The meeting organized by the Riyadh Chamber of Commerce, represented by its Tourism Committee, recommended the need to redefine the roadmap and policies for the accommodation sector and diversify its marketing strategies with the aim of revitalizing its role in tourism and accommodation, in line with the tourism and entertainment development currently taking place in the capital, Riyadh.

Attracting visitors and exhibition clients

On this occasion, Abdulaziz Al-Hassan, Director of the General Authority for Tourism and National Heritage branch, said that the accommodation sector, with its assets and potential, is capable of revitalizing its presence and supporting the tourism sector and developing its capabilities, and that the hotel sector in Riyadh must capitalize on the events hosted by the city to begin attracting guests from among the visitors to these exhibitions, calling for the strengthening of the role of the Saudi Association for Tourist Accommodation to serve as a supportive umbrella capable of resolving the sector’s obstacles and developing its role.

Tourism Marketing Council

Al-Hassan revealed that the Authority is preparing a project to establish a Tourism Marketing Council, noting that the Council is expected to be announced soon. He said that the tourism market, like other markets, is an open market, noting that the Authority monitors all matters related to accommodation services and their technical requirements with the aim of improving their operations and making them more competitive as an important and complementary component of the General Authority for Tourism and National Heritage’s vision.

Declining Profit Figures

For his part, Faisal Al-Mutlaq, Chairman of the Chamber’s Accommodation Subcommittee, said that the sector is suffering from declining profitability to varying degrees, but he noted that the slowdown in accommodation sector activity is temporary and can be addressed through a number of necessary preparations, including organizing forums and workshops to discuss various issues aimed at revitalizing the sector’s tourism cycle in the Kingdom.

Proposals to revitalize the sector

At the meeting, investors and hotel officials discussed a number of topics and proposals aimed at revitalizing the accommodation sector, while they cited several factors they believe contribute to the sector’s low profitability, including unclear pricing strategies, competition from furnished apartments, weak exhibitions, a reduction in government assignments, and family visas.

Attendees put forward a series of proposals, including setting a minimum price ceiling and a unified pricing policy for each hotel segment or category, following a review of hotel classifications, determining the distance between hotels, and providing visa facilitation, as well as leveraging events and restaurants.