Likes of Amazon and eBay boosting Middle East e-commerce


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Global websites such as Amazon and eBay are increasingly shifting their attention to regional markets in a bid to drive up sales, which is helping the Gulf’s e-commerce sector to thrive.

Last year 35 per cent of consumers in the Middle East purchased goods online, compared with 26 per cent in 2012, according to a survey conducted by MasterCard.

Furthermore, as 45 per cent of consumers made at least one online purchase in the first three months this year, the industry is expecting substantial growth.

“Players in markets like the US and Europe are looking abroad more and more, so delivery services are becoming easier,” said Aaron Oliver, the head of emerging payments for the Middle East and Africa at MasterCard. “Overseas brands are waking up a lot of local brands.”

The study looked at online customer habits in Saudi Arabia, the UAE, Lebanon, Qatar, Kuwait and Oman.

Among the most popular online purchases were airline tickets and other travel-related services such as hotel bookings. In Lebanon, however, groceries topped the list of the most common items bought online.

Souq.com was the most commonly visited site in the UAE, Saudi Arabia and Qatar, with Amazon following closely behind. This week Souq.com secured US$75 million round of investment from Naspers, a South African media and internet group. The website has 6.2 million registered users and receives 23 million visits per month.

“When we look at this overall shopping landscape, it is what you would expect. UAE, Saudi Arabia and Qatar are leading the way in e-commerce,” said Mr Oliver.

These countries enjoy particularly high mobile and internet penetration rates, better delivery services and a wider number of goods to buy.

A recent study from PayPal suggests the e-commerce market in the Middle East and North Africa region will grow to $15 billion by 2015, with 10 per cent of the transactions conducted via mobile devices.

thamid@thenational.ae

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What: 11th edition of the Mubadala World Tennis Championship

When: December 27-29, 2018

Confirmed: men: Novak Djokovic, Rafael Nadal, Kevin Anderson, Dominic Thiem, Hyeon Chung, Karen Khachanov; women: Venus Williams

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The Intruder

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Starring: Dennis Quaid, Michael Ealy, Meagan Good

One star

UAE currency: the story behind the money in your pockets
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From Zero

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SPECS

Mini John Cooper Works Clubman and Mini John Cooper Works Countryman

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2012-2015

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May 2017

The UK SFO officially opens investigation into Petrofac’s use of agents, corruption, and potential bribery to secure contracts

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Global state-owned investor ranking by size

1.

United States

2.

China

3.

UAE

4.

Japan

5

Norway

6.

Canada

7.

Singapore

8.

Australia

9.

Saudi Arabia

10.

South Korea

David Haye record

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Red flags
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Courtesy: Carol Glynn, founder of Conscious Finance Coaching

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The internal combustion engine is facing a watershed moment – major manufacturer Volvo is to stop producing petroleum-powered vehicles by 2021 and countries in Europe, including the UK, have vowed to ban their sale before 2040. The National takes a look at the story of one of the most successful technologies of the last 100 years and how it has impacted life in the UAE.

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Retirement funds heavily invested in equities at a risky time

Pension funds in growing economies in Asia, Latin America and the Middle East have a sharply higher percentage of assets parked in stocks, just at a time when trade tensions threaten to derail markets.

Retirement money managers in 14 geographies now allocate 40 per cent of their assets to equities, an 8 percentage-point climb over the past five years, according to a Mercer survey released last week that canvassed government, corporate and mandatory pension funds with almost $5 trillion in assets under management. That compares with about 25 per cent for pension funds in Europe.

The escalating trade spat between the US and China has heightened fears that stocks are ripe for a downturn. With tensions mounting and outcomes driven more by politics than economics, the S&P 500 Index will be on course for a “full-scale bear market” without Federal Reserve interest-rate cuts, Citigroup’s global macro strategy team said earlier this week.

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UAE currency: the story behind the money in your pockets
UAE currency: the story behind the money in your pockets
Labour dispute

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Profile of VoucherSkout

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Investors: Seed round was self-funded with “millions of dollars”