In at the high end: Building infrastructure focused on the luxury segment is the priority

Taking advantage of its natural resources and rich scenery, Gabon is focusing on building top-notch tourism infrastructure, with the authorities working to transform the country into a regular stop on the sub-Saharan Africa travel circuit. This strategy is based on Emerging Gabon, the national plan which has prioritised conservation as an essential part of economic development. The drive for high-quality tourism will have the double benefit of maintaining the natural resources organised into 13 National Parks for future generations while creating luxury products to attract high-end visitors.

However, for the sector’s potential to be realised, new resorts and high-quality hospitality are required. “Hotel infrastructure requires renovation, especially on the outskirts of the National Parks, where there is not enough quality accommodation,” said Albert Engonga-Bikoro, the general director of Gabon Tour, a government agency in charge of marketing the country abroad. New resorts and hotels are being developed and the government is exploring ways of transforming Gabon’s natural scenery into profitable tourist products for a demanding clientele.

KNOW-HOW: Much of this is being done in cooperation with foreign players. Gabon has drawn developers with a record of successful ventures around the globe, and this know-how will be essential for the country to take full advantage of its strengths and accelerate the industry’s development.

Singapore-based Aman Resorts recently signed a memorandum of understanding with the Gabon Strategic Investment Fund for the development of hotels across the country. The plan involves the construction of six units. A 30-room luxury hotel will be built in Libreville, and five resorts are to be established in the National Parks, namely: a 30-villa hotel, under construction at Phare de Ngombe in Pongara National Park; a resort of 20 luxury tents, south of Loango National Park; a 30-suite hotel in Lopé National Park; a 30-villa hotel at Ivindo National Park, which will also include 10 luxury tents in another area; and a 15-tent resort at Batéké Plateaux National Park. Overall, Aman resorts will build 140 high-end rooms for an investment of €80m.

Another international investor, SFM Africa Group, is also betting on Gabon’s natural tourism potential, through its recently created local subsidiary, SFM Safari Gabon. A public-private partnership between the company and the National Agency for National Parks, which is in charge of managing the park network, was the first conservation tourism concession agreement. It aims to establish a safari circuit made up of several luxury green resorts along the Atlantic coast at the Pongara and Loango National Parks. The establishment of the first two resorts will cost an estimated €8m and they should be operational by 2014. SFM is also working on creating luxury cruise trips for up to 10 people that will allow visitors to enjoy the wildlife of the Iguela lagoon.

OPPORTUNITY KNOCKS: The fact that two major tourism development groups have made Gabon part of their expansion plans shows the potential for high-end products. It also signals to other international investors that there are untapped opportunities for ecotourism ventures in the country. Much of the private and governmental focus has been on developing sites associated with forests and wildlife, but other forms of luxury travel, such as beach tourism, might attract investors in the coming years.

The government knows how important financing will be in overcoming the challenges regarding infrastructure, especially so in a continent where other countries have already developed profitable tourism industries. Gabon has tapped into its Strategic Investment Fund, which collects 10% of revenues from oil exports, to partner with Aman Resorts. Future ventures to develop the sector may see similar arrangements involving governmental financial support.

The arrival of international investments will also have a positive impact on the existing offering. On the back of a successful Africa Cup of Nations football competition, which saw new hotels opening, local operators have been working to upgrade the existing facilities. For example, both the Méridien and the Okoume Palace, two of the main international-standard hotels in the capital, are investing heavily in revamping their rooms and facilities.

BUSINESS TRAVELLERS: The strategy to create a luxury offering will build on existing inbound passenger traffic. Economic development, especially of the oil industry, is gradually transforming Gabon into a regular stop for businesspeople working in the region. Most visitors stay in Libreville and Port-Gentil. The challenge now is to offer the growing business clientele attractive infrastructure to increase the length of visits and add leisure options to work trips. “The problem with hotels at the moment is that they don’t know what to do with a group of businessmen that come to Libreville and have a few extra days after their meetings,” said Annie Blondel, advisor to the president for tourism development.

Tourism authorities see the potential for different segments in the high-end market. While some visitors will appreciate the opportunity to hike or otherwise explore Gabon’s network of National Parks, but will still be able to enjoy the comforts of a high-end lodge, others will be drawn to luxury amenities in a unique wildlife environment.

This will necessitate marketing the Gabon luxury travel experience to different target audiences, for example, by differentiating between young affluent travellers and middle-aged couples. However, it also means that the country can aim to attract various types of tourists, and diversify between different parts of the high-end market.

PRECEDENT & COMPETITION: While the high-end market might be less competitive than some others, Gabon is nonetheless entering a segment that has seen rapid development over the past few years. Places such as Dubai, the Pacific islands of Tahiti and Argentinean Patagonia have all developed attractive products within natural settings that draw demanding travellers who are willing to pay for the combination of luxury and natural environments.

In Africa specifically, countries such as Botswana, South Africa, Tanzania and Kenya already offer high-end, exclusive holiday products combining luxury accommodation and access to wildlife.

EXPERIENCE TRAVEL: According to “The Future of Luxury Travel”, a report published in 2011 by consultancy Howarth HTL, global high-end travel is undergoing significant changes.

One major shift is seemingly taking place in travellers’ motivations in choosing their destinations. High-end tourists, the report states, are becoming less drawn by ostentatious service provision and are paying more attention to inconspicuous luxury, planning their trips with a focus on authenticity and experience travel. There is also reported growth in demand for experiences that revolve around nature, wildlife and conservation. This points to a narrowing of the gap between Gabon’s natural strengths and global demand patterns.

However, the report also points to growing regional competition, stating that over the coming years, 42% of Africa’s most valued high-end tourism products will be sub-Saharan. Gabon’s tourism authorities will have to focus on a strong positioning that reinforces its unique traits. “Tourism is about adventure and experience. We need to create a Gabon experience that can draw people,” said Blondel.

International investment will do much to upgrade high-end infrastructure. The establishment of topnotch hotels and resorts is a strong base to start from, and will help put the country on the global luxury tourism map. However, other elements need to be factored in if Gabon is to attract a steady flow of travellers. An easing of visa processing requirements and a rise in the number of direct flights to international air transport hubs should also help boost Gabon’s attractiveness as a luxury destination.