THE 2018 UK MUSLIM CONSUMER TREND REPORT

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1 THE 2018 UK MUSLIM CONSUMER TREND REPORT

2 CONTENTS Why today s Muslim consumer is demanding more How the average consumer spends their money Food spending habits Food purchasing issues Fashion, beauty & household spending habits Fashion & beauty purchasing issues The Muslim consumer and brand loyalty Eid and the mainstream In conclusion LONDON MUSLIM LIFESTYLE SHOW Consumer Report 1

3 Why today s Muslim consumer is demanding so much more than ever before The halal industry is forecasted to be worth $3.7 trillion within the next few years. This simply cannot be ignored - Waleed Jahangir, CEO, Muslim Lifestyle Show. But what is it today s Muslim consumer actually wants? Access to modest clothing and halal meats may seem like the obvious answer, but after conducting a survey of over 1000 Muslim consumers within the UK, we ve discovered it goes much deeper than that. Today s Muslim consumer is demanding more from their UK suppliers. They require more options, better availability and a higher quality of produce. With the younger generation taking a more ethical, and healthconscious approach to their eating and purchasing habits, it s not just the mainstream market who need to adapt to meet their needs. Here are the emerging trends we predict for 2018: Mainstream brands targeting Muslim consumer groups An increase in choice of both food and clothing More transparency in available food A demand for higher quality An emergence of halal organic produce A greater understanding of Ramadan shopping trends An uptake of healthy halal LONDON MUSLIM LIFESTYLE SHOW Consumer Report 2

4 How the average Muslim consumer spends their money on general items 36% are not satisfied with the choice of halal products at their local supermarket 1 in 4 are more likely to buy an item if it is on offer 59% more likely to buy an item in store, rather than online HALF are more likely to buy beauty products from a specialist brand 8 in 10 more likely to buy meat from a halal butchers rather than a supermarket 1/4 were completely satisfied with halal options at their local supermarket 57% more likely to buy clothing from a mainstream store than a specialist modest clothing shop LONDON MUSLIM LIFESTYLE SHOW Consumer Report 3

5 Food spending habits on an average month compared to during Ramadan Consumers generally spend the same on eating out and takeaways during an average month as they do during Ramadan, however the larger amount ( ) spent on grocery shopping increases. 100% 100% 100% 80% 72% 72% 80% 83% 83% 80% 60% 60% 60% 57% 49% 40% 40% 40% 20% 24% 22% 20% 15% 15% 20% 25% 27% 14% 20% 5% 3% 3% 1% 1% 2% 1% 0% 4% 5% UNDER UNDER UNDER Eating out Takeaways Grocery Shopping Average month During Ramadan LONDON MUSLIM LIFESTYLE SHOW Consumer Report 4

6 64% of respondents said they would like to see more variety in halal products. When asked what they would like to see more of in mainstream stores, a wider range of cuts, better quality products and more ready meals were top of the list LONDON MUSLIM LIFESTYLE SHOW Consumer Report 5

7 What are the issues faced when purchasing food products Unsurprisingly at the top of the list is the lack of halal options that are available to consumers. This covers all areas, from supermarkets to restaurants to takeaways. But this isn t the only thing today s Muslim consumer is concerned with. 20% were more concerned with finding ethical and organic halal meat. No longer is it enough to find a product that claims to be halal. A large number of those surveyed claimed their biggest issue is sourcing meat that is both halal and organic or humanely reared. Is it time for Tayyab halal to take centre stage? 14% found lack of choice and overpricing the biggest issues. When sourcing halal products are no longer an issue, the next question is, why is it so expensive? More choice and affordable options are high on the list of needs. 18% were worried about finding a supplier they can trust. Is the certification real? Is it clean? Is it stunned/not stunned? The answer, consumers want more information to track their food throughout it s entire journey. LONDON MUSLIM LIFESTYLE SHOW Consumer Report 6

8 Are restaurants using free range halal I m never sure if the meat? halal meat is from an authentic provider There aren t many choices of meat or varieties of cold meat, even from specialist halal butchers I struggle to find organic halal meat We need more halal products in the supermarket I find it difficult to find halal meat that is organic and free range LONDON MUSLIM LIFESTYLE SHOW Consumer Report 7

9 Other spending habits on an average month compared to during Ramadan As expected consumers are likely to spend less on fashion, beauty and household items during Ramadan than during an average month, however fashion spend remains the highest, followed by household items. 100% 100% 100% 85% 80% 80% 78% 80% 72% 60% 51% 62% 60% 60% 66% 40% 42% 40% 40% 20% 29% 20% 17% 13% 20% 26% 23% 7% 6% 1% 3% 3% 2% 1% 0% 7% 4% 3% 2% UNDER UNDER UNDER Clothing/accessories Beauty products Items for the home Average month During Ramadan LONDON MUSLIM LIFESTYLE SHOW Consumer Report 8

10 What are the issues faced when purchasing fashion and beauty products When it comes to beauty, respondents were more likely to be concerned with the quality of their beauty products and the inclusion of chemicals, rather than if the product is halal. The majority of respondents are concerned with whether their products are natural and/or ethically sourced. This trend follows a similar pattern to the desire for more organic halal meats, however when it comes to beauty, it is far more prominent. Consumers will look at the ingredients of their products to establish what goes in them. Will they choose an organic beauty product over one with a halal stamp? Some, most probably, yes. Most respondents say they struggle to find clothing that is modest and fashionable. Unlike the inclusion of halal meats in supermarkets, this seems to be an ongoing issue with high street stores and the Muslim consumer. And for those with tighter purse strings, the majority of modest clothing brands are just too expensive. Consumers are calling for more choice in modest clothing that they can easily afford. LONDON MUSLIM LIFESTYLE SHOW Consumer Report 9

11 It s difficult to find both modest and It s hard to find fashionable clothes Islamic compliant beauty products The quality of the brand/item is very important. I also look for good prices alongside quality. Not enough products are adapted for Muslim women It s hard to know if products have been ethically sourced Buying modest clothes online are usually really expensive e.g.: abayas LONDON MUSLIM LIFESTYLE SHOW Consumer Report 10

12 The Muslim consumer has always been a very brand loyal buyer. Is this still true? Half of respondents said they are very brand loyal, always returning to the same brand they have used before. However this means half aren t. This is good news for brands wanting to enter the market. But for those already there, it s essential to offer value for money, because half of consumers will most certainly shop around. Percentage of respondents who own at least one of these brands 42% Hotpoint 81% Samsung 48% Dyson 43% Bosch 45% Kenwood 48% of respondents said they are heavily influenced by brand names. And just like their non- Muslim peers, Generation M is less heavily influenced by brand names. Only 48% agreed that this was big influence when purchasing new items. LONDON MUSLIM LIFESTYLE SHOW Consumer Report 11

13 I am more likely to buy an item if it is on offer* STRONGLY DISAGREE NEUTRAL STRONGLY AGREE *Average response LONDON MUSLIM LIFESTYLE SHOW Consumer Report 12

14 Are the mainstream maximising the potential of Eid shopping? We asked consumers: In recent years, have you noticed more mainstream brands running Eid campaigns? YES, DEFINITELY Maybe, but it depends what they are selling 40% 55% While 39% have not seen any store marketing directly aimed at them during Eid, the remaining 61% have seen at least some increase in mainstream brands getting involved. No, I already have shops I prefer to go to 5% 20% 40% 60% 80% 100% So are mainstream brands missing a trick? Definitely. We asked consumers: YES, THERE HAS BEEN A HUGE INCREASE YES, BUT ONLY A FEW 19% 42% If a well-known brand did a special Ramadan campaign, are you more likely to shop there? NOT AT ALL 39% 20% 40% 60% 80% 100% An amazing 95% would at least be interested, depending on the product, of course. LONDON MUSLIM LIFESTYLE SHOW Consumer Report 13

15 In conclusion There is a definite shift in consumers looking for not only halal products, but healthy halal products that have been ethically sourced. More and more people are concerned with the origin of their food and the journey from farm to fork. Where is it from? How was the animal s welfare? Was iit stunned/not stunned? Is it halal certified? Can I trust this brand? It is clear that consumers still find difficulty in sourcing a variety of good quality halal produce in places that are both convenient and affordable. When it comes to modest clothing, however, the number of consumers finding issues here are significantly less. Yes, mainstream brands still aren t fully catering to their needs, however shoppers are more concerned with the cost of fashionable modest clothing, over sourcing it. Is your brand maximising it s potential with the new age Muslim consumer?

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