Mövenpick plans Saudi, UAE expansions

Mövenpick Hotels & Resorts is pushing ahead with an ambitious five-year expansion plan for Saudi Arabia, the United Arab Emirates and Qatar, despite economic challenges. The Swiss hospitality firm, which is 33.3 percent owned by Tadawul-lised Kingdom Holding Co., is now positioning itself to cater to new categories of tourists that will flock to mega events such as Expo 2020 in Dubai and the 2022 FIFA World Cup in Doha, Andreas Mattmüller, Mövenpick’s chief operating officer for the Middle East and South Asia, tells Argaam.

Q: Can you elaborate on current expansion plans for GCC markets?

A: Mövenpick Hotels & Resorts has a solid presence in the Middle East where it now operates 30 hotels, including clusters in Saudi Arabia, the UAE and Jordan, as well as having a good reach across the GCC and Arabian Peninsula. As we continue to grow and expand our properties across the region, our goal is to have 45 hotels operating in the Middle East by 2020.

The Kingdom of Saudi Arabia and the United Arab Emirates are key focus markets for us. In Saudi Arabia, we will mark our 11th hotel with the upcoming opening of Mövenpick Hotel City Star Jeddah this year. Furthermore, we are continuing to expand our presence with four new properties set to open by 2018, including Mövenpick Residences Al Khobar (2017), Mövenpick Hotel Financial District Al Riyadh (2017), Mövenpick Hotel Apartments Al Tahlia Jeddah (2017) and Mövenpick Hotel Heraa Jeddah (2018). 

Mövenpick has a firm presence in the UAE as we now manage five hotels located in vital parts of Dubai and, as part of our expansion plans in the country, we have three hotels in the pipeline; Mövenpick Hotel Apartments Downtown Dubai, Mövenpick Hotel Dubai Media City and Mövenpick Hotel Apartments Al Burj Business Bay. We are also looking at Abu Dhabi, Fujairah and Ras Al Khaimah for further expansion in the country. 

Q: How is the company positioning itself for upcoming mega events such as Expo 2020 in Dubai and the 2022 World Cup in Qatar?

A: In Qatar, we opened Mövenpick Hotel Al Aziziyah Doha in May 2016 to capitalize on Qatar’s status as a world-class sports hub and host of the 2022 World Cup. This hotel is strategically located in the Aspire Zone (Doha Sports City) and provides 139 upscale rooms to host visitors and top-ranking international sports teams. 

Gearing up for Expo 2020, Mövenpick is set to open three new properties in the UAE in several prominent locations in Dubai.

Q: What challenges have you faced while strengthening your presence in the region, given the current economic challenges?

A: The current economic climate increases the business challenges in the immediate term but we maintain a long-term positive view for the success of travel and tourism within the region and in the kingdom of Saudi Arabia. Despite the current economic situation, we remain determined to continue with our expansion plans in the region with multiple projects in the pipeline.

Q: What has Mövenpick done to maintain profitability at a time when occupancy rates, visitor numbers and consumer spending are lower?

A: As a Swiss company, we remain true to our values – efficiency of service and quality of food. These two pillars, in addition to the continuous training that goes towards strengthening them, are the key ingredients to keeping the patronage of our guests and ensuring a high degree of repeat business, whilst at the same time acquiring new guests. We place a lot of emphasis on guest recognition and on providing personalized and customized services to our guests.

Write to Joumana Saad at joumana.saad@argaamplus.com