CNNB Solutions, the region’s leading direct-to-consumer e-commerce and e-distribution enabler, has released the findings of its 2022 MENA e-Commerce Report, showing how sales will grow to $50 billion over the next year.
In conjunction with its partners, including insight from logistics and delivery solutions provider Aramex and buy-now, pay-later platform tabby, CNNB Solutions has compiled its latest research and current trends to create a report on the current state of e-commerce across the MENA region and its likely changes and trends heading into 2022.
Key developments
Nicolas Bruylants, Co-founder and CVO of CNNB Solutions said,“MENA’s e-commerce market is rapidly evolving and 2022 will be a gold rush for brands that can capture the increasing number of customers who prefer to shop online. E-commerce sales will grow to 50 billion dollars in 2022, propelled by increased online shopping adoption, access to digital financing, improvements in logistics and delivery options, and brands adopting direct-to-consumer strategies.”
Logistics leader Aramex provided insight into the report and highlighted Saudi Arabia as having the region’s biggest potential for logistics sector growth and demand for e-commerce space. Saudi Arabia is leading the way in terms of regional e-commerce growth (39% CAGR) just ahead of UAE (38% CAGR). Saudi Arabia’s e-commerce industry was recently forecast to exceed $13 billion by 2025.
Customer satisfaction
Aramex added that same day delivery, efficient returns handling and end-to-end visibility for consumers, are key components of good customer experience. Automated storage and retrieval systems, automated fulfilment, smart inventory, augmented reality, voice picking, visual picking and robotics were selected as some of the trends to look out for in 2022.
Buy-now, pay-later expert tabby also provided research input and highlighted seller financing, returns and physical experiences as key opportunities for the market in 2022.
Key findings
Other findings from the report include:
- 91% of customers in MENA have become digital converts and will continue to buy online, 73% say they shop online more since the pandemic
- UAE online consumer spend is the highest in the region, averaging an annual spend of $1,648 per person
- 68% of customers in Egypt and 67% in UAE, said they were more likely to shop with brands that used ethically sourced ingredients and materials, recyclable packaging and a more carbon friendly manufacturing process, compared to the global benchmark of 50%
- MENA shoppers are looking for safe and secure online payments – more than 60% believe secure checkout is fundamental to a good online shopping experience
The report can be viewed here.
