The Saudi Arabia bags and luggage market consist of luxury bags, nonluxury bags, and luggage sold in Saudi Arabia through online as well as offline channel. Most of the bags and luggage sold in Saudi Arabia are imported from European and Asian countries. There are some manufacturers of luxury bags in Egypt and Turkey but they represent a very small share of the overall market. The number of brands operating in the market has grown over the years. Many fashion brands foresee Saudi Arabia as one of the most lucrative markets in the world due to the very high purchasing power of the customers.
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1. Laptop Bags due to its functionality and stylish designs are the most preferred bags in KSA with rising expats requiring such bags for their daily activities.
Laptop Bags due to its functionality and stylish designs are the most preferred bags in KSA with rising expats requiring such bags for their daily activities. Increase in number of expats from 9.7 million in 2015 to 10.7 million in 2020 and requiring business bags (including Laptop Bags) for their daily activities has positively impacted the sales in the Kingdom. Cross body, backpacks and wallets has been boosted by the increase in number of shops opened across numerous shopping malls in the country.
2. Louis Vuitton ad Samsonite topped the revenues in the Bags and Luggage brands available in KSA.
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Companies are increasingly adopting the omni channel distribution strategy post COVID to gain a foothold in the market since customers are skeptical in visiting offline stores. Moreover, many luxury brands are now concentrating their efforts in Dammam, the largest city in the eastern region. Furthermore, Louis Vuitton ad Samsonite topped the revenues in the Bags and Luggage brands available in KSA due to its high price range and its presence through omni channel to the customers. Louis Vuitton launched their E-Commerce site in Saudi Arabia recently which increases its reach to the other region of the country.
3. Smart luggage (carry-on bags and suitcases with built-in technology) is set to become a much bigger feature over the next five years.
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A carry-on travel bag that has gizmos housed in its handle, including battery chargers for a smartphone, GPS location tracking and a dashboard with stats showing how far the bag has travelled is one of the major technologies that has been adopted in this sector. Once paired with a smartphone, the bag will automatically lock when one steps away from it. Additionally, incorporating charging devices to allow consumers to charge their electronics when on the go, while also remaining fashionable is another of the great feature in the bags and luggage industry. This technology is currently provided by Timbuk2 in collaboration with Joey Energy. Furthermore, bags with fingerprint locking, built-in global-tracking devices, Bluetooth speakers, self-weighing scales, SIM cards and Wi-Fi hotspots could soon become the norm and is currently provided by Samsonite, Rimowa, and Samsung.
4. Influencer Marketing, Guerrilla Marketing Campaigns, publishing Online Articles are most effective ways to Advertise over Social Media in KSA.
In KSA to promote the bags and luggage, the marketing strategies that is mainly followed is the partnership with celebrities such as Dyler as well as prominent travel and lifestyle influencers like Nada Baeshen. This marketing strategy creates a strong influence among the customers and direct their buying decisions. Moreover, using Pinterest as a valuable channel for digital and influencer marketing strategy is proving to be an effective way for the promotion of new luggage brands in the country.