E-Commerce Growth in UAE

E-Commerce Growth in UAE.jpg

In 2021 eCommerce web design UAE , experienced a very strong growth, so much so that last year it can be considered as a real turning point in the “digitization” of trade in our country.

The Coronavirus pandemic has indeed put the “turbo” on the spread and use of eCommerce business, but above all it has forced a large part of UAE residents to resort to a whole series of online shopping and delivery services that they would never have taken into consideration.

It was, after all, a sort of cultural revolution which, supported by the needs and by the various restrictive measures, brought down a wall of fear and even cultural rejection that Emirati’s have always shown towards online purchases.

This means that new purchasing behaviors are already in place that will push more and more companies in UAE, over the next few months, to have to reinvent themselves and change their business models, also because the numbers speak for themselves.

GROWTH IN E-COMMERCE TURNOVER

In 2019 alone, the value of eCommerce turnover in UAE was estimated at 48.5 billion Dirhams , with a growth of 17% compared to the previous year.

To tell the truth, speaking exclusively in terms of absolute numerical values, this is a slightly lower percentage compared to that of 2018, when eCommerce web design UAE turnover had grown by 18% compared to the previous survey. However, it should be noted that in a decade the turnover has quadrupled, going from 10,037,544,000 dirhams in 2009 to 48,546,741,581 dirhams in 2019.

E-COMMERCE IN UAE

Pending the new report that can show us what the effects of the pandemic on eCommerce in UAE really were, based on the data of the previous survey we know that, currently, 12% of UAE companies operate in eCommerce, 79% of which do so in the consumer sector.

Therefore, both values are expected to have reached much higher values in 2021. This is a rather predictable forecast, precisely because the emergency situation that arose a few weeks from the beginning of last year, gave an important boost to the use of online purchases. Many realities, even the most modest ones and present in the smaller localities of Ajman, have been forced to provide online sales services that they would never have taken into consideration . Many companies, which already contemplated eCommerce
sales (through the most famous digital marketplaces or thanks to their own e-shop sites or social channels) have seen the latter become the main source of revenue, with many companies completely revolutionizing their business model.

These changes on the sales side first followed, and subsequently accompanied, the demands and needs of consumers, who too were forced to resort to web designing companies in Dubai for daily purchases.

It has been a real boom for eCommerce referring to sectors such as food, services, consumer electronics and entertainment , while sectors such as clothing and especially tourism (formerly masters of the eCommerce scene in UAE) had to deal with a worrying decline, a negative situation partially mitigated by the reopening, more or less generalized, which took place in the summer months of 2021.

To all this must be added the birth of many new companies, especially start-ups and micro-companies, which have taken advantage of the difficult moment given by the Covid-19 epidemic to debut directly on the eCommerce market. Just think of all those companies dedicated to the trade of masks and personal protective equipment, including customized ones.

A GROWTH THAT COMES FROM AFAR

Based on what has been said so far, it is clear how Web Development Companies in Dubai at the time of the Coronavirus has “benefited” from the emergency situation.

However, it is important to keep in mind that this growth made up of important numbers had already been underway for at least a decade , with UAE residents - especially the new generations - much more comfortable with online purchases.

 
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