Shopper Sentiment Tracker: Q2 2026 Results

The Q2 2026 Shopper Sentiment Tracker surveyed 2,000 consumers across Saudi Arabia, UAE, Kuwait, and Qatar to understand current spending confidence, category priorities, and retail channel preferences. The results reveal a consumer base that is cautiously optimistic but increasingly selective about where and how they spend.

Overall Consumer Confidence

Consumer confidence in Q2 2026 sits at 62 on our 100-point index — up from 58 in Q1 but below the 68 recorded in Q2 2025. The improvement reflects easing inflation and positive employment conditions, but confidence has not fully recovered to pre-2025 levels. Saudi consumers (index: 65) are more confident than UAE consumers (index: 60), reflecting the positive impact of Vision 2030 economic activity.

Spending Intent by Category

Consumers report strong intent to maintain or increase spending in: Health & Wellness (72% intend to maintain/increase), Personal Care (68%), and Food & Beverages (65%). Categories where consumers intend to reduce spending include: General Merchandise (44% intend to reduce), Apparel & Footwear (38%), and Home Furnishings (35%). Consumer Electronics shows a split: 55% intend to maintain spending, driven by anticipated AI device launches.

Channel Preferences

Online shopping continues to gain share of wallet. 58% of respondents report shopping online more frequently than 12 months ago. However, physical stores remain important for specific categories: 78% prefer to purchase Health & Beauty products in-store, and 82% prefer in-store for fresh food. The channel preference data reinforces the importance of omnichannel capability.

Value vs. Premium Dynamics

The survey reveals a clear bifurcation in value orientation. 45% of respondents describe themselves as "more price-conscious than a year ago" — but this does not translate uniformly into trading down. Consumers are trading down in categories they consider commodities (cleaning products, basic grocery) while maintaining or trading up in categories they consider important to their identity or health.

Implications for Retail Strategy

The Q2 data reinforces several strategic priorities: invest in Health & Wellness category development, strengthen online capability without abandoning physical store experience, and develop a nuanced value communication strategy that speaks to the selective nature of consumer spending decisions. Retailers who treat all consumers as uniformly price-sensitive will misread the market.