Antonie Sayah and Zeina Ammar with the eco-friendly mattress by Beachill at a Marriott hotel in Dubai. Satish Kumar for the National
Antonie Sayah and Zeina Ammar with the eco-friendly mattress by Beachill at a Marriott hotel in Dubai. Satish Kumar for the National
Antonie Sayah and Zeina Ammar with the eco-friendly mattress by Beachill at a Marriott hotel in Dubai. Satish Kumar for the National
Antonie Sayah and Zeina Ammar with the eco-friendly mattress by Beachill at a Marriott hotel in Dubai. Satish Kumar for the National

TestBed initiative gives start-ups room to grow


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Faced with an increasingly demanding customer, in an increasingly crowded marketplace, it can be difficult for hotels to set themselves apart. That's essentially why Marriott Hotels launched what's known as the TestBed initiative in 2016.

A 10-week accelerator ­programme, it gives start-ups the opportunity to test their products and ideas in real working conditions, within a busy hotel in a major city. The initiative, which has nothing to do with mattress reviews, was rolled out in Europe in 2016, and was unveiled in the Middle East and Africa last year.  

Last summer, Marriott announced that the search was on for entrepreneurs and start-up businesses that had products and services ready to be tested in the high-pressure world of a busy hotel. Nearly 200 submissions were received from across the region and these were analysed by a panel of experts.

The winners

Guy Kedar is one of the founders of the programme, and serves as a judge. He says that, to be considered, a start-up must "have developed a product that has the potential to transform the guest experience, and that is in a stage that is ready to be piloted."

The winners are mentored by the group long-term – for any start-up, that's a definite win-win, especially when you consider that the intellectual property rights remain with the candidates. As it turns out, three winners were selected: Twistar, Unified Inbox and Beachill. They were enrolled in a week-long boot camp – an intensive workshop where they developed strategies for their individual test programmes, each in a different hotel, and each with their own particular set of challenges and potential nightmares. For the three finalists, this isn't just a big deal – it's potentially life-changing. But what, exactly, are they bringing to the table?

Beachill

Let’s start with the one that’s easiest to understand: Beachill offers an eco-friendly, solar-­powered beach mattress. The most dramatic inventions are often the simplest, and this is a solution to a problem many hotel guests have experienced.

After some pool- or beachside Tweeting, Facebooking and Instagramming, what do you do once your device's battery is on the wane? Allow Beachill's solar panel, incorporated into the removable headrest, to charge it. The interior of said headrest is entirely waterproof and houses a two-litre capacity thermal ­storage space, so you can keep your cold drinks cold and your caramel latte hot. It also provides safe haven for your valuables while you head to the water to cool down.  

The product is the brainchild of 25-year-old Antoine Sayah from Lebanon. Beachill was tested poolside at Abu Dhabi's Marriott Al Forsan – a 400-room hotel not far from the airport. The weather during the test phase, with cloudy skies and cool winds, kept guests away from the main pool area. Nevertheless, those who did ­venture down and use the Beachills, which, coincidentally, are the same dimensions as the hotel's loungers, were extremely ­enthusiastic about them. Sayah could not be happier and, during the month, discovered only one feature that needed improvement: the plastic zipper on the pocket has a tendency to fade in sunlight.

As for the benefits to the hotel, there’s still some research to be done. How much longer do visitors hang out by the pool if they’re using one? Will there be a quantifiable increase in F&B spend because people are spending more time there? Only several more weeks of customer research and feedback will ­provide accurate data, but it’s safe to say that an ecstatic Sayah has a winner on his hands.

Twistar

The other two start-ups are highly tech-focused. Dubai-based Twistar’s offering is a new Android IoT mobile device that uses AI for market intelligence by analysing a guest’s actions and voice. “Using animated customer surveys,” says its maker, “Twistar allows businesses to ask the questions to help further business needs, while creating a deeper and more meaningful connection with their customers. What this device is able to do, is interpret what a customer actually means through the way they speak, rather than just by what they’re saying.”

A diminutive, very cool-­looking, rounded piece of tech, Twistar is placed in strategic locations at the hotel, in this case the Marriott Harbour in Dubai Marina. During one of the year’s busiest periods, it was put to use in The Croft, one of the hotel’s restaurants, where customer feedback is obviously of paramount importance. ­Twistar’s Nick Marshall, who has been leading the project, says there were teething problems with voltage supply and other software issues that quickly surfaced, which his team moved to solve as soon as they became apparent. “We found that users were cool with being recorded while they were speaking,” he says, “just so long as there’s a visual indicator to show that it was happening.”

So they came up with a reactive display that jumps around as a user's voice raises and lowers in tone and volume – a relatively simple fix for an issue that might not have come to light were it not for this in situ testing. As for the benefit to Marriott Hotels as a whole, the ability to farm swathes of feedback data that its rivals cannot yet take advantage of, is a big plus. Marshall says he recognises the disruption this could cause to the industry, with staff perhaps feeling like their jobs are under threat because customer service is their domain. But this is the way things are heading with AI and, over the next few years, it will change many aspects of all our lives.

Unified Inbox

And then there’s Unified Inbox, a chat app that allows guests to communicate with smart devices using text and voice. In layman’s terms, guests will be able to use it on their own phones to “­control” their rooms – effectively ­allowing them to open and close their curtains, as well as operate room lights, air conditioning and other facilities using simple text or voice commands through their phones.

Dean Sackett is UIB’s chief operating officer and, as he addresses the judges, it’s obvious there have been several issues with implementation while testing at the Marriott Al Jaddaf, not far from Dubai’s Healthcare City. It is, by his own admission, a lot to ask for rooms to be converted to incorporate this technology. It’s not as easy as converting somebody’s home or office – there are 352 bedrooms in this place, and it’s almost always at full capacity.

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The app also allows guests to check-in on arrival without filling in paperwork, but not without first registering to use the app and downloading it – something Sackett says weary travellers won't be keen on after a long-haul flight, when all they want to do is get to their room and get into bed.

There’s much work to do, and he hints that his team had barely scratched the surface during the test phase. But the panellists agree that potentially this is something that could be rolled out across the company, especially at the design stage of new-build hotels.

There’s no overall winner here. But who knows how long it will be before these products become fundamental features of all the hotels we use?

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6.30pm Meydan Classic Trial US$100,000 (Turf) 1,400m

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The National selections

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MATCH RESULT

Liverpool 4 Brighton and Hove Albion 0
Liverpool: 
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Who's who in Yemen conflict

Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government

Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council

Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south

Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory

The specs: 2018 Nissan 370Z Nismo

The specs: 2018 Nissan 370Z Nismo
Price, base / as tested: Dh182,178
Engine: 3.7-litre V6
Power: 350hp @ 7,400rpm
Torque: 374Nm @ 5,200rpm
Transmission: Seven-speed automatic
​​​​​​​Fuel consumption, combined: 10.5L / 100km

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Price, base / as tested: Dh186,480 / Dh252,735

Engine: 2.0-litre four-cylinder

Power: 246hp @ 5,500rpm

Torque: 365Nm @ 1,200rpm

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Fuel consumption, combined: 7.7L / 100km

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Argentina 4 Haiti 0

Peru 2 Scotland 0

Panama 0 Northern Ireland 0