The UAE’s hospitality landscape is dynamic and diverse, offering immense opportunities for growth. Understanding this diversity is not just interesting; it’s essential for your success. Let’s delve into how you can adapt and excel by catering to these varied tastes.
5 Key Strategies for Hotels to Succeed in UAE
Cater to Key Source Markets
Insight: India, the United Kingdom, Russia, and the United States are among the leading source markets for travelers to the UAE.
What can Hotels do: Tailoring the services to cater to the preferences and expectations of these demographics can significantly boost the hotel’s appeal. This might include cultural considerations, language support, and customized packages that resonate with these travelers.
Leverage the Rise of Regional OTAs
Insight: Regional OTAs are gaining ground, now accounting for about 35% of total bookings in the Middle East. This growth, which saw a ~70% increase from Q1 2022 to Q2 & Q3 2023, is partly due to the resurgence of international travel post-COVID.
What can Hotels do: Collaborating with these regional OTAs can help the hotels tap into new customer segments and diversify their booking channels.
Connect first with the Dominant Regional OTAs
Insight: Top 2-3 Regional OTAs in every destination would cover a large chunk of the total bookings for the region.
Check out the Dominant OTAs in your Region now.
What can Hotels do: Make sure your channel manager is connected with the regional OTAs with the largest share of bookings, and keep an eye for OTAs with the maximum quarter-on-quarter growth.
Understand and Adapt to Booking Windows
Insight: Many travelers to the UAE plan their trips well in advance. Understanding the Average Advance Booking Window (ABW) trends can help the hotels optimize the pricing strategy and promotional activities.
Check out the UAE OTA ABW Trends now.
What can Hotels do: Offering early bird specials or flexible cancellation policies can attract these planners and secure bookings ahead of time.
Focus on Length of Stay (LOS)
Insight: Different OTAs attract travelers with varying Lengths of Stay (LOS). By identifying which OTAs bring in guests who prefer longer or shorter stays, hotels can tailor their offerings accordingly.
Check out the UAE OTA LOS Trends now.
What can Hotels do: For longer stays, hotels must provide more in-depth experiences, extended stay discounts, or personalized services.
The UAE hospitality market is rich with opportunities. By understanding and adapting to the trends and preferences of travelers, hotels can carve out a successful path in this competitive landscape.