Brands Cater to Muslim Buyers

London, England - As politicians reach out to Muslim communities to secure their integration with rather than isolation from mainstream society, a growing number of businesses across Europe are doing the same.

Among the mainstream brands to have recently acknowledged the rising importance of Muslim consumers is Nokia, which has introduced the Ilkon i800, a mobile phone that directs users toward Mecca and tells them when to pray. Heineken, the Dutch brewing giant, meanwhile, has decided to roll out the nonalcoholic malt drink Fayrouz internationally.

In Britain, Lloyds TSB is the latest bank to introduce Islamic banking services, while GlaxoSmithKline has secured a statement from the country's Muslim Law Council that the company's Ribena and Lucozade soft drinks are halal, or in conformance with Muslim dietary law. And Sony Computer Entertainment Europe is supporting the British launch of PlayStation Portable with an exhibition of Arabic art this month.

The opportunity for businesses is highlighted by the recent success of niche brands that cater to Muslim consumers.

"Mainstream brands have ignored us for many years because we've not been very demanding," says Khalid Sharif, managing director of Ummah Foods, a British business that last year launched halal chocolate. "But 9/11 forced us to come out as a community. Muslims are upset at the way they've been treated by mainstream media. This has led to mistrust of many [media] outlets and, among younger Muslims, a newfound interest and pride in their culture and religious heritage, and a willingness to make a statement by what we buy."

Ummah Foods, which has identified market potential for more than 25 other Muslim food and drinks products, is promoting its halal chocolate to consumers through mainstream media, Muslim media and grassroots marketing in mosques.

Over the last few years, Muslim entrepreneurs have launched other niche brands including Mecca Cola and Qibla Cola. Muslim media in Europe have expanded to include television, newspapers, magazines and consumer websites.

Indeed, well before the current sociopolitical climate and concern about Muslim disengagement from wider society, mainstream brand owners were waking up to Muslim consumers' needs because of growth in the number of Muslims living in Europe. The Muslim population of European Union countries exceeds 15 million, according to estimates that suggest this figure will double by 2015.

"This is a young community which is growing in size and confidence fast," said Shazia Nizam, a marketing consultant at Presstop Creatives, a London-based Asian and urban youth marketing consultancy. "As with any fast-growing community with money to spend, there are clear opportunities for many brand owners, should they choose to target them."

Targeting consumers by their religion, however, is a sensitive area. At Sony Computer Entertainment Europe, Carl Christopher, the sponsorship and event manager behind the Arabic exhibition in London, insists PlayStation does not market directly to niche groups defined by sex, ethnicity or faith.

"We want to explore different cultures to devise new ways to engage with our audience," he explains. "Our interest in Arabic art and calligraphy isn't about targeting Muslims specifically. The appeal of our brand must be inclusive and far broader. We don't market by religion; you have to be sensitive to how people might react."

Another consideration is culture. Muslim consumers share a faith, but where their families come from also shapes their buying. But brand owners should not be put off, Nizam said: "The time is right for brands to acknowledge the impact religion can have on certain consumer groups' interests and behavior, too. Companies that make the effort to understand this market can only gain respect."