The purpose of this research paper is to investigate the factors influencing destination image as destination image is a major determinant that influences purchase decisions of going to a destination or not, either consciously or subconsciously. The authors investigate the factors impacting destination image application on El Gouna which is a recently founded touristic destination in Egypt well noted for its engaging events, stunning coral reefs, diverting beaches, lagoons, and a multitude of other alluring variables overlooking the Red Sea. The researchers proposed a conceptual model based on a thorough review of the literature. A non-probability convenience sampling technique was used to collect primary data. Data analysis was conducted using the Statistical Package for Social Sciences (SPSS) software. Implications to further improve the perceived destination image include campaigns conducted by El Gouna managers and the relevant ministries and a suggested change in market prices of hotel brands functioning in El Gouna. A suggestion for further research is to conduct a comparative crosscultural study to investigate if the studied factors also impact foreigners visiting El Gouna.