The UAE’s Growing Sportswear Market Reflects the Country’s Love of Sports
In recent years, the United Arab Emirates’ status within the sports world has continued to grow. Although the country is yet to produce its golden era of sporting talent, there has been a new-found desire to host an array of different sporting events. From football and golf to camel racing and mixed martial arts, there are very few activities that the Western Asian nation hasn’t sought to explore.
While top-level sporting events present host countries with lucrative opportunities, the UAE’s sports rise has coincided with the local sportswear market hitting new heights. Of course, the two somewhat go hand-in-hand, but their respective successes are a testament to how far the country’s sports scene has come. So, let’s analyze the impact that both industries have had on the nation’s economy over the past few years.
A Lucrative Emerging Category
According to Grand View Research, the global sportswear market’s worth sat at $239.78 billion in 2018. From 2019 to 2025, it’s forecast that the sector will enjoy a compound annual growth rate of 10.4 percent. It speaks volumes about the collective rise of sports-orientated fashion brands that Nike and Adidas led the way regarding the market share of apparel designers in 2017. Unlike other clothing sectors, changing consumer habits aren’t set to alter sportswear’s growth. McKinsey’s report looking into the state of fashion in 2020 found that while consumers still bought clothes, many were instead choosing to rent. That said, regarding sports apparel, sportswear will maintain the highest growth rate at around six to seven percent.
The above data shows that the sportswear market is heading on an upward trajectory in the UAE and beyond. The country’s online fashion market is at the heart of generating sports apparel sales. From 2018 to 2022, it has been reported that the UAE’s digital sector will grow at a CAGR of 21 percent. While many factors will contribute, the article states that emerging markets, like sportswear, will be central to future growth. In 2016, sports apparel accounted for 9 percent of the UAE’s fashion market share, and this will likely have risen since then based on market projections.
With sports on the rise in the Middle East, increasing numbers of sports shops have recently come to fruition. Along with the Emirates Sports Store, a one-stop-shop for clothing and equipment, the Sports Market also offers must-have products. At the location, consumers can buy designs from well-known brands, such as Adidas and Nike.
What Sports are Popular in the Arab Emirates?
As touched on above, rising sportswear figures coincide with the UAE’s new-found love of sports and football is the region’s most popular sport. The game’s ever-growing position in the region’s sports scene has seen well-known European giants, like Juventus and Liverpool, open academies within Dubai. In terms of the UAE’s footballing products, the UAE Arabian Gulf League is the area’s top-flight professional league. The division recently signed a $106-million broadcasting deal in an effort to extend its audience base.
However, while football is the most popular, it doesn’t generate the region’s economy the most money. The First Group indicates that cycling, golf, horseracing, marathons, rugby, and tennis account for over 90 percent of sporting events’ economic impact. Moreover, golf alone generates $270 million for Dubai’s sports industry.
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Aside from football, cricket is the second-most popular sport in the United Arab Emirates. The region’s international side have once featured in the T20 World Cup and also have two World Cup appearances to their name. After hosting the 2020 Indian Premier League, the UAE will launch its own franchise-style league over the coming months after the ECB sanctioned the move.
Along with being at the heart of growing the UAE’s sports industry and influencing sportswear trends, the above sports also generate the bulk of the global sports betting sector’s revenue. In 2019, the market was worth $85 billion, and the increasing popularity of sports on an international level accounts for this rise. This is evident from the UAE’s ever-growing role in cricket and football, which are popular sports at top-rated bookmakers in the UK. At bonus-offering platforms, prospective bettors can explore numerous markets and take advantage of various sign-up promotions. For example, users can peruse IPL offerings, including a range of markets and specials on odds, showing how the UAE’s favourite sports fit within the industry.
UAE’s Sports-Related Markets Will Go from Strength to Strength
Ultimately, few can argue that the UAE’s sports-orientated sectors won’t continue their upward trajectory throughout the next decade and beyond. If other sporting events follow the IPL in taking advantage of the region’s ever-growing sports scene, the destination could generate further sales from an apparel and equipment standpoint. Given that the UAE is becoming a go-to location for organizers, it’s not beyond the realms of possibility that additional events will take place in the Middle East.
