GIG Gulf, an insurance provider based in the MENA region, has reported it intends to spend more this year compared to 2022. Despite this, nearly 75 per cent of GCC residents will postpone purchases to wait for special offers and promotions during Ramadan and Eid.
The findings are based on two separate research pieces carried out to analyse consumer behaviour during the festive seasons of Ramadan and Eid. One study was commissioned by GIG Gulf and carried out by YouGov, a global market research and data analytics firm. Meanwhile the other was commissioned by Toluna, a provider of market research and consumer insights.
The research suggests that inflation and a desire to ‘make up for the pandemic years’ are driving consumers. Nearly half of GCC residents are expecting to pay more for Eid gifts than last year. A majority, however, will hold out for Ramadan in-store events and special offers before making their purchases. The data also reveals that thrifty motorists are likely to renew and pay earlier for insurance policies in exchange for Ramadan promotions.
Interestingly, the studies highlight the value placed on love, education, and memories over material wealth by GCC residents. Six out of 10 respondents prioritise their family, friends, and relationships over their health, home, or experiences. GIG Gulf’s data suggests that while people plan to spend more on material goods this year, 40 per cent would buy insurance for their love, education, and memories if they could. Moreover, 57 per cent of respondents identified ‘friends and family’ as the most valuable aspect of their lives.
The research also unveils how 53 per cent of respondents enjoy pampering themselves with luxurious experiences during Ramadan. Despite this indulgence, many still prioritize protecting their loved ones and cherished possessions through insurance coverage. This sentiment reflects the importance of safeguarding valuable relationships and items against unforeseen circumstances.
GCC spenders want to insure love
Caroline Bertrand, chief HR and marketing officer, GIG Gulf said: “While insurance cannot protect the abstract concept of love, it can shield our loved ones from potential harm. For instance, home insurance can protect against legal liability for damages or accidental bodily injury to those we care about.
“Insuring what we love grants us a sense of freedom, enabling us to live in the moments that matter without worry or anxiety. During the holy month of Ramadan and Eid, when we want to be close to those we love, we can achieve peace of mind by protecting them from unforeseen circumstances.”
The findings emphasise the desire to protect what matters most to people. When asked what they would choose to insure if possible, 54 per cent would insure their love, 43 per cent would insure their memories, and 34 per cent would insure their passions. Those who opted for insurance coverage for their health or valuable possessions cited their reasons. Peace of mind and financial security are their motivations. Nearly half also acknowledged that insurance was a financially prudent decision in case of unexpected events.
