Q&A: Marriott – Here to stay

Along with Hilton and Carlson Rezidor, Marriott International has one of the biggest African hotel development pipelines and recently announced the signing of more new properties at the Africa Hotel Investment Forum in Kigali, Rwanda in October. Off the back of that announcement, Alex Kyriakidis, President and Managing Director Middle East and Africa for Marriott was on hand to answer a few follow-up questions from Business Traveller Africa magazine.

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Q: What’s your view on the current state of the African hotel industry?

A: We are seeing unprecedented traction for our brands, driving our momentum of growth. We have always believed in the potential of Africa and were the first global chain to make a significant investment in Africa with the acquisition of Protea Hotels in 2014. We became the leading operator in Africa and this was further consolidated with the acquisition of Starwood Hotels. With economic growth, a rising middle class and rapid urbanisation, the demand for travel and high quality lodging is growing.

Q: Your latest announcement included new properties in Côte d’Ivoire, Nigeria, Ghana and Ethiopia. Why are these attractive destinations?

A: We already have a strong presence in Nigeria and Ethiopia and our history and first mover advantage in these countries serves as a springboard for our future expansion. With Côte d’Ivoire being celebrated as one of Africa’s fastest-growing economies, and re-emerging as the gateway to Francophone Africa, our new hotels are ideally placed for a long and flourishing future. Ghana is one of Africa’s greatest success stories in the region, providing an attractive and stable investment climate. All of this make it strategically interesting for us to grow our footprint.

Q: Are you concerned by the current poor performance of some of Africa’s biggest economies, such as South Africa, Nigeria and Kenya?

A: Today we live in a highly volatile political and economic environment where instability seems to be the new normal. I have often referred to this as ‘the perfect storm.’ The reality is that demand fluctuates with business activity and consumer confidence. While some of Africa’s largest economies have seen a slowdown in recent times, we have remained cautiously optimistic that this will stabilise. Africa still has a hotel shortage in most cities and we remain committed for the long term.

Q: Three years down the line, what’s the Marriott view on the Protea Hotels acquisition?

A: This acquisition was a milestone in our history on the continent. South Africa became our largest market in the continent and today ranks as one of our top five markets in Middle East and Africa. Today we operate more than 140 hotels with over 24,000 rooms in 20 countries and are targeting more than 200 hotels with over 37,000 rooms open or in the pipeline by 2022. This will further consolidate and solidify our leadership in Africa.

Q: Are there certain Marriott brands you feel are a better fit for Africa?

A: Africa boasts a young and energetic demographic. Our mid-market brands like Four Points by Sheraton, Courtyard by Marriott and Aloft are perfectly poised to take advantage of the young demographic. As the needs of travellers evolve, expansion in the lifestyle space is a natural step for us.

Q: Can the African continent look forward to seeing ‘new’ Marriott brands here in the next few years?

A: We currently operate 12 brands in Africa including JW Marriott, Luxury Collection, St. Regis, The Ritz Carlton, Four Points by Sheraton, Le Meridien, Marriott Executive Apartments, Marriott Hotels, Protea Hotels by Marriott, Renaissance Hotels, Sheraton and Westin. Over the next five years, we will debut seven new brands including AC Hotels by Marriott, Aloft, Autograph Collection, Element, Courtyard by Marriott, Residence Inn by Marriott and W Hotels into Africa.

Q: What are your thoughts on the African mid-market hotel space?

A: There is great need for infrastructure throughout Africa and hotels are part of that infrastructure. As the middle class grows, so will the demand for affordable lodging. We believe that select service and mid-market hotels will be perfectly aligned with the needs and the purchasing power of domestic and regional travellers.

Q: Where does technology fit into the Marriott strategy?

A: Marriott International has been at the forefront of technological innovation to transform the guest experience. Marriott Rewards Mobile App has expanded its digital features that are designed to take the traditional hotel app from being used occasionally – mostly for booking a stay – to something used to inspire where to travel, where to book and how to personalise the trip on and off property. We’re also introducing proximity marketing to deliver personalised messages to guests. Our next frontier is fusing high tech and high touch in our hotels and we have been working on leveraging technology to deliver a more personalised stay.

Q: Where do you want Marriott’s African hotel presence to be in 10 years’ time?

A: Today we are present in 20 African countries: Algeria, Djibouti, Egypt, Ethiopia, Gabon, Ghana, Guinea, Kenya, Malawi, Mauritius, Morocco, Namibia, Nigeria, Rwanda, Seychelles, South Africa, Tanzania, Tunisia, Uganda and Zambia. We will continue to strengthen our presence in existing markets and will debut in seven new countries over the next five years including Benin, Botswana, Côte d’Ivoire, Madagascar, Mali, Mauritania, and Senegal.