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Lebanon Under the Spotlight The reality of tough market conditions and hope for the future

Meda Hotels Forum 2015 | D.Salamé

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Page 1: Meda Hotels Forum 2015 | D.Salamé

Lebanon Under the Spotlight

The reality of tough market conditions and

hope for the future

Page 2: Meda Hotels Forum 2015 | D.Salamé

Where do we stand?

Page 3: Meda Hotels Forum 2015 | D.Salamé

Regional unrest and political uncertainties are scaring away tourists

• Tourism peaked in 2010 with 2.1 million+ visitors.• Figure dropped to 1.6 million by 2011, 1.2 million in 2013

and 1.4 million in 2014.• Fears of a spillover from Syria and a political stalemate

plagued the country.• A slowdown in Lebanon’s tourism and construction sectors

contributed to economic stagnation.• Growth of 1.6% in 2015 and 2% forecasted for 2016.

Page 4: Meda Hotels Forum 2015 | D.Salamé

Dwindling European travelers and high-spending visitors from the Gulf has hit hotels hard

• Travel bans have halted the flow of visitors from the UAE,Saudi Arabia and Kuwait with high purchasing power.

• Larger proportion of budget-conscious Iraqi and Egyptiantourists.

• Hefty price cuts and intense competition.• ARR was recorded at $161 USD in year to date to

September 2015, one of lowest in MENA region.• Occupancy rate for same period averaged at 53%.

Page 5: Meda Hotels Forum 2015 | D.Salamé

Lebanon has remained resilient in the face of turbulence

• The region is not unfamiliar with conflict.• 150 new licenses granted to tourist enterprises and

hotels in 2014 .• World Travel and Tourism Council predicts the industry

will contribute 8.7% to GDP by 2024.

Page 6: Meda Hotels Forum 2015 | D.Salamé

Increase in new boutique hotels in the capital

• 17,000 hotel rooms available in the country in 2014.• Villa Clara Boutique Hotel selected by Alain Ducasse as the

only hotel and restaurant in the Middle East to joinprestigious “Châteaux and Hotels Collection.”

• International luxury hotels like Mandarin and Kempinksiunder construction.

Page 7: Meda Hotels Forum 2015 | D.Salamé

The initiatives to tempt tourists back to Lebanon have been abundant

• Lebanon’s MoT has been pivotal in driving tourism forward.• ‘Live, Love Lebanon’ campaign launched in spring 2014.• Website created to promote packages and special interest

activities in the country.

Page 8: Meda Hotels Forum 2015 | D.Salamé
Page 9: Meda Hotels Forum 2015 | D.Salamé

Drive in rural tourism aimed at targeting new markets

• MoT has launched five-year masterplan costing $41.7million to boost rural tourism.

• DHIAFEE’s ‘Cottage Inns’ program supports small, family runhotels, campsites and religious lodgings.

• Dedicated websites like L’Hote Libanais linking guesthousesand providing online booking portals.

• Opening of 100+ village guesthouses and B&Bs.

Page 10: Meda Hotels Forum 2015 | D.Salamé
Page 11: Meda Hotels Forum 2015 | D.Salamé

Growth in online media sources supporting domestic tourism

• Publications and websites following the wave andpromoting alternative tourism.

• Lebanon Traveler is a go-to source of information andtraveler tips.

• Mobile application launched.

Page 12: Meda Hotels Forum 2015 | D.Salamé
Page 13: Meda Hotels Forum 2015 | D.Salamé

Lebanon’s Tourism Minister has been proactive in forging strong ties in the region

• Phoenician Roads project announced, in collaboration withUNWTO, to improve relations between countries in theMed and create cultural packages to destination cities.

• ANA Program aimed at reigniting ties between Lebanonand the Diaspora.