Bali the springboard for Alila's global expansion

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4 October 2002

The Chedi and the Serai are two of Bali's most widely recognised hotel brands but both will disappear on November 1 following the move by Alila Hotels and Resorts to take over management from General Hotel Management (GHM). Together with the Alila Jakarta, the Alila Ubud Bali (Chedi) and the Alila Manggis Bali (Serai) will become the building blocks for what the company believes will be a much bigger, highly-regarded international hotel and resort operation. In Bali, Ian Jarrett caught up with managing director Frederic Flageat-Simon, previously Accor's youngest GM in Asia when he opened the Novotel Lombok.

Q. Chedi and Serai are such well-known properties, how hard was it for the owners to switch to the new brand?
Flageat-Simon: In the end, I don't think it was so tough. My shareholders were involved in the creation of the first Chedi. They also partnered GHM in the Aman resorts in Indonesia, and on their own they created Mandara Spa. Ten years ago, people knew little more about the Chedi and Mandara Spa brands than they know about the Alila today. So we'll make our mark.

Q. And the challenge is to build awareness quickly?
Flageat-Simon: I think a brand must start with the product. We have three beautiful properties and the management vision for these properties will start to show itself over a short period of time. We have the right fundamentals but not yet the awareness. The recognition will come as we start to maximise the potential of the properties.

Q: What has been the reaction from the industry?
Flageat-Simon: Some tour operators who have developed a good relationship with GHM will no doubt question whether losing the Chedi and Serai brands will benefit the properties, so it's up to us to show them that we can go forward from here and create an even better product that will gain acceptance in a short space of time.

Q: What changes do you plan?
Flageat-Simon: We must obviously keep all the ingredients that have made the Chedi Ubud so successful. New resorts are cloning themselves around Ubud but the Chedi has a very strong personality and a magical site facing the Ayung river. While it may be easy to clone a plunge pool it is difficult to clone a personality.

We are looking at some fresh ideas. Along with some small hardware changes, it will be a matter of enhancing the software with the objective of taking the guest experience at the Alila to the next level.

We want people not only to enjoy the experience of the Alila Ubud, but also that of Ubud itself and the surrounding area, its people and culture.

As part of our re-branding programme, we will retain the existing team at The Chedi Ubud and The Serai Manggis, and work with them to build on the existing qualities for which these properties are well known.

Q: And the Serai?
Flageat-Simon: GHM marketed the Chedi and the Serai as two different brands: Chedi four-star plus, and Serai as a basic four-star. I believe the facilities of the Serai and the hardware it has are right up there, and our priority will be to put the two properties on the same four-star plus level. You will not be able to distinguish between the high quality and style of the Alila Ubud and the Alila Manggis.

Q: The Alila Jakarta is again not a well-known brand yet word-of-mouth indicates that it is becoming a popular property.
Flageat-Simon: We opened Alila Jakarta in July, 2001 and the hotel has already received recognition for its contemporary design, fine dining, and cheerful service, which have set new standards for the city's hotels.

Q: What other ambitions do you have?
Flageat-Simon: I believe there are more things to be done with training and career development. As a company which has developed in Asia, I think we would like to put resources into helping the development of local employees so that they can aspire to become senior managers.

We need more Indonesian GMs of international standard hotels - if we can do anything to promote that vision, we'll feel we have made a contribution to the industry as well as the many fine young people who are working in it.

Q: You are not stopping at three hotels?
Flageat-Simon: Certainly not. We are looking seriously at the Maldives, Mauritius and Vietnam. People are knocking on our door with serious proposals.

We want to make Alila Hotels and Resorts a global organisation - but while location is important, it's having the right property in the right location that is the key.

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