With the Year 2020 around the corner, the hospitality industry is all set to welcome the New Year with great optimism & even greater goals for growth. As per a UAE based Hotel Management Company – Aleph Hospitality, the following 5 factors at large are going to impact the development & performance of the MENA hospitality industry in 2020.
Saudi Arabia’s New Visa Regulations
The impact of Saudi’s new tourist visa shall continue to bear positive changes on the Saudi Arabian economy especially the Hospitality Industry. The opening of the vast Kingdom has incited interest in the leisure travelers from GGC & beyond. For Hospitality Industry, this will lead to a flow of huge investment opportunities & also prompt hotels to diversify their product offerings to meet the needs of the new demographic.
Profitability As A Center Of Focus For Hotel Owners
Expenses shall continue to be a point of stress as hotel owners will continue to seek high profitability from their assets. In order to protect the bottom line, the hotel owners will be open to new management models ranging from white-label to franchising. Expect 2020 to witness a spike in such agreements to manage costs and stay profitable.
Adoption Of Smart Solutions
With Digital Transformation making sweeping changes in many industries, the Hotel Industry seems to be a bit slow towards the adoption. The advent of facial recognition or biometrics boarding now enables passport-free travel which has made the travel, thus the life of tourists easy. Hotels businesses should think on similar lines for customer service and make activities such as hotel reservations, check-in or check-out personalized and easy. After all, convenience is key for the ultimate guest experience.
Commitment To Reduce Plastic Usage
The initiative of plastic-free UAE taken by UAE Government is finding increasing popularity & foothold across the emirates. Big chains like Jumeirah, Marriot, and Hilton announced plastic-free initiatives this year and the trend is expected to intensify in 2020. The Hotels & Restaurants can help a lot in the coming year if they decide to go full throttle on this.
Lucrative African Market Penetration
Africa is not just land with exquisite natural beauty; it’s full of opportunities to grab as far as the hospitality & tourism industry is concerned. Ethiopia, for instance, saw a growth of around 48.6% in the travel & tourism economy in 2018 and this growth is expected to continue. So, Africa is going to be an investment magnet in 2020.