By Staff writer
Dubai consumers to spend on food and entertainment rather than other goods, say analysis
After spending big during Ramadan and Eid Al Fitr, UAE consumers are not expected to splash out again Eid Al Adha.
Instead, consumers are expected to spend primarily on food and entertainment during the holiday, which is likely to start on September 11 and run for up to five days, according to retail analysts.
Despite discounts in shops and malls, sales will grow at a lower rate during Eid than during Ramadan and Eid Al Adha in 2015, Rabia Yasmeen, research analyst at global consultancy Euromonitor International, told Gulf News.
“While Eid is a period of greater expenditure by the consumers for both food and non-food items, the outlook for the retail sector seems stable during the Eid Al Adha,” she said.
“The stable outlook follows as most consumers were engaged in greater shopping activity during the Ramadan this year and the need for new purchase during Eid Al Adha remains lower.”
Retailers, though, anticipate similar sales figures to those recorded 12 months ago.
“Our view is that the retail sector has stabilised after several quarters of declining sales and the current level of retail activity will be maintained. Higher oil prices and continued strength in non-oil sectors such as tourism, transportation and manufacturing has improved consumer confidence and restored faith in the local economy,” said Colin Beaton, managing director of retail consultancy Limelight Creative Services.