Hilton Worldwide continues with its expansion plans for Africa and the Indian Ocean region, with 19 hotels in the pipeline, the opening of a regional office in Johannesburg and the introduction of the Conrad and DoubleTree brands to South Africa. TUO speaks to Jan Van Der Putten, Hilton Worldwide Vice President for Africa and the Indian Ocean region to find out more about the group’s plans.
In terms of further expansion of the brand, Van Der Putten says the group has a considerable number of good looking plans and developments that are in an advanced stage. “We don’t talk about hotels coming up unless they are confirmed or signed. There are plans in the pipeline and we are working very hard to turn these into a reality. We have been doing that for the past couple of months.”
He also says that the Hilton Garden Inn brand will soon come to Southern Africa and possibly South Africa. He says that these hotels will be located in areas in and around African cities that are well-developed. “A Hilton Garden Inn will benefit if there is a larger Hilton situated within close proximity.”
Hilton Worldwide came to the African continent more than 50 years ago with the Hilton in Cairo, followed by the Hilton in Nairobi and the Hilton in Addis Ababa. The group already has 33 hotels across Africa and the Indian Ocean region. Van Der Putten says that whilst the group was growing on the continent, it was at a fairly slow pace. “Now, the focus has clearly shifted. As a company, we feel that there is opportunity in the African continent, and this office, together with the development office we have is Cape Town, is there to make that happen,” he says.
Van Der Putten says that business travel into South Africa is growing, and that South Africa has all the credentials and opportunity to grow further within the tourism industry. “I think that where South Africa has a phenomenal opportunity to accelerate growth in tourism.” He also asserts that as a destination, SA offers great value for money in terms of eating and drinking. “If South Africa’s tourism product is effectively marketed by the industry as a whole, it will enhance tourism growth.”
He says that the industry is experiencing a continuous shift from traditional booking patterns to online. “As markets change, more affluent digitalised markets will come into SA. People don’t want an organised trip anymore, they want to do their own thing. Traditional tourism where tourists come as a group will still be tour operator related. The industry is however experiencing growth in both of these channels.Third party online operators like Expedia are getting stronger and stronger. This is a healthy trend as it opens new avenues for people to book a vacation.”
When asked if the group is focusing on distressed properties or new builds, he said it’s a mixed bag. “I’m certainly not hunting for distressed properties because I find that at times unethical. However, if investors and owners approach us to consider this then we would be very happy to do so. A great example of this is the Hilton in Cape Town.”
The recently established Johannesburg office is expected to act as a base for the group, from which it can build on its Africa interests and activities.
Van Der Putten says that the strategy around opening an office in Johannesburg is that the African and Indian Ocean Hotels are now being supported from an African base.
“This means that we now have team of experts available, through which we are better able to assist and support hotels in generating business, improving operations, enhancing marketing sales, public relations and HR. We are now able to give much more focus support, and the benefit of this is it will not only enhance the results of the hotels, but will create much more noise about the Hilton Brand.”
The company also announced that Pezula Resort & Spa in Knysna, Western Cape, will join its luxury portfolio segment, Conrad Hotels & Resorts, following the signing of a management agreement with resort owners, Alderney Establishment.
There are already two DoubleTree by Hilton Hotels in Tanzania; one is under construction in Bujumbura, Burundi, and a hotel is currently being converted in the Seychelles to become a DoubleTree. “DoubleTree is a very quickly growing brand because it is fairly flexible in terms of its interiors, architecture and layout. It’s a brand that fits really well into a variety of environments, and doesn’t necessarily need to follow very strict rules, regulations and principles on how a hotel is being decorated from an interior perspective,” he says of the group’s signing of a new DoubleTree by Hilton hotel in Cape Town with local operator, Upper Eastside Hotel.
Van Der Putten says that at this stage, the group won’t be adding another DoubleTree by Hilton in South Africa to its portfolio. However, says: “We are very active in growing the business, and if we find the right environment we may well expand.”
In terms of further expansion of the brand, Van Der Putten says the group has a considerable number of good looking plans and developments that are in an advanced stage. “We don’t talk about hotels coming up unless they are confirmed or signed. There are plans in the pipeline and we are working very hard to turn these into a reality. We have been doing that for the past couple of months.”
He also says that the Hilton Garden Inn brand will soon come to Southern Africa and possibly South Africa. He says that these hotels will be located in areas in and around African cities that are well-developed. “A Hilton Garden Inn will benefit if there is a larger Hilton situated within close proximity.”
Hilton Worldwide came to the African continent more than 50 years ago with the Hilton in Cairo, followed by the Hilton in Nairobi and the Hilton in Addis Ababa. The group already has 33 hotels across Africa and the Indian Ocean region. Van Der Putten says that whilst the group was growing on the continent, it was at a fairly slow pace. “Now, the focus has clearly shifted. As a company, we feel that there is opportunity in the African continent, and this office, together with the development office we have is Cape Town, is there to make that happen,” he says.
Van Der Putten says that business travel into South Africa is growing, and that South Africa has all the credentials and opportunity to grow further within the tourism industry. “I think that where South Africa has a phenomenal opportunity to accelerate growth in tourism.” He also asserts that as a destination, SA offers great value for money in terms of eating and drinking. “If South Africa’s tourism product is effectively marketed by the industry as a whole, it will enhance tourism growth.”
He says that the industry is experiencing a continuous shift from traditional booking patterns to online. “As markets change, more affluent digitalised markets will come into SA. People don’t want an organised trip anymore, they want to do their own thing. Traditional tourism where tourists come as a group will still be tour operator related. The industry is however experiencing growth in both of these channels.Third party online operators like Expedia are getting stronger and stronger. This is a healthy trend as it opens new avenues for people to book a vacation.”
When asked if the group is focusing on distressed properties or new builds, he said it’s a mixed bag. “I’m certainly not hunting for distressed properties because I find that at times unethical. However, if investors and owners approach us to consider this then we would be very happy to do so. A great example of this is the Hilton in Cape Town.”
The recently established Johannesburg office is expected to act as a base for the group, from which it can build on its Africa interests and activities.
Van Der Putten says that the strategy around opening an office in Johannesburg is that the African and Indian Ocean Hotels are now being supported from an African base.
“This means that we now have team of experts available, through which we are better able to assist and support hotels in generating business, improving operations, enhancing marketing sales, public relations and HR. We are now able to give much more focus support, and the benefit of this is it will not only enhance the results of the hotels, but will create much more noise about the Hilton Brand.”
The company also announced that Pezula Resort & Spa in Knysna, Western Cape, will join its luxury portfolio segment, Conrad Hotels & Resorts, following the signing of a management agreement with resort owners, Alderney Establishment.
There are already two DoubleTree by Hilton Hotels in Tanzania; one is under construction in Bujumbura, Burundi, and a hotel is currently being converted in the Seychelles to become a DoubleTree. “DoubleTree is a very quickly growing brand because it is fairly flexible in terms of its interiors, architecture and layout. It’s a brand that fits really well into a variety of environments, and doesn’t necessarily need to follow very strict rules, regulations and principles on how a hotel is being decorated from an interior perspective,” he says of the group’s signing of a new DoubleTree by Hilton hotel in Cape Town with local operator, Upper Eastside Hotel.
Van Der Putten says that at this stage, the group won’t be adding another DoubleTree by Hilton in South Africa to its portfolio. However, says: “We are very active in growing the business, and if we find the right environment we may well expand.”
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