KSA Hotel Gift Cards Market- Growth, Share, Opportunities & Competitive Analysis, 2024 – 2032

Market Overview:

The KSA Hotel Gift Cards market was valued at USD 112.53 million in 2023 and is expected to grow to USD 269.36 million by 2032, with a compound annual growth rate (CAGR) of 10.2% during the forecast period (2023-2032).

This market is driven by the increasing demand for convenient and flexible gift options, with consumers increasingly choosing hotel gift cards as their preferred gifting solution. The growth of the tourism sector in Saudi Arabia, bolstered by government efforts to enhance tourism under Vision 2030, further accelerates the market’s expansion. The digital transformation in both retail and hospitality industries, which supports the adoption of e-gift cards, is enhancing consumer convenience and accessibility. Additionally, the growing trend of personalized experiences, coupled with the flexibility of hotel gift cards that can be used for stays, dining, and spa services, is boosting their popularity. The rise in luxury hotel and resort offerings in key tourist destinations within Saudi Arabia is also contributing to the growth of the market, with more hotels introducing gift card options to cater to a wider customer base. These combined factors are driving the market’s positive growth trajectory.

Market Drivers:

Expansion of Luxury Hotels and Resorts: The rapid development of luxury hotels and resorts in key tourist destinations across Saudi Arabia is a key driver of the hotel gift card market. As the Kingdom experiences an increase in high-end hotels and world-class resorts, both local and international hotel brands are incorporating hotel gift cards as part of their service offerings. These gift cards are marketed as the ideal solution for travelers seeking premium experiences, including stays at five-star hotels and exclusive dining and spa services. Tourism development reports indicate the rise of luxury hospitality projects in Saudi Arabia, which are attracting a broad and diverse clientele seeking upscale experiences. As the Kingdom continues to enhance its tourism infrastructure, more hotels are offering gift cards to attract a wide range of customers, from international tourists to local visitors seeking premium services. The expansion of luxury hospitality offerings ensures continued growth in the hotel gift card market.

Market Challenges:

Limited Awareness and Adoption: A major challenge facing the KSA Hotel Gift Cards market is the limited awareness and adoption among consumers. Despite the increasing demand for gift cards, a large portion of the population is still unfamiliar with the concept and its benefits. Traditional gifting methods, such as cash or physical presents, continue to dominate, and many consumers may not fully understand the flexibility and range of experiences that hotel gift cards can offer. Additionally, there is a lack of widespread marketing efforts aimed at promoting hotel gift cards as an attractive alternative for gifts. Without targeted awareness campaigns and educational initiatives that highlight the personalized and flexible options available with hotel gift cards, adoption rates may remain low compared to other popular gifting methods.

Segments:

Based on Product Type:

Universal Accepted Open Loop

Hotel Closed Loop

Based on Price Range:

Low (0-1000 USD)

Medium (1000-3000 USD)

Based on Sales Channel:

Online

Offline

Based on End User:

Business

Individuals

Based on Application:

Holiday Packages

Bar & Spa Services

Sports Activities

Travel & Transportation

Others

Based on Geography:

Central Region

Eastern Region

Western Region

Southern Region

Key Player Analysis:

YOUGotaGift

Hotels.com

Amazon

Swile

Qwikcliver

Alyce

Hyatt

Airbnb

Expedia Group

Four Seasons Hotels & Resorts

Marriott International

Choice Hotels International

Wyndham Hotels & Resorts

Hilton

Company 14

Company 15

Others