29-03-2025
Saudi retail sector sees healthy growth on e-commerce, changed consumer patterns: Experts
Saudi Arabia's retail sector continues to experience positive growth despite challenges. This growth is driven by higher consumer spending, a shift in consumer behavior toward value and experience, the rise of e-commerce, and increased merger and acquisition activity, experts told Argaam on the sidelines of the 2025 RLC Global Forum held in Riyadh in February 2024, that.
Mohammed Dhedhi, Partner in Kearney Middle East & Africa (MEA), estimated that Saudi Arabia's retail sector is worth around SAR 160 billion, with an annual growth rate of 4–5% in 2024, reflecting a healthy sector performance.
He explained that this growth is primarily driven by rising prices due to inflation rather than an increase in sales volume, indicating that consumers are purchasing fewer items but at higher prices.
