Dubai is seeing a big rise in tourists with high spending power, leading to increased purchases of gold jewelry, electronics, and other retail goods.
The emirate welcomed 17.15 million international visitors in 2023. In the first 10 months of 2024, 14.9 million tourists arrived, showing an 8% increase compared to the same period last year.
Western Europe leads as the top source of visitors with 2.939 million, followed by South Asia with 2.543 million, GCC countries at 2.217 million, and CIS and East European nations at 2.075 million. This trend indicates that most tourists come from affluent regions, where people have more disposable income.
“We are noticing a bigger influx of high-income travelers. In 2024, the number of tourists with disposable income has surpassed last year’s figures. People are traveling more, which has significantly boosted the trend of gifting. Hotels are fully booked, and airlines are operating at capacity during long holidays,” said Tawhid Abdullah, chairman of Dubai Jewellery Group and CEO of Jawhara Jewellery.
Spending Boom in 2024
According to the World Travel and Tourism Council’s 2024 Economic Impact Trends Report, international visitor spending in the UAE is expected to grow by 9.4% to Dh191.57 billion, up from Dh175 billion in 2023. This makes the UAE the 10th-largest tourism market globally and second in the region after Saudi Arabia.
While many residents travel abroad during holidays, the local market sees strong demand from incoming tourists, Abdullah added.
Gold and Electronics Sales on the Rise
Shamlal Ahamed, managing director for international operations at Malabar Gold and Diamonds, noted that during the holiday season, specific areas like Gold Souq, Meena Bazaar, and Karama thrive on tourist spending. Meanwhile, locations such as Al Barsha and Al Qusais rely more on purchases from local residents.
Similarly, Jumbo Electronics CEO Vikas Chadha observed significant growth in sales due to tourists. “Tourists are key to our business, especially during events like the Dubai Shopping Festival (DSF) and the winter tourism season. We’ve seen a sales increase of over 30% compared to non-peak periods,” he shared.
Chadha also highlighted growing interest from Indian, Russian, and Turkish tourists. “In the past two months, our top three markets have been India, Russia, and Turkey,” he said.
