Middle East Gift Card And Incentive Card Market Size (2024 - 2029)

The Middle East Gift Card and Incentive Card Market has experienced significant growth, driven by the acceleration of digitalization and the adoption of cashless systems during the COVID-19 pandemic. This shift has led to a substantial increase in the use of e-Gift cards, particularly in B2B programs, as merchants and customers adapted to new shopping behaviors. The market's expansion is further supported by the burgeoning e-commerce sector, where gift cards are used to enhance customer loyalty and boost online sales. The diverse retail landscape, characterized by a mix of international and local brands, along with high smartphone and internet penetration, has also contributed to the market's robust growth trajectory.

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Market Size of Middle East Gift Card And Incentive Card Industry

Middle East Gift Card And Incentive Card Market Summary
Study Period 2020 - 2029
Base Year For Estimation 2023
Market Size (2024) USD 19.66 Billion
Market Size (2029) USD 51.42 Billion
CAGR (2024 - 2029) 21.20 %
Market Concentration Low

Major Players

Middle East Gift Card And Incentive Card Market Major Players

*Disclaimer: Major Players sorted in no particular order

Middle East Gift Card And Incentive Card Market Analysis

The Middle East Gift Card And Incentive Card Market size is estimated at USD 19.66 billion in 2024, and is expected to reach USD 51.42 billion by 2029, growing at a CAGR of 21.20% during the forecast period (2024-2029).

The Middle Eastern gift card and incentive card market is witnessing significant expansion, driven by the region's digital transformation and the increasing prominence of e-commerce. The United Arab Emirates and Saudi Arabia contribute most to this growth, with a rising adoption of digital payment methods and mobile wallets. Gift cards are gaining popularity for personal gifting and corporate applications, such as employee recognition and customer loyalty initiatives.

The surge in online shopping has amplified the demand for digital gift cards, particularly for online purchases. Moreover, cultural and religious events like Eid and Ramadan contribute to the growing acceptance of gift cards as a practical and versatile option.

Corporate demand is also a key growth driver, with retail, hospitality, and financial services companies increasingly using incentive cards to motivate employees and engage customers. Local and international players, such as Amazon, Carrefour, and regional banks, serve the market, offering diverse card options.

However, the market faces challenges, including regulatory complexities and the need for more localized offerings. Despite this, the Middle East gift card and incentive card market is expected to expand further, driven by technological advancements, consumer acceptance, and the growing importance of corporate incentive programs.

Middle East Gift Card And Incentive Card Industry Segmentation

The Middle Eastern gift card and incentive card market involves issuing and managing prepaid cards used for gifts or incentives. It includes physical and digital cards issued by retailers, banks, and specialized firms, catering to diverse consumer and corporate needs across the region.

The Middle Eastern gift card and incentive card market is segmented into product type, user type, distribution channel, and country. By product type, the market is segmented into food and beverages, personal care (including apparel, beauty products, and footwear), books and media products, consumer electronics, restaurants and bars, and other types. By user type, the market is segmented into individual and corporate. By distribution channel, the market is segmented into online and offline. By country, the market is segmented into the United Arab Emirates, Saudi Arabia, Qatar, and other countries. The report offers market size and forecasts in terms of value (USD) for all the above segments.

By Product Type
Food and Beverages
Personal Care (Apparel, Beauty Products, and Footwear)
Books and Media Products
Consumer Electronics
Restaurants and Bars
Other Product Types
By User Type
Individual
Corporate
By Distribution Channel
Online
Offline
By Country
United Arab Emirates
Saudi Arabia
Qatar
Other Countries
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Middle East Gift Card And Incentive Card Market Size Summary

The Middle East Gift Card and Incentive Card Market has experienced robust growth, driven by the increasing adoption of digital payment solutions and the expansion of the e-commerce sector. The market has been moderately affected by the COVID-19 pandemic, which accelerated the shift towards cashless transactions and digitalization. This shift has led to a significant increase in the use of e-Gift cards, particularly in the retail and corporate segments, where they are used for various purposes beyond traditional gifting. The region's high smartphone penetration and internet connectivity have further facilitated this growth, with consumers increasingly inclined towards online shopping. The diverse retail landscape, featuring both international and locally-developed brands, has also contributed to the market's expansion, as merchants leverage gift cards to boost online sales and enhance customer loyalty.

The market is characterized by a moderate level of consolidation, with major players like Carrefour SA, Landmark Group, and Sharaf DG LLC dominating the landscape. However, technological advancements and product innovations have enabled mid-size and smaller companies to expand their market presence by securing new contracts and exploring untapped markets. Notable developments include the launch of the multi-brand e-Gift card by YOUGotaGift and the strategic partnership between the Commercial Bank of Dubai and Samsung to introduce the virtual Samsung Pay Gift Card. These initiatives highlight the ongoing evolution and competitive dynamics within the market, as companies strive to meet the growing demand for digital gift and incentive solutions across the region.

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Middle East Gift Card And Incentive Card Market Size - Table of Contents

  1. 1. MARKET INSIGHTS AND DYNAMICS

    1. 1.1 Market Overview

    2. 1.2 Market Drivers

      1. 1.2.1 The Cultural Significance Of Gifting During Religious And Social Occasions Drives Demand For Gift Cards, Especially Through Offline Channels.

      2. 1.2.2 The Expansion Of Retail Chains And Shopping Malls In The Region Boosts The Availability And Variety Of Gift Cards, Both Online And Offline.

    3. 1.3 Market Restraints

      1. 1.3.1 In Many Parts Of The Middle East, Cash Is Still Preferred Over Gift Cards, Particularly For Certain Cultural And Religious Occasions, Limiting The Market'S Growth Potential.

      2. 1.3.2 Differences In Regulations Across Middle Eastern Countries Can Complicate The Distribution And Redemption Of Gift Cards, Particularly For Cross-Border Transactions.

    4. 1.4 FUTURE TRENDS AND MARKET OPPORTUNITIES

      1. 1.4.1 Increased Corporate Focus On Employee Engagement And Loyalty In The Middle East Boosts Demand For Incentive Cards, Creating Opportunities For Tailored Solutions.

      2. 1.4.2 E-commerce Growth Drives Opportunities For Advanced Digital Gift Cards, Targeting Tech-Savvy Consumers With Personalized And Sophisticated Offerings.

    5. 1.5 Key Gifting Market Trends Shaping the Card Space in the Middle Eastern Market

    6. 1.6 Industry Attractiveness - Porter's Five Forces Analysis

      1. 1.6.1 Threat of New Entrants

      2. 1.6.2 Bargainning Power of Buyers

      3. 1.6.3 Bargainning Power of Suppliers

      4. 1.6.4 Threat of Substitutes

      5. 1.6.5 Intensity of Competitive Rivalry

    7. 1.7 Insights into Latest Technological Innovations and Recent Trends in the Industry

    8. 1.8 Insights on Government Regulations in the Industry

    9. 1.9 Impact of COVID-19 on the Market

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Product Type

      1. 2.1.1 Food and Beverages

      2. 2.1.2 Personal Care (Apparel, Beauty Products, and Footwear)

      3. 2.1.3 Books and Media Products

      4. 2.1.4 Consumer Electronics

      5. 2.1.5 Restaurants and Bars

      6. 2.1.6 Other Product Types

    2. 2.2 By User Type

      1. 2.2.1 Individual

      2. 2.2.2 Corporate

    3. 2.3 By Distribution Channel

      1. 2.3.1 Online

      2. 2.3.2 Offline

    4. 2.4 By Country

      1. 2.4.1 United Arab Emirates

      2. 2.4.2 Saudi Arabia

      3. 2.4.3 Qatar

      4. 2.4.4 Other Countries

Middle East Gift Card And Incentive Card Market Size FAQs

The Middle East Gift Card And Incentive Card Market size is expected to reach USD 19.66 billion in 2024 and grow at a CAGR of 21.20% to reach USD 51.42 billion by 2029.

In 2024, the Middle East Gift Card And Incentive Card Market size is expected to reach USD 19.66 billion.

Middle East Gift Card And Incentive Card Market Report Snapshots

Middle East Gift Card and Incentive Card Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)