The UAE continues to post healthy economic momentum, with stronger GDP and an expanding non oil sector. Inflation is easing, although rental costs remain high, which continues to weigh on household spending power.
Within FMCG, our data for 2025 reveals category growth is largely driven by population expansion, as organic per buyer consumption has softened. While total FMCG volume is up, this is not the result of consumers buying more – instead, it reflects more households entering the market.
Consumption patterns are changing
Organic consumption is declining, with the steepest drops seen in Beverages and Personal Care:
- Beverages: Shoppers are buying smaller packs, making more frequent trips, especially for soft drinks and juices. Basket sizes are shrinking even as purchase occasions increase.
- Personal care: Consumers are opting for small packs across most sub categories and shopping less often, balancing their budgets amid higher living costs.
Channel dynamics
Discounters remain the standout performers, growing fast by communicating a clear value proposition. These retailers now contribute close to 10% of total FMCG volume, demonstrating strong appeal across shopper groups.
Their growth is supported by smaller and medium pack sizes at lower price points, aligning well with current shopper priorities.
What this means for brands and retailers
The UAE’s FMCG marketplace is evolving, and the winners will be those who:
- Tailor pack sizes to shifting affordability needs
- Build strategies around higher trip frequency and smaller baskets
- Engage consumers in channels where growth is accelerating – especially discounters
- Reassess pricing and promo strategies in categories experiencing reduced per buyer consumption
To understand how these shifts play out by category, shopper profile or channel, our experts can guide you through tailored insights and strategic implications. Do not hesitate to get in touch for a free consultation.
Priyanshu Rana
Though Leadership, Africa & Middle East Worldpanel by Numerator
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