formation of a cruise ports association. Comments Chris Hayman, chairman of SeaTrade: “International cruise lines are looking for new destinations away from the traditional Caribbean and Mediterranean itineraries, and with its location between Asia and Europe, the Arabian Gulf is ideally positioned to capitalise on this requirement for the new and the exotic.” Marking the industry’s development since, this year’s Seatrade, scheduled to be held in Abu Dhabi December 9 – 11, will be attended by Azamara Club Cruises, Crystal Cruises Inc, Cunard UK, Holland America Line, Princess Cruises, Royal Caribbean International, Silversea Cruises, TUI Cruises GmbH and The World.
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AROUND THE GULF DUBAI – already home to an award winning terminal, Port Rashid can handle six liners simultaneously. ABU DHABI – the conversion of former container port Mina Zayed into a cruise terminal, with the first phase of development unveiled this month, is ongoing. QATAR – investments to the tune of $5.5bn will soon see a cruise terminal in Doha capable of handling up to three ships. JORDAN – Marsa Zayed in Aqaba, a $10bn marina community and the largest real estate project in the country’s history, will provide, among other projects, more than 300 yacht berths in a luxury marina and a cruise ship terminal. This is due to be completed by 2017. OMAN – works is underway to transform Mina Qaboos into a dedicated cruise port as part of the government’s Vision 2020 plan, coming off the back of a record 72% increase in passengers during the 2010/11 winter season against 2009/10 figures.
OCTOBER 2013
Royal Caribbean Serenade of The Seas.
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SPECIAL FEATURE
72%
and passengers. The new “The calibre of hospitality partners, up INCREASE IN OMANI PASSENGER space will house a temporary terminal participating cruise lines to 3000 passengers can NUMBERS for the 2013/4 season beginning this year, demonstrates disembark from a single this month, and space for further the industry’s growth, but ship, or arrive in the region expansion in the future; although this for cruising to move forward in before embarkation for a short will be pursued as market demand the region, some key areas have to stay. dictates. be addressed,” adds Chris Hayman. A total of 62 calls from 12 ships are “This Forum is to discuss these issues CRUISE AND STAY expected at Mina Zayed next season, and make decisions to enable a new It is the fly/cruise and cruise and and while Al Dhaheri acknowledges chapter in Middle East cruising to stay models that will be particularly a decline in seasonal circular cruises begin.” relevant to meeting demand in Abu of the Arabian Gulf, he reports an Dhabi, as Mina Zayed develops to increasing number of specialist, become a key driver for visitors ALL ABOARD? Gulf-centric ships and lines, including to neighbouring Saadiyat Island The word from the industry isn’t MSC Lirica, AIDA Diva and and the rest of the Emirate, quite so positive though. This year, Costa Fortuna. In March following its refurbishment for the first time in four years, Royal 2014, Cunard’s Queen into a cruise port after Caribbean will not be offering a Gulf Elizabeth will make her container operations itinerary, instead repositioning its maiden voyage to Abu moved to nearby mega ships to Europe and the Caribbean. Dhabi during a 110 development, Khalifa Representing three brands globally, TO BE INVESTED IN QATARI TERMINAL FOR THREE SHIPS night world cruise. All in Port at Kizad. Royal Caribbean currently operates all, passenger capacity is Durai adds: “The hotels 34 ships, including the world’s largest, expected to reach 125,000. are happy with the extra and sees strong growth for outbound Other maiden arrivals for the guest numbers and I’m sure in future cruise tourism from the GCC, and 2013/2014 season include Hapagcruising will also help to drive tourists outbound cruise passengers touring Lloyd’s recently launched Europa to Abu Dhabi attraction such as Yas the GCC, albeit to a lesser extent. 2, Mv Voyager, Mv Hamburg, P&O Island and Saadiyat Island.” However the overall demand for Gulf Cruise’s Adonia, and the Pacific The refurbishment and expansion cruising lags. Princess. works will create a permanent Explains Middle East executive While it is reported that the terminal building and a traditionally director, Lakshmi Durai: “The majority of passengers arriving to themed souk and heritage area, for markets here have been good but Abu Dhabi are day visitors only, both passengers and the general people here hardly know what the relevant authorities are actively public, with the development cruising is all about, so we deployed a drawing them in for longer, while timeframe estimated to span between ship in Dubai in 2010 to create more also encouraging cruise liners to 24 and 36 months, led by Abu Dhabi awareness in the market.” consider Abu Dhabi as a home Ports Company. An additional port Between the 2010 and 2012 seasons port destination. Both will provide of call is being developed at Al the company operated Brilliance opportunity for the hotel industry, Gharbia western region. of The Seas on its Gulf routes akin to that in Dubai. “We have identified the and Serenade of The Seas For now, the growth of the sector cruise sector as a tourism in 2013, but there will be will depend on the marketing of segment with great no itinerary for 2014. cruise holidays, the allure of the growth opportunities “The trend we see is DEVELOPMENT UNDERWAY FOR region to cruise passengers and most and benefits, and in that Gulf passengers have HARBOUR AND SHIP TERMINAL crucially for some, the introduction of consultation with our increased demand locally, IN JORDAN the long-delayed GCC single visa. strategic partners we are but overall they still prefer While the cancellation of itineraries investigating the feasibility of the fly and cruise model. They won’t spur this, the introduction a permanent cruise terminal facility will travel to Europe or the Caribbean of Gulf-centric options will, and at Mina Zayed,” Sultan Al Dhaheri, to cruise on a really big ship, rather Abu Dhabi’s commitment to the than cruise around the Gulf. However, director of tourism ecosystems at Abu there isn’t the same volume of demand Dhabi TCA, tells Hospitality Business. sector in general could soon be coming the other way.” Abu Dhabi Ports Company (ADPC) bringing millions more visitors to the Emirates and surrounding ports, The demand that does flow in the has allocated the south-eastern end while providing residents with a truly other direction is a welcome addition of the port basin, closest to Sheikh refreshing alternative to the current to local hoteliers, Durai reports. Khalifa Bridge, as an area to be short stay options. While Royal Caribbean has its own developed specifically for cruise liners
$5.5bn
12bn
$
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SPECIAL FEATURE / DEVELOPING MICE
60th
DUBAI’S RANKING IN THE BUSIEST MEETING DESTINATION IN THE WORLD LIST, BY ICCA
BUSINESS MEANS BUSINESS The global MICE market is currently valued at $650bn and the GCC is understandably looking for its share. But are airlines and big conference rooms enough to capture the market?
10,000
DELEGATES ATTENDED THE WORLD OPHTHALMOLOGY CONGRESS IN ABU DHABI THIS YEAR
S
and Convention Association (ICCA). ince the launch of the MICE ME The sector’s success was referred Congress in 2005, the meeting, to by the deputy director general of incentive, conference and events Abu Dhabi TCA, Jasem Al Darmaki, market in the Middle East has as “an endorsement of Abu Dhabi’s demonstrated robust growth. credentials”. Events held in the The inaugural event, held in Abu capital Emirate included World Dhabi at a time when Emirates Palace Ophthalmology Congress and world and Etihad Airlines were new to the Routes Devleopment Congress; the game, wasn’t just significant for Abu Dhabi, but seminal for event organisers former of which received 10,000 delegates earlier this year. Naseba, who had previously held Dubai ranked 60th in the same listing the congress in Monaco, Miami and Singapore. and Abu Dhabi’s strategic aim is to Capitalising on the benefits of an rank 50th place or higher within five almost year-round ideal climate, years. complementary leisure and business Key cities such as Dubai, Abu Dhabi facilities, easy visa access and the most and Doha are known globally for central location on the globe, today their expertise in the field and with the region has its own MICE Congress the hosting of ever bigger industry event and a booming industry to boot. exhibitions continuing to put them Last month, Abu Dhabi on the map, the reputation as a jumped 134 places from global business destination is a previous ranking of cemented. 234, to be named the The global tourism 100th busiest meeting industry generated $5.7tr in 2010 (more destination in the world, ANNUAL VISITORS TO EVENTS AT DUBAI WORLD than 9% of global GDP) by International Congress
The desert and the beach experience are side by side. Business meetings are no longer about formal interactions in a windowless room
500,000 TRADE CENTRE
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OCTOBER 2013
and employs around 235 million people directly or indirectly, according to The World Travel and Tourism Council (WTTC). The MICE sector accounted for more than $650bn of this value over the same period. Locally, growth in UAE and Qatar leads the region, with the combination of convenient aviation routes and quality business hotels underpinning the popularity – as opposed to price or convenience. In Oman, MICE business underpinned the hotel pipeline throughout 2011 and 2012, over which period, data from STR Global concluded the country had the largest increase in existing supply of any GCC country, at 74.4%. It’s not just the fact this region can build what it needs, arguably quicker than any other place, it’s also the fact that what it builds is usually the biggest it could be, and therefore ideal for large delegations from the key target industries of: Energy; petrochemicals; metals; aviation, aerospace and
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SPECIAL FEATURE / DEVELOPING MICE
55%
INCREASE IN EVENTS HELD AT ADNEC ABU DHABI
KEY SECTORS TO BE TARGETING BY THE REGIONAL MICE INDUSTRY t t t t t
Energy Petrochemicals Metals Aviation Aerospace and defence GLOBAL MICE MARKET VALUE t Pharmaceuticals t Biotech and life sciences; tourism; healthcare; education; transport, trade and logistics; media; financial services; environment; and telecommunications. Marriott’s existing global network defence; pharmaceuticals, biotech and reputation in the sector will help and life sciences; tourism; healthcare; drive business locally, as well the education; transport, trade and resulting relationships with major logistics; media; financial services; environment; and telecommunications. pharmaceutical, IT and motoring industry companies. In Q1, Dubai inaugurated the Testament to Queitsch’s point, world’s tallest hotel, Marriott Marquis, earlier in 2013 Starwood relocated a property that didn’t just stand head its entire 100-strong executive team and shoulders above all others, but was from the US to Dubai, from where also the first in the region to be able to they travelled to 19 cities across 12 entertain, feed and sleep 1000 delegates countries. The exercise may be pegged at the same time. to the company’s ambition to increase It’s a relative game changer for a its regional portfolio by 60%, but the region where previously the limit to ease at which it was undertaken, also meet and sleep in the same place was added to the mix. much lower. Said Simon Turner, president of “This capacity is something The global development: “The Middle Dubai Convention and Events Bureau East is experiencing rapid economic is looking for. We already partner growth, a growing middle class and with DTCM to promote the facilities ever greater global connectivity, and we see a lot of demand coming in and the Dubai relocation helped us for a large-size group hotel with two expand all of our brands across this ballrooms, the meeting and dining important region.” facilities, the huge spa that we have; In adding value to the standard that’s a journey by itself,” says GM MICE package, the offer from Carlson Rupprecht Queitsch. Rezidor is based on a ‘bran food’ “I think we can add another menu, carbon offsetting and the dimension within our infrastructure avoidance of “cooped up” delegates, for capabilities, to allow Dubai to compete groups both large and small. with other convention cities worldwide Explains area VP, Mark Willis: “I like Paris, London, Berlin and Hong think there is a real customer focus Kong. The airport, people, on quality expectation and geographical position, value for money. People are reputation for safety; prepared to pay, but they there is a tremendous have an expectation and I opportunity for this CONFERENCE ATTENDEES think we are quite clever in dimension,” Queitsch CAN MEET, EAT AND SLEEP IN THE MARRIOTT MARQUIS, trying to exceed that. adds, highlighting that DUBAI
1000
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I think we can add another dimension within our infrastructure capabilities, to allow Dubai to compete with other convention cities worldwide like Paris, London, Berlin and Hong Kong
$650bn
“In our Experience Meetings Programme, we try and be a little bit different. It’s a different touch and it has been very well received in the Middle East. I must say I was a little surprised at how keen people are to talk about the dietary requirements of the group and offsetting the environmental impact of their event, but it’s very popular and we can meet those requests.” Away from the city, it’s not just the meetings market that receives a boost, but incentives also. In Ras al Khaimah Banyan Tree is providing a desert getaway escape for couples and families, and an out of town meeting experience that has helped the hotel reposition its marketing strategy. Despite the remote location, area GM Anders Dimblad reports the hotel’s full facility conference block is popular with local and international businesses. “I think in reality, the surroundings are our strongest points. If you want to be tucked away with all the AV, you can do that but we also offer the chance to, once that part is over, enjoy the social aspects like the facilities of the beach resort or peninsula. The imagination is where it ends in terms of what we can offer. “The desert and the beach experience are side by side. Business meetings are no longer about formal interactions in a windowless room,” Dimblad concluded.
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HOTEL SHOW NEWS ROUND UP
ROUND UP
After months of preparation, this year’s recording breaking show welcomed 560 exhibitors, thousands of visitors and debuted The Leisure Show and Vision Conference. Here are the highlights...
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HOTEL SHOW NEWS ROUND UP
Dubai World Hospitality Championships Showcasing Dubai’s world-class hospitality to a global audience BY MELANIE MINGAS On November 16 an event will launch in Dubai that will take Emirati hospitality to a global audience, as teams from 12 countries compete to be named Dubai World Hospitality Champions. Held at Dubai World Trade Centre the challenge will not only promote Emirati talent, but traditional Emirati dishes; a cuisine that, in spite of the melting pot of nationalities and cultures in Dubai, is rarely the main attraction on a menu. Majid Al Marri, DTCM director of classification, said: “We are bringing something new to the region and
this is important for all sectors, to have a first of its kind championships for the hospitality industry. The categories cover international local and restaurant cuisine, “This is the first time an Emirati team will have competed and there will be 12 teams from around the world,” he continued. An initiative of DTCM in collaboration with Zabeel Palace Hospitality – the royal caterer with a staff of 800 chefs – the championship is a directive of Dubai Crown Prince, HH Sheikh Hamdan bin Mohammed Bin Rashid Al Maktoum, and has also gained the
support of the World Association of Chef Societies and the Emirates Culinary Guild. A live panel discussion was held on day three of The Hotel Show to introduce and promote the event, with Radisson Blu’s Chef Uwe Micheel, Jumeirah Group’s GM of culinary Andy Cuthbert and DTCM’s Majid Al Marri and Shaikha Al Mutawa. “This will not only encourage the Emirati chefs we have here in the UAE, but it will also encourage the at-home chefs and younger aspiring talent, who may go on to start their own business.”
From left: Andy Cuthbert, Chef Uwe, Majid Al Marri and Shaikha Al Mutawa, with session chair Jeff Price.
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HOTEL SHOW NEWS ROUND UP
Royal approval for 14th Hotel Show Record breaking show opened at Dubai World Trade Centre BY DAVE REEDER The Hotel Show 2013 was officially opened by H.H. Sheikh Ahmed bin Saeed Al Maktoum, President of Department of Civil Aviation, CEO and Chairman of The Emirates
Airlines and Group, Chairman of Dubai Airports. He then toured the show at DWTC, the 14th edition of the show and conference, which this year, has attracted industry professionals from almost 100 countries.
“We are delighted that HH Sheikh Ahmed bin Saeed Al Maktoum has given his support to The Hotel Show,” said Christine Davidson, Event Director.
International eyes on Middle East Burgeoning MENA market receives undeniable trade boost BY KAREN OSMAN A significant number of exhibitors are using The Hotel Show as a launch pad into the Middle East. First time exhibitor, Schneider Electric, has included the Middle Eastern hospitality division in its strategy while Philips’ Signage Solutions and Hospitality TV have both established a presence in the market this year. Philips regional head, Wim De Geest explained: “We know there is huge potential. We believe now is also the [right] time because the economy is getting
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better so now it’s time to enter very aggressively.” While UK-based NewGen already has a presence in the region, the team wasted no time in using the show to launch Sleepeasy, the linen rental service pioneered in the UK. Further afield, US-based, Samuelson furniture approached the market for the first time with a line of customised, high-end furniture. President Lawrence Chalfin reported, “We look for clients who have the right fit for the skill set we bring, so we had a wonderful time.”
Nik Hewitt, representing Electric Mirrors, has been coming as a visitor to The Hotel Show for the last six years and is exhibiting for the first time. “I would say this year is more in line with the years just before the crash. I have noticed the last couple of years nobody has wanted to really invest lots of money in developing their stand, whereas this year, a lot of the exhibitors seem to have gone all out and it seems everyone is bit more confident investing,” he commented.
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HOTEL SHOW NEWS ROUND UP
NEWS IN PICTURES
Keynote speaker and panellist Steven Miller, FAIA, RIBA, of Shapoorji Pallonji is questioned by conference delegates after chairing the panel session All Eyes on Africa. The globally recognised architect also presented “Designs of The Future” and “Qatar: The Future” over the course of the three day Vision Conference, which ran for the entire length of the show.
A WORD FROM THE CROWDS
I’m buzzing! It’s the first time we’ve done The Hotel Show [and there is] good footfall from many countries, lots of GCC clients from KSA and Qatar. “We’re getting lots of comments on our wall art and I think that says hotels are looking for impactful, statement pieces for lobbies.” Ibrahim Dualeh, creative and design director, Tanzo Group, UK
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It is the fifth time that we are coming to the show and we can see its evolution. The first time the market was booming and then the last two years it was difficult, but now it is very good...I am happy we came. More important customers are coming to the show, the organisers are doing a good job. The next year we will come back and have a bigger booth. Hotels are asking me what the latest design trends are, and both here and in Europe it’s shades of gold [as well as] red and black.” Ingrid Lesage, Ingrid Lesage Creations, Belgium
We’re very happy with the quality of the visitors, there’s a good mix of people from UAE, GCC, India, for exmaple. The response has been very positive. “For us the latest trends are all about the texture, which is lucky because we produce wall coverings with 5mm depth, the deepest you can get. If the market for us gets a bit bigger, we could consider designing something more tailored for the Middle East market.” Martin O’Kane, Commercial Manager, Lincrusta Ultimate Wall Coverings, UK
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HOTEL SHOW NEWS ROUND UP
The first World of Adventure hotel? As IMG’s World of Adventures theme park eyes global domination, hints dropped for themed hotel BY MELANIE MINGAS Marking the first public appearance at a trade show, it was announced at The Hotel Show on Saturday that IMG’s Worlds of Adventure could be followed by a Marvel or Cartoon Network Hotel. This, the region’s largest theme park, could become a true competitor of brands such as Disney and Universal Studios. Speaking exclusively from the IMG stand in Hall 2, VP of group marketing Adam Alexander Page,
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commented: “Theoretically, that kind of element is possible and it’s a logical thing for us to look at. 100% it’s part of our infrastructure and master plan to have our own hotels at the park. It would be crazy not to and that also gives us the element of the themed hotel. I can’t wait to stay in a Marvel themed room or hotel!” Worlds of Adventure is a leisure development by IMG on the City of Arabia site, Dubai. The completed development will include a theme park, cinemas, retail and residential
elements. Due to open in 2014, it will be the largest indoor theme park in the world. The Hotel Show stand, IMG’s first such promotion of the project at a trade show, was attended on for the official opening by IMG owners, Ilyas and Mustafa Galadari and visited by HH Sheikh Ahmed bin Saeed Al Maktoum, President of Department of Civil Aviation, CEO and Chairman of The Emirates Airlines and Group, Chairman of Dubai Airports.
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HOTEL SHOW NEWS ROUND UP
Dollar value and perception key to market recovery Optimism and possibility across diverse hospitality facets BY KAREN OSMAN The Vision Conference saw a busy session of delegates on day two of The Hotel Show, all eager to learn about new tourism trends and new business opportunities in the region. Made up of an expert panel including hoteliers Elie Milky, director of business development at Carlson Rezidor and Anders Dimblad, CEO of Banyan Tree as well as Raza Siddiqui, chief executive officer for Arabian Healthcare Group, topics covered destinations such as Saudi Arabia and Oman, as well as trends for luxury versus budget hotels and interesting information on medical tourism. Chairing the panel was Nathalie Amos, associate director of Four Communication Group who kicked off the questioning with the luxury segment to which Dimblad
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commented, “The market has recovered but still has a long way to go, not just in dollar value but also in perception value.” Dimblad also outlined one of Banyan’s tactical approaches to secure the luxury market which included creating bespoke packages. The ‘Arabian Pearl Retreat’ allows guests to learn about the region’s pearl diving industry while creating their own jewellery designs. Including a Seawings seaplane ride transfer, lunch, choosing of oysters and (hopefully!) pearls, and overnight stays, the package has been designed to capture those looking for a unique experience. At the opposite end of the spectrum, the plentiful choice of four and five-star hotels means there is scope for cost-effective accommodation with Milky going
as far as saying, “If it was my money today, I would invest in budget hotels.” He continued, “People want an affordable product and for the owner it’s less risky.” Milky also remarked that Saudi Arabia had taken up 80% of Carlson Rezidor’s workload in 2013, concluding, “We have signed six hotels this year.” Medical tourism was a key topic throughout with Siddiqui having high hopes for the UAE, commenting, “I have seen medical tourism grow from US$ 2 billion to US$ 100 billion industry. I’m a strong advocate of the UAE being the next medical tourism destination.” Comparing with established medical tourism countries in Asia, he continued, “In five to seven years, we [the UAE] should catch up to Singapore and Thailand.”
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Celebrating the industry
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HOTEL SHOW NEWS ROUND UP
DTCM announces game changing fee concession Municipality fee waived to incentivise growth of 3-star and 4-star market
BY MELANIE MINGAS His Excellency Helal Almarri, on day two of the show, announced that investors in new 3-star and 4-star hotels will be granted a waiver on the 10% municipality fee for a period of four years from the date the permit to construct is granted, and provided that this date is between October 1 2013 and December 31 2017. The exclusive announcement was made during a keynote interview at Vision Conference, to a theatre
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packed full of hotliers and media. In line with DTCM’s Vision 2020, the unprecedented incentive is tipped to trigger the completion of a number of under construction hotel projects. It’s a game changing initiative devised by the Dubai Government and DTCM, that will significantly develop Dubai’s hotel market, also contributing to the Vision 2020 objectives, by enhancing the sector’s feasibility model and bringing forward the completion
of many hotel projects. “As we move towards 2020, what we need is the infrastructure to support the Vision. With the doubling of the number of tourists we also need to look at the doubling of the number of hotels. We need to make sure that hotel prices stabilise and as such the government has looked towards the creation of an incentive programme for the 3-star and 4-star sector,” said His Excellency during the keynote interview. Allaying fears that the
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Four Seasons brand of choice for Generation Y Study results help hoteliers prepare for tomorrow’s senior management
announcement could lead to a clustering of 3-star and 4-star properties, His Excellency added DTCM expects a continuation of the “fair geographical spread” of hotels. “This is just one of the steps the government is taking to move the sector forward. The other of course is the launch of the new classification system and there are more announcements to come.”
The story will be analysed in full in the next issue of Hospitality Business.
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BY KAREN OSMAN Presented at The Vision Conference on day two of The Hotel Show 2013, Laureate Hospitality Education presented study results which saw 425 students from seven different schools complete a survey to see what generation Y look for in an employer and how their demands will reshape the industry. The majority of students were in the 20 to 24 year old bracket with 55% coming from the ASPAC region, 32% from Europe, 9% from the Americas and 4% from Africa and the Middle East. While much of the data was expected, there were a few surprises. Over half (52%) of the students cited international career opportunities as their top reason for choosing hospitality with management training (26%) being the top choice of career once graduated. One of the stereotypes of this generation is that upon graduation, they expect senior level positions within an organisation as opposed to ‘working up the ladder’. It was a pleasant surprise then to see that the majority of students (31%)
felt they should be in team leader/ supervisor positions upon completion of study as opposed to directorships (4%). While 56% of students believed personality was a key factor in a successful career, it was also encouraging to see that 54% attributed hard work as a success factor. Renowned for their ambition, it wasn’t surprising to see that the majority of students (47%) chose a company for its career progression. Four Seasons was a strong winner being the hotel brand of choice (out of a possible 35 hotel groups) for 65% out of students, followed by Marriott, Hilton, Starwood, and Hyatt consecutively. While 63% of students claimed they were likely to stay in their first job for only one to two years, a surprising yet significant 19% indicated the desire to pursue a career with the same company for their entire working life. Another revelation is despite the huge online communication associated with the generation, 86% of respondents chose face to face as their preferred method of communication.
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HOTEL SHOW NEWS ROUND UP
Contactless technology makes waves NFC solutions now a reality BY JAYA JAVA Guests can now access hotel and destination information with just one gesture, thanks to the cutting edge near field communications (NFC) solutions developed by hospitality technology service provider, Locatel. The technology is part of Mobility by Locatel, a new range of mobile technology solutions being launched at The Hotel Show 2013, which also include touchscreen and mobile applications as well as mobile television. Created to work across a range of leading mobile brands, this effortless technology involves programming information into NFC tags, as well as QR codes for smartphones that are not NFC-enabled. These tags can be incorporated into display boards around public areas, in-room access points as well as creditcard-sized guest cards. Guests then simply swipe their smartphones
across these tags to access varied services such as downloading hotel specific applications, viewing mobile television, making reservations at restaurants and spas and express checkouts. “We are simplifying access to content that usually takes time, giving
guests access to the entire hotel in seconds,” said Francois Clemenceau, business unit director of mobile applications at Locatel. “This has been developed in partnership with Nokia who is committed to NFC with all its Lumia phones supporting the technology.”
We’re seeing new inquiries coming in from Oman and Saudi Arabia. Many people are asking for our ‘Tsunami’ designs for buffets and pass arounds. We have been in the Gulf for 30 years, but it’s only over the previous five that we have grown globally and now we also sell luxury homeware in New York and Dubai, under the Rikan b rand. ” Haykal Moussa, Manager Marketing, Rikan General Trading, UAE
The show is going very well, we designed and manufactured a chandelier specifically for the show and we’ve had three offers already! We’re exhibiting this and another chandelier – a style which is currently trending in the UK - urban chic, roughlooking products. We also have a live inquiry from an interior designer and other inquiries from hotel chains for atrium and lobby pieces.” Michael Jackson, Lighting Design Manager, Northern Lights, UK
A WORD FROM THE CROWDS
Hotels are looking for more classic tableware designs. We’re also seeing a trend for coloured ceramics and distinctive cutlery designs, especially for Asian restaurants.” Marilou Castro, Sales & Marketing Secretary, Procurio General Trading LLC, UAE
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HOTEL SHOW NEWS ROUND UP
Wi-Fi leader celebrates 10 years Minerva customers become best friends BY GARY WRIGHT Wi-Fi, broadband and radio solution provider Minerva is celebrating ten years in business with its appearance at the The Hotel Show 2013. “It’s been an exciting ten years and the business, which started in wireless
broadband and wireless LAN, has grown organically into new areas,” said Alexander Allen, CEO of Minerva. The company now offers customers project design and consultancy, site surveys, project commissioning, technical training and pre/post sales
support. It offers support across all sizes of business. Allen added: “Our customers know they can trust us to give them the right solution for their customers. We are proud to have built longterm relationships and indeed they are now our close friends.”
A &T building on success Interior company planning 2014 expansion across the Gulf BY KAREN OSMAN Following on from their success at The Hotel Show 2012 which saw A & T sign two contracts, the interior company is showcasing their talents at this year’s event with a stand four times the size. With their own facilities in Sharjah, Dubai, and Abu Dhabi, A & T have had a string of successes across the region completing projects within the
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food and beverage segment such as Signature by Sanjeev Kapoor at Meliá Hotel, Dubai as well as designing for the public areas of hotels such as Kempinski Dar Es Salaam, Universal Resorts in the Maldives, and Desert Palm in Dubai. With a target to expand to the Kingdom of Saudi Arabia and Qatar by mid-2014, CEO Atti Abuassi is keen to meet with consultants and clients from the
two countries in order to prepare for their launch. In their fourth year of operation as a company, Abuassi, while keen to demonstrate their expertise across all facets of a hotel, feels they have established a niche within the F & B segment, commenting, “People are going for a more antique, rustic style as they are getting tired of the normal and want something special and extraordinary.”
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THE 2013
BBC GOOD FOOD ME AWARDS Known for celebrating the best foodie brands and experiences in the region, the fourth annual BBC Good Food Middle East awards is here! THE CATEGORIES REST RE STAU ST AURA AU RANT RA NTS NT S FINE FI NE DI DINING 7 RESTAURANT OF THE YEAR - DUBAI* 7 RESTAURANT OF THE YEAR - ABU DHABI* 7 BEST NEW RESTAURANT - DUBAI* (OPENED ON OR AFTER JANUARY 2013) 7 BEST NEW RESTAURANT - ABU DHABI* (OPENED ON OR AFTER JANUARY 2013)
7 RESTAURANT OF THE YEAR - DOHA 7 CHEF OF THE YEAR* 7 BEST EUROPEAN RESTAURANT 7 BEST ASIAN RESTAURANT 7 BEST CONTEMPORARY BRITISH 7 BEST LATIN AMERICAN
7 BEST INDIAN 7 BEST MIDDLE EASTERN 7 BEST STEAKHOUSE 7 BEST BRUNCH 7 BEST ITALIAN 7 BEST SEAFOOD
7 BEST EXPERIENTIAL DINING VENUE (AN OUTLET THAT OFFERS A UNIQUE ENTERTAINMENT EXPERIENCE ALONG WITH GREAT FOOD)
CASU CA SUAL AL DI DINING 7 BEST INTERNATIONAL
7 BEST INDIAN
7 BEST ASIAN
7 BEST MIDDLE EASTERN
7 BEST CAFÉ
HOME HO ME COO COO OOK KING ING IN GRE RED DIEN ENTS TS 7 FAVOURITE SUPERMARKET 7 FAVOURITE SPECIALITY FOOD STORE/MARKET 7 FAVOURITE BRAND FOR STORE CUPBOARD ITEMS 7 FAVOURITE URITE DAIRY D IRY DA Y BRAND BRAND
ACC CCES ESS SORIES 7 FAVOURITE OLIVE OIL BRAND 7 FAVOURITE TEA BRAND 7 FAVOURITE COFFEE BRAND 7 FAVOURITE FAVOURITE JUICE BRAND FA
7 FAVOURITE LARGE KITCHEN APPLIANCE BRAND 7 FAVOURITE SMALL KITCHEN APPLIANCE BRAND 7 FAVOURITE TABLEWARE STORE
Creating new benchmarks in the industry, the vote-based awards recognise the top restaurants and food-related brands and stores. Log on to bbcgoodfoodme.com/awards/2013 to get your favourite restaurants and food brands of the region, into the running. Nominations close on September 30.
NOMINATE AND WIN! Everyone who votes will be in a draw to win an amazing luxury beach holiday package at Four Seasons Resort Mauritius, at Anahita. The prize includes 3-night stay for two in a 1-bedroom pool villa with breakfast and dinner, complimentary watersports and golf, and a special wine-pairing dinner. *Terms and conditions apply I Subject to availability, blackout dates apply I Valid for 1 year
HOW IT WORKS In the nomination phase, which runs from August 15-September 30, we are calling consumers to nominate their favourites in each category online. After September 30, the top ten nominees in each category (with the highest votes) will be listed on our website. Between October15 and November 15, consumers will then get to vote again for the winner, from that list. The winners will be revealed at our gala awards event in January 2014. * Winners for Restaurant of the Year (Dubai & Abu Dhabi), Best New Restaurant (Dubai & Abu Dhabi) and Chef of the Year will be chosen by an independent judging panel.
Contributing g spo p nsors
HOTEL SHOW NEWS ROUND UP
Humane way to keep the crows at bay Falconry used to tackle JBR bird problem BY MELANIE MINGAS Hotels on Dubai’s popular JBR strip are using falconry to combat the area’s problem crows. Rentokil GM James Nicholson, says scaring the crows by introducing a bigger bird to protect hotels’ outdoor areas, is proving popular with almost every 5-star in the neighbourhood. It’s the only solution to a difficult problem as every bird species apart from the
feral pigeon is protected in the UAE. “From JBR to Satwa there is a massive bird problem, for the hotels and beaches. Almost all of the 5-star hotels there now use this as a solution and it’s one of our most popular business lines,” Nicholson commented. Aside from birds, the company receives “70 – 80%” of its business from bedbug infestations, which
Nicholson cautions should be dealt with earlier in the chain. “Pest control is a case of reputation management. When it comes to problems like bedbugs it needs to be controlled at the staff accommodation, as many problems are transported, causing expenditure within the hotels themselves.” Rentokil launches is winter promotion on October 1 with 20% off its entire fly killer range.
Smart bed for the smart sleeper Pro Tech’s multimedia bed is a four poster for the 21st Century BY GARY WRIGHT Everyone has heard of smart phones, but The Hotel Show has the launch of the smart bed. PRO TECH chose The Hotel Show to launch the bed with a difference. The Q Theater offers a total multimedia experience in a beautifully crafted pod. “It’s a four-poster bed for the 21st century,” said one visitor.
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“A year ago we launched a new division and we’ve designed this bed, which incorporates games consoles, television and the full mutimedia facilities,” said Ali Saadawi, PRO TECH’s senior account manager for its Enterprise Solution Division. The bed uses a projector above and behind the heads of people in the bed to project onto a drop down screen at
the foot. All of the multmedia boxes and feeds are out of sight. Prices start at AED120,000 with a super-king-size mattress, customisable from mattress type to console games, Internet and Blu-Ray DVD. feeds. “We have already had a lot of interest from both hoteliers and individuals looking to install this one off product.”
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SERVICES AND SUPPLIES
Services and supplies The industry’s most useful and innovative product news, delivered to you, every month
RIXOS SAVES ON I.T. COSTS Rixos The Palm, Dubai, has saved 25% by implementing Cannon’s Managed Print Services to streamline management and maintenance of printing over a four year contract. “The Canon MPS deal has enabled Rixos The Palm Dubai to easily manage and monitor its printing fleet from a single platform powered with customisable features including increased cutting-edge secured printing options. Through the deal the hotel now enjoys the benefits of utilising a dedicated certified Canon Technical Service team for Managed Printing Services with a strong Service Level Agreement (SLAs) and response time,” said Shadi Bakhour general manager of Canon Emirates, who is pictured at the deal siging.
Bakhour added: “MPS is also instrumental in achieving operational efficiency, meeting compliance targets and reducing the organisation’s carbon footprint. Thereby businesses save costs as well as meet their corporate social responsibility objectives too.”
INFOR PRODUCTS LAUNCHED
PORCELAIN AND WOOD FUSED COLLECTION Tableware made from a hybrid fusion of porcelain, acacia wood, cork and slate, has been developed for the market by Villeroy & Boch. The Artesano Original range, blends “country chic” with a contemporary touch across the 32-piece collection. In addition to a classic range of breakfast, dinner and bread plates, Artesano Original includes numerous multifunctional serving items made of ceramic or wood. The plates and bowls are available in various sizes
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including special designs for meals like pasta, pizza, tapas and barbecues. A jug for oil or vinegar and a shaker for coarse herbs complete the series. The product range is completed by the tea and coffee series Artesano Hot Beverages, handmade in heat and cold resistant borosilicate glass.
F1 Infotech in association with Infor launched its “next generation hospitality software” solutions at last month’s The Hotel Show. The suite includes : INFOR HMS (Property Management); Infor Performance Management Software (BI); Infor EZRMS (Revenue Management); Infor EAM (Enterprise Asset Management – Hospitality Edition); and Infor SunSystems V6 (Financial Software). F1 Infotech has a long list of satisfied customers in UAE, including leading names in the hotel industry like Palm Anantara Hotel and Resort, Millennium Group of Hotels, Viceroy Hotel Yas Island, Radisson Royal, Le Meridien, Sheraton Abu Dhabi, Sheraton Creek Dubai, Gloria Hotels Dubai, and One to One Hotels Abu Dhabi.
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SERVICES AND SUPPLIES
NEW COLLECTION HITS BOCONCEPT STORES Boasting a new Avante Garde style, the new 2014 collection arrived in BoConcept stores last month. Featuring new furniture, materials, textiles, colours and shapes, designed are re-worked by fusing old and new elements to reinvent tried and tested solutions. “There are more colours this season, and new colour combinations. Bold metallics with raw concrete with quilted rich materials and neon prints. There are no rules! But there is a more quiet alternative as the tone-in-tone tendency also continues for a more monochromatic setting,” explains B5 manager and founder, Pattricia Boettcher, parent company of BoConcept. Explore the 2014 collection in the BoConcept Design catalogue that offers 164 pages of inspiration including inspiration articles with tips on how to create different looks. The new collection and Design catalogue arrived in all BoConcept stores worldwide on September 1. Find your nearest BoConcept Brand Store at www.boconcept.ae.
INTERCOIL’S FIRST FOREIGN LICENSING AGREEMENT Intercoil International has signed its first foreign licensing agreement with Kenyan Bobmil Group of Companies, allowing the group the exclusively manufacture and distribute its products in Kenya. Through the licensing agreement Bobmil Group will import and install machinery and technology used by Intercoil International in its UAE manufacturing facilities Bobmil Group will also be responsible for retailing the Intercoil International products in Kenya, and is scheduled to open a number of Intercoil Sleep Galleries for the consumer market, in addition. Commenting on the landmark agreement for Intercoil International, the company’s managing director, Hassan Al Hazeem said: “In the forty years since Intercoil International was established by my late father, Abbas Ali AIHazeem, we have worked hard to build a brand that instills trust, confidence and the highest quality manufacturing. This agreement is an
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CUSTOM DESIGN WALLPAPER Drytac Europe has launched DecorTac Printable SA Wallpaper for customised interior design applications. The fire-resistant 220 micron digitally printable non-woven wallpaper is coated with an aqueous acrylic adhesive and is supported by a siliconised release liner. It is suitable for solvent-based, latex and UV curable ink systems and offers photorealistic print quality, a quick drying time and good scratch resistance. Embossed designs of the new wallpaper are also available.
YOUNG DESIGNER AWARDED Clémence Cuingnet, French designer for Samuel Creations has been awarded Young Interior Designer of The Year at the CID awards. A statement from Samuel Creations, read: “Her design prowess in creating poetic spaces is captured in noteworthy projects such as the Hyatt Place Hotel Taghazout Morocco where she explores innovative materials and varied elements, while harmoniously integrating traditional techniques within a contemporary setting.” The Dubai firm was also nominated for the Middle East Interior Design of the Year in the hospitality category for with its unique concept for the Radisson Blu Hotel and Residences, Riyadh.
important milestone for us: Not only is the Intercoil International brand recognised for its value, but we are also able to take the “Made in the UAE” mark out to new markets, an initiative that is incorporated in our business strategy.”
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APPOINMENT NEWS
luxury European chain Kempinski, in accordance with Kempinski’s area sales strategy. Fawzi, who will be based at Kempinski Hotel Mall of The Emirates, has spent 12 years with the chain across UAE, Turkey and Egypt. He most recently held the position of DoSM at the Mall of The Emirates property, and in addition to his previous duties will now coordinate and support the sales activities of all other Kempinski hotels in the region, while working closely with the regional director of sales and the appointed GSOs.
DOUBLE F&B APPOINTMENT
A new area director of Arabian Gulf sales, Nasser Fawzi, has been appointed by
InterContinental Hotels Group (IHG) has named its recently recruited F&B concept design director and F&B director of performance, appointed to drive the group’s focus on enhancing its F&B operations in the region. Stefan Breg will be responsible for leading F&B concept development for hotels and resorts across the region, as well as driving operational efficiency and creating brand-defining F&B outlets. Most recently, Stefan has been running his own restaurant creation and design company, called TRIBE, based in Dubai. Andreas Reich, will be responsible for shaping and executing the region’s F&B strategy, as well as operations and performance across 800 hotel outlets. Andreas is highly respected in the hospitality industry, having worked in a number of senior management positions at iconic hotels in Europe, Las Vegas and most recently Singapore’s Marina Bay Sands.
Nasser Fawzi.
Stefan Breg.
Appointment news The latest appointment and promotion news from the region AVP NAMED FOR ROTANA UAE
Indonesia, with his last position being VP of rooms, F&B, in Sentosa in Singapore. He also worked as area director of operations for South East Asia for Marriott International.
Rotana has named its new area vice president for Abu Dhabi and Al Ain, Greg Allan, who will oversee the operations of Rotana in Abu Dhabi and Al Ain, in keeping with the company’s aggressive expansion plans. With 30 years’ industry experience, Allan, a Scottish National born in Kenya, graduated from Napier University in Edinburgh, Scotland. He occupied the position of GM across a number of properties in Thailand, Singapore and
KEMPINSKI DRIVES GULF SALES
Greg Allan.
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JOB WATCH Jobs supplied by:
Job watch
Location: Â United Arab Emirates (UAE) Recruiter: Â Dusit Residence Dubai Marina Minimum 5-10 years Experience Must be willing to work a flexible schedule in order to accomplish all major responsibilities and tasks. Must be able to maintain good relationship with all departments and Home Office to promote effective purchasing. Must have a commitment to follow all local and corporate policies and procedures as they relate to the Purchasing Department. Must be able to work in a safe and organized manner. Supervise, train and motivate Purchasing department employees and thoroughly understand all of their duties and responsibilities. Ensure that the department works closely with the Kitchen and the Food & Beverage Department to purchase the highest quality products while constantly searching for the lowest price.
Time to move on? We can help. All jobs can be applied for through www.Hozpitality.com CHIEF ENGINEER - DUBAI Industry:Â Hotels Clubs and Spas Department:Â Engineering and projects Level: Â Department Head Location: Â United Arab Emirates (UAE) Recruiter: Â Hozpitality Consulting We are looking for a Chief Engineer for our client for one of their hotels in Dubai. The conditions will be as follows: Description: Â Medical Insurance, Life insurance, annual vacation 30 days, return ticket annually, laundry and meals provided. Company mobile with SIM card and business plan provided. Please send your CV with photo urgently.
FINANCIAL CONTROLLER- UAE Industry:  Hotels Clubs and Spas Department:  Finance and Accounts Level:  Department Head Location:  ME/GCC (Except UAE), United Arab Emirates (UAE) Recruiter:  The Royal International Hotel Description:  Overall objectives: To be responsible for the hotel’s accounting and financial management requirements. Managing the accounting department, procurement function and electronic data processing systems. To provide the general manager and unit management team with meaningful and timely information on the status of the hotel’s performance. To assist proactively with cost containment, revenue enhancement, profit improvement opportunities and safeguarding of the company’s assets.
GENERAL MANAGER Industry:Â Facilities Management, Hotels Clubs and Spas Department: Â General Management/ GM
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Level:  Top Management Location:  Worldwide, Africa, ME/GCC (Except UAE), United Arab Emirates (UAE) Recruiter:  African Management Services Company (AMSCO) Client: AMSCO - African Management Services Company Description:  Hotel is looking for a General Manager to oversee all aspects of Property Management with focus on maximization of financial performance, guest satisfaction, and staff development within established quality standards. Inherent requirements  t" UXP ZFBS CVTJOFTT EFHSFF PS B GPVS ZFBS business or liberal arts degree (or equivalent DPNCJOBUJPO PG FEVDBUJPO BOE FYQFSJFODF tB Certified Hospitality Administrator designation  tB GSJFOEMZ QFSTPOBMJUZ BOE HFOVJOF EFTJSF UP IFMQ BOE QMFBTF PUIFST t'SFODI BOE &OHMJTI fluency are highly required
EXECUTIVE HOUSEKEEPER Industry: Â Hotels Clubs and Spas Department:Â Housekeeping Level: Â Department Head Location:Â United Arab Emirates (UAE) Recruiter: Â Al Jawhara Group of Hotels & Apartments Description: Â t 5SBJOT BOE TVQFSWJTFT UIF activities of the housekeeping team to ensure clean, orderly and attractive guestrooms and surrounding areas that include storerooms, housekeeping pantries, and maintenance PG HVFTU MBVOESZ t 3PVUJOFMZ JOTQFDUT HVFTU rooms to ensure the standard of cleanliness in BMM BSFBT JT NBJOUBJOFE BU BMM UJNFT t 3FDPSET observations and computes performance to agree upon standards of cleanliness and upkeep. t &OTVSFT NBJOUFOBODF JT GPMMPXFE VQ t )BOEMFT guest complaints and strives for early guest SFDPWFSZ t &OTVSFT UIBU UJNF JO BOE PVU TIFFUT PG staff are filled in properly in accordance with the numbers of hours worked.
HR MANAGER Industry: Â Hotels Clubs and Spas Department: Â Human Resources (HR) Level: Â Department Head Location: Â United Arab Emirates (UAE) Recruiter: Â Al Jawhara Group of Hotels & Apartments Job Summary: Â To develop employment programs, salary compensation and job evaluation, benefits, promotion, initiatives and education and training programmes.
GROUP PURCHASING MANAGER Industry: Â Hotels Clubs and Spas Department: Â Finance and Accounts, Purchase and Stores Level: Â Corporate /Group, Department Head
TAKE RISKS: IF YOU WIN, YOU WILL BE HAPPY; IF YOU LOSE, YOU WILL BE WISE AUTHOR UNKNOWN
OCTOBER 2013
DIRECTOR F&B, CLUSTER, MALDIVES Industry: Â Hotels Clubs and Spas Department: Â Food and Beverage Service Level: Â Corporate /Group, Department Head Location: Â Worldwide, Australasia, ME/GCC
HOSPITALITY BUSINESS MIDDLE EAST / 59
JOB WATCH Jobs supplied by:
(Except UAE), United Arab Emirates (UAE) Recruiter:  CHA International Description:  Director Food & Beverage for two resort properties in the Maldives, featuring approx. 80 rooms plus 5 F&B outlets and 180 rooms plus 7 F&B outlets. The ideal Single candidate will have at least 5 years’ experience as F&B Manager in an island resort or cruise ship of 4 - 5 Star international standard, focused on both, buffet style and ala carte meals plus themed outlets. To plan, direct, organize and control the service activities of the Food & Beverage Department, to maintain high standards of food and beverage quality, service and merchandising to maximize profits. Very good communication skill in English plus one other European language are a “MUST HAVE� requirement
SOCIAL MEDIA MANAGER Industry:  Airlines, Travel Industry Department:  Sales and Marketing/PR Level:  Corporate /Group, Department Head Location:  United Arab Emirates (UAE) Recruiter:  Etihad Airways Description:  We are looking for a performanceminded Social Media Manager who has the knowledge and the passion to support taking Etihad Airways’ social media marketing, communications and service to the next level. This position will be responsible for establishing a long-term, sustainable strategy for social media and digital performance based on measurement and optimization. This expert will also manage and drive planning, recommendations and integration of social media content to support marketing campaign, corporate communications and product and service launches.
CHIEF ENGINEER Industry: Â Hotels Clubs and Spas Department: Â Engineering and projects Level: Â Department Head Location: Â United Arab Emirates (UAE) Recruiter: Â BIN MAJID HOTELS & RESORT Description: Â Bin Majid Hotels & Resorts is a growing chain of hotels in the UAE with 26
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years of experience in the tourism industry. Our properties, from Abu Dhabi to the Northern Emirates, enjoy a status of prominent destinations with its breathtaking landmarks, premium hospitality, while servicing both business and leisure travelers in an unforgettable experience. The brand currently has 5 hotels under its wings - Beach Resort, Beach Hotel, Acacia and Mangrove-all located in the emirate of Ras Al Khaimah, a booming tourist destination, and Nehal in Abu Dhabi. As a part of the expansion plan, The Tower – Hotel Apartments in the capital is expected to be open by September, while the Santorini, located at Marjan Island in Ras Al Khaimah, is scheduled to open by the beginning of 2014. If you are looking to start a career at a fast paced innovative company with loads of opportunities, then look no further than Bin Majid Hotels & Resorts. We are growing dynamically and are looking for motivated, talented and proactive individuals to join our team.
GENERAL MANAGER (TRAVEL & TOURISM)DUBAI Industry:  Airlines, Travel Industry Department:  General Management/ GM, Travel Management Level:  Corporate /Group, Top Management Location:  United Arab Emirates (UAE) Recruiter:  Confidential Company Profile: Leading travel and tourism company based in Dubai, UAE, requires a General Manager to manage their Dubai office. Description:  The General Manager must provide leadership and vision to the organization by assisting the Board and staff with the development of long range and annual business plans. Assist managers, supervise and motivate staff in line with company’s procedure and ensure compliance with overall company policy. 5IF PWFSBMM SFTQPOTJCJMJUJFT JODMVEF t 4BMFT %FWFMPQNFOU t 'JOBODJBM .BOBHFNFOU t 4UBò .BOBHFNFOU TUBò NFNCFST t %BJMZ Operational Management Key Responsibilities of the Position:  t 1SPNPUF BOE NBSLFU UIF CVTJOFTT t .BOBHF CVEHFUT BOE NBJOUBJO ÜOBODJBM SFDPSET t Supervise the sales of travel products and tour packages, with a special focus on LOCAL 50634 t 4PVSDF QSPEVDUT BOE EFTUJOBUJPOT UP
OCTOBER 2013
BIG JOBS USUALLY GO TO THOSE WHO PROVE THEIR ABILITY TO OUTGROW SMALL ONES RALPH WALDO EMERSON
meet consumer demands for bespoke travel BOE TVTUBJOBCMF UPVSJTN t %FBM XJUI DVTUPNFS inquiries and aim to meet their expectations. t -JBJTF XJUI FYUFSOBM BOE JOUFSOBM QBSUJFT BOE establish long term business relations with such QBSUJFT t 0WFSTFF UIF TNPPUI FĂłDJFOU SVOOJOH of the business. t /FHPUJBUF BHSFFNFOUT XJUI CVTJOFTT QBSUOFST e.g. overseas travel partners, air lines, hotels BOE PUIFS TUBLFIPMEFST t "OBMZ[F NBSLFU BOE re-focus business plan in response to market changes
OPERATIONS ANALYST - BUSINESS INTELLIGENCE AND PERFORMANCE Industry: Â Airlines, Travel Industry Department: Â Travel Management Level: Â Corporate /Group, Department Head Location: Â United Arab Emirates (UAE) Recruiter: Â Etihad Airways Description: Â Establish Airport & Network Operations business intelligence research and support for the airline and oversee the data integrity, analysis and reporting. Drive various research and analysis on a regular basis with an objective of identifying business trends, determining underlying factors, forecasting performance and informing business decision making. Responsibilities: Â Engage with the Senior Manager Operations Business Intelligence and Performance in deriving BI requirements from operational strategies and identifying solution options for recommendation. Drive research and analysis on a planned and ad-hoc basis regarding key analytics required or agreed by the business. Engage with the Manager OBI&P in gathering industry standards on BI, KPIs and best practices. Conduct benchmarking activities with other organizations within and outside the industry. Prepare BI recommendations and presentations to be delivered to the Operations stakeholders. Requirements:Â Graduate or Post graduate, in aviation management, maths, statistics or data modelling Sound knowledge of the airline industry Excellent analytical and quantitative skills Strategic and commercial thinking Team player Assertive and good decision making skills Exceptional written and verbal communication skills
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TENDERS
Tel: (+971) 2 634 8495 www.EmiratesTenders.com
NEW TENDERS Client Name: Statistics Centre (Abu Dhabi) Address: 1st Floor, Villa No. (7), Bain Al Jesrain Area (Two Bridges, next to Shangri-La Hotel) City : Abu Dhabi Postal/Zip Code: 6036 Country: United Arab Emirates Phone: (+971-2) 810 0000 / 810 0262 Fax: (+971-2) 810 0800 Website: www.scad.ae Nature of work: Annual contract for provision of hospitality items to a Government authority. Cost of tenders ($): 110 Last date of submission: October 7, 2013 Client Name: Ministry of Defence & Aviation (Saudi Arabia) Address: Airport Road City: Riyadh 11165 Postal/Zip Code: 1003 Country: Saudi Arabia Phone: (+966-1) 478 9000/ 478 5900/ 477 7313 Fax: (+966-1) 401 1336/4026457 eMail : Feedback@pca.gov.sa Website: www.pca.gov.sa Nature of work: Provision of catering services for staff. Cost of tenders ($): 535 Last date of submission: October 30, 2013 Client Name: Oman Tourism Development Company S.A.O.C (Omran) City: Muttrah PC 114 Postal/Zip Code: 479 Country: Oman Phone: (+968) 2477 3700 Fax: (+968) 2479 3929 eMail: enquiries@omran.om Website: www.omran.om Nature of work: Supply and installation of food service equipment. Cost of tender ($): 260 Last date of submission: October 9, 2013
$1.1bn
Client Name: The Transport Company (MOWASALAT) - Qatar KSA SEVEN TOWER Address: Abu Hamour Road - Industrial Area HOTEL PROJECT City: Doha Postal/Zip Code: 1186 Country: Qatar Phone: (+974) 4458 8991 Fax: (+974) 4458 8850 eMail: info@mowasalat.com Website: www.mowasalat.com Nature of work: Provision of cafeteria services for a government authority. Cost of tender ($): 140 Last date of submission: October 14, 2013 Client Name: Sheikh Zayed Grand Mosque Center (Abu Dhabi) City: Abu Dhabi
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OCTOBER 2013
Tenders All the latest tenders information you need to know about
Country: United Arab Emirates Phone: (+971-2) 441 6444 eMail: media@szgmc.ae Website: www.szgmc.ae Nature of work: Provision of office boys and hospitality services for the staff and visitors of a cultural centre. Cost of tenders ($): 140 Last date of submission: October 6, 2013
NEW AND CURRENT PROJECTS
Client Name: Ministry of Public Works (Kuwait) Address: Ministry of Public Works Bldg., 3rd Floor, 6th Ring Road City: Safat 13001 Postal/Zip Code: 8 Country: Kuwait Phone: (+965) 2538 5520 / 2538 5530 Fax: (+965) 2538 5219 / 2538 5234 eMail: hmansour@mpa.gov.kw Nature of work: Provision of Different Buffets. Cost of tenders ($): 75 Last date of submission: October 7, 2013
Project name: Hotel Complex Project – Mecca Description: Construction of a hotel complex comprising seven towers, each consisting of 1,000 rooms. Client: Wijaya Karya (Indonesia) Country: Saudi Arabia Budget ($): 1,100,000,000 Status: New Project
Client Name: Ministry of Health (Oman) Address: Opp. Khoula Hospital, Bldg. No. 105 City: Muscat PC 113 Postal/Zip Code: 393 Country: Oman Phone: (+968-24) 602 177 Fax : (+968-24) 602 647 Website: www.moh.gov.om Nature of work: Supply of (11 Nos.) vending machines (hot drinks, drinking water and confectioneries) for the headquarters and various directorates of a ministry. Cost of tenders ($): 0 Last date of submission: October 6, 2013
Project name: Makkah Holiday Inn Project Description: Construction of Makkah Holiday Inn comprising 1,238 rooms. Client: InterContinental Hotels Group (UK) Country: Saudi Arabia Status: New Project
Project name: Saadiyat Rotana Resort Project Description: Construction of 5-star Saadiyat Rotana Resort comprising (354) rooms and (13) beach villas. Client: Rotana Hotels, Suites & Resorts (Abu Dhabi) Country: UAE Consultant: EC Harris International Limited (Abu Dhabi) Status: New Project Project name: Stella Dubai Hotel Project - Dubai Marina Description: Construction of Stella Dubai Hotel comprising three basements, one ground floor and (30) additional floors. Client: Private Investor (Dubai) Country: UAE Consultant: Conin Incorporated Consultants (Dubai) Status: New Project
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TENDERS
Project name: Damac Towers by Paramount Project Downtown Dubai Description: Construction of Damac Towers by Paramount comprising a five-star hotel and branded serviced apartments. Client: Damac Properties (Dubai) Country: UAE Contractor: TAV Construction (Dubai) Budget ($): 275,000,000 Status: Current Project Project name: Banyan Tree Hotel & Resort Project Jebel Sifa Description: Design and construction of three-storey Banyan Tree Hotel & Resort comprising a total of (239) rooms. Client: Muriya Tourism Development Company (Oman) Country: Oman Conrtactor: Muriya Real Estate (Oman) Budget ($): 220,000,000 Status: Current Project Project name: Al Habtoor City Project Description: Construction of Al Habtoor City comprising three hotels, a 1,400-seat Las Vegas-style aqua theatre, three large basement levels, ground and mezzanine levels and a large car park. Client: Al Habtoor Group L.L.C. (Dubai) Country: UAE Consultant: Khatib & Alami Consolidated Engineering Company (Dubai) Contractor: Al Habtoor Leighton L.L.C (Dubai) Budget ($): 1,300,000,000 Status: Current Project Project name: Kingdom City Development Project Description: Development of Kingdom City comprising a 1,000-metre-high skyscraper, residential and commercial buildings, hotels, including leisure facilities. Client: Kingdom Holding Company (Saudi Arabia) Saudi Arabia Omrania & Associates Architecture & Engg. Consultants (Saudi Arabia) Country: Saudi Arabia Budget ($): 27,000,000,000 Status: New Project Project name: Muscat Grand Mall Upgrade Project Description: Carrying out a major redevelopment of a shopping mall. Client: Al Madina Real Estate S.A.O.C (Oman) Country: Oman Budget ($): 130,000,000 Status: New Project
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Project name: King Abdullah Sports City Project Description: Construction of King Abdullah Sports City covering an area of 9 square kilometres featuring a main stadium with capacity of 60,000, together with at least five other smaller sporting arenas, including a specialist hospital for sporting injuries, a number of indoor arenas and accommodation facilities. Client: General Presidency of Youth Welfare (Saudi Arabia) Country: Saudi Arabia Consultant: Arup Gulf (Dubai) Contractor: Besix Group SA (Belgium) Budget ($): 4,000,000,000 Status: Current Project
Project name: Nile Towers Project Description: Construction of 23-storey Nile Towers comprising a five-star hotel tower and a residential tower. Client: Saudi Egyptian Construction Company (SECON) – Egypt Country: Egypt Consultant: EHAF Consulting Engineers (Egypt) Contractor: Arabtec Construction L.L.C (Egypt) Budget ($): 140,000,000 Status: Current Project
Project name: Wafra Seef Development Project Description: Development of Wafra Seef scheme comprising a new food and entertainment destination offering patrons a gathering place where they can dine, Project name: Qatar National Museum Project meet and mingle, while enjoying the breathtaking Description: Construction of new Qatar National views of the Arabian coastline. Museum, which will provide 86,000 square Client: Wafra Real Estate (Kuwait) feet of permanent gallery space, 21,500 Country: Kuwait square feet of temporary gallery space, Consultant: Gensler Associates a 220-seat auditorium, a 70-seat International (USA) food forum / TV studio, two cafes, a GUGGENHEIM Status: New Project restaurant and a museum shop. ABU DHABI Client: Qatar Museums Authority (Qatar) Project name: Hilton Waldorf Astoria Hotel Country: Qatar Project - Doha West Bay Consultant: Hill International Middle East Ltd. (Qatar) Description: Construction of a 42-storey Hilton Waldorf Contractor: Hyundai Engineering & Construction Astoria Hotel. Company (Qatar) Client: Hilton International (Dubai) Budget ($): 500,000,000 Country: Qatar Status: Current Project Status: New Project Project name: Water Garden Mixed-use City Project Project name: Mixed-use Development Project Description: Development of Water Garden mixed-use Meydan City city comprising residential buildings, hotels, a beach Description: Development of a mixed-use scheme park and marina, schools, shopping outlets, leisure and comprising a shopping mall, villas, apartments and hotels. retail facilities. Client: Sobha Group (Dubai) Client: Albilad Real Estate Investment Company (Bahrain) Country: UAE Country: Bahrain Budget ($): 3,000,000,000 Consultant: Scott Wilson Ltd. (Bahrain) Status: New Project Contractor: Al Hassnain Company W.L.L. (Bahrain) Budget ($): 6,600,000,000 Project name: Red Sea Astrarium Theme Status: Current Project Entertainment Resort Project Description: Development of Red Sea Astrarium theme Project name: Nakheel Mall Project - Palm Jumeirah entertainment resort comprising four world-class hotels, Description: Construction of Nakheel Mall comprising and expansive retail and dining district, a theatre, a 4D five levels of retail, a roof-top plaza with fine dining cinema, water park and an entertainment district that restaurants, a Butterfly Park, including a 300-room, includes (16) entertainment attractions. 40-storey five-star hotel with a roof-top restaurant, Client: Aqaba Special Economic Zone Authority swimming pool and lounge. ASEZA (Jordan) Client: Nakheel PJSC (Dubai) Country: Jordan Country: UAE Consultant: Rubicon Group Holding (Jordan) Consultant: RSP Architects Planners & Engineers Pvt. Status: New Project Limited (Dubai) Budget ($): 680,000,000 Status: New Project
$75m
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Adapt to thrive
The needs of the business traveller are constantly evolving. With this in mind, Cheryl Durst, CEO, International Interior Design Association, takes a look at a few of the top design trends transforming the hospitality landscape today
H
ospitality Design is a constantly changing field, making it at once one of the most challenging and rewarding design fields and of great interest to trendwatchers and travellers, alike. As times change and travellers’ needs evolve with them, hotels, restaurants and spas must adapt to thrive. Inevitably, constant kinetic change leads to the emergence of design trends that set a distinct tone. Here are five of note that we see shaping the future of hospitality today.
LUXURY BECOMES AFFORDABLE It might seem like an oxymoron, but with the damage to the economy since the global recession, it’s a phrase that, for the hospitality industry, has become synonymous with survival. Sometimes it’s the little things — convenient charging stations for gadgets or a room that can accommodate as a boardroom and a bedroom — that can make for a memorable experience that instills loyalty to the hospitality provider’s brand. And in an era when luxury is typically less on display, these seemingly trivial details loom large in the traveller’s mind. It is important to note for many travellers--luxury is a standard and not an aspiration.
BUSINESS-MINDED DESIGN If there’s a key need in business today, it’s flexibility. The fluctuations of business and the speed at which it takes place demand new design thinking in everything from supplying the smallest essential amenities — like dependable and price-integrated WiFi
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— to providing private business centers in lieu of sleep accommodations. Integration of videoconferencing products speak to the adaptability of hotel properties to meet the needs of the business traveller and offer true flexibility instead of simply a bed, bath, television and desk. Even those desks are finding themselves replaced by tables on casters, allowing guests the option of utilising the surface as a workstation or a social gathering space.
LOBBIES BECOME MULTI-PURPOSE At one time, the hotel lobby’s principal roles were to entice guests and to create a stunning initial impression. While still vital roles, they’re not enough for today’s competitive hotels. Beyond a fetching and inviting design space, the ideal lobby of now and for the future
also needs to be multi-functional, providing adequate formal and casual meeting spaces. Lobby areas need to be segmented to accommodate for both intimate and slightly larger gatherings, and still afford personal space for the business guest who simply needs to work undisturbed.
REGIONALISM BECOMES EMPHASISED It’s almost surprising that taking advantage of regional culture hasn’t been a constant in hospitality design all along. Employing local artists to produce significant tone-setting work in public areas and in private spaces not only offers a significant opportunity for the local artist, but it gives the hospitality provider’s brand a chance to truly integrate with the regional culture on a sensory level. This regional focus carries over into other areas of hospitality as well, such as on the menus in restaurants who source their food and beverages from local suppliers.
TECHNOLOGY BECOMES THE GUEST EXPERIENCE For hospitality providers with an overwhelming business clientele, technological integration into the guest experience is a must, from the initial point of contact — usually the website — to offering feedback in the wake of the stay. It’s about the total experience, offering flexibility and ease of use from stem to stern, that those in hospitality are eager to provide. The Conrad hotels’ Conrad Concierge app is a good example of forward thinking in this direction. Through any smartphone or tablet, the guest has the option of customising his or her stay, from selecting preferred pillows and advancing room service to booking spa treatments or other services. Technology also plays a significant potential role for designers, as well — in terms of feedback on their finished projects. Periodically checking out online reviews from design- and tech-savvy travellers is an excellent way to feel out what’s just around the curve.
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