The Saudi Arabia Ready-To-Eat Food Market is projected to witness a CAGR of 10.35% during the forecast period 2023–2030 and reach from an estimated USD 12.82 million in 2022 to USD 28.19 million by 2030. One of the new trends of the ready-meal industry in the nation is producers providing consumers with organic food products for on-the-go eating, including everything from frozen desserts to dinners and appetizers. The country’s desire for products has been fuelled by organic frozen ready meals’ nutritional and health advantages. The middle-class population in the GCC has been growing quickly over the years, led by a sizable number of expatriates. This element is driving up the market for prepared foods in the nation. While the ongoing influx of expats from other regions may add a variety of cuisines to the area, increased awareness of healthy eating practices may increase the market for ready meals made with organic components nationwide.
Convenience is a primary catalyst for the increasing demand, mainly due to busier lifestyles among corporate and working-class individuals, along with a rising number of working women, leaving people with limited time to prepare meals after work hours. Pre-cooked meals in advance, offer the advantage of being ready in minutes and provide a much more convenient meal preparation option.
Another factor driving growth is the increasing maturity of supply-side dynamics. This is evident in the rising number of malls, shopping centres, and supermarkets, which are supported by a well-developed distribution and infrastructure network, offering a wide array of ready meals on their shelves.
In addition, ready meal producers are actively contributing to the surge in demand. Researchers note that the packaging of ready meals has improved over the years, becoming more appealing and attractive to consumers, with features such as bulk packaging providing added convenience. Producers across the segment are also stepping up their marketing efforts and promotions to stimulate uptake and capture a larger market share.
Evolution of Hectic Lifestyle Trends
Hectic lifestyles are one of the key drivers of the ready-to-eat food market in Saudi Arabia. As the pace of life in Saudi Arabia becomes faster and more demanding, many consumers are looking for quick, convenient, and easy meal options that can be consumed on-the-go or at work. The growth of the ready-to-eat food market is, in part, a response to this demand for convenience. Some of the factors that contribute to the hectic lifestyles in Saudi Arabia include longer work hours, commuting, busy family schedules, and urbanization. These factors have contributed to the growth of the ready-to-eat food market in Saudi Arabia, as consumers seek out convenient and time-saving meal options that fit their busy lifestyles.
Over the forecast period, the Saudi Arabia market for ready meals is projected to be driven by changing lifestyles and the rising number of women entering the workforce there. Women made up 35.6% of the workforce in 2021, exceeding the 30% target set by Vision 2030. The Saudi female participation rate fell to 33.6% in the first quarter of 2022 before rising to 35.6% in the following three months.
Get Complete Analysis Report:
https://www.marketsandata.com/industry-reports/saudi-arabia-ready-to-eat-food-market
Rising Disposable Incomes
In the context of the ready-to-eat food market in Saudi Arabia, rising disposable incomes have contributed to the market’s growth by enabling consumers to afford more convenient and premium food options. According to the statistics given by the World Bank, the GDP per capita of the nation stands at USD 23.2K in the year 2021 which was much higher than USD 19.5K in the year 2020. As disposable incomes increase, consumers become more willing to spend money on ready-to-eat meals that offer greater convenience and time-saving benefits compared to traditional home-cooked meals. Additionally, consumers with higher disposable incomes may be more likely to seek out premium ready-to-eat food options, such as gourmet salads or international cuisine, that are priced at a premium but offer a higher level of quality and taste.
Expansion of Online Retail Stores
The surge in the utilization of online retail stores in the country is fuelled by the rapid growth of take-home or takeaway eating options, meeting the rising demand for ready meals and semi-prepared breakfast, lunch, or dinner. Online meal delivery services offer consumers the convenience of exploring a wide range of foods and cuisines from the comfort of their homes, offices, or other convenient locations. Customers can access information about the food, compare prices and quality from various outlets, and benefit from feedback from previous customers, promotional offers, and cost-effective ready-meal options. The growing internet penetration further fuels the demand for online food ordering services. In online retail channels, customers can choose from various payment options, such as e-wallet payment and cash on delivery (CoD), allowing them to minimize their meal expenses by opting for offers and schemes.
The ease of accessing hassle-free food delivery while saving time and energy is a key driving factor for the market in the country. To support economic growth and encourage businesses and employment related to meal delivery, the Saudi government funds meal delivery services. An illustration of this can be seen in the cooperation agreement inked between the Communications and Information Technology Commission (CITC) and the Social Development Bank in September 2021. This agreement allows self-employed individuals to acquire private automobiles to work as couriers in delivery apps. Such initiatives will likely enhance the availability of hassle-free ready-meal options for consumers, further boosting the market.
Dowbload Free Sample Report:
https://www.marketsandata.com/industry-reports/saudi-arabia-ready-to-eat-food-market/sample-request
Impact of COVID-19
People in Saudi Arabia stocked up on goods during COVID-19 out of concern over a lack of food. Due to the lockdown, stress eating among Saudi consumers grew, and there was a corresponding rise in the need for foods with Saudi Food and Drug Authority (SFDA) standards and flavour as well as for ethnic dishes, which helped the market for ready meals in various forms to expand. Also, the internet retail channel is helping to support the sales of this category as many supermarkets and hypermarkets have closed. To reduce the spread of the virus, people are increasingly placing food and beverage orders through online retailers.
In recent years, Saudi Arabia has witnessed a significant transformation in its food culture, driven by changing lifestyles, urbanization, and an increasing demand for convenience. One of the most notable developments in this culinary landscape is the rise of the ready-to-eat food market. Ready-to-eat (RTE) foods offer consumers quick and convenient meal solutions without compromising on taste or quality. In this blog post, we delve into the factors fueling the growth of the ready-to-eat food market in Saudi Arabia and explore the key trends shaping its future.
Growing Demand for Convenience: Saudi Arabia’s rapidly evolving socio-economic landscape has led to shifting consumer preferences, with convenience emerging as a top priority for many. Busy lifestyles, longer working hours, and the growing number of dual-income households have fueled the demand for convenient meal options that require minimal preparation time. Ready-to-eat foods cater to this need by offering a wide range of delicious and nutritious meals that can be enjoyed on the go or at home with minimal effort.
Diverse Product Offerings: The ready-to-eat food market in Saudi Arabia encompasses a diverse range of products, including frozen meals, canned foods, pre-packaged snacks, and ready-to-cook items. From traditional Middle Eastern delicacies to international cuisines, consumers have access to a plethora of options to suit their taste preferences and dietary requirements. Additionally, the availability of halal-certified ready-to-eat foods ensures compliance with Islamic dietary laws, catering to the needs of the Muslim population in the region.
Rise of Health-Conscious Consumers: While convenience remains a driving factor behind the popularity of ready-to-eat foods, there is a growing emphasis on health and wellness among Saudi consumers. As awareness of the importance of nutrition increases, there is a rising demand for RTE options that offer healthier alternatives without compromising on flavor. Manufacturers are responding to this trend by introducing innovative products that are lower in sodium, sugar, and fat, and enriched with vitamins, minerals, and other beneficial nutrients.
Innovation and Product Development: To stay ahead in a competitive market landscape, companies operating in the ready-to-eat food sector are investing in innovation and product development. From packaging innovations that extend shelf life to the introduction of new flavors and recipes, manufacturers are continuously striving to meet the evolving needs and preferences of consumers. Moreover, advancements in food technology and processing techniques are enabling the production of RTE foods that retain freshness, texture, and nutritional value without the need for preservatives or artificial additives.
Market Expansion and Distribution Channels: The ready-to-eat food market in Saudi Arabia is witnessing significant expansion, driven by the growing availability of these products across various retail channels. In addition to traditional supermarkets and hypermarkets, RTE foods are increasingly being sold through convenience stores, online platforms, and food delivery services, providing consumers with greater accessibility and convenience. Furthermore, the rise of foodservice outlets offering ready-to-eat options, such as cafes, restaurants, and food trucks, is further contributing to market growth.
Conclusion: The ready-to-eat food market in Saudi Arabia is experiencing robust growth, fueled by changing consumer lifestyles, increasing urbanization, and a growing preference for convenience. With a diverse range of products catering to various tastes and dietary preferences, coupled with a focus on health and wellness, RTE foods have become an integral part of the culinary landscape in the Kingdom. As the market continues to evolve, innovation, product development, and expanding distribution channels will play key roles in shaping its future trajectory.
