Tapping Arabia's Other Liquid Gold

 Arabia’s Other Liquid Gold

Coffee is a multi-billion dollar business in the Kingdom of Saudi Arabia but it’s more than just business. The humble bean, once some magic has been administered to it, becomes a symbol of hospitality, and the means by which happiness is obtained and shared. It’s the lubricant that keeps chatting mouths moving at midday or midnight.

KSA’s ‘branded coffee shop market’ grew by 18.5% in 2022. That’s a lot - it was 10% in the USA for the same period. At Klinical, we contributed to that statistic through a brand we created called Sipside. We started working on this project just as the Saudi government had announced Vision 2030 - an ambitious state-wide commercial and societal development project that aimed to help solidify the country’s position on the global stage. Sure, there’s the other liquid gold underground that could sustain them for a millennia but they want to win the hearts and minds of the average Joe and Joanne around the world. Our contribution of Sipside (among a plethora of other Saudi brands we’ve created) is one more solid brick in the foundations of KSA’s future.

So, rhetoric and posturing aside, what have I got to share with you? Well, it’s been a 3-year adventure into the Saudi coffee sector and here’s what I’ve picked up:

• If you want to launch a consumer brand in the Middle East, Saudi Arabia is a great starting point because of its initiatives that flood down from the top. There’s a real entrepreneurial spirit in the country and the wheels of change are turning in favour of commercialism.
  
  

• Saudi Arabia has a remarkably young population (over 70% are under 30 years old last time I checked) and they are highly socially active. If you’ve got a vibrant brand with a quality product that’s marketed well, it’ll launch and spread successfully.
  
  

• Things happen at a gentler pace so you can expect Saudi entrepreneurs and founders to be more amicable, leisurely and appreciative than their European counterparts. Calls and meetings always involve warm, friendly intros and outros with compliments of a professional and personal nature exchanged like
  
  

• You’ll need a strong creative team designing and strategising social posts because photography will be lacking. Photos of Sipside are deceiving because they often show an empty albeit beautiful cafe. However, this is because taking pictures of customers is generally a no-go, which is a shame from a marketing point of view but something we certainly compensate for with our creative, designed posts.
  
  

• A winning formula lasts long. So, in other markets, it’s common to refresh marketing strategies and head back to the drawing board on a regular basis to keep your customers engaged and interested. The lifecycle of a campaign, a theme or a style is much longer in Saudi Arabia but this might change as commercialism rises, possibly turning contentedness into
  
  

• Saudis are not loyal to a particular coffee shop so there’s no point banging that ‘we’re the best, forget the rest’ drum. However, due to the amount of coffee they consume, you can expect your shop to be in their daily visit so it’s still worth introducing reward schemes and creating a community vibe around your brand.
  
  

• PR opportunities are extremely limited so word of mouth is an integral driver of growth. This puts extra scrutiny on the in-store experience and the brand positioning of digital assets (website and socials). It’s paramount to have clear, easy-to-follow but well-thought-out strategies and blueprints in place covering tone of voice, content, styling, uniforms, merchandise and more. Everything needs to be absolutely on-point because every in-store and online interaction is worth 10x more than it would be in a European coffee shop, for example.