Growth fueled by an 86% rise in inventory; World’s tallest hotel operates 1,500 rooms as of June 2014 Average occupancy in the first 6 months in excess of 80% driven by the MICE market
Dubai, UAE – 25th August: Boosting the UAE’s ability to cater to the business and leisure traveler, the JW Marriott Marquis Dubai has announced its first half year results. Having grown its inventory by 86% since March 2014, the hotel has been able increase its revpar by 7.2% and occupancy by 9.5% - an impressive achievement given the increasing supply of hotels on to the market. In addition, the hotel has seen occupancies levels in excess of 80% during the first six months of 2014, driven by the growing MICE industry.
Commenting on the hotels half-year performance, Bill Keffer, General Manager for the JW Marriott Marquis Dubai said; “The Emirates Group had the foresight to design the JW Marriott Marquis Dubai to meet the needs of large MICE groups. The objective behind this was to help position the Emirate as a leading destination for large scale conferences and events and drive the number of visitors to Dubai to 20 million by 2020. The hotel has always been described as a game changer and we are supporting this statement with our ability to win and support bids for large MICE groups coming to country.”
In 2013 the hotel was able to offer 804 rooms with the opening of Tower One. This year the Second Tower has provided JW Marriott Marquis Dubai with the opportunity to phase in an additional 804 rooms bringing the total inventory to 1608 once fully operational. Given the high number of suites and rooms planned, the Second Tower was released in three phases, with the final block of rooms being opened by the 1st October, 2014.
The first of second tower rooms were released as planned in February, however, strong demand saw the inventory rise from 804 rooms to just over 1100 instead of the planned 1056 rooms. The continued rise in occupancy levels led to the opening of additional 258 rooms in April, bringing the total 1358. As of June, the JW Marriott Marquis operates 1,500 rooms due to a strong Group base and several large MICE bookings, including one contract for 900 rooms 1800pax.
“The JW Marriott Marquis Dubai is playing a significant part in the growth of the business events sector, a key focus area of the government’s 2020 tourism vision. As part of our growth strategy we are positioning Dubai as a global hub for world leading events and conferences; the success of this property in the first six months of 2014 is an indicator of the city’s growing prominence on the world stage” added Hamad bin Mejren, Executive Director, Business Tourism.
The opening of the iconic Second Tower will also see the introduction of a new lounge which will build on the hotel’s current 14-strong portfolio of restaurants and lounges. The new offering will have a 72nd floor two tier function space, appealing to events planners worldwide thanks to its breathtaking views of the Dubai skyline. As a result, the hotel is in a unique position to host over 1,000 people to meet, dine and stay in one destination, enabling it to successfully cater to the increased number of visitors, particularly those looking for conference and event facilities.
Keffer added; “Performance since the start of the year has been extremely positive and the hotel has exceeded the original opening plans for the Second Tower. The JW Marriott Marquis Dubai has clearly demonstrated that is it is well set up in terms of its product, management and associates to deliver for large groups that require 1000 or more guests to be accommodated and dine in one location. We already have several large groups booked for 2015 and as the hotels reputation grows internationally; it is certainly supporting the focus of Dubai to drive business tourism.”
Globally the meetings industry represents about 5% of total tourist arrivals, but 11-12% of total tourism on spend. Ref Antoine Nasr principal consultant at Strategy& quoted in Bloomberg Businessweek In the GCC, the MICE industry represents 10-12% of the wider tourism sector representing $2.3billion of revenues. Dubai generates an impressive $1.7 billion or 2.1% of the emirates GDP, and Tourism generates 20% of GDP and business tourism a 20% of the total tourism market.
“Going forward the hotel will continue to focus its Sales and Marketing efforts on the global stage working in partnership with Dubai Tourism Commerce and Marketing and Dubai Convention and Events Bureau to put the city on the world stage for business tourism and achieve the goal of 20 million visitors by 2020,” concluded Keffer.