In a remarkable turn of events, the capital of the UAE, Abu Dhabi, has not only recovered from the impact of the pandemic but has surged ahead of its pre-pandemic levels in the hospitality and tourism sector. As of June 2023, the year-to-date statistics reveal an impressive story of revival and progress.
During the first half of the year, Abu Dhabi achieved an average occupancy rate of 70 percent, an average daily rate (ADR) of AED425, and a revenue per available room (RevPAR) of AED298. This surge represents a substantial 24 percent increase in both ADR and RevPAR compared to the previous year. Notably, despite a marginal 1 percent decrease in occupancy, the growth trajectory remains robust.
To offer a comparison, the same period in 2019 witnessed ADRs at AED377 and RevPAR at AED270. While the occupancy rates were slightly higher at 72 percent, the current statistics present a clear upward trend in terms of financial performance.
A pivotal force behind the current momentum is the contribution of Abu Dhabi’s five-star hotels, which have significantly bolstered the market. These prestigious establishments have achieved remarkable milestones, with an impressive ADR of AED626 per night and RevPAR of AED418. This equates to a remarkable 26 percent increase in ADR and an even more impressive 32 percent surge in RevPAR when compared to the previous year’s figures.
Abu Dhabi’s Department of Culture and Tourism (DCT) has set ambitious goals for the year, aiming to welcome an estimated 24 million visitors to the emirate in 2023, building upon the 18 million visitors attracted in 2022. To achieve this, the emirate has strategically introduced a range of captivating attractions, such as SeaWorld Yas Island, Pixoul Gaming, Adrenark Adventure, and Snow Abu Dhabi. These additions are anticipated to entice visitors to return and partake in these novel experiences, further contributing to the emirate’s tourism goals.
The Department’s efforts extend globally through the “Experience Abu Dhabi” campaign, which is set to reach more than 40 international markets throughout the year with 22 creatively curated campaigns. Notably, Abu Dhabi has tailored its campaigns to specific markets, including a captivating Arabic-first campaign video for the GCC featuring renowned personalities Ahmed Helmy and Mona Zaki. Additionally, the emirate has formed a two-year brand ambassadorship alliance with Bollywood star Ranveer Singh, a move strategically designed to resonate with Indian audiences.
Abu Dhabi’s neighboring emirate, Dubai, has also displayed a remarkable trajectory, surpassing its own 2019 tourism levels, which were unprecedented for the region. As both emirates continue to achieve unprecedented growth, the UAE’s tourism sector showcases the nation’s resilience and strategic efforts in the face of challenges, positioning itself as a global hub for visitors seeking unparalleled experiences.
