SPECIAL REPORT : 2013 FORECAST
HOT OR NØT ?
Here are some experts ’ take on trends that will explode in 2013 and a few that should be retired .
HOT
� Glorified minimarts that offer guests takeaway food that is fresh , exciting and locationsensitive
KNOW the NEIGHBORHOOD … CONTINUED
such as Mombasa in Kenya are becoming hot spots with connectivity via improving airlift . While Trevor Ward , managing director , W Hospitality Group , Lagos , Nigeria , says the list of target countries in Sub-Saharan Africa typically includes Angola , Ghana , Nigeria , Ethiopia and Kenya , he would add Tanzania — at least . “ The whole continent is becoming more appealing ,” he says . “ The likes of Hilton and Rezidor are looking at opportunities throughout Africa — mainly in capital cities , although the Park Inn and Hilton Garden Inn brands are also gaining ground in secondary cities .”
It ’ s not just mega-brands whose hotels are on Africa ’ s list . Led by design-driven properties like Nairobi ’ s Tribe , the practicality of smaller properties may spur more boutique hotels .
MICE business can take part of the credit for fueling that boom . But , the prospect of saturation in markets like Shanghai and Hong Kong is also persuading operators to give secondand third-tier locations another look .
“ We ’ re seeing interest in destinations such as Penang , Langkawi and the Eastern Coast in Malaysia , Lombok in Indonesia , Palawan and Borcay in the Philippines , Danang / Hoi An in Vietnam and Sri Lanka ,” says Robert Hecker , managing director , Horwath HTL , Singapore .
The Middle East is the general exception to the new market rule . Dubai and Doha are still grabbing the lions ’ share of interest . While political unrest in Syria in October hadn ’ t yet impacted RevPAR , according to Gerald Lawless , president and CEO , Jumeirah Group ,
“ IN 2012 AND 2013 MORE THAN 4,000 ROOMS EACH YEAR ARE PLANNED TO OPEN IN MEA .”
— Jean-Jacques Dessors , COO Africa , Middle East , Indian Ocean & Caribbean Islands , Accor
� Design , experiences and amenities that cater to multigenerational travelers
� iPads replacing in-room compendiums
NØT
� In-room newspaper delivery
� Pay-per-view television
� Charging for services like Wi-Fi
� Traditional business centers without wireless connectivity
Even in South America , the trend toward development beyond gateways is growing . “ The satellite cities have enjoyed the most growth in demand and rate as major firms open factories outside of the largest cities to take advantage of reduced taxes , less congestion and a strong and inexpensive labor force ,” says Paul Sistare , president and CEO , Atlantica Hotels International , São Paulo . But , particularly in Brazil , that rapid expansion is focused less on luxury and more on mid-tier and economy offerings . “ For investors , high-end development cannot be financially supported in the secondary and tertiary markets ,” Sistare adds . “ Consumers have discovered that a great place to sleep , eat and do business does not have to be expensive .” In Asia , mid-market is the new buzzword . Offerings like Accor ’ s Ibis are being joined by regional entries from Onyx Hospitality ’ s Ozo to Aston International ’ s Indonesia-based Neo Hotels . The region ’ s fast-growing
Dubai , there are concerns that 2013 isn ’ t going to bring much in the way of rate increases . “ I am particularly concerned that RevPAR will not be rebuilt through ADR growth in the corporate sector , as this is still showing signs of weakness ,” he says .
However , such concerns aren ’ t taking the Middle East off the hot list . Whatever the current headlines , hotel companies that want to be truly global understand the long-term need to establish their presence in this market , with the Middle East / Africa development pipeline comprising 493 hotels and 122,942 rooms , according to the September 2012 STR Global Construction Pipeline Report .
The usual suspects — the UAE , Saudi Arabia , Kuwait and Qatar — are still on the radar , and mega-brands are taking note . “ In 2012 and 2013 more than 4,000 rooms each year are planned to open in MEA ,” says Jean-Jacques Dessors , COO Africa , Middle East , Indian Ocean & Caribbean Islands , Accor .
24 HOTELS December 2012 www . hotelsmag . com