The UAE's e-commerce market will soar to $17 billion next year as more consumers embrace the convenience of online shopping, according to a report by Dubai-based marketplace aggregator and quick commerce startup YallaHub. It is expected.
This market is expected to expand significantly in the coming years, registering a compound annual growth rate (CAGR) of 6.54% from 2024 to 2028.
The market's revenue is expected to reach $9 billion this year alone, with a market share of 66.1%.
The Middle East and North Africa (MENA) region also reflects this trend, with the region's e-commerce market expected to reach $57 billion by 2026.
In the UAE, e-commerce tends to be driven by consumers purchasing DIY and hobby toys and other goods, with this sector accounting for 29% market share.
Fashion consumers came in second with 27% market share, followed by electronics and media (18%), food and personal care (13%), and furniture and
Home appliances (12%).
Home care and laundry care
However, there has been a “noticeable spike” in demand among consumers who want to purchase home and laundry care products.
“The online home care and laundry care products market is seeing significant demand among UAE residents. Our data shows that consumers are buying these products from e-shops and online stores without having to go to a physical store. It shows how easy it is to buy on online platforms,” said Leo Dovbenko, CEO and co-founder of YallaHub.
The revenue of the home and laundry care segment is expected to reach $75.66 million by 2024, and its market penetration will rise to 7.3% in 2024 and 8.2% by the end of 2028.
Tissue and hygiene care products revenue is expected to reach $19.41 million, and the e-commerce hair care market is expected to record revenue of over $50 million by the end of 2024.
(Written by Cleofe Maceda; Edited by Seban Scaria) seban.scaria@lseg.com
