A New Chapter In Saudi Tourism
In recent years, Saudi Arabia’s tourism narrative has been dominated by giga-projects and high-profile global events. Megastructures rising from the desert and headline-making bids for the FIFA World Cup, Expo 2030, and the Asian Winter Games. These bold initiatives, many under the Vision 2030 umbrella, have rapidly reshaped global perceptions of the Kingdom.
But as the recent Future Hospitality Summit (FHS) in Riyadh revealed, the spotlight is beginning to shift. From sky-high ambitions to a broader emphasis on grassroots growth, regional destinations, and private sector dynamism.
Empowering Local Players and Regional Destinations
The emerging narrative centres on homegrown hospitality brands, empowered local entrepreneurs, and a renewed emphasis on cultivating Saudi talent. In a conversation with David Keen, QUO’s Founder and CEO, Mahmoud Abdulhadi, Saudi Arabia’s Deputy Minister for Destination Enablement at the Ministry of Tourism, discussed this next phase of the Kingdom’s transformation: one that encourages smaller players and global partners alike to co-create a diversified and authentically Saudi tourism ecosystem.
“Our industry is still relatively young, just five years in, but we are rapidly maturing,” Abdulhadi noted. “Our ambition is to make tourism investment so seamless that investors won’t need to talk to a government entity. Once we reach that stage, our role shifts from enabler to regulator.”
This sentiment was echoed across sessions at FHS, where one of the most talked-about regions was Aseer – a mountainous southwestern province rich in culture, cool climates, and untapped potential. International and local developers alike are starting to recognise the region’s promise as a hub for nature-based tourism, cultural immersion and year-round escapes.
Homegrown Hospitality on the Rise
At the same time, Saudi hospitality groups are stepping into the spotlight. An example is Elaf Group, a longstanding player in the Kingdom’s hospitality scene. Speaking on a panel moderated by QUO’s Chief Growth Officer, Catherine Edwards, Majed Kaki, Elaf’s Vice President of Business Development, introduced ‘Saudi Journey’. An initiative that delivers immersive cultural experiences through scent, music, cuisine, and other sensory guest touchpoints across their hotels. He also shared Elaf’s plans to expand Joudyan, a second brand rooted in Saudi traditions but designed for the modern traveller. Joudyan exemplifies the Kingdom’s growing confidence in building distinctive, local brands that resonate with evolving consumer expectations.
International Brands Adapt to the Local Market
International operators are also aligning with this localised shift. At FHS, Wyndham Hotels & Resorts announced a major deal to launch their Super 8 brand in Saudi Arabia through a landmark 10-year partnership with Le Park Concord. The plan is to open 100 Super 8 hotels across the Kingdom, with the first expected by 2026.
This marks a strategic entry into the economy and midscale segments, aiming to fill a gap in the market for clean, consistent, and affordable accommodation along the Kingdom’s expanding highway network and in key urban centres such as Riyadh, Jeddah, Makkah, and Madinah. With a focus on smart modular construction and eco-conscious design, Wyndham’s approach aligns with the Kingdom’s push for sustainable development and enhanced visitor experiences.
Strategic Alignment with Vision 2030
“None of this is accidental,” Abdulhadi emphasised. “From giga-projects to event hosting, from private sector enablement to licensing reform – everything we’re doing is part of a laser-focused strategy to deliver on the promises of Vision 2030.”
That strategy is already bearing fruit. In 2023, Saudi Arabia surpassed 100 million visitors for the first time. A milestone reflecting both inbound and domestic Saudi Arabia tourism growth. Leisure tourism now accounts for 35% of domestic visitors and over 30% of domestic spend, while inbound leisure makes up more than 20% of both metrics — a major shift in a country previously reliant on religious pilgrimage.
Structural Reforms Fueling Growth
Driving these changes are deep structural reforms. Through initiatives like the Tourism Investment Enablement Programme (TIEP), the Ministry of Tourism has reduced government fees by 75% since 2019, streamlined licensing processes, and increased the number of tourism entities by 69%. Notably, the number of licensed tour guides has surged by 168%, indicating strong investment in human capital to deliver authentic, high-quality experiences.
Meanwhile, the Hospitality Incentive Programme is helping reduce operating costs for private investors by up to 20% of capital expenditure, especially in emerging destinations. This initiative aims to de-risk early-stage development, catalysing investment in lesser-known regions and proving their commercial viability.
Cultivating Future Talent
Investment in infrastructure must go hand in hand with investment in people. One of the most forward-looking discussions at FHS centered on rebranding hospitality careers to attract Saudi youth. A key theme was the need to dismantle long-standing perceptions that the industry is low-skilled or lacking in prestige.
QUO’s Director of Operations & Culture, Paul Keen, speaking on a panel about talent and the future workforce, offered a fresh perspective on engaging Gen Z. He stressed the importance of purpose-driven storytelling and the role of social media in glamourising the industry. “Hospitality already has a natural appeal through its association with travel, culture, and human connection,” he noted, “but we need to align this with the aspirations of younger generations, they want meaning, growth, and impact.”
Other panelists echoed this view, pointing to successful programs such as those led by Red Sea Global. Layla Alamri, Education Senior Manager, highlighted initiatives including fully sponsored education with top-tier institutions and international enrichment experiences – both designed to shift perceptions and attract top talent. Skills Development and Talent Optimization Expert Dr. Abeer Alamri called for curriculum reform and early industry exposure through internships and mentorship, arguing for a more multidisciplinary approach that integrates hospitality into wider education pathways. Meanwhile, Ibrahim Osta, Global Tourism Lead and Senior Economic Growth Advisor for Chemonics International, advocated a four-tiered model: high school engagement, vocational training, university education, and industry-based learning—all tailored to the Kingdom’s cultural context.
Ultimately, the panelists agreed that empowering a new generation of Saudi talent requires systemic change, not just messaging. It’s about creating real pathways, support structures, and a cultural shift that recognizes hospitality not as a fallback, but as a prestigious and purpose-driven career.
Building on Heritage: Culture as Competitive Advantage
Still, authenticity remains the cornerstone of Saudi Arabia’s tourism proposition.
“Hospitality is in our DNA,” said Abdulhadi. “For thousands of years, we’ve welcomed pilgrims and protected travellers — in deserts, in mountains, in cities. This isn’t new to us. What’s new is the opportunity to translate that legacy into sustainable business and career paths.”
That opportunity is being seized not just by global conglomerates but by a new generation of Saudi entrepreneurs who recognise that visitors are no longer coming just for luxury or major events. They’re seeking experiences that are deeply and uniquely Saudi.
The Road Ahead: Balancing Scale with Soul
Looking forward, the challenge lies in maintaining momentum while balancing scale with soul. Giga-projects will continue to capture headlines, but it’s clear that the future will equally be about smaller-scale private initiatives. Saudi Arabia is proving that transformation isn’t just about building big. It’s about building smart, local and authentically.
Watch the FHS Riyadh session of David Keen, Founder and CEO, QUO
Watch the FHS Riyadh session of Catherine Edwards, Chief Growth Officer, QUO
Watch the FHS Riyadh session of Paul Keen, Director of Operations and Culture, QUO
QUO is a strategic branding agency with offices in Bangkok, Ho Chi Minh, Singapore, Riyadh, Amsterdam and London.
