Middle East fragrance market on the rise post-pandemic
27 luglio 2021
Thriving fragrance market size is forecasted to reach US$4.4 billion by 2027, with a CAGR of 7.4% from 2020 to 2027
Dubai, UAE: The Middle East fragrance market has witnessed enormous growth over the past few years due to the ever-changing demographic and upsurge in social media.
Social media has an intrinsic role as the decrease in opportunities to visit brick and mortar stores has encouraged companies to use social media platforms to showcase various products. NDP Group conducted a consumer survey which indicated over 50% of consumers were buying perfumes as a ‘treat for themselves’ with another 20% using fragrances as gift for others.
Speaking at a fragrance industry-focused webinar organised by Beautyworld Middle East, the region’s largest international trade fair for the beauty industry, Aram Boyadjian, Sub Regional Sales Director, AMET at International Flavours & Fragrances Inc (IFF) said: “The rapid overtake of the pandemic onset various changes at IFF, including portfolio diversification. Selling direct to the customer via online channels, including social media is key in this day and age.”
2019 attributed to the rise in beauty-conscious women in the Middle East, and the female market dominated the fragrance marketplace. During the first quarter of the year, fragrance sales were up 27% in comparison to the first quarter of 2021, where sales are up 45%. The male segment is expected to exhibit a significant CAGR surge in interest of men maintaining their physical appearance.
Male consumers in the Middle East have become more conscious of fragrance products. In addition, internet penetration has led to social media marketing becoming a prominent strategy adopted by companies to increase product awareness. Together, this has had a direct correlation with the surge of the fragrance market.
“Using social media tools and with the rapid increase of online shopping, customers are extremely tuned into exactly what they want and are very selective in choosing the correct fragrances for themselves. The pandemic has widened the window for digital platforms and we have developed digital strategies to fulfil the needs of our customers.” said Shaikh Mohammad Ali Saeed, CEO at Shaikh Mohd. Saeed Est.
Another emerging trend is the rise of scented candles and how that has directly impacted the fragrance market.
According to a new report published by Allied Market Research, the scented candles segment is anticipated to garner higher home fragrance market share. This is due to the consumers using scented candles to enhance the aesthetics of homes and to reinforce health and wellness. The availability of innovative designs, colour, and sizes of scented candles has driven the sales rapidly. The scented candle segment accounted for the highest market share in 2018, growing at a CAGR of 5.9% from 2019 to 2026.
“Anything that has to do with making a home a more enjoyable place is changing the marketplace at the moment. The demand for home sprays to scented candles is increasing rapidly” said Nick Vinckier, Head of Growth, FACES.
The 25th edition of Beautyworld Middle East 2021 will take place between 5th to 7th October with thorough health and safety measures in accordance with official government, local authority guidelines, and the Dubai World Trade Centre venue. More information is available on the show’s website and at www.beautyworldme.com