Hotels - Kuwait | Statista Market Forecast

Hotels - Kuwait

Kuwait

Highlights

It is projected that the Hotels market in Kuwait will experience a revenue growth and reach US$353.70m by 2024.
Furthermore, it is expected that the market will exhibit an annual growth rate (CAGR 2024-2029) of 2.95%, leading to a projected market volume of US$409.10m by 2029.
Additionally, the number of users in the Hotels market is expected to increase and reach 1.21m users by 2029.
In 2024, user penetration is estimated to be 23.1% and is projected to rise to 26.8% by 2029.
The average revenue per user (ARPU) is expected to be US$351.60.
It is also predicted that 87% of the total revenue in the Hotels market will be generated through online sales by 2029.
Finally, it is noteworthy that United States will generate the most revenue in the Hotels market with US$111bn in 2024, in comparison to other countries.
Kuwait's hotel market is experiencing a shift towards luxury and wellness-focused offerings to cater to the growing demand from high-end travelers.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Hotels market in Kuwait is experiencing a significant growth in recent years, driven by various factors that are shaping the industry landscape in the country.

Customer preferences: Travelers in Kuwait are increasingly looking for unique and luxurious hotel experiences, with a focus on personalized services and amenities. The demand for high-end accommodations and leisure facilities is on the rise, as customers seek to indulge in upscale hospitality offerings.

Trends in the market: One prominent trend in the Kuwaiti Hotels market is the expansion of international hotel chains in the country. The influx of well-known hotel brands is not only meeting the growing demand for premium accommodations but also contributing to the overall development of the hospitality sector in Kuwait. Additionally, there is a noticeable shift towards sustainable and eco-friendly practices in hotels, as customers are becoming more environmentally conscious.

Local special circumstances: Kuwait's strategic location as a business and leisure hub in the Middle East plays a crucial role in shaping the Hotels market. The country's strong economy and government initiatives to promote tourism are attracting both business and leisure travelers, leading to an increased demand for hotel services. Moreover, Kuwait's cultural heritage and rich history make it a unique destination for tourists seeking authentic experiences.

Underlying macroeconomic factors: The economic stability and steady growth of Kuwait's economy are providing a favorable environment for the Hotels market to thrive. The government's investments in infrastructure development and tourism promotion are boosting the hospitality sector, attracting both domestic and international hotel chains to expand their presence in the country. Additionally, the increasing disposable income of Kuwaiti residents is fueling the demand for luxury hotel accommodations and leisure activities.

Data coverage:

The data encompasses B2C enterprises. Figures are based on bookings, revenues, and sales channels of hotels.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on a specific rationale for each market. As a basis for evaluating markets, we use financial reports, the Global Consumer Survey, third-party studies and reports, data from industry associations (e.g., UNWTO), and price data of major players in respective markets. To estimate the number of users and bookings, we furthermore use data from the Statista Consumer Insigths Global survey. In addition, we use relevant key market indicators and data from country-specific associations, such as country-related GDP, demographic data (e.g., population), tourism spending, consumer spending, internet penetration, and device penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, ARIMA, which allows time series forecasts, accounting for stationarity of data and enabling short-term estimates. Additionally, simple linear regression, Holt-Winters forecast, and exponential trend smoothing methods are applied. A k-means cluster analysis allows for the estimation of similar countries. The main drivers are tourism GDP per capita and respective price indices.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change.