The KSA Bags and Luggage Market expected to reach $ 375 Mn by 2025: Explore the key trends and technological innovations that will help in reaching the mark: Ken Research

The Saudi Arabia bags and luggage market consist of luxury bags, nonluxury bags, and luggage sold in Saudi Arabia through online as well as offline channel. Most of the bags and luggage sold in Saudi Arabia are imported from European and Asian countries. There are some manufacturers of luxury bags in Egypt and Turkey but they represent a very small share of the overall market. The number of brands operating in the market has grown over the years. Many fashion brands foresee Saudi Arabia as one of the most lucrative markets in the world due to the very high purchasing power of the customers.

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1. Laptop Bags due to its functionality and stylish designs are the most preferred bags in KSA with rising expats requiring such bags for their daily activities.

Laptop Bags due to its functionality and stylish designs are the most preferred bags in KSA with rising expats requiring such bags for their daily activities. Increase in number of expats from 9.7 million in 2015 to 10.7 million in 2020 and requiring business bags (including Laptop Bags) for their daily activities has positively impacted the sales in the Kingdom. Cross body, backpacks and wallets has been boosted by the increase in number of shops opened across numerous shopping malls in the country.

2. Louis Vuitton ad Samsonite topped the revenues in the Bags and Luggage brands available in KSA.

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Companies are increasingly adopting the omni channel distribution strategy post COVID to gain a foothold in the market since customers are skeptical in visiting offline stores. Moreover, many luxury brands are now concentrating their efforts in Dammam, the largest city in the eastern region. Furthermore, Louis Vuitton ad Samsonite topped the revenues in the Bags and Luggage brands available in KSA due to its high price range and its presence through omni channel to the customers. Louis Vuitton launched their E-Commerce site in Saudi Arabia recently which increases its reach to the other region of the country.

3. Smart luggage (carry-on bags and suitcases with built-in technology) is set to become a much bigger feature over the next five years.

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A carry-on travel bag that has gizmos housed in its handle, including battery chargers for a smartphone, GPS location tracking and a dashboard with stats showing how far the bag has travelled is one of the major technologies that has been adopted in this sector. Once paired with a smartphone, the bag will automatically lock when one steps away from it. Additionally, incorporating charging devices to allow consumers to charge their electronics when on the go, while also remaining fashionable is another of the great feature in the bags and luggage industry. This technology is currently provided by Timbuk2 in collaboration with Joey Energy. Furthermore, bags with fingerprint locking, built-in global-tracking devices, Bluetooth speakers, self-weighing scales, SIM cards and Wi-Fi hotspots could soon become the norm and is currently provided by Samsonite, Rimowa, and Samsung.

4. Influencer Marketing, Guerrilla Marketing Campaigns, publishing Online Articles are most effective ways to Advertise over Social Media in KSA.

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In KSA to promote the bags and luggage, the marketing strategies that is mainly followed is the partnership with celebrities such as Dyler as well as prominent travel and lifestyle influencers like Nada Baeshen. This marketing strategy creates a strong influence among the customers and direct their buying decisions. Moreover, using Pinterest as a valuable channel for digital and influencer marketing strategy is proving to be an effective way for the promotion of new luggage brands in the country.

Exploring the Potential of $ 320 Mn Bags and Luggage Market of KSA: Packing innovations to stay ahead of the curve: Ken Research

The Saudi Arabia bags market consists of luxury and non-luxury bags sold online as well as the offline channel. Most of the bags and luggage sold in Saudi Arabia are imported, mostly from European and Asian countries. The growing customer inclination toward high-end luggage equipped with Global Positioning System (GPS) tracker, rising urbanization, and increasing disposable income are expected to drive the luggage market over the predicted years.  This market is expected to witness a growth of ~7.0% in the next 3 years.

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1. Working population especially of age 20-50 years are Major Customers of the Bags and Luggage Market in KSA, highly influenced by Social Media and TV Commercials .

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Backpacks, Shoulder Bags, Laptop and Business Bags are the preferred category due to rising working age population in the country. Youngsters usually prefer purchasing a bag from offline retail shops whereas working professional (age 20-35 years old ) prefer online websites due to due to the attractive discounts and product varieties. Moreover, social media is the most popular marketing channel amongst the young population followed by TV commercials and celebrity endorsements due to high brand visibility.

2. Noon and Amazon are most preferred websites for all income age group due to huge variety of bags available in different sizes along with multiple discounts offered.

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Noon and Amazon are most preferred websites for all income age group due to huge variety of bags available in different sizes along with multiple discounts offered. Additionally, working Population (20-35 years old) usually Prefer online E commerce platforms for purchasing bags and luggage due to the Attractive Discounts and Product Varieties visible on the Platforms.  Moreover, Amazon (Souq) is the most popular websites for Shoulder Bags and Wallets while Noon is more preferred for Backpacks, Duffel Bags, Cross Body and Wallets.

3. ~35 Million Saudi & Non Saudi Population of Different Income Group presents a Huge Potential for Different Variants of Bags and Luggage present in the Market.

Saudi Arabia is the Middle East's largest country. It is the 41st most populous country in the world, accounting for an estimated 0.46% of the global population. The 35 million Saudi and non-Saudi population of various income groups represents a huge potential for the various types of bags and luggage on the market. Today, in accordance with its "Vision 2030," the country is actively working to diversify its oil-based economy and provide its people with more and diverse economic and cultural opportunities, which is assisting the fashion industry to thrive and contributing to the growth of the KSA bags and luggage market.

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4. Seasonal Discounts during festive months of Eid and Ramadan, New year’s and Christmas are offered for high influx of customers in the Stores.

In Saudi Arabia, both Eid celebrations and Ramadan are a ten-day government holiday. These holiday presents many opportunities for a variety of marketing campaigns targeting Arab and Muslim consumers. Collaborating with destinations, hotels, and airlines for advertising promotions for special Eid offers, like discounted rates, or special feasts provides opportunities for the retailers to sell their products. Seasonal Sales, Islamic New Year, Increase in Tourism due to Hajj Festival and due to favorable weather conditions, people hang around in malls and public places leading to more visits in bags and luggage stores which increases the revenue of the industry.