INTERVIEW: Middle East Rolls-Royce chief Cesar Habib prepares for push into Saudi Arabia

Cesar Habib, Rolls-Royce’s regional director for the Middle East and Africa, is preparing for a push into Saudi Arabia. (Illustration: Luis Grañena)
Updated 08 April 2019
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INTERVIEW: Middle East Rolls-Royce chief Cesar Habib prepares for push into Saudi Arabia

  • Habib describes Middle East's love affair with ‘car for kings and presidents’
  • The Cullinan — named after the largest diamond ever found — is Rolls-Royce’s latest super-luxury marque

DUBAI: The Middle East’s love affair with Rolls-Royce Motor Cars dates back more than 100 years, to the famous motto of Lawrence of Arabia that “a Rolls in the desert was above jewels,” as the wartime hero helped to promote the cause of Arab independence by deploying several armored cars made by the legendary British manufacturer.
Cesar Habib, Rolls-Royce’s regional director for the Middle East and Africa, has a modern version of that saying — “effortless everywhere” — and he applies it especially to the current jewel in the Rolls crown, the Cullinan.
“I remember when we had the first customer events here in the region, I put the customers into the car, and I said one thing I want to know: Did you experience the ‘effortless everywhere?’ And they came back and told me, Cesar, you were spot on,” he said.
The Cullinan — named after the largest diamond ever found — is Rolls-Royce’s latest super-luxury marque, selling for about SR2 million ($533,000, depending on the amount of bespoke work that goes into the model).
It is aimed at the upmarket SUV sector everywhere in the world, but particularly in the Middle East, where it simply ticks all the boxes for the wealthy regional car-lover — a big, luxurious, all-terrain vehicle that tells the world you, the owner, are a person of substance, demanding attention and respect.
“I believe it’s not just here (in the Middle East) but all over the world,” Habib said. “Everyone says they have got the best product on earth, the most exclusive product on earth and the most bespoke product on earth. They know it in Europe, but I think here in the Middle East it’s even more so, because they are really proud to own a Rolls-Royce. Anybody here who can afford one tries to buy one.”
The Rolls-Royce was the car of choice for rulers, princes and sheikhs who suddenly found themselves with huge levels of disposable income after the oil boom took off, and there are stories in the motor trade of mythical fleets of the vehicles sitting gleaming in palaces throughout the Arabian Gulf.
“It’s a car for kings and presidents,” Habib added.

This is what amazes me about bespoke — the interaction with the customer, making  just his or her car.

Cesar Habib


Some countries, it is said, will not allow expats to buy Rolls-Royce cars because they are reserved as a mark of royalty; in other places, new Rolls models are held for rulers and royalty first, and only released to the public when the rulers have had their fill.
Habib would not comment on those rumors, but he is sure of the allure of the Rolls-Royce brand. “Everybody knows that when someone buys a Rolls-Royce they want to make a statement about themselves,” he said.
Arab customers make that statement increasingly frequently. The showroom in Abu Dhabi was for several years the best-selling Rolls dealership in the world, and even though it has now been overtaken by a Chinese dealership, the Middle East helped Rolls to the best-ever year in its history in 2018, in terms of vehicles sold.
Rolls-Royce does not provide a breakdown of the number of cars sold in individual markets, but Habib said: “Saudi is a very important market and I think there is room to grow the brand there. How? By investing in the brand further and by being more prominently present in the market.”
In a reference to the transformation underway in the Kingdom as part of the Vision 2030 strategy, he added: “I think all the changes that are going on will play into our hands because we can go and show the brand as it is. We can do more events and invite more people. Previously, we held back a bit. We had conversations with Mohammed Yousuf Naghi (the long-standing dealer in Saudi Arabia) and we both agreed that we would take it to the next level.”
Habib detects some subtle differences in the Saudi market. “There is an increased level of expression among those in Jeddah, for example. They really get creative when selecting a Rolls-Royce — and it is very much a reflection of their more expressive personalities in how they have the car designed.”
The “expression” can reach some extraordinary heights in the Middle East market for Rolls-Royce. After some time working in the “bespoke” part of the Rolls-Royce business — the division that aims to give customers the exact car they want — Habib has a pretty good eye for regional taste.
Unusual color combinations are common, as are the idiosyncratic features discerning customers demand, such as Arabic calligraphy on the bodywork and interior.
“One customer, a collector, said he wanted a car where he could incorporate birthday features for his kids. I want my children to come into the car and look for their birthdays. So, we put a star constellation in the starlight roofing headliner, and we embroidered astrological signs into the door pockets, and in the folding tables as binary codes,” he said.
“Another gentleman wanted to give his wife a Rolls-Royce ‘love story’ for their wedding anniversary, and he designed it with us — a car with flowers inside. Behind each car there is a story,” he said.
Colors of bodywork are just as flamboyant. Cherry pink fuchsia, bright yellow, turquoise outside matching the same shade on the interior upholstery, have all featured in cars Habib has helped customers design. “You can’t argue colors, you can’t argue taste. That’s what I had to learn very quickly,” he said.
“This is what amazes me about bespoke — the interaction with the customer, making just his or her car. I don’t think you find this level of attention or service with any other manufacturer,” he added.

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BIO

BORN 

•1967 Tripoli, Lebanon

EDUCATION

•German School Lebanon

•University of Passau, Germany, diploma in business administration

CAREER

•Parts consultant, BMW, Germany

•Executive in after-sales, dealer and business development, BMW Dubai

•Executive for BMW in Iran

•After-sales marketing, Dubai BMW

•Global ownership services, Rolls-Royce, Goodwood, UK

•Bespoke, Dubai

•Regional director for Middle East and Africa, Rolls-Royce

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There has also been a shift in car driving patterns in the Kingdom, which could accelerate as more women get behind the wheel. The bigger Rolls-Royce models, such as the Phantom and the Ghost, have traditionally been seen as chauffeur-driven cars, but this is no longer strictly the case.
“They could be chauffeur-driven, but it depends on the situation. We find many owners want to drive themselves, but if they go out for an evening, for a function, they have their drivers. People enjoy driving our cars because, despite the fact they are big cars, they are effortless to drive,” Habib said.
The Wraith and Dawn — a coupe and a convertible — do not really lend themselves to chauffeur driving, and Habib sees a big potential market among wealthy women for those models.
And, of course, there is the Cullinan, heading the marketing drive this year, although apparently not much intense marketing was required.
“It has had an extremely positive reception. We had an order bank of nine months before anybody had even seen the car. We gave some people sneak previews, but even from (the information that) came into the press, people said they wanted that car,” he added.
The other essential part of the brand appeal of Rolls-Royce is its Britishness, despite the fact that since 2003 it has been owned by the German manufacturer BMW. “Everyone who thinks Rolls-Royce thinks Britain, they don’t think Germany — the British heritage of that brand, which we really nurture and maintain, it’s very important to keep the heritage of the brand.”
Most of the car’s styling and design is carried out in Goodwood in the UK, the home of Rolls-Royce for many years, while some technology and engineering come from Germany. That would continue, Habib stressed, even if there was a damaging Brexit separation of Britain from the EU.
“I don’t want to be political, but with Brexit we were always very firm in saying that whatever happens we are staying in Goodwood because we are a British brand,” he said.
Habib takes it as a compliment that other sectors of the luxury goods market use the brand name to define the exclusivity of their products — the “Rolls-Royce of watches” or the “Rolls-Royce of boats” — but he is also aware that those sectors provide some of the main competition for the company’s upmarket products.
“The challenge that we have is that we operate in the segment of ultra-high net-worth individuals. We are in the ultra-luxury segment, like some of the watchmakers, jewelry brands, leather goods manufacturers, private jet manufacturers, yacht builders, and the rest. We are in a different environment, competing with non-car manufacturers,” he said.
Habib sees the key part of his job as being as “customer- centric” as possible, and given his background in the bespoke business and ownership services, that is the part of the business he gets most satisfaction from, even expressing some regret he had less time to do this since getting the top regional job for Middle East and Africa last year.
“What I love to do is to talk and configure the car with each and every customer. This I love to do. Each and every customer is special and has their own story. If I had the time, I would like to sit with each of our customers and talk them through it. It’s very rewarding, almost artistic,” he said.
With his German-Lebanese heritage, Habib thinks he is uniquely equipped to carry on guiding customers in the region. “People tell me you are the right mix of Levant and German thinking — accuracy, attention to detail, and disciplined — but also understanding the culture in this region,” he said.


Saudi Arabia committed to preserving environment, water resources, minister tells WEF

Updated 28 April 2024
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Saudi Arabia committed to preserving environment, water resources, minister tells WEF

  • Nation providing incentives for private sector to become more engaged, Abdulrahman Al-Fadley says

DUBAI: Saudi Arabia has detailed plans for the protection of its lands and environmental resources, the Minister of Environment, Water and Agriculture said on Sunday.

Speaking at the World Economic Forum in Riyadh, Abdulrahman Al-Fadley said: “We have devised our plans based on the preservation of our environment and the management of our water resources. The Kingdom is also providing incentives for the private sector to become more engaged and more responsible toward the environment.”

With 40 percent of lands around the world degraded and further degrading at an alarming rate, critical action is needed as the UN Convention to Combat Desertification COP16 is set to take place in Riyadh in December.

Al-Fadley said Saudi Arabia had preserved millions of hectares of land and set up programs for cloud seeding and increasing the number of dams in the country.

“This will not only be beneficial to the Kingdom but for the whole region,” he said. “With us hosting COP16 we are hoping to give the meeting the importance it commands. We don’t want matters to go back to the status quo after COP16 ends.”

Tariq Al-Olaimy, a member of the Global Shapers Community Foundation Board at the WEF, commended King Salman for his land restoration efforts.

“When you put nature first, you are equally putting people first,” he said. “Nature is our greatest collaborator … There is no successful growth story without successful land restoration and this starts inwardly, through our religion, community, values and moral clarity.”

Ibrahim Thiaw, secretary of the UNCCD, warned of global repercussions if the world did not pay heed to environmental safekeeping.

“Entire ecosystems are being destroyed through actions and inactions,” he said. “There has been a 29 percent increase in droughts in the past few years and that is affecting 1.8 billion people around the world. For poor nations that is disastrous and carries a large death toll of animals, people and agriculture. We have to be more proactive and not just emergency-ready. We must attempt to avoid emergencies.”

Thiaw said the Panama Canal’s functionality had been reduced by 12 percent, which was causing a problem for supplies.

“Demand is increasing while resources are shrinking,” he said. “As humanity we have been looking at resources as if they are unlimited. We have not been managing them. Companies need to reset their relationship with nature and we need to focus on land restoration to keep going.”

Naoki Ishii, director of the Center for Global Commons, had similar concerns.

“We are on a collision course,” he said. “The only solution is to modify our economic system. COP16 must be transformative for all of us. We need the political momentum to implement positive changes.

“If we are able to push those efforts, economically and ideally speaking, that will be a game changer.”


Saudi Arabia, UAE have world’s most ambitious decarbonization programs: WEF panel

Updated 28 April 2024
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Saudi Arabia, UAE have world’s most ambitious decarbonization programs: WEF panel

  • “Solving sustainability problems requires technology and China has contributed greatly by increasing technical progress and making the cheapest energy available to the world”

DUBAI: A panel of ministers and experts gathered at the World Economic Forum in Riyadh on Sunday to discuss the road map for tripling renewables by 2030.

The UAE’s Minister of Energy and Infrastructure Suhail Mohamed Al-Mazrouei said his country’s goal would not only be reached but possibly exceeded by 2030.

“The UAE has been offering solar power to aid the world in reaching the goal of tripling renewables,” he said. “We have very few years until 2030, we need to work alongside and encourage countries to make the achievement by then.”

Li Zhenguo, president of Longi Green Energy Technology, said the Chinese government had been at the forefront of efforts to develop renewables.

“In 2023, China installed 216 solar power plants, which is more than 50 percent of the global capability,” he said.

“Solving sustainability problems requires technology and China has contributed greatly by increasing technical progress and making the cheapest energy available to the world.”

Marco Arcelli, CEO of Saudi-based ACWA Power, said he was surprised by the momentum in the region.

“Saudi and UAE have the most ambitious decarbs programs in the world. There is a speed and dimension you don’t see much elsewhere,” he said.

“There is leadership with a vision, there is cheap energy available and I believe you will start seeing greenshoring in the Kingdom by 2030. Lots of upcoming projects in the country, be it NEOM or others, will be solar driven and using renewable energy.”

Kuwait’s Minister of Electricity, Water and Renewable Energy Salem Alhajraf said there was a need to increase global production capacity.

“Innovative financing is key,” he said. “We need to move from small giga-sized projects to deploying renewables. Cities or towns with small populations can possibly have all their needs met by solar power.”

Stephanie Jamison, global Resources Industry Practices chair at Accenture, said her company had been developing guidelines for community engagement and nature transition.

“By conducting surveys and interviewing various CEOs, it has become clear that companies understand the impact they are making on nature. And so, partnerships between companies and proactive partnerships between companies and the community is one way to tackle challenges.”


Saudi energy minister, EU official discuss cooperation on clean energy

Updated 28 April 2024
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Saudi energy minister, EU official discuss cooperation on clean energy

RIYADH: Saudi Energy Minister Prince Abdulaziz bin Salman on Sunday held talks with EU Energy Commissioner Kadri Simson to discuss prospects for cooperation in the field of clean energy.

The top officials met on the sidelines of the World Economic Forum in the Saudi capital, the Saudi Press Agency reported. They discussed ways to strengthen bilateral ties, boost cooperation for the promotion of green energy and advance the goals of the Paris Agreement and ensure the implementation of the outcomes of the COP28 held in Dubai last year.

The Paris Agreement is an international treaty on climate change that was adopted back in 2015. It was negotiated by 196 parties at COP21 in France and covers climate change mitigation, adaptation, and finance.

They reaffirmed the common goals of Saudi Arabia and the EU and the determination of both parties to accelerate private investment in the renewable energy sector, cooperate on electricity interconnection and the integration of renewables into the electricity grid.

The officials stressed the need to strength the electricity supply infrastructure through demand side management smart grid. They also discussed carbon capture, utilization and storage technology and opportunities for industrial partnerships in those sectors.

They also shared their view on building on the UNFCCC, the Paris Agreement and COP28 outcomes. The officials also discussed a Saudi-EU memorandum of understanding to boost cooperation in the energy sector.

According to SPA report, they were of the view that such an MoU should provide a solid and mutually beneficial basis for orienting and anchoring investment decisions in the energy and clean tech sectors, involve and mobilize stakeholders from the public, private and financial sectors, and lay the foundation for a more sustainable and secure energy future.

The European Commission and Saudi Arabia aim to conclude the MoU in the next few months.

 


Saudi Arabia to host 28th World Investment Conference in Riyadh

Updated 28 April 2024
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Saudi Arabia to host 28th World Investment Conference in Riyadh

RIYADH: Saudi Arabia is on track to host the 28th World Association of Investment Promotion Agencies’ World Investment Conference from Nov. 25 to 27 in Riyadh.

The forum themed “Future-ready IPAs: Navigating digital disruption and sustainable growth,” will bring together leaders from investment promotion agencies, corporates, multilateral institutions, and other stakeholders to discuss global financial trends and opportunities, according to a statement. 

The Kingdom’s selection as a host underscores its position as an international funding hub, according to Saudi Investment Minister Khalid Al-Falih. 

“We are honored to be welcoming the global investment community to Saudi Arabia. Our strategic location at the crossroads of three continents, coupled with our world-class investment ecosystem and long-term political and economic stability, has seen the Kingdom develop into a global investment hub,” Al-Falih said.

“The World Investment Conference will serve as a platform to showcase our nation’s potential and forge partnerships that will shape the global investment landscape for years to come,” the minister added. 

On WAIPA’s behalf, Executive Director and CEO Ismail Ersahin said: “WAIPA is honored that the 28th WAIPA World Investment Conference will be held in Riyadh, a city with a rich history and culture.”

Ersahin added: “With each edition, the WIC reaffirms its status as a guiding force for sustainable and inclusive development.” 

He went on to stress how the conference is poised to be an impactful gathering aimed at the future readiness of IPAs. 

Since 1995, the annual gathering has provided a forum for stakeholders to exchange insights and best practices and forge partnerships that drive economic development globally.  


Human capital a ‘key challenge’ for Kingdom’s tourism sector, says Saudi minister

Updated 28 April 2024
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Human capital a ‘key challenge’ for Kingdom’s tourism sector, says Saudi minister

  • Saudi Arabia's tourism sector is 'heading to achieve $80 billion this year' in private investment, Al-Khateeb told a WEF panel

LONDON: Developing human capital is a key challenge for Saudi Arabia’s travel sector, the country’s tourism minister has said on Sunday.

Ahmed Al-Khateeb, speaking during a two-day meeting of the World Economic Forum in Riyadh, discussed the Kingdom’s burgeoning tourism industry, which has boomed over the past half-decade.

To address the human capital challenge, the Saudi leadership has encouraged young people across the Kingdom “to join the sector,” he said.

“We are spending a lot to train (young Saudi talents) and scale them, and involve them in the sector,” he told the “Vacationomics” panel discussion, adding that hiring local experts is essential for delivering better tourism experiences.

“You get the best experience and you know more about other people’s culture and other nations’ cultures when you deal and interact with locals,” he said. “We want to make sure that our guests are served by local people.”

Saudi Arabia has delivered “strong growth in Q1 this year, and we are moving to deliver our 2030 numbers,” the minister said.

The Kingdom’s tourism sector “has come a long way” since the launch of the National Tourism Strategy as part of efforts to diversify the economy, Al-Khateeb said, adding that the industry is “heading to achieve $80 billion this year” in private investment.

Last year, Saudi Arabia attracted about $66 billion in private investment into tourism.

“We doubled the number of visitors coming from outside — 100 million in total … 77 million domestic (and) 27 million international,” he said. “This is double the number that we achieved before we launched our National Tourism Strategy.

“We have the funding. We have a great country. We have everything that the international tourists would like to see and experience.”

Jerry Inzerillo, chief of the Diriyah Gate Development Authority, told the panel: “What the Gulf and its leadership will do in the next 10 years is going to be breathtaking to allow people to come from all over the world.”

With “so much to do in the region,” Inzerillo said he believed the “warmth and hospitality” of the Saudi people is serving as a strong selling point for tourism in the Kingdom.

Though the traditional Gulf tourism market in Saudi Arabia is well developed, European tourism is “now activating” through new business with the Kingdom, he added.

“And as we sign more and more airline deals and… (the) Ministry of Tourism has done a brilliant job in getting bilaterals, you’ll see those numbers grow very exponentially.”

Other panelists included Abdulla Bin Touq Al-Marri, UAE minister of economy; Thiago Alonso de Oliveira, CEO of JHSF Participacoes; and Aireen Omar, president and CEO of RedBeat Capital.