RIYADH: Saudi Arabia aims to enable five to 10 national brands to expand into global markets by the end of 2026, Khaled Al-Ghamdi, chairman of the National Franchise Committee at the Federation of Saudi Chambers, told Al-Eqtisadiah.
Al-Ghamdi said the target export markets include Europe, Russia, and Central Asia, noting that the brands operate across sectors such as food and beverages, retail, and services.
He added that more than 200 Saudi brands capable of international franchising have been listed on official platforms, while specialty coffee and innovative Saudi food concepts account for 60 percent of export demand.
Saudi Arabia controls two-thirds of the regional market
The Kingdom accounts for 60 percent of the franchising market in the Middle East and North Africa, estimated at $30 billion, while Saudi Arabia’s franchising market has exceeded SR60 billion ($16 billion), with expectations it will grow by 35 percent by 2030.
The number of franchising brands in the Kingdom reached 1,200 in 2024, reflecting an annual increase of 15 percent.
Franchising is a business model that allows individuals or companies to use the brand and operating system of an established and successful company in exchange for fees or a share of profits.
Under this system, the franchisor provides support in areas such as marketing, training, product development and management systems, while the franchisee manages day-to-day operations. The model is widely used across sectors, including restaurants, cafes, retail, real estate and education.
Franchising is widely viewed as an efficient way to expand businesses, allowing established brands to enter new markets with reduced risk, while enabling franchisees to start and operate businesses under recognized brands with operational and commercial support.
