The world has transformed into a global village with distances shorten and things are on your finger tips. Online shopping is linked with this phenomenon, which allows a user to shop anything from anywhere online. Dubai is one of the hottest tourist destinations for business, shopping and holiday. Everyone wants to be in Dubai, and those who cannot, they shop online.
Online Shopping in Dubai encompasses some of the top e-commerce websites offering diverse range of products and brands to shop on reasonable prices. Shopaholics in the UAE are becoming selective when it comes to online shopping. According to a new survey conducted by YouGov company, since last three months an average user in Dubai just bought five items online. It is witnessed that around 43% of the shoppers dumping their shopping basket during that time. There are number of users who are of the opinion that online retailers are not offering sound discount packages.
Online Shopping in UAE is hard to resist especially for women when they got the opportunity to sit in front of their laptops and see amazing stuff with discounts deals. This is enough to make them go crazy, but it comes with some major challenges. It is indeed a broad horizon for shopaholics to experience hassle free shopping but it is still not risk free.
Dubai captivates the impulsive shoppers with attractive charges on bizarre items. The online shopping sites have configured their services to appeal consumers into entering a buyer binge. The industry leaders stated while addressing at London Business School, that UAE retail sector can visualize a blast of e-commerce in the upcoming years. A slow start in online shopping trend is forecasted initially but will change radically.
According to Ahmed Galal Ismail, Chief Executive Officer at Majid Al Futtaim- Ventures, Dubai observes lowest e-commerce penetration, with only 9% of shoppers in 2013 made online purchases in the past one year.
It is observed that most of the users are using internet for product search and comparing of prices of various competing brands rather than making online purchases. Mr. Ismail figured out that almost 83% of the users residing in the MENA log on to internet regularly and 53% of users makes online purchases. Almost 19% of total retail apparel in the MENA region will be online by 2030 as predicted by Euro monitor and Goldman Sachs. Net-a-Porter, online retailers regard Qatar and UAE among the top world markets for shopping.
The local retailers are following the global brands online as a response to the changing scenario. A former student of London Business School stated that online retailers are gaining market interest and will be able to grab market share from conventional retail. The conventional retailers have started giving more privilege to online shopping now, as compared to the past few years. This is a positive change as the online shopping channels provide service opportunity to the existing customers.
According to Mr. Ismail, as the local retail markets getting mature, it is anticipated online retailers like eBay, and Amazon extend their business to the UAE and the GCC. This will be encouraging and over whelming for the growth and development of e-commerce in the region.