It has examined the hotel sector in the United Arab Emirates, Saudi Arabia, Egypt, Jordan, Qatar and Oman: Mabrian
Ahead of the Arabian Travel Market, Mabrian, part of Data Appeal Company under the Almawave Group, has released a report covering six key Middle Eastern destinations, recommending the expansion of mid-range hotel offerings and alignment of upscale experiences with international standards to support long-term tourism growth and attract brand investment.
In a press statement, Mabrian says that under the study titled Beyond The Stars: Aligning Expectations And Experiences In Middle Eastern Hospitality, it has examined the hotel sector in the United Arab Emirates, Saudi Arabia, Egypt, Jordan, Qatar and Oman. These six countries represent 89.6 pc of total international arrivals to the region. The report compares hotel category distribution, pricing and guest satisfaction, identifying three core market scenarios and related strategic needs.
Sonia Huerta
“Hotel prices across the region remain highly competitive, presenting unique opportunities to drive arrivals either from independent travellers, or sourced by tour operators, travel agencies and travel advisors. By offering a distinctive value proposition rooted in culture, heritage, nature, and outdoor experiences, while maintaining attractive price ranges, these Middle East countries can compete on their own terms directly with other leading international destinations,” says Sonia Huerta, Advisory Director, Senior Vice President, Mabrian.
It adds that the first scenario includes Egypt, UAE, and Saudi Arabia, where hotels are distributed evenly across 3, 4, and 5 star categories. This creates scope to develop ‘bridge categories’ hotels that combine features from adjacent tiers. In Egypt, competitive pricing aligns with higher satisfaction scores. While in Saudi Arabia, it faces gaps between pricing and guest experience, reducing perceived value.
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Mabrian says the second scenario applies to Oman and Jordan, where 3-star hotels dominate, identifying potential in refurbishing these properties and developing 4-star offerings. It adds that Jordan may benefit from introducing lifestyle and boutique brands, while Oman could improve 5-star services, as its luxury hotel prices are expected to fall by 7.4 pc over the next six months.
As per press statement, the travel intelligence service provider says that Qatar represents the third scenario, as nearly 60 pc of its hotels are classified as 5 star. But the report highlights pricing challenges, with average nightly rates in Qatar below those of UAE and Saudi Arabia. Although rates in Qatar are set to increase by 11.4 pc over the next six months, guest satisfaction remains flat, suggesting a need to widen the mid-range offering to ease pressure on luxury pricing.
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As per a press statement, Mabrian recommends aligning hotel star ratings with guest experiences to improve satisfaction and meet long-haul travel expectations. The study also highlights the role of 3 and 4 star hotels in increasing arrivals and supporting regional growth.
“Increasing arrivals to GCC countries, reducing seasonality in Egypt and Jordan, and diversifying demand to ensure a steady flow of travellers year-round require strengthening mid-range hotel categories both in availability and quality. While the Middle East benefits from a well-developed and relatively affordable 5-star hotel infrastructure, that should keep up with a discerning travel demand in this segment, fostering sustainable growth in visitation necessitates a strong offering of high-quality 3- and 4-star hotels, presenting valuable opportunities for international hotel brands to enter the market,” adds Huerta.