A rendering of a Presidential Suite  for The Address brand. Emirates started its “green” tourism approach 12 years ago in the UAE with Al Maha Desert Resort & Spa (below).

London-based Virgin Atlantic Airways and Dubai-based Emirates Airlines are cashing in on their brand value by developing a supporting hotel business, which will first grow where the airlines fly and, in Virgin’s case, beyond.

Virgin Hotels CEO Paul Clark aspires to move “big time” into the hotel business with the goal of reaching 100 hotels globally within five years. He likes major UK markets as well as European capitals and Australia. Virgin also owns a huge plot of land in Bahia, Brazil, where it plans to create an eco-resort with branded partners.

In most cases, however, the brand’s essence lands it more in the 4-star arena with a raison d’être of “cutting the hassle factor” for its guests. “The challenge is to keep the brand youthful and young at heart,” Clark said. “We won’t just go where the airline goes.”

Emirates’ Vice President of Resorts & Projects Tony Williams is more attached to the airlines’ growth strategy and has a strict focus on conservation and sustainable development.

Emirates already has three hotels open in Dubai and another in Emirate Park Tower, scheduled to open in 2010 or 2011. It is developing a 4,000-acre (1,619-ha), 40-villa luxury conservation resort, Wolgan Valley Resort & Spa in the Blue Mountains outside Sydney, as well as two resorts on Mahe Island in the Seychelles. Williams believes there is further opportunity in Australia, stating the high-end leisure market faces a shortage of top, experiential hotels. In general, Emirates looks for supply shortages and then tries to go there. “We are not aiming to be a large hotel management company and don’t have a huge pipeline,” Williams says.

Emirates’ real goal, Williams says, is being responsible to the environment, showing commitment to its destinations, commitment to its staff and creating a very personalized home environment, as opposed to more commoditized 5-star approach that is a bit too consistent and not as individualized.

The most boastful of the three players at the Arabian conference was Emaar’s The Address, with taglines such as “where life happens” and “where cool meets warmth.” CEO Marc Dardenne, who is also developing the Armani brand for Emaar, initially plans to develop 15 hotels and as many as 100 in 10 to 15 years. The first hotel will be at the Downtown Burj Dubai with 196 guestrooms and 626 serviced apartments, followed by addresses at the Dubai Mall and Dubai Marina.

Current targets for expansion include Shanghai, Cairo, Indonesia, Morocco, Istanbul, Los Angeles and New York City. The brand also will have a unique dining experience and four extensions for distinct experiences: resort, retreat, urban, business. In fact, the first retreat has been connected to Istanbul.

“The Address will be set apart not only by their location but also in the total character and service standards, where we adopt a 'one-size-fits-one’ approach,” Dardenne says. “This creates a shift from feature-focused hotels to benefit-focused hotels that will assure our guests a refreshingly different experience.”

According to Managing Director Richard Riley, “The Address’ philosophy is to offer more benefits for guests than focus on features that are hardly used by guests... From the moment an enquiry is made to check-in and check-out, The Address will offer personalized service to suit the individual traveler.”

Among some of the customer benefits will be an easy-to-navigate Web site with a three-clicks-to-booking strategy; it will be able to recognize returning visitors, know their preferences and recommend ways to enhance their next stay. There will be real-time guest check-in on the journey from the airport to hotel through assisted Wi-Fi or in-room after arrival, but rarely at the front desk.

Direct comments to: jweinstein@reedbusiness.com