Mid-scale hotels will not tarnish Dubai's image
Experts widely agree that the emergence of the mid-market segment will do no harm to Dubai's image as a luxurious destination
Experts said that Dubai is not the only emirate in need of mid-scale hotels; rather, Ras Al Khaimah attracts tourists seeking similar experiences.
A panel at The Hotel Show's Vision Conferenc that was chaired by Christopher Hewett, associate director, TRI Consulting said that other emirates need mid-scale hotels as much as Dubai.
“Not just Dubai, Ras Al Khaimah can benefit from more options as well. It’s is a fantastic destination for those looking to do rock climbing and deep sea diving. Adventure enthusiast yearn for mid-scale hotels and Ras Al Khaimah has a huge potential to cater to them,” said Daniel During, principal & managing director, Thomas Klein International.
In Dubai, the standard of mid-market hotels will be determined by the millennial travellers, said the experts. “In the past, three-star and mid-market hotels in Dubai have been dodgy, but that trend is changing rapidly. The rise of savvy travellers to the emirate will ensure the growth and quality of the industry,” revealed Raki Phillips, SVP development, senior partner, INHOCO Group.
“Current room rates by a few four-star hotels are still on the higher side,” he added.
However, Dubai has long held the distinction of delivering the up-scale hotel experience, with some experts saying that Dubai is compromising by giving way to the mid-market sector.
Hilton Garden Inn Hotels cluster general manager Mark Allaf disagreed, and said: "The objective of Hilton Garden Inn is not taking market share away for our sister concern or other competitors for that matter, we are merely offering an option to tourists."
As supply continues to outclass demand, room rates are forecasted to drop marginally with the rise of good quality mid-market hotels.