What Are the Most up to Date E-commerce Trends in UAE?
Quick Analysis on E-commerce Market in UAE
With a revenue of US$6.5 billion in the year 2020, United Arab Emirates is ranked at no. 30th with the largest e-commerce market leaving behind Denmark and Colombia. The e-commerce market of the emirates pays its contribution through a remarkable growth rate of 26%, with an increase of 38% in the year 2020. Along with the emerging new market, the revenues for ecommerce continue to increase, at the same time giving a booster to existing markets, which has the potential to grow in the future. Therefore, in the next few years, global growth will increase and maintain its position.
Leading Online Stores
Amazon ranks as the smartest yet biggest player in the e-commerce market of emirates. He gave a revenue of approximately US$338million in the year 2020. Namshi.com zoomed at the second number with a revenue of US$144, whereas noon.com was shining at number third with US$129 million revenue. As a result, the contribution of all three online stores makes a good 10% of online revenue. The store’s ranking depends on the amount and quality of the revenue contributing to the country’s e-commerce market. These online stores in Ajman media City in the UAE can function with complete focus either domestically or globally.
Mumzworld.com is the new fastest rapid growing store in the land of emirates. The sale exceeded revenue of about US$38.3 million in 2020. The revenue growth in the previous year was 56%.
Newest E-Commerce Trends in the UAE
The year of COVID-19, also known as the pandemic, brought bundles of hassles, losses, and downfalls of the tycoons globally. The last thing to think about is the prompting opportunities in such a situation. But as we observe the e-commerce market of UAE, it is surprising to know that the business in the emirates was boosting. Taking a closer look at the world of e-commerce, it was the fastest-growing sector in the UNITED ARAB EMIRATES, which got a great boost from the current situation.
Revolutionized Growth of E-commerce in the UAE Due to Social Distancing
With social distancing campaigns happening worldwide, people have become habitual of following it. As a result, the masses prioritize online shopping over being physically in the markets and malls. As per the recent surveys and Dubai police, almost 68% of people said they prefer shopping online compared to physical stores. The current situation clearly states the future of retail in the UAE and the rest of the world.
Confidence Of Masses in Digital Transactions
In the beginning, when the pandemic happened, the major reason behind the spread of the virus appeared to be the transfer of cash from person to person. As a result, consumers avoided using cash and opted for online transactions and shopping since it was the only safe option. The new habit turned out to be a wave of a revolution in the e-commerce market of the UAE. Even the skeptical consumers who used to hesitate in using digital transactions now warmly welcomed the new habit.
At the same time, more people are using digital wallets and cards instead of cash-on-delivery.
The trend of online shopping and digital transactions has become a habit of the people of the UAE.
Stepping Towards Digital Revolution
As per the world economic forum, the e-commerce market of UAE struck an astronomical USD 27.7bn, with exact growth across MENA. Therefore, it is now proved that e-commerce is now the most money-spinning and profitable sector in the current pandemic and displays a bright future. Moreover, the joyful part is that it is now extremely easy to become part of this digital revolution. Almost anything can be traded online, products, services, and even ideas. Also, it requires a very less initial investment. There is a list of different ways to set up an e-commerce based business in the UAE. There is a variety of packages offered depending on the plan.
When we say that e-commerce does not require a whopping amount for investment, it means that one can test the market first by just using the option of drop shipping which allows selling and posting in-demand products online, and somebody else will redeem it for them. And then someone will further continue it. Moreover, to bring it into the process, one can begin working from a co-working space in UAE, and after it works out, one can expand their workspace as per their requirement.
Upcoming New E-commerce Marketing Trends
It is a revolutionized world with transformed patterns of businesses, education, and lifestyle patterns. Along with many upcoming massive changes in the world of business in the UAE, let’s see what is in the loop for e-commerce marketing.
A few experts have recently identified a few upcoming new trends;
Good content needs to be displayed wisely. Social media apps and platforms being one of the leading and most seen things prove that they hold the ability to advertise anything in the most creative and quickest ways. They have the potential to spread it to the masses in no time. They work as sales channels, definitely a very important role in branding. These social apps also integrate the option to shop on the same platform. Recently, a popular app called Instagram allowed users to purchase directly from their platform with just one click on their displayed reels. A mere 15-second video publicizes and promotes the product or brand like anyone else. Creativity at its peak! Other than that, various more apps are current;y contributing to advertising the brands and newly launched products with immensely creative content.
As per the surveys, 36% of users between 26 to 36 depend completely on social apps for shopping and use the “shop now” feature very frequently. How Effectively Do Business Blogging Increase SEO
The future demands a good productive storytelling component to sell a product. Interactive videos, voice content, and descriptive text elaborate the product’s details and hold a convincing factor to persuade the purchaser. Good rich content doubles the price and quality of the product. The brief expert states that the content is supposed to be extremely powerful and impactful, it must hold the ability to catch the purchaser’s eyes. Describing and launching a new brand or product with immense competition in the market already can only be sold out over hardcore advertising properties. A strong and stirring content leaves a strong message in the purchaser’s head. Good story-based content is the real game-changer.
Local Inventory Ads
Local product listings are digital channels to target potential customers nearby. Ad campaigns by local inventors show the availability of a product in the provided store. Local inventory ads show the availability and possibility of conversion as they are designed based on the user’s behavior.
The metamorphosis path is rarely linear. More often, it is a highly varied and heterogeneous path, influenced both by the funnel stage where the brand interdicts the user and by the different ways the user experiences the advertising message.
Conclusion: E-Commerce Trends Expected to Continue
Almost 48% of respondents from the UAE and 75% from the rest of the world agreed that they would continue online shopping and digital transactions.