Saudi Arabia has seen tremendous growth in the Hotel Industry in the past decade or so. The Largest hotel brands are working out new development strategies to expand their presence across the Kingdom of Saudi Arabia.
Most of the Business tourism in Saudi Arabia is primarily because the Kingdom is an Oil rich country. Apart from Business tourism, Saudi has a lot of religious tourism from all over the world. There is a huge demand for different range of hotel products and a lot of major hotel chains understand the potential of the Industry in the coming years. A lot of hotel brands have made their presence and a lot of hotels have plans to fulfill the requirement of this ever growing Saudi Hotel Industry.
According to top resources, there are close to 100 hotels which are in the active pipe line in Saudi Arabia. This includes projects which are under construction stage and the project which are in its final stage of planning & Execution. A leading Global Hotel Brand is already working on a total of 18 properties across the Kingdom.
Saudi Arabia’s major population falls under the mid – to low income category. There is a shortage of quality hotels in certain regions which can actually serve to people who fall under this category. A lot of Budget hotels see this as an opportunity and so a lot of the popular brands intend to open properties over the next few years.
Oil Business & religious tourism are primarily the reasons for the ever growing demand for hotels in the region. When it comes to business tourism, the demands are mostly for 4 & 5 star hotels. 5 Star Hotels in Saudi Arabia are already in good supply. Huge developments in major cities have attracted the 5 Star luxury Hotels to plan high profile projects in the country. The King Abdullah Financial District which is located in Riyadh District has already made one of the largest Group of Hotel brands to invest in high profile projects in the city.
Tourism also continues to grow within the Kingdom. Domestic Religious tourism is very brisk and a lot of pilgrims stop in the thriving Seaside City of Jeddah on their route to Makkah. A lot of travelers mostly make their trips along with their families. This makes it a highly prospective place for the Hotel Groups and so a lot of them are looking to capitalize on this potential by targeting areas in and around the City of Jeddah
Riyadh and Jeddah are experiencing tremendous overall growth. There is quite a lot of development that is going on in these two cities. Religious tourism is going up every single day. The numbers are going up and the government has made great strides in its development efforts to accommodate pilgrims from all over the world. The Current trend in the Kingdom is expected to continue in upward direction and this surely will make Saudi Arabia’s Hotel Industry even bigger in the coming years.