Despite plummeting tourism due to the US-Israel-Iran conflict, Dubai's local residents are maintaining strong demand for luxury goods. Queues formed at Chanel in Dubai Mall last weekend for Matthieu Blazy’s new collection, with items selling out quickly. Experts highlight the city's resilient consumer base of high-net-worth individuals.
Last weekend, queues snaked outside Chanel in Dubai Mall as shoppers awaited Matthieu Blazy’s new collection. Reema Ameer, a Dubai resident and fashion designer, waited over an hour and a half on a Sunday morning, only to find her desired ready-to-wear pieces sold out. The handbag section was also depleted, signaling robust local appetite despite the ongoing US-Israel-Iran conflict, which has seen Iran target the UAE and halt tourist traffic. Dubai remains known for its stability and concentration of high-net-worth individuals from Emiratis, Arabs, South Asians, Europeans, and North Americans. Stores have stayed open, buoyed by residents who continue spending. Footfall at Dubai Mall and Mall of the Emirates has dropped roughly 50% due to absent tourists, an analyst familiar with the data noted. Yet, aspirational buyers are shopping more intentionally, prioritizing investment pieces like Hermès and Chanel bags, Cartier, Tiffany, and Bvlgari jewelry. Ultra-high-net-worth clients remain unaffected, with some rerouting private jets via Oman for Paris Fashion Week. Eid Al-Fitr orders proceeded normally when the holiday began on March 19. Dubai-based Lebanese stylist Lama Jamal emphasized the cultural role of fashion: “Women here love dressing up, it’s part of our DNA. Many women in Dubai come from places like Lebanon, Syria, or Iran, where they’ve lived through periods of uncertainty, so they understand the importance of rituals.” Personal shopper Vasil Bozhilov observed: “In times of uncertainty, fashion doesn’t disappear, it actually becomes more intentional.” Emirati designer Sharifa Alsharif Alhashemi noted malls growing busy again, with active local shopping. Residents have shifted to staycations, with hotels like Banyan Tree offering discounts. Designers like Faiza Bouguessa pointed out that occasions drive shopping, now paused, but urged sensitivity to varied responses. Experts suggest luxury brands focus on locals through community events and collaborations with regional designers.
