The spending sentiment of Saudi consumers experienced a significant increase of 46 percent in 2024 compared to the previous year. This surge can be attributed to the growing enthusiasm among citizens of Saudi Arabia for special Ramadan events in stores, Ramadan brand editions, and shopping during the festive season.
According to a study conducted by Toluna in partnership with MetrixLab, around 64 percent of consumers in the Kingdom consider Ramadan as an auspicious month for making new purchases, compared to 55 percent in 2023. The study also revealed that special offers and prices remain the top two factors influencing consumers’ choice of shopping destinations.
Winter Ramadan’s influence on consumer spending patterns
The study, titled “2024 Ramadan and Eid al-Fitr Insights,” provides a detailed analysis of consumer behavior, uncovering significant shifts and emerging trends.
One notable change in consumer behavior trends in Saudi Arabia is the increased importance placed on the convenient locations of outlets. In 2024, 24 percent of residents prioritize convenient locations, compared to 18 percent in 2023. Additionally, 45 percent of consumers are attracted by offers and promotions, while 21 percent value the convenience of free home delivery.
There is a palpable anticipation surrounding Winter Ramadan, with 53 percent of consumers expressing excitement due to the availability of multiple outdoor options during the holy month. Traditional treats are also in high demand, with 43 percent of consumers expecting to consume more dates and 41 percent looking forward to hot beverages, chocolates, and sweets. Beauty and personal care routines have also shifted, with an increased use of moisturizers and hair care products compared to the Summer Ramadan months.
Consumer expectations from brands & banks
When it comes to brands, Saudi Arabian consumers are gravitating towards those that offer enticing discounts, with 56 percent expressing interest. Additionally, 44 percent prefer getting more quantity for the same price, and 41 percent seek bundle offers. In the banking sector, residents are looking for offers related to shopping (54 percent), discounts on flights (42 percent), and incentives for new credit card sign-ups (41 percent). Car loans also generate increased interest, with 38 percent expressing a desire for advantageous offers.
Shopping and activities Planning around Ramadan & Eid
In terms of shopping and activities planning around Ramadan and Eid, residents strategically plan their purchases. They focus on groceries, household cleaning supplies, and home décor, with 66 percent intending to purchase bulk groceries before Ramadan and 64 percent planning to acquire bulk household cleaning items. Furthermore, 31 percent aim to shop for new outfits for Iftars/Eid, and 55 percent plan to purchase new home décor for Ramadan/Eid.
Eid festivities: Consumer engagement
During Eid, a significant portion of Saudi Arabians (82 percent) express a heightened interest in visiting malls for shopping activities. This enthusiasm extends to various activities, including visiting relatives and friends (82 percent), exploring shopping malls (76 percent), fine dining or restaurant visits (75 percent), engaging in cultural activities (56 percent), visiting theme parks (65 percent), traveling abroad (49 percent), and attending concerts, live shows, and events (43 percent). A majority of surveyed citizens (92 percent) plan to purchase Eid gifts for their children, spouses, and parents, with fragrances (59 percent), chocolate, dates, and sweets (49 percent), money (48 percent), and toys and games (36 percent) being among the preferred gift choices.
Brand communications and social media engagement
Residents anticipate spending less time on specific social media platforms during Ramadan in 2024 compared to 2023, including Telegram (34 percent), X (previously Twitter) and TikTok (32 percent), and Instagram (33 percent). However, there is a noticeable increase in interest in brand communications during Ramadan, with 51 percent expressing keen interest in promotions and offers. Additionally, 41 percent prefer receiving information about feeling connected or family-oriented content.
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