Dubai and Abu Dhabi are becoming increasingly significant in the realms of beauty, consumer tech, and retail.
I had the opportunity (thank you, Kearney annual partner meeting with ) to rediscover the area, as I hadn't been there in the last few years.
Here are some of the takeaways.
1-Dubai and Abu Dhabi are well-positioned as gateways between the East and West, making them ideal hubs for international trade and commerce.
With a young and affluent population, there is a strong demand for beauty products and tech innovations. The growing middle-class population is driving consumer spending, particularly in the beauty and personal care sectors.
The rapid adoption of technology in the UAE has paved the way for innovative solutions in retail and beauty, such as e-commerce platforms, mobile apps, and AI-driven beauty tech.
The multicultural environment of Dubai and Abu Dhabi fosters diverse beauty standards and consumer preferences. This diversity encourages brands to tailor their products and services, creating a dynamic market for beauty and consumer tech.
Sustainability Focus: there’s an increasing emphasis on sustainability and ethical practices in beauty and consumer tech. (We will come back to my own perception).
Dubai and Abu Dhabi are positioned to play a pivotal role in shaping the future of beauty and the startup ecosystem in consumer tech and retail, driven by their strategic advantages, supportive environment, and evolving consumer landscape. And even more on the fragrance category.
2-The Fragrance category: not only a huge market in the Middle East, also now a creative hub!
It’s interesting to see the success of brands, born in Dubai, now global, targeting GenZ, with long lasting scents, enabling the “layering”, and affordable. Huge on social media, with an engaged community, and impressive EMV!
Parfums de Marly Paris and Kayali by Mona Kattan are among the fast-growing brands with high awareness, including in the US.
In the US, we have seen Touchland, Sold To Church & Dwight For $700M. For fragrances, all corporations are aware of a shift in behaviors and carefully look at the new affordable brands targeting Millennials and Gen Z, with products according to their mood.
I’m proud to have in Fab Ventures portfolio, BrownGirlJane, founded by Malaika Jones, and now available at Sephora.
In Europe, we see the success of Adopt parfums, led by Frederic Stoeckel.
For beauty and luxury corporations, it’s complicated to start from scratch as a complete revolution vs designers and couture brands.
The acquisition of Touchland could signal a trend toward consolidation in the fragrance sector, where larger companies acquire smaller, innovative brands to enhance their market share and diversify their product lines and the customers they target.
The EBITDA was exceptionally high ( here 42% if figures in the media are the right ones), and the question could be whether it is sustainable if continuing to scale globally !)
Meanwhile, for founders of indie brands, it means more than ever knowing your customers very well, and being obsessed with your EBITDA is the recipe for a great exit. X 15 and more, if a high EBITDA seems a possible new standard for valuation as an acquisition.
In Dubai, we had a great conversation with CEO & Founder Paul Houlsby: “Fragrance is not just a scent; it’s an identity, a memory, an experience.”
The Perfume Movement, which merges AI-powered personalization with artisanal craftsmanship to create bespoke fragrances that tell each wearer’s unique story. Inspired by his expertise in sustainable sourcing and luxury markets, he is pioneering a brand that blends technology, individuality, and environmental consciousness.
“Every fragrance should be as unique as its wearer. We’re not just creating perfumes — we’re empowering individuals to express their identity through scent.” Her with Ameer Alzeera.
We also met great leaders in the fragrance space, Ian Crompton (investor) and Julie Contat. Thank you Quentin Douce (Dubai FaB chapter leader, co-founder PERS skincare) for the introductions!
And we catch up with Anisha Oberoi Founder of the Secret Skin, top of the list in Forbes for the Middle East.
3-Retail is at the top!
In Proximity to Burj Khalifa, Dubai Mall is the must-visit destination. It is one of the largest shopping malls in the world, covering over 1.1 million square meters, with more than 1,200 retail stores. With a wide range of high-end brands and luxury boutiques, attracting shoppers from around the globe.
The air conditioning made me feel like in the 90s in the US (so cold), and the luxurious materials in the mall made me wonder if sustainability was followed by actions in the area, or still a far away concern, and just words.
I was impressed by the mix of tradition and modernity, alliance of Middle East culture, and the codes of Americans and Europeans, and yes, you can find a hot matcha latte to enjoy with your mezze!
Grateful for the time of fabulous founders and funders. Always exciting to meet experts in the beauty/ fragrance space.
And a special kudos to my partner in life (husband), Eric Gervet, bold mind, driving innovation, and loving consumer tech and retail too!
If you want to know more about Fab Ventures, fabulous founders, Fund I and II, here it is:
https://www.fabcocreationstudio.com click on the headshots to access more information about the company they are building.
If you’d like to join the FaB fashion and beautytech community, now 19 chapters, and 4500 subscribers (founders and investors) to the free newsletter, please use the link and join one of the next in person meetings:
Have a lovely day!
Odile
