Analysis

Leisure & Tourism

Experience the Kingdom W hile most countries take decades or even centuries to make their mark on the world, some don’t let time become a Thomas Gateff, co-founder SAUDI ARABIA limitation. Since the last global recession, many countries have realised that empowering their economies by focusing and managing partner, on the tried and tested global industries of tourism, construction, entertainment, M2L Concepts, looks at and hospitality can bring in needed how Saudi Arabia’s design long-term sustainability and prosperity. However, none can claim the sheer industry is set to change the MENA region’s tourism size of the vision Saudi Arabia has set for itself. The Kingdom has in just the last few years taken considerable steps to ensure and entertainment sectors its place on the global stage. No other sector can vouch for this more than the experience design and tourism industries.

When considering the largest economy in the Middle East, one must account for the long-term vision of its Crown Prince and Prime Minister, Mohammed bin Salman. In just a few years, he brought changes to laws that have been untouchable for decades, to make the country more palatable to its rapidly growing young population.

In a surprise move in 2018, the government ended a 30-year ban on cinemas. In just 3 years, this saw the creation of 45 movie theatres with more than 1,000 films screened. This was followed by the introduction of a series of annual festivals throughout the country’s biggest cities titled Saudi Seasons, featuring concerts, automotive races and restaurant culture amongst other innumerable entertainment experiences, underscoring

the hunger for these experiences in the 35 million-strong population. The General Entertainment Authority in the Kingdom wants to invest US$64 billion over the next 5 years to develop its domestic entertainment industries.

Tourism has seen a boost in its future, with plans to welcome over 100 million visitors before the end of the decade. The Ministry of Tourism is investing up to US$4 billion to supercharge the industry. Gen Z is commanding even more disposable income and wants to spend it on new experiences. By offering these experiences in-country KSA can keep the spending within itself as well as increase exposure to the rich tourism opportunities in its historically rich cities and rural areas.

Al Ula, KSA’s first UNESCO World Heritage Site, is being transformed into a cultural, eco-tourism destination offering recreational activities that include sightseeing, hiking, camping, and other nature experiences. Near Riyadh, the historic city of Diriyah plans to showcase the Kingdom’s 300 years of culture by offering unique heritage experiences. Diriyah will see the development of 20 hotels, hundreds of eateries, eight museums and galleries and a golf course.

With entertainment as a focus, Qiddiya will become the world’s largest entertainment city. Featuring over 300 leisure and entertainment facilities that will include a 20,000-seat clifftop stadium, motorsports facilities, and the world’s largest Six Flags theme park, this newly minted city wants to attract 14 million visitors per annum.

New Jeddah Downtown will focus on arts and culture, offering museums and art sites next to commercial areas, along with parks, resorts and beaches. All of this is only a small sample of the mega vision of the Kingdom, without counting the super-project NEOM, launched in 2017.

What is underscored across all these developments is the desire for the Kingdom and its leaders to ensure unique experiences for its citizens, residents, and tourists to enjoy. With the pandemic limiting social activities, people have been desperate to enjoy more of the world now that restrictions are lifted. There is a need for spaces that are essential for the healthy development of children, and recreation for adults.

As such, investment opportunities in the Kingdom are now at an all-time high, with more requirements for leisure facilities based on economic indicators. The country has been able to foster growth despite the pandemic due to a resilient oil market, a growing number of capital developments, and the implementation of an array of distinct strategies including those mentioned above.

Albara’a Alwazir, director of economic research at the US-Saudi Business Council, said recently that ‘the growth of the Kingdom’s economy, which witnessed sizeable increases to GDP due to global oil market dynamics and steady strengthening of its non-oil GDP, will keep the construction sector active’.

We can see that from the value of construction contracts awarded in Saudi Arabia this year, with the first quarter of 2022 accounting for $12.3 billion in contracts. The sector recorded its highest quarterly growth in the second quarter of 2022 since 2014, jumping nearly 8.8% to reach $7.6 billion.

The stability and scope on offer pave the way for companies who specialise in experiences to come in and stake their claim on the future. Experience

There is a need for spaces that are essential for the healthy development of children, and recreation for adults. As such, investment opportunities in the Kingdom are now at an all-time high, with more requirements for leisure facilities”

100m

Number of visitors to KSA expected by the end of the decade

Gen Z is commanding even more disposable income and wants to spend it on new experiences. By offering these experiences incountry KSA can keep the spending within itself as well as increase exposure”

design companies, such as ours, that focus on location-based experience and alternative reality concepts, can offers solutions such as vertical gardens and water features incorporated with biophilic elements to take advantage of the climatic conditions in the Kingdom.

Harsh summers create a need for designs that ensure comfort and safety such as ample shading to provide cooling solutions to visitors. The construction of leisure facilities requires insulation to ensure cooler climes to offset the 50°C average summer temperatures.

With US$12 billion being the value of the location-based experience economy by next year, designers need to foresee evolving consumer behaviour when planning leisure facilities. The Kingdom has many demographics to focus on, making it critical to anticipate challenges that will be faced by this populace, and hence create more welcoming and inclusive experiences.

Sustainability is another key factor to consider, as the millennial generation has done a remarkable job focusing on climate and its impact.

Making sustainable practices a regular habit as well as following mindful living has become a regular state of affairs, which designers should keep in mind when scoping, planning and creating experiences that will hopefully ensure a low to zero carbon footprint.

Underscoring the Kingdom’s clear indication that sustainable living is a priority is its NEOM development. The US$500 billion project is set to re-engineer nature itself, with the smart city encompassing an area of 26,500 square kilometres on Saudi Arabia’s Red Sea. NEOM consists of several key developments, including The Line, a 170km long linear city that will house nine million residents and be powered entirely by renewable energy; NEOM Bay, an airport city offering air travel facilities to the district; Oxagon, an industrial city offering port facilities along the Red Sea; and Trojena, the Kingdom’s outdoor skiing destination that recently won the bid to host the 2029 Asian Winter Games.

NEOM takes full advantage of the latest advancements in metaverse innovation, including the ‘second nature’ experience of virtual realities which are currently on track to be worth US$50 billion by the end of the decade. Consumer spending on VR and AR (augmented reality) could reach US$72 billion much faster, by 2024. The Kingdom wants to ensure it becomes a mainstay of these digital experiences.

With construction underway and thousands of companies being contracted for their expertise, there is tremendous scope for engineering experiences that will entertain, educate and empower KSA and the region.

Anticipating challenges

Given the many demographics within the Kingdom, it is critical to anticipate challenges faced by its populace, says Thomas Gateff.

Key factor

Sustainability is a key factor to consider when designing projects as the millennial generation is focused on climate and its impact.