Revamped interiors

Airplane cabins could look different the next time you fly

Headrest canopies and fabric barriers between seats could start appearing in airplane cabins as the embattled industry tries to ward off the coronavirus. Airlines desperate for governments to lift travel restrictions and passengers to return are looking at ways to reassure the public that their health won’t be compromised on a flight. New-look seats and fresh cabins could be a start.

One of the biggest companies in that business, Recaro Aircraft Seating, has designed a range of modifications to keep passengers apart and protect them from infection.

Airlines are considering installing Recaro’s equipment as temporary cabin makeovers, according to chief executive officer Mark Hiller. They need fittings that are easy to manoeuver, lightweight and available at short notice, he said.

“There is definitely large interest from across the different regions,” Hiller said in an interview.

With a coronavirus vaccine possibly years away, airlines need to persuade the public it is safe to fly when an infected passenger might be next to them. Sporadic flareups around the world are putting people off: Global traffic in July was down almost 80 per cent from a year earlier, a steeper-thanexpected slump, the International Air Transport Association said.

Of the planes that are flying, many are half empty. Aircraft typically must be 70 to 80 per cent full to turn a profit, so that increases the appeal of devices that let passengers sit side by side without touching heads, brushing shoulders or nudging elbows.

Airlines are also figuring out how to apply a disinfectant coating developed by Recaro onto their seats, Hiller said. The German company says it has revamped the substance to repel viruses including Covid-19.

While the industry has for months said there’s little chance of catching the virus on a plane because there are hospital-grade air filters on board, that argument has been undermined by breakouts on some flights.

All 187 passengers and six crew on a TUI AG flight from the Greek resort of Zante to Cardiff in August were asked to self-isolate after at least 16 confirmed cases were identified on the August 25 service.

Recaro, which sold about 150,000 aircraft seats last year, isn’t immune to the crisis gripping the aviation industry, despite potential demand for its designs.

Hiller said revenue is expected to drop almost 60 per cent this year.

WITH A CORONAVIRUS VACCINE POSSIBLY YEARS AWAY, AIRLINES NEED TO PERSUADE THE PUBLIC IT IS SAFE TO FLY WHEN AN INFECTED PASSENGER MIGHT BE NEXT TO THEM

How has the regional hospitality industry coped with the Covid crisis so far?

Government imposed travel restrictions and isolation protocols across the region resulted in significant drops in demand at properties. Tourism and hospitality were among the worst hit industries, but the affordable hotel segment is doing better than those in the four-five star category.

Based on the available industry data, Oyo properties in the UAE and Saudi Arabia fared better than the market in these troubled times. Oyo’s revenue and occupancy rates dropped by over 50-60 per cent, while some global leading hotel chains experienced revenue drops of up to 75 per cent.

What kind of changes has the pandemic brought about in travellers’ requirements?

The need for travel won’t dissipate and visitor numbers will bounce back relatively swiftly. I anticipate that there will also be a build-up of pent-up demand (from both business and leisure travellers) that will generate growth after the lockdowns are lifted and travel patterns normalise.

People are also not splurging because they have a smaller disposable income or are concerned about the economy. This may have an impact on higher star-rated hotels, but will not affect budget hotel groups. The pandemic is also revealing that people are not looking to experiment and stay at a new hotel, as hygiene is a major concern. Instead, they prefer to stay at tried-and-tested properties. Businesses have also reduced the need for corporate travel.

We see domestic tourism playing a fundamental role in the initial recovery phase. We also see a preference towards independent travel, with travellers avoiding large tour groups and opting for smaller hotels.

With Dubai reopening to tourists, have you seen an uptick in your properties in the emirate?

Oyo is fully operational in the UAE. Currently, we have 3,000 rooms in the country with a presence across six emirates, including Dubai, Abu Dhabi, Sharjah, Ras Al-Khaimah, Fujairah and Ajman. However, there are still a small number of owners who choose to keep their properties closed for various reasons.

While these are early days, the signs so far have been promising. Our available capacity has almost doubled from April, our RevPAR increased in July and continues to increase month-on-month.

Oyo had a tough start to this year, even before the pandemic. Has your restructuring been completed?

Due to the unprecedented nature of Covid-19 and the impact on our business, we have been in active discussions with our partners to re-think every aspect

of our business and will continue to consider all options that enable us to succeed. Oyo has always taken a long-term perspective in the countries we have invested in.

Our business is on the upward trajectory following periods of almost zero revenue due to the lockdown. The journey we experienced in the GCC has provided us with some key learnings including how to further strengthen our foundation by better using our resources as well as the technology we have to deliver better value.

THE TREND FOR THE HOSPITALITY SECTOR IN THE GCC MIRRORS WHAT IS OBSERVED IN OTHER COUNTRIES, WHERE SMALLER HOTELS WILL BE THE CHOICE FOR MANY TRAVELLERS RATHER THAN HIGHOCCUPANCY HOTELS

Lastly, what are your future plans for this region? And how do you see the regional hotels industry evolve?

The trend for the hospitality sector in the GCC mirrors what is observed in other countries, where smaller hotels will be the choice for many travellers rather than high-occupancy hotels. The affordable hotel segment will recover quicker than the premium and luxury segment.

The GCC is and will continue to be an important strategic growth market for Oyo. We rolled out ‘sanitised stays’– an initiative aimed at ensuring that the highest levels of hygiene and health protocols are in place for guests and hotel staff. These include minimal touch check-in and check-out systems, hygiene and safety training for staff and strict enforcement of social distancing norms. Properties that are certified will be promoted as such on all online and offline channels. Future marketing campaigns will reflect this shift with a focus on long stays and weekend getaways.

We will also continue to focus on improving the quality of our stock portfolio to improve metrics such as the guest experience, partner experience, RevPar and gross margins. Oyo will continue to invest in building a loyal customer base in the GCC by promoting the active usage of its app.