UAE Shoppers Flock to Apps for 2023 Holiday Buys

In preparation for the annual end-of-year holiday shopping spree in the UAE, a recent study conducted by Cisco AppDynamics reveals a significant shift in consumer behavior. In 2023, a substantial 70% of UAE consumers are set to rely on mobile apps and digital services for their holiday shopping needs, compared to the previous year.

Based on a survey encompassing 12,000 consumers across 12 countries, including 1,000 respondents from the UAE, the research delved into consumer intentions, behaviors, and preferences concerning holiday season online shopping. UAE consumers, on average, anticipate that 68% of their holiday shopping expenditures this year will be conducted through mobile applications and digital services, a noticeable increase from the estimated 61% in the previous year.

The primary driving factor for this growing preference for online shopping is the perception among 52% of UAE consumers that they have access to a broader selection online compared to physical stores. Additionally, the ability to shop during working hours (34%), a desire to evade last-minute in-store panic purchases (32%), and the convenience of shopping beyond standard retail hours or at times suitable to them (24%) are significant reasons motivating UAE consumers to choose online shopping for the upcoming holiday season.

For online retailers in the UAE, this trend represents a substantial opportunity to attract new customers and bolster revenue. However, the expectations are higher than ever for brands to provide a seamless digital shopping experience. A considerable 77% of UAE consumers emphasized that a failure in the performance of the applications and digital services they use for holiday shopping would leave them feeling anxious and frustrated. Furthermore, a warning to online retailers came in the form of 68% of UAE consumers asserting that, regardless of the deals on offer, a subpar online shopping experience is unacceptable, with 72% stating that retail brands have a single chance to make a positive impression this holiday season.

James Harvey, CTO Advisor EMEA at Cisco AppDynamics

“Retailers who can combine enticing deals with flawless application performance in the upcoming months will gain a decisive advantage in attracting customers and driving sales.”

To mitigate this risk, they need to implement an observability solution spanning both cloud-native and on-premises environments. This solution allows technologists to monitor the health of essential business transactions dispersed across their entire technology landscape. Real-time insights from the telemetry data of business transactions enable technologists to swiftly identify the root causes of issues and expedite resolutions, ensuring that applications consistently operate at peak performance.”