Home Care in Middle East and Africa

Delivery

This report comes in PPT.

Key Findings

Prices rising but consumers keep buying home care products

The economic environment in many of the region’s countries at the end of the review period was an inflationary one, putting pressure on manufacturers in terms of rising costs and consumers in terms of falling purchasing power. However, despite some downtrading or waiting for discounts and promotions among shoppers, growth held up relatively well in most countries, given that many home care items are seen as key products in terms of household cleanliness and even personal hygiene.

Upward trend for possession rates of dishwashers and washing machines

Some countries in the region already have high possession rates for dishwashers and washing machines, with a few at or close to 100% for the latter, but continued growth is generally expected in both for many countries. This should help drive sales of both automatic detergents and automatic dishwashing products in Middle East and Africa over the forecast period.

Small local grocers the leading distribution channel

While small local grocers dominate sales in a number of the African nations, modern grocery retailers lead in the Middle East, with supermarkets also the leading channel in South Africa and Kenya. E-commerce has a 4% share regionally, reaching 11% in Israel, where consumers value its easy price comparisons and competitive pricing. E-commerce in Israel has also benefited from players ongoing investments in the channel, including improving the range and efficiency of deliveries.

Vision 2030 encouraging more Saudi women to enter the workforce

The local economy is expected to continue benefiting from increasing numbers of working women as part of Saudi Arabia’s Vision 2030 initiative. An expanding female workforce is helping to boost Saudi Arabia’s economic growth through greater expenditure per household. Vision 2030 is also slated to significantly increase the number of inbound visitors to the Kingdom, thereby boosting the potential consumer base, particularly in high season, for a wide range of fmcg goods.