Ascott Report Reveals Positive Effects of Changing KSA Demographics

The Ascott Limited (Ascott) has drawn together a report into the changing dynamics of guest profiles in the Kingdom of Saudi Arabia.  

As the Government’s Vision 2030 economic diversification strategy proves to have a positive effect on the hospitality industry, Ascott is witnessing a notable change in its guests across the Kingdom.  This has been influenced by the swift introduction of various initiatives from the infamous ban on women driving, to the introduction of cinemas, concerts with mixed gender admission and major events such as the Formula E that was held last week in Riyadh.

“Our guest profiles are changing in line with the changing dynamics of the country.  We have seen a spike in female guests of 7% from 2017, influenced by guests travelling for both work and leisure,” said Vincent Miccolis, Ascott’s Regional GM for the Middle East, Africa and Turkey. 

Female guests have increased considerably this year, as properties across Jeddah averaged a 9% growth, whilst Ascott Rafal Olaya Riyadh experienced a growth rate of 5%. 

“It means there is an opportunity for the serviced residence industry to tap in to the growing number of female travellers and provide tailored services specifically for women,” explained Miccolis.

Ascott Rafal Olaya Riyadh has a women’s only leisure floor consisting of an outdoor pool & deck, gymnasium, lounge, children’s playroom and day spa. The property is receiving positive feedback from female business travelers about the facilities.

Ascott has reported a decrease of 10% in expat families within KSA, attributed to the introduction of expat levies on dependents.  Family occupants taking two and three-bedroom apartments have moved to single occupants in a one-bedroom apartment.  Miccolis said, “If the announcement made last week on Bloomberg regarding a review of the expat levies being restructured comes to fruition, it will provide a positive outcome for our industry.” 

International guests have maintained a consistent average over the last two years of 25% across the Kingdom, however Jeddah and Riyadh are on opposite scales. 55% of Ascott Rafal Olaya Riyadh’s guests are international, which is a growth of 15% from 2017.  Whilst the four properties in Jeddah have 15% international guests, this is a decline of 10% from 2017.

“With these changing dynamics of our guests in the Kingdom, a key focus is customer service training, with the goal of exceeding guest expectations. This year posed a credible 92% customer satisfaction score, a testament to the staff in the region,” said Miccolis.