Dubai becomes launchpad for luxury brands eyeing global expansion: Petros Stathis

Once a magnet for global brands expanding into the Middle East, Dubai’s rapid growth over recent years has now turned the Emirate into a launchpad for both homegrown and international brands to expand globally. There used to be a time when brands would either launch or scale in more traditional and established markets and megapolises, such as Paris or LA, with Dubai then being simply added to the list of locations where a brand is present. Increasingly, these hotspots are being dislodged by Dubai with the Emirate is becoming the lodestone in any brand’s development.

From luxury dining to hospitality, a growing number of companies are now being built in Dubai with global expansion in mind. Among the brands making this shift are NAMMOS Dubai and CÉ LA VI, both operated by ADMO Lifestyle Holding, a joint venture between Monterock International and Alpha Dhabi Holding.

“It used to be that world-renowned restaurants or international hotel chains would emerge from cities like London and New York before expanding to places like Singapore and Paris,” says Petros Stathis, chairman of Monterock International and Chairman of NAMMOS World. “But, in recent years, it is Dubai that is increasingly becoming that second step, if not the first.”

According to Stathis, Dubai offers the right mix of consumer sophistication, economic conditions, and international visibility to serve as a testbed for global concepts. With its large, dynamic, sophisticated, and wealthy population drawn from across the world, the city has all the ingredients needed for establishing a luxury, international brand.

“What was once a market where foreign brands came to capitalize on wealth and tourism is now a launchpad for building a brand before global expansion, with Dubai positioned as the ultimate springboard,” Stathis explains.

From Mykonos to Dubai

Originally a single-location beach club in Mykonos, in 2019 NAMMOS expanded beyond Greece for the first time with the opening of NAMMOS Dubai at the Four Seasons Resort Jumeirah Beach. Despite the disruption of the Covid-19 pandemic, it overtook the Malibu branch of Nobu to become the highest grossing restaurant in the world. It is from this platform that Stathis plans to build the NAMMOS brand globally and works are currently underway to open an outpost in London.

“For us there was no second choice,” Stathis says of selecting Dubai for the brand's first global step.

The relatively quick success of NAMMOS convinced Stathis to test the local market once more with the opening of CÉ LA VI, a premium rooftop dining and nightlife brand originally from Singapore that also has branches in Tokyo and Taipei. Sensing an opportunity, Monterock brought CÉ LA VI to Dubai where the venue offers panoramic views of Downtown Dubai and the Burj Khalifa from its location on the 54th floor of the Address Sky View Hotel. “This has only been possible because Dubai has become such a cosmopolitan and global city which allows us to launch and refine our brands for a truly international audience,” Stathis notes.

Dubai goes global

But it is not just imported brands that are incubating their global expansion from a base in the UAE; ones that were born in the country are doing the same too.

The Michelin-starred Indian restaurant Trèsind was founded in Dubai before opening a second restaurant in Mumbai, which is effectively the reverse of the typical expansion model. Similarly, Jumeirah, the hospitality brand behind Jumeirah Burj Al Arab, began as a local hotel operator and has since expanded globally, with properties in London, Capri, Bali and other high-end destinations.

Several factors contribute to UAE’s emergence as a global brand hub. Firstly, there’s its strategic location. Positioned between multiple continents, the UAE offers access to an affluent and international customer base and is home to some of the world’s busiest airports. With a luxury-driven retail culture and millions of high-spending tourists visiting the country annually, brands are able to trial concepts in a setting with global foot traffic and visibility.

“Situated at the crossroads of Europe, Asia, and Africa, Dubai offers unparalleled access to a vast and diverse customer base,” says Stathis.

This is further boosted by the residents of the Emirates, who form one of the highest concentrations of wealthy individuals anywhere on the planet. This affluent local consumer base makes it an ideal test market for high-end and lifestyle brands. In addition, there’s also the business-friendly environment nurtured by the local authorities, who offer low tax rates, regulatory efficiency, and pro-investment policies that make it attractive for international entrepreneurs and brand developers.

“The absence of direct taxes on personal income and relatively low corporate tax rates creates a favorable environment for brands looking to maximize their profitability,” Stathis explains.

Forward thinking

Perhaps more than anywhere else in the world, Dubai today this is where brands grow, thrive, and ultimately conquer the globe. As both Dubai and the wider UAE continue to diversify their economy and attract global talent, the city is well-positioned to become a long-term center for brand innovation. And the more brands that arrive in the city, the more others will follow what is becoming an increasingly well-trodden path. The likes of NAMMOS and CÉ LA VI have set the pace and it appears that Dubai’s transformation from luxury marketplace to global brand factory is well underway.

“Simply put, any brand with serious global aspirations has to establish a foothold in Dubai,” Stathis concludes.