The State Of Arab Luxury: The Major Players Behind The Brands
The world's richest Arabs? Saudi Arabia commands the lion's share.
On the heels of U.S. President Donald Trump's four-day tour of the United Arab Emirates, Qatar and Saudi Arabia, comes fresh interest in Arab luxury—who has it, how it's evolving, and in which sectors it shines.
First up, the numbers: as of 2024, the seven Gulf Cooperation Council (GCC) countries have a combined luxury market value north of $16.9 billion. The countries (Saudi Arabia, United Arab Emirates, Bahrain, Oman, Kuwait, Qatar and Yemen) are a force in domestic and international luxury consumption. The area has a projected growth of nearly 9% through 2033, at which point, the estimated value will be $37 billion.
The numbers are from the report, 'Arab Luxury 2025-2030,' published by Luxonomy, a media company and luxury sector resource. Not surprisingly, the United Arab Emirates holds the largest market share at nearly 50%. Dubai's global luxury brand presence reigns in the region, ranking second only to London's. Shopping destinations like Dubai Mall and the Mall of the Emirates are home to the world's major luxury houses and include such attractions as aquariums, ice rinks, a ski resort and virtual reality attractions.
Dubai's global luxury brand presence ranks only second to London's.
Which countries harbor the richest Arabs? 'Saudi Arabia has the highest number of Arab billionaires, with 15 billionaires worth a total of $55.8 billion, followed by Lebanon with six billionaires worth a total of $12.3 billion, and the UAE and Egypt with five billionaires each, worth $24.3 billion and $20.6 billion, respectively,' according to Forbes' 'The World's Richest Arabs' list.
Saudi Arabia's Prince Alwaleed Bin Talal Alsaud tops the Forbes list with a net worth of $16.5 billion, and from the same country, Sulaiman Al Habib, who made his wealth in the medical field, ranks second at $10.9 billion.
Luxonomy further breaks down the regional numbers: Saudi Arabia commands about 40% of the region's luxury market, certain to increase given the Saudi Vision 2030 initiative. Launched by Crown Prince Mohammed bin Salman in 2016, the plan steers the Kingdom from reliance on oil to become a global leader in such sectors as technology, entertainment and tourism.
President Donald Trump meets with Saudi Crown Prince Mohammed bin Salman during a 'coffee ceremony' at the Saudi Royal Court on May 13, 2025, in Riyadh, Saudi Arabia. (Photo by)
Luxonomy reports that wealthy Saudis, when on luxury sprees, spend 70% of their Saudi riyals abroad.
That might change given Saudi Arabia's bold bet on premium retail infrastructure, says Wafa Kanan, founder and publisher of ALO Magazine, a Middle Eastern lifestyle magazine. 'The opening of new luxury shopping destinations in Riyadh could encourage wealthy Saudis to spend more of their money domestically,' she says. 'That would boost the local economy and create new opportunities for luxury businesses in the region.'
Kanan points to Riyadh's mammoth Solitaire Mall, which opened in March 2025, billing itself as a 'multi-use lifestyle destination.' About 700,000 square feet of retail space lies beneath its angular stone exterior. The Avenues Riyadh mall is expected to open in early 2026, dwarfing the Solitaire with nearly four million square feet. When finished, five towers will rise in northern Riyadh, three reserved for hotels: the Waldorf Astoria, Canopy and and Conrad. The complex will be segmented into nine districts, each with a distinct style and ambiance.
Wafa Kanan, publisher of the Middle Eastern lifestyle magazine ALO, says Saudi Arabia's new premium malls could lure wealthy Saudis away from international spending.
About 10% of the regional luxury market is centered in Qatar, largely because of the country's stellar per capita income. Forbes pegs the country's real economic growth for 2024-25 at 2%, with a medium-term outlook of around 4.75%.
Lebanese designers like Elie Saab have a large influence in the region.
Fashion-conscious Kuwait holds a 7% share of the luxury market.
'Many Kuwaitis travel to Paris and Milan during fashion weeks to attend shows and buy exclusive pieces from their favorite designers,' says Kanan, who's also president of Los Angeles-based Unique Image, a brand marketing agency. 'The country's elite also frequently host elaborate fashion events. Guests show off their latest clothing purchases and network with others in the industry.'
Kuwait broke through the market in 1983 when Chanel opened its flagship Middle Eastern store in Kuwait City. The Kuwaiti market is 'where most trends start first, before we start noticing them in the rest of the Middle East,' said Chalhoub Group's chief strategy officer Jasmina Banda in a Vogue Magazine interview.
Oman and Bahrain comprise 3% and 2% of the GCC luxury market, respectively.
In 2023, high-end fashion accounted for $5.2 billion in the GCC, a 10% increase over the previous year, reports Luxonomy. The firm forecasts a 6% growth in 2024. The fashion sector includes 'luxury prêt-à-porter, haute couture, designer leather goods and exclusive accessories,' according to Luxonomy.
Lebanese designer Zuhair Murad poses with models after the Zuhair Murad Haute Couture Fall/Winter show, part of Haute Couture Paris Fashion Week. (Photo by Vittorio)
'The region's booming luxury industry was greatly influenced by Lebanese entrepreneurs and designers,' notes Kanan, adding that historically, Lebanon has been viewed as the cultural and intellectual hub of the Arab world. 'Lebanese nationals have long been known for their exquisite taste and eye for detail, making them a perfect fit for the world of luxury,' she says. Kanan names Lebanese designers Elie Saab, Zuhair Murad and Reem Acra, 'who became household names, dressing celebrities and royalty for red carpet events and weddings.' She says Lebanon's influence extends beyond fashion: 'Lebanese-owned businesses became synonymous with luxury and elegance. From opulent jewelry stores to lavish spa resorts.'
Overall, Middle Eastern youth increasingly drive the luxury market. 'Over 60% of the population in countries like Saudi Arabia and the United Arab Emirates is under the age of 35,' states the Luxonomy report: 'They are digital natives—global, aspirational, and highly aware of personal branding.'
Kanan adds that younger consumers 'are more likely to be influenced by global fashion trends. 'They seek out luxury brands that offer innovative, edgy and daring designs,' she says. 'This is leading to a shift away from traditional luxury aesthetics towards more casual, streetwear-inspired styles.' That's especially evident with young Saudis who have carved out a fashion subculture by embracing streetwear.
Women and digital connectivity are also drivers. Women have increased access to finances and public life in such countries as Saudi Arabia, notes Luxonomy. In terms of digital access, the report states that 'the region boasts some of the highest mobile penetration and social media usage rates in the world. This impacts how luxury is communicated, experienced, and personalized, reshaping customer journeys and brand loyalty.'
Women are behind the region's strong shopping and gift-giving culture. (Photo credit should read YASSER AL-ZAYYAT/AFP via Getty Images)
Women are behind the region's strong shopping and gift-giving culture, Kanan says: 'Luxury brands are often seen as desirable gifts that can help strengthen relationships and show appreciation.'
The players behind luxury brands include such retail conglomerates as Majid Al Futtaim Fashion, Alshaya Group, Richemont, Al Tayer Group and Chalhoub, which commands more than 300 global brand franchises.
International brands are increasingly devising strategies to attract the Middle Eastern market. That means going local. Dior launched its Ramadan capsule collection ("Dior Or") in 2019 and recently introduced a men's edition. Chanel's 'Première Funfair" Dubai event, held in 2023, was described as an 'amusement park-style pop-up' that showcased the brand's Première timepiece, created for women in 1987.
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