Qatar’s retail landscape is evolving rapidly following a boost in modernisation and infrastructure investment in 2022. As the country becomes increasingly attractive as a tourist destination, it continues its expansion of high-end shopping malls, often embedded as a part of a greater customer experience that includes leisure activities and entertainment options. While particularly popular as a shopping destination among citizens of its Gulf neighbours, the country also enjoys strong domestic fundamentals, owing to its increasingly affluent population, which holds an affinity for luxury products and brands. Although in-store buying is still favoured, with many retailers endeavouring to make shopping an immersive experience, the popularity of e-commerce is growing quickly due to the technology-literate population.
Challenges remain, particularly as the supply of retail space is expected to outstrip demand. However, with high purchasing power among the local population, international brands are increasingly being drawn to Qatar, and the sector is projected to grow significantly in the coming years.
Structure & Oversight
Qatar’s retail industry is overseen by the Ministry of Commerce and Industry (MoCI). As part of the broader Qatar National Vision (QNV) 2030 programme, a roadmap for achieving economic diversification and reducing the country’s reliance on oil revenue, the ministry set out the MoCI Strategy 2024-30. According to Sheikh Faisal bin Thani bin Faisal Al Thani, the minister of commerce and industry, the strategy “focuses on enhancing and developing the commercial, investment and industrial sectors, which will embolden Qatar’s global competitiveness, encourage innovation and sustainability, and improve the quality and delivery of services. This is underpinned by our ongoing mandate to prioritise the protection of consumer rights according to the highest global standards.” Some of the strategy’s retail-relevant initiatives and projects include promoting entrepreneurship; encouraging expansion among small and medium-sized enterprises (SMEs); strengthening consumer rights; and encouraging competition in the local market.
In February 2025 the MoCI held National Product Week in Doha, an event that showcased Qatari products. The event was intended to celebrate locally made products and promote them to consumers, while localising supply chains, promoting economic diversification, raising awareness of the importance of self-sufficiency, creating opportunities for SMEs and strengthening the private sector.
Size & Performance
A surge in retail growth and investment was catalysed when Qatar hosted the 2022 FIFA World Cup. As this momentum continues, Qatar’s retail sector is poised for substantial further expansion in the coming years. According to data published by market research company Mordor Intelligence, the sector is projected to grow at a compound annual growth rate (CAGR) of 5% from 2025-30. Retail experts note that the country’s high levels of disposable income and living standards are key drivers of this growth.
Qatar’s population stood at 3.1m people in 2025, according to the IMF, which also reported GDP per capita of about $72,000 at the time. According to data published by German data platform Statista, household disposable income per capita in Qatar is expected to reach $34,970 in 2025. Total consumer spending is forecast to reach $67.9bn that year, and consumer spending per capita on clothing and footwear is projected to total $923. Revenue for the fashion segment is expected to reach $780m in 2025, increasing by 8.5% CAGR from 2025-29, for a projected market volume of $1.1bn by 2029.
Dubai-based investment banking advisory firm Alpen Capital expects retail sales in Qatar to grow at an annualised rate of 2.2% up to 2028, owing to the country’s increasing population and income levels and the government’s targeted focus on transforming it into a tourist destination.
The tourism sector expanded by 74.1% CAGR between 2020 and 2023 and the population increased by 1.5% CAGR between 2018 and 2023. As a result, the retail and e-commerce landscape is maturing, as traditional independent stores and souqs continue to give way to shopping malls, supermarkets and online retail outlets. This shift has not only introduced a wider variety of products and services to the market but has also led to a shift towards enhancing the consumer experience in order to attract a diverse consumer base.”
A report published by Cushman & Wakefield, a commercial real estate services company, states that a surge in tourist arrivals in the fourth quarter of 2024 boosted retail traffic and spending. Visitor numbers grew 25% to reach a record 5m that year. The country aims to tap into the meetings, incentives, conferences and exhibitions (MICE) market; establish new leisure destinations; and launch luxury shopping centres. In addition, several regional and international brands are expanding their presence in Qatar as the retail sector grows.
Data published by Oxford Economics show that total retail spending increased by 4% in 2023. According to PwC’s Middle East Voice of the Consumer 2024 survey published in January 2025, 60% of Qatari consumers expect to spend more on groceries, 55% on travel and 53% on health and beauty products in the first half of 2025. Although online retail is gaining in popularity, the data also show that 54% of consumers favour in-store shopping, with the in-person experience bolstered by technologies such as mobile and contactless payments and self-checkouts. Online retail faces the challenge of Qatari consumers’ concerns about data privacy and security, with over 75% of respondents indicating the importance of knowing that their information is protected. That said, social media plays a significant role in consumer activity, with over 73% of consumers surveyed responding that they have discovered new brands on social media and over 50% of respondents have made a purchase or engaged with a brand on social media.
PwC’s survey also shows an increasing consumer focus on the importance of sustainability. Of those surveyed, 57% bought more sustainable products, 41% considered purchases in terms of the environmental impact and 31% were willing to pay 11-20% above average prices for products with lower carbon footprints. In addition, over 30% favour brands that utilise renewable energy, environmentally friendly packaging, and waste reduction and recycling.
E-Commerce
As the retail landscape in Qatar evolves, consumer patterns are showing increasing adoption of e-commerce. Alpen Capital’s data also highlights the increasing adoption of e-commerce platforms. It estimates sales growth of 8.1% CAGR in 2018-23, reaching $2.8bn in 2023. E-commerce contributed 1.2% of GDP in 2023 – the second highest in the region and above the GCC average of 1%. To boost growth in the segment, the government has made use of Customs programmes and trade agreements, and has invested in strong ICT infrastructure. Several retailers have pursued an omni-channel distribution model post-Covid-19 pandemic, expanding their digital presence while maintaining and enhancing their brick-and-mortar operations.
The country’s luxury goods market is similarly embracing opportunities presented by digital platforms, which is particularly significant as Qatar is considered to be the world’s fastest-growing luxury market. The sector includes products such as high-end fashion attire, accessories, timepieces, jewellery, cosmetics, fragrances and high-end vehicles. As such, the industry is making use of social media digital marketing strategies to connect with the country’s increasingly tech-savvy customer base.
Retail Tech
Beyond e-commerce, Qatar’s retail sector is embracing cutting-edge technologies to deliver increasingly seamless and engaging customer experiences with shoppers across the retail spectrum. From artificial intelligence (AI)-powered analytics to virtual fitting rooms and in-store augmented reality, retailers are investing in digital tools to optimise both physical and digital retail environments.
In particular, to fully leverage digital platforms for reaching consumers on their platforms, more retailers are using AI. AI-driven customer segmentation goes beyond traditional segmentation methods, such as focusing on demographics like age, gender, income and location, which have become increasingly inadequate. The technology can create highly targeted customer profiles using data analytics and machine learning. Broadly, AI-driven technology can optimise delivery of personalised marketing campaigns, inventory placement, customer experience, conversion rates and customer retention.
In some instances, this approach has led Qatari retailers to increase sales, through advanced segmentation that involves anticipating customers’ needs and highly targeted marketing strategies directed at individuals. In addition, Qatar has its own specific trends to consider: cultural preferences are a significant factor, as customs, traditions and cultural values heavily influence purchasing. Consumers’ interest in luxury brands is strong, smartphone penetration is high and digital literacy is increasing. One Qatar-based fashion retailer recorded a 40% increase in overall sales in the six months after adopting AI-driven segmentation, allowing for a more personalised marketing strategy.
With smartphone penetration in Qatar exceeding 95%, the country offers a highly conducive environment for the growth of mobile-based retail technologies. This is particularly evident in loyalty programmes, mobile wallet integrations, and the use of location-based services to offer real-time promotions and personalised experiences.
Meanwhile, shopping centres are deploying interactive technologies such as smart parking, wayfinding kiosks and customer service robots. Msheireb Downtown Doha smart city is one example of integrated urban retail, where environmental monitoring, energy-efficient lighting and real-time customer feedback systems are all standard features. The development was home to Monoprix, one of the first smart retail outlets in the world when it opened in 2019. Having rolled out to other brands, the district’s flagship stores have piloted AI-based technologies such as heat maps to assess customer flow and enhance store layouts accordingly.
In addition, several Qatari retailers are experimenting with blockchain-based inventory systems to enhance transparency and improve the traceability of products, especially in the luxury and high value categories. As retail digitalisation advances, cybersecurity remains a priority, with many retailers actively investing in data protection and compliance technologies in order to ensure customer trust and safeguard operational resilience.
Qatar’s retail capacity benefited significantly from the massive infrastructure drive implemented in preparation for the 2022 FIFA World Cup. The country also embarked on a broader modernisation programme that led to the government investing $330bn into infrastructure over the decade to 2025. For example, retail space in Doha covered 880,000 sq metres as of April 2025.
Retail Tourism
As a result of this drive, Qatar has become a top destination for tourists and investors. Indeed, the luxury retail market has been a key growth driver for Qatari retail. According to Knight Frank data, about 79% of regional visitors come to Qatar mainly to shop, with the luxury market a key draw. Retail is the second-most-popular investment choice for GCC nationals aged 18 to 45, behind branded residences, and is particularly popular among Saudi and Emirati investors.
Qatar is particularly popular among its regional neighbour as a shopping destination. Around 85% of Saudi Arabia and Bahrain’s citizens are interested in visiting Qatar for shopping, followed by those from the UAE (76%) and Kuwait (75%). Saudi Arabia was the top source of tourists in 2023, followed by Bahrain and the UAE. Furthermore, Knight Frank data show that Qatar holds particular appeal as the shopping destination of choice for high earners. Nearly 88% of respondents who earn between QR22,500 ($6175) and QR25,000 ($6861) per month, and 86% of those earning over QR25,000 ($6861), are interested in visiting the country to shop.
Shopping Centres
Qatar has developed a broad offering of hopping centres, including the 1.2m-sq-metre Place Vendôme in Lusail, which houses 580 high- and mid-range stores; Doha Festival City, which features over 400 brands and the country’s first Harvey Nichols and IKEA stores; and Mall of Qatar in Doha, the country’s largest mall.
The sector is set to receive an additional boost with the completion of the sizeable Simaisma Project. The $5.5bn tourist attraction, a joint initiative led by the Ministry of Municipality and developed by Qatar’s Diar Real Estate Investment Company, will be located 40 km north of Doha, spanning 8m sq metres and extending over 7 km of the eastern coastline. The project will add extensive retail space, luxury resorts, a theme park, a golf course and a marina.
As part of the drive to cultivate the retail sector, the month-long annual Shop Qatar festival features 20 participating malls and shopping destinations, including Place Vendôme and Doha Festival City. The event features discounts, entertainment and competitions. The festival aims to be one of Qatar’s flagship events, attracting residents and visitors alike to enjoy a month of shopping and entertainment. Organizers also aim to leverage the event to enhance Qatar’s position as a leader in both retail and tourism.
Space
According to Cushman & Wakefield, Doha’s 19 largest malls offer close to 1.5m sq metres of gross leasable area. A further 300,000 sq metres is available in other indoor malls throughout Qatar. In addition, 400,000 sq metres of leasable area is available in open-air destinations, including The Pearl Island, Souq Waqif, Souq Al Wakra, Msheireb Downtown, Katara, Doha Port and Lusail Boulevard. Doha Mall in Abu Hamour, which has been gradually opening its retail outlets in 2025 after missing its initial launch date in the fourth quarter of 2024, covers about 100,000 sq metres of leasable area.
However, there are signs of a slight imbalance between supply and demand in retail space. Despite the rapid growth in available floor space in recent years, retail developments are not performing equally across the board. Although consumer demand is high, providing opportunities for new retailers, consumer activity tends to be concentrated in a few key destinations. Rents in these locations have remained stable but rents have dropped in less-frequented locations. In Doha’s main malls, in early 2025 rents for line units stood at about QR220 ($60) to QR260 ($71) per sq metre, with rents for smaller units at QR300 ($82) to QR450 ($124) per sq metre. For malls with reduced foot traffic, the rents for line units dropped below QR200 ($55) per sq metre.
Qatar’s retail real estate market has grown by more than 200% since 2015, reaching a value of approximately $18bn by mid-2024, according to a report published by Qatar’s Al Asmakh Real Estate Development. This has been supported by the country’s growing population and increasing urbanisation, with government infrastructure investment facilitating the creation of modern shopping and entertainment centres featuring both local and international retail options across the country. These developments not only added to retail supply, but have driven Qatar’s overall economic growth by boosting consumer spending, creating jobs, and enhancing growth in sectors such as construction and logistics. Taken together, these efforts have supported the goals of QNV 2030, a framework that aims to diversify the economy away from oil and gas.
Food Retail
The food retail sector is dominated by major supermarket chains such as Carrefour, Lulu, Al Meera Consumer Goods Company, Monoprix Qatar and Safari Hypermarket. Research from Statista shows that consumer spending per capita in the hospitality and restaurants sector is expected to reach $962 in 2025. Meanwhile, a report published by Cushman & Wakefield in the third quarter of 2024 noted that the food and beverage market became increasingly competitive between 2019 and 2024, owing to a significant increase in hotels and box parks such as Marina Food Arena, District One and Lusail Night Market. Restaurants and cafes situated in the country’s most popular outdoor destinations generate rental incomes of approximately QR130 ($36) to QR180 ($49) per sq metre per month.
In December 2024 Sheikh Mohammed bin Abdulrahman bin Jassim Al Thani, prime minister and minister of foreign affairs, launched the National Food Security Strategy 2030. The strategy aims to achieve food security through principles like promoting healthy consumption habits and fostering sustainability. Its goal is to support local farmers through initiatives and support programmes that have already significantly increased the volume and quality of local agricultural production, following the effective implementation of the previous National Food Security Strategy 2018-23.
Local Production
As a result, local farmers’ markets are recording increasing demand. According to officials at the Agricultural Affairs Department at the Ministry of Municipality, this increase reflects consumers’ high level of satisfaction and growing trust in these marketplaces as key sources for fresh vegetables and local products. The Ministry of Municipality provides farmers with free outlets to sell their products through farmers’ markets, as well as technical and advisory support to help them improve product quality and marketing. In addition, the strategy will introduce a range of initiatives intended to support agricultural businesses facing operational challenges. These include optimising pricing mechanisms, safeguarding local products and strengthening their competitiveness against imports.
Duty Free
As a major global transit hub for long haul international flights, Qatar’s duty-free retail plays a significant role in the broader retail sector, maintaining the country’s focus on luxury shopping and adding to Qatar’s reputation as an international retail destination. Qatar Duty Free (QDF) reported record sales for 2024, with turnover increasing by 18%. This outpaced the 15% growth in passenger throughput recorded at Hamad International Airport, which served 52.7m passengers in 2024. QDF credits its success to its pursuit of innovation and highlights its introduction of 18 new retail concepts and immersive experiences throughout the year. These included a Dior Luxury Beauty Retreat; a digital retail concept store in collaboration with Kering Eyewear; and campaigns for Chanel and Saint Laurent.
QDF also expanded its food and beverage offerings with six new and upgraded concepts. In a notable boost to Qatar’s reputation as a retail destination, in 2024 QDF was awarded the titles of Retailer of the Year (Frontier Awards), Airport Food and Beverage Offer of the Year (FAB Awards) and World’s Best Airport for Shopping (SKYTRAX), making it the first retailer to hold all three titles simultaneously.
QDF aims to continue its expansion in 2025, maintaining its focus on innovation. It will launch 25 new retail and food & beverage concepts and introduce new e-commerce and data-sharing platforms. In addition, in February 2025, QDF hosted the Trinity Forum event, an airport commercial revenue and travel retail gathering, in Doha.
Retail Logistics
As a key node in global trade and aviation networks, Qatar is increasingly positioning itself as a strategic logistics centre for the retail sector. The country’s geographic location, robust infrastructure and policy initiatives have created a favourable environment for regional and international brands to establish logistics operations.
Qatar’s three principal ports – Doha, Al Ruwais and Hamad, one of the most advanced deep-water seaports in the region – received over 1.6m tonnes and nearly 1.5m twenty-foot equivalent units of general and bulk cargo shipments in 2024. The port supports the rapid movement of goods into Qatar and facilitates the re-export of consumer goods across the GCC and beyond. The government’s ongoing investment in port automation and cold chain capabilities further supports the growth of the fashion, electronics and food retail sectors.
In parallel, Hamad International Airport, ranked among the top global air cargo centres, continues to play a vital role in enabling fast-tracked retail fulfilment, particularly for luxury goods and e-commerce. Despite uncertainty from the US administration’s tariff war, Qatar Airways Cargo predicts a 10% increase in retail-related shipments in 2025, driven largely by the growth in cross-border e-commerce.
The Qatar Free Zones Authority actively encourages logistics-related investments, offering tax incentives and streamlined regulations to attract international logistics firms. Notable among these is DHL’s establishment of a major regional logistics centre in the Ras Bufontas Free Zone in 2020, coinciding with the pandemic. Together, these initiatives reinforce Qatar’s ambition to become a retail logistics gateway for the Middle East, North Africa and South Asia region, supporting the domestic retail landscape by offering a wider array of products and strengthening Qatar’s role in global supply chains.
Outlook
With the high purchasing power of its domestic population, rising tourist arrivals, a growing reputation as a global shopping destination and a sustained government backing under QNV 2030 programme, the Qatari retail sector is well positioned to sustain robust growth. The country’s strategic investments in infrastructure, transport, tourism and hospitality continue to create synergies that benefit retail development.
While e-commerce poses an increasingly significant challenge to traditional brick-and-mortar outlets, the experiential nature of large-scale shopping malls is expected to remain a major draw. These venues are evolving into multi-purpose destinations, offering entertainment, dining and leisure activities that enhance in-person shopping.
Meanwhile, the emphasis on luxury brands is set to maintain strong appeal among the local population and high-spending visitors from countries like neighbouring Saudi Arabia, Bahrain and the UAE. In parallel, food retail stands to benefit from increased domestic production and improved product quality, as the government intensifies efforts to enhance food security. These initiatives are expected to support local industries, reduce the country’s reliance on imports and place downward pressure on prices.
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