Demand for luxury goods drives perfume sales in Saudi Arabia

Saudi Arabia’s perfume market is expected to reach USD 3,374.72 million by 2032 (from USD 2,005.99 million in 2023) with a CAGR of 5.95% from 2024 to 2032, according to a recent report by ResearchAndMarkets.com [1]. International visitors and a growing local luxury market are forecast to drive increased sales in the country’s perfume industry.

Traditional perfumes gain global appeal

The thriving tourism sector largely contributes to the market’s dynamism. Saudi Arabia hosted over 100 million tourists in 2023. This included 27 million from overseas and over 79 million domestic travelers, as reported by the World Tourism Organization.

International tourists are drawn to traditional Arabian fragrances, with their rich scents coming from a deep-rooted historical past. Now celebrated as a critical part of the luxury fragrance, they blend traditional elements like oud, musk, and rose. The global market is increasingly interested in their luxury distinctiveness and social media, high-profile collaborations and endorsements have expanded their appeal.

High incomes

On the other hand, locals embrace global brands. The growing population of Saudi Arabia (37.3 million inhabitants as of March 2024) continually increases the patron base for perfumes. The perfume market experiences persistent growth driven by diverse choices and a growing emphasis on self-care and indulgence.

Many individuals are searching for luxury merchandise, and the high disposable earnings of many of them represent one of the essential factors catalyzing the demand for luxurious commodities in Saudi Arabia, including top-rate perfumes.

Substantial internet usage has heightened client knowledge of perfumes in Saudi Arabia. The kingdom boasts the highest proportion of active social media users across platforms like Instagram, Facebook, Snapchat, and Twitter. DataReportal states that during January 2023, 29.10 million social media customers were active, representing 79.3% of the population. As of early 2023, there were 42.5 million active mobile cellular connections, 115.9% of the population.

Arabian beauty influencers are emerging as modern marketers in the Saudi Arabia perfume market by leveraging their social media presence. Saudi Arabian media figure Sara Murad entered the fray in 2023 by launching her perfume brand, By Sara Murad. As a self-proclaimed perfume enthusiast and MBC1 presenter, her debut fragrance, Black Oud, is a gender-neutral blend she describes as ’bold and intense.’