Organic Growth in Hospitality Sector is Extremely Necessary to Expand in Market

Rotana COO Eddy Tannous reveals sustainable growth plans, Saudi Arabia expansion, brand consistency and regional resilience at FHS 2026 Dubai.

Rotana Hotels is pursuing a measured international expansion strategy focused on sustainable growth, carefully selected partners and consistent guest experiences, according to Eddy Tannous, Chief Operating Officer at Rotana Hotels, who discussed the company’s regional outlook, brand standards, Saudi Arabia pipeline and international ambitions during an exclusive interview at Future Hospitality Summit (FHS) 2026 in Dubai.

Speaking to Apratim Ghoshal, Senior Editor at Travel and Tour World, Tannous emphasised that Rotana is not pursuing rapid expansion simply to increase its hotel count. Instead, the hospitality group is prioritising organic growth that allows it to maintain operational standards, support hotel owners effectively and preserve the guest promise associated with its brands.

The interview also highlighted Rotana’s confidence in the Middle East hospitality market despite geopolitical challenges, alongside the company’s growing presence across Saudi Arabia, Africa and Eastern Europe.

Why Is Rotana Choosing Organic Growth Over Rapid Hotel Expansion?

Rotana’s strategy is centred on controlled and sustainable expansion rather than aggressive growth at any cost.

Tannous explained that the company does not want to become a 600-hotel group within three years. Instead, Rotana wants to grow organically, selecting partners that share its values and allowing the organisation to maintain the same standards across its portfolio.

For Rotana, expansion is therefore not simply about adding properties to a development pipeline. The company wants each new hotel to reinforce its existing brand proposition and deliver a consistent experience for guests and owners.

This approach becomes increasingly important as a hospitality company enters markets with different cultures, operating environments and customer expectations. Rapid expansion can place pressure on training, quality control, management capabilities and owner relationships.

Rotana’s strategy seeks to avoid those risks by ensuring that growth remains aligned with the company’s ability to provide operational support.

The principle is straightforward: the company wants to grow, but not at the expense of the guest or owner promise.

How Is Rotana Maintaining Consistent Brand Standards Across International Markets?

Rotana is expanding beyond its traditional Middle Eastern and GCC base while focusing heavily on the consistency of its brands.

The company is now growing into Africa and Eastern Europe, with operations and developments involving markets such as Istanbul and Georgia. Tannous also referenced discussions involving Armenia and Kazakhstan, alongside opportunities in Africa.

Despite these geographical differences, Rotana wants travellers to recognise its brands regardless of where they stay.

Tannous explained that a guest staying at a Rotana property in Georgia, Islamabad or Dar es Salaam should immediately understand the brand experience. The location may be different, but the fundamental characteristics of the brand should remain recognisable.

One of the ways Rotana approaches this is through what Tannous described as the “five senses”.

The company considers what guests should smell, hear, see, feel and touch when they enter a hotel or its public spaces. These elements can be adapted to reflect local markets, but the core essence of the brand remains consistent.

This provides Rotana with a framework for international expansion without turning every property into an identical product.

Local culture can influence the experience, while the fundamental brand identity remains intact.

Why Does Rotana Believe the Middle East Hospitality Market Remains Resilient?

Despite geopolitical challenges affecting the region, Tannous expressed strong confidence in the resilience of the Middle East hospitality market.

He pointed to the successful continuation of major industry activity, including the Arabian Travel Market, which was moved from its traditional May timing to September, as evidence of the region’s ability to adapt.

According to Tannous, the region remains resilient even while recognising that geopolitical developments have created challenges for businesses.

He noted that Rotana had not lost employees during the period discussed and remained profitable, although business had been affected by the wider environment.

The message from the FHS 2026 discussions was similarly positive.

Tannous said a meeting involving UAE economic officials, investors, operators and tourism board representatives demonstrated that stakeholders remained focused on the opportunities available across the destination.

Rather than concentrating exclusively on individual companies or brands, he argued that the wider destination was the priority.

The region, in his view, has repeatedly demonstrated its ability to recover from periods of uncertainty and emerge stronger.

How Is Dubai and the Wider Gulf Supporting Hospitality Growth?

Tannous linked the region’s hospitality resilience to the long-term ambitions of governments across the Gulf.

He highlighted the determination demonstrated by the leadership of Dubai, Abu Dhabi and Saudi Arabia, particularly through major strategic development programmes and long-term tourism ambitions.

Dubai’s transformation into a globally recognised tourism and business destination was cited as an example of how ambitious projects that initially attract scepticism can eventually become international icons.

For hospitality operators, this long-term approach provides an important foundation for investment.

Large-scale infrastructure development, tourism strategies, aviation connectivity and destination marketing collectively create opportunities for hotel operators, developers and investors.

Rotana sees itself as part of this wider ecosystem.

The company’s approach is therefore not simply to respond to short-term market conditions but to align its expansion with the broader direction of destinations where governments are investing heavily in tourism and economic diversification.

Why Is Saudi Arabia One of Rotana’s Most Important Growth Markets?

Saudi Arabia has become one of Rotana’s most significant expansion markets as the Kingdom accelerates tourism development under Vision 2030.

Tannous described Saudi Arabia as a natural growth area for the company, reflecting both its existing presence in the market and the scale of the country’s tourism ambitions.

Rotana currently manages 13 hotels in Saudi Arabia, with another 13 to 15 properties in its pipeline, according to Tannous.

That pipeline demonstrates the strategic importance of Saudi Arabia to Rotana’s future portfolio.

The Kingdom has established ambitious targets for tourism as part of its economic transformation programme. Tannous specifically referred to the objective of increasing tourism’s contribution to Saudi Arabia’s GDP from around 3% to 12.5%.

For hotel companies with an established presence in the Kingdom, this creates substantial development opportunities.

Rotana’s regional expertise also gives it an advantage when expanding in Saudi Arabia. The company understands the market, its workforce and the expectations surrounding hospitality development in the region.

How Is Rotana Developing Local Hospitality Talent in Saudi Arabia?

Alongside hotel expansion, Rotana is focusing on developing local hospitality talent to support its growing Saudi Arabian portfolio.

Tannous said local talent is not viewed as a major challenge because Rotana understands the region and what motivates employees in its markets.

One of the company’s approaches is to demonstrate clear career progression.

An employee joining a hotel as a receptionist, for example, should be able to understand that becoming a general manager is a realistic long-term career objective.

Tannous indicated that such progression could potentially occur within seven to ten years, or over a longer period depending on the individual’s career development.

Role models within Rotana are also important.

The company has UAE and Saudi nationals in its organisation who can demonstrate that senior hospitality leadership positions are attainable for local employees.

This creates a visible career pathway rather than presenting hospitality as an industry where senior management roles are primarily occupied by expatriate professionals.

For Saudi Arabia, developing this local talent pipeline will be increasingly important as the Kingdom adds hotels, attractions and tourism infrastructure.

What Is Rotana’s International Expansion Strategy?

Rotana’s international growth is extending beyond its traditional GCC footprint while remaining geographically manageable for its operations.

The company is expanding into Africa and Eastern Europe, with Istanbul and Georgia forming part of its international growth story. Conversations are also taking place around potential opportunities in Armenia, Kazakhstan and other African markets.

However, Tannous stressed that Rotana is not looking to expand so far geographically that it becomes difficult to provide effective support to individual properties.

This is a critical component of the group’s strategy.

For a hotel management company, opening a property in a new market is only one part of the process. Sustaining operational standards requires management support, training, brand oversight and close communication with owners.

Rotana therefore wants to expand into markets where it can maintain an effective operational connection.

This explains the emphasis on selecting partners carefully and ensuring that new properties fit the company’s broader strategic direction.

How Is Rotana Balancing Local Culture With Global Brand Consistency?

Rotana’s international strategy does not depend on making every hotel identical.

Instead, the company aims to preserve the core elements of its brands while allowing properties to respond to local cultural environments.

The five-senses approach provides one example.

What guests smell, hear, see, feel and touch may differ between destinations. Local architecture, food, cultural influences and design can naturally shape the hotel experience.

However, the fundamental promise associated with the brand should remain recognisable.

This balance is particularly important as Rotana expands across regions with very different hospitality traditions.

A hotel in the GCC may operate differently from one in Eastern Europe or Africa, but the guest should still recognise the Rotana identity.

This philosophy could allow the group to internationalise without losing the characteristics that differentiate its brands.

What Does Rotana’s Growth Strategy Mean for the Global Hospitality Market?

Rotana’s approach reflects a broader shift in international hospitality towards disciplined growth rather than expansion based purely on portfolio size.

Hotel companies increasingly need to demonstrate value to both guests and owners. A large development pipeline can create headlines, but sustainable performance depends on operational execution, brand consistency, talent and strong owner relationships.

Tannous’ comments indicate that Rotana is prioritising these fundamentals as it enters new markets.

Saudi Arabia remains a major growth engine, while Africa and Eastern Europe offer additional opportunities. At the same time, the company continues to strengthen its position in the UAE and wider GCC.

The strategy also illustrates the importance of destination-level resilience.

For Rotana, regional growth is closely linked to the long-term tourism ambitions of the Middle East. Government investment, infrastructure development and economic diversification are creating a market environment in which hospitality operators can continue to identify opportunities despite periods of uncertainty.

What Does the Future Hold for Rotana?

Rotana’s future growth strategy appears to be built around three central principles: organic expansion, carefully selected partnerships and consistent brand delivery.

The company is increasing its presence in Saudi Arabia while exploring opportunities across Africa and Eastern Europe. Yet its leadership remains focused on ensuring that expansion does not undermine the operational support required by individual properties.

Tannous’ comments at FHS 2026 also underline the importance of confidence in the Middle East hospitality sector.

While geopolitical uncertainty remains a factor, Rotana believes the region has demonstrated considerable resilience through previous crises and continues to benefit from ambitious tourism and economic development strategies.

For Rotana, the objective is therefore not simply to become bigger. It is to become stronger while retaining the standards, relationships and guest experience that underpin its brands.

Rotana is pursuing a measured international expansion strategy that places sustainable growth ahead of rapid portfolio enlargement, with Saudi Arabia emerging as one of its most important markets. At FHS 2026 Dubai, COO Eddy Tannous outlined a vision centred on carefully selected partners, local talent development, consistent brand standards and regional resilience.

With 13 hotels already managed in Saudi Arabia and another 13 to 15 in the pipeline, the Kingdom is positioned to play a significant role in Rotana’s next phase of development. Meanwhile, expansion into Africa and Eastern Europe demonstrates the group’s broader international ambitions.

The defining feature of this strategy, however, is discipline. Rotana wants to grow without compromising the guest promise or owner promise that Tannous identified as fundamental to the company’s long-term success.

Rotana Accelerates Global Hotel Expansion With Saudi Arabia at the Centre of Its Growth Strategy

Rotana is strengthening its position as a major Middle Eastern hospitality group as it expands across Saudi Arabia, Africa, Eastern Europe and Türkiye, while maintaining a cautious approach to international growth. The company is prioritising sustainable development, carefully selected partners and consistent guest experiences rather than rapid portfolio expansion.

Why Is Rotana Focusing on Sustainable Hotel Growth?

Rotana’s expansion strategy is built around organic and sustainable growth rather than pursuing the largest possible hotel portfolio. COO Eddy Tannous said the company does not want to become a 600-hotel group within three years, emphasising that growth must not compromise operational standards or the promises made to guests and hotel owners.

The company is therefore selective about new partnerships and markets. This approach is designed to ensure that Rotana can provide the necessary operational support while maintaining its brand standards as it enters new destinations.

How Is Rotana Expanding Beyond the Middle East?

While the Middle East and GCC remain Rotana’s strongest markets, the company is increasingly looking towards international opportunities. Its expansion now includes Africa and Eastern Europe, with developments and discussions involving destinations such as Georgia, Istanbul, Armenia and Kazakhstan.

Tannous said Rotana wants guests to recognise its brands regardless of where they stay. Whether a property is located in Georgia, Islamabad or Dar es Salaam, the company aims to maintain a recognisable Rotana experience.

The strategy allows individual hotels to reflect local cultures while retaining the core characteristics of their respective brands.

Why Is Saudi Arabia a Key Growth Market for Rotana?

Saudi Arabia has emerged as one of Rotana’s most important expansion markets as the Kingdom accelerates tourism development under Vision 2030. The company currently manages 13 hotels in Saudi Arabia and has a pipeline of approximately 13 to 15 additional properties, according to Tannous.

Rotana sees substantial potential in the Kingdom’s ambitious tourism transformation, particularly as Saudi Arabia seeks to increase tourism’s contribution to its economy.

The company’s established regional expertise also provides an advantage as it expands across the Kingdom’s rapidly developing hospitality landscape.

How Is Rotana Developing Local Hospitality Talent?

Talent development is another important part of Rotana’s Saudi Arabia strategy. Tannous said the company is focused on showing local employees that hospitality can offer a clear and long-term career path.

An employee joining as a receptionist, for example, can potentially progress towards a general manager position over seven to ten years or longer, depending on career development.

Rotana also uses Saudi and UAE nationals in leadership positions as role models, demonstrating the opportunities available within the hospitality sector.

What Is the Outlook for Rotana?

Rotana’s growth strategy combines international expansion with operational discipline. Rather than prioritising hotel numbers alone, the company is focusing on strong partnerships, consistent brand standards and the development of local talent.

Saudi Arabia is expected to remain a major growth engine, while Africa and Eastern Europe provide additional opportunities for diversification. At FHS 2026 Dubai, Tannous also highlighted the resilience of the wider Middle East tourism market despite geopolitical challenges.

Rotana’s next phase of growth will therefore depend on its ability to expand internationally while preserving the guest and owner experience that underpins its hospitality brands.