UAE consumers are increasingly disengaging from brands, according to new research by SAP Emarsys.
In partnership with Deloitte, the study reveals that 65 percent of UAE consumers buy products without considering the brand at all. Additionally, 61 percent of Gen Z in the UAE echo this sentiment, focusing solely on whether the product meets their needs. Consequently, 76 percent of consumers have switched to more affordable, own-label alternatives, prioritizing price and function over traditional brand loyalty. However, in an interesting contradiction, 68 percent of UAE consumers still publicly support and promote their favorite brands despite growing apathy.
The data behind the shift
These findings stem from a survey of over 2,000 UAE consumers and 100 senior marketers at multinational consumer product companies. Speaking on the trend, Marwan Zeineddine, MD of SAP UAE, emphasized the urgency for more emotionally resonant brand experiences. He stated that while brand indifference is growing, there’s rising demand for personalized, meaningful engagement built on real-time consumer understanding. So, marketers must now act as strategic bridges between data and execution to stay competitive in today’s fast-evolving marketplace.
The rise of the engagement era
The Global Consumer Products Engagement Report calls this transformation the “engagement era,” demanding a strong enterprise-wide data foundation for brands to thrive. Therefore, adopting AI-powered omnichannel strategies is essential to turn scattered data into meaningful consumer connections and retention. In the UAE specifically, 72 percent of marketers report increasing difficulty in customer engagement, highlighting the urgency for a digital transformation shift. Accordingly, success today relies on delivering personalized omnichannel experiences throughout the customer lifecycle using AI and real-time decision-making tools.
Where do brands stand?
The report also introduces a Customer Engagement Maturity Index (CEMI) to rank brands based on their engagement strategy development. This index builds on Bain & Company’s insights about the growing move toward ERP integration and SAP S/4HANA transformation platforms. Thus, brands must eliminate silos, modernize operations and improve consumer connections using AI-powered systems and engagement platforms.
Three stages of engagement maturity
According to the index, brands fall into three categories: reactive, proactive or predictive, based on their engagement approach sophistication. Reactive brands rely on mass messaging; proactive brands use mobile but operate manually; predictive brands deliver AI-based, real-time personalization. In the UAE, only 34 percent of consumer marketers currently connect engagement data to their ERP systems for advanced decision-making.
AI is no longer a luxury
Brands must view AI investment not as a luxury but as essential to meeting revenue goals and relevance. Ultimately, those that fail to adopt predictive engagement strategies risk losing ground in the increasingly competitive engagement era.
