Everything You Need To Know About UAE Market For Better Online Sales!
By: Rabia Tanveer
We all know that the UAE market is very fruitful for international business. Many multinational companies are making their own businesses in the UAE and they have been very successful. However, e-retailers who globalize their business are the real winners here.
- 63% of the UAE residents have shopped online in the past year.
- 55% of them have shopped online from international websites.
Where Do They Shop?
The people of Emirates like to shop from international platforms, and when they do, they prefer to shop from the companies belonging to the following countries:
- 17% of them shop from Indian e-retailers.
- 21% of them shop from USA e-retailers.
- 11% of them shop from Chinese e-retailers.
What Do They Shop?
The UAE consumer prefer to buy these items when they are using an international website:
- Clothing, Accessories, Footwear and Apparel – 39%
- Transportation and Travel – 49%
- Tickets (sports and otherwise) – 34%
How Do They Find You?
- 46% of the Emirate users go to the international websites they have used in the past.
- 35% of them go to the websites they have knowledge of.
- 41% of them use the websites that were recommended to them by their family and friends.
Cross-Border E-Commerce Revitalized
- 71% of the UAE international website consumers have used their cell phones to buy items.
- 29% of them have used their cell phones to make the payments.
What Urges Them To Shop Online Internationally?
These are the reasons that UAE consumers like to buy from international e-commerce websites.
- 44% of them like to shop online from international websites because of the free shipping.
- 36% of them like to shop internationally because of the authentic products.
- 42% of them do it because it is safe and protected.
What Turns Them Off?
What makes the UAE consumer stop shopping from international E-retailers?
- 43% do not shop internationally because they might not get the described product.
- 43% of them are concerned about counterfeit products.
- 42% don’t do it because of difficult return shipping procedure.
Why Do They Abandon Shopping Carts?
- 32% are concerned about postage and shipping being too high.
- 21% are looking for a better value/rate.
- 23% are concerned about the shipping time being too long.
- 21% did not find their preferred payment method listed.
Why Do They Return Your Products?
- 32% of the UAE consumers return the products bought form international e-commerce websites.
- 12% returned the product because they no longer needed it.
- 16% of them returned the product because it was not as it was described.
- 12% returned the items because they always intended to return the product.
Freight Forwarding – A Major Issue
- 24% of the UAE consumers use a freight forwarding company.
- 48% of the use the freight forwarding provided the website.
- 40% use a forwarding company because it is cheaper.
- 37% used the forwarding companies because the website did not ship to UAE.
- 30 of them wanted to combine purchases from multiple companies.
- 67% of the UAE consumers like to pay in their own currency than converting it to another.
Lastly, many of the UAE consumers don’t shop online because of the language barriers. They may like the products on your website, if they cannot find the information they need on your website, chances are they will not buy from you, ever. They will go to another website that provides information in Arabic. You can control this issue and even eliminate it by using Retail Translation Services. This is perhaps the most cost effective way to globalize your website and get more sales.