Saudi Arabia Jewellery Market Size, Share, Trends, Growth, and Industry Analysis, By Material (Platinum, Diamond, Gold, Silver, and Others), By Product Type (Earrings, Rings, Bracelets, Necklaces and Chains, and Others), By Gender (Men, Unisex, and Women), By End-user (Children, and Adults), By Distribution Channel (Offline, and Online), Country Analysis, Competitor Analysis and Forecast 2024-2032

Saudi Arabia Jewellery Market size was USD 2.68 billion in 2023 and the market is projected to touch USD 5.83 billion by 2032, at a CAGR of 10.2 % during the forecast period. Market of gems and jewellery in Saudi Arabia accounts for such industries that deal with production, distribution and sales of gemstones such as gold, silver, diamonds among other precious minerals. In Saudi Arabia, people do not wear jewellery merely to show off their beauty or social standing but also as a means of investing especially in gold. A major contributor to this behaviour is that cultural practices influence luxury purchases like rings and other ornaments on several occasions like weddings, holidays and parties. There has been an upsurge in demand for expensive ornaments due to the measure taken by the state to enhance non-oil sectors such as marketing of expensive commodities.

The changing consumer preferences for luxury and branded jewellery highly impacted on the growth of the market. In addition, more e-commerce platforms have been created that allow consumers to have wider jewellery varieties. Additionally, this has been part of the increased workforce for women as well as an increase in young population of Saudi Arabia leading to increases in spending on personal adornments. However, issues such as unstable prices of gold and its effect on consumers’ spending patterns are some challenges facing this sector. However, strong consumer demand and cultural significance are expected to cause sustained expansion of jewellery industry in Saudi Arabia.

Saudi Arabia Jewellery Market report scope and segmentation.

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Saudi Arabia Jewellery Market dynamics

The Saudi Arabia jewellery market is a highly dynamic one, which is driven by various factors such as cultural traditions and consumer spending on luxurious goods which keep on increasing. Moreover, jewellery is an important aspect of Saudi weddings, festivals and religious ceremonies especially gold thus supporting its consistent demand. In addition, the government attempts to diversify the economy from oil have favoured the growth of luxury sector like jewellery in this country. In particular, there has been an increase in disposable incomes among young people and working population thereby boosting the demand for both traditional and modern designs of jewellery. Moreover, consumers can easily access these products through expanding e-commerce hence market accessibility has been enhanced.

However, there are various challenges that confront this market. Owing to fluctuating prices of gold and other precious metals, consumers can be uncertain about investing during periods of intense price fluctuations. In addition, changes in economy and consumer spending patterns are also risks to market stability. On the contrary, demand for branded and designer jewellery is on the rise among wealthy consumers, which presents an opportunity. Furthermore, because more women are being integrated into the labour force, the trend towards ornamentation and self-expression through jewellery is growing. In spite of these temporary problems, such elements would support sustainable growth for the sector in the long run.

Saudi Arabia Jewellery Market drivers

Cultural Significance and Tradition

Saudi Arabia has long prized jewellery, especially gold. It forms an essential component of weddings and religious rites as well as family customs. Gold jewellery serves as a status symbol, representing affluence in the society, which is particularly important during significant life occurrences like marriages when it’s time to present gifts. This ensures that gold prices remain constant irrespective of global economic conditions affecting other products. Furthermore, Saudi citizens buy jewellery not just for personal beautification but also as an investment thus keeping this market afloat.

Rising Disposable Income and Urbanization

With respect to the ever-increasing number of young people and working ladies who have more money to spend, it is jewellery that has gained substantially in demand. More women are opting to work, and this makes them more prone to high-end spending. Moreover, urbanization has led to new lifestyles identified by modernity and brand consciousness in jewellery purchases. According to these reasons as well as arguments made by supporters of diversification policies in this country, seen that demand for fine jewels is on the rise.

• Restraints:

Volatile Gold Prices

Drastic changes in global gold prices greatly affect the Saudis’ jewellery market. When prices rise suddenly, customers tend to postpone buying because they hope for a better deal. This price sensitivity often results in lower demand and thereby fails to ensure soundness of the market. Very high gold costs usually induce people to turn to smaller or cheaper products or even non-gold alternatives, which lead to revenue losses.

Economic Uncertainty

In spite of underground economy diversifications that are currently underway in Saudi Arabia, the nation is still confronting global economic circumstances such as swings in oil prices. Any downturn in economic conditions will reduce disposable income and thereby decrease consumer spending on luxuries like jewels. During uncertain times consumer prefer to spend their money on basic needs leading to reduced sales of jewelleries.

• Opportunities:

Growth in Branded and Designer Jewellery

Each passage has been increasing its amount of branded and designer jewellery in Saudi Arabia. Affluent customers, particularly millennials and working women, tend to change their tastes towards exclusive and high-end jewellery thus there is a significant growth potential in this field. This is the reason why luxury brands expand their presence in the Saudi market as they target those who yearn for unique, premium products.

• Segment Overview

By Material, the Saudi Arabia market is segmented into platinum, diamond, gold, silver, and others. Gold is the most preferred material nowadays because it holds immense cultural value and it is highly regarded as an ideal investment choice. The term gold jewellery has been used synonymously with wealth, and this explains why it is commonly found in religious ceremonies and wedding occasions. However, there is an increasing demand for platinum and diamond among rich youth who are in pursuit of luxury high-end products. The durability and scarcity of platinum make it a perfect fit for engagement rings as well as exclusive collections. It is a well-known fact that diamonds paired with either gold or platinum have always had a strong appeal towards status-conscious people who want to look elegant. In addition to this, there are stylish but cheaper alternatives being offered in silver for those looking for them.

By product type, the Saudi Arabia jewellery market is segmented into earrings, rings, bracelets, necklaces and chains, and others. Saudi Arabia is known for its love of rings and this is so especially because the country attaches a lot of importance to weddings and engagement jewellery. The second most common item bought by women in the region are earrings usually meant for either personal or gifting purposes. Another popular segment includes bracelets and necklaces, especially chains that can be worn in a variety of designs and styles suitable for both formal and casual occasions. Furthermore, consumer preference determines how these products are perceived with majority opting to have them customized or settled on designer names that define they taste.

Saudi Arabia Jewellery Market competitive landscape

Renowned global brands such as Cartier, Tiffany & Co., and Bulgari have established a strong presence, catering to affluent consumers seeking high-end, designer jewellery. Some branded products, such as diamond and platinum ones, are exclusive and thus patronized by the affluent class in this country. Meanwhile, some local jewellers such as L’azurde and Taiba control a large share of this market as they understand their cultural preferences better and have a wider variety of gold jewellery which is highly valued in Saudi Arabia. In addition, these local brands are known for their craftsmanship, customization options and adherence to traditional designs which suit Saudi customers. E-commerce platforms have also created opportunities for both global and local players to increase their influence in the region. There is need for continuous innovation in design and product offerings in order to remain competitive in the market as well as growing attention on branding and customer experience that should capture a larger audience.

Saudi Arabia Jewellery Market Recent Developments

• February 2024, new statistics released by the World Gold Council, there was no spark in gold ornaments sales in UAE markets for 2023. This saw an annual fall of 15% in jewellery consumption data compared to the previous year.

Scope of Saudi Arabia Jewellery Market report

Saudi Arabia Jewellery Market report segmentation