Datai Hotels & Resorts launched

MALAYSIA is spinning off a new hotel brand, Datai Hotels & Resorts, from one of its most acclaimed resorts, The Datai Langkawi.

The resort is majority-owned by Khazanah Nasional, the government's investment holding arm , and is managed by Archipelago Hotels & Resorts, also formed by Khazanah as part of the government's plan to march forth in hospitality. With the exception of Resorts World, Malaysia virtually does not boast homegrown hotel brands which have a regional or international footprint.

A second Datai will open in Desaru in September 2014, “with a number of other exciting projects in the pipeline”, said Frank Zeller, managing director of Archipelago. The hotel is part of the Desaru Coast Integrated Tourism Destination, also driven by Khazanah.

Observers said The Datai Langkawi was a hard act to follow, in no small part due to its unique location and architecture, which cascades from centuries-old rainforest to a private beach. Zeller said it was “the ideal foundation” from which to “thoughtfully” grow the brand “through the management of appropriate and exciting luxury iconic hotels and resorts in unique destinations around the world”.

Manuel Ferrer, managing director of Pacific World Singapore, Malaysia and Indonesia, betted on "good to very good" prospects for Datai Hotels & Resorts. "There is a rapidly-growing class of affluent Asians for whom this kind of product is appealing. There's the increasing fascination and willingness to travel to the Orient among Western world clients and there are tens of thousands of expats in the region willing to spend their breaks in this kind of property. Plus, depending on each property, there are meetings, events, weddings. So, the clients are there. It is a matter of…above all, sticking to the brand promise of ‘creating everlasting memories’.”

This is not the first time single properties have spun off chains. Mandarin Oriental Hotel Group was built on the success of The Oriental, Bangkok (now The Mandarin Oriental Bangkok), while Soneva Fushi launched Six Senses Resorts & Spas, to name a few examples.
-TTG Asia.