5 November 2024, Tue |
9:33 AM
According to a recent study conducted jointly by PYMNTS Intelligence and Visa Acceptance Solutions, the UAE stands out as the second-ranking country globally for shopping satisfaction. The report, titled ‘2024 Global Digital Shopping Index: UAE Edition’, surveyed 1,392 consumers and 212 merchants in the UAE from September to December 2023. It also drew insights from a broader survey involving 13,904 consumers and 3,512 merchants across seven countries.
The research highlights the growing trend of Click-and-Mortar™ shopping experiences, which blend digital tools with physical stores, replacing the dichotomy of online-only or in-store-only shopping. In the UAE, consumers are particularly keen on enhancing their shopping journeys through digital means, with an average of 14 different digital features being utilized. Notably, nearly 9 in 10 retail shoppers in the UAE depend on these digital tools for their in-store experiences.
Salima Gutieva, Vice President and Country Manager for the UAE at Visa, emphasized the importance of merchants aligning their digital offerings with the diverse preferences of consumers to deliver a high-quality shopping experience. Gutieva pointed out the correlation between the use of digital features and customer satisfaction, with Click-and-Mortar™ shoppers experiencing a significant increase in satisfaction compared to in-store-only shoppers.
Key findings from the survey include:
– 71% of UAE consumers integrate digital features into their shopping routines.
– The extensive use of digital tools enhances in-store shopping experiences and leads to high satisfaction rates.
– Preferred payment methods, mobile apps or mobile-specific sites, easy-to-navigate online stores, and digital access to product details and reviews are among the most valued digital features by UAE consumers.
– Despite the rise in the average number of features used by consumers, merchants offer one less feature on average compared to the previous year.
– There’s a gap between consumer demand and market supply of digital features, with 22% of desired features not provided by merchants and 22% of provided features not being utilized by consumers.
Although Click-and-Mortar™ adoption rates have plateaued in the UAE over the past three years, nearly three-quarters of shoppers still embrace online-only or hybrid shopping methods. Demographics, particularly Millennials and Generation Z, significantly influence shopping strategies, indicating a market demand for merchants to enhance their digital offerings.
The report also underscores opportunities for improvement, especially in the grocery sector, where digital feature adoption lags behind other retail segments. By catering to specific demographics, such as parents, who heavily rely on digital shopping features, merchants can meet the evolving needs of their customers and maintain high satisfaction levels.
