The global trade environment remains turbulent, with the Trump administration’s continued protectionist focus on “America First” leading to the reinstating and threat of higher tariffs on many countries and industries. Against this volatile backdrop of risks and deep uncertainty surrounding tariffs, policy reversals and trade restrictions, reassessing reliance on the US market and diversifying into alternative consumer markets has become the top strategic imperative for international businesses. This article provides a data-led guide to where businesses should look next and why, using Euromonitor’s Alternative Market Opportunity Index.
High-potential markets to act on now
To help businesses pinpoint the most promising consumer markets beyond the US, Euromonitor International has developed an Alternative Market Opportunity Index, which ranks consumer market attractiveness across major economies, using four metrics that together provide a holistic view of how consumer-orientated a market is, how receptive it is to international brands, and how much spending power households have. Each metric was normalised on a 0-1 scale and weighted based on its strategic relevance:
While the US remains unmatched in scale, growing uncertainty about its reliability and profitability compels businesses to look beyond size to assess opportunities
Source: Euromonitor International
The index scores revealed Hong Kong, the United Arab Emirates (UAE), and Egypt as the top three high-opportunity markets worth immediate executive attention:
- Hong Kong stands out for its high-income, urban consumer base and well-established role as a re-export hub for global expansion. Its world-class logistics and free port status make it a gateway for scaling international strategies, especially into affluent North Asia. Beyond its trade advantages, Hong Kong offers considerable opportunity, with real consumer expenditure projected to grow relatively strongly between 2025 and 2030 in categories such as alcoholic beverages and tobacco (13.8%), health goods and medical services (12.3%), and household goods and services (12.1%). However, the outlook is not without caveats, as the high cost of doing business may deter new entrants. As such, Hong Kong is better suited for businesses targeting a premium positioning, brand elevation and regional influence, rather than pure scale.
- The UAE is a regional powerhouse, with a high proportion of wealthy and foreign citizens and a high level of import dependency. In 2024, the median disposable income reached USD101,053 per household, ranking just behind the US and Switzerland. The UAE’s robust economic performance, vibrant retail sector, diverse and globally-minded population, and favourable logistics infrastructure make it an attractive market and a key entry point into the broader Middle East region. Competition in the UAE can, however, be intense, especially in industries such as premium beauty, fashion, and consumer foodservice, where market saturation limits room for new entrants and demands clear differentiation.
- Egypt features high on our Index due to its consumption-driven economy, with consumer expenditure accounting for 89.2% of GDP in 2024. While income levels remain modest, the scale of domestic demand and the expanding middle class offer opportunities for affordable consumer products across multiple categories. However, in navigating Egypt’s markets, businesses must contend with currency fluctuations and high inflation (projected at 15.2% in 2025, down from 28.3% a year earlier), which present challenges to pricing strategies, cost control and demand forecasting.
Turning market signals into strategy
While it is tempting to interpret an index score as a final answer, the key is to use the Alternative Market Opportunity Index as a filter to challenge assumptions and build bold strategies:
- Use the Index to challenge existing assumptions about where growth comes from: emerging markets may offer greater opportunities than saturated developed markets – perhaps due to expanding middle classes or mass-market potential. For example, Mexico ranks ahead of Germany, despite its lower income levels, due to its stronger consumer orientation, greater openness to imports, and more robust income growth.
- Leverage high-scoring markets for regional strategies: make Hong Kong, the UAE or Mexico anchor locations for surrounding geographies. This supports expansion and scalability, while reducing exposure to any single dominant market, such as the US.
Beyond the Index: Building future-ready growth strategies
While the Alternative Market Opportunity Index provides a clear starting point, long-term strategic success requires due diligence and deeper intelligence to manage risks and assess opportunities. Global businesses can uncover opportunities by combining mixed research methods – such as advanced analytics and modelling, consumer insights and trade interviews – with datasets such as:
- Trade flows and import dependence by industry, to pinpoint which products and services each market actively sources internationally (check out Euromonitor’s Tariffs and Trade Dashboard);
- Income, expenditure and demographic forecasts to anticipate future demand shifts;
- Business dynamics to evaluate the ease of market entry, capital investment viability and operational risks.
The right mix of data, intelligence and capabilities will determine who can build resilient, diversified and future-ready global footprints. Ultimately, the ability to proactively identify new consumer markets – and align strategy accordingly – will set apart companies that grow through volatility and disruption.
Read our report How Trump’s Economic Policies Affect Industries and Consumer Markets for in-depth analysis on the US economic policies, case studies and strategic recommendations.