travel trade weekly issue 87

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Middle East and North Aica Edition JULY 9, 2011 iSSUe 87 www.traveltradeweekly.travel July 9, Issue 87 Market Update 2 Weekly News 3 Accommodation News 5 Air Travel News 7 International 10 Who’s Moved 11 Travel Talk 12 Agents’ Corner 13 Travel Channels 14 Rendezvous 15 Events 16 8 8 Qatar Airways Breaks into Canadian Market Qatar Airways Breaks into Canadian Market Qatar Airways has launched flights to Montreal, marking the airline’s first route to Canada. STaRWOOD TO OPeN TWO HOTeLS iN MeDiNa Starwood Hotels & Resorts Worldwide is poised to consolidate its presence in Saudi arabia with the opening of two new properties in Medina. In is Issue 5 DUbai DUTY FRee: iNcReaSeD SaLeS, ReTaiNS TOP POSiTiON Dubai Duty Free has recorded a remarkable increase in its half year sales operations and retained its number one position for the third consecutive year. 2

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Travel Trade Weekly is a leading news provider for travel industry professionals in the Middle East and North Africa, delivered every Saturday electronically and monthly as a hard copy.

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Page 1: Travel Trade Weekly Issue 87

Middle East and North Africa Edition

July 9, 2011 issue 87 www.traveltradeweekly.travel

July 9, Issue 87

Market Update 2Weekly News 3Accommodation News 5Air Travel News 7International 10Who’s Moved 11Travel Talk 12Agents’ Corner 13Travel Channels 14Rendezvous 15Events 16

88Qatar Airways Breaks into Canadian MarketQatar Airways Breaks into Canadian Market

Qatar Airways has launched flights to Montreal,marking the airline’s first route to Canada.

starwooD to opentwo Hotels in MeDinastarwood Hotels & resorts worldwide ispoised to consolidate its presence insaudi arabia with the opening of two newproperties in Medina.

In This Issue

55

Dubai Duty Free: increaseD sales, retains top position

Dubai Duty Free has recorded aremarkable increase in its half year salesoperations and retained its number oneposition for the third consecutive year.

22

Page 2: Travel Trade Weekly Issue 87

the total sales in the first sixmonths of the year accountedfor aeD2.548 billion (usD698million), representing a growthof 16.6 percent over the same

period in 2010. colm Mcloughlin, managing director, DubaiDuty Free, hailed the figures. “we are extremely pleased that 2011 has shapedup to be such a positive year for the operation.we have seen consumer spending increaseacross most categories with significant spikes inluxury sector products. we have also seensignificant increase in sales across all threeterminals for both departing and arrivingpassengers, all of which is encouraging for theyear-end figures.”The most favoured categories making up the

impressive results remain

perfumes, liquor and gold. perfume sales rose by20 percent to total aeD 361 million (usD99million) while gold sales increased by 24 percentto reach aeD290 million (usD79 million). sales of electronic goods grew 22 percent andaccounted for aeD196 million (usD54 million)while watch sales recorded a solid 41 percentincrease to aeD 172 million (usD47 million). in terms of duty free sales, terminal 2 proved tobe the most profitable with a 31 percent increase,while terminals 1 and 3 recorded a growth of 15percent and 16 percent respectively with theoverall arrival sales shooting up by 16 percent. with a recorded aeD4.66 billion (usD1.27billion) turnover in 2010, Dubai Duty Free hasalso retained its number one position as thelargest single airport retail operation in theworld, surpassing seoul incheon airport andlondon Heathrow.

2

TRAVEL TRADE WEEKLY

Managing EditorMary Kammitsi

[email protected] Kasziba

Duncan MacraeMarianna Keen

Design & Layoutelina pericleous

Sales & MarketingDimitris ThomaidisMaria Demetriadou

Directorsandreas constantinides

Mary Kammitsi

Headquartersp.o. box 25255

nicosia 1308 cyprustel: +35722820888Fax: +35722318958

Websitewww.traveltradeweekly.travel

[email protected]

[email protected]@traveltradeweekly.travel

COUNTRY CURRENCY 1USD=uae (aeD) Dirham 3.67egypt (eGp) pound 5.96saudi arabia (sar) riyal 3.75lebanon (lbp) pound 1,515bahrain (bHD) Dinar 0.37Jordan ( JoD) Dinar 0.71syria (syp) pound 47.45Kuwait (KwD) Dinar 0.27Qatar (Qar) riyal 3.64oman (oMr) rial 0.38tunisia (tnD) Dinar 1.38Morocco (MaD) Dirham 7.90iran (irr) riyal 10,612yemen (yer) rial 213.7algeria (DZD) Dinar 72.74libya (lyD) Dinar 1.21

MENA Exchange RatesAccurate as of 7/7/2011currencies shown in red are fixed against the us Dollar

Dubai Duty Free: Increased Sales,Retains Top PositionDubai Duty Free has recorded a remarkable increase in its half year salesoperations and retained its number one position for the third consecutive year.

Ancillary Revenue an Enduring Part of Airline Income Ancillary revenue reported by airlines grew to usD21.46 billion in 2010, almostdoubling 2008 figures, according to the amadeus review of ancillary revenue results.The report from ideaworks and sponsored by amadeus, reveals that unitedcontinental, Delta and american are top of the table, spurred by proceeds frombaggage fees and co-branded credit cards. The analysis, released on June 26, iscompiled from 104 airlines across the world and reveals that 47 carriers disclosedancillary revenue growth of 96 percent in 2010 compared with 2008.The review found that airlines already engaged in ancillary revenue activities arebringing more products to market, through the introduction of new unbundledservices and via the inclusion of distribution methods beyond the carrier’s website.Many of these airlines are gaining retail know-how. pricing models are refined,branding has been emphasised, and an increasing number of features are presentedduring the booking process.ian wheeler, vice president, marketing and distribution, amadeus, highlighted theincreased interest the company has received for its ancillary services solution followingthe trends. “ancillary revenue has become an enduring part of airline incomestatements, as revealed by this study. true financial success for airlines is boosted whenthese services are available through online, travel agency, and corporate traveldistribution channels. That’s why we are seeing growing momentum behind amadeusancillary services solution, which helps carriers sell à la carte ancillary services ontheir website, call centre and via travel agencies.”

Page 3: Travel Trade Weekly Issue 87

3July 9, 2011

Bahrain Embarks on Airport ExpansionBahrain Airport Company (BAC) has formally launched its Bahrain International Airport (BIA) expansionproject, which will set the capacity to increase by 50 percent.

upon completion, theairport is expected towelcome 13.5 milliontravellers compared tothe current passenger

volume of nine million. Dar al Handasah, one of the largestengineering and design practices in theworld, has been chosen to lead thebHD4.4 million (usD11.67 million)design-phase of the project, which isexpected to take nine months, and tosupervise the construction. The work isslated for completion by 2015. Khalid al rumaihi, chairman, bac,commented on the expansion.“bahrain international airport is a vitalcomponent of bahrain’s economy, with its

strategic geographical location in the heartof the Gulf. The development will build onthis historical position, transforming itinto a vibrant platform for travellers andreinforcing the role it plays as a gateway tothe world. we must ensure that bia fulfilsthe potential and mandate set by bahrain’seconomic Vision 2030, connecting ournation to the world and contributing to itssocio-economic progress.” The expansion will add another 40,000m2

to the airport’s footprint with more than3,000m2 dedicated to retail facilities. Theadditional contract and remote gates and40 check-in counters will further improvethe airport, which is vital to the country’sdevelopment, noted al rumaihi.“The plans we are initiating for an

expanded international airport are essentialto bahrain's continued development, notonly in providing businesses in bahrainwith the access they demand for the future,but also in bolstering the growing aviationand logistics industry in the Kingdom.”Gordon Dewar, ceo, bac, commentedthat the expansion marks a milestone inthe airport’s operation. “we are working hard towards fulfillingour vision of running the best airport forbahrain, whether it means meetingcapacity demands, providing excellentlevels of professional service or adoptingthe best techniques and technologies. Thecompletion of this development will go along way towards meeting these goals and,in turn, boosting our profitability.”

Page 4: Travel Trade Weekly Issue 87

July 9, 20114

ADTA Figures Indicate Continued Upward Trajectory in Abu Dhabi Hotel PerformanceAbu Dhabi’s hotels and hotel apartments continued their strong performance across the board in the first fivemonths of the year, reports Abu Dhabi Tourism Authority (ADTA).

Dubai has ranked as the top cityworldwide in terms of hoteldevelopment, with 97 upscale hotelprojects and 35,154 guest roomscurrently underway.tophotelprojects.com derived the figuresfrom facts and data from over 4,300hotel projects worldwide. second, thirdand fourth places went to abu Dhabi (66projects), berlin (49 projects) and new

york (43 projects).Despite the global economic crisis, Dubaihas headed many upscale developments,including the amazing ‘Dubailand’project developed by tatweer/DubaiHolding, which will be realised withseveral large themed and event-orientedhotels. The ‘asia asia’ hotel, with nearly6,500 new rooms, is also expected to beintroduced to Dubai in the coming years.

Dubai expects its new international hub,which welcomes long-distance flightsfrom throughout the world, will stronglyincrease the numbers of businesstravellers and leisure guests visiting theemirate. The new 828m landmark, burjKhalifa, famed as the highest tower onearth, along with numerous otherattractions, are expected to continueraising Dubai’s profile.

a ccording to the latestfigures, released on July 4,the hospitality industryin the uae capital saw anincrease in guest numbers,

guest nights, occupancy, revenue andlength-of-stay. Hotel guest numbers in the five-monthperiod climbed by 10 percent comparedwith the same period in 2010, rising to866,501, while guest nights grew by 26percent and average length of stay rose by15 percent to just over three nights.Meanwhile, occupancy increased by 10percent to 71 percent and revenue washiked up by six percent to reach aeD1.9billion (usD513 million). Food andbeverage continued to be a major revenueearner contributing 10 percent more thanin the first five months of 2010.lawrence Franklin, strategy and policydirector, aDta, commented on the factorsthat have helped to boost the hotelindustry’s performance. “increased destination competitivenesswith average room rates falling 15 percentyear-on-year for high quality product hascontributed to our appeal. Hotel stays inabu Dhabi are now more affordable than

other established upscale destinationsincluding Dubai, paris, sydney, new york,rome and tokyo.”

results indicate that the uK retained itsposition as abu Dhabi’s prime guestsource, contributing 62,022 visitors in thefive-month period – a 17 percent increasefrom 2010 figures. other double-digit

growth came from india (up 22 percent);Germany (up 15 percent); saudi arabia(up 39 percent); France (up 33 percent)and russia (up 46 percent).“The ongoing development of etihad’sessential abu Dhabi incentive stop-overprogramme is further enhancing ourdestination proposition. we also anticipateaccrued benefits from increased air upliftsuch as the recent launch of cathaypacific’s four-times-weekly services fromHong Kong and etihad’s plannedupscaling of its Manchester-abu Dhabifrequencies to twice daily from august,”added Franklin.

Dubai Hotel Construction Booms to Reach Top Ranking

Abu Dhabi

Hotel stays in Abu Dhabiare now more affordable

than other establishedupscale destinations

Page 5: Travel Trade Weekly Issue 87

5July 9, 2011

- Accommodation

Absolute Hotel Services’Eastin Residences toDebut in the Middle EastAbsolute Hotel Services Group hassigned a management contract for eastinresidences Muscat, oman, introducingthe brand to the Middle east.The first eastin residences in theregion, scheduled to open late this year,is situated on a sea road connecting al-seeb and al athiba in the north ofoman’s capital city. within closeproximity to Muscat internationalairport, shopping outlets, the seebcorniche and beaches, the hotel isexpected to attract both business andleisure guests in abundance.Jonathan wigley, ceo, absolute Hotelservices Group, expressed his delightin debuting the residences brand in theregion. “This annoucement of our furtherexpansion to the Middle east is veryexciting with our eastin residencesbrand and is the first of many soon to beannounced. eastin residences Muscatoffers full services and facilities that willprovide value and flexibility to serve theneeds of our customers for short andextended stays with personalised services,whether for business or pleasure, wepromise to give our customers the bestvalue for all occasions.”

The property will include two meetingrooms with a large party hall and arooftop featuring a swimming pool,fitness centre and open air multi cuisinerestaurant overlooking the arabian sea.

Starwood to Open Two Hotels in MedinaStarwood Hotels & Resorts Worldwide is poised to consolidate its presencein Saudi Arabia with the opening of two new properties in Medina.

Eastin Residences Muscat offers full services

and facilities that willprovide value and

flexibility to serve the needsof our customers

upon opening in thefourth quarter of 2012,sheraton Medina Hoteland Four points bysheraton Medina will

add more than 450 rooms to the historiccity’s lodging offering.The brand’s debut in Medina will markanother milestone in the company’sregional expansion strategy, noted Guidode wilde, senior vice president, starwoodHotels & resorts, Middle east.“we are delighted to extend our long-standing relationship with our partnersaudi brothers commercial as weintroduce the sheraton and Four pointsbrands to Medina. starwood’s continuedexpansion throughout the Kingdom ofsaudi arabia underlines our commitmentto continued growth in this region. Thisbeautiful city is rich in culture and historyand we are confident that the facilities andservices offered by our new hotels will beappreciated by the pilgrims visiting theholy city of Medina.”situated only 150m from the prophet’sMosque, and within close proximity to the

Jannat al-baqi (Gardens of Heaven), oneof the major attractions during the annualHajj and umrah pilgrimage, both sheratonMedina and Four points by sheratonMedina will offer convenient location toreligious travellers. sheikh Fahad al-nowaiser, ceo, saudibrothers commercial company,commented on the openings. “we are committed to expanding thetourism infrastructure in saudi arabia. Formany years, our strategic alliance withstarwood has been very successful in Jeddahand we are keen to expand this relationshipthrough the development of the two newstarwood properties in Medina.”sheraton Medina will feature 297 rooms,an all-day dining restaurant, a gym and ameeting room, while Four points bysheraton will comprise 178 rooms, arestaurant, a fitness centre and a businesscentre. The two properties will further expandstarwood Hotels & resorts saudi arabianportfolio, which currently includes 10hotels under the sheraton, westin and leMeridien brands.

This beautiful city is rich in culture and history and we are confident that the facilities and servicesoffered by our new hotels will be appreciated by the

pilgrims visiting the holy city of Medina

Medina

Page 6: Travel Trade Weekly Issue 87
Page 7: Travel Trade Weekly Issue 87

7July 9, 2011

- Air Travel

British Airways Boosts SaudiArabia FlightsBritish Airways is to further strengthen its presence in Saudi Arabia withincreased frequency between Riyadh and London.

Flydubai Opens Hyderabad RouteLow-cost carrier flydubai has launchedflights on its second major indian route,Hyderabad.There will be three flights per week on theroute departing from Dubai’s terminal 2and landing at GMr rajiv GandhiHyderabad international airport.The new dervice expands flydubai’snetwork to 37 operational destinationsacross the Middle east, asia, africa andthe fringes of europe. Ghaith al Ghaith, ceo, flydubai,described india as a key destination forthe airline.“increasing the number of affordable,quality flights between Dubai and india,will increase the potential for trade andtourism, as well as ensuring the largeindian expat community in the uae willbe able to travel home to visit friendsand family more often. we look forwardto successfully serving indian and otherpassengers travelling on this route formany years to come.”

RAK Airways, uae-based carrier, hasadded another destination to its routemap, after launching scheduled flights toDoha, Qatar. The sixth itinerary of the airline marksanother step in its expansion strategy,noted omar Jahameh, ceo, RAKairways. “by adding a sixth destinationto our network we are providing travellersa value offering to yet another excitingdestination. The introduction of our

Doha sector is in keeping with ourstrategic plan to add five new destinationsto our growing route network before theend of the year.”The airline will operate four flights perweek to the strategically chosen newdestination.“RAK airways Doha flights will providea value option to both business travellers,who can take advantage of the growingtrade opportunities in Qatar, and leisure

travellers who will be able to enjoy allthat the country has to offer, especially inthe lead up to the 2022 world cup,”added Jahameh.

RAK Airways Lands in Doha

starting at the end of october,corresponding with thelaunch of the winter schedule,the route will be upgradedwith an additional flight that

will bring the number of british airline’sservices to the capital city of saudi arabiato six per week. The route will be operatedby a boeing 777 with a choice of fourcabins, including the award winningcclubworld and the airline’s flagship cabin. with the upcoming frequency increase,and five weekly flights to Jeddah, britishairways will offer a total of 11 weekly

flights from the Kingdom to londonHeathrow. paolo De renzis, regional commercialmanager, Middle east, british airways,elaborated on the route.“June marks two years since we resumedflights to the Kingdom, during which timewe have enjoyed strong business in allcabins. The need for an additional serviceto riyadh is a clear indication thatdemand continues to grow and we aredelighted to announce this additionalservice re-affirming our long termcommitment to the market.”

Increasing the number of affordable, quality flightsbetween Dubai and India,will increase the potential

for trade and tourism

RAK Airways

British Airways

Page 8: Travel Trade Weekly Issue 87

July 9, 20118

- Air News

Elaf Group and Sudan Airways Sign GSA DealElaf Group and Sudan Airways signed a general sales agent(Gsa) agreement, which could see sudan airways increaseits market share and generate more revenue from saudi arabia.The agreement was made under elaf aviation, the group’sGsa division. sudan airways anticipates that the strongrepresentation offered by elaf Group will allow it to gainfurther sway and revenues in the saudi market.elaf Group’s 30 years of experience in the travel industry,include four major airline Gsas – biman bangladeshairlines, Garuda indonesia for the western region of saudiarabia, royal brunei airlines and ariana afghan airlines –providing a strong platform from which the airline can profit.currently, sudan airways flies to 24 internationaldestinations, including daily flights to Jeddah and threeweekly flights to riyadh.

Qatar Airways Breaks into Canadian MarketQatar Airways has launched flights to Montreal, marking the airline’s first route to Canada.

the thrice-weekly, non-stop scheduled flightfrom Doha to Montreal’spierre elliott trudeauinternational airport

takes 13 hours.Montreal is the eighth of 15 routelaunched by Qatar airways this year andthe move marks the airline’s fourth northamerican gateway, with new york,washington Dc and Houston alreadyfeaturing in its burgeoning internationalroute map.

akbar al baker, ceo, Qatar airways,hailed the newest route as a key momentin the airline’s expansion.“i have continuously been asked when wewould spread our wings to canada, and iam delighted we have finally reached yourshores to become the only Gulf carrierserving Montreal. Qatar is a global playerin a number of industries, including oiland gas, a sector in which both my countryand canada share a common bond. Qatarairways is a truly global airline,strategically well positioned to takebusiness and leisure passengers betweeneast and west seamlessly via our transithub in Doha. travelling to far awaydestinations such as Delhi, Mumbai, theseychelles, bangkok, singapore, theMaldives, Dhaka or tehran has never been

easier for the canadian public to access,now that we have begun these new flights.”

Qatar airways currently flies to more than100 business and leisure destinationsworldwide and will soon further expandits global footprint by launching scheduledflights to seven destinations as follows:Medina (saudi arabia) on July 14, Kolkata(india) on July 27, sofia (bulgaria) onseptember 14, oslo (norway) on october5, entebbe (uganda) on november 2,baku (azerbaijan) and tbilisi (Georgia)on november 30.

Sudan Airways

We have finally reachedyour shores to become the only Gulf carrier

serving Montreal

Qatar Airways

Page 9: Travel Trade Weekly Issue 87
Page 10: Travel Trade Weekly Issue 87

July 9, 201110

- International

Qatari Diar Reopens Legendary Bern HotelThe Qatari Diar Real Estate Investment Company has re-launchedHotel Schweizerhof Bern after completing an extensive renovation onthe iconic property.

Sheraton Baku AirportHotel to Open this FallStarwood Hotels & Resorts Worldwideand silk way airlines have signed anagreement to open a sheraton hotel inbaku, azerbaijan, this fall. The upcoming launch of the airport hotelwill mark starwood’s foray into thecountry and yet another significant stepin the company’s strategic expansion planto open more than 60 sheraton hotelsacross the globe within the next threeyears. roeland Vos, president, starwood Hotels& resorts, europe, africa and Middleeast, commented on the latest addition tothe brand’s growing portfolio.“reaching out to new frontiers is a focusof our expansion strategy, so we aredelighted to partner with silk wayairlines as we debut the first starwoodhotel in azerbaijan. baku is the maineconomic hub of the country and one ofthe most important tourist destinations inthe region. sheraton’s strong reputationwill assist in further positioning baku as adestination for the international traveller.”The property will be the only brandedaccommodation option within closeproximity to the capital city’s mainHeydar aliyev international airport.sheraton baku airport Hotel will feature207 rooms, including 14 suites, andextensive dining, conference and leisurefacilities. Jaouad Dbila, vice chairman, silk wayHolding, elaborated on the opening. “as the country continues to groweconomically, Heydar aliyev internationalairport has become more of a focusbecause it provides travellers with theirvery first impression of the country. webelieve that our partnership with a globallyrecognised company such as starwoodHotels & resorts will have a great impacton the development of hospitality inazerbaijan going forward.”

the legendary hotelboasts rich history thatspans more than 150years and includes onits illustrious guest list

names such as elizabeth taylor, GraceKelly and peter ustinov. Mohammed bin ali al-Hedfa, groupceo, Qatari Diar, elaborated on thegrand opening. “Qatari Diar is proud to celebrate thereopening of this legendary hotel in thecentre of the swiss capital. The newlyrenovated Hotel schweizerhof bern is asymbol of Qatari Diar’s commitment toluxury development that embraces localhistory and tradition while incorporatingtop international standards and design.we look forward to continuing ourrelationship with the city of bern foryears to come.”prior to the reopening, the hotel, locatedin the swiss capital’s historical old city,

had undergone an intensive, two yearrenovation process. Developed by thelondon-based MKV Design agency, theproperty now boasts a fusion of modernluxurious interior and classic design byincorporating symbolic restoredfurniture from bern’s golden years.

besides 99 rooms and suites, the five-star property features a spaciousconference and business centre,ballroom and, from the end if the yearonwards, a wellness zone. The fully renovated Hotel schweizerhofbern, along with bürgenstock resort inlucerne and royal-savoy in lausanne,compose part of Qatari Diar’s portfolioof redevelopment projects acrossswitzerland.

The newly renovatedHotel Schweizerhof Bern

is a symbol of QatariDiar’s commitment to

luxury development thatembraces local history

and tradition

Hotel Schweizerhof Bern

Page 11: Travel Trade Weekly Issue 87

11July 9, 2011

Fathey AtwaFathey atwa has beenappointed as generalmanager of the new corpexecutive Hotel Doha suites.prior to joining HospitalityManagement Holdings, thehotelier spent four years insaudi arabia, having movedthere from egypt where heworked his way up to thegeneral manager position ofcoral cosmopolitan Hotelcairo. He began his career with hospitality training at Hotelinstitute in alexandria and also worked for two years as a teacherat Hotel institute luxor, where he later returned as head of thefood and beverage department. after gaining experience as foodand beverage executive at Marriott Hotel cairo, he worked inairline catering and was boat manager aboard a nile cruiser. inthe Qatari capital, he will be in charge of the successful launchof corp executive Hotel Doha suites, which aims to positionitself as a value accommodation option.

Heiner WerdelingHeiner werdeling has beenappointed as general manager ofyas Hotel, abu Dhabi.werdeling brings in-depthknowledge to his new role afterworking for 30 years in the hotelindustry, of which he spentseven years in the Middle east.prior to moving to abu Dhabi five years ago, he heldleadership positions across 13 countries, including generalmanager and senior executive roles at Hayman island resortin australia, sheraton imperial luxury collection in Kualalumpur and intercontinental in abu Dhabi. Most recently,he set up and managed his own hotel consultancy company.werdeling has solid expertise in developing people andpaying attention to the details. at yas Hotel, he will focus onstrengthening the hotel’s reputation for excellent service,design and innovative guest experience.

James BritchfordJames britchford has been appointedas director of sales, Middle east andafrica, at intercontinental HotelsGroup (iHG). based in Dubai,britchford will be responsible for thecompany’s continued growththrough sales and partnershipagreements. He joined iHG in 2005and most recently he held the position of senior account directorof the business travel sales team, in charge of europe, Middle eastand africa, where he built strong records.

Mohamed KararaMohamed Karara has beenappointed as director of sales andmarketing of rosewood cornicheJeddah. Having worked previouslyat a number of properties inamman, Jordan, and cairo andsharm el sheikh, egypt, Kararabrings vast experience to theposition. He has manageddepartments in nearly every facet of the industry and has aproven track record in increasing sales and brand awareness.in his new role he will be responsible for growing the hotel’smarket share of the increasing levels of discerning businessand leisure travellers to saudi arabia.

Fathey Atwa

Mohamed Karara

James Britchford

HeinerWerdeling

Page 12: Travel Trade Weekly Issue 87

July 9, 201112

Travel Talk is your space – this is a casual forum for travel industry professionals to discuss current issues and share stories. We want to hearfrom you, so send your comments, questions, frustrations and observations to [email protected]

Michel TaridePresident, Hertz International and Executive VicePresident, Hertz Corporation.

“we are delighted to renew for another five years thisdynamic and historic partnership between euro Disneyand Hertz. as companies with a shared vision for superiorquality and a great family experience, we have commongoals of delivering excellent service aimed at satisfying theneeds of extended families across europe.”

Peter HillCEO, Oman Air

“we are delighted that oman air has been named as winner in thebest business class seat category of the world airline awards, whichare the most prestigious accolades available within the global airlineindustry. our business class seat is regularly mistaken for first class.oman air offers unbeatable luxury, hospitality and value for all ourcustomers. we are continuously seeking new ways to surprise anddelight passengers and we look forward to announcing fantastic newproducts and services, which will offer even greater ‘passenger choice.”

We are delighted to renew for

another five yearsthis dynamic and historic partnership Michel

Taride

We arecontinuously

seeking new ways tosurprise and delight

passengers

Peter Hill

Page 13: Travel Trade Weekly Issue 87

13July 9, 2011

Who are you?My name is ibrahim Mohamed. i am 60 years old and have beenmarried since 1973. i have a daughter and two sons and i currently workas managing director and partner of perfect tours. The agency, whichwas established in 1976, earned itself ‘a’ category positioning amongthe egyptian tourism companies. our activities include air ticketing,inbound and outbound tourism worldwide, religious tours, nile cruises,conferences and festival tours.

What is your favouite thing about working in the travel industry?First of all the chance to travel the world. Many will feel that a careersuch as accounting or working in a bank is simply not for them, whiletalking about travel for a living is interesting and fun. i reckon thattalking about trips to egypt or to the bahamas beats talking aboutoverdrafts. Furthermore, depending very much on what position withinthe industry you hold, you might find that you are not stuck in an officeall day and have the chance to walk around an amusement parkthroughout the day, or perhaps spend time out on a boat or walk on abeach while doing promotion. Many people who work in tourism tendto seem as though they are having more fun.

When is the best time to visit Egypt?if you are planning a trip to the red sea, diving or going on safari, youcan travel to Hurghada, sharm el sheikh or ein el sokhna, preferablyin summer. However, if you are interested in a nile cruise betweenluxor and aswan, visiting monuments, temples and museums, youshould come in winter as these places are located in upper egypt wherethe climate is too hot. enjoy hospitality and watch 5,000 years ofhistory unfold before you on an unforgettable journey through ancientegypt.

Where would you like to travel to for your next holiday?i am already appointed to accompany an egyptian group, visitingturkey on July 17 to 22. Then, as soon as i return, i will meet anamerican group and will spend 10 days with them by the red sea andsharm el sheikh.

Why should people come to you for travel advice?Due to the company’s good reputation, vast experience, professionalstaff, reasonable prices and prompt response to any kind of requests,perfect tours is the ideal choice for any traveller.

Name: Ibrahim MohamedPosition: Managing DirectorCompany: Perfect ToursLocation: Egypt

Agent’s Insight

Emirates Holidays to Boost Seychelles ToursEmirates Holidays and seychelles tourism board(stb) have jointly launched a travel agent incentiveprogramme in a bid to promote the islands in specificmarkets. The ‘be smart, be carnaval’ campaign challengestravel agents from the uae, saudi arabia, Kuwait,oman, Qatar, bahrain, lebanon, Jordan, russia,cyprus, Greece and turkey to boost bookings to theisland until the programme’s official end on January31, 2012. The top four performing agents, two fromthe Gcc/Middle east region and two from theeuropean region, will be rewarded for their work andwill have the privilege of enjoying the ‘seychellescarnaval international de Victoria’ in 2012 during afour-night tour on the island. Frederic bardin, senior vice president, emiratesHolidays, commented that the project will motivateagents and reward the best ones. “This agents’ incentive programme is in line with ourcommitment to promote the seychelles across ournetwork. Various tactical offers will be launched tosupport the programme with the aim of attractingmore tourists into the destination. The countrieswhich have been selected constitute new markets withhigh potential for the archipelago. we will sustain ourefforts in these markets and we are confident that wewill be able to obtain the desired results in the shortand medium terms.”emirates Holidays and stb’s co-operation dates backa number of years. underscoring the islands greatimportance in its network, emirates participated in the‘seychelles carnaval international de Victoria 2011’and supported the event by raising awareness aroundit in new markets, including the czech republic,spain, brazil, russia, the Middle east, india, Korea,china, Japan and many others. in addition, the airlineis to increase frequency between Dubai and theseychelles to 14 flights a week by the end of the year.

Seychelles

Ibrahim Mohamed

Page 14: Travel Trade Weekly Issue 87

July 9, 201114

Increasing Demand, Remaining RisksThe International Air Transport Association (IATA) has recordedimpressive growth in passenger traffic in May, but warns about theimpact unsteadiness in the Middle East and Europe is likely to have.

a ccording to iata’sreport, passengertraffic increased by6.8 percent comparedwith May 2010,

indicating four percent growth fromthe beginning of this year. whilefreight traffic dropped four percentagainst May 2010, the recent months’results have still shown a renewedupward trend with a two percentincrease over the start of the year. The sound figures ease the harsheffects experienced due to otherfactors in the industry, notedGiovanni bisignani, director generaland ceo, iata.“we saw positive developments forthe air transport volumes in May.international passenger load factorsrebounded by 0.8 percentage points to75.8 percent. Freight volumesimproved by 1.2 percent over apriland passenger volumes were up by 1.8percent. These will help to alleviate

some of the pressure on profits fromcontinued high fuel price.”in terms of regions, Middle eastairlines recorded 7.8 percent growthin international traffic over May2010, slightly below a 9.6 percentcapacity expansion that saw loadfactors slip to 70.8 percent. whilethe ongoing turmoil in somecountries of the region resulted in adramatic tumble in smaller markets,the impact on the dominant carriershas been limited. Despite the increasing volumes,feelings of insecurity still remain,warned bisignani. “There are risks associated withpolitical unrest in the Middle east andthe european currency crisis. we stillexpect the industry to make usD4billion this year. That is a pathetic 0.7percent margin and another shockcould alter the industry’s fortunesdramatically. it’s another tough yearfor a very fragile industry.”

Oman Takes Steps to Grow TourismOman’s Ministry of Tourism has formed acommittee to help enhance the sultanate’stourism strategy and prepare an effective plan tomaintain and grow the country’s tourism sector.The committee, made up of airline, hotel, touroperator and tourism investment representatives,will work with the ministry to create coordinatedcommunications with key international marketsthat highlight the nation’s tourism potential.The world travel and tourism council(wTTc) expects oman’s tourism industry togrow from 1.5 percent of total GDp in 2010 to2.4 percent of GDp by 2020. salem al Mamari, director general of tourismpromotions, Ministry of tourism, commentedthat an enhanced marketing strategy for oman’stourism sector will ensure that tourist arrivals inthe country remain high over the comingmonths. “This should be done on two levels; thedelivery to international markets and media ofan accurate, clear and effective message aboutoman remaining as safe and welcoming totourists as ever, and drawing attention to anumber of completed or ongoing projects andactivities which bring the experience of naturalbeauty and indigenous culture in the sultanateto new heights.”

We need an accurate, clear and effective message

about Oman remaining as safe and welcoming

to tourists as ever

Page 15: Travel Trade Weekly Issue 87

Travel Trade Weekly: Tell us aboutyour properties in Saudi Arabia andyour target markets?Khaled Yamak: we communicate withour target, mainly marketing to Gccnationals. They can come anytime and weoffer a good place in which they can feel athome. They require good service and goodfood. Makkah raffles is a homely hotel; ithas a business centre and everything youwould need if you were at home, and extrai would say. The Fairmont is a much biggerhotel. it has a variety of restaurants, 12 intotal, so you have a different experienceeveryday in terms of food. we noticed thatpeople who previously visited for a day ortwo are coming back with their familiesand are staying for longer. They are doingtheir religious duties and the family canlive a normal life.

Travel Trade Weekly: Do theseproperties pose any challenges? Khaled Yamak: of course, we alwayshave challenges – challenges to keep upthe standards, to put a smile onemployees’ faces, and to make the stay ofour guests’ one to remember.

Travel Trade Weekly: Do youconsider the properties around thearea competition in peak season? Dothey force you to extend the barriers ofyour capabilities and differentiateyour offering, or is the area sufficientlypacked during peak season that youall do the same thing?Khaled Yamak: before we came toMecca, we found that people were notgetting value for their money. Hotels weretaking pilgrims for granted. There was achoice and you have to do what you have to

do. There were many in the market bringingthese facilities and this variety of services,and in fact we have forced the competitionto catch up with us. Go to Mecca today andyou will see that most of the hotels haddone nothing for the past 10 years; nowthey are. now they are adding more outletsand they are starting to catch up with thisnew concept. so, in the end, the pilgrimsand the visitors are really the onesbenefiting as they are starting to get whatthey deserve and to get what they pay for.we’re looking forward to openingswissôtel Makkah; the third property. acouple of months ago, we signed aFairmont, which is going well. For thenext five years our business plan is to signanother five hotels. we will reach eight to10 hotels in the next 10 years in saudi.

Travel Trade Weekly: You mentionedyou are opening hotels away from themain tourism area of Saudi Arabia.Do you anticipate that the lifting ofthe tourist visa will offer significantsuccess to these properties?Khaled Yamak: starting from Mecca,we are very good, we love what we haveachieved there and in Dubai. However,keep in mind that riyadh and Jeddah arebusiness destinations for many companiesand organisations and that’s why we areopening in those cities.

Travel Trade Weekly: You haveexhibited at ITB and also ATM, canyou elaborate as to why? Khaled Yamak: i think it’s our duty toinform the trade and the public that aproduct like this exists and is available inMecca. it’s a first and i think the marketis in desperate need of such a product.

Travel Trade Weekly: This justifiesyour decision to follow up with otherexhibitions and trade shows, despitethe fact that traditionally propertiesfrom Saudi Arabia do not usually goout and promote themselves?Khaled Yamak: Most of the time theydo, just for the past two years for somereason they didn’t; maybe because they feltthey already had sufficient activities.However, because we’re new we have to doit and we’ll keep on doing it for the comingfew years until we see how things are going.

Travel Trade Weekly: What do youthink is going to happen during yourupcoming peak season? Whatnumbers do you forecast?Khaled Yamak: we’re almost sold out.ramadan for Mecca is finished; peakseason was never an issue. The challenge forpeak season is keeping the standards andquality of work, not getting people in, aspeople will come. it’s the off season wherewe have to do a little bit of extra work.

15July 9, 2011

Q & A with Khaled YamakThe rapidly evolving Saudi Arabian tourism industry, with rising demand for pilgrimages, increasing businesstravel and a revived domestic tourism scene, has led to the introduction of countless hotels and the need formore competitive action. Khaled Yamak, group director of communications and business development,Fairmont, explains the unique workings of the market and the hotel chain’s strategy.

It’s our duty to inform the trade and the public that

a product like this exists

Khaled Yamak

Page 16: Travel Trade Weekly Issue 87

July 9, 201116

EventsSports and Events Tourism ExchangeCape Town, South Africa, July 27-29, 2011(www.sportsandevents.co.za)an event that focuses on south africa’s facilities and servicesfor all top level international events and the exchange betweensports tourism and the events industry.

China Incentive, Business Travel and Meetings ExhibitionBeijing, China, August 30-September 1, 2011 (www.cibtm.com)a leading event for the meetings, incentives, business traveland events industry in china and asia.

PATA Travel MartNew Delhi, India, September 6-9, 2011 (www.pata.org)asia pacific’s premier travel trade show with networking andcontracting opportunities.

Top Resa, International French Travel MarketParis, France, September 20-23, 2011 (www.iftm.fr)an international travel and tourism trade fair for networking, doingbusiness, innovating and keeping abreast of market developments.

Cityscape DubaiDubai, UAE, September 26-29, 2011 (www.cityscape.ae)a b2b networking exhibition and conference for emerging realestate markets globally.

Kazakhstan International Tourism ExhibitionAstana, Kazakhstan, September 27-29, 2011www.leisure.kzThe eighth Kazakhstan international tourism exhibition inastana, which caters for both the b2b and b2c markets andfeatures a vibrant mix of inbound and outbound destinations.

CIS Travel MarketSt. Petersburg, Russia, October 12-14, 2011(www.restec.ru)an event focusing on cis countries, attended by airlines, tour operators,travel agencies, accommodation providers and tourist associations.

ITB AsiaSuntec, Singapore, October 19-21, 2011(www.itb-asia.com)an event where international exhibitors, asia pacific’s leadingcompanies and emerging enterprises meet top buyers.

The Middle East can learn valuablelessons from south africa as their tourismindustries are facing similar challenges.Jennifer seif, executive director, Fair tradein tourism south africa (FTTsa),commented that high resourceconsumption and competition overnatural resources are common challengesto the Middle east’s and south africa’stourism sectors.an equally important issue for both in thedevelopment of sustainable tourism is theneed to find workable models forcommunity-based tourism and effective

partnerships between the public, privateand civil society sectors.“south africa can learn from best practicein the Middle east, and vice versa. southafrica’s successful hosting of the FiFa2010 world cup may provide inspirationto Qatar 2022 and to the hosting of otherfuture mega events in both the Middleeast and africa.”seif will spotlight lessons learnt in southafrica when she addresses the secondworld Green tourism conference at theabu Dhabi national exhibition centre(aDnec) on December 5-7.

FTTsa has pioneered the world’s firsttourism Fair trade labelling initiative to giveconsumers environmentally and sociallyresponsible travel options. it certifies touristaccommodation, activities and attractions insouth africa against a standard comprisedof labour, socio-economic, management andenvironmental criteria.“i will present Fair trade travel as a toolfor destination management andmarketing and show how Fair tradelabelling can contribute to tourismcompetitiveness at both firm anddestination level,” seif added.

South Africa and Middle East Can Share Tourism Knowledge