4 intriguing facts you never knew regarding E-commerce growth in the Middle East
E-commerce’s popularity growth is becoming hard to fathom with every passing day. With Ali Baba creating history in the United States by filing the most valuable IPO in the history of the country’s stock exchange archives, to Apple releasing a highly valuable NFC online payment feature on its recently released iPhone 6 and soon to be released iWatch, technology and the digital age of communication is changing the way transactions are being conducted. What is even more surprising is the trend has shockingly taken the Middle Eastern regions by storm, as these four facts regarding E-commerce growth will knock your socks off.
1. 15 percent of all businesses present in the Middle East have created their online portfolios
Google’s efforts of creating awareness to encourage business owners to create their online presence might finally be paying off as these regions are slowly but surely getting around to be acclimatized by the digital age and shifting their businesses online. Several campaigns have been hosted by Google, debriefing them about the heightened security measures presented by payment gateways that will prove fruitful for online business in the coming years.
2. 44 percent of the total population in the Middle East are internet users
Nearly half the population residing the Middle Eastern regions are regular users of the internet. Going deeper in to the statistic, out of more than 231 million individuals, more than 103 million of those users use the internet on a regular basis. This statistic alone is the perfect initiative for business owners to opt for an e-commerce platform.
3. In the last 5 years, population in the Middle East has gone through a percentage increase of a whopping 294 percent
From 20 million to 77 million in the last 5 years resulted in the growth percentage of these regions to shoot up to an unbelievable 294 percent. This can also be due to the large number of expatriates seeking better employment opportunities from the neighboring regions. Regardless, the population boom also contributes to the statistic of regular internet users, which will no doubt form a compelling reason for business owners to take their current business online.
4. A large percentage of consumers make online purchases
In statistical terms, out of the 103 million internet users, approximately 70-80 percent of those users are engaged with online purchasing while choosing the ‘cash on delivery option’. The remaining percentage of users opt to choose the online payment options, despite the fact that nearly 50 percent of the 103 million users own a credit or debit. This is mainly due to the lack of awareness given to consumers that payment gateways comply with PCI DSS standards that encrypt credit and debit card information, protecting these consumers from online theft.
Seeing the impressive statistical results, it can be extremely difficult to comprehend how far E-commerce has grown since its initiation, especially in the Middle Eastern regions. Since these regions have developed a consumer behavior society, there will always be a spike in the amount of transactions taking place. However, since consumers also demand flexibility with these transactions, there is no wonder why the popularity of e-commerce business has spiked in such a small span of time.