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Cosmetic Sales Rising in Saudi Arabia

Posted: October 13, 2008

Sales of perfume and cosmetics in Saudi Arabia are expected to grow 7% to $1.4 billion this year. The increase is due primarily to rising per capita incomes and a remarkable growth in purchasing power, said a report in Gulf News.

According to the report, a recent study by the Saudi-American Business Council found that each Saudi consumer buys two or three perfumes at a time. European products comprise 34 percent of sales, and French perfumes and cosmetics make up a major part of that segment. European products were followed by Asian perfumes, especially Chinese. American perfumes are in the third position with a 16% share.

The study showed that the demand for American products has increased considerably in the recent past. Several brands of American perfumes, cosmetics, dresses and articles of luxury are entering the Saudi market, with more showrooms being opened in various parts of the country, said the report.

There was a purchasing fever, especially among the younger generation. This was mainly attributed to the lack of sufficient entertainment activities in the region, the study explained. Several Saudi consumers, especially youngsters with limited incomes, prefer to buy low-cost Chinese cosmetics. They were attracted by its packages and promotional offers.

On the other hand, Saudi women usually preferred reputable international brand items. The study also showed that television programs for the promotion of these products play a vital role in attracting more people to buy the products.