Cairo tourism shows signs of recovery Hotels adopt strategies to help occupancy levels bounce back
While optimism levels in Egypt have dipped in recent months, due to ongoing politi- cal unrest and delays to key economic reforms, tourism in Cairo has recovered slightly compared to 2011. According to Jones Lang
LaSalle’s (JLL’s) Cairo Hotel Market Overview for Q4 2012, tourist arrivals hit 11.5 million in 2012 (an 18 percent increase on 2011). Furthermore, hotel occupancy rates are starting to get back on track, standing at 56 percent in 2012, a marked improvement on the 49 per- cent recorded for calendar year 2011. Despite this, average daily rates in the year to December 2012 declined by five percent compared to 2012, falling from US$54 to US$51. The JLL report also stated that RevPAR levels, therefore, have only increased marginally to US$29 in the year to December (up from just US$27 in 2011). There were no new hotel
rooms introduced into the market in Q4 2012 with Cairo’s existing supply remaining unchanged, at 27,000 rooms in 159 properties. However, the
Egyptian Hotel Association says there are a further 29 hotels offering 7,995 rooms currently under construction. Many properties are seizing opportunities to promote the destination. “The relative speed of
Egypt’s recovery is due largely to the strength of the desti- nation. After all, Egypt has attracted business and lei- sure travellers since the begin- ning of time,” said Alexander Suski, Director of Sales and Marketing, Kempinski Nile Hotel. “However there has been a change in strategy and mindset during the last two years for hoteliers in Cairo, shifting from a respon- sive to a pro-active approach towards the meetings industry. Innovation and new ideas need to be created to get more events business back to Egypt/Cairo.” Kempinski is holding regu- lar innovation workshops for employees, based on a model inaugurated at Emirates Palace in Abu Dhabi at the beginning of the year, which provides a dedi- cated space for staff to 'work- shop' new and innovative ideas.
“We are positive that as
a brand and ambassador for Egypt, we can help drive meet- ings business back to Cairo,” said Suski. “This is why we are opening the Kempinski Royal Maxim at the end of 2013, which will feature the larg- est banqueting and meeting space in the city.” Marriott, which has six
Alexander Suski
hotels and resorts in Egypt with the all-new Renaissance Cairo Mirage City Hotel set to open soon, is bullish about a comeback. “We have heavily marketed
27,000
Total number of hotel rooms in Cairo
Source: JLL
Egypt at international exhibi- tions and trade shows by actively in participating in the Arabian Travel Market in Dubai, IMEX in Frankfurt and ITB in Berlin,” said Magdy Naguib, Multi Property General Manager for the JW Marriott Cairo and the Renaissance Cairo Mirage City. “I am optimistic about Egypt having a quick rebound and look- ing forward to the pro-demo- cratic change and the new era going hand in hand with an upturn in tourism. The primary objective is to quickly get back to the normal level of tourism.”
New luxury travel show announced for Abu Dhabi
A new, invitation-only busi- ness-to-business event for those in the luxury travel industry will be held in January 2014 in the UAE Pavilion on Abu Dhabi’s Saadiyat Island. The Middle East Luxury
Travel Show (MELTS) is the result of a strategic partner- ship between Seren Event Management Company (SerenEMC) and Abu Dhabi Tourism & Culture Authority (TCA Abu Dhabi), which is backing the show under its Advantage Abu Dhabi meet- ings incentive initiative.
Due to take place from
January 26-29 next year, MELTS will feature a pre-show familiarisation trip, an opening conference, three days of pre- arranged meetings and three evenings of networking in a variety of venues. “Tourism is one of 12 strate-
gic economic categories under which business event organis- ers can develop proposals for Advantage Abu Dhabi support. The level of sup- port can range from finan- cial grants, governmental endorsement, leadership patronage, cost rebates and
marketing support,” said Gillian Taylor, Business Tourism Manager, TCA Abu Dhabi. “MELTS fit neatly into this target portfolio and is also keenly aligned to Abu Dhabi’s posi- tioning as a luxury destina- tion yet one which is differen- tiated by its commitment to the preservation and promo- tion of culture and heritage.” Expected to become an
annual event, potential exhibi- tors need to be operating in the region’s luxury travel and tourism industry, or about to enter it, in order to register.
“MELTS has been designed
to motivate and support the progression of the luxury travel and tourism industry in the Middle East by creat- ing outstanding opportunities for communications, height- ened exposure and knowl- edge enrichment, both on a regional and international level,” said Alexandra North of SerenEMC. “Together, exhibitors, qualified buyers and global media will explore, discover and connect with the latest trends and opportuni- ties for high end experiences across the Middle East.
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