30 Seconds On The Business of… The GCC’s Fragrance Industry

How big is the GCC’s fragrance industry?

The beauty and perfume market is doing exceptionally well and is growing faster than the industry average globally. As per the numbers, the GCC market for fragrances is estimated at Dhs11 billion ($2.99 billion) per annum accounting for approximately 20 per cent of the world’s market.

How is the market divided between local and international perfume brands?

As a global business hub, the UAE attracts a lot of consumers and brands around the globe and we can now find almost every single fragrance brand in this market. It has become a very competitive market for local and international brands but as a local brand, we focus on both traditional and western fragrances that attract a wide range of consumers who are looking for something new, are interested in using oriental fragrances with a twist and also appreciate high quality oils.

With competition rising, how can a brand stand out?

A brand can only truly stand out when one puts his heart and soul into the quality presented to the consumer, which will eventually create brand loyalty to the consumer.

Any specific areas of growth within the industry?

Absolute product segmentation is required. There is a need to streamline your target audience and try to reach the core of that segment. It is no longer limited to age and demographics; it is about lifestyle as well. I believe in the future it won’t be just about targeting a particular segment like youth for example, but it will be about what kind of youth, the ethnic group they belong too, likes dislikes etc.

What are the most popular fragrances among consumers in this region?

With an influx of international brands going the Oriental way more aggressively than ever, the choice out there is enormous. Our loyal customers still prefer the traditional Oudh and Bakhoors, while the younger section is more inclined towards the Floriental sprays, which is a mix between Western and Oriental notes.