THE organisers of the Arabian Hotel Investment Conference (AHIC) held a regional briefing to discuss Qatar's long-term vision of the tourism sector and review of local and global hotel performance indicators.
“Despite another year of increased supply (6.5 per cent) Doha continues to improve its reputation as a destination for business and leisure,” said Philip Wooller, area director for Middle East and Africa at STR Global. “Demand increased by 17.7 per cent resulting in occupancy increases of 11 per cent. However, room rates achieved dropped by 7.9 per cent, which was perhaps more to do with the perceived impact of the 2012 new supply numbers, which increased by 35 per cent as hotels sought for higher market share through competitive pricing. Due to the better than expected occupancy levels RevPAR stayed in positive territory at 2 per cent.'
The Middle East and Africa (Mena) region reported positive performance results during December 2013, when reported in US dollars, according STR Global. The region reported a 3 per cent increase in occupancy to 59.5 per cent, a 4.2-per cent increase in average daily rate to $180.65 and a 7.3-per cent increase in revenue per available room to $107.44. Demand increased in the Middle East by 6.6 per cent at year end, while supply increased by 10.2 per cent.
Speaking of the importance of planning ahead, Kees Hartzuiker, CEO of hospitality consultancy firm Roya International, said: 'When it comes to hotels vs hotel apartments, the past couple of years have shown that including both components in a property offers the flexibility to react to ever-changing market trends, which in turn helps optimise performance and protect owner’s returns.'
Hartzuiker also highlighted the significant impact food and beverage operations have had on the bottom line in the Doha hotel arena, stating: 'Hotel outlets are part of the social fabric of this city and food and beverages currently account for over half of the revenues. Owners simply cannot afford to be passive on this front. Planning and executing the right strategy is critical in today's landscape and developers are urged to explore different concepts and operating philosophies.”
Edmund O'Sullivan, chairman of Meed Events, commented: 'We have chosen Qatar for the second year to host one of our pre-AHIC regional briefings because we believe in the continued efforts by this country to invest heavily in the hospitality and tourism sector, which is expected to boost job creation in the next few years. With 81 hotels currently operating in Qatar and 110 under construction, Qatar promises almost 1, 27,000 jobs for hospitality professionals by 2030.”
He added: 'This proves that the Gulf region is becoming stronger and that the tourism sector in GCC countries is embedded in the heart of its diversification strategy to raise the living standards of their citizens and provide them with job opportunities on the highest international business standards.'
AHIC 2014, which is organised by Meed and Bench Events, will take place at the Madinat Jumeirah in Dubai, UAE, from May 4 to 5.