Mordor Intelligence projects annual growth of 7.05%, with the UAE holding the largest market share and Saudi Arabia expected to record the fastest growth through 2032.
Dubai – United Arab Emirates – Al Rehla
Reported Findings | Mordor Intelligence Study
The Gulf Cooperation Council (GCC) beach hotels and resorts market is projected to increase from $40.76 billion in 2026 to $61.64 billion by 2032, according to a market research report published by Mordor Intelligence.
The study forecasts that the market will reach $43.85 billion in 2027, representing a compound annual growth rate (CAGR) of 7.05% between 2027 and 2032.
The research firm states that its 2026 estimates combine data from the first nine months of the year with projections for the final quarter. These figures are market estimates rather than final, audited annual results.
Luxury Resorts and International Hotel Brands
According to the study, luxury beach hotels and resorts account for an estimated 37.74% of the GCC market in 2026.
Properties affiliated with international hotel chains and brands represent 54.93% of the market.
The report projects that eco-friendly and regenerative resorts will grow at an annual rate of 7.84% through 2032.
International and Domestic Tourism
International tourism accounts for an estimated 60.93% of the market in 2026, according to the report.
Domestic tourism is forecast to grow at an annual rate of 8.76% through 2032.
These figures describe different indicators: the international tourism figure represents estimated current market share, while the domestic tourism figure represents projected future growth.
UAE Leads Market Share; Saudi Arabia Leads Growth Forecasts
The UAE holds the largest estimated share of the GCC beach hotels and resorts market, at 42.81% in 2026.
Saudi Arabia is projected to record the fastest annual growth rate in the region, at 8.56% through 2032.
The study also examines the development of coastal hospitality markets in Oman, Qatar, Bahrain and Kuwait.
Online Travel Agencies and Direct Bookings
Online travel agencies account for an estimated 41.93% of booking revenue in 2026, according to the study.
Direct booking channels are forecast to grow at an annual rate of 8.93% through 2032.
The report also identifies high summer temperatures, development and operating costs, increasing competition, and geopolitical uncertainty among the challenges facing the regional market.
Al Rehla Perspective
The study’s findings point to a shift in Gulf competition, from expanding room capacity to offering diverse, integrated tourism experiences.
For travellers, this growth could mean a wider range of choices, from luxury resorts to eco-friendly and family-oriented accommodation. However, prices will continue to depend on seasonality, demand and service standards, with no guarantee that increased supply will necessarily lead to lower rates.
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