How to Use Market Research Data to Enter New Markets in the UAE

April 10, 2025

So, you’re eyeing the UAE as your next big business move? Smart choice. From the glittering skyscrapers of Dubai to the cultural heart of Abu Dhabi, the UAE is a land of opportunity. But here’s the truth: success here isn’t just about having a great product or service. It’s about knowing your market—really knowing it. And that’s where market research comes in.

Let’s walk through how you can use market research data to confidently and strategically enter new markets in the UAE. Whether you’re a startup founder, a seasoned entrepreneur, or part of a global brand, this guide is packed with practical steps, local insights, and a few lessons learned from the trenches.

Why Market Research is a Game-Changer in the UAE

The UAE isn’t your average market. It’s a crossroads of East and West, a place where tradition meets cutting-edge innovation. The population is young, diverse, and tech-savvy. Over 80% are expatriates, hailing from every corner of the globe. That means tastes, preferences, and spending habits are as varied as the people themselves.

You might be wondering: “Can’t I just launch and see what happens?” Well, you could—but you’d be gambling with your investment. Market research in Dubai is your safety net and your secret weapon. Here’s why:

  • It helps you understand what people actually want, not just what you think they want.
  • It reveals gaps in the market—opportunities your competitors might have missed.
  • It keeps you out of trouble with local regulations and business customs.
  • It saves you money by helping you avoid costly mistakes.

In a nutshell, market research turns guesswork into strategy.

Step 1: Set Clear, Actionable Goals

Before you start gathering data, get clear on what you want to achieve. Are you looking to:

  • Launch a new product or service?
  • Open a physical location?
  • Test a digital platform?
  • Build brand awareness?

Your goals will shape the questions you ask, the data you collect, and the strategies you develop. For example, if your goal is to open a boutique fitness studio in Dubai, your research should focus on fitness trends, location preferences, and pricing expectations among your target audience.

Pro tip: Write down your top three objectives. Refer back to them often—they’ll keep your research focused and relevant.

Step 2: Dive Deep into the UAE Market Landscape

Let’s paint a picture of the UAE market:

  • Population: Around 10 million, with a heavy expat presence (especially from India, Pakistan, the Philippines, the UK, and beyond).
  • Digital habits: UAE residents are among the world’s most connected—over 99% use the internet, and smartphone penetration is sky-high.
  • Spending power: The UAE has a high GDP per capita, and consumers are willing to pay for quality, convenience, and innovation.
  • Trends: E-commerce, health and wellness, sustainability, and luxury experiences are all on the rise.

Your market research should explore these factors in detail. Look for government reports, industry studies, and reputable news sources. Don’t just skim the surface—dig deep.

Example: If you’re in food and beverage, you’ll want to know about the growing demand for plant-based options, halal certification requirements, and the popularity of food delivery apps like Deliveroo and Talabat.

Step 3: Segment Your Audience Like a Pro

One of the biggest mistakes newcomers make is treating the UAE as a single, homogeneous market. It’s not. Segmentation is key.

Break down your potential customers by:

  • Nationality and ethnicity: Emiratis, Western expats, Asian expats, Arab expats, etc.
  • Age and life stage: Young professionals, families with kids, retirees.
  • Income level: Mass market, premium, luxury.
  • Lifestyle and values: Fitness enthusiasts, tech lovers, eco-conscious shoppers, traditionalists.

Use surveys, interviews, and social media analytics to get a feel for each segment. What do they value? Where do they shop? What influences their decisions?

Real-life insight: A beauty brand we worked with discovered that Western expats preferred clean, minimalist packaging, while Emirati women valued ornate, luxurious designs. That insight shaped their product lines and marketing campaigns—and sales soared.

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