Hotels - United Arab Emirates | Statista Market Forecast

The Hotels market in the United Arab Emirates is expected to experience a significant growth in revenue in the near future.
It is projected that by 2025, revenue will reach US$452.37m and exhibit an annual growth rate of 3.91%, thereby reaching a market volume of US$527.31m by 2029.
During this period, the number of users is expected to increase to 2.18m users, with the user penetration expected to rise from 18.0% in 2025 to 21.9% by 2029.
The average revenue per user (ARPU) is expected to remain at US$260.70.
Furthermore, it is predicted that 87% of the total revenue in the Hotels market will be generated through online sales by 2029.
In comparison to other countries, United States is expected to generate the most revenue, with a projected revenue of US$115bn in 2025.
The UAE's hotel market is seeing an increase in luxury hotel developments, catering to the growing demand from affluent travelers.

Definition:

The Hotels market includes hotels and professionally-run guest houses. These accommodations can be booked directly via the providers website, through a tour operator, a travel agency, an online travel agency (OTA), or by telephone.

Additional Information:

The main performance indicators of the Hotels market are revenues, average revenue per user (ARPU), users and user penetration rates. Additionally, online and offline sales channel shares display the distribution of online and offline bookings. The ARPU refers to the average revenue one user generates per year while the revenue represents the total booking volume. Revenues are generated through both online and offline sales channels and include exclusively B2C revenues. Users represent the aggregated number of guests. Each user is only counted once per year. Well-known providers are Hotels.com, trivago, and Booking.com.

The booking volume includes all booked travels made by users from the selected region, independent of the departure and arrival. The scope includes domestic and outbound travel.

For further information on the data displayed, refer to the info button right next to each box.

Booked directly via the providers website, through a tour operator, an online travel agency (OTA), a travel agency or by telephone

Private accommodation and holiday flats, private room and accommodation rentals (e.g. Airbnb)

Hotels: market data & analysis

The Hotels market in United Arab Emirates is experiencing significant growth and development.

Customer preferences: Customers in the United Arab Emirates are increasingly seeking unique and luxurious experiences when choosing hotels. They are looking for properties that offer high-end amenities, personalized services, and innovative designs. Additionally, there is a growing demand for sustainable and eco-friendly practices in the hospitality industry.

Trends in the market: One of the key trends in the Hotels market in the United Arab Emirates is the rise of boutique and lifestyle hotels. These properties cater to the preferences of modern travelers who value individuality and style. Another trend is the integration of technology in hotel operations, from online booking platforms to smart room features, enhancing the overall guest experience.

Local special circumstances: The United Arab Emirates is known for its world-class tourism infrastructure and attractions, making it a popular destination for both leisure and business travelers. The country's strategic location, excellent connectivity, and diverse cultural offerings contribute to its attractiveness as a hotel market. Additionally, the UAE government's focus on promoting tourism and hosting international events further drives the growth of the Hotels market.

Underlying macroeconomic factors: The Hotels market in the United Arab Emirates is influenced by various macroeconomic factors, including fluctuations in oil prices, currency exchange rates, and global economic conditions. The country's efforts to diversify its economy and reduce dependence on oil revenue have led to investments in tourism and hospitality, supporting the growth of the Hotels market. Additionally, government initiatives to improve ease of doing business and attract foreign investment play a significant role in shaping the hotel industry landscape in the UAE.

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.

This report presents a comprehensive analysis and additional information on the Mobility market, in a PDF format.

Hotels - United Arab Emirates

Revenue

Sales Channels

Analyst Opinion

Users

User Demographics

Global Comparison

Hotel Star Rating

Methodology

Mobility

Access more Market Insights on Mobility topics with our featured report

Key Market Indicators

Contact