UAE’s online travel market: A competitive battleground for OTAs
How digital adoption, market leaders, and strategic growth are shaping the future of UAE’s hotel bookings
VIDEC conducted an independent study of the UAE’s air and hotel sectors. The research, focused on online travel intermediaries across six GCC markets and Egypt, used a demand-side methodology to measure the true travel demand originating from the UAE.
Key takeaways
- Hotel market dynamics: The UAE’s hotel market stands at $2.9 billion, with 44% of hotel gross booking value (GBV) coming from online channels.
- OTA hotel market size & leadership: The OTA hotel market is valued at $940 million, with Booking.com dominating with over 54% market share.
- Growth prospects: The UAE OTA hotel market is projected to grow at a CAGR of 11.1% from 2024 to 2028, reaching $1.4 billion**.
- Global OTA presence: Booking.com remains the market leader, generating over half a billion dollars in GBV. Agoda (18% market share) and Expedia (21% market share, GBV $195 million) maintain strong positions.
- Strategic importance of UAE: The country’s geographical location, diverse expatriate population, and increasing digital adoption make it a key market for both regional and global OTAs.
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