Saudi travelers continue to exhibit a keen desire for travel as evidenced by the steady growth in demand for domestic and international travel, finds a new report by Almosafer, Saudi Arabia’s leading travel company. The findings, revealed at the Arabian Travel Market (ATM), throw light on the current travel trends of Saudi travelers both domestically and internationally, with insights into their booking habits and travel preferences, based on proprietary booking data from Almosafer’s consumer travel platforms across the first four months of 2024.
In terms of international destinations, Dubai, Doha, Manama, Cairo, and Istanbul remain the top favorites among Saudi travelers. At the same time, there has been a significant shift of focus towards South Asia and the Far East with Tokyo, Singapore, and Bangkok increasingly seeing more footfall from Saudi travelers. European capitals including Madrid and Amsterdam are also emerging as trending destinations for bookings made in the first four months of 2024.
The top destinations drawing Saudi travelers domestically continue to be Makkah, Riyadh, Jeddah, Al Khobar and Abha. New hotspots like AlUla, Tabuk, and Hail are among the trending destinations this year.
As Saudi travelers continue to explore their country for leisure, 53 percent of total bookings made across Almosafer’s booking channels were recorded for the domestic segment, showcasing a continued demand for travel within the country. The sustained interest in domestic tourism showcases the success of government and private sector initiatives to boost local tourism, resulting in a 29 percent increase in total domestic booking volume across Almosafer channels. Flights alone saw a 27 percent increase while hotel bookings showcased nearly double at 40 percent, demonstrating robust domestic growth.
Saudi travelers utilize the convenience of online booking channels with 91 percent of total bookings placed on Almosafer web, app, or mobile web products. However, for more complex itineraries or personal travel advisory, travelers opt for retail channels, with 9 percent off all bookings recorded across retail branches, call centers and WhatsApp. WhatsApp continues to rise as a vital booking channel with 12 percent of retail bookings coming through the instant messaging app. Overall WhatsApp bookings witnessed a 14 percent growth in volume in 2024.
While Apple Pay continues to rise in popularity as a payment method (41 percent of all bookings in 2024 versus 36 percent in 2023), BNPL (Buy Now Pay Later) is gaining traction amongst Saudi travelers, as the convenient payment method is expanding the pool of eligible travelers by making travel more affordable for new customer segments.
With Saudi Arabia’s tourism sector booming, travelers are keen to make the most of their breaks as they focus on in-destination experiences. The addition of more flight routes, an increase in capacity, and the opening of new airports in the Kingdom has led to more affordable flight options on low-cost carriers (LCC), and while Saudi travelers are willing to spend on luxury stays (51 percent of hotel bookings are for 5* properties) and experiences, they are taking advantage of budget-friendly flight options.
Data showcases an overall jump from 55 percent in 2023 to 62 percent among travelers opting to fly low-cost this year. Internationally this year 46 percent of total bookings were done for low-cost carriers compared to 44 percent in 2023. Domestically, LCC bookings have seen a jump from 68 percent in 2023 to 72 percent in the total share of bookings in 2024.
For accommodation bookings, Saudi travelers depend on peer-to-peer recommendations which are gathering momentum, as 48 percent of travelers who book online browse and interact with the reviews from peers about the hotels, to ensure the property they are booking offers value for money.
Almosafer’s data simultaneously reveals a rising interest from Saudi travelers for Apartment rentals and Aparthotels, as these accommodation options offer a convenient alternative to hotels, especially for destinations with lower hotel availability, or for a flexible, convenient, and oftentimes more affordable stay.
Aparthotels alone have shown an impressive 73 percent growth in booking volume for international stays and an 84 percent increase in the domestic segment. Key destinations in KSA are seeing tremendous growth in alternative accommodation bookings such as Riyadh (+31 percent), Jeddah (+134 percent) and Al Khobar (+43 percent), while internationally, Dubai (+43 percent), Manama (60 percent) and Doha (+29 percent) are seeing significant growth.
Saudi travelers are taking advantage of the increased offering for local activities. Concert tickets, Riyadh season passes, access to attractions, and culturally-focused events are among the top activities in demand, with the average booking window for these being as short as 3.5 days. Riyadh, Jeddah, Makkah, and Dammam are the top cities within Saudi Arabia for leisure activities, while international travelers are booking activities in Dubai, Bangkok, Phuket, and Abu Dhabi.
Muzzammil Ahussain, Chief Executive Officer of Almosafer, said: “Almosafer’s travel trend report showcases a vibrant domestic and international tourism sector, while Saudi travelers continue to explore their own country and destinations further afield. Our customers are finding more ways to get value from their trip, with convenience being a key factor in their travel decision-making. With affordable flight options, new accommodation offerings and flexible payment options, there is nothing holding travelers back from going on trips and making lifetime memories.”
