The Middle East travel industry is regaining momentum following the wave of protests and revolutions that swept the region in late 2011.
After growing just 3% in 2011, the Middle East travel market jumped 12% in 2012 and will sustain double-digit growth through 2014, according to a new PhoCusWright report. Online bookings will nearly double between 2011 and 2014, when the region's online leisure/unmanaged business travel market will approach US$16 billion.
"Efforts among Middle East governments and investors to boost inbound travel – coupled with a predominantly young and increasingly tech-savvy population – are driving substantial travel industry growth," said Mona Faraj, research analyst, Middle East. "While challenges to online booking adoption remain, including strong loyalty to traditional travel agents and discomfort with online payments in some parts of the region, online travel bookings are set for impressive growth over the next two years."
The United Arab Emirates (UAE) dominates the Middle East travel market, accounting for nearly half of the region's gross bookings and the majority of its online sales. With its large, diverse expatriate population, the UAE has the highest online travel penetration in the region, and online leisure/unmanaged business travel bookings accounted for nearly one quarter of the country's total travel market in 2012.
Travel dynamics vary dramatically across the Middle East, with cultural differences and technology adoption playing a key role in travel market growth. PhoCusWright's Middle East Online Travel Overview provides market sizing and forecasts for the Middle East's total and online leisure/unmanaged business travel markets from 2010-2014.
The report highlights key trends and developments shaping the region's travel and tourism industry, with insight into the unique dynamics influencing travel growth in the United Arab Emirates (UAE), Qatar, Saudi Arabia, Egypt and the rest of the Middle East.
Topics include:
- Total market and online leisure/unmanaged business travel bookings for 2010-2014
- Segmentation for four major Middle East markets: United Arab Emirates (UAE), Qatar, Saudi Arabia, Egypt
- Bookings by major travel product segment – air, hotel and car rental – along with analysis of segment drivers and dynamics
- Comparison of supplier-branded websites and online travel agencies (OTAs), including key players, bookings and projected growth rates through 2014
- Role of traditional travel agencies
- Analysis of technology, e-commerce and social media adoption
PhoCusWright's Middle East Online Travel Overview provides insight into emerging opportunities in the diverse Middle East travel market.
