Consumer Insights: Blending Online-Offline Shopping in the Gulf
In a comprehensive survey conducted by the shopping and financial services app Tabby, insights into the shopping preferences and behaviors of consumers in the UAE and Saudi Arabia have emerged. The study, encompassing 7,500 shoppers across these Gulf countries, sheds light on the evolving landscape of retail in the region.
Online-Offline Shopping Dynamics:
The survey reveals that a substantial 78% of shoppers in the UAE and Saudi Arabia make their online purchases after physically inspecting the items in a brick-and-mortar store. The in-store experience remains pivotal for consumers, as they compare prices between brands and seek expert advice in person. This underlines the nuanced approach consumers take, blending the convenience of online shopping with the tangible experience offered by physical stores.
Social Media's Influence
Notably, social media has become a significant player in shaping consumer choices. The survey discloses that 45% of buyers made purchases directly through social media platforms. Moreover, 72% of shoppers use online platforms for retail inspiration, often arriving at a clear idea of what they intend to buy before embarking on an in-person shopping trip.
E-commerce Growth and Market Dynamics:
The surge in online shopping in the UAE and the Gulf region, particularly accentuated by the impact of the Covid-19 pandemic, has attracted numerous players to the e-commerce landscape. The market has witnessed an influx of new entrants dealing in products sourced internationally and sold locally through digital platforms and apps.
Consumer Loyalty Drivers:
The survey delves into the factors that influence repeat purchases and brand loyalty. For 55% of consumers, product quality is the primary driver for revisiting a particular brand. Additionally, 37% emphasize the importance of receiving purchases on time, while an equal percentage values effective customer support. This highlights the multifaceted aspects that contribute to sustained customer loyalty.
Challenges and Frustrations:
Despite the growing prominence of online shopping, the survey identifies challenges and frustrations faced by consumers. A notable 82% of shoppers in the UAE and Saudi Arabia find online shopping frustrating due to issues related to website navigation. Younger shoppers, aged between 18 to 29, are particularly sensitive to slow e-commerce websites, being twice as likely to get frustrated. Payment-related concerns also play a role, with 60% of shoppers abandoning online purchases due to payment issues, especially the younger demographic that is more cautious about sharing payment details.
Brand Loyalty and Customer Experience:
Approximately 30% of shoppers exhibit exclusive loyalty to brands that provide a positive shopping experience. Free shipping emerges as a critical factor, with 23% of UAE shoppers indicating its importance as a driver for making online purchases.
In summary, the survey by Tabby underscores the evolving dynamics of consumer behavior in the UAE and Saudi Arabia. The findings highlight the coexistence of online and offline shopping preferences, the increasing influence of social media, and the pivotal role of customer experience and loyalty drivers in shaping the retail landscape in the region.
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By- Sahiba Suri
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