In the lead up to the Future Hospitality Summit Saudi Arabia 2025 next month, we asked several industry partners about the opportunities they see for the hospitaliy industry in the Kingdom of Saudi Arabia in 2025 and beyond.
Saudi Arabia’s transformation under Vision 2030 is reshaping its tourism landscape. New destinations, billion-dollar infrastructure, and giga-projects are drawing global attention, but the future of the Kingdom’s hospitality landscape will depend on more than just architecture and investments. The real test will be how well the sector adapts to a new generation of travellers.
Across the region and the world, the idea of travel is changing. People are no longer simply “checking in” – they’re living, working, and connecting on the move. We are seeing the rise of a new kind of global traveller – remote workers, career expatriates, entrepreneurs and digital nomads that are blending business and leisure, staying longer, and seeking flexibility, cultural experiences, and community connections.
As the Kingdom prepares to welcome 150 million visitors annually by 2030, this represents both a challenge and a monumental opportunity. To thrive, Saudi hospitality must move beyond the traditional hotel model and reimagine what it means to host a world in motion.
A new and different guest profile
More than 40 million people worldwide now identify as digital nomads. In the Middle East, Dubai’s successful remote work visa has drawn thousands of professionals seeking flexible, long-term stays. Saudi Arabia’s recent rollout of its own premium residency and visitor programmes opens the door to a similar wave of globally mobile guests.
These travellers – from digital nomads to contract consultants and start-up founders – are often staying weeks or months. They want fast Wi-Fi, fully equipped spaces, co-working lounges, access to community, family-friendly amenities, and experiences rooted in local culture. Crucially, they want freedom and flexibility — not fixed hotel formats.
The rise of hybrid hospitality
This shift is driving demand for what many now call hybrid hospitality — models that combine the comfort of serviced living with the social energy of lifestyle spaces into a single, flexible offering. What began as a niche has rapidly become a mainstream response to global shifts in work and travel. In cities like Singapore, London, Paris and Tokyo, hybrid hospitality is already thriving, driven by the rise in remote work, increased mobility, and a desire for connection.
Hybrid hospitality is uniquely suited to Saudi Arabia’s evolving urban landscape. As the Kingdom reimagines its cities, these flexible models align with a national vision centred on liveability, connectivity, and lifestyle integration. By combining the comfort of serviced living with the energy of social, experience-led spaces, hybrid hospitality speaks directly to the needs of today’s international purpose-driven traveller.
This approach is particularly relevant to Saudi Arabia’s giga-projects – including Qiddiya, NEOM, The Red Sea, and Diriyah Gate. These projects are more than tourism destinations — they are emerging cities, economic zones, talent hubs, and cultural platforms. Qiddiya, for instance, showcases the entertainment and family lifestyle priorities of Vision 2030, making it an ideal environment for hospitality concepts that offer larger spaces, flexible formats, and a sense of community. These destinations require hospitality models that can flex alongside them and cater to a dynamic guest mix looking for more than just a place to stay.
Industry data reinforces this shift. According to Grand View Research, extended-stay formats — including aparthotels and serviced residences — are expected to grow at over 6% annually from 2025 to 2030 in the Middle East, outperforming traditional hotels in both occupancy and margins. Longer lengths of stay, lower guest acquisition costs, and operational efficiencies make these models especially attractive in mixed-use developments and urban regeneration projects.
Flexibility is the new luxury
Yet hybrid hospitality isn’t only about space — it’s about adaptability. The traveller of 2025 might work from a co-working lounge in the morning, explore traditional souks in the afternoon, and connect with fellow guests at a community dinner in the evening. Hospitality players who build around use-case diversity, not just brand standards, will win in this market.
Investors must rethink the asset model
For investors and developers, the message is clear: hospitality projects should be designed with multiple use-cases in mind. Flexible stay durations, community programming and mixed-use integration are no longer nice-to-haves — they are competitive advantages. In a country like Saudi Arabia where entire cities are being built from the ground up, the ability to embed versatile hospitality models from the outset could make the difference between short-term traffic and long-term vibrancy.
Incorporating Saudi Arabia’s culture
Hospitality also has a cultural role to play. Increasingly, guests want to engage with their destination. The most successful spaces will offer authenticity, social connection, and cultural relevance. They will be places to meet like-minded people, learn from the local context, and be part of a story bigger than a single night’s stay.
Cultural and experiential travel is one of the fastest-growing global travel preferences. A 2024 study by Skyscanner found that 54% of its respondents consider culture an important factor when picking a destination. With experiential travel and social living on the rise, Saudi Arabia’s rich cultural heritage and dynamic future make it well placed to deliver on both fronts.
Looking ahead: Agility meets vision
Saudi Arabia is building the cities and destinations of the future. But success will hinge on how well we understand the guests of tomorrow. They are mobile, digital, experience-led, and value-conscious. And they are already here.
The world is in motion — and so too must be the hospitality industry that welcomes it.
This article reflects the personal views of the author and is informed by The Ascott Limited’s experience as a global hospitality owner-operator with over 40 years of expertise across more than 220 cities worldwide.
Anne BleekerIn2 Consulting+971 56 603 0886 The Bench
