Wednesday, February 7, 2024
The GCC outbound market is anticipated to experience substantial growth over the next five years, primarily fueled by Gen X travelers, according to recent research revealed by Arabian Travel Market (ATM), scheduled to take place from May 6th to 9th at the Dubai World Trade Centre.
Generation X, encompassing individuals born between 1965 and 1980, emerges as the driving force behind the notable surge in outbound travel from GCC countries, as per findings by New York-based Research Nester. The report underscores various factors contributing to this generation’s predominant share of the GCC’s outbound market, particularly evident in the UAE and Saudi Arabian markets.
Commenting on the report, Danielle Curtis, Exhibition Director, Arabian Travel Market said, “Within an age range of approximately 43 years to 58 years, many Gen Xers hold senior positions within companies and as such tend to travel overseas regularly on business trips.
“In addition, with responsibility comes reward and therefore many have high earning potential and disposable income. Many successful entrepreneurs at this stage in their careers also have built significant wealth and can afford to travel frequently.
“Many industry commentators are focused on Millennial and Gen Z travelers, but it is perfectly logical that Gen X would dominate the GCC outbound market value given the region’s demographics, particularly expatriate senior management.”
Notably, Gen X individuals are reshaping their lifestyles, with a substantial portion now seeking a more sustainable work-life balance, which frequently entails spending leisure time with family, including holidays, and blending business with leisure, thereby fueling the growth of the bleisure travel segment.
Illustrating these insights, the report forecasts that Gen X will contribute $11.1 billion, accounting for 41% of Saudi Arabia’s total outbound market value of $27 billion by 2028, with similar projections for the UAE, where Gen X is expected to spend $18.2 billion, constituting 60% of the total market value of $30.5 billion by 2028.
“It is also worth considering that as this generation begins to age and subsequently retire, naturally it will be Millennials who will begin to dominate outbound market share in the decade ahead,” added Curtis.
In summary, European destinations remain the preferred choice for Saudi tourists, with a projected market value of $13.2 billion by 2028, a substantial increase from $7.4 billion in 2019. Popular destinations for travelers from the GCC also include the UK, Germany, Italy, Switzerland, the US, India, Australia, Malaysia, Singapore, and South Africa.
The growing trend of outbound GCC tourism has caught the attention of many international destinations. In 2023, 76 national pavilions covered approximately 55% of the total show floor space at a major industry event, with 1,350 participating companies. This year, the return of national pavilions from Spain and China, along with several African destinations, has led to additional floor space allocation to accommodate this growth.
“It is also worth considering that as this generation begins to age and subsequently retire, naturally it will be Millennials who will begin to dominate outbound market share in the decade ahead,” added Curtis.
To further support the outbound sector, the event is organizing a market insights summit focusing on India, China, and Latin America, as well as the latest trends in generational travel. With the theme ‘Empowering Innovation: Transforming Travel Through Entrepreneurship,’ the 31st edition of the event will bring together policymakers, industry leaders, and professionals from across the Middle East and beyond to foster new relationships, share knowledge, and explore innovations shaping the future of global travel and tourism. From startups to established brands, the event will showcase how innovators are enhancing customer experiences, driving efficiencies, and advancing towards a net-zero future for the industry.
The previous edition of the event, held in May 2023, set a new record with over 40,000 travel trade professionals, including 30,000 visitors, attending. It featured more than 2,100 exhibitors and representatives from over 155 countries, providing a global platform for unveiling the event’s net-zero pledge.
ATM 2024, held in partnership with Dubai World Trade Centre, has strategic partners including Dubai’s Department of Economy and Tourism (DET) as the Destination Partner, Emirates as the Official Airline Partner, IHG Hotels & Resorts as the Official Hotel Partner, Al Rais Travel as the Official DMC Partner, and Rotana Hotels & Resorts as the Registration Sponsor.
Sunday, April 28, 2024
Sunday, April 28, 2024
Sunday, April 28, 2024
