Saleh Fareed

Saudi Gazette

 

JEDDAH — Saudi Arabia will continue to see a healthy demand for hotel rooms, especially in Makkah and Madinah, and may see a growth in the overall occupancy rates next year, said Christine Davidson, director The Hotel Show Saudi Arabia 2014.



Speaking exclusively to Saudi Gazette, Davidson said the main driver for holding the Hotel Show Saudi Arabia 2014 is the market’s increasingly encouraging outlook.



“In just three years, accommodation will see an increased project spending of 24 percent. With such opportunity in the coming years, companies from across the region are looking for ways of getting closer to the market,” she said.



“The Hotel Show Saudi Arabia has seen more diversification from companies looking to capitalize on sector expansion. As a unique networking platform, we aim to provide an opportunity to facilitate that growth.”



According to the latest figures this year, Saudi Arabia’s travel and tourism industry will exceed SR64.8 billion ($17.3 billion). By 2020, a further SR33.5 billion ($8.93 billion) will be invested in the hospitality sector.



“With this level of growth and investment, Saudi Arabia will continue to see global brands enter the market at a steady pace. Over the past several years, we have seen an increase in these brands, and this trend will see an uptick in the coming years,” she said.



“As the only exhibition in the country dedicated to covering every aspect of the hotel industry – from interior design to facilities management – the Hotel Show Saudi Arabia is a must-attend event for companies to identify opportunities and establish a presence in the country.”



Speaking in general about the rising tourism business and the exponential expansion of the hospitality industry, she said: “The outlook over the next decade is certainly encouraging, and the sector is poised for steady growth. In just three years, accommodation will see an increased project spend of 24 per cent.”



She noted that the Saudi Arabian government is increasingly placing a stronger emphasis on fostering domestic tourism. In fact, investments in new tourist attractions are set to grow 23 percent by 2017, and market trends are indicating a shift. “This growing demand will create new and diverse opportunities for the sector,” she said.



According to Davidson, within a decade the annual number of pilgrims visiting Saudi Arabia for Haj and Umrah is expected to rise from 12 million to nearly 17 million.



Commenting on this year’s hotel show, she said: “This year’s event brings together the very best suppliers from across the hospitality industry and visitors will have access to the most up-to-date innovations and products.”



Davidson said the Kingdom has significant opportunities within the sector at present and steadily increasing over the next five years. With more than 127 exhibitors from 20 countries onsite, many of the solutions on show this week will assist in driving this growth.