THE StayWell Hospitality Group is all set to open the doors to its first property in the Middle East with the Park Regis Kris Kin Hotel in Dubai.
One of the largest independently owned hotel management groups, StayWell currently has a network of 24 properties in the Asia Pacific region with locations including Sydney, Melbourne, Brisbane, Cairns, Townsville, Hobart and Launceston as well as properties under development in Singapore, Malaysia, Morocco and New Zealand and is setting up hotel operations in China and India to capitalise on the explosive growth potential of these two economies.
The group plans to have 30 hotels in Australia and another 70 properties across the region over the next five years.
CEO SIMON WAN told SHALU CHANDRAN about the company’s commitment to the region and plans to expand its portfolio across different key growth areas.
What kind of brand recognition does StayWell have in the Middle East? What are your plans to boost this?
StayWell Hospitality Group is one of the largest independently owned hotel management groups in Asia Pacific. The Park Regis brand, under which our first hotel in Dubai will open and operate by November 2010, is considered a quality accommodation product and aims to deliver up-to-date features, innovative technologies and welcoming service. We have been very successful in expanding our portfolio of hotels in the past and with the opening of Park Regis Kris Kin Hotel, Dubai, our experience, teamwork and collaboration, we are very optimistic in introducing one of our two brands to the Mena region.
An integral part of the launch is to introduce the StayWell Hospitality Group and build on the brand awareness and loyalty we have already achieved within the regions in which we operate. Most of the associates operating the hotel are experienced within the Middle East region and are well advanced in creating the necessary market awareness and promoting the property efficiently to its target clientele.
Why Dubai, which is a market generally considered over-populated with local and international hotel companies? What are your expectations?
Our debut to Dubai is aligned with our dynamic expansion plan. Dubai has changed dramatically over the last three decades, becoming a major business centre with a dynamic and diversified economy. Its low logistical and operational costs and excellent infrastructure, international outlook and liberal government policies create an ideal and attractive climate for business.
The emirate has become a major venue for a number of growing, profitable industries and a hub for international meetings, conferences, exhibitions and tourism and remains a market offering great potential for growth.
We will continue to achieve measured growth and realistic expansion, bringing our expertise to future hotels by providing a full range of sophisticated services from sales and marketing through to finance, human resources, technology solutions and asset management. Moreover, within the framework of SWHG’s management services, a series of unique proprietary applications have been designed to optimise occupancy and financial return for properties within our portfolio.
Tell us about your hotel brands and what markets do they appeal to?
We operate two high-profile hotel brands - Leisure Inn and Park Regis.
Park Regis is our flagship upscale brand that delivers a distinctive blend of old world English charm and modern Australian hospitality. The Park Regis brand is a quality accommodation product and aims to deliver up-to-date features, innovative technologies and welcoming service. Park Regis properties are centrally located offering accessibility and a prime position to attend to business or act as an ideal base for sightseeing and leisure activities.
The Leisure Inn brand encapsulates what guests want and deserve from a quality hotel product. Each hotel in the portfolio offers value-for-money accommodation with all hotels being located in truly unbeatable locations with exceptionally comfortable rooms, modern facilities and friendly and welcoming staff.
Our primary goal is to build a network of hotels around the world focusing on the four- and three-star market.
What will be the unique features at Park Regis Kris Kin, Dubai? Who will be your major source markets?
One of the main features of Park Regis Kris Kin Hotel, Dubai is its location in the central historic district of Bur Dubai and minutes from Dubai International Airport. The property is close to the metro station and a short walk from the prestigious Burjuman Shopping Centre.
Another feature is the stunning modern décor – the elegant style of the hotel reflects high quality and quiet sophistication. With its 392 spacious guest rooms and suites, three restaurants and two bars, extensive conference and banquet facilities, fully equipped gymnasium and leisure centre, Park Regis Kris Kin Hotel, Dubai is a perfect destination for business and leisure travellers alike.
The key attraction is our commitment to providing guests with unprecedented levels of service quality. We are convinced that our attention to details together with excellent accommodation and quality hotel facilities will set us aside from our competitors in the area.
Our source markets will be the free independent travellers, groups, Mice and corporate.
How did SWHG perform (in terms of occupancies and revenues) over the year? Was the company affected by the global crisis?
As SWHG only operated properties throughout Australia during the time of the financial crisis, the effects were not as great as had we been present in other harder-hit markets. Also, SWHG properties are a distinct mix of leisure and corporate hotels, meaning that where corporate travel slowed due to company cut backs, leisure increased due to an increase in domestic travel trends. Overall, there was no significant drop in occupancy and revenue from our perspective during the crisis.
For the first six months of 2010 we have seen fantastic results across SWHG properties on the whole. We have enjoyed an average growth of 15 per cent in occupancy and increase in average room rate (ARR) of round $20.
Regarding Park Regis Kris Kin Hotel, Dubai, we are confident that our occupancy rates will steadily grow. As a matter of fact, we are already showing a positive and consistent increase in bookings. A number of factors have contributed to this current trend; one of which is our ongoing efforts to introduce and market our brand within the UAE and the Mena region as well as actively listening to our customers’ needs.
SWHG has a dedicated green programme operating in Australia. Will the hotel in Dubai support this or has it been challenging? Why is this important for the company?
Yes, we will definitely implement sustainable features in Park Regis Kris Kin Hotel, Dubai.
Travellers increasingly recognise the value of patronising environmentally-friendly hotels and many are modifying their travel habits. According to a 2008 Deloitte survey, more than one-third of travellers are keenly concerned about ‘green’ travel.
We are dedicated to giving back to the environment through our green programme. Each hotel in the group has a responsibility to ensure that its operations take into account the actual and potential impact on the environment. Environmental sustainability programmes are part of our commitment to conduct responsible business and are starting to prove that, if successfully implemented, they can shape our bottom line performance positively.
Are you working with tour operators and agents in the Middle East to educate them about the company? What are their offerings?
We have been hosting familiarisation trips from local DMCs, airlines and travel agencies. Apart from that, we will also participate in key travel trade shows and exhibitions hosted by Dubai Tourism and Commerce Marketing (DTCM). We will also be offering agents 10 to15 per cent commission extended to third party and IATA approved agents.
We recently opened new international sales offices in London, Munich and Hong Kong that will cover key markets in Greater China, the UK, Scandinavia, and Europe.
We are very optimistic about this market and one of the growing industry trends you will see will be the stronger emphasis placed here. Dubai is certainty a priority market for SWHG given its potential and growth prospects and we see a lot of opportunities to grow here.