Market Trends of Saudi Arabia Microwave Ovens Industry
This section covers the major market trends shaping the Saudi Arabia Microwave Ovens Market according to our research experts:
Increasing Population and the Rising Number of Households is Driving the Market
The population is on the rise in Saudi Arabia, and in order to accommodate the growing population and owing to the high rate of urbanization and as the majority population living in the capital city Riyadh, the total number of households is on the rise in the country. According to the World Bank, Saudi Arabia ranks in the top 20 richest countries by spending power. The higher disposal incomes enable the people to spend on luxury housing products and frequent house renovations. The increase in the younger population in the country is expanding the scope for more versatile and unique home appliances, which is helping the market studied to expand further in the country and record more sales transactions and thus the revenue recorded from it. The slowly yet steadily increasing country's population and relatively high per capita income are expanding the need for new households and owing to the have a large expatriate community in the country, which accounts for more than 30% of the population, and the high urbanization rate with around 83.3% of the citizens are living in urban areas of the country, the need for residential construction market is expanding rapidly in the country and is offering the microwave oven market to grow further in the kingdom.
Residential Segment Dominates the Market
Saudi's construction sector is one of the fast-expanding sectors, which is primarily driven by government-backed investments. The construction sector is expected to grow, despite the regional political unrest, which has upset investors' confidence. In order to accommodate the growing population, residential construction is on a growth track in the nation, which is helping the microwave ovens to record more growth in terms of revenue. Saudi also has a high expatriate population, which is also helping the market studied to expand further. Vision 2030 announced by Saudi Arabia has boosted the construction market, along with several significant investments in housing construction and infrastructure developments, thereby revitalizing the construction industry across the country. As of March 2020, there were around 4,000 construction projects that are under construction within the country. Though these projects are facing delays owing to the ongoing COVID-19 pandemic, the market is expected to get on track once the pandemic is over. Increasing residential construction will create a need for new appliances due to which the microwave ovens demand will rise during the forecast period.
