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'Finding niche' in F&B key to survival - GM Debate


Eamonn Houston, September 30th, 2010

Fresh ideas and detailed market research will be key to the survival of F&B outlets in the Middle East, Hotelier Middle East's first ever Great GM Debate heard yesterday.

A workshop focusing on the challenges facing the sector heard the views of several hotel general managers during the day-long conference at Jumeirah Beach Hotel.

Bars and restaurants, they said, continued to make huge contributions to the revenue of properties.

Attendees agreed that finding a niche in a fiercely competitive market was becoming increasingly difficult.

It is estimated that F&B accounts for between 40% and 50% of hotel revenue in the Middle East.

Salman Rizvi, general manager of The Platinum Hotel, Oman, told the workshop: “We are always looking for a niche. It’s all about quality, quality of service and ambience.”

Muin Serham, general manager of Tamani Hotel Marina said that celebrity and big brand concepts were working well.

Hilton Jumeirah Resort and Residence manager Christian H. Muhr, said that carving a niche required extensive market research.

“Finding a niche market will require detailed market research. There are many challenges and quality, consistency and the customer getting value for money are very important.

“It is not only about glitz, glamour and design.”

High quality F&B managers were also crucial, Muhr added.

“There needs to be a lot of empowerment – let them go for it if they have the capacity to do it.”