UAE: More residents opt for staycations amidst rising travel costs and visa challenges

Amidst rising travel expenses and increasing challenges in obtaining visas, many UAE residents now favour exploring local destinations and opting for staycations. This trend has been observed and confirmed by travel agents across the country.

“The great advantage with staying locally in the UAE for a staycation is the concept of a ‘luxury for less’ holiday as you don’t need to spend on flights and visas, increasing your budget for hotels and activities,” said Emily Jenkins, Senior Manager Product Development at DW Travel. “Plus, we have some of the best hotels in the world offering great rates over the summer period.”

Harris Younus and his family preferred to go for a staycation this summer. “Over the Eid holidays, we headed for a staycation in Fujairah,” said Harris. “We are not travelling this summer and wanted a change of scenery. We got an excellent deal for a two-day stay, and we enjoyed it.”

Even as the summer season continues in full swing, hotels in the UAE have reported a steady occupancy rate. “Our average occupancies have remained well above 60% during weekdays this summer,” said Vinayak Mahtani, CEO of bnbme holiday homes. “During most weekends, the numbers are hitting 90% rates. It has been a good summer season.”

Booking earlier

According to Fardan Hanif, Director of deiratravel.com, another trend is that people are booking their holidays earlier. “Since visa processes take a long time, people are booking ahead,” he said. “Moreover, airfare has increased quite steeply as compared to last year. So, by booking early, travellers are looking to snap up better deals.”

Emily Jenkins also agreed that they had seen trends of people booking earlier. “At DW Travel, our customers are booking early for their winter breaks later in the year, including ski holidays,” she said. “Destinations such as Finland, Iceland, Canada, and Norway are popular.”

Travelling abroad

According to travel agents, outbound travel continues to be very popular among UAE residents, with a second wave of passengers jetting off to various destinations in August.

“We have observed a significant increase in travel from the UAE, indicating a second wave of travellers,” said Raheesh Babu, COO, Musafir.com. “Many individuals are planning trips during the Hijri New Year holidays, as well as in the remaining months of July and August.”

According to him, there is an increase in package duration as well. “Travellers are seeking longer trips due to their affordability,” he said. “Additionally, there is a growing demand for more luxurious experiences at affordable prices.”

Emily Jenkins agreed. “The majority of our leisure bookings for summer travel have been for overseas trips,” she said. “The average length of stay extends from 7 to 10 days to 10 to 14 days.”

She also said that they have seen an increased demand for visa-free holiday destinations. “Countries such as Azerbaijan, Turkey, Georgia, and Thailand have seen an increase in demand for summer holiday travel, particularly to areas outside of the city such as Trabzon in Turkey,” she said.

Destinations in Europe and the US have also seen a strong increase in demand, according to Fardan Hanif. “Travel to countries like Korea and Japan has also picked up,” he said. “Also, destinations like Georgia and Serbia also continue to have a lot of interest from UAE residents.”

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