Riyadh, Saudi Arabia was the last place we thought we would ever find ourselves sitting around a conference table, discussing hotel innovation.
As part of our attendance at the region’s Future Hospitality Summit, on the heels of welcoming Dubai’s Best Western Premier M Four Hotel as a Visual Matrix partner last month, we took the occasion of a visit to meet with hoteliers from throughout the Middle East—and quickly learned that they confront many of the same operational challenges we hear from hotel clients in North America: rising costs pitted against the continuing heightened demands of a new kind of traveler; continually increasing labor challenges and the need to modernize fast-moving tech technology to prioritize speed, efficiency and flexibility.
As many of the central issues were similar, we were also aware being something of a fish out of water: Two women technology entrepreneurs, challenged even here in the U.S. by barriers to advancement for women and working to catalyze change through our Women’s Hospitality Innovation Council, we wondered how our message of innovation and collaboration would be received.
Are hotels in the region ready to embrace change and innovation? What is the future for tech-driven progress in the Middle East?
Growth Opportunities and Challenges
The need for strong technology foundations in the region could not be greater.
Over the past decade, the Middle East has emerged as one of the world’s fastest-growing hotel markets. Major tourism-led initiatives such as Saudi Arabia’s Vision 2030 have catalyzed an unprecedented wave of new developments. By 2030 alone, Saudi Arabia plans to deliver some 362,000 new hotel rooms—part of a US$110 billion hospitality investment program—positioning the Kingdom among the globe’s most attractive tourism destinations.
And while KSA is leading the charge, it is not the only area of rapid growth. According to Haitham Mattar, managing director MEA & Southwest Asia at IHG Hotels & Resorts:
“With strong performance and the growth of the tourism sector across the Middle East in the last couple of years, we know that travel remains a high priority for guests who continue to spend, as more leisure stays and business trips are booked, and group events and meetings return to being held in-person.”
As room counts swell, guest expectations rise along with them. Travelers increasingly demand seamless digital experiences, personalized services, and efficient, sustainable operations. To capitalize on the region’s growth—and to ensure healthy returns for owners and investors—hoteliers must embrace next-generation technology solutions and foster a spirit of collaboration across all industry stakeholders.
In a way, the rapid development growth provides hoteliers in the region with an opportunity to start from scratch. With the chance to build from the “bottom up,” we found hotel owners and managers across the region eager to learn about faster ways to get hotels up and running, maximize operational functions and produce high guest satisfaction alongside optimum profitability.
In another respect, legacy dynamics apply.
The biggest North American brands are proliferating quickly, each bringing their own technology challenges and complexities. The complexities can multiply when one introduces other players—management companies, franchisees—into the equation. Additionally, some local financial decision-makers often still think of hotels as “bricks and sticks” investments, a perspective which can inhibit creative thinking around next stage innovative thinking.
A Natural Home for Hospitality
At the same time, we were amazed at the level of openness we found—to new ideas, innovative property management solutions and, generally, to integrating the latest thinking on how to produce great guest experiences and staff working conditions. This was true at all levels of property ownership and management.
We had the opportunity to meet with multiple franchise owners and visit properties. The sense of opportunity is palpable.
Where should they focus in creating an operational foundation of property management efficiency and profitability for the future?
Here are a few starting points:
Dynamic Revenue Management & Pricing
When supply ramps up, the ability to adjust rates in real time—across channels and markets—is critical. Advanced revenue-management systems powered by machine learning can forecast demand fluctuations more precisely, protecting revenues even as competition intensifies.
Guest Personalization
Today’s high-value guests expect brands to anticipate their preferences—room layouts, amenity choices, dietary needs—before they even check in. Integrating CRM platforms with AI-driven analytics allows hotels to tailor experiences at scale, boosting loyalty and ancillary spend. This will be especially important in Middle Eastern destinations catering to affluent travelers from around the world.
Operational Efficiency & Sustainability
Energy-management IoT sensors, touchless guest interfaces, and AI-optimized housekeeping schedules not only reduce overheads but also align with global sustainability standards—a growing booking criterion for eco-conscious travelers.
Digital Sales & Distribution Platforms
As booking patterns fragment—direct websites, OTAs, metasearch engines—hoteliers need agile, API-centric distribution solutions to maximize reach and minimize costly channel conflicts. Its all part of a broader movement to a cloud-based, API-first hotel tech worldwide.
Technology, Collaboration Drive Business Outcomes
Of course, the lifeblood and point of connection for all these systems is the property-management system.
We found that hoteliers in the region are acutely aware of the importance of state of the art PMS technology to drive optimum business outcomes.
Ravi Nair, general manager of Dubai’s Best Western Premier M Four Hotel, said: “Choosing the right technology to operate your hotel is crucially important and can be tied to any property’s success, which is why we are excited to partner with Visual Matrix to leverage their industry-leading PMS to manage our operations.”
Whether hoteliers chose Visual Matrix or another provider, the need for speed, efficiency and careful attention to local operating needs are undeniable.
We said that leading up to our visit, we were wondered whether we would find hoteliers open to a message of innovation, rapid change and out of the box thinking, delivered by two American women on a mission to promote collaboration among tech providers, as well as among hotel brands and owners.
Our hopes were met and exceeded.
We are excited to share our optimism, look forward to our next visit to the region as we expand the work of the Women’s Innovation Council to include companies and women executives in the Middle East and across the globe.
Georgine Muntz is CEO of Visual Matrix and the co-founder of the Hospitality Women’s Innovation Council. Patty Jefferson is a Council member, and Chief Development Officer at Visual Matrix.