Our report uncovers what today’s guests in UAE and globally expect. Plus, how financial technology can help hotels provide a five-star experience while maintaining the highest standards of payments security.
UAE consumers from 31,000 globally
UAE hotels from 7,600 globally
markets
Looking ahead
The hospitality industry in the UAE is constantly evolving. With the country’s travel and tourism sector reaching new heights, as highlighted by the World Travel & Tourism Council (WTTC), 2024 has been a record-breaking year, contributing approximately AED 220 billion to the UAE’s GDP. As the nation strives to become one of the world’s most visited destinations by 2025 as part of its vision, the local hospitality industry has much to anticipate and look forward to.
While a diverse influx of tourists pose great potential for the hospitality industry, there are still challenges ahead. Fraud is on the rise, and operational costs continue to increase.
Hospitality is an industry that prides itself on exceeding guests’ needs. Can technology bridge the challenge and the opportunity?
Key findings
of guests in the UAE are concerned about the risk of fraud when booking
of UAE hotels believe they are fully PCI compliant
of UAE hotels said their business has experienced an increase in payment fraud attack attempts in the past year
of UAE hotels said that reconciliation and associated admin was holding back business ambition
of UAE hotels said their reconciliation process was fully automated
A seamless experience
What are guests’ expectations in 2024?
No two travelers are alike—whether it’s a UAE resident seeking a staycation or a tourist searching for a unique experience, the perfect price, or an ideal location. Despite their differences, one common factor can heavily influence their decision: the ease of booking and payment. Interestingly, UAE residents/guests have higher expectations for a seamless check-in experience in comparison to the average global guest.
of UAE guests think a seamless experience is important when choosing a hotel vs. 59% globally
of UAE guests dropped out of a booking because they can't pay the way they like vs. 37% globally
The expectation of a frictionless experience extends to payment methods, with guests wanting the same level of options in paying as they do in choosing. In fact, 92% of UAE guests have a preferred online payment method, compared to 68% globally.
Most popular online payment methods for guests in the UAE
Chosen by 36%
Chosen by 15%
Chosen by 11%
Chosen by 9%
Today guests aren’t just comparing hotels by their spa services or the quality of their room service. They’re looking at whether they can pay the way they want. So how do hotels in the UAE stack up against the expectations of guests?
How hotels in the UAE view payments
71%
agree offering a variety of payment options for guests is important
67%
plan to accept more payment methods this year
61%
Plan to provide international payment methods (e.g. WeChat or Pix)
The travel industry is embracing BNPL. Is it time for hotels in the UAE to catch up?
While airlines and cruises have started to adopt Buy Now, Pay Later (BNPL) hotels have been slower to see the benefits. That allowed online travel agencies (OTAs) to take the lead. Remember 63% of guests in the UAE told us they have dropped out of a hotel booking process because they haven't been able to pay the way they would like, with 22% going to a competitor.
While BNPL is still emerging as a popular payment trend, it does have particular resonance for travelers.
When booking a trip, 37% of guests in the UAE, compared to 40% globally, don't like to pay upfront and 53% from the UAE say greater payment options would support them making bigger purchases for travel. With just 31% of UAE hotels offering BNPL, there’s an opportunity for businesses to provide the flexibility their guests are looking for.
A seamless experience is about more than the booking process for UAE guests and globally
in UAE want free cancelation up to 24 hours before check in, compared to 59% globally
of Baby Boomers in UAE consider free cancelation a must vs. 54% of Gen Z
It’s just one example of how guest expectations evolve over time.
"In today's hospitality landscape, a seamless guest experience is more than just convenience—it's a strategic advantage. By integrating payments across PMS and POS systems, hospitality businesses are empowered to meet evolving guest expectations, streamline operations, and create a unified, frictionless experience that tomorrow's traveler demands."
How Adyen can help deliver a seamless experience
The hospitality industry runs on an alphabet of software providers, from PMS and PoS to OTAs and HMS. Adyen brings them all together to provide a unique, fully-integrated unified commerce experience.
We’re proud of the relationships we’ve built throughout the industry. Because we don’t just work with hospitality leaders, we partner with them. At last year’s Oracle Partner Awards we were honored to accept the Global Technology Partner Award, created to celebrate companies that have “innovated, enabled business impact, and delivered customer success across the Oracle partner ecosystem”.
"When we partnered with Adyen, we had several websites in different countries. Our ambition was to build a single platform for the whole group as well as a mobile app and, above all, to improve our omnichannel management. It was important to have a partner who could help us merge all of our payment transactions and help us to offer the smoothest and simplest experience possible."
93% of hotels in the UAE work with three or more payment providers
Traditionally hospitality has lacked the technology resources that would be expected in other industries, relying on third-party products rather than developing their own in-house. Legacy providers dominate, with outdated technology. Manual processes lead to human error. Processes are fragmented, with hotel groups operating in different regions using multiple providers.
As well as being inconvenient, this can affect guests’ confidence as we’ll see in the next chapter.
A secure experience
What can hotels do to put guests’ minds at rest?
A seamless booking process is an essential start to the customer journey. But safety and security are top concerns as well. Consumers are increasingly nervous about fraud. Though only 32% of guests currently residing in the UAE have experienced fraud when traveling or booking a staycation (losing an average of AED 2620) as a result of staying in a hotel, 91% say they’re concerned about it.
It’s an issue we’ve seen in other industries. Our 2024 UAE Retail Report showed that 18% of shoppers regularly leave online stores without purchasing because of security concerns and 22% feel more unsafe shopping today than they did 10 years ago because of payment fraud.
But the hospitality industry is particularly vulnerable due to legacy practices, such as over-the-phone payments, which are much less common in other industries.
How hotels in the UAE view over-the-phone payments
of hotels offer manual, over-the-phone payments
claim it remains a popular option for guests
How guests in the UAE view over-the-phone payments
of guests prefer to pay over the phone
wouldn’t book with a hotel if their credit card details were requested over the phone
Our research shows a stark disconnect. In fact, 26% of UAE guests versus 11% globally were so put off by being asked to provide payment information over the phone it stopped them booking another stay with that hotel.
Making guests feel more comfortable
Hotel guests living in the UAE have preferences when it comes to payments. Just think about the rise of credit card points. But today’s guests want more than just rewards, they want security.
When asked UAE guests what measures would make them feel more comfortable providing payment information when booking a stay, the top answers were being able to pay at check-in (45%) and booking directly with the hotel online (45%).
50% of guests said a secure payment gateway and 20% mentioned trusted third-party payment processors showing that guests have an increasingly sophisticated understanding of the payments landscape and the innovations that can protect them.
Guests are concerned about fraud from a personal standpoint but for hotels it’s on a much bigger scale, this is how hotels in the UAE look at this issue
41%
said their business has experienced an increase in payment fraud attack attempts in the past year
22%
of businesses say fraud has incurred significant costs for them
Average amount businesses lost to fraud or chargebacks in the UAE
reported by respondents working onsite at owner-managed hotels
reported by respondents working onsite at franchise hotels
How Adyen can help deliver a safer experience
With the right security measures, a guest's personal details are safeguarded from the moment they book to the time they check out. Tokenization replaces guests' confidential data with non-sensitive information.
"With Adyen, we are able to accept payments on wearable devices. This allows our guests to move freely and enjoy Aquaventure Waterpark and its facilities without having to carry wallets, cards, or phones."
Payment tokenization is when a payment service provider, like Adyen, makes the tokenization on behalf of your hotel. We store and tokenize your guest’s primary account number (PAN) and you can use the generated tokens for seamless transactions throughout their stay and to better understand your guests’ needs without compromising security. By tokenizing the payment details present in a reservation before it reaches your Property Management System (PMS), we reduce the PCI scope.
And guests love it too. Who wants to carry a credit card when getting ready for a relaxing spa day?
"Hotels are entrusted with sensitive customer information, including payment details and personal identification, which makes secure data handling a top priority. Infor's partnership with Adyen allows our applications to receive encrypted payment data in the form of tokens, ensuring that this information is securely transmitted and stored, reducing the risk of data breaches. By prioritizing secure payment processing, we help to create a safer, more secure experience for customers, protecting their data and maintaining their trust."
A smoother experience for everyone
How can hotels in the UAE deliver the best possible experience for guests and their staff?
It’s clear the right technology can enhance the booking experience. But where it can really make the difference is in the day-to-day running of a hotel. The most obvious example is the hospitality industry, following the lead of retail, adopting apps and kiosks for quicker access to service. After all, if your guest can board their flight or book their taxi without human interaction, can the same be done when they check in?
Attitudes to human-free check-ins by generation living in the UAE
20%
of Baby Boomers want it
27%
of Gen X want it
29%
of Millennials wanted it
27%
of Gen Z want it
While interest in technology to streamline the check-in process grows, there are less visible and more impactful ways for technology to be present in hotels and make for smoother stays and more efficient workplaces.
What stops guests in the UAE and globally from rebooking a hotel stay
26% of UAE guests said card declines or incorrect charges, versus 13% globally. 22% of UAE guests versus 11% globally, if it was delayed charges or refunds. Or, overpayment due to error by 19% of UAE guests, versus 10% globally.
24% of UAE guests said under-staffing causing service delays or insufficient assistance, compared to 13% globally. Also, 20% of UAE guests mentioned lack of personalization, versus 9% globally.
26% of UAE guests if asked to share card details over the phone, compared to 11% globally. And, 16% of UAE guests said to manually write down credit card information, versus 8% globally.
30% in the UAE said technical issues with room amenities or services versus 14% globally.
28% in the UAE said lengthy check-in or check-outs, resulting in delays or inconvenience, compared to 13% globally.
23% in UAE said incorrect booking information due to error versus 11% globally.
Guests want their stay to be seamless, safe, and stress-free
It’s a clear parallel with what guests told us they value at the booking stage. And, just as technology enables that experience, the right technology can alleviate the issues that prevent guests from having the stay they’re hoping for.
Meeting the moment
It’s striking to see the number of issues guests identified with payments. Given how many moments there are to pay during their stay — from room service to poolside drinks — it’s understandable. Flexible, reliable, and secure payments technology will enhance a guest’s stay.
Again, there are lessons to be learned from other industries where innovation is taking hold. In the UAE retail landscape, Mobile point of sale solutions (mPOS) have gained ground, freeing staff from behind the checkout counter to meet guests throughout the store and carry out transactions in a fast and convenient way. And simple, intuitive methods are now the standard, where up to 39% of transactions are done with Tap to Pay.
“Delivering a seamless guest experience means removing friction at every touchpoint. Mobile PMS, self-service options, and quick resolution of payment issues streamline operations and generate data insights, enabling hotels to provide personalized, efficient services that enhance guest satisfaction, drive loyalty, and support long-term business success.”
Unlocking the power of payments
But it isn’t just about offering new payment technologies, it’s about bringing together every element of your business. At its best, unlocking the power of all your payments data in a way that minimizes the issues that stop guests from returning, such as technical issues and inaccurate charges, while freeing up staff to create the personalized experience guests increasingly expect. Access to data also means you can not just better understand your guests, you can reward them too.
Remember, it’s not just a guest treating themselves to a spa treatment or paying extra for a late checkout. It tells you something about who they are and what matters to them. Is your guest more likely to be found sipping beverages by the beach or enjoying a luxurious dinner at the end of the stay? And how can that knowledge help you tailor their next stay?
46% of UAE guests felt that hotels were rarely able to personalize the guest experience in comparison to 32% globally. Payments data can make the difference, from simple acts like using tokenization to recognizing a returning guest, to building out a loyalty program and knowing which services to upsell based on the customer profile you’ve built.
How Adyen can help deliver a smoother experience
From booking to check-in, shopping and dining, through to check-out, Adyen brings all your payment services onto one platform. That’s one platform for online and offline, for all channels, for all locations, anywhere in the world with the flexibility to scale quickly.
One place for all your payments data makes it easy to tap into valuable insights, optimize your business, and grow guest loyalty.
"In the past, we spent a lot of time behind computers, behind paperwork, and emails. Since Adyen our day-to-day tasks have become easier and have freed up more time for staff to focus on guests. The staff have more time. The guests have more time. Everyone is happy.”
The right technology can make for happier guests. But it can also create a happier, more efficient, and more productive workforce.
A recurring theme when we spoke to those on the frontlines of the hospitality industry was the time-consuming admin, carried out by an overworked, understaffed team.
28% of hotels in the UAE said the amount of invoices their business receives isn’t manageable because they don't have enough staff.
Reconciliation continues to be a particular challenge for the hospitality industry
Average number of employees who support reconciliation
Average time per week spent on reconciliation
Paperwork vs. personalization
14% told us they spent up to 20 hours a week on reconciliation. That’s 20 hours that could be spent talking to guests, upselling services, or gathering valuable feedback that turns those first-time visitors into repeat guests.
“With its innovative solutions, Adyen not only delivers a seamless journey to our guests, but also simplifies back-of-house reconciliation for our operational teams.”
Conclusion
Offering the best experience
When it comes to the hospitality industry in the UAE, the right technology can make all the difference. Guests can feel relaxed from the moment they make a booking, a feeling that only deepens when they check in and enjoy the whole experience. Employees can feel liberated from drudge work to provide the best possible stay for guests, while ensuring they leave happy, ready to return in the future. And hotels can feel similarly optimistic — making the most of the present, equipped for the future.
At the heart of hospitality is the idea of giving a guest the best possible experience, and knowing that experience is different for every guest. Adyen can cut through the complexity, allowing you and your team to focus on what you do best.
Partnering with us means centralizing the management of payments across all channels and regions you operate in, while keeping an eye on the next opportunity, offering the flexibility to quickly open new sales channels and roll out new guest journeys. It’s one system, with everything in one place for faster, more accurate reconciliation and insights into your business’s performance and your guests’ needs. But speed doesn’t come at the cost of security. That remains our top priority and we make sure the leading names in hospitality are PCI compliant.
The Oetker Collection: Bringing a world-class experience to luxury hotels
Seamless Handling payments across multiple systems, agencies, and third parties is a common pain point in hospitality. Thanks to Adyen, guests staying at any of the Oetker Collection hotels worldwide enjoy consistency, paying how they want, from where they want, when they want.
Secure At The Woodward on Lake Geneva, a guest’s personal details are safeguarded from booking to checkout. Tokenization replaces sensitive data so guests can buy drinks or book spa treatments without presenting their card, entering a code, or signing a bill. The hotel can then only access these encrypted tokens through their PMS, reducing the risk of fraud.
Smooth With a single platform staff spend less time on reporting and more time reviewing the insights and data that will make a guest’s stay even more unforgettable.
“For any potential customers considering Adyen, I would say get ready for a great experience. They're a pleasure to work with. They're optimistic, and they come up with solutions and ideas. It's a culture of ‘Let's work together and figure out a way of how we can do this’.”
Methodology The Adyen Index: Hospitality Report explores global and local trends impacting businesses around the world. This report combines business and consumer data across 19 countries.
Business Insights Censuswide polled 7,661 hospitality accommodation merchants (aged 18+) across the UK, Belgium, France, Germany, Ireland, Italy, Netherlands, Poland, UAE, Japan, Brazil, Mexico, Canada, US, Denmark, Norway, Portugal, Spain, and Sweden, and the sample size excluded sole traders with a focus on scaleups and enterprises. Research conducted: 31 May - 19 June 2024.
Consumer insights Censuswide polled 31,312 consumers (AGED 18+) in Japan, Belgium, Denmark, France, Germany, Ireland, Italy, Netherlands, Norway, Poland, Portugal, Spain, Sweden, UAE, UK, Brazil, Mexico, Canada, and USA. There are nationally representative sample sizes across markets. Research conducted: 3 - 19 June 2024.