The estimated size of the UAE's major home appliances market is projected to hit $1.07 billion in 2024, with forecasts indicating a rise to $1.31 billion by 2029, reflecting a compound annual growth rate of 4.24% over the period from 2024 to 2029. The market's expansion is fueled by increasing disposable incomes and a preference for convenience among consumers in the UAE. In response to this trend, global appliance brand Black+Decker has inaugurated its inaugural brand store at the Al Ghurair Center in Dubai. This strategic move underscores Black+Decker's commitment to enhancing its retail presence, fostering closer consumer engagement, and doubling its revenue growth. Notably, this marks the first instance of a home appliance brand establishing a dedicated brand store in the region.
Rahul Chandra, Director for Consumer at Black+Decker Middle East, identified two key reasons behind the company's decision to launch its physical store in the UAE. He highlighted that the UAE is renowned both regionally and internationally as a shopping hub, with retail experiences deeply integrated into daily life. Despite a natural inclination towards online shopping among UAE consumers, traditional brick-and-mortar stores continue to enjoy enduring popularity across generations. Additionally, the UAE's home appliances market is experiencing unprecedented growth, making it a logical starting point for Black+Decker's retail expansion. Chandra emphasized the critical role of physical stores in an omnichannel strategy, noting that the opening of their first exclusive store represents a firm commitment to this growth strategy. The physical presence not only extends their reach but also deepens their consumer connections.
Mustafa Riaz, owner of Al Wifaq, expressed pride in being part of the world's first Black+Decker brand store in Dubai. He outlined plans to expand westward in Dubai and eventually open a store in Abu Dhabi, the capital of the UAE. Chandra acknowledged the increasing control consumers have over their shopping experiences and stressed the importance of making shopping as convenient as possible for them. He addressed the operational challenges faced by retailers, including border restrictions, competition, service standards, and rising consumer demands, and highlighted Black+Decker's dynamic, integrated strategy for sustained business growth. Chandra also revealed aggressive expansion plans, including entering new markets like Africa and opening additional retail stores in the Middle East.
