The future of Lebanon’s guesthouse sector

The future of Lebanon’s guesthouse sector

The guesthouse scene in Lebanon is poised for innovation and growth as travelers increasingly seek authentic experiences. We take a closer look at the market, identifying the trends shaping its future.

The president of Diyafa and the president of the new Syndicate of Lebanese guesthouses, Ramzi Salman, announced the launch of a website that will consolidate all the guesthouses in Lebanon, providing full details of the properties with a link for reservations, thus placing the homes in the spotlight.

Challenges

According to Philippe Tabet, who owns Dar Alma and Dar Camelia in Tyre, the guesthouse business is challenging for owners, as 17 percent of the cost goes toward electricity (previously 2 or 3 percent), and there is often commission to be paid on bookings (around 15 percent).  In addition, there are costs in terms of regulations, so the profit margin is not big.

Seasonality is also a concern for guesthouses, especially those located in mountainous areas in Lebanon. Couca Noun, owner and CEO of Beit Noun, said that they are organizing special events and promotions during winter to attract guests.

Of course, the security situation in Lebanon remains a top concern. With guesthouses only having a few rooms, cancelations can be disastrous for owners.

Opportunities

 Consumer tastes are changing, with travelers seeking enriching experiences. With this in mind, guesthouses need to provide much more than a beautiful room. Lisa Jerejian, communications manager and editor of Lebanon Traveler, said that the focus is on experiential travel, and guesthouses can capitalize on this by offering culinary and nature experiences, making things much more personal and tailored to the needs and preferences of the guest.

Insights from HORECA Talks 2024 at HORECA Lebanon, co-organized by Hospitality News Middle East and Hodema Consulting Services. Session moderated by Nada Alameddine, managing partner at Hodema Consulting Services, and Nagi Morkos, founder and manager partner at Hodema Consulting Services.

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