E-commerce sales in Dubai ‘to hit $27bln by 2022’
Ahmed Mahboob Musabih, Director General of Dubai Customs, was speaking on the sidelines Gitex Technology Week 2020 in Dubai.
Musabih stated that there is a good opportunity for Dubai to turn into an e-commerce central hub for African, Gulf, Middle Eastern and South American markets. Dubai’s eCommerce future is looking very bright in coming years.
E-commerce has certainly proved to be a winner in 2020, defying all the odds as the Covid-19 outbreak accelerated a surge in online sales and as masses across the globe demanded goods with a seamless online experience. This, in turn, has certainly increased the pressure on the retail industry to raise their business strategy both online and offline to remain afloat in challenging circumstances.
A research from Mercatus, online grocery sales accounted for only 2.7% of the $993 billion of total sales in 2018 and 3.4% of the $1.02 trillion of grocery sales in 2019, but as consumers looked for contactless shopping options in 2020 to reduce the risk of exposure to the coronavirus, this percentage jumped to 10.2% of the projected $1.04 trillion spent on groceries this year and is predicted to reach a whopping 21.5% of total grocery sales by 2025, hence eCommerce is the future of the business.
eCommerce future is not only getting brighter but also competitive for existing players. The sector has received a boost as digital transformation also help evolved demanding consumer behaviour in last few years. The Covid-19 pandemic has disrupted the retail sector and transformed consumers as it is rapidly changing the $25 trillion global retail landscape, so much so that global e-commerce sales are set to consistently grow from $4.21 trillion in 2020 to $4.93 trillion next year, $5.7 trillion in 2022 and $6.54 trillion in 2023, according to Statista.
The rapid adoption of online grocery shopping has created new ways for retailers and brands to engage with consumers, but to fully maximize the platform’s potential, access to and affordability of e-commerce must improve in 2021, argues Sylvain Perrier, president and CEO of Mercatus.
He explains that with more Americans unemployed and relying on Supplemental Nutrition Assistance Program (SNAP) and Women, Infants and Children (WIC) benefits to buy groceries, stores will need to make it easier for shoppers to spend their benefits online and discover eligible and budget-friendly products.
Digital efficiency, security will become top priorities in 2021
As retailers and brands that were forced headlong into digital transformation in 2020 become more comfortable with the basics, they will need to improve the efficiency and security of their systems, predict Yahoo Small Business experts.
Cybersecurity also will need to become a top priority in 2021, especially among those who are new to ecommerce, adds Chris Wayne, Yahoo Small Business CTO.
“As digital transformation continues to take place in 2021, there will be more opportunities for bad actors to exploit small businesses. Small business owners must remain vigilant to avoid detrimental attacks, as many do not have the same resources to protect against, mitigate or recover from cyberattacks as larger corporations,”