Thursday, October 3, 2024

Abu Dhabi sees growth in Russian Tourism

Abu Dhabi stands out as a top choice for long-haul Russian travelers, driven by a significant rise in seat availability for the second half of 2024. Insights from Mabrian, part of The Data Appeal Company, reveal the capital of UAE is among their top choices in GCC destinations, where Russian visitors are opting for luxury accommodations in stays that tend to be extended, providing the Abu Dhabi with a unique opportunity to enhance its economic impact through targeted marketing and strategic investment in this growing market.

According to the Association of Tour Operators of Russia (ATOR), Russian outbound travel increased by 14 percent in the first half of 2024 compared to the same period in 2023, driven by long-haul destinations like the United Arab Emirates. As per FSB Borders Service data, nearly a million Russian travelers visited the UAE, an 11 percent increase from 2023, making it the second most visited country by Russians.

This analysis* explores Mabrian data on demand trends among Russian travellers visiting Abu Dhabi, drawing on year-to-date data and forecasts for 2024, covering connectivity, accommodation preferences, length of stay, and spending habits. Alongside Dubai, Sharjah and Oman, Abu Dhabi is a key destination in the UAE for Russian tourists, a market that has significantly shifted its travel preferences over the past five years.

Focusing in Abu Dhabi, as shown by Mabrian’s data, Russia is the second European market growing the most in terms of seats availability of the second semester of 2024, as projected capacity will increase 31.4 percent, compared to the same period in 2023. “This growth reflects also seasonal demand from this source market”, says Carlos Cendra,  Partner and Director of Marketing and Communication at Mabrian. “After a slight 2 percent decrease in seat availability during the first half of the year, the market is rebounding as we approach the European winter, when many Europeans seek warmer destinations.”.

Mabrian’s demand projections, based on flight searches, indicate that after a 52 percent increase in Russian visitors to Abu Dhabi in the first half of 2024 (compared to the same period in 2023), the number is expected to rise by another 53 percent, reaching approximately 50,000 travelers in the second half of the year.

“Data shows that Russian demand for Abu Dhabi is not only consolidating but also strengthening,” explains Cendra. “Understanding their preferences for long-haul travel and specific choices when visiting the UAE, and Abu Dhabi in particular, can lead to longer stays and higher spending, enhancing the return on investment from Abu Dhabi’s intensive promotional efforts in Russia.”

Hotel luxury accommodation, Russians’ top choice in Abu Dhabi

The hotel and stay experience are paramount for Russian travelers. As Mabrian’s data reveals, they aim at high quality and luxury experiences, in hotels or renowned world brands, mainly in the most coveted areas of the city, such as Corniche and its West end, Al Ras Al Akhdar; as well as Al Reem Island and Khalifa City.

According to Mabrian’s insight, 28.9 percent of Russian travelers stay in 4-stars hotels, and 42.7 percent in 5-stars. This preference for 5-star hotels is 6.5 percentage points higher than the average for other travelers in Abu Dhabi.

Additionally, 90 percent of Russians visiting Abu Dhabi choose hotel accommodations, with nearly one in four opting for resorts—a lodging segment with significant growth potential among Russian tourists, especially considering the increasing length of their stays.

Overall, Russian travelers’ stays in Abu Dhabi increased by 57 percent compared to the same period in 2023, with the average length of stay rising from 2.9 days in 2023 to 3.4 days in 2024.

“The increase in Russian arrivals and their extended stays are key indicators that can help maximize this market’s economic impact, as well as to target Russian demand with a more segmented approach”, says a Mabrian’s spokesperson. This is key to leverage Russian travelers purchase power as, “according to our data, Russia ranks as the third-largest inbound market in terms of average daily spending in Abu Dhabi, and the top market outside of the Gulf Cooperation Council states”.

* Sources: Mabrian travel intelligence (via social listening), analysis of 100 million Booking.com reviews, seats availability and flights demand, and spending insights.

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