Middle East hotels brace for Ramadan

It is an accepted fact in the Middle East hotel market that that occupancy rates will go down across the region during Ramadan, which encompasses the entire month of September this year, says John Podaras, Operations Manager at TRI Hospitality Consulting.

'When you look at the local population, Muslims tend to stay home during the month. This is particularly an issue in Saudi Arabia, where most of its travel market is domestic,' he noted.

Restrictions curb travel

Leisure travel tends to slow throughout the Gulf during Ramadan mainly because of the restrictions that are applied, said Melwyn D'Souza, Operations Manager at Al Futtaim Travel in Dubai.

These include the banning of eating, drinking and smoking during daylight hours and a curb on live music as part of the religious fast.

Business travel usually outperforms leisure travel during the month as corporate groups must continue to travel on work-related trips. This year should be no exception as Ramadan falls after the summer holiday has finished, so business travel should pick up just as leisure travel has tailed off.

However, next year could be very challenging for the region's hotel industry as Ramadan will fall during the end of summer season, so both leisure and business travel are likely to be very slow, Podaras notes.

Interestingly, one factor that may help tourism in Saudi Arabia during next year's Ramadan season is the fact that Muslims tend to go on Umrah more often during Ramadan, and these travellers often spend a few extra days travelling after the pilgrimage.

Travel then usually picks up greatly at the end of the month for Eid. Popular destination for tourists from this region will be Egypt, Jordan, Oman, Thailand, and the Maldives.

'Travellers are looking to go away for a few days break, so they typically travel a maximum of three to four hours in order to make the most of their time,' D'Souza says.

Dubai remains strong

Although travel typically slows throughout the Gulf region during Ramadan, Dubai occupancy rates tend to remain strong during the month because leniency in the UAE generally is much higher than in other countries in the region.

'Although the pace of the city slows a little, tourists don't mind,' D'Souza noted.

Nowadays there really is no time in Dubai that is 'peak' or 'off-peak'. 'Travel in and out of Dubai is strong year round. There really is no slowdown. Although six or seven years ago, summer used to be the time when most of the travel was outbound, now incoming traffic is booming even in the summer months. It is busy all of the time,' D'Souza says.

Nevertheless, many hotels in Dubai are offering discounts this Ramadan season to help boost leisure travel during the month.

Six hotels in the emirate, including the Marco Polo Hotel, Novotel World Trade Centre Dubai and Hyatt Regency Dubai are taking part in a promotion with Emirates Airlines that offers passengers flying to the emirate via the carrier deals on two nights accommodation starting from $57 per person.

Hotels seek new revenue streams

As occupancy levels slow, one way that hotels try to make up for it is with Ramadan tents, Podaras notes.

Indeed, special dining offers for Iftar and Suhour meals abound, and tents can be seen throughout Dubai, even on the beaches.

Hotels strive to give guests a 'true' Ramadan atmosphere by providing Arabic lounge-style music in a luxurious and opulent setting. Prices for these after-dark meals can be high. For example, the Park Hyatt Dubai is offering two Sohour set menus starting at $50 per person.

Hotels spend a lot of money on their Ramadan tents, but not all of them make money, D'Souza contends. There is so much variety on offer from hotels in Dubai that customers are spoiled for choice, he says, plus some guests view it as just another gimmick by hotels to get them to spend money.

Tents are not the only 'gimmick' that hotels use during Ramadan. The Four Seasons Hotel Cairo at Nile Plaza has created two new spa treatments especially for the Ramadan season to help cope with the demands that Ramadan 'places on the physical body'.

Not to be outdone, the Hyatt Regency Dubai is keeping its spa open until midnight every Friday and Saturday during the Holy month.

JBH expects strong month

The head of the Jumeirah Beach Hotel in Dubai says his hotel sees little slowdown during Ramadan. 'Dubai has become a year-round destination that offers something for everyone, and Ramadan is no exception,' says Frederic Picard, manager of the hotel.

The hotel experiences 'great levels of occupancy' during Ramadan, says Picard, and it is anticipating another successful month this year as it has more offerings for people to enjoy.

JBH's Ramadan tent, Diwan Al Khayal, attracts a large number of guests to the hotel during the month. 'Ramadan is a time when families enjoy Iftar together and our Iftar is very popular with families,' he said.

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