Young Muslim consumers drive halal market beyond religion to wellness, ethics and values

The global halal consumer market is evolving beyond religious standards into a complex consumption landscape that encompasses wellness, ethics and values-driven purchasing, a new report shows. Sensitivity to halal certification is rising particularly among young Muslim consumers, prompting calls for Korean companies to develop tailored market-entry strategies that reflect country-specific and generational differences in consumer behavior.

According to a report released Saturday by the Korea International Trade Association (KITA), the halal consumer market is expanding from its traditional base in food into non-food categories such as pharmaceuticals, cosmetics and baby products. The report also found that halal is emerging as a new consumption trend among non-Muslim consumers, who are drawn to it for reasons of health, hygiene and ethical purchasing.

In a survey of 1,200 consumers across five major halal markets, 78.8 percent of respondents said halal certification was an essential factor when buying products. Among consumers in their 20s and 30s, that share rose to 82 percent, indicating that younger consumers are leading halal consumption culture.

By country, the share of respondents who ranked halal certification as their top consideration when making a purchase was highest in Indonesia at 59.8 percent, followed by Malaysia at 58.8 percent, the UAE at 50.0 percent and Saudi Arabia at 41.7 percent — with Southeast Asian markets outpacing the Middle East. Certification sensitivity also varied significantly by product category. Only 2.2 percent of female respondents said they were unaware of halal certification when buying baby products, compared with 18.0 percent for beauty products.

Awareness of Korean products and purchase experience were also high. Some 83.0 percent of respondents said they had bought Korean consumer goods, and 66.2 percent said hallyu content had influenced their purchasing decisions. However, the most common reason cited for not buying Korean products was limited availability and distribution access, at 46.1 percent. The report said hallyu is effective at generating initial interest, but that securing distribution access and expanding product experience are necessary to sustain actual purchases.

The report identified four key trends shaping the halal consumer market — regionalization, digital innovation, consumption segmentation and ESG-driven values purchasing — grouping them under the acronym R.I.S.E. It described halal consumption as evolving toward environmentally friendly and ethically grounded purchasing.

The report recommended that Korean companies targeting the halal market move away from a one-size-fits-all approach and instead develop strategies that account for country-specific consumption characteristics, generational purchasing tendencies and product-level certification sensitivity. Key strategies proposed include empathy-driven marketing aimed at young Muslim consumers, clear product positioning by country and consumer segment, securing offline distribution networks through localization and collaboration with local companies, and staking an early position in niche, high-value-added categories such as baby products and health-related goods.

Park Jin-woo, a team leader at KITA, said interest in Korean products among young halal consumers is growing on the back of the hallyu wave. "To convert that interest into actual purchases and repeat buying, distribution network development and localization strategies must go hand in hand so that local consumers can experience the products directly," he said.

Meanwhile, KITA opened "KITA K-Halal Bridge" offices at its UAE and Jakarta branches in June. Through these offices, the association plans to provide consulting services addressing step-by-step challenges in exporting halal products — including certification, licensing and market access — while strengthening outreach to local governments and related agencies to support Korean companies entering the halal market.

Earlier, KITA opened a premium showcase space called "Aura" at Coex in Samseong-dong, Gangnam-gu, Seoul, in May to help small and independent Korean consumer brands expand their overseas reach. The space serves as a promotional and hands-on exhibition venue for K-beauty and food indie brands.

At the time, KITA set up a dedicated zone for halal-certified products to accommodate Muslim visitors and placed QR codes on displayed items linking to their pages on overseas e-commerce platforms, allowing on-site experiences to translate into actual purchases.