By madmin 
The United Arab Emirates E-commerce market is approaching growth at an incredible rate and is expected to reach AED 48.8 billion by 2028 according to the forecast. The bedding in of e-commerce as a vehicle for the development of the national economy is taking place in the retail shopping market of the United Arab Emirates, especially in Dubai, as more and more end-consumers adopt e-shopping behavior while businesses maneuver to meet these changing demands.
A recently published report on the modern e-commerce market has revealed the explosive growth of the sector over the recent years, due to the fact that having a business license in Dubai has become a much simpler and shortened process. This has led to initiatives that have been put in place for the growth of the sector. The e-trader license category in Dubai alone has been increasing at a rapid pace of 25 percent, and as a result, the number of issued licenses is over 14,000, according to a report by Black Sawn Services.
The UAE government role as the one leading the digitalization with the full support from the government has been encouraging the whole process. The companies have been implementing the low platform for e-trade and the lone combination of the simplest way to deal with the shipments that they have ever experienced. The government of the UAE has since then played a leading role in this digital transformation where Abu Dhabi Chamber has had the plan in place to implement the UAE Digital Commerce and Innovation Growth Plan. Also, Sharjah’s Shams Media City has transformed the city into a hub for local e-commerce firms. In Ras-al-Khaimah, RAKEZ has been actively promoting e-commerce businesses thus further contributing to the sector’s expansion across the emirates.
Dubai, on the other hand, was particularly crucial in eliminating its position as a first-class digital commerce spot. Dubai CommerCity construction in 2020, for instance, was a great step in the right direction. It is the first free eCommerce zone in the Middle-East and North Africa, that emirati’s made it clear that investing in those technological areas are important to them. Alongside EZDubai, these initiatives demonstrate Dubai’s ambition to become a one-stop-shop for all digital commerce needs.
Quick commerce, or q-commerce, is becoming the latest focus of the e-commerce industry in the UAE. The population of the country is very dense, and the fast tempo of their lives are the factors of the increased demand for q-commerce. The income share in this sector could hit $3.65 million by the year 2025, with the forecasts calling for an annual growth of 8.02 percent from 2025 to 2029.
Recent data from Flowwow confirms the good dynamics of the region, with a 62 percent increase of purchases in the MENA region, an 86 percent sales turnover growth and an increase of 15.76 percent of the average order value, in the November to mid-December 2024 period as compared to the previous year. In the UAE, the average order value has risen to a staggering $102.
The e-commerce boom is expanding all over the globe and across all business areas. Fashion, toys, DIY, hobbies, electronics, media, food, personal care, furniture, and appliances are dominating the market so far. Home and laundry care products are also doing quite well, a fact that shows that the range of products consumers are comfortable buying online is quite wide.
The shopping behavior of customers in the UAE stays on the path of the digital transformation. About 49% of the UAE citizens shop online quite often, whereas 47% among them use their credit cards in online transactions. This level of digital payment acceptance is much higher than the world’s average of 18 percent, thus, the advanced state of digital commerce is revealed in the UAE.
Being the center of attention, the Dubai Chamber of Commerce has launched the e-Commerce Business Group (ECBG) so to bring together all the companies and participants which give them a voice at the decision-making table and participate in competitions. This exclusive and unique online platform has the goal of helping the development of policies and legislation that will turn out to be positive impacts for the economy and also that will make business very simple, thereby making Dubai worldwide known for e-commerce(, a global e-commerce hub).
With the passage of time, the e-commerce segment- this becoming a key driver of business growth in the UAE. The key to this initiative lies with the proactive measures of the government in conjunction with innovative and flexible actions of the private sector, thus, paving the way for digital commerce to thrive. The digital revolution is not just limited to the retail sector in the nation but also is the UAE and Dubai especially that have become global leaders in the digital economy area.