Accor is a major player in Saudi Arabia’s hospitality sector, already having the lion’s share of the international hospitality market in the Kingdom. And while many talk about what’s planned for a few years down the line, the group is already very well installed in the premium and luxury segments. We asked Kerry Healy, Chief Commercial Officer, Middle East, Africa and Asia Pacific for the Premium, Midscale and Economy brands at Accor to share more details on the current portfolio and the broader growth strategy…
Kerry Healy: Absolutely. Across our premium, midscale, and economy divisions in the Kingdom, we currently operate 33 hotels, providing over 13,000 rooms. Our luxury and lifestyle categories further augment our offering, with a total of 41 hotels accounting for more than 16,000 rooms. Looking towards the future, we’re thrilled about the addition of 13 new hotels, contributing an extra 2,900 keys to our premium, midscale, and economy segments. If we include luxury and lifestyle, the pipeline grows impressively with 35 new hotels bringing an additional 7,300 rooms.
SAFE: You’re traditionally very strong in Makkah and Madinah. What are the plans there, and what other locations are you focusing on?
Kerry Healy: The holy cities, where we are the largest operator with a portfolio of 12 hotels and 12,700 keys, continue to be pivotal due to the influx of religious tourism. Yet, our ambitions extend beyond, aligning with Saudi Arabia’s national development plans. We’re looking at expanding our presence to create a comprehensive domestic destination, reaching out to second and third-tier cities. This expansion isn’t just about scale; it’s about strategically aligning with Vision 2030 to introduce 18 more properties in these cities over the next decade in partnership with AMSA Hospitality.
SAFE: This year appears to be quite active for openings. Could you share what’s on the horizon for Accor in KSA?
Kerry Healy: Certainly. This year we’re introducing four properties under our premium, midscale, and economy brands, adding 850 keys. The highlights include the Novotel Sahafa in Riyadh, our flagship which introduces the new Novotel design and is also notable for appointing the first Saudi female General Manager within Accor. In the luxury segment, we’re unveiling three impressive properties: the Raffles and Rixos in Jeddah, and the Sofitel in Riyadh, collectively offering 816 keys. And let’s not overlook our first Novotel residences in Makkah, opening in the second quarter.
SAFE: Speaking of hotspots, are emerging locations like Al-Ula shaping up as new focal points for Accor?
Kerry Healy: They are indeed. Al-Ula is a trending leisure destination, offering a blend of cultural significance and architectural marvels. We’re proud of properties like the Shaden Resort AlUla and the Banyan Tree within our luxury portfolio, which are enjoying popularity among discerning travellers. These areas are brimming with potential and perfectly encapsulate the experiential travel trend that we are tapping into.
“…with the Kingdom hosting Expo 2030 and the 2034 FIFA World Cup, we are strengthening our footprint in line with Saudi Arabia’s Vision 2030…
SAFE: How are Riyadh and Jeddah evolving in terms of leisure properties, and what are the upcoming developments in these cities?
Kerry Healy: Riyadh and Jeddah are undergoing transformative diversification in leisure and entertainment, spurred by significant investments and initiatives like Riyadh Season, Jeddah Season, and the F1 Saudi Arabian Grand Prix. Our portfolio highlights such as the Mövenpick Jeddah Al Nawras and the upcoming Novotel Riyadh Sahafa will complement these offerings. Mövenpick Hotel and Residences Riyadh, with a prime location next to King Abdullah Financial District as well as the new CBD in the north, is perfect for business or leisure travellers. Moreover, with the Kingdom hosting Expo 2030 and the 2034 FIFA World Cup, we are strengthening our footprint in line with Saudi Arabia’s Vision 2030.
SAFE: In terms of partnership with travel advisors, what key advantages does Accor offer in the Saudi market?
Kerry Healy: For our B2B partners and travel advisors, trust, loyalty, and support form the bedrock of our commercial strategy. We’re dedicated to making it easy to do business with us, through centralized sourcing of rates, robust contracting, and comprehensive training, all complemented by our award-winning loyalty programs like ALL and ALL Meeting Planner. Our focus goes beyond mere business expansion; it encompasses strategic partnerships, portfolio diversification, and aligning with Saudi Arabia’s Vision 2030.
SAFE: Could you tell us more about Accor’s initiatives for inclusivity and local talent development in KSA?
Kerry Healy: Our inclusion policies are deeply rooted in the company’s culture, from board-level objectives to operational practices. The appointment of our first female General Manager in Riyadh exemplifies this commitment. We’re equally passionate about local talent development. Through our “Tamayyaz by Accor” programme, in partnership with the Ministry of Tourism, we aim to empower over 256,000 individuals by providing a clear career advancement path and preparing them for essential roles within our hotels. The programme, designed to align with Saudi Vision 2030’s objectives, has three tracks focusing on hospitality specialists, operations, and leadership development, ensuring a skilled talent pool ready to meet the dynamic needs of our industry in Saudi Arabia.
SAFE: And with the introduction of new brands like The Handwritten Collection and TRIBE, how do you see them fitting into the market?
Kerry Healy: These new brands represent Accor’s innovative response to evolving customer preferences. The Handwritten Collection offers unique and distinctive properties, while TRIBE is attracting attention in the midscale sector with its design-led experiences. Both brands are well-poised to meet the demands of a new generation of travellers and align with the demographic landscape of the country.
SAFE: Lastly, can you comment on the broader impact of Vision 2030 on Accor’s operations and the hospitality sector as a whole in Saudi Arabia?
Kerry Healy: Vision 2030 is more than a policy; it’s a transformative journey for the Kingdom. At Accor, we’re aligning with this vision, not just by expanding our property portfolio, but through strategic partnerships, a commitment to sustainability, and a deep respect for Saudi Arabia’s rich culture and traditions. This alignment ensures we’re not just witnessing growth but actively contributing to it, particularly through our investment in infrastructure projects and our growing presence in the branded residences market, such as the Swissôtel Living Jeddah and the Novotel Living Residence Thakher City. As we continue to build our legacy in the Kingdom, we embrace the opportunity to support Saudi Arabia in realising its tourism potential, both for religious pilgrimages and beyond.
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