INVESTOR PRESENTATION DECEMBER 2018 Tourism Overview Ras Al - - PowerPoint PPT Presentation

INVESTOR PRESENTATION DECEMBER 2018

Tourism Overview

Ras Al Khaimah (RAK), the fourth largest and northern most emirate of the United Arab Emirates, has experienced rapid economic growth in recent years. Tourism is one of Ras Al Khaimah s most important economic sectors and is considered a key engine for continued GDP growth and job creation.

Accessibility Landscape Performance Outlook

The emirate is strategically located within proximity to several major routes and demand generators and only 45 minutes from Dubai International Airport. The emirate is renowned for its unique topography and landscapes from the highest mountain in the UAE, terracotta deserts to lush mangroves, white sandy beaches and the longest stretch of coastline in the UAE. Our long-term forecasts are to reach 2.9 million visitors by

• 2025. To achieve this we will

require an additional 20,000 rooms by the end of 2025 to accommodate the increased demand. RAK welcomed 975,823 visitors in FY 2017 which is close to 18.9% growth from 2016. The emirate has the second highest ADR and RevPAR in the region

Achievements & Targets

RAK has attracted

975,823

Visitors in 2017 and is

• n track to achieve the

visitors arrival target for 2019 and 2025

Overnight Visitors

In millions

2025 (e) 2016 2018 (e) 2025 (e)

820,772 1.02 Million 2.9 Million

2019 (e)

1.1 Million

2017

975,823

Revenue Contribution to GDP Target For 2025

AED 3.5 Billion

Required Rooms

20,000 Rooms

Visitor Satisfaction

At least 90%

Source: RAKTDA, McKinsey & Company

Industry Performance

FY 2017

+18.9%

820,772 975,823

2016 2017

YTD Nov 2018

+9.6%

882,955 967,476

2017 2018

FY 2017

+22.0%

2.7 M 3.3 M

2016 2017

YTD Nov 2018

+4.4%

3.01 M 3.14 M

2017 2018

Guest Nights Guest Nights Visitor Arrivals

Source: RAKTDA

Industry Performance

FY 2017

+11.6%

AED

1.06 B

AED

1.18 B

2016 2017

YTD Nov 2018

+5.0%

AED

1.06 B

AED

1.11 B

2017 2018

FY 2017

+2.6%

3.32 days 3.41 days

2016 2017

YTD Nov 2018

• 4.7%

3.41 days 3.25 days

2017 2018

Revenue Contribution to GDP Length of Stay

Source: RAKTDA

Comparative KPI Performance

YTD NOV 2018

180.9 139.2

163.1 122.0

160.3

91.3

102.8 67.3 104.3 79.2 120.4 69.9 117.4 83.6 166.8 108.9 169.3 127.1

164.8 117.2

162.7

90.1

102.9 64.9 108.9 82.6 104.8 63.5 112.0 79.7 158.3 102.0

75.1%

71.1%

55.4% 63.1% 75.9% 60.6% 71.2% 64.4%

0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 0.0 50.0 100.0 150.0 200.0 ADR REVPAR ADR REVPAR ADR REVPAR ADR REVPAR ADR REVPAR ADR REVPAR ADR REVPAR ADR REVPAR DUBAI RAK OMAN FUJAIRAH AJMAN QATAR ABU DHABI GCC YTD NOV-17 YTD NOV-18 YTD NOV-18 OCC Source: STR/ USD RAK features the 2nd highest ADR RAK features the 2nd highest REVPAR

Key Tourism Offering Ras Al Khaimah

NATURAL INTRINSICS

Ras Al Khaimah has a wealth of assets that differentiate it from other destinations, including unique landscapes, nature-based tourism offerings and a rich culture and heritage dating back over 7,000 years. The Emirate has been an important trading destination for centuries due to its strategic geographic location and unique topography. The assets identified as having real growth and development potential include the following: For Ras Al Khaimah to truly realize its full potential and accelerate growth, we need to focus collectively on turning the Emirate’s many natural and intrinsic tourism assets into the type of authentic, quality tourism experiences that today’s visitors want. These experiences will be underpinned by elements unique to Ras Al Khaimah and therefore will not be easily replicated by our competitors

PRODUCT OFFERING 7

RAK TDA has identified 7 priority clusters for product development in Ras al Khaimah

Al Marjan Island, Al Hamra Village and Al Jazira Al Hamra

Cluster 1 & 2

Main focus on Hospitality and Culture tourism RAK City

Cluster 3

Main focus on Cultural tourism projects and Beach resorts Jebel Jais

Cluster 4

Prime focus on Adventure Projects, Mountain camps & resorts Khatt Springs

Cluster 5

Potential to build Spa and Thermal Resorts Wadi Khadija

Cluster 6

Main focus on developing Desert and Adventure attractions Wadi Shawka

Cluster 7

Focus on Nature tourism Fujairah Kalba

N N

Tourism Clusters

9

Key Tourism Products

World’s Longest Zipline Cluster: Jebel Jais (Launched) Viewing Deck Cluster: Jebel Jais (Launched) Luxury Camp Cluster: Jebel Jais (Upcoming) Hiking Trails & Mountain Biking Cluster: Jebel Jais (Upcoming) Via Ferrata Cluster: Jebel Jais (Launched) Survival Academy Cluster: Jebel Jais (Upcoming)

Market Strategy

13

Short Term Medium Term

Current value proposition focused on leisure, sun and

• beach. The strategy is to position the Emirate as an

adventure hub by developing adventure attractions in the mountains. Consolidation of adventure value proposition and diversification into new segments, such as: cultural and heritage, wellness, MICE and cruise tourism, to tap into a wider set of consumer preferences. Focus to remain on current stronghold countries such as Germany, Russia, UK and India Expansion to GCC, Benelux, Nordic markets and to

• ther key markets such as Czech Republic, Poland and

China

Value Proposition Implication on source markets Core Markets Primary Investment Markets

Top International Source Markets

YTD OCT 2018

Top Growth Markets

THANK YOU