According to a latest report launched by Chalhoub Group, the GCC luxury market outpaced pre-pandemic degree by 23 p.c in 2021 versus 2019. By 2023, the GCC luxury market is projected to achieve $11 billion rising from the present $9.7 billion.
In a complete report titled “GCC Personal Luxury in 2021: A Story of Early Recovery and Growth” launched in collaboration with the Fashion Commission of Saudi Arabia’s Ministry of Culture, the 2 entities convey collectively trade propriety insights and knowledge to assist regional and worldwide manufacturers and companies. The report provides deep insights into consumption patterns and components that may drive the expansion of the GCC market.
The GCC luxury market is below an enormous transformation as manufacturers are in a relentless state of evolution to cater for younger, knowledgeable and hybrid shoppers. Today’s GCC luxury clients are seeking significant manufacturers and personalised experiences, and like experimentation, newness, and uniqueness. According to the report, the phase is seeing the rise of native inventive skills and passionate designers from the area with disruptive and progressive concepts. To resonate with native shoppers, worldwide manufacturers are creating capsule collections, exclusives, and GCC-first launches with localisation in thoughts.
Deep diving into Saudi Arabia, the Kingdom has proven exceptional development in private luxury, reaching $2.2 billion and rising at over19 p.c, pushed by spend repatriation, feminine empowerment, boiling retail panorama, occasions and actions, and e-commerce growth.
Patrick Chalhoub, Group President, Chalhoub Group, stated: “With over 65 years of presence in the GCC, the Group has always been invested in understanding the unique market dynamics of the region, its savvy consumers and valued partners. We are proud to collaborate with the Fashion Commission, which shares our ambition and plays a pivotal role in the region’s fashion industry. Our report on the GCC personal luxury market reinforces our commitment to sharing knowledge and supporting local and international brands to connect with the region, celebrate our culture and heritage.”
Burak Cakmak, Chief Executive on the Fashion Commission, said: “Our mission is to develop a thriving fashion ecosystem in KSA to uphold Saudi heritage, promote local talent, designers and brands, and also attract international brands to the Kingdom. In doing so, strategic collaborations with authoritative private sector entities will play a pivotal role in supporting us with intelligence and insights on the fashion industry. Such collaborations will ultimately benefit the regional fashion industry, nurture local talents and support the growth of retail.”
Looking forward, the GCC luxury market is projected to achieve $11 billion in 2023, fuelled by a number of components comparable to native spending by GCC nationals and improvement of recent classes.