Skip to content Skip to Search
Skip navigation

Appeal of virtual travel is instant – but limited

A 'try before you buy' VR metaverse experience can help travellers and businesses lyncconf.com/Creative Commons
A 'try before you buy' VR metaverse experience can help travellers and businesses
  • VR experience boosts bookings
  • Gulf sites offer immersive 3D tours
  • But no replacement for reality

Virtual reality is making it possible for visitors to explore destinations before they travel and see places that would otherwise be inaccessible, but there is much debate over whether it is a replacement for real travel.

“The metaverse can allow destinations to offer ‘try before you buy’ virtual experiences,” said Samuel Huber, CEO of UK metaverse developer Landvault.

For example, Atlantis the Palm in Dubai has created a 360 panoramic virtual reality video which provides a whistle-stop tour of the hotel’s main features. Abu Dhabi’s Yas Island has launched a virtual exploration platform, allowing users to journey through attractions and cultural sites.

And Saudi Arabia’s Royal Commission for AlUla has launched an immersive 3D model of Hegra’s Tomb of Lihyan, son of Kuza, a Unesco World Heritage site.

“Users who experience a destination virtually through the 3D internet will likely express a higher desire to visit the location in person,” Huber told AGBI.

UK travel company Thomas Cook reported a 190 percent increase in bookings for New York trips after an experiment where customers could test a five-minute VR experience of the city in its store. 

The global virtual tour market is projected to surge to $6.5 billion by 2030 from $448.10 million in 2020, according to Allied Market Research. The hope is that users will pay subscriptions or one-off fees to access relevant platforms and apps.

However, while there probably was a rationale for virtual tourism during the Covid-19 pandemic, “its relevance in the post-pandemic world is subject to debate”, said Charaf El Mansouri, CEO at Abu Dhabi travel management platform Dharma. 

“I don’t believe that holds true today. The main limitation of virtual tourism is, well, that it’s virtual,” he said. 

“Screen or headset-based escapism may become more developed and enticing, but when it does become attractive enough, wouldn’t it just be entertainment as opposed to tourism?”

Latest articles

UAE’s RedBird IMI acquires UK TV producer for $1.5bn

RedBird IMI, A US investment management company partly owned by Abu Dhabi’s International Media Investments, has acquired All3Media, the UK’s largest independent TV production company behind hits such as Fleabag, The Traitors and Gogglebox. The for £1.15 billion ($1.5 billion) deal is the largest for RedBird IMI to date, the company said in a statement. […]

PIF's Starbucks shareholdings were cut almost by half from 6.3 million shares to 3.8 million

PIF slashes Starbucks stake as it cuts US stocks by $15bn

Saudi Arabia’s Public Investment Fund (PIF) has slashed its US equity holdings by 42 percent to $20.6 billion, including its stake in Starbucks, the global coffee chain that has suffered calls for a boycott as a result of the Gaza conflict. The latest US government data highlights funding challenges facing the Saudi giga-projects.  The filing […]

Tunisia olives

Soaring olive oil exports help Tunisia balance books

Tunisia’s soaring olive oil exports have almost doubled to close to $1 billion in just five months, helping it claw back its current account deficit.   However the increased revenues merely “paint over the cracks” and the country is still probably heading towards a sovereign default, according to an economic expert. Tunisia’s current account deficit narrowed […]

Iraqi prime minister Mohammed Shia Al-Sudani attends licensing rounds for 29 oil and gas exploration blocks at the oil ministry's headquarters in Baghdad

Falling oil prices deepen Iraq’s fiscal imbalances, says IMF

Iraq’s fiscal imbalances have worsened due to significant fiscal expansion and lower oil prices, according to the International Monetary Fund (IMF). “The ongoing fiscal expansion is expected to boost growth in 2024 at the expense of a further deterioration of fiscal and external accounts and Iraq’s vulnerability to oil price fluctuations,” the Washington-based fund said in […]