Middle East eCommerce Continues To Blossom

According to an infographic created by Go-Gulf.com, there are 90 million consumers using the Internet in the Gulf region (namely Saudi Arabia, Kuwait, the U.A.E., Qatar, Bahrain and Oman).

In 2012, these digitally involved countries spent over $9 billion in online sales: a total predicted to jump to about $15 billion come 2015. The infographic illustrates the Middle East’s booming eCommerce growth while also breaking down pertinent data that reveals who and where shoppers are, what they are buying and how they are making payments.

Statistics And Trends

Middle East consumers are quickly catching up with those from other digitally advanced countries around the world, as the study indicates that in 2012, 90 million people from the region were using the Internet. Businesses are gaining momentum as well, with 15 percent reporting to be operating online. As previously stated, business-to-consumer (B2C) eCommerce shopping in the Middle East is expected to increase from $9 billion to $15 billion by 2015. Additionally, the use of smartphones has become pervasive, which is expected to inevitably effect consumers shopping on their mobile phones. MCommerce in the gulf is estimated to reach $4.9 billion by 2015.

Consumer Profiles

Go-Gulf.com identified the consumers who are shopping online and broke them down by age.  About 53 percent of online shoppers are older than 26 years, which represents the one of the two largest categories. The second largest group buying online are those aged 35 and over (also 53 percent). Following the top groups are those aged 26-35 with 52 percent, those aged 16-25 with 41 percent, and consumers less than 16 years old with 31 percent.

Gender-wise, males dominate in this category, as the infographic reveals that 68 percent of online shoppers from the Gulf are male. Female consumers finished far behind, with a reported 32 percent buying on the Internet.

How They Pay

Nearly half of the individuals in the Middle East (47 percent) said they own a payment card. Similar to many other countries in the Eastern world, the majority of the participants from the Middle East said they prefer to pay for online purchases via cash-on-delivery (about 70-80 percent). This is common in countries where eCommerce is still in its early-to-middle phases. However, there are some who trust online payment options, as the infographic reports that 30 percent paid online. In general, Middle Eastern consumers reported to pay by prepaid cards the most when making a payment (47 percent). Thirty percent pay by credit cards, 28 percent cash-on-delivery, 30 percent by bank transfer and 27 percent opt for PayPal.

 

Most Popular Online Purchases

Online games (41 percent) and computer software (31 percent) came out on top for the most popular shopping categories in the region. Following these products were electronics (28 percent), clothes (17 percent), entertainment (15 percent), accessories (14 percent) books and magazines (13 percent), home appliances 11 percent), beauty and health (8 percent) and lastly food and drinks (5 percent.)

When Go-Gulf.com asked participants to explain reasons why they were shopping online, most consumers (68 percent) agreed they could find better deals if they shopping through the Internet. Thirty-eight percent explained product comparisons were more easily done online, 36 percent said there is more product variety online, and 34 percent said they choose to buy online because they are able to read customer reviews that help them decide. Lastly, 28 percent said they prefer to shop online because there are more payment options available.

To see more Middle Eastern eCommerce stats, view the full infographic below.