The shopping centers in the UAE are experiencing a notable surge in activity during the Eid al-Fitr holiday, with visitor numbers increasing by approximately 85% compared to regular periods, highlighting the significant momentum that characterizes this season each year.
Estimates suggest that retail sales could see a growth rate between 35% and 40% during this time, with around 46% of consumers indicating an increase in their spending, driven by festive atmospheres and extensive promotional offers.
These findings are supported by a survey conducted by the market research firm “Toluna,” which revealed that nearly half of the residents plan to boost their shopping expenditures compared to the previous year, alongside an anticipated rise in spending on social activities, entertainment, and dining out. Collectively, these indicators confirm that Eid al-Fitr remains a vital consumption season in the UAE.
Vibrant Atmosphere
According to Khalifa bin Bric, CEO of Majid Al Futtaim Properties, our shopping centers across the state have been functioning smoothly, welcoming a large influx of visitors in the lead-up to the Eid holiday. The sustained confidence and engagement from the community during this period underscore the importance of familiar spaces that allow people to gather, share experiences, and connect with one another.
He added: Our 17 shopping centers welcomed over 6.5 million visitors during the first twenty days of Ramadan, and during Eid, our destinations continue to serve as lively communal spaces where families gather to shop, dine, and spend quality time together.
This Year’s Challenges
Vijay Valisha, CEO of Century Financial, remarked that typically there is a noticeable increase in visitors to shopping centers during Eid. The indicators from the previous year highlight the strength of this trend.
The retail manager at City Centre Mirdif noted that visitor traffic surged by about 85% compared to normal periods, with conversion rates to purchases increasing by 40%. Furthermore, sales during the Eid period surpassed 180 million dirhams.
However, Valisha cautioned that this year’s Eid season might bear some unique challenges due to ongoing geopolitical tensions; nevertheless, shopping center foot traffic is expected to remain relatively strong.
This momentum is driven by two key factors: first, extensive promotional campaigns launched by retailers for the holiday, with many brands significantly increasing their discount rates.
For instance, some stores in Dubai Festival City Mall offered discounts of up to 90% on fashion items and about 50% on entertainment activities, with similar offers seen in various other shopping centers. Hotels and resorts in the region are also providing discounts up to 70%.
The second factor relates to what is referred to as “mood-enhancing spending,” where some consumers resort to shopping as a way to alleviate stress and elevate their spirits. Amid current regional tensions, many residents are keen to spend quality time with family and friends during Eid.
This, in turn, supports increased shopping and spending at commercial centers. The recent Toluna survey noted that about 50% of residents plan to increase their shopping expenditures compared to the past year.
Additionally, 45% expect to spend more on social activities, 41% on entertainment, 39% on dining out, and 36% on food delivery. All these indicators collectively suggest that Eid al-Fitr continues to be a significant consumption period in the UAE.
Consequently, Valisha predicts that foot traffic in shopping centers will remain strong this year, propelled by local spending from residents and broad promotional offers from retailers during the holiday season.
Consumer Spending
Regarding the impact of the Eid season on the retail sector and consumer spending in the UAE compared to other periods of the year, it is noted that Eid al-Fitr is one of the most significant seasons enhancing retail activity in the UAE, typically characterized by a notable increase in consumer spending levels and shopper traffic in commercial centers. In the weeks leading up to Eid, families tend to increase their purchases of luxury items and gifts in preparation for celebrations and social visits.
Industry estimates suggest that Ramadan-related spending in the country could exceed $10 billion, reflecting the substantial scale of consumer activity during this period.
Additionally, consumer sentiment usually improves during the Eid season; surveys indicate that around 46% of consumers increase their spending during this period, translating to retail sales growth in the range of 35% to 40% compared to other times of the year.
Several sectors benefit from this consumption momentum, particularly fashion, jewelry, electronics, fragrances, and home goods, where these categories typically see higher demand during Eid.
Valisha anticipates that local spending will remain relatively strong, supported by demand from residents. Retailers continue to drive activity by launching Eid-specific promotions, offering discounts, organizing entertainment events, and extending shopping center operating hours—all of which contribute to maintaining high levels of foot traffic.
He concluded by stating: Overall, the Eid al-Fitr season remains one of the most significant seasonal triggers for the retail sector in the UAE, and despite geopolitical uncertainties, spending associated with the occasion is expected to continue to support market activity.
A Key Hub
A spokesperson from Al-Futtaim Properties remarked: Eid al-Fitr serves as a key milestone for the retail sector in the UAE, bringing communities together and providing valuable opportunities for families and friends to connect, celebrate, and create memorable moments together.
At Dubai Festival City Mall, this season transcends traditional shopping, offering a comprehensive experience that allows visitors to celebrate and enjoy culinary experiences while creating unforgettable moments.
He added: We typically observe strong engagement levels across retail, dining, and entertainment sectors during the Eid period, driven by the festive atmosphere, gift culture, and the allure of shared experiences. This season also helps sustain positive momentum for stores, as shoppers seek value and unique offers within a lively, family-friendly environment.
Dubai continues to cement its status as a leading global destination in retail and tourism, supported by its diverse population and continuous influx of visitors. In this context, venues like Dubai Festival City Mall play a pivotal role in providing integrated experiences that combine shopping, entertainment, and hospitality, enhancing the optimistic outlook for the sector’s performance during festive seasons.
Comprehensive Experience
Nasreen Bustani, Public Relations and Corporate Communications Manager for Mercato and Town Centre Jumeirah, indicated that they have seen a positive increase in visitor turnout recently, thanks to the centers’ reputations as community destinations that cater to both residents and tourists.
This activity reflects heightened shopper traffic, supported by increased demand for leisure and shopping experiences during the Eid holiday.
Based on early indicators of visitor flow, the centers expect a growth rate of around 20% in foot traffic during Eid compared to regular periods, which is likely to directly translate into increased sales for retail stores, especially in fashion, electronics, gifts, and dining sectors.
This growth is driven by rising consumer spending during the Eid season and supported by an increasing interest among families and tourists in shopping centers that offer a comprehensive experience combining shopping and entertainment.
She added: The Eid season at both centers is characterized by a range of family-friendly recreational events and special promotional offers targeting various age groups, alongside shopping campaigns that provide visitors with opportunities to win special prizes.
Both centers also offer a daily program of activities and live shows that enhance the visitor experience and extend the duration of their stay in the shopping centers, contributing to boosting commercial activity and increasing spending levels within the stores.
This momentum underscores the ongoing role of community shopping centers in Dubai in supporting retail activity during festive seasons, where events and promotional campaigns attract larger numbers of visitors and enhance store performance, providing a holistic shopping and entertainment experience for families and visitors during Eid.
Shopping Center Officials and Experts
Eid reshapes the shopping experience to be a comprehensive entertainment venue
Majid Al Futtaim
Shopping centers are vibrant destinations attracting millions of visitors during Eid
Al-Futtaim Properties
Eid al-Fitr serves as a key milestone enhancing the momentum of the retail sector
Toluna
Half of the residents plan to increase their spending during Eid al-Fitr
Century Financial
Strong promotions and “mood-enhancing spending” support shopping activity
Mercato
20% expected increase in foot traffic during the Eid holiday