Rise in Customer Expenditure to Drive Fragrance Sales in Saudi Arabia

The Census and Economic Information Center (CEIC), based on the data of the International Monetary Fund (IMF), states that the gross national disposable income of Saudi Arabia surged from SAR 2,318,786.000 million in 2016 to SAR 2,471,326.840 million in 2017. Further, the General Authority for Statistics (GASTAT) reveals that the average monthly per capita expenditure of the country stood at SAR 2,857 in 2018. Thus, the rising consumer expenditure, on account of the growing disposable income, will propel the consumption of fragrances in Saudi Arabia.

Moreover, the increasing importance of personal grooming, rising number of gym-goers, and growing research and development (R&D) expenditure will help the Saudi Arabian fragrance market exhibit a CAGR of 8.2% during 2020–2030. According to P&S Intelligence, the market was valued at $1,738.5 million in 2020, and it will generate $3,810.5 million revenue by 2030. The surging use of fragrances in the country can also be attributed to the aggressive marketing of such products through digital channels.

Browse detailed – Saudi Arabia Fragrance Market Revenue Estimation and Growth Forecast Report

Nowadays, the male, female, and unisex populations of Saudi Arabia are showing a high inclination for organic and natural-ingredient-based fragrance products, to avoid the side-effects of chemical-based variants. In recent years, lemon, rose, jasmine, nutmeg, lavender, geranium bourbon, and sandalwood fragrances have gained traction owing to the surging customer awareness about the ill-effects of synthetic perfumes. These organic perfumes are made from a wide variety of essential oils and plant extracts, such as barks, buds, herbs, flowers, and spices.

The Saudi Arabian populace is procuring natural and synthetic parfum, eau de parfum, eau de toilette, and eau de Cologne from online platforms, multi-brand retail stores, grocery/department stores, and supermarkets/hypermarkets. In the recent past, multi-brand retail stores recorded the highest footfall of consumers due to the availability of a large number of brands under a single roof. Additionally, the better advertising opportunities offered by these stores encourage different brands to distribute their fragrance products through them.

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