To : Mr. Nabil Hijazi Cc : Mr.

Hilal Attar
MD Deputy MD
Al Hokair Hotel Division Al Hokair
From : Shaikh Mohammed Mubin Hotel Division
Admin/Sales Manager
TULIP INN YANBU
Subject : Buisness Plan TULIP INN YANBU 2010

Date : 19th November 2009

TULIP INN YANBU

Contents

1. Executive Summary
2. Positioning Statement
Existing Market Position
Positioning Statement
Unique Selling Propositions
3. Market Environment
Actual Market Trends
Local Environment
National and Global Environment
4. Competition Summary
5.Objectives (Key Goals)
6. Key Accounts and Prospects
7. Pricing – Rooms, F&B, Banquets
8. Advertising and Public Relations
Media and PR Plan.

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TULIP INN YANBU

1. Executive Summary

TULIP INN YANBU, which has been operating for almost FOUR
years are now under the process of “Re Birth” and implementation
of new strategic action, plans to relaunch and go INTERNATIONAL
in compliment to the Saudi government vision.

TULIP INN YANBU has all the facilities for accommodating either
Corporate, Commercial, Tourism, Governmental Calender events,
due to its strategic location on the outskirts of the Red Sea Yanbu.

TULIP INN YANBU has an excellent business relationship with local

tour operators and Local & multinational companies. At the
moment we are enjoying from these two source of business
segment. We need to explore other source of business
opportunities such as Embassies,Consulates, Local Certified Travel
Agencies, Assosiation of the Kingdom, Top Saudi Corporate
companies, Non Government Organisations and Pharmaceutical
Companies, Airlines, Multi National Companies, various Ministries,
and etc.,

Choronological action plans has been arranged to target all the

above segments in the market for up coming year 2010.

YANBU
Yanbu is one of the oldest cities in the country with Lawrence of
Arabia's home located down town and King Solomon's mines close
by. Although Yanbu is clearly designed for business visits, with the
industrial area within 15 minutes, there are great deals of popular
sporting activities available, such as Red Sea diving, deep sea
fishing and snorkeling.
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Riyadh
Riyadh, the capital city of Saudi Arabia, is one of the richest oil-
producing metro poles in the world. The city influenced by the
Arabian Peninsula culture and Islamic tradition is still known for its
date palms and ancient ruins. Covering an area of 1600 sq . km,
Riyadh set amidst barren dessert glitters, in the fierce sun with its
towering skyscrapers. Being the epicenter of power, the city is also
a commercial hub that boasts number of shopping centres like the
bustling Olaya District, Al-Tamimi Shopping Centre and the Haif
Shopping Centre. Especially known for its fine architecture. Riyadh
hosts some major places of interest like Masmak Castle, the
Riyadh Museum of History and Archeology, Qasr Al-Hukm or the
Justice Palace, and Al-Mue Qila. Other attractions include some
ancient mosques and other remnants, original wadis ( dry river
beds ), recreational center mall.

Jeddah
Snuggled on the east cost of the Red Sea, Jeddah is a major
commercial hub of Saudi Arabia,. Jeddah is the main entrance to
Mecca. The coast side location has enriched the city with a number
of private beaches and marine life. Besides, the golden treasure of
Jeddah lies in various sights including Balad, Nassef House,
Floating Mosque, Old City, Eve Cave, Makkah Gate, Jeddah
Corniche, Durrat Al Arus, just to name a few. With various
shopping malls and complexes, travellers here can also find a wide
option to collect their souvenir. And for epicures, a number of
restaurant in Jedah can be a great pleasrure indeed.

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Al Khobar
Al Khobar is a large as well as a popular city in Saudi Arabia. As a
major tourist destination., Al Khobar gets some importance to the
traveller around the world. The sights like King Fahd Coastal City,
Corniche in Al Khobar, Half Moon Bay, Sunset Beach, Al Azizia
beach, are the key ingredients of Al Khobar vacation. Especially,
various recreational items at King Fahd Coastal City leave travellers
with myriad options of entertainments. Furthermore, several
shopping malls, supermarkets, and plazas in the city can easily
tickle your shopping desire.

TULIP INN YANBU

2. Positioning Statement

Existing Market Position

To position TULIP INN YANBU as the local leading international hotel

management company in the industrial city area, making it
equally attractive for both customers and employees, producing
acceptable profit for both the TULIP INN YANBU and the owner on a
long term basis.

TULIP INN YANBU has a total hotel room inventory of 51 rooms

located surrounding the perimeter of the Red sea, that is in the
medle of city and industrial area.

The hotel will serve the international travellers, government

officers, commercial/corporate accounts, airlines, non-government
and in-door catering for the local and expatriate communities.

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The main focus is on the local market with emphasis on the
international travellers and multinational companies located in
and around Saudi Arabian and surrounding cities such as Medina,
Mecca, Riyadh, Jeddah and all major cities. The Hotel primary
competitors are Internationally established and recognized
business hotels, Movenpick Yanbu, Holiday Inn, Radisson Hotel
and also other competitors.

Positioning Statement

Our greatest commitment over the coming years will be towards

quality by positioning our Management Team clearly in the market
and by initiating an extensive training program particularly for
Sales & Marketing, Front Office and Food & Beverage and all other
guest contact staff.

The increased community relations and the training programs will

enhance the profitability of the both the Managing Director and
TULIP INN YANBU as a group.

To delight a growing number of loyal guests with lodging services

that encompass their expectations, through the work of
empowerment and motivated employees, resulting in segment
leading brands for TULIP INN YANBU and superior awards for our
company’s stakeholders.

Food and Beverage will be our core vision in positioning the TULIP
INN YANBU with diversifying our expertise and strengths.

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Unique Selling Propositions
To enhance the local business few unique selling propositions has
been arranged to implement shortly are as follows.
Service related
 Bookers Incentive Program
 New Food & Beverage promotion “double delighted” “One
meals on you – One meals on Us” will be implemented
shortly during low season term.
 Room + One Meals or Room + Car promotion will be
implemented in other season
 Training on above unique promotions will be conducted by
the F&B manager.
 Kids Program
 Weekender & Weekday Packages
 Privilege Card Program for our business associate such as
airline, travel agents, associations, shopping centers,
telephone service providers, tour operators.
 Internet marketing
 Boarding pass promotion

Physical Product
 We need to pay more attention on the standard of cleanliness
on all our guestrooms and details to attention in compliance
to our Brand Standards.
 We need to initiate and execute the setting up of a
Restaurant due to market demands
 We need to initiate and execute an Icon for our hotel with a
fashion Café bar and high end pastries and savouries.
 Room Service Division have to be strengthened with full
fledge service as comparable to International Hotel Standard
 Catering Services had to be introduced to complete food and
beverage set up.
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TULIP INN YANBU

3. Market Environment

Actual Market Trends

The industrials sites in the Kingdom are being develop and

transformed at a tremendous speed in all aspects of upgrading,
integrating, diversifying, anticipating, improving to cope with the
ever increasing travelers traffic and we need to explore more
source and avenue to develop our business strategies in order to
strengthen our source of income.

Local Environment

There are significant domestic market opportunities to be

focussed upon. These market are not being untapped for quite
some time, and too much focus are being done only on turism.The
relying on only these source of business are quite unhealthy
whereby most hotels will see some drastic reduction in room
occupancies and refocussing on other source of business would be
an added advantage to ensure that TULIP INN YANBU are enjoying a
healthy average occupancy as compared to past years and this will
ensure a steady average room rate all year around.

Most Corporate companies are not being approached to increase

our market share and it is about time that TULIP INN YANBU should
embarked on an aggressive marketing to reach out to these
available market opportunities. Ngo’s, Government ministries
should be approached too to increase our volume of business in
room nights and other meeting and conferences demand.

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Airlines, Meeting , Incentives, Conference and Exhibition should be
another source of business segment, Embassies and Consulates,
Commercial, Tour operators, Associations should also be focussed.
Aggressive promotion and marketing will show an incredible
jump in our source of market segment.

National and Global Environment

Saudi Arabia itself is politically a stable and peaceful county

ruled by the Royal custodian for the two holy sites and it is
becoming as an area full of economic opportunities.

Oil and Gas, Agricultural Products, Dates & Food Industries, Strong
Financial Reserve, Stable economy all year round in all major cities
such as Riyadh, Jeddah and especially yanbu. Riyadh will remain
the capital of Saudi Arabia with large foreign business interest
playing a major role in the uplifting of economy.

The achievement was due to the stable economy and political

policy, appropriate condition for local and foreign investment.

yanbu will remain the city with full of industrial business

opportunity to serve the guests.

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4. Competition Summary

Summary

With yanbu master plan, the total yanbu Town has 45 % of

the hotels which are below 4-5 years old. Yanbu offers an
attractive location with the sprucing up of new hotels, and
there is also focus on the overall infrastructure whereby
road improvements, telecommunication network, new
shopping and commercial complex, improvements to
existing transportation network. Hotels and new service
apartments are in the Kingdom project pipelines,
expanding of the existing airport & Companies there is a
strong demand for new hotels with new and modern guest
facilities as compared to other cities. It gives a clear
indication that this city has a clear vision which simplified
any investors of the future plan.The roadmap is almost
mandatory due to the stability of the economy, politic,
social, strong governance with smooth transition in all
government organisation. We have to be committed ahead
of the above vision.

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TULIP INN YANBU

5. Objectives, Strategies, Key Goals

Vision

The hotel vision is to go INTERNATIONAL. The hotel will be

focussing to position and improve its product and services in
terms of accommodation, food, and all related facilities to add
value services to a customer base throughout the existing market
segments. Continuous training will be implemented to strengthen
the skill of its staff.

Mission

Our mission is to operate TULIP INN YANBU into an International

Hotel Brands with a Arabian touch of Business Model in strategic
markets throughout the Globe by focusing on warm Arabian
hospitality and with the demands of International Hospitality and
in delivering Uncompromising Service Standards, Customer
Oriented and create a niche Quality Brand with a team of
dedicated Professionals towards achieving and becoming a Key
Player in the International arena.

The Corporate Structure of the expansion to go INTERNATIONAL,

we need to take advice from all regional Group Director of Finance
and Revenue Management, Group Director of Human Resource,
Training and Quality, Group Director of Technical Services, Group
Director of Sales & Marketing and Director of Operations.

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These Corporate Executives would be focusing on all the details
aspects of the functions of each individual categories in order for
us to maintain a professional approach in our business operation.

All key task in each categories would be implemented to continue

with the Corporate mission of the Organization.

The key task are focusing on setting up of an efficient renown

automation catering operations in line with international catering
systems to meet the vision of standards and particularly to focus
on the tourist operations coming from worldwide markets, which
is an unfinished source of revenue and it is measurable.

It is mandatory to register a TULIP INN YANBU in any country of

AL-HOKAIR business interest, in line with out vision and mission.
To add value to the International map as to show to the country as
part of our foreign investment in order to expand our business
operations.

We should also consider into buying over hotel properties or

managing properties just like any other International Chain Hotels,
in order to add value to investments and increasing its portfolio
and also with a good yield return.

The Meeting, Incentive, Convention and Exhibition markets to be

focussed also. It is another major avenue for revenue and
increasing markets share for Al-Hokair Hotels Division. Synergizing
and building strong marketing alliance with wholesalers, airlines,
hotels, tour operators, worldwide reservation network for a WIN
WIN formula is a current marketing trend.

Our mission is also to enhance concrete Saudi with unique Brand

Identity amongst all employees in the Chain with our own tag line.

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The mission should also consider a comprehensive training,
employee recognition and satisfaction program for all our
employee. Performance Management system and Career
Development Plan would also be our focus.

Food and Beverage Concept have to be introduced for Tulip inn

Yanbu for a Restaurant.These restaurant need to be initiated and
all the necessary procedure and menus have to be implemented to
ensure that this food and beverage outlet is one of the main
source of business income for the owning hotel.

To position and branding of food and beverage outlet for Al-Hokair

Group of Hotels a Delif Café corner serving International gourmet
coffee, tea and cold beverages with a wide rang and high end
designer Donuts, up to 65 or 70 flavors, we would be developing
a Partner Development Program by forming partnership for a long
term commitment with a renown organization. We would embark
on a We Grow Together and work hand in hand to ensure success
in the selected target market. Partnership with the other parties
with extensive
business experience and strong track record for franchising. We
should be able to secure the best sites possible for any of our Al-
Hokair Hotels that we operate.

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Marketing Objective

Measurable five years marketing objectives of TULIP INN YANBU are

summarized as:

- To expand the existing corporate business of new accounts,

with new marketing methods, focusing on our people,
product and services.
- To implement food and beverage concept in our hotel to
ensure that such facilities are in line with the competitors
and our brand standards.
- New advertising and promotion need to be introduced into
International IT based, marketing approach, such as
synergizing with wholesaler, worldwide hotel reservation
system, airlines, luxury transportation services, limousine
services.
- Top Corporate multi national companies, oil and gas, local
tour
operators, ngo’s ( Non Governmental Association ), expatriate
communities, consulate and embassies.

Key Strategies

Define the strategy that will be perused by TULIP INN YANBU:

- To streamline all the hotel operation according to

International Hotel Standard and Practices.
- To continue to follow up on the implementation of ISO
standard in all our operations.
- To develop a career development plan in our mission.
- To adopt an International Hotel Accounting System.
- To adopt an International Technical Service System in both
our properties. (TULIP INN YANBU & HAPPY LAND)

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 - We need to emphasize new strategies in our business
approach.
- We need to focus on training to our potential human
resources.
- To implement IT software in relation to hotel business
approach.

The following strategies will also be followed:

- Assess key markets

- Begin participating in different fairs and events related to
tourism field
- Develop promotion via internet, press, mass media , Sms, e-
marketing, tele-marketing, crash marketing, marketing blitz,
- Seek new market segments

Major Goals

The following key targets will be achieved by TULIP INN YANBU

- Become leaders and the first in providing product and
facilities to promote Industrial tourism
- To work out the food and beverage to achieve strong
revenue.
- To work out the plan for countries in our drive to increase
revenue to our property.
- The Gulf are covering Bahrain, Kuwait, Qatar, UAE, etc.
- To work out and to get strong and high revenue for room
occupancy and food and beverege need to cover advertising
at overcies to receive Educational groups.

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Domestic Markets Leads
1. Bank and Financial Institutions
2. Oil and Gas
3. Telecommunication
4. Expatriates Association
5. Multi National Companies
6. Hospitals
7. EventManagement Companies
8. Pharmacies
9. Supermarket
10. Shopping Centre
11. Medical Institution
12. Dental Institution
13. In Bound Tour Operators
14. Out Bound Tour Operators
15. Institute of Education
16. International School
17. International Chamber of Commerce
18. International Ministry of Trade
19. Tourism Division
20. Islamic chamber of commerce

Privilege Card Program

To introduce the TULIP INN YABU Privilege Card Program to
synergize with the domestic market lead with introduction of the
following:-
 Co Brand Cards
We should also synergize with other organization such as:
 Banks,
 Shopping Mall.
 Supermarket such as Bin Dawood
 Boutiques
 Fast Food Outlets
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  Restaurants
 Hotels & Resorts
 Pharmacies
 Amusement

7 Prospects

Hotel will be focused more on the industrial market segment, and

will arrange the trip to Riyadh, Jeddah, Jubail, Dammam, Medinah,
and other potential cities in 2010 to established new contract with
companies.

Actions to be taken

 Refer to Action Plan

 Food and Beverage to be incorporated in our room sales to
generate better income revenue.
 All Tour operators across the board to be touched based.

TULIP INN YABU

7 Pricing
We must do a rate survey with all our competitors, to gauge all the
rates of the corporate clients, travel agencies, airlines and
governmental and non governmental organisations and come up
with a very competitive pricing and offer special perks to the loyal
supporters in order to entice them to stay with us on a long term
basis.

A review of the current loyal supporters is crucial to gauge all the

shortcomings and come up with a proper pricing and marketing
strategy in order to get their continuous business support. The no
of pilgrims from the current market is quite substantial and the
pricing philosophy, discounts and other creative packages have to
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be enforced or implemented in order for us to have a better yield
for our property.

Various marketing strategy is to be implemented to ensure we

have a steady flow of business all year through. Representative
office at various strategic cities need to be considered to market
our services to register our presence as part of market awareness.

Corporate
TULIP INN YANBU have not approached the most important segment
of our day to day business activities. Instead of focusing only on
industrial traffic, there is abundant opportunity to market and
reach out to the untapped market.

Saudi Arabia has one of the highest profile Corporate segment

presence in all the major cities, such as Riyadh, Dammam, Jeddah,
Mecca and Medina.

Travel Agencies
This is required to stimulate the local travel agent and tour
operators in all regions. It has generated a substantial amount of
revenue in the hospitality industry with a high presence of foreign
labours and by and large the local community.

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Embassy
The segment consists of all the embassies and consulates of the
Kingdom. It is one of the highest presence of Embassies and
Consulates. Consulates and Embassies are high in productivity in
terms of room accommodation, but very active in hosting different
functions and also due to the following reasons:
a. Bilateral ties between government to government
b. Trade
c. Economic cooperation
d. Conferences and Exhibition
e. Calendar Events
NGO ( Non Governmental Organisations)
The segment consists of local and foreign non-government
organisations, projects, Representative Offices.Mostly very active
in conferences, seminars and functions hosting. The budget for the
accommodation is limited.
Pharmaceutical Companies
It is one of the highest institution as compared to the neighbouring
countries, multi billion rials investment. This segment are of
foreign pharmaceutival institution and mainly contributing to the
food and beverage and mice program.
Government
a. Ministry of Sports and Culture
b. Ministry of Trade and Industries
c. Ministry of Information
d. Ministry of Foreign Affairs
e. Ministry of Defence
f. Ministry of Education
g. Ministry of Health
h. Ministry of sports

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 TULIP INN YANBU

8 Advertising & Public Relations Plan

EVENT PRINTING MATERIAL PRICE

corporate Sales kit, brochures, flyer, pull up banner, CD,
Business, card, posters, offers.

Remarks: Various languages to cater to the

needs
of the various markets.
Various Packages For Corporate, Commercial, Institutions, Govt
bodies
Tour Operators, NGO’s, Online reservation

Weekender Program Posters, Flyers, Brochures, advertisement

Kids Program Posters, Flyers, advertisement,

Weekday Program advertisement

Eid ( Fitr & Adha ) Posters, Flyers, advertisement,

Summer Promotion Posters, Flyers, advertisement,

Independent Day For various countries

Food & Beverage Collaterals, theme night, special promotional

Activities day

Media Prominent newspaper,magazine.

Advertising Space In flight magazine, travel magazines, strategic

malls, airports, supermarket, overseas
magazines

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Content: Advertising & PR Plan

1. Rooms – Advertising Objectives by market

 Special Room Rate Promotion
 Wedding Anniversary ( Honeymooners )
2. F&B – Advertising Objectives by market
 Calendar of Events for the year
 Food & Beverage Promotion
3. Media Plan
 TV,Press, Newspaper, Magazines, Billboard.
4. Advertising Budget (Rooms and F&B)
 Special Room and Food & Beverage Packages
5. Entertainment ( Rooms and Food & Beverage )
 Fine tune PR and Communication plan and budget
 Identify communication needs such as teasers, news
release schedules, target media and relation and
special events
 Determine local and international positioning of
hotel and identify story angles
 Develop standard for media spokespersons
 Develop background briefing papers on ownership,
architecture and design, management company,
staff, etc.
 Develop media database
 Develop press kit and content of
 Press releases, key management bio
 Hotel design and outlet specs
 Other stores
 Prepare regular progress update schedule to
corporate office, sister hotel and implement
 Determine timing of press junkets
 Source media giveaways
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  Develop communication templates such as email
and fax taglines for use by office as appropriate.
 Ascertain need for PR agency and review regional
and global network support and source for agency
as needed
 Media training for GMs and key executives
 Plan local community communication plan
Taxi drivers
Tourism Board
Chamber of Commerce
Government departments and associations
Local travel trade
Potential F&B customers
 Set up media monitoring process
 Ensure crisis communication manual is customized
and updated

Advertising
 Identify and finalize advertising and media
agencies
 Advertising and media agency induction to the
brand and hotel
 Prepare advertising brief and secure
endorsement from GM and brand marketing
 Hotel image ads
 F&B Outlets
 Room promotions
 Brief Creative and media agency
 Develop campaign and media schedule with
agencies
 Familiarize with Brand Corporate Identity
 Guest in room compendium
 Logos and signage development
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  Fact sheet
 Brochures
 Floor plan and room layouts
 Sales kit
 Determine operational sales and marketing
collateral needs
 Fact sheet
 Tariff
 Rack brochure
 MICE brochure
 Image brochure
 Floor plan and layouts
 Sales kit
 Public relations kit
 Determine in room collateral needs
 Determine f&B collateral needs
 Commission photography
 Local printer
 Photographer
 Advertising agency
 Media agency
 Graphic agency
 Pragency

Thank you,
Shaikh Mohammed Mubin
Sales Manager
Tulip Inn Yanbu
Al-Hokair Hotel Division

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