Shoptalk Luxe made its Middle East debut in Abu Dhabi from January 27 to 29, offering a three-day lens into how luxury is evolving across the region. Changing consumer behaviour, rising capital flows, and the steady integration of technology are reshaping how brands create and sustain value, and the event highlighted the GCC’s increasing role in driving global luxury trends.

Held at Emirates Palace, the inaugural edition drew more than 2,000 senior decision-makers from the fashion, beauty, retail, and technology sectors. Abu Dhabi emerged as a hub for global leaders evaluating where luxury growth is coming from and how brands are adapting to increasingly selective, digitally fluent audiences. The event’s discussions moved beyond brand storytelling to focus on execution: how luxury businesses can scale intimacy, trust, and relevance while navigating volatility and emerging technologies such as AI and AR.

FASHION, BEAUTY, AND THE SEARCH FOR BRAND RELEVANCE

One of the announcements came from Snap Inc., which partnered with Business of Fashion to release Building Brand Resonance With Gulf Consumers at Shoptalk Luxe. The report examines how fashion and beauty brands are responding to a GCC consumer base that is younger, highly connected, and selective in how brands engage with culture and community.

The data highlights key shifts in the region: 60 percent of the GCC population is under 30, and women’s workforce participation in Saudi Arabia rose by 64 percent between 2018 and 2020. These trends are expanding discretionary spending and reshaping expectations around self-expression.

Rather than defining luxury solely by product, the report identifies trust and participation as central drivers of brand relevance. According to Snap, 77 percent of Snapchat users in the GCC share products or recommend brands to friends and family, reinforcing a strong word-of-mouth culture amplified through digital channels.

“The GCC is at the forefront of digital innovation,” said Hussein Freijeh, Vice President for Snap Inc. MENA & APAC. “As consumer expectations continue to evolve, brands will need to find ways to reach and engage the next generation of consumers. Those that succeed will be the ones that blend commerce and technology into meaningful experiences, both online and offline.”

HOW TECHNOLOGY IS SHAPING DISCOVERY AND ENGAGEMENT

Technology emerged as a central theme across panels and showcases. With 70 percent of Snapchatters worldwide using augmented reality (AR) features, the GCC is among the leading markets for AR-powered experiences such as virtual try-ons. Regional activations, from Ramadan lenses to National Day campaigns, demonstrate how brands are combining cultural storytelling with immersive tools to stay visible and relevant.

Speaking at the launch, Hussein Freijeh, Vice President for Snap Inc. MENA & APAC, noted that Snapchat is increasingly becoming a destination for shopping, discovery, and learning about fashion and beauty products in the region, driven by AR experiences and partnerships with culturally relevant creators.

AI also featured prominently at Shoptalk Luxe, and not just as a back-end efficiency tool. Speakers and exhibitors emphasized that in luxury retail, artificial intelligence is becoming a strategic lever for building trust, personalization, and discovery. These elements are essential for nurturing long-term relationships with high-value consumers. In an era where shoppers expect seamless, tailored experiences both online and offline, AI allows brands to anticipate preferences, curate relevant offerings, and create meaningful interactions without compromising the sense of exclusivity that defines luxury.

Companies such as Algolia demonstrated how AI-driven search and discovery tools can transform premium retail environments. Their Abu Dhabi showcase highlighted capabilities ranging from predictive product recommendations to advanced search algorithms that understand intent and context. These tools help luxury shoppers find exactly what they want quickly while maintaining a curated, high-end experience.

HIGH-VALUE COLLECTING AND THE GCC BUYER

While fashion and beauty discussions focused on engagement and storytelling, a parallel announcement at Shoptalk Luxe highlighted the GCC’s growing influence at the top end of the luxury market. Luxury auction house FutureGrail released its GCC Watch Auction Spotlight, forecasting that demand from GCC buyers will push global luxury watch auction sales past US$1 billion in 2026.

The report predicts that GCC nationals and expatriates will account for more than US$200 million in watch auction sales over the next 12 months, representing 20 to 25 percent of top-tier global auction sales. This outlook builds on long-term performance trends, with luxury watch prices having risen more than 125 percent over the past decade.

“GCC buyers are flocking to luxury watches, firstly because of the desirability of beautiful timepieces and secondly, the performance of watches as an asset class,” said Ali Nael, CEO of FutureGrail. “Whether they are purchasing for their own personal collections or as part of a professional investment strategy, demand for luxury watches from the region has never been higher.”

Several factors are driving this momentum, including the growth of high-net-worth individuals in the region and the increasing role of wealth advisors positioning watches as alternative assets. Expatriate communities, particularly Indian buyers in the GCC, also play a key role. These collectors often view watches as a store of value and a hedge against volatility, similar to gold.

Beyond investment logic, the spotlight identifies a revival of interest in pocket watches among young Emirati and Kuwaiti buyers, particularly millennials and Gen Z. Heritage, craftsmanship, and individuality are resonating with this younger generation of collectors.

FROM INVESTMENT LOGIC TO CULTURAL TASTE

The report highlights the influence of expatriate communities on auction outcomes, noting that Indian buyers often treat watches as a store of value, contributing to sustained demand across auction cycles.

At the same time, cultural tastes among younger collectors are evolving. Pocket watches, long considered niche, are gaining renewed attention for their craftsmanship, rarity, and stylistic distinctiveness. Nostalgia and authenticity are becoming increasingly important in contemporary collecting.

Ali Nael added that the scale of regional participation now means GCC buyers materially influence outcomes at the top end of the market, whether through private sales or competitive bidding at auction.

THE ROLE OF PHYSICAL DESTINATIONS IN LUXURY GROWTH

The importance of physical retail and destination-led development was also highlighted at Shoptalk Luxe. Cenomi Centers, the event’s highest-level sponsor, underscored the continued relevance of large-scale, experience-driven retail environments in the region.

As a Level 5 sponsor, Cenomi Centers outlined plans ahead of the September 2026 openings of Westfield Jeddah and Westfield Riyadh, both positioned as flagship lifestyle destinations for Saudi Arabia’s increasingly affluent and globally minded consumers.

“Shoptalk Luxe brings together the voices shaping the next chapter of global luxury retail, and it comes at a defining moment for Cenomi Centers,” said Alison Rehill-Erguven, CEO of Cenomi Centers. “As we prepare to launch our two new flagship assets later this year, Westfield Jeddah and Westfield Riyadh, we are focused on how destination-led retail can respond to changing consumer expectations in Saudi Arabia and across the region.”

Rehill-Erguven also participated in a panel titled “Unlocking Growth in the GCC,” where the discussion focused on how physical environments can complement rather than compete with digital engagement.

Together, these announcements highlighted key insights from Shoptalk Luxe Abu Dhabi. Rather than indicating sudden or dramatic change, they reflect steady, structural developments in how luxury is marketed, experienced, and invested in across the GCC.