Qatar Tourism Authority’s new National Tourism Sector Strategy aims to shake up trends for visitor markets and segmentation, with international leisure tourists the top prize. Qatari hoteliers comment on what will likely be a very gradual shift for this conservative state
With Fifa World Cup 2022 fast approaching and a new National Tourism Sector Strategy 2030 launched this year, Qatar is aiming to flip the corporate:leisure ratio on its head. The Strategy is being bolstered by a US $200 billion investment in infrastructure, aimed at supporting rapidly climbing visitor numbers — a trend seen in quarter one of 2014, with a 10% leap in occupancy to 73.2%.
Launched in February, Qatar’s National Tourism Sector Strategy 2030 designates the Arab state, “a world-class destination with deep cultural roots”. The tourism drive is aimed at diversifying Qatar’s economy to achieve sustainable economic, social and cultural development.
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Currently, GDP is driven by natural gas and oil reserves — the third largest in the world — propelling Qatar into pole position as the world’s richest country per capita. HE Sheikh Abdullah Bin Nasser Bin Khalifa Al-Thani, prime minister and minister of interior said: “Qatar is now embarking on a new phase of sustainable development.
The focus of this new phase is the diversification of the national economy and expansion of non-oil and gas sectors. We are looking for the active participation of the private sector to encourage positive competition and to support the employment, training and development of young people.”
The ultimate goal of the strategy is to achieve seven million visitors to the country by 2030, marking a compounded average growth rate (CAGR) of 11% on the 2012 figure of 1.2 million. In fact, tourism contributed just 0.8% to the country’s GDP in 2012 and this is expected to grow to around 3.1% by 2030. But increasing volume is just the beginning; the country is looking to dramatically alter current visitor segmentation.
In 2013 over 70% of visitors to Qatar were from the GCC, with 62.7% from Saudi Arabia and 11.3% from the UAE. By 2030 it is hoped that the percentage from the GCC will have dropped to just 36%. The aim is to more than double international arrivals from 30% to 64%.
In an interview with Hotelier Middle East, HE Mr Issa Mohammed Al Mohannadi, chairman of Qatar Tourism Authority (QTA) said that the same shift is being targeted for the leisure: business mix with the aim to change the current ratio from 30:70 to 64:36 by 2030.
To support diversification of the economy, and this major shift in visitor dynamics, more than 60 new strategic tourism development initiatives are in the pipeline, with the first of these having launched in January this year, according to QTA. A report recently published by Deloitte indicated that Qatar is planning to invest more than $200 billion in the next 10 years on construction projects.
These include Lusail, the country’s newest planned city to encompass 35km2 of marinas, luxury shopping and an all-giraffe zoo among other leisure attractions; a four-line, 85-station Doha Metro, expected to operate its first passenger service in 2019; and Hamad International Airport, which became operational at the end of May.
According to Qatar Airways CEO HE Akbar Al Baker, the $15bn facility has the capacity to handle 8700 customers per hour and currently operates 19 airlines. Baker said: “Our move to Hamad International Airport heralds a new beginning for Qatar Airways as we will now be based in a world-class hub that has been entirely designed to meet the needs and expectations of even the most discerning passengers”.
As well as 70 outlets and 30 cafés and restaurants, the airport will include two 100-room air-side hotels to accommodate transient passengers who can stay at an hourly rate to pass time while waiting for connection flights, or if arriving hours before check-in to their hotel in the city.
Kevork Deldelian, general manager at Doha’s airport hotel, the Oryx Rotana, who is currently overseeing the management of the two new hotel projects, said that the objective is to “round the experience of the traveller” by providing a comfortable solution for passengers in transit.
He said: “The hotels aren’t catering to Doha residents as they cannot cross to air side, enjoy a spa treatment and go back home. They are purely catering to the traveller who is transiting”. Deldelian believes that the airport will affect hotel occupancy in Qatar “big time”.
“The airport is needed now because the national carrier has been aggressively opening new destinations and has a big schedule for more destinations to open. With this airport that schedule can happen and this will bring new markets to Qatar.
“The airport can bridge the gap between East and West. The increase in the number of passengers coming through will automatically dump a certain percentage into the city and that will increase traffic. The airport will have a big impact on all hotels.”
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