Saudi travelers returning to America

Updated 07 July 2015
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Saudi travelers returning to America

ORLANDO, Florida: More than 6,500 delegates from 73 countries, including over 1,300 international and domestic travel buyers and 500 media from the US and abroad, attended the US Travel Association’s 47th annual IPW, the travel industry’s premier international marketplace.
The event, the largest single generator of travel to the US, convened in Orlando, Florida earlier this month.
The Saudi delegation was more strongly represented than in recent years, with travel experts attending from around the Kingdom; while the US Consulate General in Jeddah sent their Travel and Tourism Specialist from the Commercial Service, Mai AbuDabat.
Travel from Saudi Arabia to the US has increased greatly since May 2015 when the US started facilitating visas for the Saudi market by issuing US business visitors five-year, multiple-entry visas, said Yasser Rafaat, events and groups manager for the Jeddah-based Attar Travels.
“Facilitating visa issues for the Saudi market has been a huge help for us,” Rifaat said. The US will see the positive impact of this in the next few years.
“Saudi nationals spend a lot of money when they travel, and are the biggest travelers to the US in the region.”
AbuDabat, commercial specialist, told Arab News: “Saudis’ attitudes to travel to the US are positive.”
AbuDabat added: “Many generations of Saudi nationals have a history here, especially with the King Abdullah Scholarship program, the KASP program, which is US-centric; 55 percent of Saudi students travel to US universities, and the rest go to the UK or Australia. We find that since so many Saudi students come to the US this results in generation after generation of Saudis who feel an affinity for the US.”
A first timer to IPW, Shehazad Ahmed, manager for Leisure and MICE (an acronym for Meetings, Incentives, Conferences and Exhibitions) for the Al Khobar-based ITL World, came “looking for new products, like Legoland, for our market.”
At IPW, he said that he found other “unique products” for his clients, such as Amtrak vacations “which is good, as we currently are handling Eurail trips in Europe.”
These fortuitous meetings are part of IPW’s success.
Over the course of three days, nearly 100,000 pre-scheduled business meetings took place between travel buyers and US travel organizations.
Aslam Pasha, general manager for the AlKhobar-based Almajdouie Travels, said he had a very positive experience, noting that “IPW is purely business, it is not a social gathering.”
To configure so many business meetings between so many people, IPW runs the 3-day convention like clockwork.
“I really admired the professionalism in managing the show,” said Pasha.
“Everything is well-run and tightly run. Here you learn how to manage time. Anyone who wants to succeed needs to learn how to value time. Here everything is perfectly organized: transportation, hotels, food, even the hotels selected to host the attendees.”
When asked how many of their meetings with American suppliers were positive in the sense that they felt it would lead to future business deals, they all said that they felt that between 50 percent to 70 percent of their meetings at IPW would lead to further business opportunities for them here.
The Saudi team did say there was some room for improvement.
“The negative we noticed here is that managers of IPW never talk about Middle East clients,” said Rafaat, who has been in the travel industry for over 23 years.
“They talk about Japan, Brazil, China and the UK but never mention us.”
This is unfortunate, as according to IPW President Roger Dow, Middle East tourists traveling to the US number 243,000 and spend $618 million annually.
Nonetheless, Ahmed appreciated what IPW did offer.
“The IPW show is very disciplined and the arrangements are good, and the meetings are serious and constructive.”
This is what IPW does best: bringing together travel professionals from every corner of the US, including representatives of hotels, destinations, attractions, museums, amusement parks and other travel businesses.
These professionals market themselves to the world’s top international tours operators and wholesalers that sell travel to the US.
Pasha praised the daily activities at IPW, including lunches, which he said “are fun and yet always focused on business outcomes.”
Pasha said: “A good example of how well-organized they are is that even the lunches are very energizing — which makes it easy to continue doing business after lunch, as opposed to Saudi Arabia.”
The lunch entertainment here is re-energizing, which is important, as we work so hard here, said Pasha.
“Business deals are easily made on the floor here.”
AbuDabat’s presence was useful working with the Saudi tourism authorities who attended IPW.
“Saudi companies can work through the US Dept of Commerce,” she explained.
“We link US suppliers with Saudi buyers, which creates more business for US companies. My role is to link Saudi buyers with US suppliers. We coordinate the introduction, and have offices all over the US.”
AbuDabat said: “So, if Yasser [Rafaat, Attar Travel] informs me that he wants to organize children’s trips to summer camps in the US, I send a mass e-mail to all our tourism teams in the US and explain the request. Then they reply with what they have to offer. We do this across many industries, not only travel.”
AbuDabat said: “We will try to increase Saudi delegates from 5 to 8 or 12. We’re the biggest market in the Middle East by demographics and income. Now that the visa entry process has improved, there’s very good working relationship between the two countries.”
IPW-initiated travel is expected to bring 8.8 million international visitors to the US, an independent firm, Rockport Analytics, recently published.
Overseas travelers will earn the $28 billion in total spending, and $4.7 billion in direct bookings to US destinations over the next three years.


Global brands shut Middle East stores as conflict causes chaos

Updated 03 March 2026
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Global brands shut Middle East stores as conflict causes chaos

  • Luxury brands and retailers close stores in Middle East
  • Conflict threatens the region that has ‌been luxury’s fastest growing
  • Mass-market retailers monitor situation, adjust operations in region

PARIS: In Dubai and other major Middle Eastern shopping hubs, many stores are closed or operating with a skeleton staff as the escalating conflict in the ​region causes chaos for businesses and travel.

The US-Israeli air war against Iran expanded on Monday with no end in sight, with Tehran firing missiles and drones at Gulf states as it retaliates for a weekend of bombing that killed Iran’s supreme leader and reportedly killed scores of Iranian civilians, including a strike on a girls’ primary school.

Chalhoub Group, which runs 900 stores for brands from Versace and Jimmy Choo to Sephora across the region, said its stores in Bahrain were closed, while other markets, including the UAE, Saudi Arabia, and Jordan remained open though staff attendance was “voluntary.”

“We operate with a lean team formed of members who volunteered and feel comfortable to come to the store,” Chalhoub’s Vice President of Communications Lynn al ‌Khatib told Reuters, adding ‌that the company’s leadership team personally visited Dubai Mall and Mall of the Emirates ​on ‌Monday ⁠morning to check ​in ⁠with workers.

E-commerce giant Amazon closed its fulfillment center operations in Abu Dhabi, suspended deliveries across the region and instructed its employees in Saudi Arabia and Jordan to remain indoors, Business Insider reported on Monday, citing an internal memo.

Gucci-owner Kering said its stores were temporarily closed in the UAE, Kuwait, Bahrain and Qatar and it has suspended travel to the Middle East.

Luxury growth engine under threat

Shares in luxury groups LVMH, Hermes, and Cartier-owner Richemont were down 4 percent to 5.7 percent on Monday afternoon as investors digested the knock-on impacts of the conflict.

The Middle East still accounts for a small share of global spending on luxury — between 5 percent and 10 percent, according ⁠to RBC analyst Piral Dadhania. But the region was “luxury’s brightest performer” last year, according to consultancy ‌Bain, while sales of expensive handbags have stalled in the rest of the ‌world.

Now, shuttered airports have put an abrupt stop to tourism flows into ​the region and missile strikes — including one that damaged Dubai’s ‌five-star Fairmont Palm hotel — are likely to dissuade travelers, particularly if the conflict drags on.

“If you assume that it’s ‌a $5 billion to $6 billion (travel retail) market and let’s say it’s going to be shut down for a month, we are talking about hundreds of millions of dollars that are definitely at risk,” said Victor Dijon, senior partner at consultancy Kearney.

If Middle Eastern shoppers cannot travel to Paris or Milan, that could also hurt luxury sales in Europe, he added.

Luxury brands have been investing in lavish new stores and exclusive events ‌across the region. Cartier unveiled a “high-jewelry” exhibition in Dubai’s Keturah Park just days before the conflict started.

Cartier and Richemont did not reply to requests for comment.

Luxury conglomerate LVMH ⁠has also bet big on ⁠the region. Last month, its flagship brand Louis Vuitton staged an exhibition at the Jumeirah Marsa Al Arab hotel, and beauty retailer Sephora launched its first Saudi beauty brand.

LVMH does not report specific figures for the region, but in January Chief Financial Officer Cecile Cabanis said the Middle East has been “displaying significant growth.” LVMH did not reply to a request for comment on how its business may be impacted by the conflict.

The Middle East has also attracted new investment from mass-market players. Budget fashion retailer Primark said in January that it plans to open three stores in Dubai in March, April and May, followed by stores in Bahrain and Qatar by the end of the year.

“Primark is set to open its first store in Dubai at the end of March but clearly this is a fast-moving situation which we are monitoring closely,” a spokesperson for Primark-owner Associated British Foods said.

Apple stores in Dubai will remain closed until Thursday morning, the company’s website showed, while Swedish fast-fashion retailer ​H&M said its stores in Bahrain and Israel are ​closed.

Consumer goods group Reckitt has told all employees in the Middle East to work from home, temporarily closed its Bahrain manufacturing site and suspended all business travel to the region until further notice.