Abu Dhabi City Report 2013 PDF

abu dhabi
city report 2013
Chalhoub Group Strategy & Innovation Business Intelligence
outline
key indicators Abu Dhabis Strategic Plan 2030 politics social
economy
projects/real estate tourism retail consumers
Chalhoub Group Strategy & Innovation Business Intelligence March 2013
key indicators
March 2013
Abu Dhabi key indicators

2011 2012 2013 (f)
GDP (in billion US$) GDP growth (in %) GDP per capita (US$) Contribution of oil to GDP (in %) Inflation (in %) Population (in million) Tourism (in million) Airport traffic (in million) Retail GLA (in million sqm)
188 1 6.4 2 76,692 3 n/a 3.3 4 1.9 5 2.1 7 12.4 8 0.87 9
204 1 4.5 2 n/a n/a 1.1 3 2.4 5 2.4 7 14.7 8 n/a
n/a 4.5 2 n/a n/a n/a n/a 2.5 7 15.7 8 n/a
source: available at the end of the document

Abu Dhabi vs Dubai key indicators

2012 Data or Estimate GDP (as % of the UAE GDP) GDP growth (in %) Contribution of oil to GDP (in %) Inflation (in %) Population (in million) Tourism (in million) Airport traffic (in million) Hotel rooms (total) Hotels occupancy rate (in %) Hotels average rate (in US$) Retail GLA (in million sqm) Abu Dhabi 60 10 4.5 2 49.7 (2010) 10 1.1 12 2.4 5 2.4 7 14.7 8 22, 000 (2010) (with 7,189 rooms in pipeline 2013) 15 76 15 123 (-8%) 7 0.87 (2011) 9 Dubai 29 10 4.1 11 15.4 (2010) 10 -1.7 12 2.1 12 10.2 13 57.7 14 60,000 (with 16,588 in the pipeline 2013) 15 80 15 234 (+7.9%) 15 2.9 (2011) 9
source: available at the end of the document
Majority of the UAE territory
March 2013
politics
March 2013
Established political order
Capital of the United Arab Emirates (UAE) and home of the UAE federation government
Well established political order carried out for decades by the Al Nahyan family Smooth transition following the demise of the UAE President Sheikh Zayed bin Sultan al Nahyan in 2004 to his eldest son Sheikh Khalifa bin Zayed Al Nahyan Implicit understanding that Abu Dhabis ruler will always be elected president despite a 5-year renewable presidency principle
Key role of the Abu Dhabi Executive Council

Primarily oversees the emirate Chaired by Sheikh Mohammed bin Zayed Al Nahyan Comprises largely of prominent members of the ruling family as well as a number of respected politicians
March 2013
Abu Dhabi Economic Vision 2030: architecture for the future

9 Pillars
Large empowered private sector Creation of a sustainable knowledgebased economy Vision: sustainable, diversified, highvalue-added economy that encourages enterprises and entrepreneurship and well integrated in the global economy leading to better opportunities for all Optimal transparent regulatory environment Continuation of strong and diverse international relationship Resource optimization Premium education, healthcare and infrastructure assets Complete international and domestic security Maintain Abu Dhabis values, culture and heritage Significant and ongoing contribution to the federation
Priority Areas
Government operations optimization Social and human resources development Infrastructure development and environment sustainability Economic development
source: The Emirate of Abu Dhabi Policy Agenda 2007-08
March 2013
Evolution of Abu Dhabis 2030 vision

Following the economic crisis, Abu Dhabi government sharpened its focus 8
January 2012: The Executive Council reconfirmed Abu Dhabis commitment Large funds focused on social and infrastructures projects that address short term needs
Community Welfare:
Education 100 news schools to be built by 2018 Health 14 new healthcare facilities are planned to be built by 2030 Housing 50,000 homes to be built in the next 20 years Increase Abu Dhabis job market Ten of thousands of jobs to be created Airport extension Midfield terminal in Abu Dhabi International Airport to increase the capacity of passengers to 27 million. Completion date: 2017 Development of Saadiyat Island: 5 museums. Timeline and completion date were confirmed for 3 museums
Boost the tourism sector
Infrastructure projects
130 km of metro. Completion date: between 2016 & 2017 Two major road construction: Al Mufraq-Ghuwaifat highway Emirates Road 'extension AutoCity, a car service centre, will be developed in Mussafah
source: The Emirate of Abu Dhabi Policy Agenda 2007-08
March 2013
Abu Dhabi vision 2030: objectives

2015 Population, Abu Dhabi city (in million) GDP (in billion US$) GDP per capita (in US$) Non-oil share of GDP (in %) Unemployment rate among nationals National Active Population ratio National dependency ratio (in %) Residential units Retail space suggested (in million sqm) Abu Dhabi Airport capacity (in million) Tourists (in million)
2020 n/a 232 71.5 n/a 5% 41% 1.6 411,000 2.5 n/a 4.9
2030 >3.1 415 82.6 64% 5% 51% 1.1 686,000 4.0 20 7.9
March 2013
1.3 (2013) 165 65.6 50% 7% 34% 2.6 251,000 (2013) 1.5 (2013) 12 3.3
Government operations optimization
Launch of e-government services and initiatives Extensive review of processes and structures Streamlining of department and outsourcing of noncore services Government operations optimization
Review and enhance legislative framework and law making processes
March 2013
social
March 2013
Social & HR development
Ensure high quality education and health services
Social & HR development
Ensure the availability of a stable of high quality labour
Develop the workforce
Encourage full employment amongst nationals
Maintain ethical and safe management of labour resources
March 2013
Small, growing population

Population growth 5
Abu Dhabi population estimated at 2.4 million in 2012

1.3
1.6
1.75
1.9
2.4
Slower population growth and lower population than previously estimated for Vision 2030 20% of the population is national 16 43% of UAEs nationals live in Abu Dhabi vs 18% in Dubai 17 Men account for 71% of the total population 6
2008
2009
2010
2011
2012
Expatriation reliance 20
Expatriate Nationals
12% 88%
20% 80%
Abu Dhabi
20% 80%
Qatar
UAE
Increasingly young national population 3

Nearly 67% under 40 years old in 2011 With 48% between 20-40
2011 Population distribution by cities 3

Al Ain 27%
Abu Dhabi city 62%
High standard of living

Abu Dhabi ranked overall or most expensive city in the GCC according to a cost of living survey vs Dubai (94th) 18 Abu Dhabi and Dubai ranked best place to live in the GCC
Al Gharbia 11%
76th
1st
2011 Population distribution 3

60+ 16% 50-59 5% 40-49 12% 30-39 23% 0-9 11% 19-10 8% 20-29 25%
Abu Dhabi ranked 78th vs Dubai 73rd in terms of quality of living, the highest ranked among GCC countries 19
March 2013
Vision 2030: population distribution
North Coast 15%

Island: 1,330,000 Mainland: 1,370,000 North Coast: 470,000
Island 42% Mainland 43%
Total: 3,170,000
March 2013
Young and government-reliant national population

Relatively high unemployment for the UAE in 2011
Unemployment rate among local citizens in Abu Dhabi in 2011 at about 11.6% 3 Al Ain area: 16%, Abu Dhabi: 9% West Abu Dhabi: 8%. Wide gender gap: 41.8% females vs 3.8% for males
High involvement in public sector

90% of the Emirati working population are employed in the public 4
86% of Emirati male graduates and 66% of females prefer to work in the government sector after graduation 21
Sizeable presence of women in the workforce

Women in Abu Dhabi constitute:

43% of the labour force 22 66% of the public sector workforce, 30% of which are in senior posts 22 70% of Emiratis in federal higher education institutions 3
Yet 57% of Emirati women with a post-secondary degree are unemployed (vs 11% for men)
March 2013
Desire to become a regional education hub

Establishment of Abu Dhabi Education Council (ADEC) in 2005
Implement innovative educational policies, plans and programs Support educational institutions and staff to achieve the objectives of national development in accordance with the highest international standards
ADEC 10 Year Strategic Plan for Higher Education 2010-2019, 4 target priorities:
Raising the quality of higher education system to internationally recognized levels Aligning higher education with social, cultural and economic needs Building and maintaining a research eco-system to drive an innovation-based economy Providing all qualified students with affordable access to higher education
Rising emphasis on education amongst local population

In 2010, only 25% of nationals in Abu Dhabi had a high school diploma and 15.6% a university degree or higher 21 Push to reduce number of foreign skilled workers and prepare Emiratis for competition in international labour force
Attraction of campus branches of internationally renowned institutions

Paris-Sorbonne University Insead Centre of Executive Education and Research New York University
100 public schools to be built or refurbished in Abu Dhabi 21

This is part of the Abu Dhabi Education Council's ten-year plan to overhaul the public education system
March 2013 Chalhoub Group Strategy & Innovation Business Intelligence
economy
March 2013
Economic development
To create higher value employment opportunities Diversification To maximize participation of women
Economic development
To attract international and local investment Integration to global economy To facilitate export of capital
March 2013
Economic powerhouse of the UAE

Steady growth after recession dip
Estimated 2012 nominal GDP: US$204 1 Estimated 2012 real growth: 4.5% 2
23
41,701 22,918
2011 GDP per capita (In US$) 3&23

98,144 78,692
Wealthy population

63,626
Estimated 2012 UAE nominal GDP per capita: US$78,692 One of the highest per capita in the world Standard and Poors labeled Abu Dhabi among the wealthiest economies in the world in 2012
Bahrain
Kuwait
UAE Abu Dhabi Qatar
Economic backbone of the UAE

60% of the UAEs GDP 24 Wide financial reserves allowing it to support neighbouring emirates US$15 billion indirect support for Dubai US$10 billion in Dubai bonds from the National Central Bank based in Abu Dhabi in February 2009 and a US$5 billion loan by two Abu Dhabi-owned commercial banks in Nov 2009 US$10 billion bail out for Dubai World to avoid defaulting on a US$4.1 billion bond payment in November 2009
Abu Dhabi non-oil trade partners in 2011 5 1st 2nd 3rd 4th 5th 6th 7th Saudi Arabia US South Korean Japan Germany Italy France
March 2013
Strong trade partner 5

The breakdown for trade is at 80% for exports and 20% for imports The value of foreign trade (oil and non-oil trade) increased by 37.6% in 2011 to US$145 billion accounting for 66% of Abu Dhabis GDP in 2011
Energy reliant economy, pushing for diversification

Energy powerhouse 25
9% of the worlds reserves of crude oil and natural gas
GDP Abu Dhabi breakdown by sector in 2011 1
Controls the worlds fifth largest proven oil and gas deposits
Private 32%
Among top 5 exporters of crude oil and top 25 of natural gas

Oil sector 50%
Energy reliant economy 25

94% of the UAEs oil reserves Accounting for 80% of government revenues
Efforts towards diversification to reduce GDP volatility 1

50% of Abu Dhabis GDP is now oil-reliant in 2011 vs 63% in 2006
Non oil govern ment 18%
Will to develop alternative energy 26

Development of solar power plant project US$600 million Shams 1. Launch in August 2012 Launch of the first green city in the world US$22 billion Masdar City The headquarters of the International Renewable Energy Agency (Irena) will be located in Masdar City Signed agreements with China to develop advanced and sustainable energy technologies and solutions
March 2013
Ambitious diversification program

Economic development and diversification targeting specific sectors
Energy
Healthcare
Petrochemicals
Transportation, trade, logistics
Metals
Education
Aviation, Aerospace, Defense
Media
Pharmaceuticals, Biotechnology, Life sciences
Financial services
Tourism
Telecom services
March 2013
Liberalizing business environment
Further liberalized to counter negative impacts of the financial slowdown

Abolition of minimum capital requirement of US$41,000 in August 2009 for the establishment of a Limited Liability Company Establishment of multiple commercial free zones across the UAE further to Dubai lead

Offering 100% business ownership No corporate tax, no controls on the repatriation of profits or no restrictions on foreign trade
March 2013
Development of a financial arm for a global expansion

Sovereign Wealth Funds in 2012
(in US$ billion) 27
656
627 533 482
Norway
Abu Dhabi
Saudi Arabia
China
The Abu Dhabi Investment Authority (ADIA): 2nd in the list of the world's sovereign wealth funds 27
Diversified investment institution owned by the Government of Abu Dhabi Established in 1976 Value of its holdings US$627 billion Manages an investment portfolio, diversified across more than two-dozen asset classes and subcategories
March 2013
projects/real estate
March 2013
Infrastructure development and environment sustainability

Develop a professional designed and wellmanaged urban development with a world class traffic and transport systems
Infrastructure development and environment sustainability
Develop the Regions to keep pace with that of the Capital
Ensure maintenance of security
March 2013
Carefully planned land
Careful real estate model, looking at markets needs to reach long-term sustainability
Cautious diversification strategy with balanced share of real estate and construction sectors Average residential rents fell by 12% during 2012 28 All public employees working in Abu Dhabi are asked to live in the capital in order to receive their accommodation allowance after a decree by the Abu Dhabi Executive Council Since the decree average rents in new projects in Abu Dhabi have started to increase 29
March 2013
Carefully planned infrastructure development
Abu Dhabi Urban Planning as backbone of land development

Established in 2007 Expert authority behind the visionary Plan Abu Dhabi 2030 Urban Structure Framework Plan Government to spend US$200 billion over the next ten years to support its Economic Vision 2030 Master transport plan 2030 includes 30 1200 km of rail network across all seven emirates 130 km of metro, most of the proposed network is expected to be underground
Khalifa Port Container terminal

A US$7.1 billion project

Completion date: 2030 Capacity: from 2.5 to 5 million TEU (twenty foot equivalent units). Abu Dhabi long-term goal is to increase it to 15 million by 2030
March 2013
Vision 2030: development of a full fledged transit scheme
March 2013
Abu Dhabi real estate development projects

NB: For more details on the key real estate developments, please consult Abu Dhabi city report.
Partially developed
Under development
Maryah Island*
Reem Island
Saadiyat Island
Yas Island
Masdar City
* Previously known as Sowwah Island

Bawabat al Sharq
March 2013
Bawabat al Sharq
The first luxury development in the Bani Yas area. Will house a state of the art international FIFA standard sporting stadium
Developer Baniyas Investment
Location near Abu Dhabi International Airport
Completion date Q2 2013
Value US$810 million
Size 1.8 sq km
Retail Bawabat al Sharq Mall: 70,000 sqm

March 2013
Maryah Island
Core of Abu Dhabi Central Business District, including the relocation of Abu Dhabi Securities Exchange and the Cleveland Clinic
Developer Mubadala
Location Al Mina Zayed Port
Completion date 2014
Value US$3 billion
Size 1 sq km
Retail The Galleria: 33,000 sqm Sowwah Central: 128,000 sqm

March 2013
Yas Island
Yas Island is a unique international tourist destination in Abu Dhabi. The island features attractions such as Ferrari World or the first Abu Dhabi water park
Developer Aldar Properties
Value US$37 billion
Size 25 sq km
Retail Yas Mall: 235,000 sqm

March 2013
Saadiyat Island
Abu Dhabi Cultural district with 5 landmark museums The Louvre is due to be completed in 2015, the Guggenheim in 2017 and the Zayed National Museum in 2016.
Developer TDIC
Location near downtown Abu Dhabi
Value US$27 billion
Size 27 sq km
Retail The District: 168,000 sqm

March 2013
Saadiyat Island Major museums
The Louvre, Classical Museum by Jean Nouvel scheduled to open in 2015
Sheikh Zayed National Museum scheduled to open in 2016
Modern Art Museum by Frank Gehry, scheduled to open in 2017

Performing Arts Centre by Zaha Hadid

March 2013
Reem Island
A chic urban metropolis and one of the first free zones in Abu Dhabi
Developer Tamouh, Sorouh & Reem Investments
Location northeastern coast of Abu Dhabi city
Value US$37 billion
Size 6.3 sq km
Retail Reem Mall 200,000 sqm

March 2013
Masdar City
First green city in the world,zero-carbon, zero-waste city depending on solar energy
Developer Mubadala Company
Value US$22 billion
Size 6 sq km
Retail n/a
March 2013
tourism
March 2013
Desire to develop tourism

Rapid expansion of tourism
14.7 million in airport traffic in 2012 (+19% vs 2011) 8 2.4 million tourists in 2011 (+17% vs 2011) 7
Revamping its reputation from a business destination to a new stream of cultural and eco-tourism
Building 5 state-of-the-art museums on Saadiyat Island Growing emphasis on sports tourism Hosted Formula 1 Grand Prix in October 2009, November 2010, November 2011 Abu Dhabis iconic Sheikh Zayed Grand Mosque has been named among the worlds most talked about attractions, according to Trip Advisor, a leading travel site
March 2013
Desire to become an art & culture hub

To establish Abu Dhabi as one the worlds leading tourism and cultural destinations
Saadiyat Cultural District will host five major cultural institutions designed by world-renowned architects: Louvre Abu Dhabi. Completion date: 2015 Zayed National. Completion date: 2016 Guggenheim. Completion date: 2017 Maritime Museum. Completion date: tbc The Performing Art Center. Completion date: tbc
Host of many events in accordance with its cultural vision

Abu Dhabi Art Fair, since 2009 (in Manarat Al Saadiyat since 2011) Abu Dhabi Film Festival, since 2007 Abu Dhabi Festival, since 2004 Abu Dhabi International Book Fair, since 1990 Sheikh Zayed Book Award, since 2006
Anchoring the link between tourism & culture

Abu Dhabi Authority for Tourism and Culture will replace the Abu Dhabi Authority for Culture and Heritage and the Abu Dhabi Tourism Authority
March 2013
Annual cultural & sporting events
Mubadala World Tennis Championship. Since 2009. January
Abu Dhabi HSBC Golf Championship. Since 2006. January
Abu Dhabi Festival. Since 2004. March/April
Abu Dhabi Formula One Grand Prix. Since 2009. November
Abu Dhabi Art Fair. Since 2009. November
Abu Dhabi Film Festival. Since 2007. October
March 2013
Air travel industry growth

Etihad Airways 31
Creation date: 2003 Number of destination: 86 (including cargo destinations) Fleet size: 67 (+102 on order) Passenger numbers: 10.3 million passengers in 2011 (+22% vs 2011) Etihad full-year net profits for 2012 increased 200% to US$42 million
Tourism expansion underpinned by air travel industry growth

Rapid and successful growth of Etihad Airways A US$6.8 billion budget for the construction of Midfield Terminal Complex which will open in 2017 32 Target of 27 million passengers a year by 2030 The complex will include 20,000 25,000 sqm of retail and food beverage outlets Abu Dhabi Duty Free retail revenue reached US$220 million in 2012, up 24% on 2011s figures and marking a new record for Abu Dhabi Airports Company
March 2013
retail
March 2013
New retail hub in the making

Extensive growth in Abu Dhabi as market widely under-offered
0.87 million sqm in 2011 9 Non-mall space dominates the market, accounting for 54% of total supply 9 Superregional and regional malls occupy 38% of the total retail space and lead the market in terms of performance 9 Plans to open 6 malls in the next few years H2 2013: Central Market, GLA: 72,000 sqm 2013: Capital Mall, GLA: 60,000 sqm Q3 2013: The Galleria - Sowwah Square, GLA : 33,000 sqm 2014: Yas Mall, GLA: 235,000 sqm 2017: Sowwah Central, GLA: 128,000 sqm 2017: The District on Saadiyat Island, GLA: 168,000 sqm n/a: Reem Mall, GLA: 200,000 sqm Retail space for each resident capped at 1.3 sqm under the 2030 Economic Vision Retail market is primarily driven by UAE national spending power rather than tourism and expatriate spending
March 2013
Vision 2030: retail distribution 2030
North Coast
Island: 2,240,000 sqm Mainland: 1,380,000 sqm North Coast: 470,000 sqm
Island
Total: 4,090,000 sqm
Mainland
March 2013
Abu Dhabi retail network

Destination
Abu Dhabi Mall
Mass to Mid
The Galleria - Sowwah Square
Selective
Sowwah Central
Upcoming
Deerfield Town Square
Central Market The District - Saadiyat Island
Marina Mall
Yas Mall
Paragon Mall Nation Galleria Wahda Mall Reem Mall
Etihad Towers
9712 / Capital Mall
Khalidiya Mall Mushrif Mall Bawabat Al Sharq Mall
Dalma Mall
March 2013
Destination malls
Marina Mall Retail GLA: 100,000 sqm Initial mass, mid brand offer with a high-end extension High traffic Opening date: 2001 extensions: 2006 Extension planned of 100,000 sqm to be completed in 2016
Abu Dhabi Mall Retail GLA: 70,000 sqm Low to high-mid brand offer with a few high-end brands High traffic Opening date: 2001
March 2013
Mass to mid malls

Wahda Mall Retail GLA: 115,000 sqm Located in a residential area Mass to mid brand offer Medium traffic Opening date: 2006 - extensions: 2012
Khalidiya Mall Retail GLA: 70,000 sqm Over 130 stores Mass to mid brand offer Medium traffic Opening date: 2007
Dalma Mall Retail GLA: 150,000 sqm Located in Musaffah area, near Abu Dhabi Industrial City Mass to mid brand offer Low traffic Partial opening date: 2010 (50% of the mall leased out) Final opening date: Q3 2013 (80% will be opened)
Mass to mid malls

Mushrif Mall Retail GLA: 56,000 sqm A three-level complex Mass to mid brand offer Medium traffic Opening date: 2011
Bawabat al Sharq Mall Retail GLA: 70,000 sqm The mall spreads across two floors. It also features, a traditional souk Mass to mid brand offer Medium traffic Opening date: 2011
Central Market Retail GLA: 72,000 sqm Part of the Central Market redevelopment. 2 main components: a 3 storey souk and Emporium shopping area High end brand offer Soft opening date: 2012 (old souq) Final opening date: H2 2013 (emporium)
Selective malls
Podium- Etihad Tower Retail GLA: 6,330 sqm Boutique shopping mall, part of the Etihad Tower complex Located on the corniche, opposite Emirates Palace High end brand offer Partial opening date: 2012
March 2013
Upcoming malls
Paragon Bay Mall Retail GLA: 60,000 sqm Three-storey mall that will comprises 120 speciality stores. Located in Marina Square in Reem Island Opening date: potentially on hold whereas the project is finished since May 2011
Deerfields Town Square Retail GLA: 75,000 sqm A Victorian England-themed shopping mall with a capacity to accommodate more than 200 retailers Located in Al Bahia Opening date: 2013
9712 / Capital Mall Retail GLA: 60,000 sqm Part of the new district development in Abu Dhabi Located in Mohammed Bin Zayed City Low to mid offer Opening date: 2013
March 2013
Upcoming malls
The Galleria - Sowwah Square Retail GLA: 33,000 sqm Located on Maryah Island mixed-use project High end brand offer Opening date: Q3 2013
Yas Mall Retail GLA: 235,000 sqm Part of Yas Island mixed-use project Will include 500 stores. To be anchored by 4 department stores and a large hypermarket High fashion boulevard dedicated to high end brands Opening date: 2014
The District Retail GLA: 168,000 sqm Located on Saadiyat Island mixed-use project Retail environment with potentially high end brand offer Opening date: 2017
March 2013
Upcoming malls
Sowwah Central Retail GLA: 128,000 sqm Located on Maryah Island mixed-use project and to be connected to The Galleria - Sowwah Square Opening date: 2017
Nation Galleria Retail GLA: 20,000 sqm Boutique-style shopping area Located within Nation Towers High end brand offer Opening date: n/a
Reem Island / Retail Retail GLA: 200,000 sqm Located on Reem Island mixed-use project Mid brand offer Opening date: Potentially on hold
March 2013
Al Ain retail network

Destination Mass to Mid Selective Upcoming
Al Jimi Mall
Al Wahat Hili Mall
Al Ain Mall
Al Bawadi Mall
March 2013
Destination malls
Al Ain Mall Retail GLA: 119,000 sqm Mass and mid brand offer Upper-mid offer brand with the new extension Opening date: 2001 extensions: 2011, 2012
March 2013
Mass to mid malls
Al Jimi Mall Retail GLA: 42,000 sqm Mass to mid brand offer Medium traffic mall Opening date: 2001
Al Bawadi Mall Retail GLA: 110,000 sqm Anchored by Paris Gallery Includes an ice rinks Mass to mid brand offer Medium traffic mall Opening date: 2009
March 2013
Upcoming malls
Wahat Hili Mall Retail GLA: 50,000 sqm 160 stores Connected to the five-star Hili Rayhaan hotel by Rotana Opening date: Q3 2013
March 2013
consumer
March 2013
Consumer profile 6
Avg basket/month $ UAE D 250 300 AD 450 350 Purchase triggers Scent Bd reputation Packaging Scent Brand image Launch Bd rep&image GWP Friend recom. Bd rep&image Doctor recom. 530 260 260 300 Bd reputation Store choice: products, sizes, colours Bd reputation Store choice
Young Emirati nationals yearn for individual expression
Oriental oils Oriental fragr Western fragr.
91% look for something unique when purchasing luxury products
Sophisticated in brand knowledge and consumption Yet strongly attracted to anchor brands viewed as holding established reputation and trust
200
300
Make up
150
Over 80% want to buy a brand that is very visible and very recognisable
Skin care Ready To Wear Shoes* Bags* Gifts* 330 140 80
100
Retaining a strong tendency to shop overseas for luxury goods
48% vs 33% GCC average prefer to shop overseas
* Averages readjusted according to regional spends
March 2013
Consumer profile 6
Over indulgent in Dubai
Young Dubai national women are ladies of shopping pleasure 78% check the main shops regularly 56% vs 34% GCC average think that a dream luxury is to have unlimited access to luxury brands Young Dubai national men are image driven, status oriented For them, luxury is all about communicating who they are They are highly susceptible to external influencers such as sports celebrities, models as well as the advice of sales personnel
Elite in Abu Dhabi
Young Abu Dhabi women are ladies of elite leisure 40% vs 27% GCC average enjoy going to museums and art galleries 43% think that a dream luxury is to have something named after them Young Abu Dhabi men are grounded traditionalists They view luxury as an exclusivity that only a certain social class can afford They are practical buyers 73% shop whenever they need something 46% vs 32% GCC average favour brands they grew up with
March 2013
Sources
1 2 3 4 5
Abu Dhabi Commerce Chamber and Industry Standard & Poors Abu Dhabi Statistics Centre UAE Ministry of Labour Abu Dhabi Department of Economic Development Group consumer research 2009-2011 Dhabi Tourism Authority
16 17
Abu Dhabi Health Authority UAE National Bureau of Statistics UN monitor
18 Mercer 19
20 Data
6 Chalhoub 7 Abu 8 9
21 GulfTalent.com 22
Abu Dhabi Executive Council Lang Lassalle International Energy Agency Masdar Wealth Fund Institute (SWFI) Asteco Cluttons Abu Dhabi Department of Transport Etihad Annual Report 2011 Dhabi Airports Council
Abu Dhabi International Airport (ADIA) Retail International UAE Ministry of Economy Dubai Department of Economy Development Dubai Statistics Centre
23 IMF 24 Jones 25 26
10 11 12 13
27 Sovereign 28 29 30 31
Dubai Department of Tourism and Commerce Marketing (DTCM)

14
Dubai International Airport Global
15 STR
32 Abu
March 2013

Abu Dhabi City Report 2013 PDF

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Abu Dhabi City Report 2013 PDF

Uploaded by

Copyright:

Available Formats

abu dhabi

city report 2013

Chalhoub Group Strategy & Innovation Business Intelligence

Chalhoub Group Strategy & Innovation Business Intelligence

Abu Dhabi key indicators

188 1 6.4 2 76,692 3 n/a 3.3 4 1.9 5 2.1 7 12.4 8 0.87 9

204 1 4.5 2 n/a n/a 1.1 3 2.4 5 2.4 7 14.7 8 n/a

n/a 4.5 2 n/a n/a n/a n/a 2.5 7 15.7 8 n/a

source: available at the end of the document

Abu Dhabi vs Dubai key indicators

Majority of the UAE territory

Chalhoub Group Strategy & Innovation Business Intelligence

Chalhoub Group Strategy & Innovation Business Intelligence

Established political order

Key role of the Abu Dhabi Executive Council

Chalhoub Group Strategy & Innovation Business Intelligence

Abu Dhabi Economic Vision 2030: architecture for the future

source: The Emirate of Abu Dhabi Policy Agenda 2007-08

Evolution of Abu Dhabis 2030 vision

Boost the tourism sector

Chalhoub Group Strategy & Innovation Business Intelligence

source: The Emirate of Abu Dhabi Policy Agenda 2007-08

Abu Dhabi vision 2030: objectives

Government operations optimization

Review and enhance legislative framework and law making processes

Chalhoub Group Strategy & Innovation Business Intelligence

Chalhoub Group Strategy & Innovation Business Intelligence

Social & HR development

Ensure high quality education and health services

Social & HR development

Ensure the availability of a stable of high quality labour

Develop the workforce

Encourage full employment amongst nationals

Maintain ethical and safe management of labour resources

Chalhoub Group Strategy & Innovation Business Intelligence

Small, growing population

Abu Dhabi population estimated at 2.4 million in 2012

Increasingly young national population 3

2011 Population distribution by cities 3

Abu Dhabi city 62%

High standard of living

2011 Population distribution 3

Chalhoub Group Strategy & Innovation Business Intelligence

Vision 2030: population distribution

North Coast 15%

Island 42% Mainland 43%

Chalhoub Group Strategy & Innovation Business Intelligence

Young and government-reliant national population

High involvement in public sector

Sizeable presence of women in the workforce

Chalhoub Group Strategy & Innovation Business Intelligence

Desire to become a regional education hub

Rising emphasis on education amongst local population

Attraction of campus branches of internationally renowned institutions

100 public schools to be built or refurbished in Abu Dhabi 21

Chalhoub Group Strategy & Innovation Business Intelligence

To create higher value employment opportunities Diversification To maximize participation of women

Chalhoub Group Strategy & Innovation Business Intelligence

Economic powerhouse of the UAE

2011 GDP per capita (In US$) 3&23

UAE Abu Dhabi Qatar

Economic backbone of the UAE

Strong trade partner 5