Why is International E-commerce in the Middle East Booming?

06 december, 2019
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The Middle East presents a unique, multi-faceted opportunity for international retailers who are looking to tap into rapidly expanding markets.

With online sales reaching $80 billion last year and an overall growth rate of 11% forecast by 2022, it’s clear to see that e-commerce business is booming in this region.

It’s a fascinating blend of major e-commerce destinations such as the United Arab Emirates, and emerging markets such as Morocco, with each country displaying their own unique characteristics.

So why are e-tailers discovering great success in the Middle East?

  • Progressive trends

    When it comes to e-commerce, the Middle East is undoubtedly a forward-facing region with progressive trends. Not only is it a relatively young region for e-commerce, being a market that has almost doubled in size in just a few years, but its shoppers are young too: the population is 227 million, with nearly half aged between 25 to 54. The situation is aided by government support and changing attitudes towards shopping as a leisure activity. As a result, e-commerce user penetration will grow to nearly 60% by 2022, proving that e-commerce is constantly growing in this region.
  • Less competition

    Being a comparatively newer e-commerce region, online retailers can take advantage of the fact that the competitive arena is still forming, which means there is more space for you to establish your brand. This allows your company to be a trendsetter too and, with careful market research, you can introduce products and services that could potentially sweep across a country. If you’re an ambitious entrepreneur, then the Middle East is the perfect destination to launch your ideas!
  • Booming markets

    The Middle East contains some extremely rich countries with high-spending consumers, with very high per capita income across the region and much of the wealth directed towards consumer goods. International retailers who sell to different nations of the Middle East gain access to populations with immense shopping power:
    • E-commerce sales in Qatar have grown by over 300% since 2013.
    • The yearly e-commerce spend in Jordan is $200 million.
    • The majority of UAE shoppers buy from other countries online (60%).
    • Nearly 80% of the Saudi Arabia online population are e-shoppers.
    • The internet penetration of both Kuwait and Bahrain is close to 100%.
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Asendia and the Middle East

Asendia has a range of e-commerce delivery solutions in the Middle East in partnership with Oman Post and Israel Post, enabling you to sell to this region with maximum efficiency. We can provide you with an end-to-end service that helps you build a loyal customer base, while our infrastructure and knowhow ensure that delivery here is fast and reliable for your customers – as well as being cost-effective for you.

Contact us today and let Asendia help you succeed in expanding to these exciting new markets.

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