Report: Profiting From Consumer Mega-Trends in the UAE and Saudi Arabia: Health TOC

Overview 1

Catalyst 1

Summary 1

EXECUTIVE SUMMARY 2

Health concerns in the Middle East are gaining momentum and increasing in scope 2
Consumers are acting more holistically in the pursuit of general wellbeing 3
Health conscious consumers are increasingly prone to, and acting upon, product safety concerns 3
Ethical Wellbeing reflects a convergence of ethicality and emotional wellbeing 3
Financial Wellbeing reflects how consumers value the peace of mind that emanates from financial security 4
Stress is a common theme in modern lifestyles as consumers adopt stress reduction strategies in their pursuit of wellbeing 4
Jaded Society: overcoming fatigue and lethargy 4
Visual Culture: appearance consciousness continues to characterize an image conscious society 4
Sterilized Society: the escalating obsession with hygiene, cleanliness and immunity 5
Consumers are embracing tools that enable more informed health-driven choices 5
Moderation and avoidance 6
Positive nutrition 6
Fitness for wellbeing: getting active and using supporting products 6

Table of Contents 8

Table of figures 9

INTRODUCTION: THE IMPORTANCE OF TREND-TRACKING 10

Tracking consumer mega-trends is fundamental to long-term success 10
Trend-tracking insight 1: mega-trends can be classified in two ways according to desirable product/service benefits and societal complexities 10
Trend-tracking insight 2: trends are aligned with pre-existing, but evolving human values, attitudes, needs and behaviors 12
Trend-tracking insight 3: mega-trends can be broken down into trends and sub-trends to provide structure and clarity at a time of ' information overload' 13
Trend-tracking insight 4: manufacturers, retailers and researchers/futurologists perpetuate trends 16
Trend-tracking insight 5: adopting a broader perspective to trend-tracking facilitates better decision making by overcoming ' category myopia' 18
Trend-tracking insight 6: trends have longer-term implications than fads and can be categorized by evolvement 18
Trend-tracking insight 7: for every trend there is a ' counter-trend' while ' trend-crossover' is also and important phenomena 19
Takeouts and implications: a trend framework boosts the quality and frequency of insight generation ensuring maximum return from the broader market research processes in place 20

THE FUTURE DECODED: DECIPHERING THE HEALTH MEGA-TREND 22

MEGA-TREND SYNOPSIS: Health concerns in the Middle East are gaining momentum and increasing in scope 22

TREND: Middle Eastern consumers are acting more holistically in the pursuit of general wellbeing 24

SUB-TREND: Middle Eastern consumers are taking more self responsibility for, and placing greater importance on, their health 25
In both the UAE and Saudi, health is becoming an increasingly important issue as health reforms improve chronic disease awareness and accessibility to healthcare services 25
Key takeouts and implications: health is set to stay at the top of the agenda for the years ahead 31
SUB-TREND: Middle Eastern consumers are adopting a broader "wellness" orientated lifestyle 32
Consumers in the Gulf are adopting a "wellness" oriented lifestyle 32
Key takeouts and implications: the pursuit of wellness/wellbeing is best thought of not as a trend in its own right, but as an umbrella of related trends and behaviors that must be reflected in products and marketing 33

TREND: Health conscious Middle Eastern consumers are increasingly prone to, and acting upon, product safety concerns 35

SUB-TREND: Intensifying product safety anxieties affect many Middle Eastern citizens 36
Product safety is an issue gaining prominence in the Gulf region 36
Key takeouts and implications: escalating health attentiveness has been matched by growing concern about the safety of products 38
SUB-TREND: Consumer sensitivity is a growing phenomena as reflected by allergen and intolerance influenced consumption among Middle Eastern consumers 39
Consumers in the UAE and Saudi Arabia are highly conscious of the food and drinks they purchase due to issues with tolerance or allergies 40
Key takeouts and implications: consumer sensitivities such as allergies and intolerances create opportunities to target specific segments 43
SUB-TREND: ' Fear-driven avoidance' means some consumers are outright rejecting products with what are perceived as harmful ingredients or where safety is compromised 44
Key takeouts and implications: consumers will be less forgiving when products compromise their safety 44
SUB-TREND: Middle Eastern consumers are opting for local products and products produced in countries with strict phyto-sanitary regulations 44
The average cconsumer in the UAE and Saudi-and in the Gulf generally-favours locally produced food; however certain consumer sub-groups show no preference for local produce at all 45
Key takeouts and implications: while globally, safety concerns will be one of a number of drivers ensuring that ' local' products will continue to gain favourability, in the UAE and Saudi the picture is much more complex 48
SUB-TREND: Middle Eastern shoppers increasingly value reassurances and transparency about how products are produced 48
UAE and Saudi consumers want to know where and how their products were produced 50
Key takeouts and implications: reassuring consumers will become a necessity to overcome trust voids and build stronger brands 53

TREND: Ethical wellbeing reflects a convergence of ethicality and emotional wellbeing 55

SUB-TREND: Direct and indirect consumer altruism shapes consumer choices 56
Ethical and/or environmental considerations heavily impact Middle Eastern consumers' purchasing activities 56
Key takeouts and implications: ethics, environmentalism and health are more inter-related than many come to realize 58

TREND: Financial wellbeing: and the ' economies of happiness' influence emotional and physical wellbeing 59

SUB-TREND: Consumers value the peace of mind that emanates from financial security 59
Wealth is a particularly important determinant of emotional wellbeing in the Gulf, partially because personal identity is highly dependant on consumerism 61
Key takeouts and implications: financial anxieties increase consumers' focus on the short-term 65
SUB-TREND: Financial moderation: Middle Eastern consumers are exercising more financial prudence and control 66
The downturn has prompted Middle Easterners to manage their finances more closely and adjust lifestyles 66
Key takeouts and implications: growing levels of financial moderation will place additional pressure on the growth of upscale premium products and further intensify value consciousness 69

TREND: Stress is a common theme in modern lifestyles as Middle Eastern consumers adopt stress reduction strategies in their pursuit of wellbeing 70

SUB-TREND: Consumers are confronted with the need to confront and manage tension and anxiety 71
Stress and tension have increased dramatically in the UAE and Saudi Arabia in the last six months 72
Key takeouts and implications: the prevalence of stress and anxiety in consumers' lives suggests that there are ongoing opportunities to position products as ' antidotes to reality' and which give consumers a feeling of being in control 74
SUB-TREND: The pursuit of work-life balance represents the ongoing conflict between a desire to maximize leisure time, maximize occupation success, and maximize leisure time 75
UAE and Saudi consumers are unhappy with their work-life balance 75
Key takeouts and implications: opportunities exist for brands to help consumers navigate the ongoing problem of work-life balance 79
SUB-TREND: Pampered relaxation: consumers are actively seeking moments of downtime 80
Consumers in the Middle East continue to want relaxation therapies and downtime in their everyday lives 80
Key takeouts and implications: all FMCG products have the potential to align with the pampered relaxation trend, particularly personal care 82
SUB-TREND: ' Mood foods' reflect consumers' tendency to comfort and reward eat 83
UAE and Saudi consumers are interested in, and actively buying, food and beverage products designed to aid relaxation, concentration and provide emotional comfort 85
Key takeouts and implications: a category of food and beverages based on ingredients that make individuals happier, calmer, livelier and even more intelligent is a potentially compelling proposition for those who are becoming more aware of protecting their mental/emotional wellbeing 88

TREND: Jaded society: overcoming fatigue and lethargy is a common problem for contemporary Middle Eastern consumers 90

SUB-TREND: Many individuals across the globe lack energy and vitality in their day-to-day lives 90
Satisfaction with energy levels in the Gulf region is similar to satisfaction levels elsewhere 91
Key takeouts and implications: energy boosting products can help offset consumers' diminishing energy levels caused by hectic lifestyles 92
SUB-TREND: ' Pick-me-up consumerism' captures the situation whereby consumers are increasingly attentive about their alertness and are opting for products that deliver energy and performance benefits 93
Consumers in the Gulf show high levels of interest in food and beverages delivering antidotes to fatigue 93
Key takeouts and implications: consumers across the globe are highly interested in functional products that boost mental and physical wellbeing 94

TREND: Visual culture: appearance consciousness continues to characterize an image conscious society 95

SUB-TREND: The high prevalence of appearance and body shape anxiety is at the core of ' appearance based wellbeing' (or lack of it) 96
Personal image is a highly important part of life in the Gulf 97
Key takeouts and implications: appearance concerns impact consumers' emotional and physical wellbeing so looking good has arguably never been more important 101
SUB-TREND: A more holistic pursuit of beauty through more diverse appearance management tactics is occurring in the Middle East 102
The Gulf consumer is typically interested in the idea that food and beverages improve their appearance 103
Key takeouts and implications: health, wellbeing and beauty are becoming inextricably linked in consumers' minds 104
SUB-TREND: Middle Easterners increasingly adopt structured and sustained beauty regimes 105
Beauty regimes are common in the Middle East with the use of fragrances particularly widespread 105
Key takeouts and implications: consumers attach considerable importance to their oral, skin and hair health respectively which drives spend and the adopting of beauty regimes 108
SUB-TREND: The polarization of beauty ideals/attitudes reflects the conflict between natural beauty and more ' manufactured appearances' 109
Key takeouts and implications: manufacturers are retailers must adopt diverse product portfolios on order to meet the polarized beauty ideals among global consumers 110

TREND: Sterilized society: the escalating obsession with hygiene, cleanliness and immunity 112

SUB-TREND: Consumers are becoming pre-occupied with boosting self-immunity 114
Gulf consumers are highly interested in food and beverages that boost the immune system 114
Key takeouts and implications: consumer lifestyles reflect the burgeoning interest in immunity boosters 116
SUB-TREND: Healthy nesting: consumers are ensuring hygiene and purity within their living spaces 116
Key takeouts and implications: consumers generally recognize the broader health and wellness benefits associated with clean living environments 116
SUB-TREND: Personal cleanliness matters in a society that values purity 117
There is a large potential for growth in the personal hygiene market in the Gulf region 117
Key takeouts and implications: leverage the wellness factor in the marketing of personal hygiene products 118

TREND: Gulf consumers are embracing tools that enable more informed health-driven choices 119

SUB-TREND: The ' democratization of health' information has facilitated more self reliance among consumers globally 120
Increasing accessibility of health information has enabled Gulf consumers to make health-driven choices 120
Key takeouts and implications: consumers are continuing to turn to the media to get their health information, but need to feel that they can trust what they are reading 120
SUB-TREND: Formulation attentiveness: knowing about and being influenced by health information is becoming more widespread 121
Consumers are paying more attention to nutritional information available on food and drink packaging 121
Key takeouts and implications: consumers are demonstrating their increasing knowledge of health by making consumption choices based on labeling and professional advice 124
SUB-TREND: Information overload: burdened by too much information consumers are using information short-cuts to make informed, but simplified choices 125
In Middle East manufacturers and distributors must ensure that nutritional information is easily comprehensible and targeted 125
Key takeouts and implications: product formulation is a battleground for industry players, so key benefits must be clearly communicated to consumers 126
SUB-TREND: Information overload: gaps in health awareness and understanding 126
Consumers in the Gulf region are dissatisfied with the clarity of the nutritional information available on food packages 126
Key takeouts and implications: confusion is a barrier to consumption, and therefore should be eliminated to increase consumer confidence 127
SUB-TREND: Personalized nutrition and nutrigenomics are emerging themes and reflect a crossover between the health and individualism mega-trends 127
Key takeouts and implications: personalized nutrition is appealing to consumers but care must be taken not to take them out of their comfort zones 130
SUB-TREND: Personalized beauty regimes are still relatively niche but are gaining traction as situational and personally adaptive beauty solutions are increasingly sought 131
Key takeouts and implications: demand for personalized beauty is growing in all regions as consumers become more ' me' orientated 132

TREND: Moderation and avoidance: disciplined consumerism 133

SUB-TREND: Food stress and anxiety is a growing problem among consumers who feel pressurized to make ' better' dietary choices 134
Consumers in the Gulf region feel guiltier about snacking in-between meals 135
Key takeouts and implications: consumers' aims of moderated consumption and healthier choices are confused by contradictory information and the tendency for ' carefree consumption' to occur 137
SUB-TREND: Formalized dieting: regimented eating for weight management 137
Specific diet plans are more common in the Gulf than globally 138
Key takeouts and implications: consumers experience difficulties in pursuing sustained dietary plans 142
SUB-TREND: Dietary control: exercising dietary restraint is a key manifestation of the moderation trend 142
A significant sub-set of consumers are trying to eat smaller portions sizes 143
Key takeouts and implications: CPG players must answer consumers' needs for dietary control 146
SUB-TREND: Satiety: appetite control is a developing moderation concept with much potential 146
The potential for ' satiety inducing' products is significant in the Middle East 147
Key takeouts and implications: products which provide a feeling of satiety have significant potential, including in the Middle East 149
SUB-TREND: Vegetarianism and meat reduction have spread among consumers, feeding the market for meat alternatives 149
Key takeouts and implications: respond to consumers' meat reduction behavior with meat alternatives and responsible portion control marketing 151
SUB-TREND: Mealtime fragmentation: skipping meals is a widespread consequence of modern consumers' time-pressured lives and unhealthy routines 151
Key takeouts and implications: a gap exists between consumer attitudes towards main meal consumption and actual behavior 153

TREND: Positive nutrition: consumers are eating and drinking for wellbeing 153

SUB-TREND: Eating for wellbeing: changeable dietary routines are occurring in the Gulf region as dietary patterns increasingly take into account health considerations 155
UAE and Saudi consumers are interested in eating for wellbeing 156
Key takeouts and implications: consumers are willing to change their dietary habits 161
SUB-TREND: Embracing diet diversity: a more balanced and varied diet 161
UAE and Saudi consumers are trying to eat fresh produce with a high nutrient content 161
Key takeouts and implications: consumers will not compromise on freshness and are actively seeking products which provide them with their daily vitamin and mineral needs 165
SUB-TREND: The popularization of functional foods is also becoming apparent in the Middle East 166
UAE and Saudi consumers find added nutrients in food and drinks appealing 166
Key takeouts and implications: regional consumers actively seek functional foods with ' added' health benefits 167
SUB-TREND: Being hydrated: drinking adequate quantities of water 168
UAE and KSA consumers recognized the importance of hydration 168
Key takeouts and implications: the need for instant and continuous hydration has grown in consumer importance 169

TREND: Fitness for wellbeing: getting active and using supporting products 170

SUB-TREND: Getting active: consumers increasingly feel a sense of obligation when it comes to exercise 170
UAE and Saudi consumers are surprisingly happy with their level of physical fitness 171
Key takeouts and implications: consumers are surprisingly happy about their current levels of physical fitness 175
SUB-TREND: Sports nutrition: opting for performance and recovery supporting products 176
Key takeouts and implications: the market value of sports nutrition products is increasing, mainly driven by Lifestyle users 181

APPENDIX 182

Definitions 182
Methodology 182
Further reading and references 183
Ask the analyst 185
Datamonitor consulting 185
Disclaimer 186