The United Arab Emirates is home to more than ten million citizens. The GDP per capita (€39,180) is high and the cosmetics market is dynamic (value recorded at €1.7 billion in 2020). According to Business France’s Team France Export, the United Arab Emirates is one of the priority areas to consider when you want to develop your business internationally. Here is a review of all the specificities of the region.
The Covid-19 crisis disrupted beauty product sales (-5% compared to 2019).
Various lockdowns, store closures, and widespread telecommuting had a significant impact on makeup and fragrance sales. During this period, consumers were more focused on pampering themselves. As a result, spending has shifted to hygiene and basic necessities.
Another direct consequence of the crisis is the massive digitalization. It is no longer possible for a brand not to have a strong online presence (e-commerce site and social networks).
Market characteristics
Local brands are particularly developed in the olfaction segment. “There is a real culture of perfume there,” explains Business France.
The leaders in the perfume market are local companies: Arabian Oud (18.7% market share), Abdul Samad al Qurashi (18.2% market share) and Ajmal (8.3% market share).
In terms of other beauty product categories, international brands dominate the sector. They are respectively:
• Estée Lauder for makeup (11.3% market share)
• Lux (Unilever) for hygiene products (21.3% market share)
• Nivea for suncare products (2.2% market share)
• Veet for depilatory care (40.3% market share)
Note that Korean skincare brands are also starting to make inroads.
Positioning of the French offer
France is currently the leading supplier of cosmetics to the …