Saudi Arabia Home Fragrances Market Expected to Witness a CAGR of 6.8% during the Forecast Period

Saudi Arabia Home Fragrances Market

A recent study conducted by the strategic consulting and market research firm, BlueWeave Consulting, revealed that the Saudi Arabia home fragrances market is growing at a CAGR of 6.8% during the forecast period 2022-2028. The Saudi Arabia home fragrances market is booming with the growing demand for premium fragrances among the population. Rising disposable income and upsurge requirement for the fragrant and rich outlook for the interiors is driving the market’s growth in the forecast years. Moreover, the demand for a lavish lifestyle is aiding the development of the market in the future. The rapidly expanding e-commerce sector and essential oil market, and availability of aesthetically pleasing products for home decor and air fresheners are anticipated to support the market growth of the Saudi Arabia home fragrances market in the upcoming years.

Rising internet use and the growing e-commerce sector led Saudi Arabia’s home fragrance market to expand.

The internet has a significant impact on raising consumer awareness of fragrance items. A substantial portion of employment is held by young people, which is expected to have a favorable effect on growth as they are the population who uses the internet most and can get aware of the fragrance product through the internet and have the capacity to buy them. Saudi Arabia boasts the most active population of users on social media sites like Instagram, Facebook, Snapchat, and Twitter. Furthermore, major players are promoting their recently announced products on these channels. Also, E-commerce websites provide several benefits, including a large selection of products, the ability to compare products, electronic payment, and home delivery, thus increasing the demand for home fragrance products in Saudi Arabia.  

Rising disposable incomes support the growth of the Saudi Arabia home fragrances market

The expansion of home fragrance market is expanding as consumer disposable income has significantly increased. A significant portion of employment is held by young people, thereby increasing the number of young people going for luxury products for their homes too. As individuals are actively moving toward a modern, luxurious life, the market for home fragrances is growing at a lucrative rate. Increasing occurrences of stress and anxiety brought on by hectic schedules and demanding work environments further support and create the demand for home fragrance products. To make the home and office environment stress-free, thereby contributing to the market’s expansion of Saudi Arabia’s home fragrances market in upcoming years.

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Effects of the components (phthalates, paraffin, etc.) in house fragrances are restraining Saudi Arabia’s home fragrance market expansion.

One of the factors that will restrain the market’s expansion throughout the forecast period is the unfavorable effects of the components in house fragrances. Endocrine and reproductive issues can raise the risk of exposure to toxic substances like the phthalates in house perfumes. Additionally, the frequent release of toxins and paraffin by scented candles and essential oils can further harm the liver, kidneys, and nervous system, resulting in significant health problems like hormonal imbalances, behavioral disorders, and learning disabilities. The market’s expansion will also be constrained throughout the projected period by additional factors like difficulty sourcing products and the threat of fake goods.

The online segment is expected to grow faster in the  Saudi Arabian home fragrance market.

In terms of distribution channels, the online category is expected to grow faster in the Saudi Arabian fragrance market during the forecast period. Owing to the rising E-commerce trend, E-commerce websites provide many benefits, including a large selection of products, the ability to compare products, electronic payment, and home delivery. During the projected period, the offline distribution channel will also maintain its leadership in the home fragrance market, which now holds the most significant market share. The sale of home fragrance goods through specialty shops and other retail outlets increases market competitiveness. In order to increase sales via offline distribution channels and simultaneously promote a digital experience, vendors are also turning to the online-to-offline (O2O) business strategy. Adopting these tactics will assist vendors in expanding and growing their market shares.

Impact of COVID-19 on Saudi Arabia’s Home Fragrances Market

The Saudi Arabian fragrance industry has suffered from the widespread lockdowns caused by the COVID-19 outbreak. This led to the shutdown of fragrance manufacturing plants. As a result, fragrance production facilities were shut down, hampering the supply of fragrance products. Also, consumers were forced to stay inside and could not shop at stores, decreasing the demand for fragrance products. As a result, in the kingdom in 2020, the supply and demand for home fragrance products decreased.

Competitive Landscape

Key players operating in Saudi Arabia Home Fragrances Market are Rezaroma (Reza Hygiene), Johnson Saudi co. Ltd, Reckitt Benckiser (Arabia) FZE (RB), Procter & Gamble Saudi Arabia, Ajmal International Trading Co. (LLC), The Fragrance Kitchen, ALREHAB perfumes, Zohoor Alreef, Saudi Arabia, Mushir Alam Perfume Industry, Henkel Jebel Ali FZCO, Kelvin Natural Mint Pvt. Ltd., AJWA Group, Godrej & Boyce Mfg. Co. Ltd., among others. To stay competitive, major market companies have participated in product launches. Mergers and acquisitions are among the other competitive strategies. The main market participants are concentrating on creating and releasing products made from natural raw resources. The major market players focus on developing and launching products produced from natural raw materials. Firms implement these tactics regularly to increase their customers and maintain their market share.

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