Market Trends of Kuwait Dairy Products Industry
Escalating Demand for Fermented Dairy Products Driving Market Growth
The relatively lavish lifestyle and poor eating habits of Kuwaitis are costing a fortune to consumers in terms of numerous health issues, with obesity and diabetes being the major threats to the population. Nonetheless, the Global Burden of Disease Study claims Kuwait to be the fourth most obese country worldwide. In line with these health concerns, consumers are developing a sense of healthy living. This leads them to progressively opt for food with functional attributes, including functional dairy products, such as probiotic yogurt and sour milk. For instance, in September 2023, SIG and AnaBio Technologies launched the first long-life probiotic yogurt in aseptic packaging. This collaboration combined AnaBio's microencapsulation technology with SIG's aseptic filling technology to create shelf-stable probiotic beverages in carton packs and spouted pouches. The new packaging allows for prolonged storage without refrigeration, which could prove a breakthrough for probiotic beverages and aseptic packaging.
In addition, the affluent population, with its growing disposable income, is willing to invest in premium, health-oriented food options. The influence of Western dietary trends, combined with the local government's initiatives to promote healthy eating, further fuel this demand. Consequently, this trend presents significant opportunities for dairy producers to expand their market presence and introduce fermented dairy products.
Online Retailing Industry Considered to be the Fastest-growing Retailing Segment
Online retailers often use promotional strategies for dairy brands that involve extensive use of targeted online advertising, discounts, and flash sales. Targeted online advertising helps identify and reach specific consumer segments. These retailers also captivate the consumer focus by offering them huge discounts and flash sales, creating a sense of urgency and attracting price-conscious consumers, driving immediate sales and increasing overall website traffic. These promotional tactics boost short-term revenue and enhance brand visibility and customer engagement in the dairy market.
In Kuwait, online retail platforms allow dairy products to reach a broader audience, including consumers in remote or underserved areas where physical stores may not be available. This expanded reach helps increase overall sales and market penetration for dairy products. In addition, online shopping offers unparalleled convenience, allowing consumers to purchase dairy products from the comfort of their homes. Such ease of access encourages more frequent purchases, supporting market growth. These retailers also showcase a variety of dairy products, including niche and specialty items that may not be available in local stores.
