The size of the Saudi hotel market rose to 30.1 billion riyals last year, an increase of 8.3 billion compared to 2020, at a time when the capacity of hotels reached 357,000 available hotel rooms, an increase of 29,000 rooms.

40% Bookings

The hotel market last year, according to a recent report, relied on bookings through global and local electronic platforms, and bookings exceeded traditional sales methods that rely on booking, buying from reservation offices and agencies and direct contact with hotel establishments by 60%. 

High-end acquisition

High-end 4-star hotels accounted for the largest share of the hotel market by 58.5%, and the average room price in Riyadh region was 555.3 riyals, which led to an increase in the average revenue per room from 272 riyals to 305.4 riyals.

54% of business owners expected the level of demand to rise, while 33% expected an increase in the sale prices of services, 22% expected the business situation to improve, and 49% have development plans for their business, while the percentage of visitors to hotels reached 43% by booking once to twice a year, and 30% of consumers spend more than 1000 riyals in hotels and accommodation

2.5% growth

The annual growth rate of the size of the restaurant and café market last year was 2.5%, recording a transaction number of 68.8 billion riyals, fast food restaurants accounted for the largest share of the market by 35.4% of total sales, the market share of cafes came second at 29.2%, and the revenues of the café market last year amounted to 20.1 billion riyals, up 10.4%.

High prices

42% of business owners expected an increase in the prices of services, while 50% expected the level of demand to improve, 55% have development plans, 46% prefer restaurant and café services to a normal degree, 43% prefer fast food activities, and 57% prefer the way of eating in restaurants, cafes and outside orders.

2.5% growth rate of restaurants and cafes

58.5% 4-star hotel acquisition

40% electronic and international bookings

60% Traditional Bookings

35.4% share of food restaurants

29.2% share of cafes

70.8% of restaurants and cafes in West and Central

30.1 billion hotel market size

20.1 billion café revenues