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Insight of the Day: New Beautyworld and BeautyMatter Report reveals transformative insights on the Middle East’s beauty industry through the ages

Findings

The MENA beauty and personal care industry, valued at US$46 billion and projected to reach US$60 billion by 2025, is experiencing rapid growth driven by a young, digitally connected population, urbanization, and rising disposable incomes. The Beautyworld x BeautyMatter 2024 Middle East Market Report provides a comprehensive analysis of the region's beauty industry, highlighting key trends, consumer demographics, and market growth potential.

Key Takeaway

The MENA beauty industry is poised for significant expansion, with Gen Z leading the demand for digital-first, purpose-driven brands. The market is expected to continue its robust growth, with double-digit increases across major beauty categories and a strong focus on A-beauty brands.

Trend

  • MENA Beauty Industry Growth: The beauty market in the Middle East is expanding rapidly, with a projected compound annual growth rate (CAGR) of 12% across all major beauty categories to 2027, making it the highest globally.

  • A-Beauty (Arab Beauty): There is a rising demand for beauty brands that cater specifically to the preferences of Middle Eastern consumers, with local brands gaining recognition both regionally and internationally.

  • Fragrance Market Expansion: The UAE and Saudi Arabia are major drivers of growth in the global fragrance market, which is expected to reach US$7.21 billion by 2032.

Consumer Motivation

Consumers in the MENA region, particularly Gen Z, are motivated by a desire for brands that align with their values, offer digital engagement, and provide products tailored to their specific beauty needs.

What is Driving the Trend

The trend is driven by the region's youthful demographic (with 55% of the population under 30), increasing disposable incomes, urbanization, and a growing expat community. Additionally, the cultural significance of beauty and the rise of e-commerce are fueling this growth.

Who are the People Referred to in the Article

  • Gen Z Consumers: The dominant demographic in the MENA region, leading the demand for digital-first, purpose-driven beauty brands.

  • Industry Executives and Experts: Contributors to the report who provide insights into the market trends and consumer behaviors in the region.

  • Middle Eastern Beauty Brands: Emerging brands like Asteri and Amouage, which are gaining international recognition and expanding globally.

Description of Consumers, Product, or Service

  • MENA Consumers: Predominantly young, digitally engaged individuals who prioritize value-driven and culturally relevant beauty products.

  • A-Beauty Products: Beauty products specifically designed for Middle Eastern consumers, focusing on local preferences and needs.

Age

  • Gen Z: Under 30, making up 55% of the population in the MENA region.

Conclusions

The MENA beauty market is on a strong growth trajectory, with significant opportunities for brands that cater to the region's young, digitally savvy consumers. The rise of A-beauty and the influence of local brands on the global stage underscore the importance of cultural relevance in product offerings.

Implications for Brands

Brands looking to succeed in the MENA region must focus on digital engagement, storytelling, and creating products that resonate with the values and preferences of Gen Z consumers. Additionally, there is a growing opportunity for local brands to expand internationally.

Implication for Society

The rapid growth of the beauty industry in the MENA region reflects broader social changes, including increased urbanization, rising incomes, and the influence of digital culture on consumer behavior. This trend also highlights the importance of cultural specificity in global markets.

Big Trend Implied

The big trend implied is the continued rise of the MENA region as a major player in the global beauty industry, driven by a young, affluent, and digitally connected population. This growth is reshaping the global beauty landscape, with significant implications for brands worldwide.

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