Saudis Today Buy More Branded Apparels

The market value of apparel sales in Saudi Arabia was estimated at SR8.55 billion (US$2.28 billion) in 2005. Almost 27% or SR2.29 billion (US$ 0.61 billion) of these sales were contributed by branded apparels.

As the Saudi people enjoy higher disposable incomes and become more fashion-conscious there is a shift towards buying more branded apparels. The trend is further boosted by the expansion of the number of shopping outlets and international retail chains. Malaysian companies producing ready-made garments and apparels should explore further the potentials in the Saudi apparel market. Malaysian companies can penetrate the market through establishing their own retail outlets, selling branded garments or franchising the retail concept to locals. 

One potential segment in Saudi Arabia is in women and children’s clothing. Women’s clothing is the largest retail sector, accounting for 54% of the apparel sales and is considered the most mature segment of fashion retail in Saudi Arabia. Children’s clothing is the third largest segment after footwear. There is also an emerging opportunity in menswear, especially in young men’s clothing and accessories, including sportswear and eyewear. 

In order to succeed in the market, Malaysian companies should be able to produce apparels, which are fashionable, competitively priced and carry authentic brands. Branding the apparel effectively is important, to prevent it being perceived as a low-end product or just copies of other international brands. For more information on this market, contact MATRADE’s office in Jeddah.

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