Deloitte has revealed the latest findings from the Digital Consumer Trends 2025 report, providing key insights into how consumers in the UAE and Saudi Arabia interact with digital technology, media, and communication. The study, which surveyed 2,000 consumers aged 18 to 50 from both markets, highlighted the growing reliance on generative AI technologies, the continued dominance of smartphones, increased interest in connected devices, and a shift towards social commerce.

The results show a significant increase in AI usage, with 58% of participants reporting they have used generative AI tools such as ChatGPT or Google Gemini, a much higher rate compared to the UK or European markets. The report also notes that 73% of consumers in the UAE and Saudi Arabia made a purchase via social media in the past year, reflecting the growing impact of influencer-driven shopping experiences.

Consumers in the UAE and Saudi Arabia are adopting AI-powered tools at a rapid pace, with 55% of generative AI users engaging with these tools weekly or daily for personal, educational, and professional purposes. However, 20% of participants remain unfamiliar with AI technologies. Privacy remains a major concern, especially among irregular users, with a quarter of respondents citing privacy as their top concern.

Smartphones Lead the Way

While smart home device adoption remains limited, smartphones continue to be the primary digital device in the region, used daily by 96% of consumers. Meanwhile, 89% of consumers in the UAE and Saudi Arabia plan to purchase a new connected device within the next 12 months, with smartphones, smartwatches, and laptops topping the list of most sought-after categories. However, smart home device adoption is still in early stages compared to Western markets, despite growing interest in connected living solutions.

Social Media is the Top Choice for News and Shopping

News consumption habits have shifted significantly, with social media surpassing traditional media as the main source for current events. 56% of consumers rely on social media for news, while 30% watch news on television, and 22% visit online news sites. The report also highlights growing concerns about online misinformation, with 48% of consumers in the UAE reporting they encounter false information more frequently than last year.

The influence of social media on consumer behavior has reached unprecedented levels, with 73% of participants completing at least one transaction via social media platforms in the past year. Social commerce is gaining momentum as the preferred method of online shopping, supported by influencer recommendations and affiliate marketing links.

The report shows that although more than half of consumers in Saudi Arabia and the UAE subscribed to video streaming services in the past year, rising subscription costs have led to increased cancellations. Reasons for cancellation included low usage (21%) and cost (20%). Additionally, 47% of consumers were affected by streaming platforms’ measures against account sharing features.

Commenting on the findings, Emmanuel Duro, Partner responsible for Technology, Media, and Telecommunications at Deloitte Middle East, said: “The UAE and Saudi Arabia are leading the digital transformation, with consumers adopting AI technologies, mobile-centric lifestyles, and social commerce at remarkable rates. This is evident from the impressive adoption rates of generative AI and connected devices in both countries. These trends reflect the tech-savvy population in the region and significant investments in infrastructure and digital transformation.”

He added: “This transformation presents opportunities for companies to rethink customer engagement strategies, especially as AI continues to reshape how consumers search, shop, and interact online. It provides a clear roadmap for businesses looking to capitalize on these promising markets. However, as reliance on digital platforms grows, so do concerns about privacy and misinformation. Organizations must balance innovation with trust to meet the ever-evolving expectations of today’s digital consumer.”

The Digital Consumer Trends 2025 report highlights the rapidly evolving landscape in the Middle East’s technology, media, and telecommunications sectors. With increasing adoption of generative AI, expanding social commerce, and changing digital content consumption patterns, companies must keep pace with these shifts to remain competitive.