Special Report: The New Era

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THE BUSINESS YEAR: SPECIAL REPORT: THE NEW ERA

How Sports, Culture, Tourism and Entertainment are Defining the Future of Saudi Arabia

Saudi Arabia is in the midst of a cultural revolution, nurturing the growth and development of an entertainment and sports ecosystem that scant existed only a few years back. It is against this backdrop that The Business Year presents Special Report: The New Era, How Sports, Culture, Tourism and Entertainment are Defining the Future of Saudi Arabia, which shines a spotlight on these nascent sectors, the development of which form a crucial aspect of wider economic diversification plans.

Launched back in 2018, the Quality of Life Program was launched to expand the horizon of many sectors that directly impact the life of local communities and add a new spoke to a growing economic wheel. Indeed, it forms a core axis of the grander Vision 2030 plan, a wide-ranging blueprint that portents a life beyond oil.

And in a country that had no public cinemas as recently as 2018, the changes are coming at breakneck speed. Both the public and private sectors have whirred into action, and are currently set about pioneering cultural, enter-

tainment, and sports initiatives with the aim of not only entertaining locals, but drawing in tourists to a country that has, historically, not been top of many a travel itinerary. And the economic returns of continued success should be obvious to all, with jobs and new revenue streams just the tip of the iceberg for a Saudi government that hopes growing soft power could be a powerful economic tool long term. Throughout this special report, we will tell the story of the birth of a sector through the words of the figures who are busy trying to make it a success, including a number of foreign investors, heads of government authorities, and figures involved in the development of the well-known “gigaprojects” that are placing Saudi Arabia’s ambitions prominently into news feeds around the world. “Just the simple act of allowing public performance was the first drop of this big ripple effect,” said Ahmad M Alammary, a Saudi DJ better known locally as Baloo, the Chief Creative Officer of MDLBEAST, an entertainment firm with deep roots in the music business. And it was a sentiment we heard throughout our time in the country.

CEO Ayşe Hazır

COO

Carlos Martinez

Managing Director-Saudi Arabia

Alena Hakansson

Assistant Regional Director

Aqeel Hafeez

Country Editors

Edoardo Caccin, Magaly Kochkarian

Country Manager

Lucia Sanchez Pardo

Editorial

Terry Whitlam, Aidan McMahon

Contributors

Pronto Publishing Services, Babak

Babali, Mark Szawlowski, Adrian Espallargas

ISBN 978-1-80506-003-1

www.thebusinessyear.com

Partner

THE NEW ERA How Sports, Culture, Tourism and Entertainment are Defining the Future of Saudi Arabia

REPORT

Strategic Partner

QUALITY OF LIFE PROGRAM

Sattam Al-Hozami, CEO, Saudi Automobile and Motorcycle Federation (SAMF)

• Interview

Martin Whitaker, CEO, Saudi Motorsport Company (SMC) Interview

Carlo Boutagy, Founder & CEO, Interview

17

45 Donal McElwee, Partner & Head of ME and Africa, Portas Consulting

• Interview

46 Front and center • Focus: Sports marketing & sponsorship

47 Keys to success • Communique: Arabian Enterprise Incubators (AEI)

48 Sponsorship & marketing

Chairman of the board of directors, Al-Nassr F.C. • Interview

26 VA VA VOOM • Focus: Motor sports in Saudi Arabia

Maha Al Juffali, President, Special Olympics

• Forum

• Interview

Hussam bin Abdulmohsen Al Huzaimi, CEO, Saudi Falcons Club Interview

49 Sulaiman Almusallam, CEO, Red Bull MOBILE Saudi Arabia

• Interview

51 Hatem Hammour, Managing Partner, hala partners • Interview

52 eSPORTS

53 Gaming powerhouse • Chapter summary

55 Prince Faisal bin Bandar bin Sultan Al Saud, President, Saudi Esports Federation (SEF)

• Interview

56 Keith Jordan, Vice President Innovation, Mastercard Ventures

• Interview

57 Gamesmaster • Focus: eSports

59 Badr Almarshoud, stc play Head, stc play • Interview

62 Esports • Forum

Justin Musgrove, CEO, CORE Life

• Interview

44 Mohammed Fayez, Co-Founder & CEO, Arena Fitness Innovation Interview

64 CULTURE

78 TOURISM

65 History & Style

• Chapter summary

66 Noha Kattan, Deputy Minister for National Partnerships & Development, Ministry of Culture

• Interview

67 Amr AlMadani, CEO of the Royal Commission for AlUla

• Interview

68 Jerry Inzerillo, Group CEO, Diriyah Gate Development Authority (DGDA)

• Interview

69 Gérard Mestrallet, Executive Chairman, French Agency for the Development of Al Ula (Afalula)

• Interview

70 Global perspectives

• Forum

72 Mohammed Bindayel, CEO, Cultural Development Fund (CDF)

• Interview

74 Abdullah Al-Rashid, Director, Ithra

• Interview

74 John Ramsay Oliver, Country Director, Saudi Arabia, Turquoise Mountain

• Interview

76 Protecting the past • Focus: Heritage preservation

79 Lands to explore • Chapter summary

80 Zurab Pololikashvili, Secretary General, World Tourism Organization (UNWTO)

• Interview

81 Ahmad Arab, Former Deputy Minister, Strategic Planning and Business Intelligence, Ministry Of Tourism

• Interview

82 Infographic: Tourism

83 Qusai Al-Fakhri, CEO, Saudi Tourism Development Fund

• Interview

84 John Pagano, CEO, Red Sea Global

• Interview

85 Breathing life into Heritage

• Focus: Destinations

86 Ibrahim S. Koshy, CEO, Saudia Airlines (SAUDIA)

• Interview

88 Voices from the sector

90 ENTERTAINMENT

91 Let us entertain you

• Chapter summary

92 Mohammed Al Turki, CEO, Red Sea International Film Festival

• Interview

93 Ahmad M Alammary (aka Baloo), Chief Creative Officer, MDLBEAST

• Interview

94 Playing the long game • Focus: Soft power

97 Khalid Alkhudair, CEO, SMC

• Interview

98 Hamad Alenizi, Group CEO, Faden Media Group • Interview

100 Lifestyle • B2B

101 Patrick Chalhoub, Group President, Chalhoub Group

• Interview

102 Selim Chidiac, CEO, L’azurde

• Interview

105 Alwalid Albaltan, CEO, Rafeeh Entertainment Group

• Interview

107 Entertainment • Forum

109 Destinations • B2B

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Image: Royal Commission for Al Ula

2018

APRIL

First ever WWE Greatest Royal Rumble hosted in Jeddah

2020

NOVEMBER

Saudi Sports for All Federation holds the first women’s football league

2021

APRIL

First ever Extreme E race held in the Middle East hosted in Al Ula

2021

NOVEMBER

Lewis Hamilton wins first-ever Saudi Arabian Grand Prix in Jeddah

2021

NOVEMBER

Saudi Arabia Football Federation (SAFF) launches first Women’s Regional Football League

2022

JANUARY

The Dakar Rally is hosted by Saudi Arabia for the third time

2022

MARCH

Max Verstappen wins second Saudi Arabian Grand Prix in Jeddah

2026

Saudi Arabia hopes to host the AFC Women’s Asian Cup

2029

Saudi Arabia set to host the Asian Winter Games at NEOM’s Trojena

2030

Saudi Arabia’s wide-ranging development blueprint, Saudi Vision 2030, concludes

TIME FOR MORE

Gigaprojects across the country are helping to grow Saudi Arabia’s profile and diversify the economy.

Saudi Arabia is investing huge amounts of energy into projects that it believes will reshape its economic landscape and enhance its cultural impact on the world. From ambitious developments along the Red Sea coast to unprecedented activity to boost the profile of historic sites such as Al Ula and Diriyah, there is plenty to keep your eye on in Saudi Arabia. And as more and more projects come online, the country is expecting greater numbers of tourists to flock to its shores, helping to diversify the economy away from oil and gas and toward more sustainable pastures.

Amr AlMadani CEO, THE ROYAL COMMISSION FOR ALULA

John Pagano CEO, RED SEA GLOBAL

Jerry Inzerillo GROUP CEO, DIRIYAH GATE DEVELOPMENT AUTHORITY (DGDA)

Image: Red Sea Global

ALULA is not only one of the most iconic destinations within the Kingdom, but it is also imposing itself as a must-visit destination internationally. As the KSA’s tourism sector has evolved and matured, so too has AlUla’s offering—each has risen in line with the agenda and framework set out in Vision 2030 to establish tourism as a key driver of economic activity and contributor to GDP. To date our strategy has been about building meaningful and impactful travel trade and media relationships and on data-driven insights to ensure we are targeted in our marketing. This year, we are working toward an international campaign that will further cement the global awareness that has been achieved. Our focus will continue to be on bringing to life the history, culture, and traditions of AlUla; expanding our work with key partners to tell the stories of the notable achievements in areas such as the arts, archaeology, conservation, and wildlife. In December last year, AlUla’s Old Town and AlJadidah were named as one of the Best Tourism Villages 2022 by United Nations World Tourism Orgnisation (UNWTO), alongside 31 other villages worldwide in recognition of RCU’s comprehensive conservation and preservation efforts.

THE RED SEA has untouched beauty, which is remarkable today. There is a pristine marine environment, and there are thousands of islands that have not been built upon. It is an amazing opportunity for tourism development but also a huge responsibility. The projects we are working on will be a game changer for Saudi Arabia. Vision 2030 is about diversifying the economy and moving away from the dependence on oil. And meanwhile, tourism is an important sector: before the pandemic, it had employed one in 10 people worldwide, and almost one in four jobs was supported by tourism. Saudi Arabia is a highly visited country but mostly by pilgrims coming to Mecca and Medina. We are developing projects that present huge growth opportunities. Regionally and domestically, it is a game changer for the Kingdom, particularly as it relates to our ambitions to satisfy Vision 2030. The projects will boost the Kingdom’s GDP; the Red Sea and AMAALA will create 120,000 jobs, half of them direct. It is clear that we have a unique opportunity. We are backed by the Crown Prince himself and the Public Investment Fund; this is nothing less than an opportunity to change the meaning of tourism and hospitality in the country.

DGDA is unique in that we are re-establishing Diriyah as one of the world’s greatest gathering places, with At-Turaif, the UNESCO World Heritage Site, at its heart. We continue to make remarkable strides on the journey toward realizing Diriyah’s sustainable, future-proof master plan across its 194-sqkm jurisdiction. Aimed at catering to all walks of life, DGDA’s ambitious development project seeks to unite historical landmarks distinct to the region with a variety of refined cultural destinations and modern retail outlets. DGDA’s strategy is profound yet straightforward; create new cultural, educational, commercial, hospitality and entertainment offerings to restore Diriyah as a globally connected city where Saudi history is respected, protected, celebrated, and created. The 14-sqkm development is set to accommodate millions of visitors yearly with high-quality infrastructure, beautiful regional landscapes, and a variety of recreational venues that acknowledge and celebrate Diriyah’s local heritage. Through this plan, the authority aims to contribute to one of the Kingdom’s pivotal goals in line with Vision 2030, through supporting the diversification of Saudi Arabia’s national economy. At its center stands At-Turaif. It serves as an enduring reminder of the First Saudi State’s beginnings, the birthplace of its kings and heroes and the original home of the House of Al Saud.

Amr AlMadani CEO, THE ROYAL COMMISSION FOR ALULA

John Pagano CEO, RED SEA GLOBAL

Jerry Inzerillo GROUP CEO, DIRIYAH GATE DEVELOPMENT AUTHORITY (DGDA)

GET IN THE GAME

From football to motorsports, golf, and falconry, Saudi Arabia has become a diverse place for sports. With the launch of Vision 2030 and a growing focus on physical well-being, a new era in sports in the country has begun, one that the government hopes will include men and women from across the country.

At grassroots level, the authorities are encouraging the addition of extra-curricular sporting activities in both public and private schools, as well as promoting healthier options at school cafeterias. Schools are also being combed to discover young talent able to compete in competitions at a local, national, and even global level, with the aim of cementing Saudi Arabia’s place in world sports.

The Kingdom’s school-going population is almost three times that of the rest of the GCC, meaning there is a vast pool, and the government is keen for the new generation to avoid the lifestyle diseases that have become prevalent across the region. With all that in mind, organizations such as Sports For All (SFA) have been mandated to develop community sports and raise physical activity levels in the Kingdom to 40% by 2030. This includes en-

couraging children and young adults to participate in extra-curricular activities, motivating adults to include physical activity in their daily work-life balance, and promoting the benefits of a healthy lifestyle for its senior population. SFA has created and tailored sustainable programs to reach its goals by making sports affordable, utilizing technology to deliver virtual programs and promote health awareness, and building partnerships to enhance the infrastructural designs of cities to make them appropriate for physical activities.

On a global participation level, Saudi Arabia actively seeks to become a global hub for diverse sporting events such as Formula 1 races and boxing events. In one recent success, Saudi Arabia won hosting rights for the 2029 Winter Asian Games, which will be held at NEOM, making it the first country in western Asia to host the event. Hosting these major events has created an abundance of opportunities for partnerships, investments, and sponsorships as well as creating job opportunities for local Saudi talent and demonstrating that Saudi Arabia is promoting inclusivity and economic potential to a wider global audience. ✖

Prince Abdulaziz bin Turki Al-Faisal is the current Saudi Sports Minister and the President of the Union of Arab National Olympic Committees. Prince Abdulaziz also served as the vice chairman of the General Sports Authority. He completed a bachelor’s degree in politics from King Saud University in 2003 and went on to obtain a further degree in politics from SOAS University of London in 2006. He also studied marketing at the College of Business Administration in Jeddah from 2006 to 2010. Additionally, he graduated from the Formula BMW Racing School in Bahrain in 2005.

RALLY point

The Ministry of Sports is playing a key role in developing the sector as a crucial element of Saudi Arabia’s economic future.

The sports sector and the Kingdom has accomplished significant growth. Sports constitute a main pillar in the Kingdom’s vision 2030, and our ambitions continue to soar and fuel a growing economy. We continue to welcome the world to our beloved country, and organize world-class events at the highest global standards. But most importantly, we focus on creating a healthy and vibrant society that inspires and encourages our citizens, especially our youth, to help them achieve sporting excellence on local, regional, and international levels. In this exceptional era of sports, motorsports was by no means a stranger to the rapid pace of development. The top motor sports competitions have found a new home in the Kingdom, from the Dakar Rally, the toughest rally in the world, to the World Rally Championship, the FIA Formula E Extreme E, and, of course, the upcoming FIA Formula One World Championship. In 2020, our journey with the Dakar Rally started. We came together to write a new chapter in the world of motorsports in 2021.We trusted the power of sports. When our world was facing a global pandemic, we prevailed and successfully hosted our second Dakar Rally, following the highest standard of safety. And in 2022, our journey with Dakar Rally will continue to reach further heights, explore fascinating landscapes, test the will

of the world's best drivers, connect the world with our generous and welcoming people, and showcase our culture capabilities and unlimited potential. Together with Dakar Rally, we look ahead toward a bright future, one that inspires a generation and conserves the planet. We will support Dakar Future, the Energy Transition Plan dedicated to fostering green innovation and rally rates and reducing carbon emissions. By 2030, Dakar Future will ensure that all drivers, elite and amateur, will compete using vehicles fully powered by alternative energy. This plan aligns perfectly with the Saudi Green initiative launched recently by our Crown Prince, His Royal Highness Prince Mohammad Bin Salman, to unify all sustainability efforts in the Kingdom, increase reliance on clean energy, offset the impact of fossil fuels, and combat climate change. In January 2022, we continue to write a new chapter in the story of Dakar Rally in Saudi Arabia. On behalf of everyone in the Kingdom, we invite you to visit and experience the beauty of our country, engage with our rich culture and loving people, and cheer for the world's most prominent drivers and riders. Together, we will create unforgettable memories. ✖

*Sourced from a speech made ahead of the Dakar Rally.

Prince Abdul Aziz bin Turki Al-Faisal, MINISTER OF SPORTS

A car races through the desert as part of the Dakar Rally

Image: cristiano barni

HEALTHIER and happier

SFA has been successful in promoting the health benefits of physical activity and providing suitable programs for Saudis to encourage regular sporting activities.

How is SFA working to spread awareness about the benefits of sports and what specific sports and disciplines have you targeted to engage the highest number of individuals?

Saudi SFA works on a few different fronts: awareness and education; developing and enhancing infrastructure at suitable facilities; and on a programmatic basis with on-the-ground activations. SFA works closely with the Ministry of Sports and the Quality of Life program to bring health and wellness to life rather than just being an intangible goal. We want to be a catalyst for people on an everyday basis, eventually creating a habitual approach to being consistently active and, as a result, healthier and happier. One way we are doing this is by providing access to educational facilities and programs like neighborhood clubs, summer camps, physical activity tests at schools, and an online teacher toolkit called Schools on the Move. All these programs are shared through our social media channels, our app, and website, and the more people that get involved, the better. We want to see everyone join us for one movement: a healthy and active community. One of our strategies is to bring fitness to where people are. We have partnered with malls, including Arabian Centers, Riyadh Chamber, and Alothaim Malls, to develop walking tracks and fitness challenges. Other spaces like parks are also used to support physical activities and have hosted programs like Family Activity Days. With all these programs and activities, we have reached an unprecedented number of people in Saudi. About 48.2% of people across the country now practice physical and sporting activities at least 30 minutes weekly, and this is a massive achievement as it is SFA’s Vision 2030 target.

Can you share the main highlights achieved by Sports for All?

With the support and close guidance of the Ministry of Sports and the Quality of Life program, we have exceeded our targets. We have gotten all segments of Saudi society up and active, and we have turned participants into advocates. We are proud to be the team motivating people across the country daily. For some actual numbers, through our Step Together virtual walk-run marathons in 2021, we saw more than 8,750 participants across just the first four challenges. Move to Game, launched jointly with Saudi Esports Federation, combined physical sport challenges with gaming, attracted more than 151,000 participants. In 2020, we launched the community Women’s Football League in Riyadh, Jeddah, and Dammam. And we also staged the Global Goals World Cup in Saudi for the first time ever that saw teams of women adopt a Sustainable Development Goal and form football teams to compete against other Saudi teams, and then visiting foreign teams. SFA’s digital approach has also been essential to achieving its goal of encouraging regular physical activity participation. The SFA App allows people to access real-time information on health and wellness, events for all fitness levels, and how they can participate and facilitate community sports group success and growth. The key functions are allowing people from all over the country to join SFA public challenges, and create their own challenges, effectively turning all users into prospective fitness event creators.

What are the main targets on your agenda, and what are your short-term priorities?

Everything SFA does is aligned with Vision 2030. Going forward, we want to flesh out

more partnerships with the public and private sector for enhanced opportunities and increased awareness. We want to ensure that we are coaching children up to meet the World Health Organization recommendations of 60 minutes of daily physical activity, by providing quality programs both inside and outside school. We also aim to provide opportunities to our young adults inside and outside the university and promote the social aspect of physical activity. There are so many benefits to participation; not the least of which is improved mental health and improved life satisfaction. On the workplace front, we are looking to incentivize physical activity in the workplace and support community and home programs. ✖

Prince Khaled bin Alwaleed bin Talal Al Saud serves as the President of SFA, driving an initiative that unifies various sports and further builds upon the Kingdom’s dedication to a healthy and active citizenry. He was appointed to the Saudi Arabian Olympic Committee Board of Directors in 2021 and continues to serve as a board member on other wellness-related federation boards in the Kingdom.

Prince Khaled bin Alwaleed bin Talal Al Saud PRESIDENT, SAUDI SPORTS FOR ALL FEDERATION (SFA)

BIO

Khalid AlBaker CEO, QUALITY OF LIFE PROGRAM CENTER

The Quality of Life Program seeks to directly impact the life of citizens and communities in Saudi Arabia. What are its main objectives?

IN alignment

The Quality of Life Program Center was launched in 2018 to improve individuals and families’ quality of life by creating the necessary infrastructure to improve livability and develop lifestyle options.

BIO

Khalid Albaker was appointed CEO of the Quality of Life (QoL) Program Center in 2022. Before that, he was leading two sectors at the program since mid-2020: chief delivery support officer and acting chief of marketing and communications officer. He is currently a member of a diverse range of boards and committees, including the Hail Municipality Company’s founding board, the architectural urban identity committee, and two QoL program subcommittees. Prior to this, Albaker held many positions and led number of projects in sports, entertainment, and tourism sectors. He holds an MBA from Alyamamah University and a certificate in management from the London Business School in addition to many other professional certificates in project management field.

The Quality of Life program was launched as a Vision 2030 Realization Program to act as an all- encompassing concept that aims to improve the quality of life of not only for Saudis, but all residents and visitors in addition to ensuring a positive evolution in both lifestyle and livability in the Kingdom. By livability, we mean security, infrastructure, and education. This includes diversifying the choices individuals have in their daily life, such as tourism, entertainment, sports, and culture When the program started in 2018, the main focus was on entertainment, culture, and sports to begin with, and we approached this by looking at how we can enhance these sectors and what was needed to achieve our livability goals. Another key area of impact amongst the program is working with other programs and government bodies to make sure they deliver on the Kingdom’s ambition through diversified initiatives which the program supports. During the early days of initiation of the program, the key focus was on developing and enriching new sectors such as hobbies, introducing Saudi cinema, and developing regulations to support the ecosystem, as well as improving current sectors such as sports (Saudi Games), culture (Diriyah Biennale), and tourism (Visit Saudi). We have since created synergies, cooperating with other institutions such as the Ministry of Tourism, the Ministry of Culture, and municipalities, and we try our best to make sure the entire ecosystem is aligned in achieving our strategic goals.

How are you fostering and promoting FDI to Saudi Arabia?

We have been using various methods to promote the Kingdom to foreign visitors and investors. At the Quality of Life program, one of our main methods of introducing international investment is by attracting international events. For example, we have hosted the Spanish Super Cup, the Italian Super Cup, the Dakar

Rally, and the Formula One. In the culture ecosystem, we hosted the Red Sea Film Festival and have also collaborated with the Cordon Bleu in France and offered scholarship opportunities for Saudi Chefs to get certified and professionally trained. We have also worked closely with Invest Saudi and support their initiatives in attracting investments, and all these efforts have supported establishing many business opportunities with different countries, not to forget the various Saudi platforms we have created that showcase all available and potential opportunities, be they the Ministry of Sports or the Ministry of Culture. In addition to ensuring a fully automated process while setting up investments and/or business in the Kingdom, we know that there are various new sectors being developed in the Kingdom and for those sectors we are aware that international expertise need to be imported, and to enhance the acquiring of that know-how, we need international investors to invest in Saudi.

How are you creating synergies with other institutions, encouraging the involvement of the business community in your mandate?

A strong economy is built by many strong SMEs. We have dedicated funds for each sector; some of them are ready, and others will be ready soon, this is to ensure that SMEs have the right level of support and access to resources, which with time will further develop the sector into a thriving industry. Additionally, we have worked with banks and financial institutions to ensure they provide loans with low interest rates for SMEs and have waived many obligations for SMEs in the Kingdom. Education and knowledge are another track of synergies we are creating to develop the community, and to date we have created scholarships at major universities all around the world. We not only make it easy for SMEs to do business, but also help build relations with international stakeholders and entities. We make sure they are ready to deliver and compete on a larger scale. ✖

winds OF CHANGE

In the long term, Golf Saudi aims for the Kingdom to be a worldwide destination for and a prominent name in golf as part of the wider vision of the government.

What led the country’s authorities to decisively promote the sport of golf in Saudi Arabia?

The vision of our Crown Prince Mohammed bin Salman and His Excellency Yasir O. Al-Rumayyan has been unparalleled. Under Vision 2030, the development of sports is a priority. I asked His Excellency to create an independent company, but still owned by the Saudi Golf Federation where we can adopt our own bylaws and initiatives. The legwork started in 2018 when we wanted to host the Saudi International for the first time. It started from an idea to promote tourism in Saudi and promote the Kingdom as a whole from a business perspective. I am proud to say it is possibly the first international initiative that took place, and it was really from that point on that all the international initiatives in terms of sport started to roll in.

How many people would you like to participate in golf between now and 2030?

His Excellency asked me during a conversation what I would like to have accomplished by 2030, and for me mass participation is key. I would like to develop at least 20,000 new jobs. We have created about 150 new jobs in the Kingdom that never existed before, including a grass green keeper, caddy master, pro-shop clerk, pro-shop assistant, and general manager of a club house. The second thing was ensuring equality and equity between women and men. His Excellency was asked if he thought the Kingdom would allow women to compete in golf with other women, and his answer was really simple: “a woman can compete as a Saudi if she is a citizen of Saudi Arabia.” For us, men and women in the Kingdom will be treated equally.

With Saudi Arabia recently hosting the Ladies European Tour, do you plan to continue in this line of attracting major international professional golf events?

This is a five-year initiative that started last year. The tour has lost multiple tournaments lately, so

we wanted to extend our help by hosting backto-back tournaments for them called the Ladies Saudi International. The Aramco Team Series is a new concept where women play with an amateur whereby we have three professionals with the amateur able to contribute to the overall team win. It became one of the most sought-after tournaments, especially after we took it to London when the rest of the world took interest. Everyone is enjoying it so far, and that is just one simple initiative among many initiatives.

How are you ensuring the next generation of sport people in Saudi Arabia?

First of all, what we wanted to do is just see what it is that the economy needs, and if we open a golf course tomorrow what would be required. We went to the schools and signed an MoU with Aramco, the Ministry of Education, and universities to identify young talent in Saudi Arabia. In this manner the sport of golf becomes familiar to the individual throughout their formal education whereby those interested can pursue the goal of becoming a professional with specialization in their own field. We also put together the Ladies First Club, and in the first week we had 5,000 women register. Then comes the building of the infrastructure, where we have been working with the academies such as Claude Harmon III and Ernie Els Academy to build multiple academies where players can perfect their game. When it comes to sustainability, we have combined three organizations, which had never been done before, and which has impressed the UN. There is a company called Atlas Turf specialized in growing seeds that suit different conditions. SATIR is a company that funds water and soil initiatives to promote efficient seed planting. And finally, there is the Geographical and Environmental Organization (GEO). We signed an MoU and are the anchor of that MoU enabling them work in unison. ✖

BIO

Majed Al Sorour is a businessman and entrepreneur with a reputation for identifying performance potential in businesses across a broad spectrum of sectors around the world in sports, technology, energy, engineering, and insurance. In his youth, he competed at a professional level for Al Nassr Football Club, with a seven-year career. Post-football, he furthered his education in the US, he completed both his bachelor’s and master’s degrees in business administration On special request, Al-Sorour was appointed CEO of the Saudi Golf Federation and Golf Saudi in 2018. He has continued his work in football as a board member of Al Nassr Football Club from 2016-2018 and acts as an advisor to the Public Investment Fund (PIF),

Aims to make KSA a destination for golf worldwide

Golf Saudi is instrumental in initiating the Kingdom’s sports events drive

Majed Al Sorour DEPUTY CHAIRMAN & CEO, GOLF SAUDI

OF THE GAME POWER POWER OF THE GAME OF THE GAME POWER GAME POWER OF THE GAME OF THE GAME POWER GAME POWER OF THE GAME OF THE GAME POWE GAME POWER OF THE GAME OF THE GAME POWER GAME POWER OF THE GAME

Saudi Arabia has embraced the great game of golf and has embarked on a journey to introduce and integrate the game at all levels, to the betterment of society and to reinforce and diversify our economy.

His Excellency Yasir Bin Othman Al-Rumayyan, Chairman of Golf Saudi and of the Saudi Golf Federation

FOCUS

Sustainability and women in golf

ON THE GREEN

By tapping into the universal passion for sporting excellence, Saudi Arabia is pursuing a transformative program of participatory social change with measurable environmental consequences and gender inclusivity.

SAUDI VISION 2030 is a comprehensive initiative to position the Kingdom internationally as a major economic and cultural player. As such, it entails an unprecedented roster of programs to ensure sustainable growth, while opening up leafy new avenues of possibilities for citizens and foreigners alike.

PLAYING THE LONG GAME

To achieve the above, the sustainability of national health, biodiversity, and the wider environment, fronted by a circular economy, regenerative ecosystem, green energy, and water provision are today integral parts of economic policy for the long-term prosperity of the Kingdom. At the citizen level, with the nation long suffering from widespread chronic illnesses, the state seeks to address national health by inculcating greater public interest in active sport. Golf, in particular, is playing the role of caddy, carrying a deeper bag of initiatives with sustainable credentials. This involves the creation of an entire new green golf ecosystem and supply chain featuring sustainable technology and locally nurtured technical staff to put it to work.

The long-term nature of the aforementioned initiatives is confirmed by Majed Al Sorour, the CEO of Golf Saudi. “When it comes to sustainability,” he tells TBY, “we have combined three organizations, which has never been done before,” which has signed up to the UN framework. Those include “Atlas Turf, specialized in grow-

ing seeds that suit different conditions; SATIR, which funds water and soil initiatives to promote efficient seed planting; and the Geographical and Environmental Organization (GEO).” Meanwhile, an MoU has ensured a “controlled sustainable amount of water for the ideal irrigation of soil to grow seeds for diverse environments.”

18 HOLES, SIX PILLARS

Golf Saudi, which was established to propel the Kingdom’s golfing initiative, is inculcating the idea of golf as a participatory sport. Under the umbrella of Vision 2030, a public-private sport-prioritizing initiative is being rolled out with a maturity date of 2025.

The first pillar naturally enough involves public access to golf clubs and resorts and entails investment across all 13 regions to ensure coverage beyond the main cities. Second comes the fostering of local talent through exposure to international events and stars, along with the assurance of best practices. The third pillar concerns mass participation spurred by the four specific stages of awareness creation, the stimulation of interest through niche development and online campaigns, loyalty programs, and new golf product development. The fourth pillar involves the staging of prestigious golfing events that will bring in household name players to Saudi Arabia while promoting the Kingdom’s golf assets worldwide. And in fifth place comes the tourism component. The Kingdom has seen a grad-

ual rise in visitor numbers, and the pre-COVID-19 data is impressive and telling. In 2019, the 19.9 million arriving visitors marked a 16.93% YoY rise. The goal is to attract between 5,000-8,000 international golf visitors each year. Most relative to our purpose here, the sixth and final pillar targets sustainable development by creating a comprehensive golf ecosystem of environmental, economic, and social consequence in step with the overarching Green Agenda, plus the objective of upskilling the local workforce. All of these pillars, and the circular economy they stand to generate, entail measurable goals that lean on a rising passion for golf.

Golf Saudi’s Al Sorour is unequivocal about what he expects from the Kingdom’s golfing initiatives: “Our goal is to eventually become a prominent force in the worldwide golfing universe, and that is what I am trying to accomplish.” In a population of 34.8 million, creating 20,000 new jobs is no mean feat. But that is exactly what Golf Saudi envisages from the sport alone, ranging from grass green keeper, caddy master, and pro-shop clerk to club house manager and turf scientist.

WOMEN TEEING OFF

Though unfortunately delayed by COVID-19, the Kingdom has taken notable strides in recent years to raise the participatory opportunities available to women. And as such, the golfing arena has been a

prime launchpad for related initiatives. “We put together the Ladies First Club,” says Al Sorour “to give the first 1,000 people free membership and training, and in the first four days alone the club was oversubscribed.” The program’s top 12 performing women have been offered full, year-round membership at the course of their choosing. The Ladies First Club at the Aramco Saudi Ladies International professional tournament, for one, has offered 1,000 local women annual golf memberships to include golf clinics and online tutorials, apart from actual time on the green.

Promotion has relied heavily on key female influencers promotional interests, culminating in the inaugural Aramco Saudi Ladies International in 2020, the Kingdom’s first professional ladies’ golf tournament. Moreover, looking beyond individual satisfaction, the broader initiative involve fostering a national women’s team to propel the nation internationally. Saudi Arabia continues to work with the Ladies European Tour as part of a five-year initiative which began in 2021. The Aramco Team Series, which takes place globally from New York to Jeddah, sees professional women playing with one lucky amateur keen to contribute to overall team glory.

Golf is a major sporting activity across the planet. But clearly in Saudi Arabia, it is being factored into a much broader narrative of environmental magic—given the terrain—and wider women’s participation as the Kingdom reforms itself on the international stage. ✖

Image: Performance54

Greg Norman CEO, LIV GOLF

ABOVE par

BIO

Gregory John Norman spent 331 weeks as the world number one golfer in the 1980s and 1990s. He won 89 professional tournaments, including 20 PGA Tour tournaments and two majors: The Open Championship in 1986 and 1993. Norman also earned 30 top-10 finishes and was the runner-up eight times in majors throughout his career. His business interests began during his playing career. He is the Chairman & CEO of the Greg Norman Company, a global corporation with a portfolio of companies in fields including apparel, interior design, real estate, wine production, private equity, and golf course design. In 2021, he was named CEO of LIV Golf Investments, a start-up company financed by Saudi Arabia’s sovereign wealth fund. The LIV Golf Invitational Series of golf tournaments began in 2022.

What is LIV Golf’s background and mandate? LIV represents a history lesson in what has and hasn’t happened in golf. Quite honestly, golf must adapt. I have been involved with the game of golf for 40plus years, and it has not adapted at the professional level. There is only one premier institution for players: the PGA Tour. However, if you are a global player, as I have been for 40 years, you see the opportunities outside of the US, be they in the Middle East, East Asia, Mexico, or Europe. As I traveled the world, I realized there would be a huge opportunity down the line because only one institution controlled every single aspect of the industry. Over a period of time, I became a sponge of information for CEOs, TV executives, sponsors, and other players. In the early 1990s, I got involved in the formation of the World Golf Tour to give players the opportunity to be independent contractors and play whenever and wherever they chose to, growing the game of golf globally. Unfortunately, that did not happen for various reasons. During that process, I started my own company and developed my shark brand, established for over 25 years now. Part of my company is my golf course design business. It is a window into the true ability of what golf can do for education, economics, tourism, and governments across the board. Through golf course design, we spread out worldwide on six continents. I have 110 golf courses around the world, from public golf courses to high-end residential golf courses, to massive resort developments to the tune of billions of dollars. When we look at what golf can do, it is absolutely amazing in terms of its history and the success, and what was invested in the beginning and the returns they are seeing today. Golf brings FDI, infrastructure financing, governments, and private enterprises working together through PPPs. We were the first to get on the

ground, lead the golf course design, and also work with civil engineers, engineers, and architects to develop projects. If you invest in the game of golf, you want to be able to extract an ROI from it. When LIV approached me in February 2021, its business model intrigued me. It was evident that a visionary was involved in the business: Yasir bin Othman Al-Rumayyan. The reason why he is so astute is that he identified virgin space in the game of golf that the PGA Tour never recognized. I have enjoyed the journey to date because we are innovating and revolutionizing. That is our mandate: we are growing the fan base around the world. Players see the opportunity that we are giving them as free agents. They can play with LIV, play with the PGA Tour, play on the Japanese tour, the European tour, the Australian tour, and more. I am extremely proud of the fact that we have this opportunity and are ahead of everyone else. The investment provided by PIF has certainly changed the world of golf.

The new eight event series took place across North America, Europe, Middle East, and Asia. How will this change and add value to the sport?

It has already changed the sport. Every PGA Tour player who has not signed with LIV should be thanking us, because our competition has exposed the weakness of the PGA Tour. Competition is a wonderful thing, and this has made the PGA Tour react by investing hundreds of millions of dollars. That only happened because of us. Competition is good for everyone. The PGA Tour had to re-group, re-assess, and re-evaluate their product, and it was LIV that spurred this change. I am proud of the fact that we have exposed a weakness in the system. We are not out to destroy the Tour; we are an addition to the ecosystem, and we are proving that today. ✖

LIV Golf seeks to reinvigorate the professional golf ecosystem and create new value for fans and players.

much to ACHIEVE

Working on a multi-pronged strategy, SAFF’s key goals for the future include developing the next generation of players, strengthening the Kingdom’s sporting teams, and helping Saudi Arabia become a world-renowned sporting host country.

What is SAFF’s mandate?

SAFF is KSA’s football federation and has been recognized by FIFA since 1956. It governs all aspects of football. Over the past 66 years, we have had successes and challenges. If we look at the national team FIFA rankings, since we took over in 2019, we have progressed from 70th place to 49th. This indicates that we have done an excellent job and rank now among the top 50 national teams in the world.

What has been the strategy to create a worldclass football league?

We share common goals with our colleagues in the Saudi Professional League (SPL). We want the SPL to be among the top five leagues in the world. We have a strategy in place that will last until 2034. In Asia we are currently rated as the best league of the continent. We have a Saudi team, Al Hilal, which has won two of the last three AFC Champions League editions, which is a remarkable achievement for the Saudi clubs. We also have a large number of international players plying their trade in the Kingdom. As part the federation’s strategy, along with our league, we want to become among the top 20 best national teams in the world by 2034.

How is football and SAFF assisting in these economic diversifications as part of Vision 2030?

One of Vision 2030’s major programs is called The Quality of Life. Sports, in general, fall under the umbrella of this program. Nearly 90% of Saudis follow and are passionate about football. Football’s contribution to GDP has skyrocketed from SAR2.4 billion in 2016 to SAR6.4 billion today. Today, there are almost

20,000 full-time jobs in the sports industry, plus an additional 60,000 indirect jobs. Sponsorship also plays an important part with companies sponsoring the league and SAFF and contributing to the income of the clubs and the federation as well. Hosting big events such as the Spanish Super Cup attracts a good number of tourists, which aligns with Vision 2030.

What were the priority areas of the Our Tactics for Tomorrow master plan?

We launched our seven-pillar strategy in September 2021. The first is player development, and we are working on a clear pathway for six-year-old players and are increasing the pool of talents from our youth. The plan is to start scouting almost 20,000 children between 6 to 12 years old. In 15 years, this pool of players will produce the national team. The second pillar is competitions. Today, we have around 24 competitions, and our aim by 2025 is to increase it to 250 competitions, where we’ll have different age groups involving more than 4,000 players who will play in an official competition every week. In terms of women’s football, our third pillar, I am proud to be the first president to officially launch the first women’s league. We have a challenge in terms of infrastructure and facilities because the demand for people who want to play football is higher than the supply. For our fourth pillar, technology, we recently launched an internal application that streamlines the organization within SAFF, and between SAFF and local clubs. Regarding workforce development, our fifth pillar, we have many programs in terms of coaches. We are increasing the number of certified coaches, and since we have a large num-

ber of competitions, we also need a larger number of referees. Our sixth pillar is global prominence, and we are a major partner with the Asian Football Confederation. In May, we hosted 20 teams of the Asian Champions League from the West Asia region. We are bidding for the 2027 Asian Cup competition, which we have won three times before in the past. We have a strong relationship with other football stakeholders, mainly FIFA. The last pillar is governance. Football has many aspects and areas that are changing because FIFA updates its regulations every year. We have to meet and update our internal regulations as well as financial fair play. ✖

BIO

Yasser Al Misehal was elected President of SAFF in 2019. He is an industrial management and finance graduate with honors from King Fahd University of Petroleum and Minerals and holds a sports management certificate from Sorbonne University Abu Dhabi. Al Misehal was previously vice-president of SAFF, chairman of the Saudi Pro League from 2016-2017, CEO of the Saudi Pro League from 2013-2016, and a member of AFC Ad-Hoc Committee for Professional Clubs from 2011-2014.

Yasser Al Misehal PRESIDENT, SAUDI ARABIA FOOTBALL FEDERATION (SAFF)

LONG-TERM plans

BIO

Sultan Abdulaziz Alsheikh is the CEO & a board member of Al Hilal Club Investment Company, a wholly owned subsidiary of Al Hilal Saudi Football Club. He has led the investment company for more than five years and has over 12 years of experience driving marketing growth and executive management role in different industries. Prior to joining Al Hilal FC, he served as director of marketing in IDAC Mérieux NutriSciences. He was also marketing manager of Bank Al Bilad and CEO of an entertainment company in Riyadh. Alsheikh also serves as chairman of Sport Investment Committee in the Riyadh Chamber of Commerce & Industry. He holds a master’s degree in strategic marketing from the University of Wollongong in Australia and bachelor’s in marketing from King Saud University. He also holds other certificates in the areas of marketing, brand management, risk management, business planning, and more.

Can you shed some light on the activities of Al Hilal and Al Hilal Investment Company?

Al Hilal Sports Club is one of the most well-known clubs in the region and Asia; we have been working successfully for the last six decades. In 2019, we started a new approach, capitalizing on our plan to ensure we can generate and diversify our income and revenues. As a competing club, we need to have high revenues to ensure a consistent cash flow and income. Accordingly, in 2019 we established and founded Al Hilal Investment Company, the first company initiated and founded by a sports club. We are the investment, commercial, and marketing arm of the club, and we look after all its investments and commercial sponsorships. The commercial side of the entity focuses on consolidating and reinforcing our brand, which is extremely valuable, so we want to capitalize on it. On the technical side, we continuously invest in our talent, players, coaches, and management to ensure we are constantly raising the bar and reaching the highest global standards within the industry we are in.

Part of Vision 2030 is to diversify the economy and harness the strengths of the Kingdom. How would you characterize football’s contribution to the diversification of the economy?

Sport have truly become one of the major industries in Saudi Arabia; Vision 2030 places great importance on how sport can contribute to the development of the nation in terms of quality of life, public health, and tourism. Sports in general are becoming more ingrained in our culture; football is a popular game in Saudi Arabia, and Al Hilal has quite a fan base. In the last four to five years, the government has focused more on growing the sector and turning it into a real industry. It has restructured the industry, changed the regulations, set up many policies, and even made significant

contributions to support clubs and ensure they are able to succeed and represent the nation globally. The biggest goal of Al Hilal Investment Company is to increase and diversify the income of the club; from this perspective, it is clear the impact that sports can have on the economy.

How are you working to position your brand and, at the same time, elevate the reputation of Saudi Arabia regionally and globally?

In the last three years, Al Hilal Sports Club has competed in several international leagues, we have played in the Asian Cup three times and won two of them, and we have played in the Club World Cup twice, where we were ranked fourth. After winning the Asian Champions League and playing in the Club World Cup, we gained a great deal of recognition globally not only for our brand, but also for Saudi Arabia. The FIFA president in one of his conferences for the FIFA World Cup 2022 was asked by a journalist why Qatar, a Gulf country, was able to host such a huge event. The president, in his response, mentioned Al Hilal as a great example of a Saudi team that has significantly improved in just a few years. When the FIFA president spoke of progress, he clearly mentioned Al Hilal, and we are proud to be a successful ambassador of a growing nation. Now is the right time to establish Al Hilal as a global and lifestyle brand. This is the right time to enhance, revisit, and develop our brand. We want everyone to know Al Hilal has what it takes to be part of the football industry globally. We need to grow our market share, become a lifestyle brand, and establish a footprint in specific markets. We will start in the Gulf and then move on to North Africa, Europe, Asia, and then America. All this is part of our global term strategy in terms of being present in the market and capturing the market share in every single continent. ✖

Sultan Abdulaziz Alsheikh CEO, AL HILAL CLUB INVESTMENT COMPANY & BOARD MEMBER, AL HILAL CLUB

Al Hilal Club Investment Company is working on both consolidating and reinforcing its brand all over the world and continues to invest in its talent, players, and coaches to continuously raise the bar.

How does Al-Nassr contribute to the development of the sporting sector?

Investing in sports and specifically in football is in line with Vision 2030’s diversification plans: the new vision places significant emphasis on entertainment and sports, both areas that attract the critical youth population of KSA. We consider football as a window to display Saudi Arabia’s newfound social openness and diverse talents regionally and internationally. The industry is the perfect platform to attract private investment. Saudi Arabia is looking to make use of the well-established appeal of soccer to

boost the country’s international profile and inspire national pride. Al-Nassr Football Club, based in Riyadh, was formed in 1955, and we are an iconic institution in the country. We are proud to be one of the most successful football clubs in Saudi Arabia. With our victories, we constantly support to position and cement the brand of Saudi Arabia in the region and around the world. With our academy, we have been investing in talents and fostering new generations to identify and develop future leading players. We are also proud to be among the first clubs in Saudi Arabia to support the participation of women in the sporting industry. Via our activities, we not only fully support the empowerment of local women, but also encourage the young generation to actively participate in a healthy lifestyle. ✖

Musalli Mahdi Al Muammar CHAIRMAN OF THE BOARD OF DIRECTORS, AL-NASSR F.C.

Image: Alizada Studios

VA VA VOOM

Saudi Arabia has secured itself a place on the calendars of major off-road and track-race motoring events.

ANY FAN OF AUTO RACING will tell you that Saudi Arabia has huge potential for motoring. While the Arabian Peninsula is the quintessential location for desert rallying, the cities of the Kingdom are home to state-of-the-art tracks such as Jeddah Corniche Circuit, located off the coast of Red Sea, which now features on Formula One’s season calendar.

Many may be surprised to learn that Saudi Arabia is, relatively speaking, a newcomer to the field of motor sports, and it has made so much progress in no more than 15 years. Saudi Arabia Motor Federation (SAMF), based in Riyadh, is the governing body of motor sports in the Kingdom, and it was the launch of SAMF in 2006 that formally marked the beginning of auto racing in the Kingdom.

Soon after the inception of SAMF, the Kingdom’s motoring federation began supervising the activities of motoring enthusiasts as well as professional drivers and motorcyclists, representing Saudi Arabia in several international events. A new appointment in 2018 made SAMF even more proactive, when Sports Minister Prince Abdulaziz bin Turki Al-Faisal introduced Prince Khalid Bin Sultan Al Abdullah Al Faisal as the new chairman of the motorsport federation.

The new chairman had high hopes for SAMF, believing that attending international events was not enough, and Saudi Arabia should become a hub of motoring events in the region. Speaking in 2021, Al Faisal commented: “We are very ambitious. We want to be the home of motorsport in the Middle East; exciting our own people, creating opportunities and forging relationships with fans and partners from around the world,” according to the Eye of Riyadh.

Arguing that motor sports have a strong fan base in Saudi Arabia, Al Faisal added, “It is the second most popular sport in the country, and I see the eyes of our people and their reaction when they are at our races.” He went on to talk about a series of partnerships with international motoring associations such as the International Automobile Federation (FIA) to bring world-class races to the Kingdom.

One of the decisive moments in the history of motor sports in Saudi Arabia came in 2018 when that year’s edition of Formula E was held in Ad Diriyah, Riyadh, after an agreement between Saudi Arabia and FIA. Formula E is the world’s leading track-race championship for electric cars inaugurated in 2014. It has been receiving a great deal of media attention since its inception. “We wanted to

showcase Saudi Arabia to the world and show how it is changing,” recalls Sattam Alhozami, CEO of SAMF. And, sure enough, the 2018 Ad Diriyah E-Prix was a glamorous exhibition watched by over 23,000 spectators who had gathered at Riyadh Street Circuit. Since then, the Ad Diriyah ePrix has become an annual fixture on the Formula E calendar, with the event’s fourth edition successfully held on January 28, 2022.

Saudi Arabia has become the host of another major motoring event since 2020. The last few editions of the world-famous Dakar Rally have taken place in Saudi Arabia’s Empty Quarter. Hosting one of the world’s most prestigious off-road races is seen as a huge progress for the Kingdom’s motoring community.

Dakar Rally has seen a rise in its quality since decamping to Empty Quarter. “We have helped Dakar Rally not only host its event, but also upgrade the event internationally,” said Alhozami to TBY, adding, “We launched a new category called Dakar Classic, featuring difficult terrain.” Dakar Rally now stands as the first round of the World Rally-Raid Championship.

The Kingdom is now also part of the world’s ultimate motoring competition: Formula One. The Saudi Arabian Grand Prix was launched in 2021 in Jeddah. It was initially a provisional part of Formula One, but it has since become a fixture of the Formula One calendar. Jeddah Corniche Circuit, where the race takes place, has been praised by some drivers as Formula One’s fastest street track. It is estimated that race cars can travel at an average speed of 250km per hour on the Jeddah Corniche Circuit.

Motor sports in Saudi Arabia are inclusive of women. In March 2022, Saudi Arabia held its first-ever race for women. Under the royal patronage of Princess Reema bint Bandar Al Saud, Rally Jameel brought together “up to 30 teams of women drivers and navigators from Saudi Arabia, the GCC and across the globe will be taking part in the rally,” according to Arab News.

SAMF and its leaders have clearly done a remarkable job, putting the Kingdom on the calendar of three elite motoring events, though it is the popularity of motoring among Saudi spectators that will guarantee the future of the sport in the Kingdom.

Motor sports, meanwhile, will be more than racing for the Kingdom. As Alhozami points out, “When you decide to host the F1 race, it is the World Cup of motorsports. This means we want to show the world how ready we are for investment and tourism.” ✖

Rafeeh Entertainment Group We Change Entertainment

Rafeeh Entertainment

Group was founded by Albaltan Group with already having his feet cemented in the property and investment industries. Albaltan group saw a gap for entertainment and solutions services in the Kingdom and created Rafeeh Entertainment Group to be the new benchmark for how we see entertainment and solutions services in the Kingdom.

A NEW landscape

Sattam Al-Hozami CEO, SAUDI AUTOMOBILE

AND MOTORCYCLE FEDERATION (SAMF)

BIO

Sattam Al-Hozami has over 19 years of experience in multiple industries covering motorsports, insurance, industrial manufacturing along with leading roles in governmental entities. He has established and was a board member for several entities. Since his start in the motorsports sector, he has managed the operations of giga sport events in the Kingdom ranging from Formula One and Formula E to Dakar Rally in addition to local sporting events. He is also an active executive and board member for several institutions in private and government sectors as part of his role in the International Motor Federation, namely deputy member of World Motor Sport Council, CEO of Saudi Automobile and Motorcycle Federation, board member of the Saudi Motorsport Company, chairman of the 4Wheels Station, and many more.

What are the origins of SAMF, and how has the organization transformed in the last few years? SAMF was established in 2006 and has been developing gradually in sporting alongside the International Automobile Federation (FIA). A major development occurred in 2018, when the Sports Minister, HRH Prince Abdulaziz bin Turki Al-Faisal, appointed Prince Khalid Bin Sultan Al Abdullah Al Faisal Al Saud as Chairman of SAMF. As part of Vision 2030, one of country’s goals was to host international events, and one of the international events we decided to start with was Formula E. We wanted to showcase Saudi Arabia to the world and show how it is changing. We held Formula E in Ad Diriyah in 2018, and it was the most successful race for a world champion. From there, we opened a new chapter in hosting large international events. We then signed on to host the Dakar Rally in Saudi Arabia, and we have done multiple races so far successfully with FIA and ASO, a company that had operated in South America, Africa, and Europe. We got Jean Todt, the president of FIA, with us in Dakar in 2020, and ASO successfully signed with FIA to host a cross-country rally. We have helped Dakar Rally not only host its event, but also upgrade the event internationally. We launched a new category called Dakar Classic, featuring difficult terrain. With the success seen in Saudi Arabia, Dakar recently decided to join the FIA after 40 years, and now Dakar Rally is an FIA race starting in 2022. After that, we signed with Formula One, accordingly, we established a masterpiece track on Jeddah’s Corniche, the so-called Jeddah Corniche Circuit, and had been licensed by FIA as well. We did the first-ever worldwide electric rally there, which is extremely innovative. Our goals are bigger than just racing; we aspire to evolve the motorsport market in the Kingdom by developing media personnel, mechanics, electric experts, designers, physicists, medical staff, martials, and people who can build tracks and operate races. All across the sector, we are conducting trainings and educating people so that we can reach our goals. As the Crown Prince said,

it is not only about developing Saudi Arabia, but also other countries along with us. Our goal is to have the whole region catch up. It is a big ambition, but we have plans on how to proceed.

How do you see motorsports fitting into Vision 2030?

One of the goals of Vision 2030 is to host international events, have local champions, and train and dedicate investment to new drivers. We also need to focus on road safety, and we have laid out strategies for 10 and 20 years to reach those goals. Our passion is our driver for our achievement, whenever we set a goal, we reach it before the deadline. This means once we start working, we keep working until we reach our goals. Once we do reach that goal, we will continue to set new goals and millstones to best serve people and the country at large.

What does 2022 look for you, and what are your ambitions and plans?

We will continue following the programs and calendars that we have set for 2022 to host local and international championships. We are also working on creating our own IP and designing new races in Saudi Arabia that could be potentially exported globally. This is one of our goals for the next year. Our partnership with the FIA is the innovation fuel for the motorsport development, this will result in developing multiple initiatives revolve around micro-mobility in various cities. We are developing various ideas that can also be exported through our innovation approach along with continuing to host other motorsport events. Our aim is to become a key player in the motorsport field where other can follow in our footsteps. ✖

More than just being another location for motorsports events, SAMF seeks to turn Saudi Arabia into a reference in the region and world, with innovative ideas and events.

“We did the first-ever worldwide electric rally there, which is extremely innovative.”

the BIG PICTURE

SMC leads the development of motorsports in Saudi Arabia and the hosting of international events such as the FIA Formula One STC Saudi Arabian Grand Prix and the Dakar Rally.

What was the incentive behind the establishment of the SMC?

With the sport growing so rapidly in the Kingdom, the decision was made to create a commercial and operational arm to the Saudi Automobile and Motorcycle Federation (SAMF). Before the increasing demand for the development of the sport and the growing presence of international events, SAMF was the sole organizing and operational body. For its part, SAMF is the governing body of the sport in Saudi Arabia. SAMF is the organization that controls all technical aspects of the sport in the Kingdom while issuing permits, competition licenses, and managing the sporting regulations. It does not, however, have a commercial or operational capacity, and because of this SMC was established. SMC was launched in November 2021, when the Jeddah Corniche Circuit was under construction, and the Kingdom was preparing for the inaugural Saudi Arabian STC Formula 1 Grand Prix. The new organization staged the second F1 Saudi Arabian GP in 2022, and it was not until May that year that the company was able to function and begin work on the strategic plan for the development and growth of the sport in the Kingdom. In so doing, SMC complements the activities of its parent company SAMF and also acts more as a “sister” company working closely on the development of the sport.

In what ways will you support Saudi motorsport events?

Essentially, we have a blank canvas on which to develop motorsport in Saudi Arabia. It is a fascinating and unique project; few countries in the modern era have had the opportunity to establish a national motorsport program from

scratch. SMC is charged, along with the SAMF, to grow motorsport from the entry level. By managing the development of the sport, we are at the beginning of something very special. The attraction of international events such as the Formula One Grand Prix, the Dakar Rally, Formula E, and the Extreme E series helps us raise the opportunity of using motorsport as a platform to inspire a younger audience. These events, along with recently targeted events such as the FIM MotoGP and the FIA World Rally Championship, help us to raise both the profile of the Kingdom on a world stage and also use sport as a means by which to change perceptions and also crucially to engage the Saudi youth market. In addition to established international events, SMC’s vision is to create “Saudi-owned” events; events that will turn the traditional method of importing events through 180 degrees. This allows SMC to create our own IP with events that will not only form the basis for sporting competition in the Kingdom but ones that can be exported through the region and internationally. These initiatives are not purely racetrack or rally stage generated; there are others such as the Motorsport Awards that seek to reward young Saudi competitors on an annual basis, business networking seminars using the power of the sport to provide a vibrant stage on which to engage international business, and classic racing and concours d’elegance events. In turn, we are also looking to tap into the increasing interest in esports while broadening the understanding and promotion of environmental and sustainability projects in the Kingdom. The focus on Saudi-owned activities is core to the vision of engaging with young Saudi champions of the future across all mo-

torsport disciplines, who will benefit from racing and off-road academies that are being built in line with international and regional events. Our electric karting program, Saudi Young Stars, run in conjunction with former Ferrari and Williams engineer Rob Smedley, is designed to identify young talent of the future. Starting at the age of six, karting is being rolled out across the Kingdom with several karting tracks either being planned or under construction. More importantly, it is about creating an ecosystem for the development of young Saudis, giving them a chance to have a career in the sport. ✖

BIO

Martin Whitaker has enjoyed an extensive career in motorsport spanning some 30 years, including roles throughout the sport working for the governing body FIA and for Formula One Management as the communications manager for Formula One team McLaren and director of motorsport for the Ford Motor Company and its Formula One and World Rally Championship programs. In addition, Whitaker has held the role of CEO for the Bahrain International Circuit and the international racing series Australian V8 Supercars. He is currently the CEO of the SMC.

Martin Whitaker CEO, SAUDI MOTORSPORT COMPANY (SMC)

MANY accomplishments

What have been the milestones for CBX since organizing the first formula E event in Diriyah in 2018?

CBX has been instrumental in developing the portfolio of international sporting events in the Kingdom and brokering new commercial partnerships between local businesses and international sports rights holders, competitors, and promoters.

We have been engaged in motorsports since 2008, initially in Formula One and now in all sustainable motorsport events such as Formula E, Extreme E, and E1— the Electric Boat Championship—set to launch in 2023 with its inaugural race in Saudi Arabia. In 2018, thanks to the support of HRH the Crown Prince, Mohammed Bin Salman, and with the invaluable cooperation of the Saudi government, we organized our first Formula E race in Diriyah. This was a first international event, and a stepping stone for tourism in the Kingdom. Purchasing a Formula E ticket allows entry to Saudi Arabia. It was the first event to have a live international concert, mixed genders at the same venue, and where the abaya was not mandatory. It took a hundred days of incredibly hard work and coordination to make this event possible.

CBX has subsidiary companies that provide a long list of services. Can you elaborate on how CBX has evolved since its inception and what the company offers?

ment, LED screens, staff, activation solutions, and everything that is involved in the staging of races. Our marketing, PR, and communications services are now run by us. We have a commercial arm that handles sales, such as ticketing, hospitality, and sponsorships

How was the Formula E event a catalyst for the social and cultural evolution of the Kingdom and a showcase for achievements toward Vision 2030?

BIO

Canada-born Carlo Boutagy was studying economics at Concordia University in Montreal when he devised the means to bring motorsport fans closer to the action of the world’s most exclusive sporting series, Formula 1. After more than a decade at the forefront of international motorsport, Boutagy’s business CBX has expanded from Formula One across other elite motorsport series such as Formula E, Extreme E, and Dakar and beyond to other international sports including tennis. In 2018, CBX was appointed the sole regional promoter for Formula E in the Middle East.

At first, we were a company that held the rights to Formula One Fanzone, and all our services were mainly outsourced. However, in 2018, when we signed a 10year agreement with the government of Saudi Arabia and Formula E to host events in the Kingdom, we decided to go more in house bringing our expertise, knowledge, and skillset to the table. Today, STAMiNA—a sister company—organizes all of the logistics and operations for these events to enable the productive staging. Sharing a solid combination of knowledge and experience, STAMiNA is well resourced to execute major event design, experiential marketing, project management, and design capability, providing grandstands, traffic manage-

The initial discussion phase for the event took place in December 2017. We met Formula E in January 2018 with a view on hosting the event in 2019, giving us 18 months to organize it. However, HRH Prince Abdulaziz bin Turki Al-Faisal, the Kingdom’s current Minister of Sports, decided that the event would take place in 2018, serving as a catalyst for all of these future changes. The pressure was on us, but with HRH’s support, we accepted the challenge. There was a lot of work, logistics, and infrastructure that needed to be taken care of in terms of building a track, and also changing many rules and regulations. As this would focus the world’s attention on Saudi Arabia, a steering committee with ministers was established to align and facilitate the event. The FIA, the governing body of motorsports, operated under certain regulations. 20 years ago, Saudi Arabia had wanted to host an FIA event, but was unable to. But now, it was prepared to meet the FIA rules and regulations through amendments to certain laws and regulations. Basically, if women couldn't drive, we would never have had any motorsport event sanctioned by the FIA. One of the biggest national achievements under the current leadership is that women can now drive. Change happened so quickly that it was a surprise for the international community, residents, and locals. ✖

Carlo Boutagy FOUNDER & CEO, CBX

BIO

Maha Al-Juffali Ghandour is the founder, director, and supervising trustee of the Help Center, a family-owned NGO for persons with intellectual disabilities in Saudi Arabia established in 1985. She is also President of Special Olympics Saudi Arabia, Chairperson of the Jeddah First Health Cluster (Ministry of Health), and a partner and shareholder of E.A. Juffali and Brothers and M.O Gandour and sons. She has established multiple support groups for parents, educators, siblings, and adults with intellectual disability. Maha serves on an array of distinguished boards within the educational, medical, and social sector, locally and internationally.

Maha Al Juffali PRESIDENT, SPECIAL OLYMPICS

In 1997, the Kingdom inaugurated 16 clubs for people with special needs across various regions. Have these centers enabled people with special needs to participate to a wide extent in sports? We been doing this since 1994, though with Vision 2030, everyone has been galvanized. With the 16 different clubs, it was an extra push on what we already had established, and it has truly changed the view of sports, especially for women. In 2019, women for the first time participated in the Special Olympics in the UAE and for the Special Olympics games. In 2022, again, we are using these 16 clubs to recruit athletes from across the country.

Apart from sponsorships, how can the private sector support the Special Olympic Committee? We want an opportunity to set up inclusion programs with the private sector. We hope the private sector will also provide us with access to their facilities, equipment, and athletes to help support our inclusion objectives. We are also looking to build partnerships with the private sector to train their athletes and coaches

and expand their knowledge of athletes with intellectual disabilities. We have partnered with the Ministry of Health on the Healthy Athlete Program, which trains 40 doctors on dealing with individuals with special needs. We call on the community to help promote our work in the Kingdom, become supporters and donors, or even dedicate an afternoon and offer their skills to help us improve.

Saudi Arabia’s ambitious goal is to become a global sports hub. How is it enabling people with intellectual disabilities to participate in this journey?

In order for them to participate, we need to lay down the infrastructure. We are at the first stage of training the trainer, getting as many people as possible, both male and female coaches, and supporting our athletes to be part of this journey. We are starting with a small group of athletes who will participate, and we will slowly start working on increasing the number of athletes under the Special Olympics. We will work hard to flip people’s views about disability and Saudi Arabia. ✖

BIO

Hussam bin Abdulmohsen Al Huzaimi is the executive behind the scenes of the Saudi Falcons Club as CEO. With a strong background in hospitality and events, he guides SFC toward a clear strategic path to promote falconry as a human living heritage through several international programs and activations organized by the club. In his first years, Al Huzaimi, along with the support of his team, successfully attained the Guinness World Record for the largest falcon festival race tournament in the world, and the following year, SFC successfully broke that world record with a higher participation of falcons in the second edition of King Abdulaziz Falconry Festival.

Hussam bin Abdulmohsen Al Huzaimi CEO, SAUDI FALCONS CLUB (SFC)

What services and activities do you provide?

The Saudi Falcons Club was established by royal decree in 2017. And when we started out, we made a commitment to adhere to the needs of falcons and falconers in the Art of Falconry, operating on two pillars. The first pillar is to respect the falcons and practitioners of the Art and to create events and activities that appeal to falconers. It has become a need to bring innovation into the Art to meet today’s new generation. To enable this, we turned to technology. The Saudi Falcons Club holds an annual event called the King Abdulaziz Falconry Festival. It is a competition with SAR30 million at stake prizes based on two criteria: beauty and the race itself consisting of seven species and subspecies of falcons. We ensure that the falcons have all been bred in captivity, and have, therefore, not been derived from the wild. As a matter of fact, falcons are part of the Conven-

tion on International Trade in Endangered Species of Wild Fauna and Flora (CITES), whereby all falcons require CITES certification confirming that they have been bred in captivity.

What distinguishes you from other clubs in the region?

It is not what distinguishes us, but more about the responsibility we hold. We are the largest falconers’ group in the world in terms of the number of falconers actively practicing in falconry. This comes with responsibility, and we need to adhere to their needs and stage events that preserve the tradition. Our strategic plan rests on two pillars. The first is promoting falconry as a part of our heritage and culture, ensuring that our activities and events attract the young generation. We hold the King Abdulaziz Falconry Festival for the falconers, which ensures the sustainability of the hobby. The second pillar concerns preserving falcons and their environment. We ensure that Falcons in the wild are taken good care of. The Hadad Program, our environmental world initiative, is tasked with this. The Saudi Falcons Club launched the Hadad Program to return falcons to their original habitat by reviving nests in the wild and increasing their population. ✖

raising THE BAR

MAHD Academy has worked hard to boost sports participation at the grassroots level and raise the standards of sporting excellence in Saudi Arabia.

Can you tell us about the internal motivation behind establishing the academy?

We have Vision 2030, and one of its KPIs is increasing mass participation in sports and having a greater representation of Saudi Arabia in international events. That percentage has increased, and we also need to find talents to represent the country. MAHD is a center of excellence and is meant to boost grassroots talent development, both boys and girls in the Kingdom, from all cities. PE teachers identify them in the schools and competitions, and parents can also register their own children. If they have potential, we will provide the best teachers, coaches, and programs to train the children to represent the national team at international events. That was the reason behind creating the academy.

What is your strategy to find and cultivate the talent, and do you have a physical infrastructure?

Finding talent is the first step to creating champions. Afterward, we find the PE teachers and coaches, though, in a big country like Saudi, it is not easy because there are a huge number of cities and towns. There are more than 6 million students in elementary schools, which is the main target, starting at six years old. We collaborate with more than 20,000 PE teachers in Saudi. We began as a pilot in Riyadh with 1,000 PE teachers. We have 25 sport ministry branches across Saudi Arabia with complete infrastructure and teams, and we train the talents there. We are building new and advanced facilities in Riyadh that will be completed in 2024.

Do you have a particular focus on certain sports?

We have more than 20 sports. In Phase I, we focus on football, handball, gymnastics, karate, taekwondo, and judo. We have two categories: from the ages of six to nine, children generally play all types of sports and improve fundamental movement, including group and individual sports. Later, they tend to focus more on one specific sport. For example, handball is played more in eastern Saudi; it is part of the culture in that region, and therefore we have many talented players from the east. Martial arts are done across the country; we even won a silver medal during the Tokyo Olympics.

It takes years, even decades, to see the fruits of this kind of effort. So how do you measure progress in your academy? There are no shortcuts in sports. Medals are a long journey, including thousands of hours of training and many wins and losses. The academy focuses on the generation that started in 2008 to win at the 2025-2026 Asian Cup and qualify for the next World Cup. We selected coaches who are the best in the world from all nationalities. This group of talents will be our first generation. We will train around 500,000 talents in our 25 different facilities in 25 different cities. We have more than 20 collaborations with other entities and organizations related to sports. We invite clubs worldwide to play here, in different sports. We are investing in more than 15,000 talent scouts around the country, either full-time or part-time.

Where does sport fit into the broader vision of the country for 2030?

Vision 2030 gives us the energy to work long hours every day. The country is motivated to move forward in every sec-

tor—tourism, culture, sports, and entertainment—and attain the goals laid out in the vision. In the last 40 years, we have been one of the top countries in Asia. We have won the Asian Cup more than three times since the 1980s. We are, therefore, motivated to enter into more international competitions and not only in Asia or the GCC. We want to have achievements, championships, and medals. When Saudi won the medal during the last Olympics, everyone was extremely engaged—the private sector, the government, and the population. Everyone is excited to win medals for the country, and this process is key to our national pride and international recognition. ✖

BIO

Abdullah Hammad has been President of MAHD Academy since 2020. He is also a General Director of the Leaders Development Institute, which prepares future leaders in the sports field for over 90 federations with educational courses and programs. He received his bachelor’s degree from France with a degree in management, majoring in coaching 2008 from SKEMA Business School. He holds a master’s degree in sports management from Johan Cruyff Institute in Amsterdam and C, B, and A coaching licenses from UEFA, the best level of license a coach can acquire in the world.

Abdullah Hammad PRESIDENT, MAHD ACADEMY

MAHD A CADE MY

developing COMMUNITIES

With the large amount of infrastructural work upcoming in the Kingdom, ROSHN is building a nationally significant, full service real estate company to drive growth across a wide range of asset classes.

What is the focus of ROSHN, and how is the company aligned with Vision 2030?

One of the key objectives of Vision 2030 is hitting 70% home ownership by 2030. In line with our mandate, ROSHN was formed to produce homes quickly all around the Kingdom. We initially focused on developing low-cost homes, and we have since shifted the DNA of the business to develop homes at the right market price compared to competitors with a rich array of amenities. Typically, Saudi homes are built from scratch and are designed to enhance private living, offering few community amenities. At ROSHN, we are changing the real estate landscape with integrated, highly liveable mixed-use communities. Our developments foster human connection with lively town centres and shared spaces. We are building walkable cities and setting new quality standards that underpin the vision of a new lifestyle that is at the heart of our brand. We are building over 2,000 schools, 1,000 mosques, thousands of retail and commercial units, hospitals, sewage treatment and power generation plants all to support a new standard of mainstream development in the Kingdom. We are crossing every sector in real estate to ensure our communities provide unparalleled value to residents. ROSHN’s development pipeline is also supporting the Kingdom’s economic growth and boosting local economies, generating investment opportunities, catalysing supply chains, and creating new jobs. We are securing partnerships with domestic and global entities, both public and private, that provide us with best-in-class solutions to ensure

efficiency and quality in construction. By empowering local partners and suppliers we are establishing strong and sustainable supply chains, helping to maximise the Kingdom’s retention of capital, reduce the risk of external shocks, and diversify domestic investment.

How are you working to consolidate ROSHN as a brand both locally and regionally?

ROSHN is a strong Saudi brand. We are focused on bringing a new way of living to the Kingdom, building a globally significant, full service real estate company to drive growth across a wide range of asset classes. We are spearheading the development of the national real estate and construction industry and aim to become a national champion, a driver of change, and an innovation accelerator. While we work to achieve of our mandate, we are guided by the ambitions of Vision 2030 to ensure our work contributes to the benefit of the Saudi society. Our support of strategic events, partnerships, and sponsorships foster our vision to enhance the value we provide to society at large across a wide range of sectors including sports, entertainment, healthcare, security, education, sustainability, and quality of life. Our partnership with the Saudi Sports for All Federation supports the Vision 2030 goal of increasing physical activity in the Kingdom. While we actively sponsor events by the Federation that encourage inclusive, community engagement and promote physical activity and wellbeing, the Federation will operate and maintain a series of sports domes within ROSHN communities, bol-

stering the array of leisure and entertainment amenities that ROSHN offers its residents. We have also sponsored the Saudi Pro League, the F1 Grand Prix in Saudi, and the Liv Golf Invitational Jeddah Series to promote active participation in sports and entertainment throughout the Kingdom. Our participation in the Kingdom’s biggest entertainment event, Riyadh Season, has become a key element of our drive to raise the quality of life of all Saudis. As we continue to solidify our brand and further our vision to build fully integrated, human-centric communities and lifestyles through collaboration, one of our goals for the future is to become the model against which other entities measure their success in their ability to both achieve organisational goals and contribute to the betterment of society. ✖

BIO

David Grover has almost 35 years of experience working across masterplanned projects. Prior to joining ROSHN, he served as a group board director at Mace Group in the UK. Grover also held the position of CEO of Mace Developments. He has extensive experience in the delivery of complex, large-scale, high-profile development programs in Europe and Asia, including the London 2012 Olympic Games, Canary Wharf, the Shard and Paddington Basin, in addition to multiple infrastructure and mixed-use projects. Grover received a bachelor of science degree in quantity surveying from the University of Birmingham and a master of science specializing in construction law from King’s College London.

David Grover CEO, ROSHN

SETTING the standard

Samer Issa-El-Khoury MANAGING PARTNER, STAMINA PRODUCTIONS & IEK DESIGN & PROJECT MANAGEMENT

Can you give us a brief overview about yourself and STAMiNA Productions?

IEK has been recognized both locally and internationally for its achievements in participating in the construction of the Formula E and F1 racetracks in Saudi Arabia at a high quality in a record time.

BIO

Samer Issa-El-Khoury, an experienced Canadian engineer and businessman, built a name for himself delivering the Formula-E race track in Riyadh in 2018. While STAMiNA continue to evolve the Diriyah venue and offer subsequent editions of the Diriyah E-Prix, Issa-ElKhoury has also taken a pivotal role in developing venues across a broad range of sports in the Middle East and internationally, not least the Jeddah Corniche Circuit, home of the F1 Saudi Arabian Grand Prix in 2021 through a partnership between IEK and a local construction company.

After Saudi Launched Vision 2030, sports, culture, entertainment, and tourism started to gain traction in Saudi Arabia, with the first international event to be staged in Saudi was Formula E in December 2018. We brought that championship to Saudi, and because there were no previous events of that scale, there were no companies able to handle the production. We created a company to cater primarily to that event, as the Kingdom had signed a 10-year contract to host Formula E. The idea was to create a local company, this was behind the establishment of STAMiNA. Along the way, we participated in the production of all kinds of events from the Dakar rally, Extreme E, Formula One, and other iconic projects in NEOM, Diriyah with DGDA, and with the Public Investment Fund. Our latest executed projects in the past quarter were the 2022 IHF World Men’s Handball Championship with the Ministry of Sports, the Grand Prix Revival in Dubai, the CEER event launch (the newly established Saudi electrical car factory), and the year-long ongoing projects with NEOM and with Diriyah Gate Development Authority. Today, STAMiNA exports all the experience it has built in Saudi to deliver projects across Europe, Asia, and Africa. Initially, the trend was to have international companies bring in their expertise to Saudi. Yet with Formula E and the experience of the Stamina team, we were ultimately exporting the Saudi experience to extend support to Formula E in Seoul, Morocco, Jakarta, and Berlin, which makes me particularly proud, being one of the few companies to do so. For Formula E, STAMiNA won the Best Sporting Event of the year award in 2019. In 2021, we won the best light and sound production award show for Dakar 2021.

Can you elaborate on the construction aspect, as it entails a unique skill set?

Because of my background, education in engineering and career in Saudi since

2005 working in construction, specifically in infrastructure projects building airports across Saudi Arabia, I am an expert in the ecosystem of construction in Saudi. This was crucial during the construction of both the Formula E race track in Diriyah in 2018 and the Formula One racetrack in 2021 in record times in which my project management company (IEK) partnered with a local construction company to successfully build it. With such projects, decisions have to be made on-site. This is basically how a local construction company that teamed up with us was successful in delivering the F1 track in seven months. Our contribution is enabling them to understand how rush projects funding works; how state bureaucracy works between construction departments, events departments, and finance departments; decision-making process within stakeholders and government entities; and an unmatched level of flexibility that is crucial to succeed in Saudi Arabia.

What is your assessment of these opportunities and how will the industry evolve?

In my opinion, Saudi Arabia is the biggest market worldwide for entertainment, sports, culture, and tourism. We witnessed the World Cup in Qatar and Expo in Dubai in 2022, but on Saudi's calendar, the events happening are across all industries and ministries and throughout the year. The Quality of Life program, entertainment, sports, culture, and tourism has a budget of billions of dollars per year. The opportunities are massive, but they will only be available to companies established in Saudi Arabia. Formerly, you could be based in Dubai, Europe, or the US, while now the priority goes to local companies. In Saudi Arabia, there is a guarantee of return on investments. There might be some delays but the key is never to stop the project because of a financial matter. We learned to work and build trust over time with our financial partners and suppliers so money is never a bottleneck in those projects. The rules of engagement, in my opinion, will change. The clientele scope is enlarging, and we're diversifying beyond sporting events because it is clear that the need for production companies goes beyond sports and entertainment. ✖

The fastest racetrack built on the foundations of Al Safwa cement

QUALITY first

Working with the best materials, technology, and team available, Abniya has delivered many successful projects in several sectors within the Kingdom.

Khalil Awada PRESIDENT & COO, ABNIYA

Can you introduce the operations of Abniya?

Abniya is a general contracting company based in Riyadh and serving the MENA region. We specialize in civil construction, industrial automation, and electro-mechanical turnkey projects. At Abniya, we are committed to helping clients reach their handover target with the best quality services and equipment, highest safety standards, and lowest risk mitigated. Today, we aim to deliver world-class sustainable projects, in line with the Kingdom’s 2030 Vision and our corporate social responsibility strategy. Quality partnerships are the base of our business. The company establishes long and quality-based relationships with its clients and subcontractors to ensure high customer satisfaction.

The Kingdom’s real estate and construction sector has seen an acceleration in development. To what would you attribute this acceleration, and how has Abniya seized on this opportunity?

Sports is an important part of Saudi culture, and the country participates in many international sporting competitions. The value of Saudi Arabia’s sports event industry is growing by 8% per year estimated to be USD3.3 billion by 2024, according to Ernst and Young. The Kingdom is encouraging the growth of this field by offering affordable facilities for everyone. We at Abniya are extremely proud of developing—on the construction side—the multipurpose SFA Dome in Dammam that was launched under the auspices of His Highness Prince Khaled bin Waleed. We are also working on exciting upcoming projects which we are keen to accomplish perfectly and meet all the international standards from design, quality, safety, and execution.

BIO

Khalil Awada is President & COO at Abniya. He is responsible for the management and oversight of Abniya’s global operations, is chairman of the operating committee, and serves on the company’s board of directors. He is based in the company’s corporate headquarters in Riyadh, Saudi Arabia. Awada has held a series of executive leadership, operational, and management positions over the course of his 20-plus year career with various companies.

Saudi Arabia is witnessing a golden age in growth and development specially in the fields of construction and real estate. The strategic and wise Vision 2030 is taking the country to a different level in all sectors, especially in our field. The Ministry of Housing plans to build 300,000 housing units in the coming five years in partnership with the private sector. On the commercial side, there is a huge demand in the market for offices due to all the incentives the government is offering to attract multinational and foreign companies to open their headquarters and businesses in Saudi Arabia. The Kingdom has a population of 30 million individuals, of which 70% are under 35. Abniya is implementing growth within the company itself by hiring brilliant Saudi talents, offering them consistent training in addition to using new systems in building our projects to keep up with the international standards and competition. We also resource the best technologies and new systems that help us deliver impeccable projects within the requested timeframe.

In terms of partnerships and projects, what are Abniya’s efforts in accelerating the development of the sports sector in Saudi Arabia?

The Kingdom has taken significant steps to scale up its climate action and environmental protection. What are Abniya’s contributions to the Saudi Green initiative?

We believe in the Kingdom’s green initiative, as the “green construction” will help the planet and preserve precious natural resources which will lead to improving our health and quality of life. At Abniya, we took the lead to implement some rules in line with the green initiative of the Kingdom such as using efficiently the energy, water, and any natural resources. We are also implementing solar energies in all our upcoming projects, recycling waste where possible, using sustainable materials when available, and always considering the environment when we design a project.

What are your strategic priorities for the year ahead?

Our priorities will always remain our clients, and we continue to offer them outstanding services and high-quality projects. Our growth in terms of experience, team, and innovative solutions remain a strategic priority for us as we aim to play a major role during this exciting phase of the history of the Kingdom. Our priorities and commitment to the work of ethics and the high integrity of our subcontractors and staff makes our mission possible. ✖

MONEY IN THE GAME

Saudi Arabia’s massive investments in sporting events, sport infrastructure, and sport clubs are intended to create an entire sports ecosystem and ultimately a sports economy.

SINCE THE LAUNCH of Vision 2030, the sporting events industry has been growing in the Kingdom. From high-profile boxing matches in Jeddah to world-class horse races in Riyadh and the Dakar Rally in Empty Quarter, the country has witnessed numerous fine sporting events since the late 2010s.

Saudi Arabia has upped the game since 2020, becoming part of the elite sports industry. “In 2021, the Kingdom inaugurated its crowning glory—the Saudi Arabian Grand Prix—firmly establishing itself as a leading venue for international sports events,” according to Arab News. In yet another instance, the Kingdom’s horse racing competition, Saudi Cup, is now offering a prize money of USD20 million.

Many believe the rise of sporting events in Saudi Arabia is the result of the socioeconomic reforms championed by HH Crown Prince, Mohammed bin Salman, as well as his emphasis on creating an exciting entertainment scene in Saudi Arabia. A lucrative entertainment industry can contribute to the diversification of Saudi economy.

The sporting events industry has been fairly profitable lately and has the potential to be worth USD3.3 billion by 2024, according to Ernst & Young (EY). Although the sector is currently growing at the reasonable rate of 8%, the government is determined to raise the figure to over 40% through investment.

“Saudi government has announced significant investment commitments of USD2 billion in sports by 2024, USD670 million to support private sector sports clubs, and USD320 million investment for private sector clubs’ sponsorships until 2023,” according to EY. In an interview with TBY, Prince Abdul Aziz Bin Al Faisal, Saudi Arabia’s Minister of Sports, pointed out the importance of the “economy of sport,” adding that the sporting industry is a major source of spending in the country.

To have a vibrant sports economy, however, a nation needs to be truly engaged in sports; sport venues need to be accessible to all to create a culture of physical activity; and there needs to be a sports ecosystem in place. The government is evidently prepared to invest in creating a such an ecosystem. “That is our strategy for Vision 2030, and everything falls under that. When talking about the contribution of the government toward developing the sports infrastructure, making sure that we have the right setup in terms of regulations, rules, governance, and facilities,” added Prince Abdul Aziz Bin Al Faisal in his interview.

The regulatory framework, too, has been adjusted. With the Kingdom’s Sports Authority being upgraded to a government ministry, the sports community will be in a position to ask for better regulations. One of the new regulations facilitates the format of new sports

clubs.

Opening a club was fraught with bureaucratic challenges until not long ago, but “now one can log in on a website called NAFTA, fill in the all the required documents that are required, and you have a club,” according to Prince Abdul Aziz Bin Al Faisal. Before the launch of NAFTA, some 170 clubs were registered in Saudi Arabia, which were all state-owned. Currently, however, the ministry is in the process of handling over 100 new applications from private sector investors.

New sport clubs will need new venues. As such, we have seen a wave of investment in sport facilities. In 2021, the Jeddah Corniche Circuit was inaugurated, and it was soon dubbed the world’s fastest street racing track. More world-class sport venues are underway. In July 2022, billion-dollar design and engineering contracts were awarded for the Jeddah Central stadium, which will be yet another glamorous venue.

Investing in the sports economy must not stop us from seeing sport as a healthy way of life for the citizens. Saudi Arabia’s Sports for All Federation (SFA) has been working toward shaping “a healthy and active community,” for some years now. “We have gotten all segments of Saudi society up and active, and we have turned participants into advocates. We are proud to be the team motivating people across the country daily,” pointed out Prince Khaled bin Alwaleed bin Talal Al Saud, president of SFA.

In keeping with the Kingdom’s Vision 2030, sport facilities for women and children are being constructed to complement the existing infrastructure. And to promote the sports culture among women and youth, the Kingdom is in the bidding process for a number of women’s sporting events. “The Kingdom has now set its sights on hosting the AFC Women’s Asian Cup in 2026 and the Asian Winter Games in Saudi Arabia’s planned megacity of NEOM in 2029.”

Many of the elements needed for a lively sports culture are now in place: privately owned sport clubs, investment in sport facilities, and world-class events. The fact that Saudis from all walks of life are taking a keener interest in sports is a positive omen, indicative of the sports economy’s capacity for organic growth.

Investment in human capital should not be neglected either. “We continuously invest in our talent, players, coaches, and management to ensure we are constantly raising the bar and reaching the highest global standards within the industry we are in,” Sultan Abdulaziz Al Alsheikh told TBY. The approach adopted by Al Alsheikh’s organization, Al Hilal Saudi Football Club, is increasingly—and fortunately—emulated by many organizational stakeholders in sports in the Kingdom. ✖

A BOOMING TRADE

Saudi Arabia’s fitness sector is booming thanks to a young, active population and a supportive investment environment.

Source: Portas proprietary data. Portas is an advisor to local and international investors in the sport and fitness sector

AN EXAMPLE to follow

Adnan Al Khalaf CEO, LEEJAM SPORTS COMPANY

How are Leejam’s vision and mission aligned with the objectives set out in the government’s agenda?

Vision 2030, the Quality of Life Program and the new national sports strategy combined with the events related to mass participation and Sports for All Federations have supported us and are accelerating our initiatives, scaling up our services. Vision 2030 has made us more confident, as there is a national vision behind our operations. We have tailored our new strategy based on Vision 2030 and will be taking further steps by investing more in making the business more sustainable and not just limiting it to the commercial side and profits. We are focused on how we can add value to the community and connect it to the quality-of-life initiatives related to people’s habits, their food consumption, and healthy lifestyles. We want to be part of the change. In general, the vision affirms our direction and allows us to step outside of our boxes. We are working on our offerings with more than 14 sports and fitness programs, and we expect to diversify our offering to more than 50 programs. For example, we have started providing diving courses and operating paddle courts in our gyms.

More than just offering physical areas for sports and fitness, Leejam wants to provide members with the full experience and encourage healthier lifestyles.

understand our customer’s behaviors, and we are here to make people’s lives better and enhance their healthy lifestyles. Earlier, we announced our target to have 500,000 members by 2025. This is achievable but we really want to make sure it is not all about the number. We are also linking it with other additional matrices to make a real change.

What is your strategy to boost female participation in sports?

We have our concept for the male segment and already know in detail the segment by age, group, region, and preferences; however, within the female segment, we are still in the discovery phase in terms of what our female clientele want. As we are the largest operator, and we take this seriously, we continue to learn their preferences, which part of the gym they use the most, and so on. We have invested more in that area since we discovered the segment here. In July, we partnered with the largest group exercise operator worldwide to provide its offering just for women. The women segment is an untapped market. Even if we are operating with 40 gyms, it is still underexplored. This is definitely a segment that we will focus more in 2023.

BIO

Adnan Al Khalaf holds an Executive MBA from Alyamamah University and a master’s degree of international business management from INSEEC business school. He has over 20 years of management experience.

Prior to joining Leejam Sports Company, he worked in a number of executive positions as CEO and vice president in a number of companies in the medical, services, manufacturing, retail, and distribution sectors, the last of which was with the Saudi Telecom Group (STC).

In 2021, the company recorded a 10% increase in memberships. What specific initiatives and activities have you targeted to attract the highest number of individuals into the sport industry?

Leejam and Fitness Time have added value to our community. Many international giants came to the market some 20 years ago and run their businesses without having a tailored approach to the local markets. This is what we are here for. We understand what drives members to sign up, renew, and remain with us. For example, we discovered that most youths work in malls, F&B, or retail until late at night, and we, therefore, started 24/7 gyms to target this segment. We will also work to attract more and more women to sports. We want to encourage them to continue doing sports and be healthy. We

How can technology support the creation of modern, appealing spaces?

We have applied technologies to track the workouts from the equipment that we are buying. We work with leading brands to integrate physical activity with technology. Our board recently approved our digital transformation strategy for the next three years, and it is called The Connected Gym. Whatever we will do now will be connected to the system in general, so we can let our members track what they are doing while ensuring a seamless experience. We have looked at examples from around the world, from Miami to Singapore and Australia. We can have an edge in terms of being pioneers within the fitness industry worldwide. ✖

BIO

Justin

Justin Musgrove CEO, CORE LIFE

CORE Life is a Saudi hospitality brand with diversified investment. Could you give our readers an overview of the company and what led to its inception? Vision 2030 seems to underpin everything that we do in Saudi Arabia, but the CORE vision came from Sheikh Abdullah Kamel, our chairman, and also the chairman of Dallah Al Baraka and Kun Investment Holding. CORE Life consists of five verticals: the CORE social wellness club, a six-star facility, the first of its kind globally; F&B consisting of Encore restaurants, Encore 360, and our catering service for home-based private functions; hotels and retreats, which we soon provide with our first project, CORE Beach, opening early 2023; adventure and excursions via our luxurious motor yacht, aptly named CORE Yacht, based in the Formula One marina that travels to Egypt and up and down the beautiful Saudi coastline of the Red Sea; and CORE Activewear, which we will launch in 2023 through collaborations with high-end designers for our brand of exclusive athleisure wear.

CORE’s target is an exclusive community, locally and internationally. How do you reach this high caliber clientele in creating awareness about CORE Life? Typically, the number one reason for joining a gym or a wellness facility is its proximity to the home or office. With CORE, it is slightly different. People are willing to travel further for

special experiences. A good proportion of our members are affluent; some have their own gym, trainer, and chef. So why do they come to CORE? It’s for the lifestyle and having the opportunity to mingle with like-minded people, in a special community. Our membership requirements are rather strict. There is a committee dedicated to approving membership, so it is more like an exclusive golf club. It is not about the level of wealth; it is about the right fit within the community. Getting the right mix of members for CORE is of paramount importance. In terms of reaching our select clientele, we do not actively market, and we typically offer no promotions or discounts. Generally, word of mouth is our number-one form of marketing, with members referring friends and family, which is a norm in the fitness world. We also have a social media presence.

How do you see the future of Core Life in Health and Wellness market in the short term?

CORE remains a very new product, just two years old. The short term is about perfecting our proposition, getting systems and procedures to ensure consistent, and quality execution in everything we do. This is critically important if we are to venture to new territories. Importantly, we have to define our strategy, looking at both short, medium and long term. Given our marketing is low key, our reputation is everything, so ensuring our ever-increasing member base are delighted with what they receive, we hope our members become our greatest advocates of the brand. ✖

Mohammed Fayez CO-FOUNDER & CEO, ARENA FITNESS INNOVATION

What prompted the establishment of Arena Fitness Innovation?

I have long had a passion for sports and had the opportunity to start up a new business with my partners, who are also big fitness-avid individuals. Our mission is to change people’s lives and raise awareness of the benefits of being well and fit. We have noticed a stronger tendency toward this after the pandemic. Arena’s inception came prior to Vision 2030; however, when the Vision was announced, we were at the forefront of passing on the torch and being able to hit the KPIs set for quality of life by the vision.

How is Arena helping athletes reach their goals?

As the president of the Jujitsu Federation, I have had the opportunity to assist the federation since it started in 2018. We scout individuals and identify the potential talent. Then, our trainers are made available to train those individuals. When we started the federation, there weren’t any trainers, and we had limited resources. To jumpstart everything, it made sense to give the federation a hand and give access to mats at Arena, as well as the trainers until we could get things up and running. Providing them with these resources will help them excel and achieve better results in whatever competitions they enter. Meanwhile, we also sponsor many non-federation athletes who compete in regional and international commercial tournaments. These athletes wear our brands as well as representing Saudi Arabia under a different banner and showcase the Kingdom’s athletic potential. ✖

Musgrove is the CEO of CORE Life, a unique proposition in luxury lifestyle and wellness operating in Saudi Arabia and Egypt. CORE has ambitious plans to take its model to some of the most prestigious cities across the globe. Formally, he was CEO of Leejam, the largest fitness operator in the Middle East. Prior to that, he was CEO of The Bannatyne Group in the UK, responsible for health clubs, spas, and hotels.

helping HAND

Having partnered with the major entities in sports in Saudi Arabia since 2015, Portas Consulting has played an important role in the revolutionary growth of sports in the Kingdom in the last few years.

Can you elaborate on Portas Consulting’s mission and operations in Saudi Arabia?

We are a management consultancy focused exclusively on serving senior leaders in sport. Our people believe in the power of sport to improve society and drive change. Our first project in Saudi was the strategy to increase participation in 2015, when the transformation of the sports sector was at its early stages. The Saudi vision, aspirations, and ambitions for sport are inspiring, and aligned with the reason we exist as a company. We invested heavily into developing a Saudi office and have been fortunate to have been a part of the transformation journey over the last seven years. We also have offices in Europe and Asia, serving global sports clients through our expertise-based practices, which include public sector, major events, investments, sports federations, football, women in sport and sporting infrastructure.

How is your portfolio composition evolving in the private and public sectors?

Initially, a great deal of our work was at the national level, setting the policies, plans and foundations for success. Now, we are starting to see more implementation focused projects, particularly at the regional or city level. The Ministry of Sports has put in place the framework to support the rest of the ecosystem in developing their plans. For example, its sports club transformation program has led to better management, governance, and sustainability among the clubs. As a result, these clubs are now coming to us for advice on how to transform. The same is true for sports federations. The Ministry of Sports and Saudi Arabian Olympic and Paralympic Committee have put in place transformation pro-

grams to support the development of over 100 sports, and sports federations are seeking assistance on that growth journey. The private sector is also growing, with many large Saudi conglomerates taking notice of the revenue potential of the sports market.

How will you shape your competitive advantages and ensure a leading position in the sector you are operating in?

Local presence has been extremely successful for us. We have been extremely fortunate with our local hires, and many of them have gone on to work in senior roles within the Saudi sports ecosystem, which we are very proud of. The success factor is being willing to invest in building local talent. While it is important that we are a global company that brings best practice from around the world, the future plan is for Portas Arabia, our KSA based entity, to be led by Saudis; the transition is happening.

What are the opportunities in investing in private entities and sports?

From the investors perspective, there are over 80 investment areas for them to choose from when considering the sports sector. Growth potential is a key decision-making factor for investors. If you take the gym market as an example, the penetration rate of gyms in Saudi is around 6%, compared to 18% in the UK, showing the significant room for growth. Our prediction is the gym market is worth about SAR12 billion by 2027, and we see many new investors, local and international, coming to us for advice. Beyond fitness, the government is promoting investment into every sport. There are 100 sports federations and committees now, and every investment area that a

sport needs to grow will thrive, including event management, facility operations, talent management and sports retail, to name a few.

What are your biggest priorities?

Our main priority in Saudi is to embed ourselves as a truly local business in every sense, with a strong focus on capability building. It is a long-term commitment. Riyadh is our regional headquarter and our fastest-growing office globally. We have been extremely fortunate in Saudi to have partnered with the major entities in sports and feel privileged to be part of the ongoing change journey. We truly believe there is no more exciting place to be in the world of sports right now. ✖

BIO

Donal McElwee leads Portas Consulting in the Middle East. He has worked on 70-plus engagements in the Saudi sports sector since 2015. Prior to Portas, worked in general management consultancy and corporate law in the UK and US. He is a graduate of Harvard Law School and the Wharton School.

Donal McElwee PARTNER & HEAD OF ME AND AFRICA, PORTAS CONSULTING

FRONT AND CENTER

With the attraction of major sporting events, Saudi Arabia is developing one of the region’s leading industries around sports promotion and marketing.

SPORT IS ONE OF THE pillars of Vision 2030, the roadmap with which Saudi Arabia seeks a profound economic and social transformation that will enable it to reduce its dependence on oil. On the one hand, it seeks the participation of the Kingdom’s citizens in sports activities to improve their health, as the proportion of individuals who exercise at least once a week is expected to increase from 13% of the population to 40%. But it also aims to make Saudi Arabia stand out as a leader in competitions in certain sports at a regional and global level.

“We focus on three areas, one of which is mass participation. The second area is getting elite and amateur athletes to succeed and represent the country and have them at the highest level of international sport. The third aspect is the economy of sport, which is significant and keeps spending in the country,” said Sports Minister Prince Abdul Aziz bin Al Faisal during an interview. “Events are one of the vehicles that we use to achieve these three goals that we are targeting. This can be seen in the economic impact that hosting a Formula One event has had. We did not just host the event; we upgraded the entire Corniche in Jeddah,” he added.

The increased importance of improving sports marketing campaigns and strategies is critical for the country to communicate this transformation. This is a key step for the Kingdom to position itself as a protagonist of major sporting events, such as the Formula One Grand Prix or the 2022 summer bout between Oleksandr Usyk and British boxer Anthony Joshua. By successfully hosting these international events, Saudi Arabia is making progress in boosting that image to position itself as a regional hub for top-level sporting events.

Another important sporting event held in the country is the Spanish Super Cup, a tournament that has taken place at the King Abdullah Sports City stadium in the city of Jeddah since its 2020 edition. Each year, the two top-ranked Spanish teams from the previous season’s La Liga and the two finalists from the King’s Cup travel to Saudi Arabia to compete for the trophy. Since its creation in the Kingdom, teams such as Real Madrid, Barcelona, and Atlético de Madrid have participated. The presence of football clubs at this level helps the marketing and promotion of Saudi Arabia as a country in the region where high-level competitions are held.

“Sponsorship also plays a part in companies sponsoring the league and Saudi Arabia Football Federation (SAAF) and contributing to the income of the clubs and the federation as well. Hosting big matches such as the Spanish Super Cup attracts a good number of

tourists, which aligns with the Vision 2030,” says Yasser Almisehal, president of SAFF. According to Almisehal, football’s contribution to GDP jumped from roughly SAR2.4 billion in 2016 to SAR6.4 billion today. “Today, there are almost 20,000 full-time jobs in the sports industry, plus another 60,000 indirect jobs,” he added to highlight the economic impact of this sector.

“We brought on board Aramco as the title sponsor of the tennis tournament during the Riyadh Season. We brought on board Zain Telecom as the title sponsor of the consumer fair that was in the Riyadh Season. There were several other sponsors as well and raised over SAR55 million for the general sports authority,” says Dave McCann, CEO at Rise Group ME, a marketing and commercial services consultancy. This firm, which is in charge of creating sponsorship strategies and packages for the Saudi Pro League and the Ministry of Culture, plays a key role in institutionalizing sponsorship from a policy and human resources point of view at the ministerial level.

“There are many other events that promote the Saudis involvement outside of the Kingdom, but what is happening inside Saudi is incredibly exciting. The largest challenge they face is being able to keep up with the pace of change that they want to go through,” McCann said. Another of the main challenges in developing sporting events is the lack of professionals with experience in organizing this type of competition. “Getting talent in Saudi is a major challenge, as sports and physical education are completely new concepts in the Kingdom,” said Simon Alexander Mueller, CEO of Sports Hub Limited.

However, in recent years there has been further development of the sponsorship and marketing sector in the country. “We’re excited to see brands become gradually more knowledgeable on the potential and required returns (e.g. ROI/ROO/ROA) from their sponsorship investments,” says Hala Partners Managing Partner Hatem Hammour, who has more than 10 years of experience in the sponsorship industry in the region. He believes Saudi Arabia is still in the early stages of sponsorship/partnership, and the firm seeks to offers one-stop-shop services in this area as a way to transfer the knowledge of its professionals to expand the development of this sector in the country. “We have held various training sessions on the concept, use and great potential of partnerships with our clients, and strive to position our clients in the driver-seat of their partnerships,” he added. ✖

AEI Saudi Arabia outlines the key steps for investors to succeed in the Kingdom of Saudi Arabia, including relying on local expertise and knowledge.

KEYS TO SUCCESS

EXPERTS IN SAUDI SUCCESS…

2022 marks ten years since AEI was founded, and in that time, we have helped over 1,800 foreign businesses to enter, establish and expand in the Saudi market.

WHY CHOOSE SAUDI?

Under Vision 2030, the Kingdom truly provides a unique opportunity for business. The market is booming and there is simply nowhere else on the planet with the breadth and scale of opportunity that we see in Saudi. The opening up of the Kingdom presents unique opportunities in entertainment, events and sports. These sectors, although present in the Saudi market previously, have been placed front and center of the Vision 2030 domestic agenda. Whatever your sector, from event management to sports consultancy, from kite surfing to stage building, Saudi must be front and center of your growth strategy.

WHY SET UP IN SAUDI

There has been a huge influx of foreign businesses setting-up in the Kingdom with an in-

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

crease of 700% in foreign investment licenses issued so far in 2022. This is in part due to the ever-tightening regulatory environment, clamping down on the “fly-in/fly-out” model of old, but it also reflects the scale of opportunity in Saudi. Understanding your optimum operating model requires planning and advice from informed, locally based professionals with Saudi specific experience. Choosing the activity for your entity is usually the first step and this requires careful consideration, there are over 300 activities assigned to the entertainment and sport sectors! The choice of activity impacts Saudization targets, partnering requirements, special licensing and capital levels.

WHAT DO WE NEED TO KNOW?

Understanding your liabilities is crucial and “getting it right” from day 1 will require informed, local advice. Regulations change often and keeping ahead of the information curve can be difficult. Our top three tips are:

Route to Market Strategy—consider an iterative strategy that is based on a lowcost, low-risk approach. Understanding risk

is crucial as is understanding custom and practice, you are not the first foreign business seeking success in Saudi.

Saudization—this is the broad policy to compel companies to employ more Saudis. There is a good workforce in the Kingdom, but recruitment and retention of Saudi nationals can be challenging. Failure to maintain Saudization levels will impact your business so having a Saudization plan is critical for the compliant employment and deployment of personnel in the Kingdom.

Back Office Compliance—do not underestimate the challenge of maintaining government portals, filing VAT returns, and complying with the Wage Protection System. Failures or delays in back-office activities can result in fines and penalties.

WHY CHOOSE AEI?

We are a trusted partner to businesses, large and small, and to governments from around the world. They rely on our Saudi specific knowledge and experience which is second to none. Let us accelerate your journey to success in Saudi. ✖

SPONSORSHIP & MARKETING

In line with the increased focus on sports and the entertainment sectors, these companies are helping both companies and individuals reach out to more stakeholders, increase engagement, gain sponsorship opportunities, and make a real difference to society.

PERFORMANCE54 was established in 2015 with the vision of changing the perception of golf as best we could and providing our clients with a fresh and more creative approach when engaging the end consumer. Since then, we have been seeking to do exactly that with some of the biggest brands, events, destinations, governing bodies and investors in the sport; helping to build brand awareness, drive product sales, enhance product education and deliver real ROI from sponsorship investment. In more recent years and enabled by the continued trust of many long-standing clients and committed partners, we have been able to expand our horizons into other sports, taking the same approach to new frontiers where the goal of creating better connection to consumers is also the priority. This growth has taken us into boxing, football, motorsports, and rugby.

SPORTSHUB STARTED in 2019 and delivered two projects before the pandemic hit. We reached out to 500 schools in five cities and conducted inspiring sports days with a wide range of sports and games. In 20 activation days, we had 20,000 girls and over 2,000 teachers. The project—promoted by the Ministry of Education—was a huge success, bringing together teachers, children, and international sports coaches. It was an affirmation that sports have significant room for growth, especially among girls. The second project before the pandemic was a cricket project, targeting the low-income workforce in labor camps and demonstrating that sports can really help people improve the quality of life. During the pandemic, we shifted our focus on developing sustainable programs for children since there was a high demand and certainly a gap in the market.

RISE WAS ESTABLISHED in 2015 and we have been working in Saudi Arabia since then. We have offices in Riyadh, London, and Dubai, with the majority of our staff located in our Headquarters in Riyadh. As a commercial services consultancy, we work broadly in two main areas. First, we have a Public Private Initiatives (PPI) division that supports the public sector. It is led by another Partner, Hekmat Dahabi. Our PPI clients include the Royal Commission for Riyadh City, the Riyadh Metro, King Abdullah Financial District, The Royal Commission for Makkah, The Ministry of Municipal and Rural Affairs, and so on. We work with those clients to help them unlock commercial revenue across their asset portfolios. The biggest example of that was with the Royal Commission for Riyadh City, where we were successful in helping them create and commercialize the Riyadh Metro through Riyadh Metro Naming Rights.

YALLA SPONSOR provides sponsorship advisory services such as developing and pricing assets, packaging, sales and account management for high-value intellectual properties. We observed huge demand from SMEs and small content providers such as athletes, sports teams, and new venues seeking sponsorships. Yalla Sponsor came about as a marketplace serving both large-scale content creators and IPs, as well as small-scale focused target audience. Our platform caters to a wide range of segments, not only to groups but also individuals who could be represented by agents. Sport is a growing sector, and there are Saudi athletes participating in diverse Olympic fields. These athletes have a certain influence over many people and significant followers. In turn, brands are willing to sponsor these athletes, aligning with what they represent and customizing their brand’s culture and image accordingly.

Ahmed AlMashhadi FOUNDER, YALLA SPONSOR

Dave McCann PARTNERSPORT, CULTURE, ENTERTAINMENT, RISE

Simon Alexander Mueller CEO, SPORTSHUB LIMITED

Jed Moore CEO, PERFORMANCE 54 GROUP

bigger AND BETTER

Red Bull MOBILE Saudi Arabia has differentiated its offerings for the Saudi telecoms sector through unprecedented access to Red Bull events, content, games, merchandise, and athletes.

Sulaiman Almusallam CEO, RED BULL MOBILE SAUDI ARABIA

Can you elaborate on Red Bull MOBILE’s operations and what incentivized its establishment?

Red Bull MOBILE Saudi, offered by FNT, is a well-known mobile virtual operator in Saudi Arabia and one of the most exciting brands to bring a new mobile experience to the Kingdom. We are offering a new mobile experience to our subscribers, where everything is centered around data and experiences. We are also targeting customers with an active lifestyle and progressive mindset. With Red Bull MOBILE, we seek to unlock access to the World of Red Bull in the Kingdom. Our presence in Saudi Arabia can be described in different ways. The brand is for everyone with an active lifestyle, people who love sports, music, gaming, and the outdoors as well as those who push the boundaries of their comfort zones. We are bringing a different offering for the telecoms sector through unprecedented access to Red Bull events and to content, games, merchandise, and athletes.

The sports sector is gaining traction in the Kingdom. How is Red Bull MOBILE supporting sports in Saudi Arabia?

The Kingdom hosts annual events in entertainment and sports, and Red Bull MOBILE is actively involved by sponsoring various events organized by Red Bull and other parties. One of the highlights of the year is the Formula One event held in Jeddah. Through Red Bull’s direct involvement in the sports, we are able to provide our customers with a unique experience and special access to the garage area where they can meet the drivers the entire team. When it comes to e-sports,

we are proud to be active supporters of the gaming industry. We are active sponsors of the MS Dossary Game On event organized by Red Bull where teams play against each other. In 2022, the qualifiers and finals even took place directly in our flagship stores in Riyadh, Jeddah, and Khobar. This event attracted not only our subscribers but also fans from all over the Kingdom. We are also proud to be part of the Red Bull Car Park Drift in December in Jeddah, which in 2022 hosts the world finals of the Red Bull drifting competition.

What opportunities have you identified in the telecoms sector, and how do you plan on leveraging them?

Saudi Arabia represents the largest telecoms market in the region, while the sector also represents half of the market share of the industry in this region. Already, we have achieved the majority share with high mobile coverage, which is a great opportunity to grow. The data segment is also growing, driven by young people, new technologies, applications, and social media. Many people require the internet, and there is opportunity in that area as well since consumers are always looking for experience, ease of use and clarity, and relevancy to their lifestyle to what the operator is offering. This was the main input of our commercial strategy which was designed to take us out of the crowd of focusing only on the value.

How do you raise awareness of the services that you provide and shape your competitive advantage?

We are building on multiple folds of differentiation capitalizing on a brand that is for everyone with an active lifestyle, loves sports, music, gaming, outdoors and wants to push the boundaries to bring a differentiated offering from telco, content, and lifestyle benefits as well as members with a special access to the World of Red Bull: experiences, content, games, events, merchandise and athletes. All of that is built on a layer of digital excellence as well as superior customer experience across touch points. We offer people access to the World of Red Bull events both locally and abroad and encourage them to participate in this world. Our customers can benefit from all our upcoming events and be part of our work here in the Kingdom. We invest heavily in our customer support team, as it is an important aspect of our culture at Red Bull Mobile. ✖

Sulaiman Almusallam the CEO of Red Bull Mobile Saudi Arabia. He holds a bachelor of telecommunications engineering degree from King Fahad University of Petroleum and Minerals and an English diploma degree from Indianapolis University in the US. Almusallam has 17 years’ of working experience in technology and management in SDAIA, Aramco, and SCECO. He is a board member of Professional Experience and Future Networks was bestowed the King Abdulaziz Medal by King Salman Bin Abdulaziz in 2020 for his services to the country. He is also certified by Harvard Business School in the Senior Executive Leadership Program.

BIO

partnership APPROACH

hala partners has helped Saudi clients execute momentous projects in its first year including the Riyadh Marathon, Saudi Founding Day (culture), and Grintafy, among others.

How was the company established, and what milestones has it achieved in recent years?

We opened the company in October 2020, and our focus is on maximizing and optimizing the sponsorship and partnership programs for rights holders and brands. Our aim is to implement that across sports, culture, entertainment, and esports, and tailored to the Middle East. As we founded hala partners mid-pandemic, when the events-industry was struggling, we took our first six months to establish our standardized partnership lifecycle, our various IPs and identify how we could position ourselves uniquely in this niche industry. This, with a strong focus on providing an an-to-end solution to our clients, from strategy to execution and reporting. As a young entity, we are proud to have built a strong, passionate and growing team and have had the honor to support various clients on exciting projects in our first year, including the Saudi Sports For All Federation, Misk Foundation, Saudi Tourism Authority, MRSOOL Park, and Live Nation, to name a few.

What is the mission and vision of the company?

As founders, Fred and I have over 10 years of experience in the sponsorship/ partnership industry in the region, specifically in UAE and KSA. We are excited to see brands become gradually more knowledgeable on the potential and required returns from their sponsorship investments, and therefore have positioned hala partners as pioneers around a standardized “partnership lifecycle” approach that provides all parties (rights holders and brands) with tools and insights to run and evaluate these success-

ful partnerships.

What other segments are you targeting in addition to sports?

Our partnership lifecycle is set around a standardized, yet flexible approach, that can be duplicated across many segments where brands partner up with rights holders. We have set our business segments as sports, culture, entertainment, and esports and have touched on most of these already, including the Riyadh Marathon (sports), Saudi Founding Day (culture), Mother of The Nation Festival (entertainment), and Grintafy (esports).

hala partners’ main office is in Dubai. How important are your operations in the Kingdom? As founders, we both lived in Dubai, and starting the company in the UAE was the natural first step. Over our careers, we have been traveled in and out of the Kingdom on a weekly basis, and in the last few years business has really shifted strongly toward KSA, driven by its opened tourism strategy, the launch of the many Seasons, and the wealth of international events and IP coming to the Kingdom. For hala partners, Saudi Arabia is our main market, with retained clients we support throughout their full asset commercialization and a wealth of brands that we personally know and work with closely on the sales and partner management of all events. As KSA is still in its infancy of sponsorship and partnership, we positioned knowledge transfer at the center of our partnership lifecycles as a key USP for the company. We have held various training sessions on the concept, use, and great potential of partnerships with our clients and strive to position our clients in the driver

seat of their partnerships.

What are the main priorities behind moving your offices to Riyadh?

As our main clients and contacts lie in the Kingdom, a move to Riyadh was on the table since our launch. We already operate with our account managers dedicated to client offices, so moving our hala partners offices would definitely facilitate the growth of the business. In order to win larger projects in KSA, we will need to set up here and have accordingly started the process. The only reason it has not happened yet is because we wanted to focus on delivering top-quality work to our current clients and scale up gradually without biting off more than we can chew. Priorities always lie with ensuring we keep all parties satisfied, and we are confident that this approach will allow us to gradually grow, open our offices in the Kingdom, and become a leader in partnership support in the region, and beyond. ✖

BIO

Hatem Hammour is a sports management MBA graduate and has 10-plus years of experience in leading partnership programs for rightsholders and blue-chip brands in the GCC region including STC, Sports For All Federation, the Ministry of Sport, Misk Foundation, and Saudi Media Company. Prior to hala partners, Hammour worked for Intigral as a partnership activation manager and for RISE Group as an account director. Since co-founding hala partners in 2020, Hatem has been the lead on the sales and partner management of projects, ensuring the satisfaction and retention of partners.

Hatem Hammour MANAGING PARTNER, HALA PARTNERS

eSports

GAMING POWERHOUSE

In 2022 the Minister of Communications and Information Technology declared that investments in future technologies will hit more than USD6.4 billion in Saudi Arabia. These investments include support for entrepreneurs, contributions to the expansion of the digital and cloud sector, and funding for esports and gaming, a sector that is steadily growing within the country.

The gaming sector, including both video games and esports, is booming in Saudi Arabia. The local gaming market reached a value of USD1 billion in 2021 and experts forecast that it will be worth approximately USD6.8 billion by the end of 2030. As the largest market within the region, Saudi Arabia is considered to be Middle East’s gaming hub and powerhouse. Other key players in the region include the UAE and Egypt—their gaming sectors reached values of USD520 million and USD172 million, respectively, in 2021. If we combine the three markets, the gaming industry of these states is expected to generate more than USD3 billion by 2025.

Statistics show that about 50% of the Saudi population consider themselves regular gamers as they play more than once a month. Saudi Arabia currently hosts almost 24 million gaming enthusiasts, or 67% of the population. The majority of the population plays video games and esports as a hobby,

although there are around 100 professional esports players.

One of the first institutions created to support the sector is the Saudi Esports Federation. The federation was created back in 2017 as the regulating institution in charge of nurturing elite gaming athletes and supporting the gaming community and the industry as a whole in Saudi Arabia. Since its establishment, the federation has organized multiple world-class national and international tournaments and events have attracted investment from local private sector actors and worked with international players.

The involvement of Saudi Arabia’s sovereign wealth fund, the PIF, in the gaming industry highlights the growing importance of the sector for the future development of the country.

To help achieve the objectives of the country’s Vision 2030, PIF recently launched Savvy Gaming Group with the intention of developing the local gaming industry. The group went on to acquire ESL Gaming, a German production company specialized in the organization of esports, and the British esports platform, FACEIT.

In addition to this, PIF acquired a USD332 million stake in the Japanese firm Capcom and a USD883 million share in Nexon, an online game publisher. ✖

professional DEVELOPMENT

SEF is working to not only boost the esports industry in the country, but also develop the next generation of gamers and ensure they have stable and professional careers.

What is the mission of SEF?

Our focus is on esports and esports athletes in the community. To serve our athletes, we have to serve their entire life. The initial focus was on the athletes themselves and how to get them ready for international tournaments and have regular leagues here so they can play on a regular basis. We focus on giving them the infrastructure to put a team together and get the private sector support, which is fairly advanced now. We started in 2018 with one professional team based in SA. We now have 43 official teams, with more in the pipeline, so we hope to have many more by the end of the year. In our second year, we widened our focus to work with professional athletes. We will continue to work with them, but we wanted to look at the other two ends of the spectrum. One was education and working with the Ministry of Education and Schools to teach children what a professional athlete is and that esports athletes are professional athletes, and not just gamers. There is a distinction: a professional athlete needs physical fitness. There is a big focus on mental and social health, which we advocate for all gamers, but it is necessary for any sports professional. We want to teach them how to follow that path and what it means to be an esports professional and earn a career and salary. The other end of the spectrum is the retirement age for most esports athletes, which is around 25 in most games. We are exploring what we can set up for them at the end of their careers to help them on their way. One initiative was to showcase the skills learned as a professional athlete

and esports player that can help them break into other industries and learning opportunities.

What initiatives are taking place to professionalize the e-gaming industry?

We are focused on building an industry so young people have a career path within gaming. There was a great deal of work between the federation and the Ministry of Communications and Ministry of Sport and Ministry of Investment, among others, to start to grow the surrounding industry so that you have a career path as an esports commentator or coach or in production, stage setup, or within the gaming industry where we are launching initiatives such as game development academies. We work with the private sector and other ministries to facilitate these young people going into this career path. We did a study in 2018 of 10,000 people with the Ministry of Sports, and roughly 53-54% of the population considered themselves gamers. At our tournaments, we surveyed what they want to do with their lives, and well over 65% wanted more events, places to gather, get together, and play. The vast majority, over 67%, wanted a career path within gaming. They have a passion and other things they are good at, and they want to know how to do both things within gaming. Anything you have a passion for there is a career path within gaming; now it is just about giving them the tools to follow that career path.

What is the private’s sector role, and what are the opportunities like for them to support this endeavor?

There are many opportunities, and that was one of our objectives from year one. The only way to make this sustainable is with the private sector’s involvement. If we focus only on government support, then the day that stops the whole industry collapses. Our teams are fully owned by the private sector. Our leagues are started with government support, and we are moving away from that to more sponsorships. In the next five years, we anticipate being more dependent on the private sector than on the government for our leagues and tournaments. The private sector is reaching out to us, not the other way around, as there is greater industry growth. ✖

BIO

Prince Faisal bin Bandar bin Sultan Al Saud has been President of SEF and the Arab Esports Federation since their establishment in 2017. He is also Vice President of the Global Esports Federation and Vice Chairman of Savvy Gaming Group since its establishment. Under his leadership, the federation quickly grew the range of its activities to become the leading Saudi entity in charge of growing the Saudi esports industry. He moved the federation from its original model of one-time large events to a sustainable and long-lasting model of creating IPs that will grow with time and provide a stable career path in the many disciplines that surround professional competitive gaming.

Prince Faisal bin Bandar bin Sultan Al Saud PRESIDENT, SAUDI ESPORTS FEDERATION (SEF)

NEW WORLDS await

Mastercard, a global technology company in the payments industry, is at the sharp end of the metaverse spear.

Keith Jordan VICE PRESIDENT INNOVATION, MASTERCARD VENTURES

Bloomberg predicts the value of the metaverse to reach approximately USD800 billion by 2024. When will “mixed reality” start to shape and transform our lives?

We are currently at that tipping point where the next race, the next paradigm shift in reality is about to take place. It is exciting because everything we can do in the digital worlds will start bleeding into the physical world. Many people are talking around the metaverse, which is about 3D worlds and gamification in these virtual worlds; however, that is only an isolated small piece of this paradigm shift where we will see a massive explosion. It is in this layer that it bleeds into that physical world using augmentation tools. This is where we will see the power of the metaverse exploding. And the numbers we are seeing are huge; research suggests this will potentially be a USD10-15 trillion opportunity by 2030. This suggests the digital economy will build up extremely rapidly and provide significant value. That is interesting because we see a great deal of value in the physical world with property, jewelry, and consumer items that are now transferred over to the digital world; digital assets are already becoming more valuable in the digital world than they are in the physical world. Soon, we will face what we call the race for reality: we will shift into a new reality, where people will start their journeys in the physical world and end up in the digital world or vice versa. More and more people will shift between both of these realities.

Commerce will play a pivotal role the metaverse. How is Mastercard working to capitalize on the opportunities generated?

Being a leading global technology company, Mastercard works to connect power and build inclusive digital economies

that benefit everyone everywhere; if we translate that into the metaverse, it is a beautiful segue. What powers these digital worlds are community, creativity, and collaboration. We will see a huge change in consumer behavior. There will no longer be brands of services or companies trying to deliver products to users. Mastercard will give these users and these communities the toolsets to create their own value and their own economic exchanges.

As Mastercard guides the Kingdom through the digital revolution, what specific sectors is Mastercard targeting to expand its presence in the local market?

We are currently focusing on the esports market. Saudi has the highest expenditure per capita per user in esports in the world; the Kingdom will transform into the gaming universe’s center because it not only has the dream to do this, but also the vision and capital to make it happen. That is a powerful combination. Under Vision 2030, a massive revolution is taking place, and the entire country will be literally transformed in the next decade. Digital-first initiatives are at the foundation of this transformation. When we can start bringing in advanced technologies and build around those digital-first opportunities, the real revolution will finally happen. That got interesting when we started looking at virtual tourism, virtual payments, and seamless commerce. All these areas started to build quickly, and we are confident we can support the development of these sectors as well. There are about 350 million gamers across the region, which is one of the largest gaming communities in the world. And there is a huge demand for gamified services. In the next six months, I expect to see Saudi to come out with a whole range of gaming apparel for female gamers.

Mastercard signed a MoU with Saudi Esports Federation to promote the Kingdom’s billion-dollar gaming industry. What is the importance and relevance of this collaboration?

We partnered with the Saudi eSports Federation because our vision aligns with its vision, appetite, and attitude. The Saudi eSports Federation is making the revolution happen; by 2023, there will be the biggest gamer conference worldwide. For example, a 16-year-old teen won USD5 million in Fortnite. Esports are exploding. There are teams and competitions, and they will get bigger and bigger. In the Kingdom, there is so much demand from a young cohort to move into these digital universes; however, what is interesting is that it is led by women. Most gamers in the Kingdom are female, and they are not only forging a path in the digital world but are the drivers. Our general goal closely aligns with the National Transformation Program in the Kingdom and Vision 2030. Ultimately, we are dedicated to building an open and safe digital economy that will improve the lives of consumers and communities in the Kingdom. ✖

Keith Jordan is a futurist with global expertise in digital innovation and new ventures, helping Mastercard’s clients become part of new and exciting markets being created by the latest technologies. He holds a number of patents in the US and worldwide in wearable computing. He has been featured in many print publications, radio, and television shows, such as CNN, Forbes, The Financial Times, Bloomberg TV, BBC News, RTE, The Irish Times, The Apprentice USA, and The Washington Post.

BIO

GAMESMASTER

Included

SAUDI ARABIA is consolidating its position as an important center of the eSports and video game industry in the Middle East. According to consultancy RedSeer, 68% of women and 69% of men in the country play video games on a regular basis, a high penetration that makes Saudi Arabia the largest market by revenue in the MENA-3 group, which includes the kingdom, the UAE and Egypt. MENA-3’s gaming revenue was USD1.76 billion in 2021, with the forecast to rise to USD3.14 billion by 2025, according to consultancy Niko Partners.

This interest of Saudi citizens in video games is providing a strong impetus for the development of an eSports industry, a trend that complements the Vision 2030 goals to diversify the kingdom’s revenues. Indeed, one of the goals of that roadmap is for Saudi Arabia to be a global hub in the gaming and eSports industry by 2030. The country has a program called the National Gaming and Esports Strategy, which aims to create new companies and jobs that will contribute SAR50 billion (USD13.3 billion) to the country’s GDP, either indirectly or directly.

Another of the main objectives of this strategy is that by 2030 there will be 30 competitive games worldwide that have been developed by Saudi Arabian companies, and that Saudi Arabia will be among the top three countries in terms of the number of professional eSports players. To implement these plans, the government has a comprehensive strategy to launch incubators, eSports academies, approve regulations and make investments such as Savvy Games, owned by sovereign wealth fund PIF, which will disburse 37.8 billion in projects to develop this industry.

“With the public investment fund initiatives and the creation of Savvy gaming group, as well as the Saudi eSports federation efforts to help & grow the region, we have seen an exceptional growth in the industry & a massive expand in the demographics of eSports enthusiasts, creating more competition on a local, regional and international level,” Faisal Aljarbou, CEO of The Ultimates eSports.

The Ultimates eSports is a Saudi eSports and entertainment brand created with the mission to encourage all players with a certain competitive level to train to be an active part of the eSports ecosystem. “We compete in most of the local events and have recently reached international ones, successfully securing more

than 80 championships,” said Aljarbou.

“Back in 2015 there were one or two eSports companies in the KSA and now we are more than 50+ professional & authorized eSports teams, and more are launching. Overall, business is growing fast every single day and I believe there are many more projects on the way,” said Thamer Alharbi, founder of Redemption Esports. This company, which has official contracts with players and managers, has found great benefits in developing its business within the Kingdom with the intention of achieving the development of the sector. And, precisely, one of the most important parts to achieve this are the tournaments.

“Hosting tournaments is at the grass roots of this business. It is important to host and compete and do everything you can do to raise awareness. It also has huge benefits for the team and for other parties,” said Alharbi. That is one of the most important aspects that the Saudi Esports Federation, established in 2017 and currently with 43 official teams, is focused on. “There are international tournaments that move around every year so we apply to see when we can host. We will also kick off new international tournaments and leagues that will be a Saudi Arabia idea that we can move to other places,” said Prince Faisal bin Bandar bin Sultan bin Abdulaziz, president of the Saudi Esports Federation.

Internationally, one of the challenges facing Saudi Arabia is that eSports are a relatively new industry in the region compared to other regions of the world. “Each region has a focus it is strong in, and we are catching up in everything. We start from a green field where we are developing everything from scratch. It is a new federation, a new industry, and many young people, ambitious and passionate, so we are trying to look at the industry holistically and explore how to grow things,” said Prince Faisal bin Bandar bin Sultan bin Abdulaziz.

Today, there are a number of global centers on the map, such as South Korea, which is where the best players are, major events are held in Europe, while video game creation is led mainly by North America. “Our ambition is that when talking about gaming and esports, Saudi Arabia is mentioned the same way you would mention North America, Korea, Europe, Holland or France,” said Prince Faisal bin Bandar bin Sultan Al Saud. ✖

as a strategic part of Vision 2030, Saudi Arabia will develop a competitive eSports industry that will position the Kingdom among the world leaders in this sector.

discover what stc play has to o er!

discover

Create and share your own unique posts and images to engage with other users on the social timeline and follow all your favorite players and teams to enjoy their content.

The shop system will o er you the latest in gift cards and in game currencies. shop

play

The play system has three main activities to ensure our users are always active: Playground, Tournaments, Matchmaking.

visit

The visit system will o er you the ability to see the nearest game centers or upcoming gaming events around you.

team up

the team up system will allow users to create and customize their own teams for competitive and non-competitive play.

a new PLAYING FIELD

stc play’s strategy throughout has been to play on the digital element and become the platform that connects the physical world to the digital world.

Badr Almarshoud stc play H ead , stc play

Can you give our readers a brief overview of stc play?

stc play is an incubated start-up within stc that looks after accessing the inorganic potential growth in gaming under digital platforms. stcplay is the number one gamers engagement platform in the Kingdom, and in simple words it is the gamers Super App that brings all types of gamers, players, content creators, and influencers together, also it offers the gaming ecosystem service providers the opportunity to get connected with an engaged gamers base under one digital user experience. We started by introducing three main experiences inside stcplay, the first one being a social engagement experience that allow gamers to create their gaming profile, post user generated content (UGC), comment, like, and share as well as the ability to follow users and accounts by adding them to their gaming network. The second experience is online esports tournaments, where we give users the ability to create community level tournaments, select the game and bracket types, assign prizes, and set rules, also the ability to participate in these created tournaments, win prizes and show their skills in a specific game. The third experience is the shop experience, where users can buy digital gaming vouchers and have them delivered digitally by email or SMS. It is also a sales channel for voucher providers to list their offerings. All of that is coupled with an experience points that users collect based on their engagement level, and these points entitles users to win gaming giveaways on weekly and monthly bases.

What are the cutting-edge technologies that stc play is offering its customers?

stc is a one of the largest digital enablers in the region, with the ability to build digital ownership and relationships with customers, with the belief that digitization has disrupted the user experience in many industries. The advanced network infrastructure, data processing and analytical engines, reach of consumer (mobile/fixed), and the communication power are all built on cutting-edge technologies that is being utilized while developing stcplay. A prime example was the establishment of stc pay, where stc should a great model of how can it digitally enable a non-core industry and capture a great market share. At stcplay we are doing the same for gaming where stcplay is considered as the first local grown unicorn. Moreover, we have created different gaming experience functions within the stc group units just to ensure that gamers experience comes on top of our priorities, an example of that can be the establishment of gaming experience function within the technology, where games latency and download speeds are measured to serve gamers on our networks. We want to understand the language of gamers, the requirements, and how we allocate future investments toward gamers—this has resulted in stc winning the MCIT platinum operator award multiple times in a row, and that confirms clearly how much dedication stc has as a digital enabler for the gaming industry.

How is stc play capitalizing on the growing demand for competitions and events in the gaming sector?

One of the key elements in gaming is competitions, and these can be held online or offline (in-person) at gaming

venues. Since we launched stc play we have over 5,000 online tournaments being created on our online platform as we have allowed our gaming community to create these tournaments digitally, inviting other gamers, and establishing their own set of competition rules for the tournaments. When it comes to offline tournaments and competitions, we believe that stcplay complements the growth of competition and events by connecting digital engagement on stcplay platform with the physical engagement happening on these events. Also, we enable our partners from different brands to sponsor such events and offer the winners products and services as prizes. Through these initiatives, we incentivize brands to engage in a new type of revenue stream and become part of the journey of advancing the gaming industry. ✖

BIO

Badr Almarshoud is the head of stc play. Prior to his role, he was looking after the growth strategies in the media & entertainment industry at the corporate development sector within stc group. He used to manage the digital products for the B2B segment within stc solutions and, before that, was in charge of the value-added services for the consumer segment, focusing mainly on non-core revenue. Almarshoud holds a bachelor degree in MIS and a master’s degree in management specializing in digital product marketing.

Image: Saudi Esports Federation

ESPORTS

Saudi Arabia is currently on its way to leading the gaming industry globally and becoming the esports hub for the world, with a meteoric growth of the sector in just a few years in terms of talent, investment, and resources.

REDEMPTION is one of the first esports teams founded in the Kingdom of Saudi Arabia. In recent years, the Saudi Esports Federation has grown significantly. It was founded in 2018 and it really empowered us, as owners and players. The federation supported us with everything that we needed. Additionally, the Saudi eLeague was launched in 2020, providing us with a fixed calendar in which to compete in. In recent years, the sector has truly defined its vision and developed into a structured business. In 2015, there were only one or two esports companies in the country, and now there are more than 50-plus professional and authorized esports teams, with more launching. A recent study affirms that in eight years’ time, Saudi Arabia will be one of the top, or even the leading, esports countries in the world. Hosting tournaments remains at the grassroots of this business. It is important to host and compete and do everything you can do to raise awareness. It also has huge benefits for the team and for other parties; for example, it will help identify new faces and explore young talent. It is definitely one of the most important tasks in this business.

PHOENIX HAD NOTICED the intersection of many industries within the field as well as the need to facilitate proper collaboration between these industries. As with any young industry, esports includes many start-ups and SMEs that might not have the experience needed, whether technical or otherwise, to succeed: that is where we come in. Esports are not just competitions; they are also supposed to be entertaining for viewers. The community is exciting at the moment, as it is growing rapidly, and there is hunger for more; however, we mainly want to facilitate both the growth of the industry as a whole in Saudi Arabia and our own by innovating, inspiring the next generation of players, and supporting the development of roles such as coaches, managers, and even production staff. Talent localization is one of our key goals. After that, we would like to work more on our public image and brand recognition. There were many exciting projects on our hands this year, and we still have so much more in hand that we are working on. Our objectives are simple: We want to grow, expand, while innovating and exceeding the high standard that we set for ourselves.

THE ULTIMATES is a Saudi esports and entertainment brand that was established with the mission to strive and inspire all competitive gamers to be an active part of the esports ecosystem and to create top-quality content. Giving our talents the tools and environment to thrive and reach the level they strive to get to. We compete in most of the local events and have recently reached international ones, successfully securing more than 80 championships. Our team experts are always on the lookout for competitions taking place in the region. We want to identify talented players that have the potential to reach global level but lack the necessary tools to thrive in their career. Our strategy focuses on creating the ideal environment to empower young talent to thrive and find the success they seek, nurturing them, and managing their livelihood and careers to get to their potential through our established gaming facility. We believe we are heading in the right direction. There is much to do to reach our goals and grow the team, from expanding to more game titles and nurturing more players and content creators to improving our gaming facilities, establishing more partnerships, and enhancing our reach in the industry.

Thamer Alharbi FOUNDER, REDEMPTION ESPORTS

Mohammad Al Humood CEO, PHOENIX

Faisal Aljarbou CEO, THE ULTIMATES ESPORTS

SAVVY GAMES GROUP’S MISSION is to accelerate the games industry in different ways. There are five operating companies under Savvy, and I oversee the infrastructure company. Its focus is on developing touch points that bring to life gaming and esports within and outside the Kingdom. At VOV, our mission focuses on three key pillars. The first is gameplay, and the second is the academy, which focuses on upscaling and driving skill development within Saudi Arabia and other markets. Our third key pillar is pathways, which centers around individuals looking to become professionals, and we provide the pathway to help them achieve that. We do this to enhance the local market with outsidethe-box thinking. We are building a place where people feel comfortable learning, competing, and socializing. We do not simply open cafes that focus on gaming; it is more sustainable and unique to develop an academy and a pathway. Most businesses in the marketplace are fixated on gaming, and that is essential; however, we must also look at how we can mold a sustainable business model and, at the same time, add value to the community. The way we can enable Vision 2030 is to drive skill development.

THE LAUNCH OF SALAM MOBILE fulfills our transformation from a telecoms company for business to a full telecoms and technology company with the full breadth of consumer telecom and digital lifestyle services. Salam Mobile is a new kind of mobile service aiming to change the Kingdom’s mobile experience with simple plug-and-play plans, fair deals, and an experience-led, human centered approach. Unlike our other MVNO competitors, Salam Mobile will benefit from Salam’s extensive underlying network and Mawarid Group’s vast entertainment, communication, and technology ecosystem, giving customers an ever-growing palette of experiences to enrich their digital lifestyle. It is already our fastest-growing service. Explosive growth in video gaming, coupled with changing dynamics in traditional revenue and ARPU for telcos, is putting a focus on gamers as a new growth frontier. Today, some 65% of the Kingdom’s population can be considered gamers, a vast segment straddling various age groups who play every day. With our underlying network, Salam is best positioned to deliver true real-time, low latency gaming. Our new gamer pack is literally a game changer. It is the first and only dedicated gamer package in the Kingdom that seeks to deliver fully managed and richer experiences rather than just high-speed connectivity.

MANGA PRODUCTIONS was established in 2011 under the Mohammed bin Salman Foundation (Misk), starting with the vision to inspire the heroes of tomorrow. What we are doing at Manga Productions is not just producing manga, anime, or video games but developing the next generation. My mission is to empower and inspire leaders and talent, and our success will only be calculated after 30 years when today’s young generation leads the development and fronting of successful projects in Saudi Arabia. Our first condition for collaboration was investing in our young talents through internships, training, and mentorship. Toei Animation sent 11 young Saudi talents to Tokyo for two months, and we also sent them to Digital Hollywood University. We have trained over 500 young Saudi talents over the past five years and consider this a success story and inspire people with it. We are glad to have our partners in the US when it comes to gaming. We share a VR experience with an American company (Spark XR), which won the Innovation Awards. This VR experience is traveling without traveling, allowing you to experience destinations like AlUla without actually going there. We are bringing that experience to Riyadh.

Jerry Gamez CEO, VOV

Ahmed Al-Anqari CEO, SALAM

Essam Bukhary CEO, MANGA PRODUCTIONS

Culture

HISTORY & STYLE

The Arabian Peninsula has a rich history stretching back thousands of years, but the culture of the Saudis has, for much of recent history, been somewhat hidden from the world. But with tourism now at the forefront of plans for a more diversified, sustainable economy, curious travelers are beginning to explore the country’s cultural riches.

This cultural richness was highlighted by Crown Prince Mohammed bin Salman, who has placed tourism, culture, and entertainment at the forefront of the wide-ranging Vision 2030 agenda. The aim? To preserve and foster national heritage as a tool of soft power—to not only bring tourists to Saudi shores, but grow the value of “Brand Saudi” abroad.

Under the guidance of the Ministry of Culture, a variety of institutions have been established to preserve cultural sites and develop them into more than mere destinations. One such example is Diriyah, a historic suburb of Riyadh and the birthplace of the Al Saud dynasty. In recent years, Diriyah has become the home to the Diriyah Season, a leg of the larger Saudi Seasons program of festivals.

AlUla is also emerging as one of Saudi Arabia’s prime destinations. Located in the Medina region,

it boasts numerous heritage sites, including the Nabatean city of Hegra, a UNESCO World heritage site, as well as the tombs of Dadan and the ruins of the Dadanite and Lihyanite kingdoms. But not content to sit on its laurels, AlUla is pioneering modern approaches to attract more visitors. In 2018, the Crown Prince met with French President Emmanuel Macron at the Elisée Palace, and signed an agreement “related to the sustainable development of AlUla,” explained Gérard Mestrallet, president of the French Agency for AlUla Development (AFALULA), an organization birthed as a result of that agreement. The French agency’s mission is “to support its Saudi partner, the Royal Commission for AlUla (RCU), in the transformation of the AlUla region into a worldwide cultural and touristic destination.”

And at school, music, art, and theater are being given greater prominence in curricula, with the hope of fostering a new generation of Saudi artists to create the next generation of content for, it is hoped, consumption both at home and abroad.

For this chapter, The Business Year sat down with, often for the first time, key figures leading Saudi Arabia’s cultural charge, to learn more about what to expect in the coming years. ✖

SHARED legacy

Noha Kattan DEPUTY MINISTER FOR NATIONAL PARTNERSHIPS & DEVELOPMENT, MINISTRY OF CULTURE

How is the Ministry positioned toward preserving Saudi culture and sharing its legacy with the world?

Simply put, this is the core and primary aim of the Ministry of Culture. As a Ministry, we have three key objectives: firstly, endorsing culture as a way of life—ensuring it is readily accessible, lived daily, and passed down to future generations; secondly, enabling culture to contribute to sustainable economic growth, in particular through the backing of investments to support SMEs and local content production; and finally, creating opportunities to increase national pride and facilitate global cultural exchange, sharing the richness of our culture and heritage and understanding the cultures of others.

How are you working to turn culture into a key driver of the national economy?

These locations are working closely with multiple organizations and hosting flagship events.

How much are you investing in technology and digitalization to boost the performance of the sector and its accessibility to communities?

BIO

Noha Kattan is the Deputy Minister for National Partnerships & Development at the Ministry of Culture. Prior to joining the Ministry of Culture, she was a senior advisor at the Ministry of Sports and led the establishment the Vision Realization Office. She led the development of the National Sports Strategy, working alongside international consulting firms and world-class experts contextualizing the strategy and aligning it with Vision2030 aspirations. She also used to hold the position of director of the career development program at the Ministry of Human Resources & Social Development, where she was responsible for the development and implementation of strategies targeted at youth empowerment and enablement across numerous sectors. She holds a master’s of medical sciences degree from Sheffield University and a bachelor’s degree in dietetics and clinical nutrition. She is also a graduate of the Harvard Business School Executive Leadership Development Program.

By 2030, the overall aim is for the cultural sector to contribute up to 3% of Saudi Arabia’s GDP, create 100,000 jobs, and attract SAR 2.5 billion of private investment. This, in turn, sparks national interest amongst citizens and expats alike—The Ministry recognizes that the consumption of cultural activities by our local communities is critical to increasing the sector’s economic output. On this front, we have achieved considerable progress toward raising awareness of the cultural sector with over 5 million visitors to cultural events in 2020 within KSA, in spite of the pandemic, whilst also transforming attitudes toward culture.

What are the main highlights and milestones achieved by the Ministry over the last year?

Since the Ministry’s establishment, we have made major strides in developing the cultural sector in Saudi Arabia across the 16 sub-sectors. For example, a key achievement we are immensely proud of is increase of global, and more importantly local, recognition of the Kingdom’s heritage. Hegra, a world heritage site in AlUla, is being restored, and the entire area has undergone dramatic growth in terms of awareness and visitors. Alongside this, the Turaif District of Diriyah, where the ministry itself is based, has undergone an extensive preservation effort in recent years to reveal its full potential. As of today, six locations within the Kingdom are recognized as UNESCO World Heritage Sites.

We are investing both internally and externally in innovation and technology. Internally, we recently invested SAR 5 million in digital tools to oversee the cultural investment pipeline—this will help us streamline our operations and deliver on our mission of providing support to cultural stakeholders in a timely manner. On the ground, technology and digitization are already being addressed by over 60 different initiatives across the 16 ministry’s sub-sectors—our commitment to increasing private-sector participation in cultural industries is also vital to securing further investment in technology and digital assets. The ministry has identified priority areas for increasing technology adoption, for example specialized filmmaking equipment, digital ticketing solutions, and online content delivery platforms. The ministry is also leading cutting-edge initiatives with various partners, focused on rapidly developing areas like virtual reality and emerging tech.

Can you share with us your key priorities for the year to come?

For the next five years, our focus is on three strategic axes: culture for vibrant communities and creators; culture for economic growth; and culture for national pride and global exchange. In practice, our plans include, but are not limited to: supporting highly talented Saudi nationals to showcase our culture; building on the success of recent years by further increasing the availability and diversity of culture in all communities; continuing to celebrate the richness of Saudi Arabia’s heritage and regional cultures; establishing the technological infrastructure to support the sector’s value chain; growing partnerships with the private, public, and third sectors; continuing to develop our international partnerships with other leading nations in the cultural sector; continuing to attract chart-topping artists and world-renowned entertainment organizations to perform in the Kingdom; and making early progress on our 2030 goals. ✖

The Ministry of Culture wants to enhance the visibility of Saudi culture both at home and abroad.

impactful action, CONSISTENT DELIVERY

The Royal Commission for AlUla is dedicated to the sustainable development of the entire region of AlUla, all in line with Saudi Vision 2030.

AlMadani CEO, THE ROYAL COMMISSION FOR ALULA

How is the Royal Commission for AlUla positioned to develop the entire region of AlUla?

RCU was established in 2017 and now, six years into our vision, our strategies and goals have expanded beyond initial ambition and planning into impactful action and consistent delivery of our principles and aims within the framework of comprehensive regeneration. Our plans can be seen on the ground across AlUla through the creation of a sustainable, expanding destination for global tourism and unique heritage that attracts diverse investment and creates new economic opportunities for the community. Our efforts have delivered outcomes that are in line with Saudi Arabia’s Vision 2030 plan and its goals of empowering economic diversification, the preservation of the natural world, spurring job creation, and enabling development. Our work in AlUla follows clear and comprehensive UNESCO conservation guidelines for World Heritage sites and does not negatively affect the historic character of Hegra, or any of the world-famous tourist destinations and cultural landmarks that can be found across the county.

As per Vision 2030, the concept of sustainability must be applied to every single giga project that will be developed within the Kingdom. How does your activity align with the suitability targets promoted by Vision 2030?

AlUla is one of the largest and most thorough economic, social, cultural, and environmental development programs in the world—the comprehensive regeneration of a cultural landscape in north-west Saudi Arabia spanning 22,561sqkm. As part of AlUla’s development, RCU is committed to the sustainability goals of Vision 2030 and the Saudi Green Initiative (SGI). As such, our plans and actions are aligned with the central pillars of SGI to reduce emissions, to green the Kingdom’s natural environment, and protect the land for the benefit of future generations—goals that also form the basis of our AlUla Sustainability Charter.

How do you preserve and protect the pristine environment of AlUla, minimizing the impact of all the ongoing developments in the region? Our business model of comprehensive regeneration hinges on the success of both our natural and man-made environment—putting the two in conflict is where we all lose. The traditional model of viewing environmental protection, ecosystem restoration, and human development as conflicting with one another is being turned on its head and completely re-evaluated by the success of our comprehensive regeneration strategy and its actions. This nature-positive, economically empowering, and culturally supportive approach to development in AlUla places the success of our community and the natural world on an equal footing. Any impact on natural habitats is greatly reduced through our commitment to environmental, economic, and community sustainability delivered through comprehensive regeneration. As a guiding principle it provides a clear framework for the naturalization, conservation, and enablement of ecosystems. Comprehensive regeneration establishes a foundation from which we can enhance AlUla’s unique value proposition through the right actions, clear conservation plans, and diverse economic drivers that aid us in achieving a sustainable and inclusive vision of what development looks like and can achieve across the county.

How do you promote AlUla among the international community of investors? Can you share with us some successful case studies that reflect the position of AlUla as an ideal catalyst for FDI?

AlUla is a global destination and an exciting gateway to Arabia for companies, investors, and entrepreneurs eager to explore new opportunities as AlUla County develops into a fully serviced hub for businesses, services, and modern urban living. RCU’s actions toward comprehensive regeneration in AlUla are supporting and promoting investment in a variety of

sectors. In October, RCU marked a major milestone for continued and long-term investment in the hospitality sector: the completion of phase one of the luxury Ashar Valley hub with the opening of the Banyan Tree AlUla resort. The French hospitality group’s new resort supports AlUla’s credentials as an investment destination and reinforces the Kingdom’s expanding tourism ecosystem. Other partner investments in recent years in AlUla’s hospitality sector include the Habitas Resort and Caravans by Habitas that opened in the Ashar Valley. Investment in AlUla is attracting attention on the global stage. At last year’s Future Investment Initiative in Riyadh, RCU signed a new, 10-year strategic partnership with Aecom to deliver far-reaching infrastructure and investment goals that will provide support for long-term economic development. The global infrastructure consulting firm will work with RCU to deliver on our key plans over the next decade, driving new, sustainable, and sustained investment in an established, but also growing, destination. ✖

BIO

Amr AlMadani, the CEO of the Royal Commission for AlUla, is an accomplished and dynamic executive with a proven track record of creating, building and operating start-up organizations, managing teams in dynamic business environments, and growing high performing and successful organizations to scale. He cofounded TalentS, a KSA based creative learning startup in the fields of science, technology, engineering and innovation. His experience spans across many sectors and markets, including the development of museums and science centers, entertainment and tourism. Prior to his assignment with the Royal Commission for AlUla, he was the founding CEO of the General Entertainment Authority in Saudi Arabia. He completed the Advanced Management Development Program through the Harvard University Graduate School of Design. He is a graduate of the Harvard Business School Program for Leadership Development and is an Eisenhower Fellow.

Amr

a rich HISTORY

DGDA is focused on promoting Diriyah, the historic and cultural heart of the Kingdom, as a unique tourist destination that will set the Kingdom apart in the world.

Jerry Inzerillo GROUP CEO, DIRIYAH GATE DEVELOPMENT AUTHORITY (DGDA)

How is the government capitalizing on the country’s national heritage as a marketing tool to promote and brand Saudi Arabia regionally and internationally?

DGDA is unique in that we are re-establishing Diriyah as one of the world’s greatest gathering places, with At-Turaif, the UNESCO World Heritage Site, at its heart. A crossroads of culture which respects and honors its significant heritage and past but that is delivered for 21st century living. While Diriyah is a huge infrastructure and development project, the key differentiator is that Diriyah is anchored on the historic and cultural heart of the Kingdom: At-Turaif. At Diriyah, partnerships have been hand-picked to ensure they align with our place-making objectives and our heritage preservation agenda, which will make the visitor experience unlike anywhere else in the world.

The redevelopment of Diriyah has great historic significance. How will DGDA preserve that past and prepare it for the future?

DGDA is responsible for the preservation of Diriyah’s history, celebration of its community and for establishing Diriyah as one of the world’s greatest gathering places. The UNESCO World Heritage site of At-Turaif was the original home of the Al Saud family, and the seat of governance of the first Saudi State. To this day, it embodies the rich heritage and culture of the Kingdom. In line with design, development, and preservation standards, DGDA is creating an environment that enhances Diriyah’s historic, national, and international relevance including the preservation of At-Turaif. DGDA is transforming Diriyah into one of the region’s foremost destinations for cultural knowledge-sharing activities and international events. We aspire to

develop Diriyah into a global gathering place by creating rich experiences that narrate the stories of its history, instilling a sense of Saudi pride and creating globally renowned destinations and landmarks. We celebrate the local community and make sure they are cared for in terms of educational development, scholarship programs, professional development, and graduate programs creating solid foundations to build the best possible future for them.

How will Diriyah support the government’s ambitious tourism goals?

We continue to make remarkable strides on the journey toward realizing Diriyah’s sustainable, future-proof master plan across its 194-sqkm jurisdiction. Aimed at catering to all walks of life, DGDA’s ambitious development project seeks to unite historical landmarks distinct to the region with a variety of refined cultural destinations and modern retail outlets. DGDA’s strategy is profound yet straightforward; create new cultural, educational, commercial, hospitality and entertainment offerings to restore Diriyah as a globally connected city where Saudi history is respected, protected, celebrated, and created. The 14-sqkm development is set to accommodate millions of visitors yearly with high-quality infrastructure, beautiful regional landscapes, and a variety of recreational venues that acknowledge and celebrate Diriyah’s local heritage. Through this plan, the authority aims to contribute to one of the Kingdom’s pivotal goals in line with Vision 2030, through supporting the diversification of Saudi Arabia’s national economy. At its center stands At-Turaif. It serves as an enduring reminder of the First Saudi State’s beginnings, the birthplace of its

kings and heroes and the original home of the House of Al Saud.

How are you encouraging the involvement and the participation of the private sector in the Diriyah project?

Diriyah is developing at pace, moving away now from the inception phase and into the development and operation phases. As such, we are looking to bring in private investors from all over the world. Diriyah has already partnered with major global hospitality and F&B brands, such as Ritz-Carlton, Rosewood, Hakkasan and many others, but we are always looking to grow. The largest opportunities for private sector investment are in the tourism and hospitality spaces, infrastructure, construction, and real estate, which we will activate through boosted investment and mutually beneficial public-private partnerships. There are a range of long-term investment opportunities for the private sector available at DGDA. ✖

BIO

As Group CEO of DGDA, Jerry Inzerillo is responsible for all the work undertaken by the authority and its management.

Prior to joining DGDA, he was the CEO of Forbes Travel Guide. He was also one of the key figures behind organizations such as One&Only Resorts, Ian Schrager Hotels, Four Seasons, and Hilton Hotels and served as president of Kerzner Entertainment Group overseeing tourist destinations and properties in South Africa, the Bahamas, Dubai, Morocco, Mauritius, Mexico, and the Maldives, as well as CEO of IMG Artists. In 2021, Inzerillo was awarded one of the tourism and hospitality industry’s greatest accolades—Corporate Hotelier of the World—by HOTELS magazine.

immense VALUE

A intergovernmental cooperative agreement to work on the sustainable development of the Al Ula region, Afalula will help Saudi Arabia and the region truly benefit from the great potential offered by national and international tourism.

Gérard Mestrallet EXECUTIVE CHAIRMAN, FRENCH

AGENCY FOR THE DEVELOPMENT OF AL ULA (AFALULA)

SAUDI ARABIA has launched Vision 2030, an ambitious modernization and transformation plan. It has set out its desire to further strengthen its openness to the world. One of the conditions for this change is the growing influence of Saudi culture and history, through the impressive heritage that the Kingdom has inherited.

A second condition is the development of national and international tourism. It aims to capitalize on the Kingdom’s extraordinary diversity and rich heritage to make the country a leading destination, appreciated by visitors from around the world. The Al Ula project is the result of these new dynamics set in motions by the King and by the Crown Prince.

At the Élysée Palace, on April 10, 2018, in presence of His Royal Highness the Crown Prince Mohammed bin Salman and the French President Emmanuel Macron, Saudi Arabia and France, therefore, signed a major agreement, a historic intergovernmental agreement, related to the sustainable development of the Al Ula region.

Al Ula is the same size of Belgium, a territory spread over thousands of kilometers. It is home to the archaeological treasures from the Nabatean, Roman, and Islamic civilizations at the heart of spectacular desert landscapes. For instance, Hegra, located at the heart of the Al Ula region, has been a UNESCO Heritage Site since 2008.

This region benefits from unique potential that is still largely untapped. It notably owes this heritage to its location: at the crossroads of various Middle Eastern routes, Al Ula has been an incredible meeting point for caravans, merchants, and pilgrims. The promotion of this heritage is a major project for the Kingdom, looking to establish Al Ula as one of the country’s cultural capitals.

France has been chosen by Saudi Arabia for its outstanding cultural reputation, as well as its ability to transform heritage sites into a major global tourist destination. Following this agreement, on July 13, France set up the French Agency for Al Ula Development, known as Afalula, to develop the project working hand-in-hand with its Saudi partner, the Royal Commission for Alula (RCU).

The French Agency will perform two roles: jointly building the project with Saudi Arabia and mobilizing all the French areas of expertise and companies. To accomplish this mission, the agency has brought on board the best experts in all the project’s key areas: cultural engineering, archaeology, architecture and urban master planning, tourism, agriculture and botany, education and management of water resources and the environment, and, of course, security.

This is a streamlined and agile agency, focused on French excellence. Saudi Arabia and France are together committed, committed to implement a new

model for cultural, economic and tourism development, a model focused on the absolute preservation of the environment, respecting history, territories and nature and inclusive, engaging with local communities. A model to help to deliver an experience for tourists that is authentic, experiencing the culture, true to the Arab world’s hospitality that is sensory, experiencing nature and that is artistic.

Al Ula really is an open-air living museum that can offer visitors from around the world a unique journey through time. ✖

BIO

In 2018, Gérard Mestrallet was appointed by the French President as Executive Chairman of Afalula in cooperation with the Kingdom of Saudi Arabia. He is also Honorary Chairman of SUEZ and of ENGIE. Up until 2021, he was co-chair of the Carbon Pricing Leadership Coalition (CPLC). Having held various positions at the Treasury Department and on the staff of the Minister of Economy and Finance (J. Delors), Mestrallet joined Compagnie Financière de SUEZ in 1984. He was named chairman of the management committee of Société Générale de Belgique in 1991 and became chairman & CEO of Compagnie de SUEZ in 1995. Mestrallet was appointed chairman & CEO of GDF SUEZ (now ENGIE) in 2008. He is a member of the board of Société Générale.

GLOBAL PERSPECTIVES

Saudi Arabia is deepening its international ties and looking for ways to preserve, enhance, and best take advantage of its cultural heritage.

WE ARE NOT limiting our efforts to the economic sphere: as a matter of fact, the cultural exchange between the two countries is growing as well. We are extremely grateful for the wide acceptance of Japanese culture, especially Japanese pop culture, such as anime, manga, and so on. In fact in 2021, Saudi Manga Productions under the Misk Foundation, in cooperation with TOEI Animation, a Japanese animation studio, released the film “The Journey,” which explored the ancient history of Saudi Arabia and the Arab Peninsula pre-dating Islam. At the same time, earlier in 2022, a Jeddah Season featured the establishment of an Anime Village. It is clear that there is room to consolidate our cultural dialogue at the higher level. My target is simple: for Japan to become better known among the Saudi people. Both Japan and Saudi Arabia are investing significant resources in tourism; the number of tourists who visited Japan annually had exceeded 30 million in years prior to the COVID-19 pandemic.

Roberto

Vakhtang Jaoshvili AMBASSADOR OF GEORGIA TO THE KINGDOM OF SAUDI ARABIA

AS LAID OUT by Vision 2030, the drive to advance the tourism industry relies on the development of resorts along the Red Sea cost, on the construction of NEOM, as well as on the preservation of the Kingdom’s rich cultural and historical heritage. In this respect, let me highlight the great potential of cooperation to further develop the UNESCO sites of Al Ula or Diriyah, considering the Italian expertise in archeological restoration techniques. We have already deployed an archeological mission led by the University of Naples, “L'Orientale,” aimed at restoring the pre-Islamic historical sites in Dumat Al Jandal in the province of Al Jawf, but much more can be done. This is why I am trying to facilitate the signature of a MoU between the Ministry of Culture of the Kingdom of Saudi Arabia and the Ministry of Culture of the Italian Republic. Let me also remind that Italy will continue to support Saudi participation in the Biennale di Venezia, as well as in other international cultural events, in order to respond to the growing interest showed by the general public toward Saudi Arabia’s vibrant cultural scene.

WE OPENED an embassy in Riyadh in 2014 and since then the links between our countries have been steadily deepening. We highly value this relationship but we have a great deal more to achieve. We work together within international organizations and cooperate closely in different multinational fora. Trade is constantly increasing and I am happy that Saudis can find more and more Georgian quality products in the Kingdom. However, I would say that our main strength relies on people-to-people relations, which is perfectly reflected in tourism. We were privileged to host more than 60,000 Saudis in 2021. As you know, Georgia has become one of the most attractive tourist destinations in the world. Every year we witness an increasing number of tourists visiting Georgia: before pandemic, for example, we hosted foreign visitors twice as many as our own population. Promoting tourism and supporting hospitality industry is therefore paying back, and it gives me a special pleasure that my homeland is particularly appealing to Saudi travelers.

Aníbal Gómez-Toledo, AMBASSADOR OF MEXICO TO THE KINGDOM OF SAUDI ARABIA, BAHRAIN, OMAN, AND YEMEN

THE COUNTRY is now undergoing a highly positive transition. We are learning a lot about what they are doing, and Mexico already has vast experience in different fields, including tourism, ranking among the top 10 countries for international visitors in 2019. Mexico didn’t close its borders during the pandemic and because of this we were among the topthree countries receiving international visitors in 2021. However, we need to return to the pre-pandemic levels. Saudi Arabia’s plan is to welcome 100 million tourists by 2030. They are doing a great job by working in the right direction, and Mexico is ready to strengthen our cooperation with our Saudi friends to achieve their goals. In addition to our experience in the tourism sector, as people we share similar characteristics within our DNA. Both Mexicans and Saudis are generous, welcoming, and friendly, which are key elements to serve better international visitors. Besides, Mexico has turned authenticity into a brand, and it has paid dividends. Here they have the potential to do the same.

Iwai Fumio, JAPANESE AMBASSADOR EXTRAORDINARY AND PLENIPOTENTIARY TO THE KINGDOM OF SAUDI ARABIA

Cantone AMBASSADOR OF ITALY TO THE KINGDOM OF SAUDI ARABIA

Image: Royal Commission for Al Ula

A GLOBAL hub

CDF has an important role as a key enabler of the cultural sector in the Kingdom of Saudi Arabia, contributing to a more diversified GDP and economic development.

Mohammed Bindayel CEO, CULTURAL DEVELOPMENT FUND (CDF)

What have been the milestones for CDF in the past year?

CDF has achieved numerous milestones in the past year. While the focus has been on establishing and launching the Fund, in parallel, numerous achievements have been realized including agreements with financial institutions to deploy capital with Riyad Bank and Kafalah; provision of grants through the Quality of Life (QoL) program; launch of the IGNITE Film Financing program; tapping into the crowdfunding channel through Sukuk and Manafa Capital platforms. The launch of these various initiatives is in line with CDF’s ambition to act as the platform of funding for the cultural sector in KSA through NDF and external capital.

Saudi Arabia is dubbed the fastest-growing economy of 2022 and is actively engaging regional and global players to participate in this journey. What have been CDF’s efforts in promoting the Kingdom’s cultural heritage around the world?

ties

to grow?

CDF has a dedicated team focused on fundraising and investment attraction. The team is in the process of developing packages with clearly and actionable investment opportunities to attract FDI. In addition, CDF’s programs include allocations to encourage international investors to deploy funds in KSA. For example, the IGNITE film financing program has an FDI-focused product. Given the nascent nature of the Cultural sector in the Kingdom, all segments have a high potential to grow.

How is CDF positioning Saudi Arabia as a global hub for tourism and entertainment and increasing the number of visitors?

BIO

A seasoned investment professional with 20 years of experience in treasury, corporate finance, and investment management, Mohammed Bindayel joined CDF as CEO in 2021. Moreover, he currently serves as a board member and executive committee member at Alinma Bank. Prior to CDF, Bindayel’s experience included a leadership role in AlRa’idah Investment Company and, prior to that, 15 years of experience in Saudi Aramco, where he held a variety of treasury and finance leadership roles.

CDF has been actively engaging with regional and global players. CDF’s partnerships and international relations team has been actively engaging with relevant stakeholders to sign strategic partnerships. In addition, CDF has been involved in roadshows globally to engage with cultural stakeholders and investors. Finally, through its partnership and participation at FII, CDF has engaged with global players resulting in numerous potential partnership opportunities.

The Kingdom has seen a rise in FDI in 2022, recording the highest flow of investments since 2011. What are your efforts in attracting FDI to fund Saudi cultural projects? And which segments will see the most opportuni-

Through its funding to the cultural sector, CDF plays a critical role in enhancing the quality of life and the Kingdom’s attractiveness to both its residents and visitors. A vibrant cultural sector is a critical component of a successful touristic destination. To achieve this objective, in its evaluation methodology to extend funding to beneficiaries, CDF incorporates and evaluates the impact on tourism of the project and ranks more favorably opportunities with a higher impact.

What are CDF’s key priorities for the year ahead?

CDF will continue to activate its vision to be the platform of funding for the cultural sector by establishing partnerships with financial institutions and investors, enhancing private sector participation, building the fact base on the cultural sector’s value chains, prioritizing funding deployment, launching new programs and financial products, and increasing its reach in the cultural ecosystem and with various types of beneficiaries. ✖

BIO

Abdullah Al-Rashid DIRECTOR, ITHRA

How is Ithra bridging the gap between Saudi Arabia and the world?

What is Ithra’s function, and how does it fit within the strategy of Saudi Aramco?

Ithra is an institution supported by Aramco, and on the 75th anniversary of the company in 2008, King Abdullah joined in on the celebration. Aramco wanted to commemorate that moment by placing a marker on the future of its contributions to the community. The idea, at that time, was to create a cultural center. The core of it was the thought that if oil and energy were the source of prosperity for the Kingdom for the past 100 years, then the investment in human capital and people would be the source of growth for the next 100. In 2008, the cornerstone for Ithra was laid, and in 2018 its doors opened.

International dialogue and exchange are essential, and the question is how to shed light on true local stories, cultures, and experiences rather than what the media portrays as stereotypical. Those who have visited Saudi Arabia can attest to the disparities between those narratives, which is vital. One of the ways to allow for an authentic narrative of these local stories is through art and culture. It is an important component that needs to be put in place, first amongst the local audience because even within Saudi Arabia it is essential to tell these stories abroad where there is considerable interest in this part of the world.

What are Ithra’s goals for future years?

We aim to continue building modern cultural destinations. We are confident that new organizations and institutions will open up in Saudi Arabia, and so we need to remain ahead of the curve on a global level regarding global destination management in terms of arts and culture. It is our primary goal. ✖

John Ramsay Oliver COUNTRY DIRECTOR, SAUDI ARABIA, TURQUOISE MOUNTAIN

As far as heritage preservation and cultural tourism are concerned, how are things changing in Saudi Arabia?

Saudi Vision 2030 recognized the importance of developing, recording, protecting, and enhancing the rich heritage and beauty of Saudi Arabia. And the more you look at opening up the country, bringing in tourism, and investing in different streams of revenue, then the more important your country’s heritage and culture become. What we are witnessing is a cultural renaissance—and it is happening fast.

The Ministry of Culture and the Ministry of Tourism are joining forces with multiple Royal Commissions to preserve and develop, and make accessible to all, the Country’s heritage and culture.

What channels is Turquoise Mountain investing in to promote its products?

We will support the development of an online platform in arts and crafts as well as collections for physical retail shops. I would love

all people to be able to easily access and buy beautiful products made in Saudi Arabia made by local Saudi people. We work with Artisans in more than 20 crafts, each with a range of different artisans all around the country. We work with government departments, government entities, philanthropic organizations, and commercial partners all to build the capability and capacity of this sector and to make the vision come to life.

Can you elaborate on your consolidation and expansion strategy?

Our aim is to help as many Saudi artisans make a sustainable living from making beautiful products and increase the awareness and pride in the amazing diversity of arts and craft traditions in the country. To date, our artisans have produced over 17,000 products for commercial commissions. We would love to keep helping to grow these sales and make it more common place to buy a product which tells more of the wonderful story of Saudi heritage. Our government and commercial contracts continue to grow, and we have a commitment to be in Saudi Arabia for as long as there is a need and demand for our services. ✖

John Ramsay Oliver had a long career as a civil servant in government departments and working directly with government ministers both in the UK and Saudi Arabia. His long-time passion for international arts and crafts led him to open a small artisanal retail shop in London. He has worked for Turquoise Mountain in Saudi Arabia for the past five years.

PROTECTING THE PAST

SAUDI ARABIA is in the middle of a transformation—perhaps one of the greatest socioeconomic reforms that a country has seen in the 21st century. Vision 2030, as the centerpiece document of this nationwide transformation, has put a great deal of emphasis on improving the public image of the Kingdom, including through the showcasing of Saudi Arabia’s rich and unique cultural and history.

Although the Two Holy Mosques, in Mecca and Medina, are the most iconic heritage sites in the Kingdom of Saudi Arabia and are respected and visited by Muslim pilgrims from across the world, the country is home to a unique mix of other cultural attractions.

The ancient city of Al-Hijr (also known as Hegra) near the town of Al-Ula, which dates back to pre-Islamic times, is a case in point. The site has been described by UNESCO as “an outstanding example of the Nabataeans’ architectural accomplishment and hydraulic expertise,” which has also noted that it is the “largest conserved site of the civilization of the Nabataeans south of Petra.”

There is no shortage of such sites in Saudi Arabia. The rock petroglyphs of Bir Hima in the province of Najran contain inscriptions and instances of ancient art dating back to 7000BC. Hima cultural area was not recognized as a UNESCO world heritage site until as late as 2021, despite its huge archeological importance and ability to attract visitors.

All that, however, is about to change, as a number of stakeholders are ramping up their efforts to preserve the traditions, monuments, and intangible cultural heritage (ICH) of Saudi Arabia. A restructuring in the organizations responsible for cultural preservation is expected to raise the visibility of the Kingdom’s rich heritage.

The Ministry of Tourism was re-launched in 2020 to look after not only tourism but also the preservation and showcasing of the Kingdom’s historical monuments, architectural wealth, and traditions. The ministry took over the activities of older government bodies such as the Saudi Commission for Tourism and National Heritage and Saudi Commission for Tourism and Antiquities.

The ministry describes the vision behind its formation as follows: “The Kingdom of Saudi Arabia, as the cradle of Islam seeks a value based, distinctive tourism development with the social, cultural, environmental, and economic benefits proceeding from the Islamic values, ancient heritage and authenticity of its famed hospitality.”

The integration of Saudi cultural heritage authorities in the Ministry of Tourism is not unexpected. Cultural heritage is inevitably linked to tourism, especially as cultural tourism is one of the pillars of the sector in Saudi Arabia. Ahmed Arab, a former deputy of the Ministry of Tourism, told TBY his ministry has identified 4,000 heritage sites that can contribute to tourism, pointing out that the ministry is counting on 100 million visitors and 1 million jobs.

More heritage sites have been making their way to the national register, which is of course the first step for receiving recognition from UNESCO as well. In late 2022, some 101 new historical sites were recognized by the Kingdom. “The new locations include 81 in Hail, 9 in Tabuk, 6 in Madinah, 3 in Qasim, and one site each in Asir and Jouf,” according to Fast Company Middle East, a business intelligence firm.

At the same time, Saudi Arabia is reinforcing its ties with international tourism organizations such as UNWTO, which opened its new offices in Riyadh in 2021. As Saudi Arabia is capitalizing on tourism as a sustainable contributor to the economy, “UNWTO will guide us through this transition,” notes Ahmed Arab.

The Ministry of Tourism is “currently unlocking destinations,” including places such as “Abha, Al Hashr, and Jeddah,” as Ahmed Arab explained to TBY. Given the Kingdom’s rich heritage, it is clear that cultural tourism will be a major segment of the tourism industry. Cultural tourism shows a 30% growth year-on-year, according to a 2021 report by the Saudi Ministry of Culture. The trend has continued throughout 2022.

Many cultural sites are now under renovation and will soon be opened to visitors. At-Turaif is but one such example. As the ancestral house of the Al Saud family and the modern Kingdom’s capital, At-Turaif is replete with history and tradition. The Diriyah Gate project is expected to attract up to 20 million domestic tourists as well as 7 million international visitors each year.

All this can make the Kingdom’s tourism sector highly attractive to investors. As Qusai Al-Fakhri, CEO of Saudi Tourism Development Fund, puts it, “Saudi Arabia has the foundations to thrive in tourism. Its geographical location, historic sites, rich culture, growing population and strong purchasing power mean the Kingdom provides some of the world’s best tourism investment opportunities.” ✖

An organizational overhaul of Saudi Arabia’s cultural heritage sector has enabled the Kingdom to attract cultural tourists in large numbers.

Tourism

orecasts suggest a massive return to form for the tourism industry in Saudi Arabia. According to the Tourism Barometer of UNUWTO, KSA’s tourism industry has grown exponentially over the last year when compared to pre-pandemic international tourism.

Saudi Arabia is benefitting from a huge boom in tourism after the return of more than 1 million Muslims to the 2022 Hajji pilgrimage after two years of travel bans imposed by the pandemic. As a result, hotels in Mecca recorded an increase of 106% in occupancy compared to 2021, and a further 80% increase is forecast in Medina for the year. The two cities are marking the biggest leap in YoY hotel occupancy rates across the entire GCC region.

Both Riyadh and Jeddah are capitalizing on the booming tourism landscape, which is also helping to shape the national economy. Several factors, including an increase in leisure tourism from events, such as the Saudi Seasons initiative in Jeddah and in the capital, are playing a pivotal role in the positive performance of the sector.

In 2022, the Jeddah leg of Saudi Seasons attracted more than 2 million visitors within its first month. The event lasted 60 days, starting on May 2, and was filled with musical and cultural performances. According to national news sources, more than 200,000 people attended the event during the first three days alone.

Many high-class hotels in Jeddah are capitalizing on the tourist flows to the city. Among them, Park Hyatt Jeddah – Marina, Club, and Spa is setting the standard within the industry, as it is blessed by the most beautiful location of any of the city’s hotels and offers one of the best services in town.

The Riyadh leg of Seasons also performed. Visitors exceeded 10 million in total, including 1 million tourists. Back in 2021, the events included more than 7,500 days of activities, 10 international exhibitions, and more than 350 theatrical shows, in addition to an international car exhibition and auction, more than 70 cafes, 200 restaurants, a video games tournament, and more than 100 interactive experiences.

Anchored by the National Tourism Strategy, the development of Saudi Arabia’s tourism sector is driven by the ambition of elevating the reputation of brand Saudi Arabia into the leading destinations regionally.

Tourism is a key priority of the national vision, with the government of the Kingdom developing innovative tourism projects that will contribute to raising the economic contribution of the industry from 3% of GDP to 10% by 2030.

If the target is hit, the contribution of tourism to national GDP could exceed SAR635 billion (USD169 billion), with 100 million visitors visiting the Kingdom by 2030. ✖

A GLOBAL hub

With a clear focus on growing tourism responsibly and sustainably in the region and beyond, UNWTO is banking on its Riyadh Regional Office becoming a global hub for tourism education and the transformation of the sector.

As far as tourism is concerned, how would you assess the performance of the Kingdom of Saudi Arabia?

I first met Minister of Tourism Ahmed Al Khateeb in 2018. Since then, we have worked closely together and achieved a lot. UNWTO was proud to be there when the Kingdom opened up to international tourism for the first time in 2019, and we opened our first Regional Office for the Middle East in Riyadh in 2021. It is no exaggeration to say that Saudi Arabia is rewriting tourism history, and UNWTO is proud to be a part of it.

Why was Riyadh identified as the ideal city to establish the new UNWTO Regional Office?

The Kingdom of Saudi Arabia is a clear and strong supporter of tourism. It has identified the sector as a key pillar of economic diversification and opportunity for all. So, the members of the UNWTO Executive Council endorsed the offer of Saudi Arabia to host the first-ever UNWTO Regional Office for the Middle East. Saudi Arabia also has a young, talented, and motivated workforce, and the country is a hub of innovation, embracing new ideas and the digital transformation of every sector, tourism included. This talent and energy are now reflected in the personnel we have welcomed to work in our regional office.

How will the regional office support the growth of a responsible and sustainable tourism not only in the Kingdom, but also in the entire region?

important and will make such a difference. We also need to ensure that tourism’s growth is inclusive and that everybody benefits. One key way of achieving this is by ensuring tourism’s potential as a driver of rural development and opportunity is realized. Again, the regional office is leading the way here.

In June 2022, leaders from the public and private sector gathered at Jeddah Call to Action. Can you elaborate on the highlights of this event?

The Jeddah Call to Action was signed within the framework of the 116th session of the UNWTO Executive Council. By hosting the council—the second-most important statutory body of our organization, behind the General Assembly—the Kingdom of Saudi Arabia demonstrated its clear support for our mission. The Jeddah Call to Action recognizes that we need to build a new model of tourism governance if we are to truly transform our sector.

The official celebration of World Tourism Day will be held in Saudi Arabia in September 2023. What specific themes will be highlighted during the celebrations?

Zurab Pololikashvili has been SecretaryGeneral of UNWTO since 2018. Prior to this, he held a number of high-level roles in both the private and public sectors. After graduating with a degree in banking, Pololikashvili gained extensive experience in the private sector, including with a prominent role in one of Georgia’s biggest banks and as CEO of the country’s leading football team, FC Dinamo Tbilisi.

The UNWTO Regional Office for the Middle East fast becoming a global hub for tourism education, and of tourism for rural development. The work being done from the regional office reflects the priorities of UNWTO and our vision for a tourism sector transformed. Above all, if we are serious about growing tourism responsibly and sustainably in the Kingdom and across the whole Middle East region, then we need the people, which is why tourism education and skills development programmes being run out of the office are so

It will be a real pleasure to be back in Saudi Arabia for the official celebrations of World Tourism Day in 2023. The theme for the year will be Tourism and Green Investments. We chose this to highlight the importance of boosting investments into tourism. Countries, destinations, and businesses all want to be more sustainably, and our sector is making real progress—just look at the interest in our Glasgow Declaration on Climate Action in Tourism. In the first year since its launch alone, more than 700 businesses, destinations, and even governments have signed up. However, in many cases, investment is the missing ingredient in turning good intentions into action. In Saudi Arabia, we will make clear the case for more and smarter investments into tourism so as to accelerate the shift to a more sustainable sector. ✖

Zurab Pololikashvili SECRETARY GENERAL, WORLD TOURISM ORGANIZATION (UNWTO)

driving TOURISM FORWARD

In addition to working on its goals to boost domestic and international tourism in Saudi Arabia, the Ministry of Tourism is also working to ensure sustainable growth of the sector that benefits all stakeholders.

Saudi Arabia aims to attract 100 million tourists a year by 2030. What key areas is the ministry currently working on to hit this ambitious target?

I have been part of Vision 2030 since its inception, and one of its biggest levers is the diversification of the economy. In September 2019, the Ministry of Tourism launched the National Tourism Strategy, which was followed by the introduction of the E-visa or visa on arrival for tourists for the first time. We have set three ambitious targets to be achieved by 2030: attracting 100 million overnight visits per year, creating 1 million jobs in the sector, and increasing the tourism sector’s contribution to the national GDP to 10%. Unfortunately, COVID-19 hit about four months after we opened up the country. Still, this gave us an opportunity to look inward rather than outward. Since mid-2021, we have worked on the tourism ecosystem to define the destination clusters and their propositions, as well as defining the visitor journey from inspiration level until they return home. As part of this process, we have identified both the positive and negative aspects of the tourism experience, as well as the gaps from demand side that can help improve on these. We defined the necessary steps, worked on managing satisfaction, gained further insights, and improved supply.

SMEs are the backbone of every segment of the national economy, including tourism. How is the ministry positioned to foster and support the development of SMEs in the sector? Human capital is a critical pillar for any sector. When it comes to tourism, this criticality rises exponentially as the front liners represent a cornerstone of our

sector. We are developing the skillsets of people working in the tourism sector and have launched specific programs including Hafawa, concierge and secondment programs, and the Master Executive Program. Referring to SMEs, it has a major contribution to the sector. We have programs such as the Activator, where we scale up tourism SMEs through coaching and mentoring. We are 100% aligned in the ecosystem to foster SMEs and are collaborating with Tourism Development Fund (TDF) and working on an SME hub. The ministry has also collaborated with UNWTO to create the Tourism Recovery Summit, signaling we are well-positioned to push the sector forward.

The new UNWTO Regional Office for the Middle East was officially inaugurated in Riyadh in 2021. What is the importance of hosting such a relevant institution within the global tourism industry?

It is important for such an organization to be based here. The presence of the UNWTO regional office in KSA reiterates the significance of tourism as a priority for the Kingdom. We want to help the sector across the region, not only in Saudi Arabia. Tourism is a value chain. The positioning of the organization is not a silo, but rather about working with all government entities to push the sector, both locally and regionally. Sustainability is also a priority for Saudi Arabia, as it is for the whole world. We want tourism to be part of the solution to the global problem of greenhouse emissions. With this in mind, we initiate a multilateral and multi-stakeholder platform. In October 2021, we inaugurated and launched the Sustainable Tourism Global Center (STGC), which can help gov-

ernment entities, academia, international organizations, SMEs, and travelers in sustainability.

What are your short-term targets and objectives on your agenda?

We seek to focus on our tourism offerings and are working with destinations to deliver this. We want travelers to have unforgettable pleasant experiences. We are currently unlocking destinations, and this summer focused on Abha, Asir, and Jeddah. We are also planning a winter campaign and trying to align all our efforts with upcoming events such as the World Cup. In 2021, we reached an alltime record for domestic visitors, and I expect amazing results for 2023 as well. ✖

Ahmad Arab was the Deputy Minister for Strategic Planning & Business Intelligence at the Ministry of Tourism, as well as a board member of both Jeddah Airport Company and the Air Connectivity Program. In addition to being a Harvard and INSEAD alumni, he holds a bachelor’s degree in electrical engineering from King Fahad University of Petroleum and Minerals. Previously, he held a number of senior leadership positions including deputy governor for strategy at the Saudi Arabian General Investment Authority (SAGIA), secretary-general of the National Investment Promotion Committee (also at SAGIA), general manager of projects and planning at the Communications and Information Technology Commission, and VP for Arab League ICT Strategy Development at the League of Arab States.

BIO

Ahmad Arab FORMER DEPUTY MINISTER, STRATEGIC PLANNING AND BUSINESS INTELLIGENCE, MINISTRY OF TOURISM

SAUDI ARABIA’S TOURISM AMBITIONS ARE HIGH AND THE STRATEGIC ECOSYSTEM IS READY, ABLE, AND OPEN FOR BUSINESS

enhancing the VALUE PROPOSITION

Working to boost the local tourism sector, TDF is focused on driving further growth, thereby enabling private-sector investments.

Qusai Al-Fakhri CEO, SAUDI TOURISM DEVELOPMENT FUND

What is TDF’s mandate?

Saudi Arabia has all the key ingredients for a thriving tourism destination. Its geographical location, historical sites, rich culture, growing population, and strong purchasing power provide the Kingdom with some of the world’s best tourism investment opportunities. TDF was established to enable its investors to access a country that opened its doors to tourists in 2019 and is primed for development. Our role is to drive growth in the immensely promising tourism industry by enabling private sector investments. We provide financial and non-financial solutions to SMEs and large investors to enable investments across geographies and sectors in alignment with the Saudi National Tourism Strategy, which aims to increase the number of visits to Saudi Arabia to 100 million by 2030.

What are the mechanisms that ensure quality to match the growing number of tourists?

TDF assesses every opportunity with significant consideration, and we are conscious that suitable mechanisms must be in place to ensure that large numbers of tourists are welcomed and that they also truly experience the Kingdom’s worldclass offerings. The Ministry of Tourism recently issued a new licensing and classification model as well as service quality reviews for the hospitality sector in Saudi Arabia, and these will help ensure all tourists receive a high-quality experience in the Kingdom. We are focused on delivering what we define as “game-changer” projects, often bringing innovative concepts to the Kingdom, or even region, for the first time. For example, we recently established a SAR1.5-billion joint investment fund between En-

nismore and Al Rajhi Capital, as well as a strategic partnership with Melia Hotels International worth SAR1.1 billion. We also have agreements with Playa Hotels and Resorts, which will bring its unique all-inclusive concept to the Kingdom, and the Deutsche Hospitality Group, who will introduce the first Steigenberger Porsche Hotels in the Middle East. These are only the beginning: we have a strong pipeline of projects that will provide unparalleled offerings to encourage tourists to visit Saudi Arabia.

What subsectors within tourism is TDF helping grow?

TDF has identified six sub-sectors that are primed for growth. These are tourism destinations and attractions, tourism and travel services, accommodation, tourism experiences and activities, F&B within tourist destinations, and tourism retail. These sectors provide significant investment opportunities for investors, and momentum continues to grow every day. Accommodation and tourism experiences and activities, in particular, are sectors that we have earmarked for solid growth over the coming year, having signed a series of MoUs with leading entities in these spaces. We also seek to expand our affiliations across other sectors that impact the future of tourism, including closer collaboration between private and government sectors.

How does TDF enable the ecosystem?

TDF has unlocked capital of SAR22.6 billion and added 7,500 hotel rooms to the Saudi tourism industry. Beyond that, the fund also offers a range of opportunities beyond simple funding. TDF can support investors with finding the right

land to develop, sourcing the latest data on the local market, promoting regional culture, and working with investors to ensure the projects fulfil the correct criteria and include the right components. These are all ways in which TDF is taking a holistic approach to driving regional economic growth and supporting domestic tourism.

What are your goals and objectives for 2022? We remain committed to our long-term strategy, building upon our successes to further enhance the Kingdom’s tourism value proposition. In 2021, we marked several milestones, including strategic partnerships that introduced revolutionary concepts and offerings to the Saudi tourism landscape. These are projects with tangible impact for the Kingdom that will enable TDF to contribute to realizing Saudi Vision 2030. We will continue to drive forward our mandate of unlocking the entire tourism value chain, developing the economy, maximizing private-sector investor participation, and preserving capital. ✖

BIO

Qusai Al-Fakhri currently serves as CEO of the Tourism Development Fund of the Kingdom of Saudi Arabia. Prior to that, Qusai served as an investment advisor to the Minister of Tourism. Al-Fakhri is a seasonal banker possessing more than 20 years’ experience in corporate and investment banking gained at local as well as international institutions.

NEW vision for tourism

Red Sea Global's goal is to create a unique luxury international tourism destination that celebrates local cultures and talent while being environmentally sustainable.

What are the common denominators of the Red Sea project and AMAALA?

The Red Sea has untouched beauty, which is remarkable today. There is a pristine marine environment, and there are thousands of islands that have not been built upon. It is an amazing opportunity for tourism development but also a huge responsibility. We have beautiful islands, an amazing marine environment, and importantly, thriving coral reefs. We are operating in the fourth-largest barrier reef in the world; being on the west coast of Saudi Arabia far from the Indian Ocean, El Niño and other bleaching events that have decimated other reefs have not touched ours. The burden for us is the responsibility not to impact this unique, special, and pristine environment.

In what sense are these projects game changers for the tourism industry regionally and internationally?

BIO

John Pagano was appointed CEO in 2018 and is responsible for leading Red Sea Global's development from the ground up. Pagano brings more than 35 years of international experience in delivering large-scale development projects, previously serving as President of Baha Mar Development Company Ltd. (BDMC) based in Nassau. He then spent over 23 years at the Canary Wharf development in London, holding several leading executive positions. He holds a bachelor’s degree in engineering from the University of Toronto.

The projects we are working on will be a game changer for Saudi Arabia. Vision 2030 is about diversifying the economy and moving away from the dependence on oil. And meanwhile, tourism is an important sector: before the pandemic, it had employed one in 10 people worldwide, and almost one in four jobs was supported by tourism. Saudi Arabia is a highly visited country but mostly by pilgrims coming to Mecca and Medina. We are developing projects that present huge growth opportunities. Regionally and domestically, it is a game changer for the Kingdom, particularly as it relates to our ambitions to satisfy Vision 2030. The projects will boost the Kingdom’s GDP; the Red Sea and AMAALA will create 120,000 jobs, half of them direct. It is clear that we have a unique opportunity. We are backed by the Crown Prince himself and the Public Investment Fund; this is nothing less than an opportunity to change the meaning of tourism and hospitality in the country.

What emphasis are the projects you are realizing in The Red Sea and AMAALA placing on the art, the valorization of cultural heritage and authenticity?

Tourists demand authenticity. We want to be quintessentially Saudi because I am

proud of the culture and people of this land, and I want to celebrate them. Everything we do is built around the people who live around us; we want them to be part of the success of The Red Sea. We are working with local artisans and craftspeople and farmers. We are creating a cooperative to help the farmers become better organized and adopt sustainable techniques so they can sell their produce to us, among others. We are positioning the project as celebrating the Saudi culture and people. The hospitality is renowned and genuine. We work with the Ministry of Culture, having signed MoUs with them to help promote culture and the arts; Amaala has a much bigger emphasis on this, and we’re building art galleries there. We sponsor a major annual arts event in Jeddah. AMAALA will notably celebrate local art and talent. We have signed a deal with the University of Napoli and with the Ministry of Culture regarding a sunken shipwreck just south of AMAALA. The wreck contains thousands of jars, and we will recover them to reveal their secrets. We can help travelers to experience the entire rich culture of the country.

What are your short-term targets?

My top priority is to ramp up and open doors in 2023. We will be opening our first three resorts: St. Regis Red Sea Resort, Nujuma, A Ritz-Carlton Reserve, and Six Senses Southern Dunes, The Red Sea. Meanwhile, we will continue to make progress on the other 13 hotels as part of phase one at The Red Sea. At the same time, we have eight hotels under construction at AMAALA that will open at the end of 2024. Our short-term priority is operationalizing the destination. We are in a remote location so we have to take care of every consideration ourselves. We have to make sure the supply chain is in place, and that will be the focus of the next six months. ✖

“Red Sea Global and AMAALA will create 120,000 jobs, half of them direct.”

John Pagano CEO, RED SEA GLOBAL

BREATHING LIFE INTO HERITAGE

Sustainable tourism is being primed to make a huge contribution to the KSA’s economy, but moreover to reveal the cultural heritage that merits wider appreciation.

SAUDI ARABIA is determined to develop a major revenue stream by encouraging tourists to stream in. In fact, the target of its transformative Vision 2030 is a sector worth USD1.86 trillion by that year, and one that boasts 500,000 mostly new rooms. At that point, it is hoped, 100 million annual visitors would contribute up to 15% of the Kingdom’s highly diversified GDP.

SHOWCASING NATIONAL IDENTITY

The government is adamant that tourism’s role runs deeper than economics, by extending international awareness of national identity and a rich heritage with roots in pre-history. As such, the goal is to look beyond pilgrimage in order to enrich the KSA’s cultural soft power; a theme explored separately in this book. And so, as ongoing social reform reshapes cultural mores and opens the nation up to the world, the natural and historical wonders long acknowledged by UNESCO are reaching a wider audience. UNESCO officially recognizes six World Heritage Sites in the Kingdom. Hima in the mountainous southwest was an ancient trade route. Today, Hima comprises 34 archaeological sites featuring inscriptions in languages including Arabic, Greek, Thamudic, and Musnad telling its story carved into the living rock. Diriyah, also a historic trading hub, is where to see Al Turaif, the Al Saud family's original home, established in the 15th century. A vertiginous glimpse at time can be made in Al Hail Region that - deep in the desert - features some of the oldest rock inscriptions to be found in the Middle East. The inscriptions in Jabal Umm Sinman in Jubbah, between 7,000- and 9,000-years old date them to the Neolithic period. A Guinness World Record awaits the traveler in Al Ahsa, the world’s largest self-contained oasis. Then at the heart of Jeddah is the historic old town, Al-Balad, where 500-year-old houses built from coral take pride of place. And then there’s AlUla…

…AN EXERCISE IN SENSORY PERCEPTION

At the proverbial heart of the KSA’s cultural and touristic initiatives lies the AlUla project, a magnificent sight-and-sound undertaking that will blend archaeological splendor with cultural and touristic amenities in what has been termed ‘an open-air living museum.’ The setting is a region in northwestern Saudi Arabia comparable in size

to the US State of Maryland. In February of this year the Royal Commission of AlUla confirmed that the city would commence operation as a year-round destination in 2023 hosting roughly 250,000 visitors. In fact, as a living conservation zone, AlUla is destined to become no less than the cultural capital of the KSA, and a true reflection of Arab heritage and tradition. Foreign commitment also came into sharp relief when, this September, Singaporean hospitality firm Banyan Tree launched its first resort in AlUla. The government’s AlUla blueprint proposes five distinct districts with 5,000 hospitality keys, all set in a 9km regenerated cultural oasis. Along with this will come 10 million square meters of green and public areas and a 20km Wadi of Hospitality. To get the tourist there AlUla Airport’s annual capacity is set to rise from 100,000 to 400,000 passengers. According to the project’s Journey Through Time Masterplan, the projected timeframe for delivery of the five districts is 2035. AlUla is designed as a fully immersive experience that will hold the torch of a rich heritage while bearing it into the future of the still-reforming Kingdom. AlUla has another advantage in its climate, which being somewhat cooler touch of the country, invites tourists to engage in a wider array of more adventurous outdoor activities. But, of course, the real magic lies in its history originating deep in the mists of Neolithic time. The Jabal Al-Fil, Elephant Rock, makes for just one unforgettable memory.

THE ENIGMA OF THE MUSTATIL

A significant archaeological discovery in AlUla aided by aerial photography has the potential to shed new light on ancient cultures elsewhere in the world. Because the area features 350 examples of largescale structures scattered across Saudi Arabia called Mustatils. There are over 1,600 in total across the Kingdom. These rectangular structures were erected by people still unknown over 8,000 years ago. The Bedouin enigmatically refer to them as the works of ‘the old men.’ A particularly interesting theory is that, rather like the Nazca Lines of Peru, these Mustatils were meant to be seen from the air, perhaps by the dead. We’ll leave any alternative aerial observers to the reader’s imagination.

Saudi Arabia is shedding new light on its heritage as it forges ahead with a comprehensive state policy to secure its sustainable future. ✖

bringing the world TO SAUDI ARABIA

Despite having one of the youngest fleets in the world, SAUDIA has already gained recognition as a five-star global airline, providing passengers with the ultimate in comfort.

Ibrahim S. Koshy CEO, SAUDIA AIRLINES (SAUDIA)

What does the MoU between SAUDIA, SDAIA, and SCAI entail, and how will digitalization enhance operations for SAUDIA?

This partnership is set to explore means to deploy AI-powered solutions that will enhance the airline’s operations. The MoU entails plans to develop AI applications and improve customer experiences using the latest emerging technologies and utilize technology to process spoken languages across SAUDIA’s customer care applications and other digital channels. Our digital transformation is not only focused on SAUDIA but across the group as well. Our digital lab team is always on top of technological trends and is currently developing some amazing technologically advanced products and services. In a post-COVID-19 world, human contact is still kept to a minimum, so digitalizing is the way forward. We have accelerated our digital transformation program through our “contactless travel journey” that we implemented since the start of the pandemic.

As the world of travel has gone back to normal. How is SAUDIA Airlines shaping its competitive advantages in a region full of fierce competition?

SAUDIA differentiates itself by offering unmatched comfort and hospitality and maintaining the highest standards of quality and excellence. Operating one of the youngest fleets in the world, we provide our guests with superior customer confidence and comfort. While the industry trend is for airlines to pare down services in order to reduce costs, SAUDIA is moving in the opposite direction and investing in our products and services. The safety and hygiene standards

we implemented during the pandemic have served to improve our guests’ experience, and while we are not required to apply them as stringently as we did at the height of the pandemic, there are measures we have maintained to ensure our guests feel comfortable throughout their journey. We also are continually improving our onboard services and culinary offerings through regularly launching innovative services and expanding our network to new destinations. Our proactivity is winning us the confidence of our passengers. One of our main objectives is to improve Saudi Arabia’s connectivity with the rest of the world, which brings a host of benefits for the Kingdom and its people, as well as our international guests. Firstly, we are meeting the needs of a Saudi public whose economic power and interest in worldwide travel are increasing exponentially. At the same time, we are also making it easier than ever for people from all corners of the globe to visit the Kingdom and experience its unique heritage and dynamic arts, culture, events, and entertainment offerings.

Tourism is a pillar of Vision 2030, and travelers are eager to discover the Kingdom. How is SAUDIA aiding in accelerating the sector? Our aim is to be the wings of Vision 2030. Previously, SAUDIA connected the Kingdom to the rest of the world; however, now our new mandate is to bring the world to Saudi Arabia. We are committed to supporting Vision 2030’s objectives to attract 100 million tourists and 30 million umrah pilgrims to the Kingdom annually. We are actively contributing to the development of various sectors including

tourism and logistics, in addition to improving the Kingdom’s connectivity with the rest of the world with the long-term objective of strengthening the country’s economy; furthermore, we actively seek partnerships to accelerate the sector by supporting international sports events such as Formula-E, Saudi Cup Equestrian Race, and Rage on the Red Sea, the international Heavyweight Championship. We will fully support the government’s efforts to boost connectivity and facilitate movement between the Kingdom’s regions and strengthen its relationship with other countries. We are also committed to supporting Saudi Arabia’s transformation into a global logistics hub with our new state-of-the-art hub at Jeddah’s King Abdulaziz International Airport (KAIA), which will allow us to increase transit travelers through a special stopover visa that we will be implementing soon. The new Al Fursan Lounge that was launched in 2021 accommodates international travelers flying from or transiting via KAIA in Jeddah. ✖

An airline captain and 30-year veteran of the industry, Ibrahim S. Koshy is CEO of SAUDIA. Koshy is leaving his mark on the ongoing accelerated transformation to improve operational efficiencies and to transform SAUDIA digitally. He is an alumnus of ERAU in the US and Cranfield in the UK. He serves as a board member on regional and international aviation safety bodies.

BIO

Oliver Rees GENERAL MANAGER, JEDDAH YACHT CLUB & MARINA, SAUDI ARABIA

Does the Jeddah Yacht Club & Marina plan to host competitions and events for water sports to be a part of the growing sports and entertainment industry in the Kingdom?

We are working closely with the Saudi Sailing Federation. We hosted the first-ever Saudi sailing nationals in June to qualify people to enter into races around the world. In fact, World Sailing voted to recognize Saudi Arabia as an official sailing country, and Saudi Arabia can now identify talented sailors to train and compete; however, as a club, our long-term objective is to help the country identify talented athletes that could win an Olympic medal for Saudi Arabia.

What environmental practices is the Jeddah Yacht Club & Marina undertaking?

We aim to be recognized by La Belle Classe, a Monaco Yacht Club initiative that rewards accreditations to yacht clubs in fields such as sustainability and environmental practices. We will follow common and international standard practices of making sure our marina does not further pollute the area. We will also have different environmental practices that we need to follow and then apply to get a Green Marina status, which is another standard by the British and Australian Marine Federation.

What does it mean to combine Swiss standards with Saudi hospitality values, and how does this distinguish your company from its competitors?

Saudi Arabia is famed for its hospitality; we have been raised practicing those hospitality values for generations now, and it is in our DNA. However, we have noticed a variance in the approach of how we serve and welcome others, as we do not follow a specific standard since it is not taught institutionally. Therefore, since 2014 our mission has been to merge between the renowned Saudi hospitality values and the finest hospitality standards found in Switzerland and globally to redefine an elevated Saudi hospitality standard and upgrade the service quality like no other country and position Saudi Arabia among the top tourism hubs globally.

What are your main strategies for promoting hospitality in the Saudi job market?

Saudi Arabia is committed to develop the tourism industry like never before, and we are committed to highlighting the potential of such opportunities in the long term and to be classified as career opportunities rather than just a job. There is a clear qualitative and quantitative gap in the Saudi tourism workforce that generates many opportunities for aspiring leaders and passionate individuals.

What is the mandate and vision of Ebda?

Ebda in Arabic means “let's start something.” It is a real rallying cry, a call to action. It was born out of the new opportunities available to the youth and the Kingdom. As a mandate from the Crown Prince himself, there has to be a significant contribution from the private sector and the public sector to proactively engage. Edba represents starting something and driving forward the relationship between the public and private sectors. It is a collaboration between four prominent Saudi innovators, entrepreneurs, and industry leaders. We aim to build sustainably anchoring our work in the people who have been building and investing in the Kingdom through industry, retail, and trade. The same methodology has to be applied to sports, entertainment, hospitality, and the tourism sector. Ebda was founded in 2020, and it has been a whirlwind with the lockdown. At the time, the space of sport and entertainment was extremely chaotic, and we had to find our own niche. We decided to focus on youth and find our niche in adventure. We design, invest, and operate adventure-led, sports-driven, and wellness-inspired assets. Self-wellness for Ebda comes from achieving something and having something that belongs to you.

Rosanna Chopra FORMER CEO, EBDA, CURRENT EXECUTIVE DIRECTOR, DESTINATIONS, RED SEA GLOBAL

Salman S. Gasim CEO, SWISS HOSPITALITY COMPANY

Image: Khaybar

Image: Royal Commission for Al Ula

Entertainment

LET US ENTERTAIN YOU

There is no doubt that we are in the midst a transformational era when it comes to Saudi Arabia’s entertainment sector. It was as recently as 2018 that a 35-year ban on movie screening ended, part of wider Vision 2030 initiatives to transform both society and the economy. Today, Saudi Arabia is hoping to leverage a cultural dividend to increase its global soft power.

Saudi Arabia has gone from having close to zero entertainment venues to being a Middle Eastern hub for events, art exhibitions, and music festivals. Vision 2030’s overall goal is not only to enhance quality of life, but to display to the world how Saudi Arabia can do it better. It has driven the Saudi population to travel abroad less and seek entertainment at home, as well as brought an increasing number of tourists to Saudi shores from all over the world. However, with new sectors comes new regulations and policies, and with the help of entities such as the General Entertainment Authority, Saudi Arabia is focusing on developing the kind of governance that will allow the entertainment sector to grow. And grow it shall. The sector is set to rise in value to USD1.17 billion, an annual growth rate of 47.65%, with

hundreds of new entertainment centers, theme park projects, cinemas, and others to be built, by the end of 2030. Public Investment Fund (PIF)owned companies such as SEVEN will invest over USD13 billion to establish 21 entertainment destinations across various cities in the Kingdom. This is in line with Vision 2030 efforts to diversify the country’s sources of income and enhance visitor experiences and establish partnerships with global leaders in entertainment.

Plans are also in motion to assist in developing the entertainment sector by establishing centers for creativity and providing a voice for local creative talent. And should everything planned come to pass, Saudi Arabia will have developed the foundations of a thriving entertainment sector.

On a grander scale, PIF is investing in the development of a series of gigaprojects, such as the Red Sea project, Qiddiya, and NEOM, aimed at stimulating growth within the non-oil sectors and expanding entertainment and tourism options for both Saudi nationals, residents, and international visitors. And with this, the Kingdom aims to invest USD64 billion in entertainment by 2030. ✖

Mohammed Al Turki CEO, RED SEA INTERNATIONAL FILM FESTIVAL

How would you assess and define the Saudi film industry?

SCREEN time

BIO

Mohammed Al Turki has successfully bridged the entertainment gap between “East and West” through his exciting endeavors in Hollywood. His lifelong passion for film, coupled with academic achievements in media studies during his education in London has driven Mohammed’s determination to break the US film industry as a producer. Succeeding with a range of motion pictures including Golden Globe nominations for 99 Homes’ & ‘Arbitrage’. Aside from a notable reputation in producing, he has become an influential figure in the fashion industry, collaborating with renown luxury names as friend of the brand. He also supports UNICEF, the Elton John AIDS Foundation, the Steve Irwin Sea Shepard, Sean Penn’s Core, and amfAR. Most recently he has been appointed as CEO for The Red Sea film foundation and is a key figure in the changes being implemented and shaping the Saudi film industry as a whole.

A few years ago, it was apt to consider that Saudi cinema is still in its infancy. At the present time, however, things have been quickly changing. This is in light of the latest developments and institutional support, where we play a big part through our Festival, along with the continuous educational missions, and the passionate youth in the industry who have been traveling, learning, and exposing themselves to return with new visions and tools that enable them to tell their stories on the big screen. This is in addition to the official inclusion of film theaters in the Kingdom four years ago; the inauguration of the Saudi Film Commission under the leadership of my good friend Abdullah El-Ayyaf; as well as the resumption of the Saudi Film Festival under the guidance of my good friend Ahmed Almulla. We can now say—with confidence — that there is a fertile, nurturing environment for the film industry in the Kingdom, which has been proudly reflected in the number of recent annual creations, ranging from short and feature works to art house films and cinema productions. Our festival—along with other international festivals—always embraces a large segment of those films, and continually works toward supporting, funding, and developing them through special, targeted programs. All of this not only makes me proud of what the local industry has achieved in just a few years, but also leaves me optimistic about what it can accomplish in the very near future.

What role does the Red Sea International Film Festival play in the development of entertainment industries within the Kingdom, and can you elaborate on its mandate and on its peculiarities?

Through our annual festival, which opens its doors with the local audience being at the forefront of its priorities, we play a vital and pivotal role in supporting the entertainment sector within the Kingdom. Not only does the festival introduce a rich portfolio of films from around the world to popularize cinema culture, but it also aims at enhancing the financial power of purchased tickets, boosting the size and scope of productions in return. Additionally, through our red carpet in the heart of Jeddah, the festival hosts stars from all

around the globe, supporting the Kingdom’s policy that works toward openness to the world and modernity, making a visit to the Kingdom for recreational purposes an endeavor that shouldn’t be missed. All of this takes place in parallel with artistic, cultural, and entertainment events; community initiatives; and concerts, some happening throughout the year while others are planned on the sidelines of the festival. And as for more perks, there is also our active film market and our multi-million dollar advertising value. And last but not least, we must think of the number and range of jobs we create in the areas of operating and managing the festival and the foundation. All of this evidence confirms to me, without a doubt, the role we play in supporting the entertainment sector in the Kingdom beyond all expectations.

How is the Red Sea International Film Festival elevating the reputation of Saudi Arabia’s creative industry in the international arena?

Through the footprint we surely leave in international forums and the festivals to which we travel with our talent and films. We have positioned ourselves at the heart of the global map where the audiences now look forward to seeing our creations. The world now understands us a bit more, having met our people and experienced the art we create and savor, including cinema and music; we love them; we make them, and we celebrate them in the most ceremonious of ways. Our treasures of creativity not only match those of the rest of the world, but perhaps even surpass them, because we are still deeply connected to our culture, heritage, and social and historical identity. In a way, it is like what Heidegger believed; creativity really flows through a connection with one’s identity, not a disconnect from it.

Can you share your main targets and ambitions set in your 2022\23 agenda?

Quite simply, I hope it will be a year full of success. I look forward to resuming the many plans and ideas I have in place for the nourishment and advancement of the industry and its environment, locally, regionally, and globally. This is what my current position allows me to do, being at the head of the Foundation of the Red Sea Film Festival, and I can’t wait to implement it all. ✖

The Red Sea International Film Festival hopes to be a stage from which it can project Saudi culture beyond borders.

party ON

MDLBEAST aims to spread music and entertainment in a new era for Saudi Arabia.

Ahmad M Alammary (aka Baloo) CHIEF CREATIVE OFFICER, MDLBEAST

How did the establishment of the General Entertainment Authority represent a revolution for KSA’s music scene, and what role does MDLBEAST play in promoting a new, positive cultural change in KSA?

The establishment of the General Entertainment Authority marked the beginning of a new transition in our lifestyles in Saudi, what eventually became a cultural renaissance. Just the simple act of allowing public performance was the first drop of this big ripple effect. Once that happened, we started seeing many acts,DJs, and live performances in restaurants and bigger events happening. When the Soundstorm project came in, it described a three-day music festival, and that snowballed into a multibrand brand. It started off as wanting to create a music festival, and then we zoomed out even more to build a real platform which includes a record label, an online radio channel, and a music conference. Beyond Soundstorm, we wanted this to be a multi-layered brand that supports local growth and music culture. Our brand idea and vision is to amplify the unseen, and coming from this place in terms of the music industry we are a clean canvas, we can shape our music industry and scene the way we need to, customize it to our needs, people, flavors, and palates. We went from zero to 100 in seconds, literally waiting and anticipating for this to happen, and once it did, we never looked back. For me as a 44-year-old Saudi, it remains a major cultural shock. Just after the first festival, people’s comfort levels changed in public spaces. We do not have to live behind facades anymore, we can really be ourselves, and that is priceless.

How are you working to create an ecosystem where entrepreneurs, policymakers, and public institutions can work together to elevate the image of Saudi Arabia in the global arena? This is in fact the most exciting part, at least for me on a personal level. None of this is actually change; this is an unveiling of who we truly are and what we are interested in. On a professional spectrum, it is extremely exciting to work on the XP Music Futures Conference. In 2021, the platform proved to be a space for us to have open dialogue about what we want in our music industry and what we expect from policymakers. We are bringing together entrepreneurs, creatives, and musicians in the room to collect, collaborate, and create. It was definitely a success story because people loved the learning experience. XP Music Futures took up two alleys of warehouses at the Jax District. Instead of programming the music, we decided to give spaces to local brands that have been working to build our underground scene to curate their own line ups in our Jax warehouses. This became a showcase of who is who, and what is the sound they present. The event truly turned into a celebration of local business and talent. After organizing the first event, we learned so much and are coming back with stronger, better, more relevant, and deeper ideas. In 2022, we are returning to our zone in Jax. We are extremely excited to bring together policymakers, entrepreneurs, and musicians and help them initiate conversations to create and build our music industry.

What are your main targets and goals set in your 2022/23 agenda?

Until December 2022, we have four major projects happening in parallel, five if we include Azimuth, which we just finished over national day weekend in September. We are hosting a party for 28 nights after the World Cup Games in Qatar, MDLBEAST Presents Aravia. After that, we have the XP Music Futures, conference November 28-30, and Soundstorm from Dec 1-3. In the following weekend, we will be in Jeddah. It is a marathon for us, and we are on nonstop. It is extremely time consuming; however, I have never been happier or more fulfilled, and this resonates with many of our staff. We genuinely feel good about the work we are doing because there is nothing nobler than spreading joy to our people. ✖

BIO

Saudi DJ and creative strategist Baloo has been actively pushing the Saudi music and underground scene for decades, most recently as one of the main creative and curative forces behind MDLBEAST, as Chief Creative Officer and representative of the brand and its offshoots. Baloo has worked as a creative lead in advertising and design agencies while pursuing his passion as a DJ. He’s played around the world in Bahrain, Dubai, Beirut, New York, Boston, London, Mykonos, Saudi, Zanzibar, Ibiza, Amsterdam, Berlin, and Venice, at private events, festivals, and everything in between

PLAYING THE LONG GAME

In the post-oil paradigm, the KSA is acutely aware of how national brand building accommodates the narrative of broad international recognition.

AS THE SAYING goes, ‘If you want to get someone’s attention, whisper.' And this is essentially the nature of soft power. A brand of influence that encompasses socio-economic forms, and in the case of the KSA, the capacity to adapt longstanding cultural mores, welcome once-shunned external influences, and galvanize female equity. Such soft power is central to Saudi Arabia’s evolving role on the world stage.

AN ESTABLISHED IDENTITY

Soft power is essentially the ability to attract and co-opt by appealing to shared sensibilities, as opposed to blatant coercion. In the case of the KSA, this has relied upon its status as home to the most holy of sites in the Islamic world. The House of Saud has since 1924 governed Mecca, affording the king the official title of “Custodian of the Two Holy Mosques.” As such, it has been focal point for the world’s 1 billion Muslims at prayer. Soft power has made it the arbiter of the Muslim world through organizations such as the Ministry of Islamic Affairs, Muslim World League, and Organization of Islamic Cooperation. The KSA is also the touchstone of the Arab world—effectively its capital—as reflected in its cultural values. Indeed, as an architect of the Arab League, Saudi Arabia has vocally championed Arab solidarity. These elements have traditionally determined its visage on the diplomatic stage. Yet while unassailable in importance, the traditional identity has undeniably curbed the Kingdom’s familiarity with a wider audience, as well as the local advancement of myriad industrial and cultural ventures.

PUTTING THE BRAND IN BRAND NEW

In 2016, Saudi Arabia began in earnest to look beyond the familiar.

A move towards a new identity with greater implications for its own population, notably women. One predicated upon fostering a healthier and educated indigenous workforce to end sedentary dependence upon the state and foreign skillsets. Enter Vision 2030, the Kingdom’s post-oil playbook for a diversified economy, and with it the new presence in sectors previously not associated with it. The core themes are a vibrant society, thriving economy and an ambitious nation. And, in lockstep with diversification, the Kingdom’s soft power would now reflect in the arena of sport, the curiosity of the tourist, the clean room of high tech, and the editing suite of the film industry. The state has become a major force promoting the systematic pursuit of excellence on all these fronts through the monitoring of progress and talent by dedicated sector commissions. To achieve this, it has facilitated private sector participation and championed entrepreneurship in sectors with the potential to boost GDP.

A WELCOME GUEST

Take the tourism sector, for example, which the Ministry of Tourism itself considers a catalyst of economic growth and employment, and a vehicle of cultural communication with the world. TBY spoke with Qusai Al-Fakhri, CEO of the Saudi Tourism Development Fund who believes that “Saudi Arabia has the foundations to thrive in tourism. Its geographical location, historical sites, rich culture, growing population and strong purchasing power mean the Kingdom provides some of the world’s best tourism investment opportunities.” Indeed, the TDF was created, “…to enable its investors to access a country that opened its doors to tourists in 2019 and is ripe for development [and to] drive growth […] by enabling private sector investments.” Bear in

mind that aside from no less than six UNESCO heritage sites, the Kingdom has miles of pristine beaches.

LIGHTS, CAMERA, GLOBAL REACTION

The dialectics of social reform, too, is reshaping the borders of soft power. Bringing women into sharp relief within the process has been matched with a greater opening of the country to foreign culture, norms, and visitors. The soft power engendered by cultural diplomacy. The Ministry of Culture is proactively behind initiatives to maximize its cultural heritage, in 2020 creating 11 new cultural councils under the Ministry’s canopy. These included the Heritage Commission, but, more tellingly, the Film Commission, Music Commission, and Fashion Commission. The notion of the entertainment led revolution

is not new. In Europe of the 1980s the idea had been for Joe Public to purchase digital infrastructure through cable and satellite TV subscriptions on which wider commercial applications would ultimately operate. Yet in the era of Industry 4.0, the KSA is more interested in the soft power to be borne on the shoulders of locally produced cinema and other cultural output. Not only is filmmaking—to a degree—now addressing once taboo topics, but also giving voice to women directors while feeding other links in the cultural value chain.

Ultimately, the soft power inculcated by national rebranding has showcased Saudi Arabia to a more welcoming global audience. What’s more, the strength of its soft power rests in the fact that, unlike ambitions alone, it is a living process embodied within the citizens them-

BUILDING a name

SMC aims to become a leading global media, sports, and entertainment powerhouse in the region with a focus on advertising media sales and sponsorships.

Khalid Alkhudair CEO, SMC

How did the pandemic revolutionize the media industry in the region?

The pandemic accelerated digital transformation by about seven years, according to a study by McKinsey & Company in 2020. On the flip side, we saw many brands pause spending for digital media because it was the easiest thing to do over canceling more traditional media. Now, however, we are seeing a spillover of extra media budgets that is being allocated in a much broader way. Brands are coming round to thinking digital first, but that doesn’t necessarily mean “digital only.” Instead, they are looking at a range of channels to both tailor and amplify their message to the biggest, relevant audience. E-commerce is one area that has massively increased its investments on a local, regional, and global scale. It gave businesses the assurance that online investments were the way to go to ensure long-term sustainability for their enterprise. Now as more tech emerges to make shopping online even more of an experience, and a seamless one at that, prepare for even more advancements in this sector. We are seeing many more investments in terms of media exposure, with performance as a deliverable becoming a key component of measuring success.

How are you capitalizing on technology and AI to deliver tailormade solutions and tools to fulfill the needs of your clients?

How are you working toward building a strong image of the sport industry through event sponsorship and branding activities?

As we continue to build a strong image within the sporting industry, today we represent beIN Media Group, SAFF, and Mrsool Park, which is the heart and soul of any activity regarding sport and event sponsorships. We are capitalizing on this to host renowned sporting events in the region. The way we are building on this is based on technology, sponsorships, contacts, clientele and our user base in the region to really reinforce our brand presence, especially as the whole media scene in the Kingdom is familiar with Mrsool Park. We have locked in a significant amount of prestigious events that will run through until the end of the year, and that is based on space, branding, and exposure. The opportunity is based on media opportunities that we extend across TV, print, and digital of these events as we host them.

BIO

Khalid Alkhudair joined SMC in 2022, his last role being chief experience officer (CXO) at Riyadh Bank. He also worked as an advisor to the Saudi Banks Media Committee and previously founded Glowork. He is the first Saudi Ashoka Fellow, Young Global Leader at the World Economic Forum, and an Endeavor entrepreneur. Previously, he also held the role of COO - Markets at KPMG in Saudi, Kuwait, and Jordan. He has a bachelor’s degree in commerce from Saint Mary’s University in Canada with majors in marketing, HR, and psychology and completed his Executive Education in leadership at the University of Yale and in public policy from Harvard Kennedy School. He is the recipient of several awards, including the Chaillot Prize for Human Rights by the EU, The King Salman Award for Entrepreneurship, and sits on a number of advisory boards.

Today, technology is no longer an afterthought to how businesses run; it is fully integrated on every level to ensure processes and efficiencies are effective. For any business, regardless of the industry, this needs to be a fundamental component in how media is offered. In terms of the kind of tech we use at SMC to support our clients, we provide a direct link to their ROI and expected deliverables to be able to track performance. We also use a great deal of dynamic creative optimization (DCO) that balances automation with effective creative. This is the most efficient way of delivering a campaign while utilizing AI to select the most relevant creative to connect users with the brand itself. The engagement factor is important in order for us to track, measure, and record users interacting with any given brand.

As far as regional and international expansion is concerned, what specific areas are in your radar?

We need to stop referring to KSA as a market with potential; the potential is already here, so our job now is to guide this potential to greater success. SMC is an educator, partner, and a trusted advisor in accelerating the digital transformation for media—this is the message we want to elevate throughout the Kingdom and beyond. We do not shy away from the big challenges—we embrace them and invest in knowledge, the right technology, and the right people so we can drive actions that make a difference to the bottom line. That is important for us as a company—show the value, purpose, and ROI in the media solutions we provide. ✖

“SMC is an educator, partner, and a trusted advisor in accelerating the digital transformation for media.”

GRABBING attention

Faden Media has been a pioneer in digitalizing media infrastructure and advertising and is now setting its sights overseas.

Hamad Alenizi GROUP CEO, FADEN MEDIA GROUP

Can you provide an overview of your operations in Saudi Arabia?

Our core business is in media and advertising. We are a group of companies under Faden Holding called Faden Media Group, which has seven subsidiaries. Two are in outdoor advertising which are Faden Media and Wave Media, one is a production house called United Printing, and we also own Spike E-Media, a company that handles the e-commerce advertising segment of our operations, app advertising, and the influencers business. We are working to make the influencers’ business more organized because it is a huge business, though it is not one of the main pillars of media. Another of the subsidiaries is Social Clinic that handles our digital and social media advertising segments. There is also Faden Spectrum, which is the hardware and software provider in partnership with a global partner in China. Most of the iconic digital infrastructure in the Kingdom were done through Faden Spectrum This is an extremely promising sector, and we see great value in it as there is a huge untapped market in Saudi Arabia.

How are you keeping up with technological innovations to retain your customer base and attract new ones?

Today, we transformed more than 80% of our static signage into digital signage. Faden is the biggest consumer of LED and digital signages in Saudi Arabia and the region. In addition, lately, we have installed measurement tools inside our screens that can give provide a large amount of data, such as traffic, gender, age, and so on. Today, we have more than 8,000 screens carrying this technology in shopping centers and supermarkets. In Saudi Arabia, we have the largest number of screens in terms of square meters in the region. We also can integrate social media within these screens and make direct engagement with our audience. We have done a few campaigns with clients on Instagram that appeared on our signages. If our clients take a Snapchat video

or pictures, we can integrate them directly on the system. Customers are usually looking for new technology and are more into data-driven media. Without the measurement tools, we lose value, because clients are becoming increasingly aware and tech savvy and KPIs driven than previous generations. That is why we are working to grab clients’ attention by communicating and developing new technology in the market. As long as we continuously update and develop our media services, our clients will stay with us. In addition, this is the main reason we invest heavily on R&D and we have a new innovation almost every year.

What specific partnerships are you seeking to help you advance your operations, and what potential growth opportunities have you identified overseas?

We seek partnerships in technology and AI and anything related to media. We saw an opportunity in e-commerce, which is why we launched our new company, Spike. We now have the rights to advertise on the e-commerce platforms. The market is gradually moving away from shopping centers, and businesses need to be flexible and adapt to the market. This strategy will ensure continued growth for the company. We also see potential growth overseas and have already started talks with Dubai, Kuwait, and Bahrain to install some of our screens there. We will also have an office in London for Spike. By 2025, we are planning cover the region.

How are you aiming to elevate and promote the prominence of sports and esports in the Kingdom?

We consider ourselves the infrastructure of esports; esports cannot function without proper digital infrastructure. They will need screens at big events and big expos. Our company Faden Spectrum provides the screens for esports and all sports activities in the Kingdom, sometimes directly with the client and sometimes through an agent or organizer of these events. ✖

Hamad Alenizi moved to Faden Media as a partner and CEO in 2009.

LIFESTYLE

With the Saudi tourism and hospitality industry booming, these food companies are looking deeper into the lifestyle and fine dining aspect to further enrich the experience of tourists and improve the quality of life of residents.

Can you elaborate on MFC’s portfolio and the most successful brands thus far?

FAISAL SHAKER MFC Group has three different lines. The first is the upper casual restaurant/cafes such as Urth Cafe. We are the exclusive franchisee in the GCC region for this California-based brand. It is the only cafe/restaurant in our portfolio that offers breakfast and all-day dining. We are also a franchisee in Saudi Arabia for iconic brands such as Coya and the San Carlo Group, which owns Cicchetti and Signor Sassi. We have Billionaire, a restaurant with partial entertainment. As part of our global initiative, we have invested in Crazy Pizza and have become a shareholder as part of our strategy to have an international footprint. The third business line focuses on our own concepts. Myazu is a brand that we have been working on for two years with a national branding company to become global. The branding company we worked with specializes in high-end fashion, which is how we want to position Myazu—it is all about lifestyle. We operate Myazu in Riyadh, Jeddah, and AlUla, as a seasonal pop-up. We continue to expand and reinforce our brands and the experiences they offer to our guests.

How does Smart Food fit into the national strategy put forth by Vision 2030?

LAYLA ABUZAID Smart Food Holding was founded with a vision to elevate the region’s lifestyle experience, beginning by stimulating the Kingdom’s F&B sector and a mission to establish a world-class sustainable lifestyle platform driven by innovation and in line with Vision 2030. We invest and operate in all verticals of F&B. We currently have 48 brands in our portfolio; these include our own brands and partnerships with leading international players and acclaimed Michelin-starred chefs. We are also committed to championing local talent. Beyond just training and development, we aim to unlock our colleagues’ aspirations and provide them with the opportunity to showcase their abilities so that they feel a genuine sense of ownership of their future by being part of something truly transformational in our country. Powered by an exceptional team, our vision is to curate culinary communities, incubate new concepts, and export the richness of Saudi Arabia’s hospitality worldwide.

MFC has the exclusive license to operate the Shatec International Hotel & Tourism School.

How will this help strengthen and develop the hospitality ecosystem in Saudi Arabia?

FS We are pioneering the sector and laying the foundations for a new ecosystem to flourish. With such culinary and hospitality academies in the country, there will be more investors as well as more Saudis joining these academies. There will also be students joining part-time to earn additional incomes and improve their skills in certain sectors. This is the ecosystem that we are helping to build. We will develop a culinary and hospitality academy here jointly with Shatec Global given the significant need in our market for a specialized academy focusing on the highest standards, fine dining, and five-star hospitality. Projects such as the Red Sea and many ongoing developments will require a large number of talented, skilled Saudi workers. Training alone is not enough; they also need a place to practice. Our restaurants will be the first platform and option for all the graduates to work and practice, with internships and on-the-job training. From there, if they want to be a full-time employee, they can.

How does Smart Food’s business model assist in positioning Saudi Arabia as a global leader in tourism and entertainment?

LA Smart Food Holding is a lifestyle-oriented hospitality group. We have an agile business model that enables us to pilot different concepts; in this sense, we can be likened to a test lab. Our concepts embrace foodtech and leverage innovation and convenience, such as food halls and grab-go options. In addition, we provide upscaling services to restaurants, underutilized building facilities, shopping malls and parking lots and enhance existing services such as gas stations, supermarkets, gyms, and offices. We deliver exceptional scalability, high-quality products and operations and motivate customer confidence by offering affordable prices, adding significant value to the F&B sector and influencing every aspect of The Kingdom’s tourism and entertainment ecosystem. As we continue to grow our F&B empire, we will soon announce exciting international brand launches. We plan to expand into new markets such as Egypt, the UK, Italy, and the US. There are also plans to venture into wellness hospitality, introducing something truly exceptional to the Kingdom. ✖

Faisal Shaker CO-FOUNDER & CEO, MFC

Layla Abuzaid CEO, SMART FOOD HOLDING

a brighter FUTURE

Having played a significant role in the country for over 65 years, Chalhoub Group is also looking ahead and developing an academy to train the next generation of talent while also expanding its team.

Patrick Chalhoub GROUP PRESIDENT, CHALHOUB GROUP

What have been your milestones in the Kingdom for the past few years?

We have been present in the Kingdom for over 65 years in different ways and embarked on all the various steps of development with Saudi Arabia’s transformation. Drastic changes have taken place in Saudi Arabia, and we decided to focus on our operations here since we have a stronger connection to the Kingdom. This is the time to be even more present and be a part of the Kingdom’s growth journey. For this reason, we built a retail academy in Jeddah 10 years ago and now in Riyadh. The aim of the retail academy is to upscale our resources and provide them with the techniques, expertise, and knowledge that are required. We are proud to announce that we have been officially accredited by the Ministry of Education. In 2021 and 2022, we were ranked number one in Saudi and fourth in Asia by Great Place To Work.

What was the impact of Vision 2030 on the Chalhoub Group’s business operations?

We have expanded our logistics facilities in Riyadh with the cooperation of the General Authority for Civil Aviation. These facilities are only temporary, as we have signed a letter of intent with the government to have a bonded warehouse and create a center that will support e-commerce business in Saudi Arabia and beyond. We have also been launching cooperation initiatives and working alongside the government to develop rules and regulations that will attract companies such as ours to move their operations to e-commerce platforms. We have also established new offices in Riyadh with 4,000sqm of office

space and upgraded all our stores and retail activity within the Kingdom. We have invested heavily in refurbishing and expanding some of our stores so we can offer an enhanced customer experience.

How do you bring awareness of all your achievements in the Kingdom?

Our Group has been present for over 65 years, though the name Chalhoub was not at the forefront. It is now time for our group to solidify its position within the Kingdom, and we have decided to establish Chalhoub Saudi Arabia. To raise awareness about our presence and achievements, we launched the campaign We are Chalhoub with the motto “My bold future.” This campaign is about our employees, having them express themselves, and showing them that there is a future within our community. Our goal is to be known for our contributions to Vision 2030 not only among the public but also by the government and local talent in Saudi Arabia.

How has Chalhoub Group been affected by the growth of tourism in the Kingdom?

Vision 2030 is clear: Saudi Arabia offers magnificent sights and history, and with the right expertise and training, it has immense potential and room for growth. Retail accounts for 14% of the national GDP, and with the development of tourism, there is more potential for retail to add value to the sector. We need to shift the consumer mentality to retain purchases within Saudi Arabia by expanding on brands and collections, enhancing the shopping experience, and having customers engage further and connect to the retail experience in the Kingdom.

We are also expanding our operations and maximizing our current partnerships and creating new ones.

What are the next strategic steps for Chalhoub Group in the Kingdom?

Our focus is to continue to work on inspiring, exhilarating, and delighting our customers in Saudi Arabia. We also want to attract new team members and retain our existing ones by providing them with an exceptional environment to work in. We would also like to increase our engagement with local partners to develop the infrastructure and elements that will help our industry perform better. We could help shape this market to become the best version of itself and double our activity in the Kingdom. ✖

BIO

In 1990, Patrick Chalhoub created a regional distribution platform in the Jebel Ali Free zone with Fendi, L’Oréal, Dior Parfums, and Puig. From 2000, he developed the Chalhoub Group’s retail network from a few stores to over 600 stores with a workforce of over 12,000 in the region and with local implementation in 14 countries. Chalhoub has also been actively involved in associations, such as the French Business Council, the Rotary, and the Capital Club, Endeavor, which helps start-ups to scale-up. He is also regularly consulted by local governments on economic development, governance, and social responsibilities.

MUCH more to offer

With the growth of online retail and international tourism into Saudi Arabia, L’azurde is extremely optimistic about its growth opportunities in the medium term.

Selim Chidiac CEO, L’AZURDE

What have been your milestones in the past year?

The past year was extremely successful for the company; we grew our revenues and gross margins significantly, which has led to higher profits. The company was able to leverage the COVID-19 crisis to transform and accelerate its growth. We saw the pandemic as an opportunity to make significant changes and transform the company by launching e-commerce platforms and enhancing our business model. The digital business development expanded our brand Miss L’ and grew the affordable fashion jewelry lines, which we then expanded to other distribution channels. 2022 was a rewarding year in terms of revenue, gross margin, and profit transformation. More precisely, we spent 12 months developing a new L’azurde retail concept store, which we recently introduced to the market. It started well and it highlights a great growth potential for the company through the roll-out across Saudi Arabia and Egypt.

How are you keeping market prices competitive in the face of global inflation?

think there is so much more to come in this area. We believe we can contribute to the growth of tourism by offering state-ofthe-art retail experiences and unique jewelry brands from our region across shopping centers and in international airports. At the same time, we are also upgrading and expanding the TOUS franchise brand across Saudi Arabia. We are also working on establishing a larger presence in airports. Ultimately, tourism will have a large impact on shopping centers in the next three to five years. The KSA market looks promising in the future and holds many opportunities.

How is L’azurde helping Saudi Arabia become a global luxury retail hub?

BIO

Selim Chidiac joined L’azurde Company for Jewelry in 2010 and has developed the business into one of the world’s leading Middle East-based jewelry manufacturers. Prior to L’azurde, he worked with Red Bull for 12 years, most recently as CEO for the North America division. Chidiac started his career at P&G. He is a graduate of L’école Supérieure de Chimie Physique Électronique de Lyon. He followed that with postgraduate coursework at INSEAD, London Business School, IMD Lausanne, and Harvard Business School.

We have been able to deal with inflation in different ways. First, we invested heavily in automating our manufacturing process, relying more on machinery such as 3D printing, which helps us reduce expenses and offer competitive manufacturing costs. Second, we have introduced the concept of design-to-cost, setting a consumer target price for our designers, R&D team and production organization, in order to ensure we offer consumers the right products with the best value possible and the correct gross margin. Furthermore, because we sell more than 1 million pieces of jewelry per year, we have economies of scale, which help control costs and negotiate attractive commercial terms with our suppliers.

How has L’azurde grown in line with the growth in tourism, and how do you see the luxury jewelry market evolving?

Tourism is still in its infancy and possesses immense growth potential. We notice a rapid growth the last few years and we

Our collaboration with the Fashion Commission allows us to scout up-and-coming designers, help them produce their designs, display their jewelry in our distribution channels, and assist them to grow as artists and thus help elevate the Kingdom’s position in luxury retail. Our collaboration also extends to universities to help develop the next generation of designers and artists. With the support of the Saudi government, we will take L’azurde globally. We recently attended the Global Travel Retail Fair in Cannes to bring L’azurde to international airports around the world.

What are your key priorities for the year ahead? We have many opportunities going forward. We will continue to expand our retail presence in the market and grow our e-commerce. Already, our online business represents 15% of our revenues and is growing rapidly. We are also launching a new technology that will offer consumers a better user experience on our platform. We are investing as well into omnichannel strategies, which means a perfect integration between our physical and online stores. We look forward to announcing a collaboration with new celebrities in the region to promote L’azurde, as we have done in the past. Finally, we will continue to expand on our retail, product innovation, and technological investments and stay on top of innovation trends. ✖

Image: DGDA

making A MARK

Rafeeh Entertainment Group plans to grow further as a brand while providing full services in the entertainment sector across the Kingdom and eventually expand regionally and globally.

Alwalid Albaltan CEO, RAFEEH ENTERTAINMENT GROUP

Could you provide an overview of Refeeh Entertainment Group?

Rafeeh Entertainment Group is focused on revolutionizing the entertainment sector in Saudi Arabia. We focus on providing full services in the entertainment sector. We operate on three main pillars. The first is the companies that own entertainment centers, under which are three brands; one is called Teens, which focuses on indoor and outdoor adventures. The second is called Adventure Camp, and finally, our newest and most exciting concept called Takenda, located in Riyadh Boulevard, which features two floors of arcade games, retro games, VR games, immersive experience, cave experience, bumper carts, roller blading, a big slide and more. The second pillar within the group is our logistics services which consists of two companies; the first company is an exclusive brand called Prestige, which provides parking management, event management, transportation, and logistics. This part of our group is heavily involved in the most prominent entertainment events, such as Riyadh Season, Jeddah Season, Formula One, Festivals and sporting events. The second company is AQDAR, featuring a company that provides services to the individuals with disabilities to include them in the transformation and vision of 2030. In Arabic, AQDAR translates to “I can.” We are especially proud of this brand, as we want individuals with disabilities to feel welcome and to be included in all the initiatives taking place within the Kingdom. The third pillar is our event management segment, where we are starting to work in the eSports season. We work on different projects together with leading real estate developer ROSHN.

How does Rafeeh entertainment integrate technology into its business model and reinvent the entertainment sector?

Entertainment is on the rise, and Rafeeh has set its footprint in the sector. We are building a strong foundation and continue to work on our business model to reach our personal goals and become a leading benchmark in the sector. We are developing a customer loyalty program that will allow us to give all our customers easy and friendly access to all our prestigious brands through an application. This application will serve all the brands of Rafeeh. In addition, we have already started to enroll our parking system solution that can be found in operation at Riyadh Boulevard as a fully smart solution service, that allows you to make your reservation and pay your parking fees online. And finally, we are working on a similar online concept for our AQDAR brand.

How do you distinguish yourself in the market and set new benchmarks in the entertainment sector?

In the ever-changing entertainment sector, we must focus on our personal goals as a company, and this will evolve into new benchmarks and distinguishing ourselves in the sector. With that being said, there are always new market trends we have to keep our eye on to ensure we are aligned going forward. The government, HRH, the Crown Prince Mohammed bin Salman, and the General Entertainment Authority with Turki Al-Sheikh have given the private sector unparalleled support, which is exponentially accelerating the entertainment sector. Our main target is 360-degree services and solutions and a new way of thinking in the sector by providing entertainment

destinations and luxury services to our esteemed partners and future investors in KSA.

You are also the chairman of the National Entertainment Committee. What is the role of this committee?

The Council of Saudi Chambers is here to represent the private sector, and under it is the National Entertainment Committee. My role on the committee is to represent all the businessmen in this sector, bridging the gap between the private and public sectors and working on fresh initiatives, new policies, or any activity of interest. I’m playing a supporting role to the committee, and making sure we meet expectations, and anything the private sector may require from the government. As a result, we make sure that there is a proper alignment between the private and public sectors. ✖

BIO

Alwalid Albaltan is CEO of the Rafeeh Entertainment Group. He is the founder & chairman of the board of directors of Future Steps Company (Takanda). He is also managing director of a number of companies, including Prestige, Aqdar Company, and Tahwaj Company for Entertainment Events. He is deputy CEO of Al-Bultan Holding Group and a member of the Saudi-Egyptian Business Council of the Federation of Saudi Chambers. Al-Baltan also holds the position of President of the National Entertainment Committee at the Federation of Saudi Chambers.

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WAKE UP WITH THE BLUE VIEW OF THE RED SEA FROM THE COMFORT OF YOUR ROOM.

DESTINATIONS

Landmark developments KAFD and KAEC are set to become key significant symbol of Saudi Arabia’s social and economic transformation, featuring the best in sustainability and urban planning.

How will your respective destinations generate significant value for the Kingdom?

GAUTAM SASHITTAL Although KAFD is the largest mixed-use development in the world spread over an area of almost 2 million sqm, our real value add for the Kingdom is in the dynamic business and finance ecosystems we are building while also focusing on providing our residents and visitors with a premium lifestyle experience. We are working to complete almost 94 buildings, comprising approximately 1 million sqm of office real estate, 130,000 sqm of retail space, and over 900 apartments. KAFD will become a hub and an iconic district where companies both from the public and private sector and international companies will move their offices. We are at the epicenter of the GCC. There is an inherent demand that we are playing into. Our ecosystem is attracting both local and international demand, including international banks, legal firms, and international consultancy firms. The heart of KAFD is the Financial Zone, which hosts leading entities such as the Public Investment Fund (PIF), Riyad

Bank, SNB Bank and the Capital Markets Authority (CMA). The northern tip of the district—the Innovation Zone—hosts a growing network of start-ups and fintechs. Conscious of the entire experience and our emphasis on retail and hospitality, we have developed a comprehensive connectivity and mobility strategy that will ensure the entire area is served and connected by muti-modal transport, including shuttle bus services, a monorail and a network of skywalks that will connect different buildings within the district. We want to set new standards as the prime destination for business and lifestyle in the region.

CYRIL PIAIA In January 2022, we presented a new strategy to the board of directors, the first board chaired by PIF. Our overhauled strategy is designed to strengthen KAEC’s capabilities and scale up its impact to further contribute to the objectives of Vision 2030. We want to bring third-party developers and investors to the city to accelerate development and ensure we are not limited by our own capital. We also aim to highlight the ad-

vanced investment-ready infrastructure available, particularly in Industrial Valley. We plan to also position ourselves in terms of leisure and entertainment and aim to cater to an upscale type of tourism. For example, we have signed with Rixos for a major development with 576 rooms plus the biggest waterpark in Saudi Arabia, and perhaps even the Middle East. We are also looking at business tourism with MICE and other activities, and will look into how we can integrate pilgrim tourism into our overall strategy. The city has a high-speed train, and we are located exactly an hour from Medina and an hour from Mecca by train. There is also a strong focus on urban planning to develop KAEC as a fully integrated urban community that offers a wide variety of housing and lifestyle solutions. Our key advantage compared to other giga-projects is that we are advanced with regards to infrastructure. We are meeting with all the stakeholders from governments and rebuilding connections with various different stakeholders. All of this is creating many exciting opportunities for investors.

What emphasis will you place on the concept of environmental sustainability?

GS KAFD is the largest LEED platinum-certified mixed-use district in the world for various reasons. There are two district cooling plants that supply chilled water that permits lower costs and a sustainable solution relating to providing air conditioning across the district. We have 30 towers at the moment undergoing LEED certification, and 14 of them are already certified, with one platinum and several silver and gold awards. There is a great deal of innovative functionalities built into individual towers and the district.

Are you looking for more international investors or investors from within Saudi Arabia?

CP Our mandate and ambitions mean we are looking at the international, regional, and local levels, because there is room for everyone. KAEC covers an area of around 185sqkm, which is double the size of Paris, so we can do many things. We are holding discussions with international investors such as Lucid, and our target is to put KAEC not only on the regional, but world map as a leading global investment destination. ✖

Gautam Sashittal CEO, KING ABDULLAH FINANCIAL DISTRICT (KAFD)

Cyril Piaia CEO, EMAAR, THE ECONOMIC CITY, KING ABDULLAH ECONOMIC CITY (KAEC)

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