Middle East World’s Fastest-Growing Beauty Market
The Middle East and Africa (MEA) will be the fastest-growing region in beauty and personal care products over the next five years, Ahmad Pauwels, CEO of Messe Frankfurt Middle East.
The MEA’s $25.4 billion (Dh93.21 billion) market will grow by 6.4 per cent a year over the next five years, according to research by Euromonitor International. Globally, the sector is expected to grow 3 per cent a year. Markets in Saudi Arabia and the UAE, which together account for a quarter of the MEA’s market, will grow by 12 per cent and 5.8 per cent respectively. Saudi Arabia dominates the overall sales market, with a national $5.3 billion spend in 2015, but the UAE has the highest per capita spend at $239 in 2015. Although the UAE’s per capita spend will still be the region’s highest in five years, at $295, Saudi Arabia will close the gap, with individual spend increasing from $168 in 2015 to $273 in 2020.
These predictions are based on economic trends and interviews with industry professionals, on behalf of business development with Euromonitor International. However, what does this actually mean?
These figures speak volumes, one in every ten consumers in the UAE spend around AED 60,000 on personal care annually! The Middle East is witnessing a premiumisation trend within beauty and personal care, as consumers are increasingly looking for products designed to tackle specific problems or offer clearly defined benefits. In the past the industry has seen ‘quick fixes’ such as make up and surgery prevail but due to education on prevention and maintenance brands made with natural and science driven ingredients make up the fastest growing segment.
What is driving many of the beauty trends and education in the Middle East is a young, dynamic population. Social media savvy and open to new ideas, young people are becoming more aware of leading global brands. As such, the internet and social media sites have become important tools for learning about and purchasing beauty and personal care products.
Today we see this industry boasting in the hub Dubai alone, almost 1,000 sales point, with the number of specialized, cosmetics-only stores amounting to 150. The sector is further supported by the variety of widely spread sale and distribution channels I throughout the GCC, including standalone stores in malls, in addition to over-the-counter sales in salons, pharmacies, supermarkets and hypermarkets as well as bazaars and souks. This really is the ‘new age of beauty.’
Here’s the facts:
- Premium skincare brands are growing faster than mass-market brands
- Brands made with natural ingredients make up the fastest growing segment
- In Dubai alone, there are almost 1,000 sales point, with the number of specialized, cosmetics-only stores amounting to 150. The sector is further supported by the variety of widely spread sale and distribution channels in the country, including standalone stores in malls, in addition to over-the-counter sales in salons, pharmacies, supermarkets and hypermarkets as well as bazaars and souks