Artist's impression of The Royal Amwaj Resort on Palm Jumeirah in Dubai, which will offer an all-inclusive option. Artist's impression of The Royal Amwaj Resort on Palm Jumeirah in Dubai, which will offer an all-inclusive option.

What the hoteliers said
“There’s no question in my mind that an all-inclusive offering will attract a certain type of the market, perhaps a segment of the market that The Palm wouldn’t otherwise attract. Is that a good thing?

Yes, I think that the broader your offering can be in a market, the bigger the market you have that is available to you. I think what people perceive is typically all-inclusive offerings tend to be at the lower end of the market and while I’m not intimately familiar with the Royal Amwaj offering I don’t think that’s the case.

What I understand of that product, it’s a very upscale offering and, therefore, it will be priced accordingly.

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And when you’re attracting that end of the market, I don’t think the people that can afford to stay at a property like that on an all-inclusive basis are necessarily going to be constrained by saying ‘I must have every meal there because I’ve prepaid for it’. That end of the market is a bit different.
Joe Sita, president, IFA Hotel Investments

“There are some associations and clichés with the all-inclusive concept. But I don’t think an all-inclusive at the lower end would happen here in Dubai because it’s not that kind of market.

It is possible there could be an all-inclusive concept in Dubai, but it’s not something which I see spreading like wildfire. It would be very specific and restricted only to beach hotels.

“Abu Dhabi is a pure business [destination] so it would be very difficult to have an all-inclusive offering there. If you are on a beach resort and doing pure leisure holidays then maybe, but it’s something a hotel would have to be looking into very deeply as to how that will affect overall food and beverage.

When you are talking all-inclusive, more often than not you are talking discounted revenue on food and beverage.”
Rene Camilleri, director of global sales, Starwood Hotels & Resorts in the Middle East.