United Arab Emirates: Consumer Profile

October 2023

The population in the United Arab Emirates is forecast to continue growing over the period to 2040, supported by natural increase. The consumer landscape will remain young and diverse, primarily composed of immigrant populations. By 2040, Generation Z is poised to become the most influential consumer segment. Thanks to considerably higher income levels compared to other countries in the Middle East and Africa, consumers in the United Arab Emirates are expected to continue favouring niche and lux

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Overview:

Consumer Profiles  reports  provide key insights into the country's consumer landscape and uncover related business opportunities in 40 countries.


The Consumer Profiles offer valuable statistics and insights into key consumer indicators, linking household size, age, income, and spending patterns to behavioral trends and consumption habits. Utilizing a wide range of socioeconomic data, these reports quantify behaviors, preferences, and motivations both presently and forecasted across 40 markets. Analysis also encompasses Euromonitor’s lifestyles survey results, alongside the examination of longer-term shifts in consumer attitudes and behavior, analyzing their impact within each of the 40 countries. Consumer profiles are constantly changing, influenced by both socioeconomic factors and behavioral changes. Understanding these shifts is imperative for businesses to maintain competitiveness and adapt in order to capitalize on emerging opportunities.

The Consumer Profiles in United Arab Emirates report includes:

A high-level analysis of socioeconomic data, including insights on demographics, income and expenditure, households, and consumer lifestyles backed by both in-house statistics and survey data. It also provides a concise compilation of socioeconomic data, offering a snapshot of the consumer landscape today (2022) and in the future (2040). The report is also illustrated with relevant and actionable case studies

The Consumer Profiles in United Arab Emirates report answers:

  • How consumers in  United Arab Emirates are changing? 
  • What are key changes in United Arab Emirates population, society and generational structure and how it is affecting businesses?
  • What is the household structure in United Arab Emirates and how it is changing consumer landscape?
  • What are key income groups in United Arab Emirates? What is the outlook for the future?
  • Where consumers are  spending the money in United Arab Emirates? 
  • How is the consumer mindset in United Arab Emirates changing?
  • In United Arab Emirates, what are consumer attitudes towards “green” and sustainable products?
  • Where and how do consumers shop in United Arab Emirates?
Scope
Key drivers affecting consumers in the United Arab Emirates in 2022
How developments today shape the consumers of tomorrow
Key findings
Today 2022: Population aged 30-44 years constitutes the largest age group in the UAE
Today: The UAE maintains population diversity with a significant immigrant community
Consumers in the UAE are avid shoppers, with a preference for new and branded products
Tomorrow 2040: Life expectancy to increase, but the youth will remain dominant
Tomorrow : Gen Z will be 30-45 years old and the largest generational cohort by 2040
Tomorrow : Dubai’s economic opportunities and quality of life ranks among top cities globally
Areas of opportunity
Diverse urban lifestyles spur demand for authentic Asian cuisine
Today 2022: 6+ person households constitute the majority in the UAE
Families with children and extended expatriate households necessitate larger homes
Energy efficiency is among top priorities for home features
Tomorrow 2040: Couples with children to remain the dominant household type in the UAE
Males to lead in households’ decision making
Consumers in the UAE go online for all aspects of their lives
Areas of opportunity
Data centres expand in the UAE as digital transformation continues
Today 2022: Despite increasing discretionary spending, essentials dominate expenditure
Inflation increases sharply, but remains below the global and regional averages
Consumers in the UAE plan to increase their visits to discount stores
Tomorrow 2040: The lowest income class E to remain the largest by 2040
Tomorrow 2040: Government initiatives in the industrial sector to fuel incomes growth
Tomorrow 2040: Dubai to remain the largest consumer market in the UAE
Areas of opportunity
Expanding higher education opportunities in the UAE
Key findings of the consumer survey
Younger generations have a more positive outlook on their future
Rising interest rates may strain consumer budgets, especially among lower income groups
UAE Shoppers prioritise image and social status, influencing retail trends and brand choices
Engagement in green initiatives is on the rise
The UAE’s workers strive for better salaries
Areas of opportunity
Circular packaging to take centre stage in the United Arab Emirates
Key takeaways
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