DUBAI: London seems to be as popular as ever with visitors from the Arabian Gulf this year, with regional airlines reporting the usual summer surge in visitors to the UK capital.
Some observers had predicted a fall-off in the annual flights to London and other UK tourist destinations in the wake of the recent terrorist attacks in the city, and political uncertainty after the vote to leave the EU and the recent general election.
But travel analysts say that has not happened, and that the weaker value of the British pound could actually encourage more Gulf tourists this year, though they warn it is early in the season and patterns could change as the summer progresses.
Three big airlines that fly Arab tourists to the British capital said demand for seats to London was as good as usual.
A source at Dubai-based Emirates, the biggest carrier in the region, said: “We have not seen any fall off at all. The demand is still there and our planes are pretty full, not just to London but the whole of the UK.”
Etihad Airways also reported “robust” traffic between Abu Dhabi and London, and highlighted the feeder traffic that is coming from Saudi Arabia. “There has been no slowdown, all the planes are pretty full at the level we’d expect (at) this time of year.” Saudia, also known as Saudi Arabian Airlines, also said traffic was “normal” to London.
Fazal Bahardeen, chief executive of CrescentRating, an organization that studies global travel trends by the world’s 1.8 billion Muslims, said: “The UK, especially London, has always been a popular destination for Muslim travelers. The recent incidents may only have a short-term impact, and a weaker pound will definitely interest the tourist as well.”
That is part of an overall surging trend in Muslim visitors to the UK, according to CrescentRating. “From a Muslim-friendly destination perspective, the UK ranks pretty high on the global Muslim travel index,” Bahardeen said.
So far this year, the UK was third in the table of favored destinations to non-Islamic countries, and No. 20 overall, Bahardeen added.
There was also some evidence international travelers, including Muslims, were deciding to spend time in the UK rather than in the US, where the travel restrictions introduced by President Donald Trump have hit the tourism sector and the country’s global image.
ForwardKeys, an organization that analyzes travel data, said that as of the end of May, international bookings were 18 percent ahead for the UK but 3.5 percent down for the US. More than half of tourists to Britain travel to London.
The organization noted there had been a slight drop in British bookings after the recent terrorist attacks there, but these were marginal and could be explained by other factors, like the disruption to international travel following the ban on laptops and the closure of airspace in the wake of the actions against Qatar, which took place during a prime holiday-booking period.
London & Partners, an organization that promotes the city, said the long-term figures for visitors from the Arabian Gulf region showed a rising trend, with visitors from the United Arab Emirates (UAE), in particular, showing a clear affection for the British capital. In the five years between 2011 and 2016, Emirati visitor numbers increased 57 percent, with 185,000 visits last year, the highest number from the Gulf region.
Visits to London by other Gulf citizens grew at a faster rate, however. Visitors from Saudi Arabia increased by 62 percent over the same period, with 109,000 visits in 2016, while Kuwaitis showed a 73 percent rise in numbers traveling to London, at 91,000.
Individual Arab travelers said they would not be deterred by security threats in the British capital. Lubna Qassim, a lawyer from the UAE who was preparing to fly to the UK for her annual vacation, said: “London is a special place, and Arabs react differently. Economic and political disruption does not affect us in the same way as other people.”
However, the tense situation in the Arabian Gulf was clearly on the minds of some in the London luxury hotel business, in which Middle East investors are particularly active. Requests for comment to two big London hotels were declined on the grounds of the “sensitivity” of the situation in the Gulf over the actions taken against Qatar.
And Bentley, the luxury car business, which has a big clientele from the Middle East at its Mayfair dealership, also declined to comment on what it called London’s “problems.”
Visitors from the Gulf are also expected to spend as much as usual while in London. Michel Roux, who runs the two-Michelin-starred restaurant Le Gavroche in Mayfair, which has been a traditional dining venue for Gulf visitors, said: “Business is as good as ever though Brexit was a shock. We still have a good clientele from the Gulf though not as good as in the halcyon days of $100 oil.”
Summer in London still a hot choice for Gulf visitors
Summer in London still a hot choice for Gulf visitors
RLC Global Forum highlights role of Saudi youth in retail digital shift
RIYADH: Saudi Arabia’s young and highly digital population is reshaping how the Kingdom’s retail sector adopts new technologies and artificial intelligence, advancing faster than many global competitors, industry leaders told Arab News.
Speaking on the sidelines of the RLC Global Forum in Riyadh, executives told Arab News that the intersection of a youthful population and strong investment in AI is driving a shift in the industry’s priorities.
From understanding consumer behavior to leveraging the Kingdom’s growing status as a global AI leader, Saudi Arabia is becoming as a unique destination for the retail sector to thrive, learn, and evolve in the digital sphere.
Abdullah Al-Tamimi, CEO of commercial real estate company Hamat Holding, told Arab News that the firm is keen to analyze and understand consumer behavior, with a particular focus on the younger generation as a key part of that insight.
“Actually, it’s a big part of our day-to-day operation,” he said, adding that the company invests heavily in understanding customer needs and behavior and works to correct any missteps.
Al-Tamimi emphasized paying close attention to small details, noting that younger consumers are especially sensitive to the overall experience and “deserve that we work around the clock in order to improve it.”
He added that this focus “can be a competitive advantage for Saudi Arabia as well.”
Al-Tamimi said that as the younger generation grows accustomed to new technology shaping retail customer experiences, Hamat Holding is leveraging AI to enhance them further.
“We started a couple of initiatives improving digitalization,” he said, adding that the company sees digital tools as a way to enhance its work by automating day-to-day operations and allowing teams to focus on bigger-picture and more complex tasks.
While the firm has expanded its use of technology, he stressed it has not replaced human workers, emphasizing the continued importance of human capital for creativity and interaction. “AI is a big part of our strategy,” Al-Tamimi added.
Amit Keswani Manghnani, chief omnichannel and AI officer at luxury goods retailer and distributor Chalhoub Group, told Arab News that bridging a younger customer base with continuous digital development is key to advancing the Kingdom’s retail strategies.
On Saudi Arabia’s demographics, he said: “We look at 2030 as really building products which serve especially the younger population, which is growing and very digitally savvy.”
Manghnani underscored the unique characteristics of the Kingdom’s retail market as a tool for developing effective products and customer experiences.
“So it’s very digitally savvy, much more than in other markets,” he said, noting that e-commerce penetration is rising not only through online purchases but also via digital catalogs that drive in-store visits.
Manghnani said investment is focused on making products more digitally accessible and easier to use, while strengthening customer service to meet the expectations of what he described as a demanding but welcome consumer base. “Service excellence, digital — all these things together are how we are tapping into the younger population, which again is extremely savvy.”
Manghnani reinforced Al-Tamimi’s point that the Kingdom holds a competitive advantage, citing the speed at which its retail and technology industries are aligning.
“As a market, we’re tending to see the adoption of digital,” he said, referring to AI, data and other forms of digital interaction, adding that these tools are increasingly being combined.
He noted that this market is moving “much quicker than the other markets.”
The two-day RLC Global Forum brought together more than 2,000 global leaders, policymakers, and innovators from over 40 countries over the two-day event to define the next chapter of growth across retail, consumer, and lifestyle industries.
