Saudis are among the world's highest spenders on fragrances. The scent of rich and luxurious perfumes is everywhere, adorning both women and men, offices, shops, cars and homes. In fact, according to Euromonitor International, Saudis, on average, spend over $700 per month on oriental fragrances and essential oils, and $500 per month on western fragrances, make-up and skincare outstripping their western counterparts at least ten-fold in terms of spend. And the market is set for further growth with Euromonitor predicting the Saudi Arabian market for perfume – the largest in the GCC – to rise at a compound annual growth rate of 7.1% until 2024 reaching $2.64 billion in value. It's a forecast from which international manufacturers have scented huge opportunity and which is attracting new players, including those tailoring some products specifically to Saudi preferences. At the same time local producers are exporting their expertise and products to over 60 countries and are embracing innovative ways of keeping themselves relevant in a fiercely competitive marketplace. The Kingdom's leading perfume companies are sinking more into research and development to reduce the incubation time of the Oudh tree from 25-30 years to 10 years, and are embracing the need to conserve natural resources with an afforestation program in which over 1,000,000 trees have been adopted to provide a consistent supply of quality Oudh. They are also expanding their product lines, creating exclusive, customized perfumes and are looking to satisfy the growing demand for all-natural, traditionally made scents. Such is Saudi Arabia's weight on the international fragrance scene that an increasing number of international producers are choosing it for global new product launches. When Spain's fragrance leader Iberchem was looking for a suitable location for the international launch of its new gel scent application, it decided on Saudi Arabia. The five ranges in the new application will go on show for the first time outside of Europe at Beautyworld Saudi Arabia, which runs at the Jeddah Center for Forums & Events on Oct. 27-29. "Since the foundation of the company in 1985, Saudi Arabia has been a key market where we have many key customers," explained Iberchem's Guillaume Audy. Iberchem is now producing fragrances designed specifically for the Saudi market. "We've seen an increase of interest in the niche fragrance market. Niche fragrances perfectly embody the uniqueness and exclusivity of the Kingdom," added Audy. "Saudi Arabia is a vibrant market where any fragrance creation house must be in order to keep up with the trends that will shape tomorrow's fragrance landscape." Also scenting huge business opportunity, is Swiss fragrance giant Firmenich. Its master perfumers in Dubai, Paris and New York have spent the last year carefully creating fragrances specifically for the region and it is looking beyond for local production tie-ups. "Saudi Arabia is extremely important market for us as it comprises 40% of our annual growth in the IMEA region," explained Ian Crompton, Firmenich's Regional Director Fine Fragrance IMEA & SEA. "The market is split in two categories, the retail and the souk markets. We are focusing on the retail market and aim to work with the largest corporations in the country as we seek to develop strong long-term partnerships to create the classics of tomorrow." And Russia is the latest to sniff out opportunity in Saudi Arabia. Moscow-based GSS Cosmetics, one of the country's biggest premium perfume producers, has already made Arabian-influenced fragrances a trend in Russia and now wants to take its concept of advanced scientific cosmetology and wellness lifestyle products to Saudi. And it plans to move in big as it prepares to present over 200 products at Beautyworld Saudi Arabia. "By combining beauty and wellness we offer a synergy of spiritual and physical beauty for everyday life. Our offer includes high-quality skincare, hair care, make-up, perfumes, natural aromatherapy and oils that are really relevant to the market," explained CEO Alex Smirnov. "Our brand Zeitun is a successful fusion of Arabic traditions and European technologies. We recreate ancient beauty recipes and work with high-quality raw materials from the Middle East and Europe to design highly natural beauty products." "We also use signature traditional aromas and high demand ingredients like natural mineral shimmer for sophisticated skin care and extra glow, precious oils, Dead Sea salt and mud, and many others. Our cosmetics are made in accordance with ethical principles, not tested on animals and 100% cruelty-free." GSS is looking to replicate its Russian success in the Saudi market. "We've made the great Arabic heritage popular in Russia. Now we're ready to deliver and spread Arabic beauty and care traditions worldwide." "Our products are a combination exotic natural ingredients, highly efficient modern technologies, and Arabic design aesthetics. We offer luxury design packaging which is a great ready-made solution for a gift. Our products were designed to be a special kind of jewel you can put in your personal bath, spa or hammam." Who wins in the Kingdom's fragrance market remains to be seen but with growth predictions well ahead of other countries, one thing's for sure, the consumer will have more choice than ever. — SG
