Al-Futtaim: Experience-led retail and strategic partnerships drive sales growth and customer engagement
Al-Futtaim Real Estate has reported a strong Ramadan and Eid Al Fitr performance across its UAE malls portfolio, signalling continued positive momentum and long-term resilience in the retail sector. The group’s key destinations, including Dubai Festival City Mall, Festival Plaza, and Arabian Centre, recorded an average 8% year-on-year sales growth during the Ramadan and Eid period, reflecting robust consumer demand and the success of its evolving retail strategy. The performance highlights a growing shift towards experience-led retail, where shopping is increasingly complemented by dining, entertainment, and community-driven experiences. This transformation is redefining how customers interact with retail destinations, positioning malls as integrated lifestyle hubs rather than purely transactional spaces. A key driver behind this growth has been the strategic focus on food and beverage (F&B) offerings, which have become central to boosting footfall, dwell time, and overall spending. By curating diverse dining experiences and introducing popular concepts, Al-Futtaim’s malls have strengthened their appeal as social and community destinations. Among the portfolio, Dubai Festival City Mall delivered particularly strong results, achieving a 12% increase in sales and a 5% rise in footfall during the festive period. These figures reflect consistent visitor engagement and the strength of its local customer base, supported by targeted campaigns and seasonal promotions.Consumer behaviour during the period indicated a shift towards more intentional and experience-focused shopping patterns, with balanced performance across key retail categories. While mid-market and value fashion segments remained resilient, dining continued to play a dominant role in attracting visitors and driving engagement across the malls. The success of the Ramadan and Eid season was further supported by strategic collaborations with Dubai Festivals and Retail Establishment (DFRE), including promotional initiatives such as the 3-Day Super Sale (Ramadan Edition) and loyalty campaigns like 5X BLUE Rewards, which incentivised spending across retail, dining, and entertainment categories. In addition to promotions, tenant curation strategies played a vital role in enhancing performance. The introduction of new and relevant retail and dining concepts, including brands such as SALT and Camper, increased customer engagement and drove occupancy to 93%, reinforcing the malls’ retail mix’s attractiveness. Hayssam Hajjar, Executive Director of Asset Management at Al-Futtaim Real Estate, emphasised that the strong performance reflects the group’s ability to adapt to evolving market conditions. He explained that sustained growth is being driven by a combination of disciplined asset management, proactive leasing strategies, and a focus on delivering experience-driven offerings that resonate with modern consumers. He further highlighted that the company continues to build a strong pipeline of new brands and retail concepts, which is expected to further enhance the appeal of its malls and strengthen long-term performance. The continued confidence of retail partners also underscores the resilience and attractiveness of the group’s portfolio. The broader retail landscape in the UAE has also contributed to this positive momentum. Seasonal demand during Ramadan and Eid has driven increased activity across shopping malls nationwide, supported by promotional campaigns, family-oriented experiences, and rising consumer spending. Al-Futtaim’s malls have capitalised on this trend by positioning themselves as community-centric destinations, offering a mix of retail, dining, and entertainment experiences that cater to diverse customer needs. Initiatives such as “Majlis by the Bay” further enhanced the festive atmosphere, encouraging visitors to spend more time within mall environments. The company’s performance reflects a broader transformation within the retail sector, where success is increasingly defined by the ability to deliver holistic customer experiences rather than standalone shopping transactions. This shift is driving malls to innovate continuously, integrating technology, curated experiences, and customer engagement strategies. Looking ahead, the strong Ramadan and Eid results signal continued growth opportunities for the UAE retail sector, supported by a stable economic environment, rising consumer confidence, and ongoing investment in retail infrastructure. As malls continue to evolve into integrated lifestyle destinations, Al-Futtaim Real Estate’s strategic focus on innovation, customer engagement, and diversified offerings is expected to play a key role in sustaining long-term growth and reinforcing its leadership within the regional retail market. Read more“Experience-driven retail and strong consumer engagement are shaping the future of UAE malls.” – Al Futtaim