Luxury goods, also known as upmarket goods, refer to those products which are costlier and are often bought by individuals that have a higher disposable income. These goods largely depend on marketing and promotions in order to communicate brand values. Currently, UAE represents one of the most attractive markets for luxury goods amongst the Middle Eastern countries. According to the latest report by IMARC Group, titled “UAE Luxury Market: Industry Trends, Share, Size, Growth, Opportunity and Forecast 2018-2023”, the UAE luxury goods market reached a value of US$ 9.7 billion in 2017.
The growth of the UAE luxury goods market can be highly accredited to the fact that there is a notable population of wealthy and ultra-rich consumers in the region who are willing to spend millions for lavish items. The wealthy residents of the country spend billions of dirhams to purchase posh designer clothes, shoes, cars, etc. Apart from this, the booming travel and tourism industry has helped UAE to become the largest shopping destination in the Middle Eastern region. This remains another force which is further broadening the growth prospects for luxury goods in the region. Moreover, the emergence of e-commerce has provided an easy access to product-related information and prices online at any given point of time. This has further contributed towards the overall growth of the UAE luxury market. However, global economic uncertainty, unstable oil prices and political unrest in the region represent some of the major challenges that may hamper the market growth. Looking forward, the market value is projected to reach around US$ 14.9 billion by 2023, exhibiting a CAGR of more than 7.4% during 2018-2023.
- Based on the type, the market has been segmented into travel and hospitality, luxury cars, personal luxury goods, food and drinks and others. Currently, travel and hospitality dominates this market followed by luxury cars, personal luxury goods, and food and drinks.
- On the basis of gender, males accounted for a higher spending compared to females.
- Based on the distribution channel, the UAE luxury market has been segmented into mono-brand stores, multi-brand stores, online stores and others.
This report provides a deep insight into the UAE luxury market covering all its essential aspects. This ranges from macro overview of the market to micro details of the industry performance, recent trends, key market drivers and challenges, SWOT analysis, Porter’s five forces analysis, value chain analysis, etc. This report is a must-read for entrepreneurs, investors, researchers, consultants, business strategists, and all those who have any kind of stake or are planning to foray into the UAE luxury industry in any manner.
Key Questions Answered in This Report:
- How has the UAE luxury market performed so far and how will it perform in the coming years?
- What is the breakup of the UAE luxury market on the basis of product types?
- What is the breakup of the UAE luxury market on the basis of gender?
- What is the breakup of the UAE luxury market on the basis of distribution channels?
- What is the value chain of the UAE luxury industry?
- What are the key driving factors and challenges in the UAE luxury industry?
- What is the competitive structure of the UAE luxury industry and who are the key players?
- What is the degree of competition in the UAE luxury industry?