United Arab Emirates Ecommerce Market Opportunities Databook - 100+ KPIs on Ecommerce Verticals (Shopping, Travel, Food Service, Media & Entertainment, Technology), Market Share by Key Players, Sales Channel Analysis, Payment Instrument, Consumer Demographics - Q2 2023 Update

According to the publisher, the Ecommerce market in United Arab Emirates is expected to grow by 14.80% on annual basis to reach US$30.7 billion in 2023. The Ecommerce is expected to grow steadily over the forecast period, recording a CAGR of 11.12% during 2023-2027. The Ecommerce gross merchandise value in the country will increase from US$26.8 billion in 2022 to reach US$46.8 billion by 2027. With the pandemic-driven shift to online shopping channels in the United Arab Emirates (UAE), the industry is projected to keep continuing on its growth momentum over the next three to four years. The loyalty and reward schemes offered by retailers in the region are partly fueling the growth of online shopping in the Emirates.
Apparel, footwear, personal care, and beauty, are among the different categories that are showing strong growth potential over the next few years. With domestic and global players looking to capitalize on the growing Ecommerce market, the publisher expects infrastructure investment to grow significantly over the next three to four years in the UAE. This along with the rising social commerce momentum will keep supporting the growth of the overall Ecommerce Ecommerce market in the Emirati from the short to medium-term perspective.

Firms are investing in fulfillment centers to serve the growing Ecommerce market in the UAE

Fulfillment centers are integral for a successful Ecommerce market. With the industry reporting year-over-year growth and projected to keep continuing its strong growth over the next few years, firms are making a significant investment in fulfillment centers. Earlier in 2022, Amazon opened the largest fulfillment center in the country to further accelerate its growth. Now, its competitor had announced an even bigger fulfillment center in the Emirates.

• In November 2022, Noon, the Dubai-based online marketplace and Amazon competitor, signed an agreement with the Abu Dhabi Investment Office to build the largest fulfillment center in the country. The 252000-square-meter facility will serve the growing Ecommerce market and is scheduled to open in 2024. The transportation and warehousing industries, which are key to the success of the Ecommerce sector, are also projected to benefit from the partnership between Noon and the Abu Dhabi Investment Office.

The Noon fulfillment center will enable both domestic and international brands to reach their customers across the Middle East, Europe, and Asia. Furthermore, the investment in developing the infrastructure capabilities, which will introduce new automation technologies, will also accelerate the growth of the Emirati Ecommerce market over the next three to four years.

Food delivery firms recorded strong growth in order volumes during the FIFA World Cup event in Q4 2022

Consumers in the Emirates have ordered groceries and food online in significant numbers during the FIFA World Cup event held in Q4 2022 in Qatar. Along with the order volume, the average value for food delivery also increased during the event. Notably, the order volume would have been even more significant, had Zomato UAE did not cease operations in between the event.

Along with food and grocery delivery, the demand for ride-sharing services was also high during the event. To cater to the influx of football fans traveling to attend the event, Careem, a Dubai-based food delivery, and ride-sharing platform, added more than 1,000 cars to its service. The firm also offered intercountry rides to provide a more hassle-free travel experience to global travelers visiting the region for the FIFA World Cup event.

Localization will play a pivotal role in unlocking the Ecommerce growth potential for global brands and players

Domestic Ecommerce firms accounted for the majority of the total sales in 2022. This shows that homegrown retailers have a competitive edge over international competitors. With the trends projected to be similar in 2023, localization will play a pivotal role for global brands that are seeking to unlock growth in the UAE market.
Many of the global brands have already partnered with local players to benefit from their knowledge, expertise, and regional presence. Over 120 brands have partnered with GMG as they seek to drive their growth and presence in the Middle East market. With the retail sector in the UAE differing from that of the West, especially from a social and cultural viewpoint, partnering with local firms and seeking localization will remain an important strategy for most global players over the next three to four years.

This report provides a detailed data centric analysis of Ecommerce market dynamics, covering over 100 KPIs in United Arab Emirates. It details market opportunity across key Ecommerce verticals - Retail Shopping, Travel & Hospitality, Online Food Service, Media and Entertainment, Healthcare and Wellness, and Technology Products and Services. It provides market share by key players across key verticals along with sales channels (Platform to Consumer, Direct to Consumer, Consumer to Consumer). In addition, it provides spending pattern by payment instruments along with a snapshot of consumer behaviour in United Arab Emirates.

The report also covers niche trends such as market size by live streaming engagement model and cross border purchases. It also covers ecommerce spend share by operating systems, device (mobile vs desktop) and cities.

In addition, to detailed data-centric analysis, this report provides analyst commentary on key trends, drivers, strategies, and innovations in the Ecommerce industry in United Arab Emirates.

Scope

This report provides a detailed data-driven look at the United Arab Emirates Ecommerce industry, covering various segments and highlighting areas of interest across the verticals in the industry. In addition, it provides a comprehensive understanding of market dynamics and future forecast.

United Arab Emirates Ecommerce Market Size and Future Growth Dynamics

• Gross Merchandise Value Trend Analysis
• Average Value Per Transaction Trend Analysis
• Gross Merchandise Volume Trend Analysis

United Arab Emirates User Statistics and Ratios of Key Performance Indicators

• User Statistics
• Card Abandonment Rate and Product Return Rate
• Ecommerce Per Capita and GDP Per Capita
• GDP Per Capita Trend Analysis

United Arab Emirates Ecommerce Market Share by Key Players

• United Arab Emirates Retail Shopping Ecommerce Market Share by Key Players (Amazon, Dubizzle, Namshi, Noon, Sharaf DG)
• United Arab Emirates Travel Ecommerce Market Share by Key Players (Al Rostamani Travels, Careem, Dubai Taxi, Infinity Travel, Uber Taxi)
• United Arab Emirates Food Service Ecommerce Market Share by Key Players (Careem, Carrefour, Deliveroo, Talabat, Zomato)

United Arab Emirates Ecommerce Market Size and Forecast by Ecommerce Segments (Gross Merchandise Value Trend Analysis, 2018-2027)

• Retail Shopping (breakdown by clothing, footwear & accessories, health, beauty and personal care, food & beverage, appliances and electronics, home improvement, books, music & video, toys & hobby, auto)
• Travel and Hospitality (breakdown by air travel, train & bus, taxi service, hotels & resorts)
• Online Food Service (breakdown by aggregators, direct to consumer)
• Media and Entertainment (breakdown by streaming services, movies & events, theme parks & gaming)
• Healthcare and Wellness
• Technology Products and Services
• Other segments

United Arab Emirates Ecommerce Market Size and Forecast by Retail Shopping Sales Channel

• Platform to Consumer
• Direct to Consumer
• Consumer to Consumer

United Arab Emirates Ecommerce Market Share by Travel and Hospitality Sales Channel

• Market Share by Travel and Hospitality Sales Channel
• Aggregator App – Gross Merchandise Value Trend Analysis
• Direct to Consumer – Gross Merchandise Value Trend Analysis

United Arab Emirates Ecommerce Market Size and Forecast by Online Food Service Sales Channel

• Aggregator App
• Direct to Consumer

United Arab Emirates Ecommerce Market Size and Forecast by Engagement Model (Gross Merchandise Value Trend Analysis, 2018-2027)

• Website Based
• Live Streaming

United Arab Emirates Ecommerce Market Size and Forecast by Location (Gross Merchandise Value Trend Analysis, 2018-2027)

• Cross Border
• Domestic

United Arab Emirates Ecommerce Market Size and Forecast by Device (Gross Merchandise Value Trend Analysis, 2018-2027)

• Mobile
• Desktop

United Arab Emirates Ecommerce Market Size and Forecast by Operating System

• iOS/macOS
• Android
• Other Operating Systems

United Arab Emirates Ecommerce Market Size and Forecast by City

• Tier 1
• Tier 2
• Tier 3

United Arab Emirates Ecommerce Market Size and Forecast by Payment Instrument (Gross Merchandise Value Trend Analysis, 2018-2027)

• Credit Card
• Debit Card
• Bank Transfer
• Prepaid Card
• Digital & Mobile Wallet
• Cash
• Other Digital Payment

United Arab Emirates Ecommerce Consumer Demographics

• Market Share by Age Group
• Market Share by Income Level
• Market Share by Gender

Reasons to buy

• In-depth Understanding of Ecommerce Market Dynamics: Understand market opportunities and key trends along with forecast (2018-2027). Understand market dynamics through essential KPIs such as Gross Merchandise Value, Volume, and Average Value Per Transaction.
• Insights into Opportunity by Ecommerce Categories: Get market dynamics by sales channel to assess emerging opportunities across various segments.
• Detailed analysis of market share by key players across key Ecommerce verticals.
• Insights into Opportunities across key Ecommerce verticals: Retail shopping, travel & hospitality, online food service, media and entertainment, healthcare and wellness, and technology products & services.
• Develop Market Specific Strategies: Identify growth segments and target specific opportunities to formulate a Ecommerce strategy; assess market-specific key trends, drivers, and risks in the Ecommerce industry.
• Get Insights into Consumer Attitude and Behaviour: Drawing from proprietary survey results, this report identifies and interprets key Ecommerce KPIs, including spend by age, gender, and income level.