Driving the growth of the GCC’s retail sector through enhanced consumer propositions

The GCC’s retail industry continues to thrive, with retailers reporting high revenue due to increasing consumer spending. Between 2021 and 2026, the value of non-food retail sales in the region is forecasted to increase by around $39 billion, driven by favorable demographics, improving macroeconomic factors and an ongoing tourism boom. In the UAE, real consumer spending is expected to increase year over year by 5% in 2024, one of the highest rates globally. The region’s governments’ push for economic diversification, along with the rising prominence of retailers who sell in both brick-and-mortar and online settings, also contribute to the sector’s positive outlook.

At Mastercard, we are contributing to this growth by enabling retailers to leverage innovative channels to reinvent the ways people pay for their purchases and enhance their customer propositions in this highly competitive industry. We provide shoppers with fast, seamless and secure payment methods while connecting them to a world of priceless experiences and benefits.

In this context, we have recently joined forces with Alshaya Group, a dynamic family-owned enterprise headquartered in Kuwait and one of the world’s leading brand franchise operators, to expand its award-winning loyalty program Aura. Over the next two years, the partnership will see the launch of an Aura co-branded credit card in multiple markets, including Kuwait, Saudi Arabia, the UAE and Qatar. The innovative product will bring added value to consumers when they shop across the Group’s 70+ brands, ranging from fashion and beauty to dining and homeware.

Alshaya Group’s diverse portfolio features some of the world’s most famous brands, including Starbucks, H&M, Mothercare, Debenhams, American Eagle Outfitters, P.F. Chang's, The Cheesecake Factory, The Body Shop, M.A.C, Victoria's Secret, Boots, Pottery Barn and KidZania. Introduced in 2022, the Group’s Aura loyalty program has 8.3 million members in Kuwait, Saudi Arabia, the UAE, Qatar and Bahrain, and is one of the most downloaded loyalty apps in the Middle East. Aura was recognized as the best loyalty program in the Food Retail and Non-food Retail category at the 2024 International Loyalty Awards.