The Saudi retail ecosystem is marked by unique opportunities and challenges, shaped by cultural heritage, digital engagement, and consumer behaviors.

Ramit Harisinghani, General Manager, Luxury Tech, Chalhoub Group, Miglena Zivkovic, General Manager, Make Up For Ever discussed with Hala Zgeib, Head of Luxury, Snap Inc. the transformative strategies and key trends for thriving in the KSA dynamic market.

A key to success in Saudi Arabia is a deep understanding of consumer needs and preferences, especially within the luxury and beauty markets. Makeup Forever, recognized as the number one omnichannel makeup brand in the GCC and Saudi Arabia, attributes its leadership to a strategy focused on consumer proximity. The brand’s efforts to engage key opinion leaders and influencers early on and to build a community around makeup artists have been pivotal. Similarly, Chalhoub Group’s Luxury Tech Division emphasizes entrepreneurship and innovation while tailoring offerings to meet the sophisticated demands of Saudi consumers. This consumer-centric approach, coupled with products adapted to local conditions such as climate, underscores the importance of customization in product development and marketing strategies.

Creating brand ambassadors internally is crucial for fostering genuine customer relationships. Rigorous training is necessary for front-line staff to ensure they embody the brand’s values, enhancing customer experience. This approach is supported by a diverse and dynamic team, reflective of the brand’s consumer base, which strengthens brand authenticity and relatability. Investing in people, through comprehensive onboarding and continuous feedback, has proven effective, whereas a focus on internal brand ambassadors has significantly contributed to success in the market.

Digital platforms, particularly social media, are instrumental in engaging the Saudi consumer. Snapchat’s high engagement rates with luxury and beauty topics among Saudi users illustrate the potential for brands to leverage digital tools for marketing. Makeup Forever’s use of AR for virtual product trials and Dyson’s augmented reality filter campaign exemplify innovative ways to enhance product visibility and consumer engagement. These digital strategies not only cater to the tech-savvy Saudi consumer but also offer immersive experiences that drive brand awareness and sales.

Understanding and adapting to local trends is key to developing relevant and impactful marketing strategies. Initiatives that resonate with the local culture, such as campaigns tailored to Ramadan and leveraging AR for product demonstrations, have shown significant success. These strategies not only cater to the unique demands of the Saudi market but also set the stage for creating memorable brand experiences.

Success in the Saudi retail ecosystem demands a multifaceted strategy that embraces consumer-centric innovation, digital engagement, and adaptation to local market dynamics. By prioritizing consumer needs, leveraging digital platforms, and fostering a culture of inclusivity and innovation, brands can achieve sustainable growth and establish a strong presence in the dynamic Saudi market.