According to Global Blue’s January to December 2022 “Globeshopper Spending” report for Lebanon, average tourist spending in Lebanon slumped by 19% by end of year 2022 compared to the previous year of 2021 with lifestyle sector (spending below 300 euros) recorded the largest increase of 8% annually whereas the hard luxury sector (spending above 5,000 euros) dropped remarkably by 26%. However, it is important to note that the first half of 2022 witnessed a significant drop in average spending with the respective decrease of 54% and 59% for the first and second quarter while the trend surprisingly reversed in the second half to register an increase of 53% in the third quarter and a high of 85% in the fourth quarter.
The increase could be attributed to the positive development on the national fronts during the second half as well as a very agitated and promising summer for the private sector in terms of tourism.
Looking unto the spending distribution on a monthly basis, February, October and September witnessed a remarkable increase in spending with the respective upticks of 149%, 144%, and 89% while April and June recorded the largest drop during the year with low of 80% and 60%.
Furthermore, total transactions’ distribution by Sector slightly added 0.5% by December 2022 compared to the same period in 2021 with premium spending (between 300 euros and 750 euros) witnessing the highest increase of 4% by 2022. We also note that the Lifestyles sector constitutes 57% of the Total number of Transactions in the period ranging from January to December 2022.
Moreover, spenders from the Arab countries held 43% of total spending in 2022, with Emiratis, Saudis and Kuwaitis grasping shares of 17%, 6%, and 6% of total spending, respectively, while non-Arab spenders grasped 57% of total spending. In details, total spending evolution decreased yearly by 19% for all countries with Saudi Arabia and Kuwait being the only countries observing a positive spending in Lebanon for 2022 by the respective percentages of 19% and 6%. In more details, Lebanon perceived the highest trend from Saudi Arabia for lifestyle and premium spending while the highest trend for affordable luxury spending was from Qatar. Meanwhile, Kuwait and Syria grasped the highest trend in the respective luxury and hard luxury spending.
For the period extending from January to December 2022, 69% of shoppers’ spending was concentrated on Fashion & Clothing while 24% was spent on Watches & Jewelry. Overall, total spending dropped by 19% in 2022 compared to the previous year with sports equipment and clothing witnessed the largest drop of 49% while watches and jewelry spending had only 8% drop by the end of 2022. It is worth mentioning that spending in Beirut has captured 83% of total spending by regions, while Metn grasped 16%, and Baabda & Aley areas captured 1% only.
Average Spending evolution by sector in 2022:
Source: Global Blue