EXPERT OPINION
Specific market
Gordon Haskins, CEO,
Al Hilal Islamic Bank
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world monitor
The common stereotype engrained in
people`s minds regarding a person
practicing Islam is rapidly losing its
relevance. The nature of the change
is revealed by consumption profiles
and growth of such people’s economic
activities. In fact, Sharia rules are strict
in regulating the personal way of living.
However, those rules do not at the
same time impede market growth; on
the contrary, Sharia is a stimulus for
the development of the entire market
segment for modern goods and services
aimed at Muslims. And Islamic food
products which are known to almost
everybody, just signify 'the tip of the
iceberg'.
apart from learning new cultures and
visiting new places. And that constitutes
one of the key factors for them when
selecting any travel offer. Millennials
comprised more than 30% of Muslim
tourists in 2016, of which 30% of people
were coming from Generation Z – the
age group of people who were born after
1995. There are also similar trends in
other consumption patterns. In 2016,
Muslims spent $254 bln US dollars on
clothes and shoes, which comprised 14%
of the consumers' global market.
Nowadays, a person adhering to
the Islamic principles of living is a
contemporary member of society living
a full-fledged life while doing business,
working on their fitness, traveling and
relaxing abroad with their families,
among other things. For example, the
total expenditures of Muslim tourists
comprised $156 bln US dollars in 2016.
According to MasterCard estimates, by
2026 this number is predicted to increase
to $300 bln, of which $100 bln will be
accounted for by millennials, namely,
those people who were born after the
year 1981, also known as Generation Y.
Along with their contemporaries from
around the world, they will spend their
time on the Internet, strive to take a stab
at various professional roles and desire
to travel the world. The growing consumer segment with
the particular status requires an ad
hoc approach being caught up by the
global economy. Dozens of world-known
brands including Dolce & Gabbana,
DKNY, Tommy Hilfiger, Mango, Zara,
Marks & Spencer, Nike, Adidas, Uniqlo
and many other tailor modern clothes
and accessories to the tastes of Muslim
consumers. In Kazakhstan this segment
is yet to be uncovered as it is outside the
public eye, but even rough estimations
show that there are already more than
600 enterprises serving the needs of
Muslims in Kazakhstan. This is the
industry that helps Muslims to live a full-
fledged life without violating any Islamic
principles. And although it mainly deals
with foodproducts and public catering,
the year-on-year industry growth reveals
the rapid expansion of those services. At
the same time, the Islamic stereotypes
become less conservative in people’s
minds.
At the same time, this is a very specific
consumer group: at the end of the day,
the same research reveals that for
Muslim Millennials it is very important to
follow Islamic principles when travelling, The modern Kazakhstani Muslim is
a person who is being offered travel
tours to UAE, Turkey, Iran, Malaysia
and Indonesia from more than 40 travel
agencies. More often than not, he is the