NIQ Retail Spend Barometer
Saudi Arabia
KSA Retail Market Sees Modest Growth with SAR 33.5 billion in Q3 2024 Sales
- USD 7.2 billion on FMCG, reflecting a 1.6% increase,
- while spending on Tech & Durables totaled USD 2.7 billion, a decline of 3.2% from the prior year.
The Kingdom of Saudi Arabia’s (KSA) retail market demonstrated a measured performance during the third quarter of 2024, with consumers collectively investing USD 9.97 billion in Fast-Moving Consumer Goods (FMCG) and Technology & Durable Goods, marking a modest 0.4% increase compared to the same period last year.
According to the latest insights from the NIQ Retail Spend Barometer, powered by GfK intelligence, KSA shoppers spent USD 7.2 billion on FMCG and USD 2.7 billion on Tech & Durable products in Q3 2024, reflecting the market’s nuanced response to economic conditions and seasonal events.
KSA Consumer Spending Trends
The KSA retail landscape in Q3 2024 was characterized by moderate growth, significantly influenced by key events such as National Day, Amazon Prime Day, and Back-to-School sales. The total expenditure of USD 9.9 billion demonstrates the market’s resilience amid challenging economic conditions, including inflationary pressures and shifts in consumer spending patterns.
Market Evolution and Consumer Dynamics
The KSA retail market continues to adapt to post-pandemic economic realities. The consumer electronics sector, in particular, has entered a more stable phase, with longer replacement cycles becoming evident. Categories like televisions are expected to see a more significant recovery only by 2026-2027, reflecting a more measured approach to technology purchases.
- USD 7.2 billion on FMCG, reflecting a 1.6% increase,
- Tech & Durables totaled USD 2.7 billion, a decline of 3.2% from the prior year.
The Kingdom of Saudi Arabia’s (KSA) retail market demonstrated a measured performance during the third quarter of 2024, with consumers collectively investing USD 9.97 billion in Fast-Moving Consumer Goods (FMCG) and Technology & Durable Goods, marking a modest 0.4% increase compared to the same period last year.
According to the latest insights from the NIQ Retail Spend Barometer, powered by GfK intelligence, KSA shoppers spent USD 7.2 billion on FMCG and USD 2.7 billion on Tech & Durable products in Q3 2024, reflecting the market’s nuanced response to economic conditions and seasonal events.
KSA Consumer Spending Trends
The KSA retail landscape in Q3 2024 was characterized by moderate growth, significantly influenced by key events such as National Day, Amazon Prime Day, and Back-to-School sales. The total expenditure of USD 9.9 billion demonstrates the market’s resilience amid challenging economic conditions, including inflationary pressures and shifts in consumer spending patterns.
Market Evolution and Consumer Dynamics
The KSA retail market continues to adapt to post-pandemic economic realities. The consumer electronics sector, in particular, has entered a more stable phase, with longer replacement cycles becoming evident. Categories like televisions are expected to see a more significant recovery only by 2026-2027, reflecting a more measured approach to technology purchases.
“In Q3 2024, UAE and KSA consumers demonstrated distinct market trends, with UAE experiencing notable growth driven by strategic promotions and an increase in consumer spending on FMCG and Tech products. The rise in promotional activities, including back-to-school sales and significant product launches, played a key role in boosting consumer demand.”
David Cantatore , Retail Lead NIQ Middle East at NIQ