ACCOR Hospitality Middle East will continue its strong development in the region in 2010.
In terms of performances, the brand witnessed a drop in top-line revenue, especially during the summer and Ramadan period, said Philippe Baretaud, development director for the Middle East.
“It was lower than average because of the recession. In markets like Dubai, international feeder markets have decreased in demand. We have managed the performance ratios by cutting costs, this is possible because you have less fixed-cost in economy and mid-scale brands than up-scale,” he said.
“In the region, Dubai has been our hub, we had high levels of performance for Ibis and Novotel since the end of Ramadan 2009. We have seen 82 to 83 per cent occupancies for all Ibis properties, more than 1,600 rooms in Dubai.“
The company launched the Ibis Hotel in Samiyah in 2008 and has witnessed 85 per cent occupancies and 56 per cent gross operating profit for 2008-09. Its newly opened Ibis properties in Amman, Jordan and Muscat, Oman have also performed well.
Accor plans to launch the Ibis Rigga in 2010 and to increase its portfolio to 44 properties in the Middle East by 2011.
Looking ahead, Accor plans to open its first Pullman property, the Pullman Mall of the Emirates in July 2010. The upscale brand Pullman has tremendous development potential in cities which cater to conventions and aims to have a full in-house Mice focus with extensive conference and meeting facilities.
The group’s portfolio also includes the up-scale Sofitel, which recently opened the Sofitel Jumeirah Beach Resort & Spa. Another will open in Zallaq, Bahrain in July 2010. Two further Sofitels are under construction.
The company plans to reinforce its position as market leader with the Ibis brand in the region. “We will continue to develop the network in markets like Saudi Arabia and the Levant countries. We also believe 2010 will be a testing year for Pullman as it establishes brand awareness and opens in the region,” added Baretaud.