89% of UAE customers are digital converts to e-commerce

Since the pandemic, 89% of customers in the United Arab Emirates and 91% of customers in the Middle East and North Africa have become digital converts and intend to continue buying everything online, according to Sitecore.

YouGov MENA surveyed more than 650 IT decision-makers in 12 countries spanning the Gulf Cooperation Council, the Levant, and Egypt for the study. According to recent research by MarketLine, the Middle East’s e-commerce industry reached USD 12.1 billion in 2020, indicating 53.8% year-over-year growth, fueled by COVID-19’s stay-at-home economy. Electronics and retail brought in USD 5.2 billion, accounting for 42.5% of the entire market.

Customers are placing a greater focus on the customer experience as e-commerce continues to develop. Customers will browse away from a site and pick an alternative if they can’t get what they need in only a few clicks, according to 90% of UAE IT decision-makers since the epidemic. Furthermore, 87% of UAE respondents stated that sluggish or badly functioning websites irritate their consumers.

“With 89% of UAE customers and 91% of MENA customers being digital converts to e-commerce, the region is seeing a rapid transition from bricks and mortar stores to hybrid and e-commerce models,” said Mohammed Alkhotani, Area Vice President – Middle East and Africa, Sitecore. “Millennials and Generation Z customers have quickly shifted their significant spending power online. Pressure will continue to mount on retailers until they can deliver an experience that delights.”

In the United Arab Emirates, brands are adopting a number of steps to improve the shopping experience. The majority of respondents (60%) said an online app or website that performs well on mobile devices is one of their top three options.

Brands remembering customers’ purchasing history and preferences (33%), offering preferential treatment in the form of special offers and invites (42%), and knowing the name during login or customer support all scored strongly in the top three options (35% ).

“Brand loyalty has evaporated and there is no margin for error from browsing through to delivery,” added Mohammed Alkhotani. “Brands in the UAE are already ahead of the curve in prioritizing mobile apps and websites to personalize online experiences.”