Cars, cosmetics, electronics are some of the economic sectors that are growing in the United Arab Emirates (UAE). Market research Abu Dhabi shows that Emiratis has high welfare.
UAE’s GDP per capita is 37,622 USD. UAE median age is 30,3 years. With that statistic (GDP and median age), the UAE has young and wealthy consumers. Store (physically) is the main place for Emiratis to buy a product.
Market Research Abu Dhabi E-Commerce ss Expected to Continue Growing
Most of them like to visit the store to find information about the product they need to buy. The store is the primary source for Emirati to find specific information for the product they want to buy.
For a country that had all the characteristics for an online market to grow, e-commerce business in UAE is relatively slow to grow. Most of the Emirati are tech-conscious and living in urban areas.
Market research Abu Dhabi shows that the transportation and logistics infrastructure is more than enough to support the growth of the e-commerce market.
On the contrary, based on market research Abu Dhabi, Emirati prefers to shop at the store than shop online. There is some reason why that phenomenon happen.
- They prefer to visit a store mostly because the store location is usually is in the mall. They like to see a product first. In an online shop, you can’t touch the product. There is some worry about the different qualities between a product on the computer and the product in reality. A mall is also an entertainment and social destination from Emirati. Most of them enjoy shopping at the mall.
- They prefer to pay in cash. Some of them hesitate to buy a product online because of the payment method. Credit card fraud and other financial-based crime possibilities make them prefer to choose cash on delivery payment.
- The last reason why they prefer to buy in a store than buy online is the convenience to return the product if there is a problem with the product itself. If you buy from a store and you aren’t satisfied with the product quality you can go back to the store where you bought the product and complaint about it. A difference situation happens when you buy online. Returning the product won’t be as easy if you buy from a store.
There is hope when Amazon acquire Soup (biggest e-commerce in the region) in 2017. There is an expectation that the e-commerce market will grow after that.
Marketresearchabudhabi.com shows that the increasing of mobile device users and the population that has more interaction with the outside world will contribute to the growth of the e-commerce business. There is optimism that the e-commerce business will continue growing in the UAE.