This article was written and contributed by Simon Lazarus who writes for a number of national and international publications.
2013 has certainly not dampened spirits for those in the UAE as purchasing strength among the young and the rich deepens.
In particular, countries such as Kuwait and Saudi Arabia have emerged as strong timepiece contenders. This is thanks to a sharp rise in professional incomes across this particular territory where many individuals have discovered new affluence.
According to a report published by Global Industry Analysts Inc., the luxury watch sector could be worth more than a cool $46 billion in the next 4 years. That is a significant growth of around 65 per cent.
Consumers in the Middle East are latching on to these new found opportunities which are stoked by the sudden interest in purchasing a number of different brands.
Hublot, Longines, Omega
The study further added that some Middle East buyers are buying more watches in order to develop a new hobby or interest. It is believed high-end brands such as Hublot, Longines and Omega are more sought after by those in the Middle East including Saudi Arabia.
The investigation declared people are tending to focus on these special horological masterpieces, whilst being able to create the ultimate fashion statement among friends and family.
Gc Watches
Manufacturers such as Gc Watches, with their wide range of accessible luxury watches, have been heavily involved with promoting their brand to the Middle East and recently appeared at the Wedding Arabia event at the back end of last year in Jeddah.
This was done to tap into the burgeoning market as well as the spending power this country has at the moment.
In fact, the United Arab Emirates has been flavour of the month among watch aficionados for some time. By the end of 2011, the Federation of the Swiss Watch Industry reported the UAE was the largest market in the Middle East for high-end timepieces.
The UAE is considered to be in the top ten when it comes to market share of watches, valued at an incredible $658 million. This is in contrast to 2010 when the sector as a whole was worth in the region of $550 million – a 20 per cent increase.
So what about our love affair with watches? Well the UK could only manage tenth position overall. Top of the timepieces in 2011 went to Hong Kong who were the biggest purchasers of Swiss watches with sales valued at nearly $4 billion. This was a remarkable 30 per cent rise from the previous twelve months, whilst the US and China completed the top three.
Yet as far as the Middle East is concerned it was Saudi Arabia who has dominated. They ranked in second place with a market value to be worth more than $270 million.
Meanwhile, Qatar and Kuwait also featured in the top 30 rankings with sales of $100 million and $71 million respectively.
In another report by Standard & Poor’s, they proclaimed sales remained extremely buoyant in the Gulf area despite the global recession.
Sales have sky rocketed in the region as the rating agency declared; “luxury goods are selling very well in developing countries, such as Russia and China, as well as in Middle Eastern Gulf states, despite the emphasis on austerity in many countries around the world.
