Tourism by design

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With the Maldives boasting so many luxury properties, hotels such as Huvafen Fushi are looking at ways to enhance and distinguish their product amid an overload of designer brand hype.

With around 90 resort islands - out of more than 1190 spread across the Maldives archipelago - the potential to expand capacity at the Indian Ocean paradise is vast.

With added impetus to exploit the natural bounty of the Maldives following the tsunami in 2004 when the islands experienced a drop of around 35% in visitor arrivals in its wake - and the fragility of its tourism product was perhaps underlined - the result has been an A to Z of designer brands taking the plunge in to the market.

The destination was fortunate in having been already identified as the ultimate tropical playground, a picture perfect retreat with a growing roll call of resorts that regularly featured in the glossies, each seeking to outdo the others in service delivery and signature products.

And the procession of global brands entering the market continues, along with the hype - underwater spas and restaurants, plunge pools, one-villa islands, tented luxury, fine wines, gourmet dining and more.

Deputy Minister of Tourism and Civil Aviation Abdul Hammed Zakariyya stresses the point, saying that while the destination had gone from just two resorts to 89 in the past 35 years, the aim now is to strive for higher standards and further development.

"While the charter market has taken around 80% of beds, we are seeing the proportion of charter versus premium accommodation changing," he says. "Locally-owned resorts are undergoing redevelopment and targeting up-market tourism where yield is higher, and the forces of supply and demand will decide how far prices will go."

However, the 54 new resorts and hotels under development will offer a further 11,500 beds, a 65% increase over the current tally of 18,500, and Zakariyya says these extra beds will be split between the premium and charter markets.

For the moment, it is the premium operators that are driving the market, particularly in the Middle East where charter options are non-existent and wholesalers such as Emirates Holidays and Dnata Holidays pitch their products in the upper bracket.

And, even with the advent of Jazeera Airways' pioneering low cost flights, the dichotomy of no frills flying twinned with designer brands is a concept that has yet to be exploited, with a potential short break market dependent on room availability and convenience of schedules.

Current figures suggest that around 1% of the 2007 Maldives visitor total of 650,000 originated from the Middle East - registered at 2450 for the first six months with around one third from Saudi Arabia, one third from the UAE, Kuwait and Lebanon, and the rest from other Middle East markets.

This figure was up 26.8% over 2006, a level borne out by Emirates Holidays, according to Dina Al Herais, vice president commercial operations.

"Last year we saw an excellent increase in the number of holiday packages to the Maldives, and this year we are up 30% compared to the same period in 2006," he reveals.

"Our signature brochure now features 19 resorts and is likely to add two more options next year. Popular with honeymooners the Maldives has been selected by many couples as well as expatriate families, and while local customers have been few in the past, the number has lately increased."

While the new seat capacity has incentivised more Middle East operators to forge links with a wider range of accommodation options in the islands - a route already taken by SriLankan Holidays - the upcoming bed boom does open up opportunities for the Maldives to emerge as a genuine short-break destination for regional travellers as well as a summer getaway for both expatriates and local travellers.

Zakariyya says the Maldives Tourism Promotion Board has tripled its budget for promotional activities in the Gulf and wider Middle East.

"We have for the past two years done special events, roadshows in Dubai, Doha and Kuwait, fam trips and advertising in key media, and we aim to increase this spend in our focus on the region," he says.

"As a destination we are one of a kind offering a one island/one resort concept, and in terms of product, we are selling something unique," he adds.

"While infrastructure has been a problem with bottlenecks (at the international airport in Male), we are now working on this as well as opening another international airport at Gan in the south and have plans to open 10 domestic airports within three years to ease this situation and add the connectivity that the Maldives badly needs."

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