UAE consumers spend more on groceries online than in stores, new research shows

UAE consumers spend more on groceries online than in stores, new research shows

UAE residents spent more when they purchased groceries online last year compared to when they physically visited supermarkets, spending 40 percent more on e-commerce baskets than physical baskets, according to payment company Network International.

The increase can be attributed to a shift in consumer behaviour following coronavirus related restrictions last year with safety concerns and convenience prompting a growth in online and contactless purchases.

The largest difference between e-commerce and in-store transaction values was recorded in November with online average transaction value ATV at AED279, more than double that of point of sale (POS) at AED138. In the early days of the UAE lockdown in March, the average e-commerce basket value was at AED294, 45.6 percent higher than POS at AED202.

Dubai Chamber of Commerce and Industry boss says 23% increase is fuelled by pandemic and changing consumer demands

“The past year has fundamentally transformed one of our biggest weekly chores driving a significant portion of the population to do their supermarket shopping online,” said Nandan Mer, Group CEO of Network International said.

“Looking ahead, it's clear that an increasing number of consumers may continue to shop from the comfort and safety of their homes, appreciating the convenience that e-commerce and contactless transactions can bring