La xarxa de distribució a Kuwait

Evolution of the Sector

Driven by rapid urbanization, the influx of the expatriate workforce, and a rising population of the young and affluent, Kuwait’s retail industry has grown dramatically over the past 10 years. High GDP per capita and the growing popularity of modern retail concepts and formats have also helped to position the country as a major hub for global luxury brands, earning Kuwait City a 9th place ranking among the top cities worldwide for retailing in property consultancy JLL’s 2016 “Destination Retail” report. However, after several years of rapid growth, subdued consumer confidence somewhat slowed momentum in the sector in 2015-16. Between government reductions in expenditure, demographic changes within the expatriate community and inflated commodity prices, the market is down across most classes and categories. However, in spite of this, a wide and growing array of international retailers are expected to level out the market ahead of another retail boom over the medium to long term.

Market share

The distribution system in Kuwait is divided between shopping centres, foreign markets and supermarket chains.
There are two types of distribution networks:

the cooperative network: each residential zone has a cooperative society comprising a set of services and a supermarket. Most of these supermarkets are run by the Union of Consumers Cooperative Societies.
the private network: several private actors dominate the market, including Carrefour, Sultan Center, Oncost and Lulu Hypermarket

Retail Sector Organisations

Kuwait Chamber of Commerce and Industry
Ministry of Commerce and Industry of Kuweit

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