Dubai – Mubasher: Dubai’s mid-market hotels has seen a spiraling demand as further travellers are spending less on accommodation, said CEO of Emaar Hospitality Olivier Harnisch.
Millennial travelers are spending less on hotels and more on entertainment and dining, Harnisch told Arabian Business on the sidelines of the Gulf and Indian Ocean Hotel Investors’ Summit (GIOHIS) in Abu Dhabi.
The shift in consumer behavior was attributed to a change in Dubai’s perceptions, where visitors seek to know more about the emirate’s culture with attractions such as Dubai Opera and Louvre having opened.
“There is a certain correlation between the spending ability of a mid-market hotel guest and a five star hotel guest, but it is not a strong one,” the CEO added.
The top official noted that the luxury sector accounts for around 70% of Dubai hotels compared to other markets across the world that are more balanced.
This has propelled Emaar Hospitality to develop mid-market hotel brands in a bid to suit young tourists such as Rove Hotels.
