Dubai Is On Track To Meet Tourism Targets, As The City Welcomes 7.12 Million International Tourists
In the first six months of the year, the city played host to 7.12 million visitors from other countries which only shows that Dubai is on track to meet tourism targets.
According to the most recent figures from Dubai's Department of Economy and Tourism, Dubai received 7.12 million foreign overnight visitors between January and June 2022, an increase of more than 183% over the 2.52 million tourists who visited Dubai during the same period in 2021.
This favorable trend in H1 2022 puts the city on track to meet its tourist targets for 2022 and beyond, and confirms its status as a top international destination.
Positive tourist trends in the first half of 2022 keep Dubai on track to meet its goal of being the world's most visited destination and solidifying its status as a global destination of choice.
According to data from Dubai's Department of Economy and Tourism, tourist numbers in Dubai are approaching pre-pandemic levels, with a YoY increase of more than 183% in H1 2022. - Hotels in Dubai demonstrate exceptional performance, posting considerable growth across all measures.
Average hotel occupancy in H1 2022 hits 74%, making it one of the highest in the world.
His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of The Executive Council of Dubai, stated,
The vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, to make Dubai the city of the future and the world’s best place to live, work and invest in has resulted in a resurgence of Dubai’s tourism sector.
He also stated that the increase in tourists is indicative of the resiliency and vitality of the emirate's economy. The vision of His Highness has helped Dubai establish a strong and secure economic base and a dynamic business ecosystem, allowing it to become a major worldwide hub for a variety of industries.
Dubai is on course to reach its lofty goal of becoming the world's most visited destination due to the significant increase in foreign tourist arrivals. In the coming years, Dubai will continue to expand as a destination that provides foreign tourists attractive value.
In the first six months of 2022, Western Europe accounted for a large proportion of tourist arrivals, constituting 22% of all overseas tourists.
MENA and GCC continued to have a significant impact, generating 34% of total international tourists and demonstrating Dubai's strong attractiveness to visitors from neighboring regions.
These regions were closely followed by South Asia with a 16% share and Russia, the Commonwealth of Independent States, and Eastern Europe, which accounted for 11% of total visitors in H1 2022.
The extensive geographic reach reflects Dubai's diversified strategy for attracting visitors from a diverse range of countries and visitor segments, mitigating the risks associated with over-reliance on any one region, and demonstrating the success of destination marketing campaigns delivering tailored messaging across audience-specific platforms.
During the first half of 2022, Dubai's vast variety of hotel establishments demonstrated another exceptional performance across all hospitality parameters.
The average hotel occupancy rate between January and June 2022 was 74%, one of the highest in the world, compared to 62% in the first half of 2021, a difference of 12 percentage points and just short of the 76% occupancy level recorded during the pre-pandemic period of the first half of 2019.
This is notable because it was accomplished despite an 11% increase in room capacity over the same period in 2019. By the end of June 2022, Dubai's hotel inventory will consist of 140,778 rooms at 773 businesses, compared to 118,345 rooms at 714 establishments at the end of June 2019.
In H1 2022, the overall number of hotels increased by 8% compared to H1 2021, demonstrating investors' ongoing confidence in Dubai's tourism industry.
The hotel industry surpassed pre-pandemic levels in all other major metrics, including Occupied Room Nights, Average Daily Rate (ADR), and Revenue per Available Room (RevPAR).
During the first six months of 2019, Dubai hotel businesses provided a total of 18.47million occupied room nights, a +30.4% rise year-over-year and a +18% increase over the pre-pandemic period of H1 2019, which yielded 15.71million occupied room nights.
In addition, the ADR of AED567 for the first half of the year exceeded the ADRs for H1 2021 (AED382) and 2019 (AED444) by 48.5% and 28.0%, respectively, on a year-over-year basis.
RevPAR growth is also indicative of the hotel industry's robust performance, with a rise of over 76% compared to the first half of 2021 (AED417 v AED237) and an increase of 24% over the pre-pandemic period in 2019 (RevPAR of AED336).
According to the hotel analytics firm STR, Dubai's RevPAR (US$147) ranks third internationally, after Paris (US$195) and New York (US$172).
The most recent data demonstrate Dubai's continued attractiveness as a must-visit location, further reinforcing Dubai's position as the top global destination according to the Tripadvisor Travellers' Choice Awards 2022.
It also remains one of the most sought-after cities for foreign travel, commerce, and events, despite the reopening of the majority of worldwide tourist sites. The highly encouraging industry performance is primarily attributable to the enormously successful six-month long Expo 2020 Dubai.
That attracted over 24 million visitors by March 31, 2019, and the continued support extended by both domestic and international partners in promoting Dubai as a multifaceted, safe, open, and accessible destination.
Numerous festivals, recreational, and commercial events, such as the Dubai Shopping Festival, Dubai Food Festival, Gulfood, and Dubai World Cup.
Additionally, the World Government Summit, Binance Blockchain Week, Dubai Desert Classic, Dubai Duty Free Tennis Championship, Gulfood, Dubai International Boat Show, and the Arabian Travel Market all contributed to the expansion.
Dubai continues to engage worldwide audiences through international marketing and in-market trade activities that emphasize it as a destination of choice, in addition to the host of global conferences and events exhibiting the destination's diverse offerings.
This includes the 'Dubai Presents' campaign, which promotes the city's attractions via a series of videos featuring Hollywood and Bollywood actors.
In addition, marketing activities in key international markets have been amplified to promote Dubai as the summer destination of choice, particularly through a lucrative "Stay More, Pay Less" summer campaign to attract tourists and families to Dubai, as well as to increase attendance at the ongoing Dubai Summer Surprises festival.
As part of the UAE's ambitious economic diversification agenda, the travel and tourism industry has been identified as a significant growth area. In 2015, the sector contributed AED133 to the country's GDP.
The majority of visits (997,000) were from India, followed by Saudi Arabia (755,000) and the United Kingdom (586,000). According to Mastercard's Global Destination Cities Index 2019, travelers spend more money in Dubai than in any other country.
Dubai is fourth on the list, with around 16 million worldwide visitors. The city is well-known for its highrises, mega-malls, and desert excursions.
The travel and tourism industry was directly responsible for 317,500 jobs not only in Dubai but in the UAE as a whole. This is equal to 5.4% of the country's overall workforce. It is anticipated that this will increase by 2.4% on an annual basis to a total of 410,000 jobs, which would represent 5.9% of the total workforce in 2027.