Saudi Arabia’s consumer spending reached SR11.8 billion during the week of December 15-21. This figure represents a slight 8.1% decrease compared to the previous week. However, the food and beverage sectors dominated sales, driving SR11.8 billion in total transactions, as reported by the Saudi Central Bank (SAMA). The restaurants and cafes sector recorded SR1.69 billion in transactions, despite a significant 13.9% weekly decline. Food and beverage spending equaled SR1.69 billion, showing a 9% drop but remaining a key contributor to expenditures.
Seasonal Factors Impact Consumer Spending
Lower spending resulted from salary payments typically scheduled for the 27th, reducing activity during preceding weeks. Additionally, the winter holiday season prompted expatriates to travel home, further lowering domestic transactions.
However, Clothing and footwear spending fell 5.2%, totaling SR864.15 million, reflecting moderate changes across consumer categories. Construction and building materials recorded a minimal decline of 0.9%, settling at SR355 million for the week. Electronics and electric devices transactions decreased by 8.7%, highlighting a shifting focus in consumer priorities. Jewelry sales saw a 14.4% drop in transaction volumes, accompanied by a modest 3.9% decline in value.
Moreover, Miscellaneous goods and services dropped 9.1%, totaling SR1.4 billion, reflecting diverse market activity changes.
Regional Insights: Riyadh Leads the Market
Riyadh remained Saudi Arabia’s largest consumer market, recording a point-of-sale (POS) value of SR4.2 billion despite a 6% dip. Jeddah experienced a 7.5% decrease to SR1.6 billion, while Dammam transactions fell 3.6%, reaching SR617.5 million. Hail faced the steepest regional drop, with spending down 14.8%, totaling SR169.6 million for the week. Mecca transactions declined by 4.4%, reaching SR502.8 million, while Tabuk’s spending dropped 12.8% to SR210.4 million.
Outlook: Food and Beverage Resilience
Despite the seasonal slowdown, food and beverage sectors sustained strong performance, reflecting evolving consumer preferences during winter.
Consumer spending patterns highlight resilience in dining and essentials, signaling stable market dynamics despite economic and seasonal pressures.
