Dive Brief:
- Luxury hotel chain Jumeirah Group, a member of Dubai Holding, plans to double the size of its portfolio by 2030 and is exploring opportunities in the U.S., the company announced Thursday.
- The group will also expand its presence in European cities as well as look for opportunities to grow in the Asia-Pacific market.
- Jumeirah CEO Katerina Giannouka said the expansion is driven by changing luxury consumer demand, particularly among millennial and Gen Z travelers. The company also plans to launch a “brand evolution” in 2024 that will more fully integrate wellness into the guest experience.
Dive Insight:
Jumeirah’s growth plans are part of what it calls its “Mission 2030 strategy.”
In a statement, Giannouka said Mission 2030 “is designed to evolve the Jumeirah brand from a regional success story to a global leader in ultra luxury hospitality.” The plan will focus on four areas: international expansion, brand and product development, operational excellence and ancillary business.
As part of its forthcoming brand evolution, Jumeirah will also launch a “re-imagined family experience with a focus on education, self-discovery, environmental stewardship, cultural immersion and the arts,” the announcement detailed.
Giannouka also noted that sustainability is a key part of Mission 2030. In the coming years, Jumeirah properties will focus on decarbonizing operations, and forthcoming locations will feature eco-conscious building design.
Jumeirah Group currently operates 26 luxury properties across the Middle East, Europe and Asia, spanning over 6,500 rooms. Its flagship hotel is the self-proclaimed “seven star” Burj Al Arab in Dubai.
As global wealth is expected to increase 38% by 2027, per a Marriott International report, hotels worldwide are expanding and updating their offerings to cater to the growing numbers of luxury travelers.
Marriott International is just one company in the midst of a luxury push. In September, Hyatt Hotels Corporation also announced plans to expand its luxury lifestyle segment by 30 hotels.
In October, InterContinental launched a “brand evolution” targeting modern luxury travelers, which will see the global hotel brand update programming and design to offer guests more culturally rich experiences.
Research from Morning Consult shows that the definition of “luxury” is changing, as travelers in the segment become less concerned with high-end indulgences and more focused on comfort and relaxation.