Research and Markets: Saudi Arabia Retail Report Q1 2012 - High business confidence and increased disposable incomes
15th February, 2012
DUBLIN--Research and Markets (http://www.researchandmarkets.com/research/17860f/saudi_arabia_retai) has announced the addition of the "Saudi Arabia Retail Report Q1 2012" report to their offering.
The Q112 BMI Saudi Arabia Retail Report forecasts that the country's retail sales will grow from an estimated SAR275.19bn (US$73.48bn) in 2011 to SAR422.46bn (US$112.81bn) by 2015. Principal factors behind the forecast growth in Saudi Arabia's retail sales are: strong underlying economic growth, rising disposable income, increasing acceptance of the concept of modern retailing, a youthful population and an enlarged consumer base created by the improving position of women in society.
Saudi Arabia's nominal GDP in 2011 is estimated to be US$472.9bn, with growth of 6.3% in real terms expected for the year. Average annual real GDP growth of 4.1% is predicted by BMI between 2011 and 2015. With the population increasing from 28.1mn to 30.5mn by 2015, GDP per capita is predicted to rise to US$20,102 by the end of this forecast period.
The retail sector benefits from the large number of Muslim tourists visiting the country to take part in the hajj and umrah pilgrimages every year. Sales of gifts and souvenirs in 2008 were estimated to have risen by at least SAR4bn (US$1.1bn) due to shopping by hajj pilgrims, according to a Gulf News report.
Increasing urbanisation is also driving retail sales. In 2005, nearly 89% of the population was classified by the UN as urban, rising to an estimated 90% by 2010. The UN also described more than 57% of the population as economically active in 2005, with this proportion forecast to exceed 59% in 2010 and 66% by 2015. About 38% of the population was in the 20-44 age range important to retail sales in 2005, and the UN forecasts that this will rise to about 45% by 2015.
Gap is among the latest international retailers to enter the market. It plans to open 44 Gap stores (and variations) and 10 Banana Republic stores in Saudi Arabia by the end of 2012.
Read more inside Saudi Arabia Retail Report Q1 2012 For more information visit http://www.researchandmarkets.com/research/17860f/saudi_arabia_retai