The GCC’s fashion and beauty industries continue to offer high-growth potential for both global and regional brands. By 2026, Euromonitor forecasts the apparel and footwear markets in Saudi Arabia and the UAE will reach $23 billion and $19 billion, respectively, with projected year-on-year growth of 5.4 percent and 5.2 percent from 2025 to 2026. Other markets across the region are tracking similar upward trajectories, including 5.1 percent growth in Qatar and 7 percent in Oman.
As fashion and beauty brands increasingly turn to the GCC — not only for its economic opportunity, but for the rapid evolution of its consumer base — success will depend on developing a deeper understanding of local audiences and the marketing tools required to engage them effectively.
In partnership with The Business of Fashion, Snap Inc. released Building Brand Resonance With Gulf Consumers, a strategic report examining how brands can better connect with the region’s next generation of luxury shoppers. The report was presented during Shoptalk Luxe in Abu Dhabi last month, where industry leaders discussed the intersection of culture, community, and digital innovation shaping the Gulf’s retail landscape.
Hussein Freijeh, Vice President for Snap Inc. MENA & APAC, commented, “The GCC is at the forefront of digital innovation, and Snapchat is proud to be a vital part of its transformation. As consumer expectations continue to evolve – brands will need to find ways to reach and engage the next generation of consumers. We’re excited to partner with the Business of Fashion to share insights on how fashion and beauty brands can engage the next generation of luxury consumers.”
The report provides insights into the next generation of luxury consumers – who are youthful, deeply connected, and uniquely grounded in culture and community. Here are the key insights from the report.
Key insights from the ‘Building Brand Resonance With Gulf Consumers’ report
While the UAE and KSA are considered the region’s powerhouses, accounting for around 50 percent of total GCC fashion sales, Kuwait is thought to account for 15 percent of the GCC market, according to Bain & Company.
Saudi Arabia’s beauty market is projected to reach $9.3 billion in 2026, with year-on-year growth of 9.6 percent. The UAE’s beauty sector is forecast at $3.5 billion, with 6.6 percent growth. In Qatar, the Doha Festival City 2025 Consumer Survey revealed that shoppers spend between QAR 500 and QAR 2,500 monthly on beauty products.
A defining feature of the GCC market is its demographic diversity. Brands looking to scale must resist treating the Gulf as a single, uniform market. Consumer behaviours differ widely by country and city, influenced by cultural norms, local heritage, and existing retail practices.
Saudi consumers, for example, respond strongly to heritage-driven storytelling aligned with national transformation initiatives, while UAE shoppers often pursue a more globalised luxury experience, influenced by tourism and expatriate populations. Kuwait and Qatar, in contrast, maintain relationship-focused retail cultures, where trust and word-of-mouth remain critical.
Understanding GCC consumers
Peer influence and social connection are central to engagement in the region. The report found that 77 percent of Snapchat users in the GCC share products or recommend brands to friends and family, underscoring the importance of community-driven discovery.
Brand resonance is increasingly driven by trust, conversation, as well as shared experiences rather than just traditional advertising. As a result, the region prioritises community-building — through creators, interactive content and cultural relevance — and brands need to view this as a strategic necessity rather than a marketing add-on.
Population dynamics also shape consumer behaviour.
Women’s workforce participation in Saudi Arabia rose 64 percent between 2018 and 2020, while 60 percent of the GCC population is under 30. This demographic profile reflects a digitally native, culturally grounded, and identity-driven audience, viewing fashion and beauty not just as products, but as vehicles for self-expression, entrepreneurship, and cultural pride. Many younger consumers are simultaneously content creators and brand participants, shaping narratives online, launching micro-brands, and amplifying word-of-mouth influence.
Community as currency in the world of fashion, luxury and beauty
Beyond growth rates, the GCC represents one of the world’s most digitally connected luxury markets. Smartphone penetration exceeds 90 percent in key markets such as the UAE and KSA, while social media usage ranks among the highest globally.
This connectivity, combined with high disposable income and a youth-heavy demographic, is transforming how luxury is discovered, experienced, and purchased.
Unlike mature Western markets, Gulf consumers are immersing themselves directly in digital-first experiences, blending physical retail with augmented reality (AR), creator collaborations, and community-driven engagement.
The concentration of purchasing power is particularly pronounced in Saudi Arabia and the UAE, because of rapid lifestyle transformation programmes aligned with national Vision strategies.
Major retail expansions, giga-projects, and destination-led developments are fuelling demand for experiential luxury environments, highlighting the importance of omnichannel ecosystems rather than standalone campaigns.
Cultural storytelling within fashion
With 70 per cent of Snapchatters globally using AR on the platform, the GCC leads in virtual try-on adoption, bridging innovation and heritage.
AR is no longer a novelty feature; reducing purchase hesitation in categories such as beauty, eyewear, and footwear. Interactive lenses also enable brands to localise campaigns during cultural moments, including Ramadan and National Day.
Campaigns that align with regional culture — from AR Ramadan activations to heritage-driven collaborations — demonstrate that storytelling combined with digital innovation drives long-term loyalty.
Freijeh adds, “Snapchatters in MENA are turning to Snapchat to shop, discover and learn about fashion and beauty products – from augmented reality-powered virtual try-ons to brand partnerships with culturally relevant creators that help brands reach and engage consumers. Brands that win will understand how to blend commerce and technology into meaningful experiences both online and offline.”
The report, Building Brand Resonance With Gulf Consumers, highlights that personalisation, authenticity, and technology integration are essential for brands looking to succeed in a highly competitive, community-focused luxury landscape.
Understanding regional distinctions, embracing digital tools, and engaging consumers through culturally relevant storytelling are no longer optional — they are critical to building lasting loyalty in a GCC market that is both youthful and digitally fluent.
