As per the latest report, the overall E-Commerce Market within three core global markets-Middle East, Africa as well as the southern Asian territory will be advancing at an annualized rate of 18.4 percent to touch $148.5 Billion within the forthcoming year.
A report done by the Dubai’s CommerCity, the initial complete dedicative E-Commerce Free Zone, within MEASA, exhibited that the average progression globally will be at 16.6 percent.
The Assistant Director General of the Dubai Airport Freezone Authority as well as the Board Member at CommerCity, Amna Lootah, further stated out that; “The regional e-commerce sector is witnessing “significant growth, which is driven by the confidence of its business community and ecosystem. This has also been led by the uninterruptedly altering clientele behaviour and the adaptation of advanced technologies that played a crucial role in easing the overall consumer shopping experience.”
CommeCity stated out that, the Gulf territory alone has overall accounted for 214 percent annual year-on-year upsurge within the cross-border online sales as witnessed within June, the preceding year.
It further additionally stated out that, the MEASA’s business-to-consumer merchandizes e-commerce market connects approximately 2.5 percent of the overall B2C E-Commerce Marketplace.
With the advent of COVID-19 Pandemic as well as the related tougher restrictions, including barring on physical shopping/procurement, the level of the E-Commerce transactions have witnessed out booming as the public have now commenced procuring the relevant merchandize and essentials all via ease of online shopping portals.
Chief operating officer of Dubai CommerCity, DeVere Forster, stated out further that; “This report shows the potential growth expected to take place in the e-commerce sector. It will help local, regional and multinational companies to better understand the B2C product market in the MEASA region. It will also guide the native government entities and industry bodies to discover potential advances that can better ease the E-commerce sector at a native as well as the global level.”
South Asia signifies the largest sub-native E-commerce market, with India accounting for the bulk of sales in the MEASA territory. The GCC is anticipated to register the peak progression between 2019 and 2022, with Saudi Arabia and the UAE – the Arab league’s major economies – taking the edge at 39 percent and 38 percent annual progression, respectively.
The discoveries of the report recommend that the wealthy, young population and cross-border E-commerce podiums are the two robust progressive drivers for the E-commerce business in the MEASA territory.
Other factors include huge levels of cyberspace penetration, smartphone and social media embracing, government policies as well as the ease of doing commercial trades.
However, for the MEASA territory to become a viable global player, the report proposes that there are core structural blockades that must be addressed by the public and private sectors. It delivers five broad tactical reflections to overcome the core E-commerce hinderances.
These also include a toughest policy framework, client consciousness and hope building, enhanced logistics as well as the postal services, digital structure as well as the overall global alliance.