US home appliance major opens its first brand store in Dubai

UAE home appliances market poised to grow to $1.31 billion

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Published: Tue 20 Aug 2024, 9:46 PM

The UAE major home appliances market size is estimated at $1.07 billion in 2024, and is expected to reach $1.31 billion by 2029, growing at a CAGR of 4.24 per cent during the forecast period (2024-2029). The rise in disposable incomes and consumer choosing convenience have led to the growth of the home appliance market in the UAE.

To cash in on this trend, Black+Decker, the global appliances brand, recently opened its first brand store at Al Ghurair Center in Dubai. This move marks a significant milestone in Black+Decker’s expansion strategy and aligns with its vision to elevate retail footprint, getting closer to consumers and double its revenue growth. This also marks the first home appliance brand to have a brand store in the region.

Rahul Chandra, Director, Consumer, Black+Decker Middle East, said two factors spurred Black+Decker to choose UAE as the first market for the physical store launch. “Firstly, UAE is considered a shopping destination regionally and globally for tourists and residents alike. Especially in the UAE, the shopping and retail experiences are a part of everyday lives. Although consumers in the UAE are naturally skewed towards online shopping, the brick and mortar retailers maintain multi-generational popularity and appeal. It was an obvious choice to start the retail expansion in the UAE. Secondly, the UAE home appliances market is on an all-time high, making it an obvious choice to begin our retail expansion with the UAE,” Chandra told Khaleej Times.

Rahul Chandra, Director, Consumer, Black+Decker Middle East

Physical stores play an important role in the future network of any omnichannel player, Chandra stressed. “Opening of our first exclusive store is commitment towards our omnichannel growth strategy. With a physical retail space, we are not just expanding our reach, but also strengthening our connection with our consumers,” he added.

Mustafa Riaz, Owner of Al Wifaq, said, “We Al Wifaq are proud to be part of world’s first Black + Decker brand store in Dubai. This store will not just display the vastly diversified product lines that Black+Decker has but promises to offer immersive experience that inspires and educates customers. This store lays the foundation for nationwide growth of such customer engaging experience brand stores. Our next target is expanding towards west of Dubai and eventually opening a store in beautiful capital city of UAE, Abu Dhabi.”

With the customer more in control than ever, Chandra said it is in the company’s best interests to make it as easy as possible for shoppers. “Every retailer faces operational challenges caused by many factors - border restrictions, competition, service standards and increasing consumer demands. We are equipped with a dynamic, integrated strategy that drives sustained business growth. To build a strong omnichannel strategy that will optimize the retail business, it is important that this strategy is adopted throughout the business (not just marketing), and for the right resources to be committed against these efforts,” he added.

Black+Decker is aggressively planning expansion of its business. “We are committed towards a focused growth strategy that includes entering into newer markets like Africa and also rolling into launching of a few more retail stores in the Middle East,” Chandra said.