Luxury hospitality in the Middle East is no longer just about opulence—it’s about personalisation, exclusivity, and curated experiences. As high-net-worth travelers continue to shape the region’s hotel and restaurant landscape, operators must rethink their approach to luxury. The top five most visited cities in the region include Istanbul, Dubai, Cairo, Jeddah, and Marrakesh.

GCC Elite Travelers

GCC tourists are among the highest global spenders, whether vacationing within the region or traveling further afield. Gen X is expected to drive travel in the Arabian Gulf, with an estimated USD 11 billion in travel spend by 2028. These travelers prioritise luxury accommodation and are willing to pay a premium for private villas and chalets in secluded locations, where privacy and exclusivity are key.

High-Net-Worth International Travelers

This segment contributes to approximately 36% of the world’s travel spend and nearly 70% of the spend on luxury travel. Millennials now represent the largest group of luxury travel seekers, followed by Gen Z, as wealth migrates the younger generations. These travelers place a strong emphasis on unique experiences over material goods, prioritising exclusive, immersive, and culturally rich encounters.

Aspirational Experience Seekers

This younger affluent demographic is more likely to pay extra for luxury accommodation in prime city hotspots and Michelin-starred or unique gourmet experiences. They are also twice as likely to extend a business trip into a leisure vacation, blending work and play seamlessly. In addition, they demand digital convenience and flexibility, expecting seamless technology integration throughout their journey.

1. The Rise of Hotel-Home Hybrids: Blurring the Lines Between Hotel & Private Residence

The demand for branded residences and ultra-luxury extended stays is rising rapidly. Dubai has experienced a 410% growth in branded residential developments from 2014 to 2024, reflecting a growing preference for luxurious, long-term living environments.

This trend extends beyond accommodations—restaurants and hotel F&B concepts must adapt to meet the expectations of these high-end, long-stay guests. Luxury travelers no longer see dining as a one-time indulgence but rather as an extension of their lifestyle, seeking exclusivity, consistency, and familiarity in their culinary journeys. This can manifest through elevated everyday dining, membership style dining concepts and “at-home” restaurant experiences.

2. Sustainability as a New Luxury Standard: More Than Just Greenwashing

Sustainability is no longer a nice-to-have in luxury hospitality—it is a major driver of guest decisions. Over 38% of luxury travelers are willing to pay 30-50% more for sustainable travel features, making eco-conscious luxury a core expectation rather than a niche offering.

For hotels and restaurants, this shift means moving beyond token sustainability efforts and embedding eco-consciousness into the entire guest experience in a way that feels exclusive, curated, and effortless. For example, hyper local, zero waste dining, sustainability as a status symbol and eco-driven exclusive experiences can influence dining decisions.

The future of luxury hospitality in MENA lies in personalisation, exclusivity, and sustainability. As high-net-worth travelers demand more bespoke, immersive, and conscious luxury experiences, hotels and restaurants must evolve to meet these expectations.

3. The Age of Hyper-Personalisation: Crafting Experiences That Feel One-of-a-Kind

Luxury guests now expect hyper-personalised experiences that cater to their individual preferences and lifestyles. With the personal luxury market in MEA projected to grow at a CAGR of 9.25% from 2025 to 2029, travelers are looking for hotels that go beyond standard offerings.

This shift is driven by a digitally native generation that values personalisation in all aspects of life—from online shopping to travel. To meet these expectations, hotels and restaurants are leveraging AI and advanced data analytics to create bespoke experiences, such as pre-arrival surveys, tailored in-room amenities, and AI-driven concierge services. In an increasingly competitive landscape, the ability to deliver truly customised, hyper-personalised experiences is a key differentiator for luxury hospitality brands in the MENA region.