Arab Press

بالشعب و للشعب
Saturday, May 31, 2025

GCC ecommerce sector to hit $19.7bn off back of coronavirus pandemic

GCC ecommerce sector to hit $19.7bn off back of coronavirus pandemic

Retailers in the region reveal positive growth from enforced switch to online sales

Spurred on through necessity, given the coronavirus-enforced lockdowns and curfews across the region, the GCC ecommerce market is expected to reach $19.7 billion by the end of this year, according to a panel of experts at the virtual roundtable on Intelligent Orchestration of Retail Experience.

It was revealed that Saudi Arabia is expected to claim the majority of the total ($8.3bn), followed by the UAE, with $7.5bn.

Hozefa Saylawala, director of sales – Middle East, Zebra Technologies, said: “During the initial phase of the pandemic and lockdown, a lot of retailers identified the gap as well as the opportunities. We have seen tremendous demand to engage with retailers keen to make the shift. Consumers are now asking for more self-service, contactless payment options for shopping.”


Adel Sajan, director of Danube Group, revealed that online purchases accounted for only five percent of total sales prior to the pandemic. “However, it jumped 500 percent to 25 percent of our sale during the lockdown, before settling at 10 percent currently,” he said.

Global retail sales are projected to reach $25.04 trillion in 2021 and $26.7tr in 2022, up from approximately $23.6tr in 2018, according to Statista, an online tracker of global economy and retail sector.

According to Alpen Capital, the GCC retail sector is projected to grow at a CAGR of 4.0 percent from $253.2bn in 2018 to $308bn in 2023.

Bhavna Buttan, vice president – market place transformation at Sun and Sand Sports, said: “Covid-19 is a blessing by default as it forced consumers and retailers to change behaviour fast. It also provided some good lessons for us in the last 20 years.

“At Sun and Sand Sports, we launched our digital sales channel six years ago, which consumers seldom used. However, Covid-19 pushed all of us into the digital space rapidly. We learned a lot and we also failed in a lot of areas. However, our online sales jumped 500 percent that more than compensated for the decline in the brick-and-mortar space.”


While fashion retail has transformed significantly, the biggest change is possibly being witnessed by the operators of grocery retail, supermarkets and hypermarkets where the jump in online orders forced them to undertake changes overnight.

Ashutosh Chakradeo, head of retail at Choithrams, said: “While our online orders jumped three times, our existing capacity was good enough to handle only a 50 percent jump. However, we managed to do some physical adjustment in timing as well as upgraded the technology to manage the rush.”

Newsletter

Related Articles

Arab Press
0:00
0:00
Close
Meta and Anduril Collaborate on AI-Driven Military Augmented Reality Systems
EU Central Bank Pushes to Replace US Dollar with Euro as World’s Main Currency
European and Arab Ministers Convene in Madrid to Address Gaza Conflict
Head of Gaza Aid Group Resigns Amid Humanitarian Concerns
U.S. Health Secretary Ends Select COVID-19 Vaccine Recommendations
Trump Warns Putin Is 'Playing with Fire' Amid Escalating Ukraine Conflict
India and Pakistan Engage Trump-Linked Lobbyists to Influence U.S. Policy
U.S. Halts New Student Visa Interviews Amid Enhanced Security Measures
Trump Administration Cancels $100 Million in Federal Contracts with Harvard
SpaceX Starship Test Flight Ends in Failure, Mars Mission Timeline Uncertain
King Charles Affirms Canadian Sovereignty Amid U.S. Statehood Pressure
Iranian Revolutionary Guard Founder Warns Against Trusting Regime in Nuclear Talks
Netanyahu Accuses Starmer of Siding with Hamas
Calls Grow to Resume Syrian Asylum Claims in UK
UAE Offers Free ChatGPT Plus Subscriptions to Citizens
Denmark Increases Retirement Age to 70, Setting a European Precedent
Iranian Director Jafar Panahi Wins Palme d'Or at Cannes
Israeli Airstrike Kills Nine Children of Gaza Doctor
Lebanon Initiates Plan to Disarm Palestinian Factions
Iran and U.S. Make Limited Progress in Nuclear Talks
Trump Administration's Tariff Policies and Dollar Strategy Spark Global Economic Debate
OpenAI Acquires Jony Ive’s Startup for $6.5 Billion to Build a Revolutionary “Third Core Device”
Turkey Weighs Citizens in Public as Erdoğan Launches National Slimming Campaign
UK Suspends Trade Talks with Israel Amid Gaza Offensive
Iran and U.S. Set for Fifth Round of Nuclear Talks Amid Rising Tensions
Russia Expands Military Presence Near Finland Amid Rising Tensions
Indian Scholar Arrested in Crackdown Over Pakistan Conflict Commentary
Israel Eases Gaza Blockade Amid Internal Dispute Over Military Strategy
President Biden’s announcement of advanced prostate cancer sparked public sympathy—but behind closed doors, Democrats are in panic
Mount Lewotobi Laki-Laki Erupts Again, Spewing Ash Cloud over Flores Island
Indian jet shootdown: the all-robot legion behind China’s PL-15E missiles
The Chinese Dragon: The True Winner in the India-Pakistan Clash
Australia's Venomous Creatures Contribute to Life-Saving Antivenom Programme
The Spanish Were Right: Long Working Hours Harm Brain Function
Did Former FBI Director Call for Violence Against Trump? Instagram Post Sparks Uproar
US and UAE Partner to Develop Massive AI Data Center Complex
Apple's $95 Million Siri Settlement: Eligible Users Have Until July 2 to File Claims
US and UAE Reach Preliminary Agreement on Nvidia AI Chip Imports
President Trump and Elon Musk Welcomed by Emir of Qatar Sheikh Tamim with Cybertruck Convoy
Strong Warning Issued: Do Not Use General Chatbots for Medical, Legal, or Educational Guidance
NVIDIA and Saudi Arabia Launch Strategic Partnership to Establish AI Centers
Trump Meets Syrian President Ahmad al-Shara in Historic Encounter
US and Saudi Arabia Sign Landmark Agreements Across Multiple Sectors
Why Saudi Arabia Rolled Out a Purple Carpet for Donald Trump Instead of Red
Elon Musk Joins Trump Meeting in Saudi Arabia
Trump says it would be 'stupid' not to accept gift of Qatari plane
Quantum Computing Threatens Bitcoin Security
Michael Jordan to Serve as Analyst for NBA Games
Senate Democrats Move to Censure Trump Over Qatar Jet Gift
Hamas Releases Last Living US Hostage from Gaza Amid Ongoing Conflict
×