GHN Executive Profile - GlobalHotelNetwork.com

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GHN Executive Profile: Omer Kaddouri, Rotana
Omer Kaddouri
CEO & President
Rotana Hotel Management Corporation PJSC
GHN:
What is your outlook for the travel and tourism industry for the next few
years? What are some of the opportunities and challenges you see?
Kaddouri:
Consumer behaviour is changing at a faster rate than ever before and we find that
a focus on price, quality and value will drive the industry going forward. As a
result of greater access to information and due to changing spending patterns
resulting from the last economic recession, we have seen a shift among an
increasing percentage of middle-class travellers towards more affordable
accommodation. We believe high-value yet affordable accommodation will drive
both business and domestic leisure travel for the vast majority of mid-income
travellers in the years to come while the luxury hotels will depend mainly on the
wealthy clientele that are immune to economic volatility. Hence, given the
untapped opportunities to cater to budget-conscious executive travellers across the
region, we developed Centro Hotels by Rotana in December 2005 which is a
lifestyle brand that meets the demands of a new generation of traveller, seeking
finesse and functionality at reasonable rates. We currently have 5 Centro hotels
operating and we are working towards the opening of 25 “Centro Hotels by
Rotana” properties across the region by 2020, using Centro’s design flexibility
that allows for easy adaptation to a wide variety of cities, locations and plot sizes.
With regard to other opportunities, we see social media as continuing to be highly
influential in terms of driving customer behaviour. With more than 1.5 billion
people connected to the world through the internet today, a recent survey found
Copyright (c) 2015 Global Hospitality Resources®, Inc., San Diego, CA USA. All rights reserved.
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that more than 70% of them trust online reviews as much as personal
recommendations. They spend more time surfing online to make their decision on
where to book — hotel mobile apps can make this process much easier. They also
highly appreciate the importance of various social media platforms as they allow
them to share their experiences. These platforms have become one of the
hospitality sector’s strongest tools to enhance the experience and satisfaction of
every single guest, improve operational efficiency by receiving positive and
negative feedback, build solid trust and increase engagement. They are very
essential in creating brand awareness, reputation, visibility and business as word
of mouth spreads swiftly. However, managing bad feedback properly and
promptly can turn a disgruntled client into a lifelong one.
We are heavily focused on social media and E-commerce in general and manage
our guest reviews very closely. On TripAdvisor our reviews increased by 370%
since 2011 and to further increase the number of reviews we have introduced the
Rotana Guest Satisfaction Survey which allows all guests to share their feedback
after their stay and this has been connected with TripAdvisors’s “Review Direct”
capability.
Another matter that we believe will continue shaping the travel and tourism
industry are loyalty programmes. Despite the numerous predictions prophesizing
these programmes’ death, they remain popular with consumers and a key
differentiator. Guests know what they are going to get and every interaction
comes with a positive reward. They get an immediate benefit in the form of a high
quality experience that they are familiar with, as well as tot up points towards a
future positive gain.
Rotana was the first regional hotel company to launch a loyalty programme for
dining and staying back in 1999. Rotana Rewards is the Middle East’s first and
most successful home-grown hospitality loyalty programme offering three tiers of
benefits — Exclusive, Select and Classic. These three programmes are key drivers
of Rotana’s success across the region.
In terms of Food & Beverage, the art of “Eatertainment” is what the world is
moving towards with concepts that appeal to the different senses, which is a focus
of our development in the coming two years across the region. One of the key
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factors in Rotana’s recognized success has been its ability to redefine what
gastronomy means in the Middle East and Africa. Leading from the front, the
brand has forged a culinary path away from clichéd attitudes towards regional
food — towards a quality and diversity of offering unparalleled by any hospitality
group.
As you can see, the opportunities are tremendous and numerous and what I
mentioned are only a few. As for the challenges, the economic and political unrest
in the wider region is one that will continue to have an impact on travel habits.
While the unrest has had an impact in some markets, we are hoping that the
situation will stabilize in the near future.
GHN:
What goals are at the forefront of your agenda at Rotana Hotel Management
Corporation PJSC?
Kaddouri:
We are going global and are currently implementing an aggressive development
strategy with a stand-out vision of 100 hotels by 2020. This strategy includes the
extension of the Rotana brand and sub brands into new markets such as Jordan,
Turkey, Tanzania, Mauritania, Morocco and Algeria.
With growth comes responsibility. It’s a conscious strategy we’ve embraced not
just to follow the pack but to demonstrate a sense of responsibility to our
generation and those to follow — to our guests, our colleagues, our environment
and the various communities that we operate and live in. Hence our key goals for
2015 include the implementation of Rotana’s sustainability programme “Rotana
Earth” which focuses on the following two points: stakeholders’ engagement and
responsible procurement to minimize and reduce harm to the environment and
society.
With growth comes also our focus on the technology platforms whereby we are
introducing a number of ways to enhance our guests’ overall experience. To name
a few: the driving of online bookings through rotana.com website which is
available in six different languages, and the online restaurant reservations and
table management system that centralizes guests’ profiles, allows social media
integration, email and SMS reservation confirmations, and integrates with popular
restaurant booking sites.
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Furthermore, we just launched the Online Check-in process via rotana.com which
allows guests to check-in online 24 hours before arriving to the hotel. The tablet
Check-In is another service, whereby guests are presented with all reservation
details, terms and conditions on a tablet that they can agree to via an electronic
signature. We have also developed a tablet Check-Out that allows guests to checkout directly from anywhere in the hotel, and Electronic Guest Surveys and
E-menus which include additional information on dishes selected and
recommended accompaniments.
GHN:
Please comment on your current portfolio, recent openings, development pipeline,
awards and growth aspirations.
Kaddouri:
Our present portfolio consists of 50 hotels in operation and more than 50 under
development which will open by 2020. We recently announced the upcoming
opening of a further 12 properties, across the remainder of this year and 2015.
These hotels will add 3,360 rooms to Rotana’s existing 12,607-strong room count
across the Middle East and Africa. They include the development into 3 new
territories including Amman, Istanbul and Bahrain, with Bahrain welcoming our
highly-anticipated five-star property — ART Rotana.
The extension of the Rotana brand into new markets represents a key milestone
and important achievement for the group. With a carefully considered
international development strategy in place, we are constantly looking for growth
opportunities and both Jordan and Turkey presented opportunities for Rotana to
extend our award-winning hospitality offering. In particular, a breakthrough into
Turkey is a significant landmark for Rotana as this is a new territory for us in
which we will be introducing the values that are essential in making us the leading
hotel management company in the region.
In 2014, we opened two new properties with the first being the 5-star Hili
Rayhaan by Rotana, our second property in Al Ain. The second was the 400-room
Salalah Rotana Resort in Oman.
We will continue to achieve measured growth and realistic expansion in locations
which are of interest to us, bringing our expertise to every future hotel,
convention centre, serviced apartment or prime resort. As a company, we continue
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to pursue new openings and opportunities, fresh challenges, and partners, who
seek the same goals and share the same aspirations.
Rotana and every single one of the hotels under its management — have all
received awards and accolades both from the international hospitality industry and
the agents and customers that use them. From the biggest award down to the
smallest positive review of a restaurant in a magazine, each tells the story of the
commitment and dedication of our colleagues and management to offer the best
hospitality in the Middle East, Africa, South Asia and Eastern Europe.
GHN:
Please comment on Rotana's mission, vision, culture and core values. What would
you say is your distinctive advantage?
Kaddouri:
The “success blend” of Rotana was a combination of strategic planning and sound
financial control, sophisticated human resource capabilities and reliable technical
services support. The formula was flavoured with innovative food and beverage
management and aggressive sales and marketing. Rotana has gone off the beaten
path and reaped rich dividends.
Since its inception, the company has grown to become the largest hospitality
management company in the region — a brand not only widely recognized, but
much admired. Rotana’s strategic development is orchestrated by a team of
professionals who have exceptional international experience and a fundamental
understanding of the cultures and communities of the Middle East and Africa. The
impressive growth in the number of Rotana properties under management is
powered by a consistency in “getting it right” first time, every time.
As a management team, we are dedicated to raising the standards within the hotel
industry by setting and improving our own.
Our vision is to be the leading and most dynamic hospitality management
company in the Middle East and Africa operating a comprehensive range of
products and brands that aim to meet all the requirements of our guests.
Development of the brand is rigorously planned and meticulously managed across
all operations — simultaneously evoking confidence and trust among property
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owners, and creating satisfying experiences for corporate and leisure travellers
alike.
In the coming few years, Rotana will open 10 hotels per year. The plan is
progressing full steam ahead — the strategy is present, the execution and
know-how is available, the objective is clear. We are positive that we will be able
to manage growth in an efficient way. We are managing an ambitious expansion
that will see our portfolio of operational properties increase from the modest two
in 1993 to more than 100 by 2020.
GHN:
As it relates to corporate responsibility, how is Rotana addressing some of the
social, economic and sustainability issues in markets where it has a presence? Any
particular initiatives or awards you'd like to mention?
Kaddouri:
Rotana Earth, our Corporate Sustainability Platform, addresses environmental,
economic and social sustainability. It is implemented in all our new and operating
hotels, hotel apartments and resorts.
Our goal for Rotana Earth is to guide our transition to sustainable development
while setting fundamental values and principles to building a solid sustainable
future for the company and the community. And our vision is to be an industry
leader in implementing sustainable business practices that minimize harm and
maximize benefit to the environment, the economy and our local community. To
achieve this vision, we have identified strategic substantiality goals to be applied
in our key sustainability areas: our environment, our colleagues, our guests, our
suppliers and our communities, together with the over-arching area of our
governance.
Rotana Earth goals align with our core corporate values of LIFE: Long term,
Innovative, Friendly & Ethical.
As we continue on our path to expand our portfolio and venture into new
territories, it is essential for us to be mindful of the impact we make on our earth
and communities’ lives. It is our responsibility towards our guests, our colleagues,
our environment and the various communities that we operate and live in.
Therefore our sustainability plan for 2015 consists of:
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1. Sustainability Stakeholders engagement: Rotana stakeholder engagement plan
and surveys will be implemented to actively engage with our stakeholders, listen
to them, build a relationship with them then respond to their concerns in a
mutually beneficial way to build better relationships with the societies in which
we operate, ultimately resulting in improved business planning and performance
and reduced impact on the earth’s resources.
2. Responsible procurement: We will continue to develop a responsible
procurement code to meeting our needs for goods, services, works and utilities in
a way that optimizes product life-cycle value by cutting long term procurement
costs, averting sustainability risks, reducing operating costs and building a
marketable image of Rotana’s brand in addition to benefiting society, suppliers
and minimizing or reducing harm to the environment.
GHN:
In what ways is Rotana using social media and mobile technology to enhance its
business?
Kaddouri:
In this day and age, the ability to adapt to a fast-moving business environment is
the only sure means of survival. If a company cannot adapt — or cannot adapt fast
enough — it will be overtaken by those that do.
In the past four years, Rotana focused heavily on social media and E-commerce in
general. We have invested in hiring experts to set up the guidelines for us to
develop and work with across our hotel network. This is entirely managed by our
team and grown organically through our various initiatives.
Today, we have 45 Facebook pages with over 520,000 fans and 42 Twitter
accounts with more than 48,000 followers. We are also on Pinterest, Instagram,
Foursquare and YouTube and continue to grow them. Furthermore, we have our
own social media network rotanatimes.com, which features all of our promotions,
upcoming events and activities across all properties in addition to competitions
which are interlinked to our social media activities.
In terms of mobile technology it is a major focus for us. We do not invest in
technology for technology’s sake. Instead, we discover how our customers’ needs
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and expectations are evolving — and how we can provide them with the added
services that enhance their experience.
We are working on many advanced methods to meet these expectations. We have
introduced a number of ways that allow our guests to use their smart phones to
speed up the decision-making and booking process — thus enhancing their
overall experience. The first method is by driving the online bookings through our
Rotana Mobile App. It is offered in six languages today, and it has posted a 20%
increase in monthly mobile bookings which delivers a significant return on
investment in developing the mobility platform. The second method is the newly
launched Online Check-In service via the Rotana Mobile App. Guests can then
arrive at the hotel and simply collect their room key from a priority check-in desk
exclusively reserved for online check-ins.
GHN:
Looking back, what would you say are some of Rotana's significant milestones
and defining moments?
Kaddouri:
Recounting Rotana’s significant milestone could take us all day, but I will try to
identify the main ones.
1978 – It started with a friendship. In 1978 the Chairman of Abu Dhabi National
Hotels at the time, Nasser Al Nowais, met the General Manager of the Hilton
Group, Selim El Zyr. They quickly formed a strong bond and shared a dream of a
regional hospitality group capable of developing best-of-breed hotels to
international standards.
1992 – Rotana Hotel Management Corporation was launched.
1993 – Rotana Hotel Management Corporation Limited was established, and in
1993 the Beach Rotana became the leading property in Abu Dhabi in terms of
room occupancy and food and beverage customer-traffic.
1997 – Rotana’s regional expansion started early. Just four years after opening in
Abu Dhabi, the group launched the Al Bustan Rotana in Dubai.
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2000 – By the year 2000, Rotana had grown to 13 properties around the region,
including Abu Dhabi, Dubai, Egypt and Lebanon. The aim of opening a Rotana
property in every major Arab city was beginning to yield fruit.
2002 – Rotana’s extraordinary growth was recognised internationally at the World
Travel Market with the “WTM Global Award” for “Best Operation in the Middle
East and contribution to Tourism in the Region.” The group also received the
award for “Excellence in Branding” at Superbrands (see herein the link http://
www.rotana.com/awards for full details of our awards).
2005 – Rotana was operating 20 properties, and opened its first in Syria: Queen
Centre Arjaan by Rotana. The group continued to receive international recognition
for its achievements, such as “Best Hotel Brand” at the GCC National Brands
Excellence Awards. Rotana deepened its brand offering with the launch of its
budget lifestyle brand, Centro Hotels by Rotana — as well as the exceptional
Rotana Rewards loyalty programme.
2008 – Rotana announced a further extension of its brand structure with the
launch of two new offerings: the alcohol-free Rayhaan Hotels & Resorts by
Rotana and Arjaan Hotel Apartments by Rotana. This brand differentiation
allowed the group to enter new markets in new ways, even further cementing its
regional market dominance.
2009 – Rotana opened nine properties including its first property in Makkah,
Saudi Arabia, its first five-star resort in Syria and its first Centro property on Yas
Island in the United Arab of Emirates.
2010 – Rotana inaugurated Rose Rayhaan by Rotana, which was certified as the
tallest hotel in the world by the Guinness Book of World Records at the time.
Furthermore, it opened its first beach property in Dubai and announced the
expansion of its portfolio to 70 properties to open by 2012.
2011 – Rotana introduced its 5-star hospitality in Iraq with the opening of Erbil
Rotana in Erbil, Kurdistan.
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2013 – Rotana announced its first foray into Turkey’s capital with the Tango
Arjaan by Rotana and Burgu Arjaan by Rotana in Istanbul.
2014 – Executive change took place as Co-Founder, Selim El Zyr passed on the
lead to myself. El Zyr continued to serve in an advisory role as the Vice Chairman
of the Board moving forward. In turn my own role as Chief Operating Officer has
been taken over by Guy Hutchinson.
GHN:
On a personal note, what do you enjoy most about being in the
hospitality business, and what advice would you give to young executives getting
into the business today?
Kaddouri:
Few are the people who know that I didn’t choose hospitality as my main major at
the beginning instead I went to an American business school in the UK and lasted
only one semester. I think my life could have turned out to be very different if I
didn’t move to the hospitality industry — one I simply fell in love with.
Being in the right place at the right time and recognized by the right people is the
most important aspect in a person’s work journey. For me, my journey has been
exciting with Rotana. In fact, I am a determined person who likes to play an
instrumental role in driving the growth and expansion of the company I work in.
Saying that, it is really amazing to be part of a company that shares similar
aspirations. At Rotana this was and still is the case. The company was founded
with the aim to compete with global players, and it has greatly succeeded at it.
Hence my advice to the new executives’ generation is to become a member in a
company that will be committed to their employees’ development and success,
just like Rotana did for me.
GHN:
What business principles guide you, and did you have a mentor?
Kaddouri:
At each stage of your life I believe you find a person who believes in you, guides
you, supports you and encourages the development of your skills to become the
person you want to be. Having such people in your life is one of the things that
make life so rewarding. In fact it’s all about people you encounter and build
relationships with along the way — whether family, people you work with,
customers, owners. These people are the stakeholders of your life. Nevertheless
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it’s not just about finding the right people to be around — it’s also about being the
right person to be around.
Choosing a mentor is one of the most important decisions you can make as a
professional. I have been fortunate to have Mr. Selim El Zyr, the Co-Founder of
Rotana and the Vice Chairman of the board, as my mentor ever since I joined the
group 16 years ago. He provides me with a good advice and guides me to move
forward. Together we make a great team.
GHN:
Which company(s) and/or business executive(s) outside the hospitality and
travel industry do you most admire and why?
Kaddouri:
I have many people that I admire but I would highlight Richard Branson who is
forever looking at new angles of business and going places no one else has tried.
He challenges major companies and it is something I can relate to with Rotana!
Steve Jobs is another person that I admire through his innovation and for making
a difference in our lives through the personal computer and consumer electronics
fields. Tim Clark who was instrumental in transforming Emirates airline from a
one-route carrier to a world leader serving more than 120 destinations.
GHN:
Are there any books that you have recently read that you found helpful from a
leadership, management or business point of view?
Kaddouri:
I am always reading trade magazines and surfing online for the latest news, from
leadership, to views to innovation to technology and so on. When I pick up a book
to read, I want it to take me away — and by the way, check out the new novel of
Wilbur Smith, Desert God: A Novel of Ancient Egypt, which is an amazing read!
GHN:
How do you see tourism as a tool to improve the world?
Kaddouri:
The hospitality sector will be a major platform to help improve the world. By
applying a Responsible Tourism strategy, the travel and hospitality sector will
create better places for people to live in and better places to travel to. It will
increase the level of customers’ understanding and appreciation for sustainability.
The average percentage of eco-conscious travellers — mainly falling among
generation X (born 1965 – 1979) and generation Y (born 1980 – 1994) will grow.
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The demand for more eco-friendly hotels and products will increase and this can
only be a good direction for the industry to go in.
Rotana is a member of GlobalHotelNetwork.com and Mr. Kaddouri is a member of
GHN’s Advisory Board.
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GHN Executive Profile - GlobalHotelNetwork.com

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