ESSEC analyzes the development of AlUla: a large-scale tourism project

In today’s landscape, sustainability is a major concern across industries and across the globe – and tourism and hospitality are shifting their priorities accordingly. 

As part of Saudi Arabia’s ambitious Vision 2030, the Royal Commission for AlUla (RCU) has launched an initiative to revitalize AlUla County with these priorities in mind. Their vision is to transform AlUla into a vast living museum offering an immersive journey through time, with an emphasis on preserving both natural and cultural resources. To assess their efforts, RCU invited Michail Toanoglou, Academic Director of IMHI and Professor of Management Practice at ESSEC Business School to author a case study about the project. 

Spanning a vast area in northwest Saudi Arabia, AlUla boasts a range of breathtaking natural wonders and spectacular cultural landmarks that date back 200,000 years. It includes the ancient city of Hegra, Saudi Arabia's very first UNESCO World Heritage Site, as well as a charming Old Town. Through this revitalization project, RCU aims to transform AlUla into a resilient sustainable destination that respects its natural beauty and exceptional heritage, and it has already taken some major steps in the process of transformation.

A seasoned hospitality and tourism professional with over 25 years of experience as well as a Ph.D. in Hospitality and Tourism Management, Professor Toanoglou collaborated closely with the project stakeholders. Through a series of meetings and a site visit to AlUla in early 2024, he has written a robust case study analyzing the strategy and development of the project. Titled “Revitalizing AlUla: Elevating Heritage Values for Community Well-being, Authenticity, and Global Excellence,” the study examines the project's visions, values, and strategic objectives, as well as its KPIs, demonstrating AlUla’s unique and successful paradigm of responsible development. 

AlUla’s authentic local heritage – both natural and cultural – comprises its DNA, shaping a truly authentic and compelling brand that resonates with visitors, promotes sustainable development, and fosters a sense of pride and well-being within the community. In this way, the revitalization project truly creates something meaningful and lasting for locals and visitors alike. Professor Toanoglou cites tangible evidence of the project’s positive developments and progress in terms of heritage restoration, community well-being, and authenticity.

Some examples of concrete success thus far include:

• the construction of an enhanced airport terminal
• the disbursement of over 1000 scholarships for locals pursuing higher education;
• and the development of regenerative agriculture in the county.

This progress lights the way for AlUla’s vibrant, robust future, and this case study acts as a roadmap for other global destinations, sharing insightful learnings and best practices.

Enjoy a preview of Professor Toanoglou’s “Revitalizing AlUla” in this teaser video, in which he introduces the case study. The case study will be published/made available from December 2024, and can be accessed through CCMP or the Case Centre.

Be sure to download a copy to dive into the wonders of AlUla and the vast possibilities of sustainable tourism.