Saudi consumers shop for quality + convenience: Some 71% of local shoppers claim they are willing to pay more for quality products, according to a report from consumer intelligence and data analytics company NielsenIQ on Saudi and UAE consumer behavior. Over in the UAE, some 72% of shoppers also reported the same approach. Meanwhile, some 64% of local consumers and 63% of UAE shoppers are willing to spend extra for time-saving solutions.

The domestic market leans towards mainstream FMCG brands, with a concentration in the mid-tier segment, leading to fewer brand entries. Conversely, the UAE market is more fragmented, featuring both affordable and premium brands with notable growth driven by new and innovative premium offerings.

What the pundits said: “KSA’s larger population and competitive market dynamics have driven the success of mainstream brands, which offer a balanced mix of quality and affordability appealing to a broad consumer base,” said Andrey Dvoychenkov, NielsenIQ general manager for the Arabian Peninsula and Pakistan.

Beverages, frozen food, and dairy are dominating the FMCG sector here at home and in the UAE. Owing to their necessity, convenience, and growing consumer demand, these categories have seen consistent performance. On the other hand, the drop in categories such as home care, baby care, and paper products is linked to changing lifestyles and a growing preference for online shopping.

Tech + durable goods: The Kingdom saw a 4% annual increase in the sales of premium tech and durable products, compared to a 2% increase in the UAE.

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