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Online shopping will take over from malls - poll

by This email address is being protected from spam bots, you need Javascript enabled to view it  on Monday, 19 January 2009
ONLINE SHOPS: Mall shopping could be replaced by virtual shopping. (Getty Images)

Consumers will increasingly turn to the internet to find the best international retail prices, rather than continue shopping in over-priced shopping malls, according to an online poll.

A total of 39 percent of responders to an Arabian Business survey said they thought online shopping would boom on the back of news that retail outlets in Dubai’s malls were charging up to 50 percent more than their international counterparts.

Almost the same amount of responders, 31 percent, thought that consumers would opt to shop in discount malls instead, while 20 percent believed shoppers would just visit malls less often to curb their spending.

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A minority of nine percent said visitors to shopping malls would remain the same with people continuing to pay inflated prices.

The findings come as debate continues as to why mall prices are 50 percent higher, in some cases, than in the same shop in a different country.

Some retailers have claimed that between 10 and 15 percent mark-up is valid due to low profit margins that are getting slimmer as the cost of rental space soars in the emirate’s malls.

“It’s been four or five years that the rent has been rocketing up, and there’s just no basis for what they’re charging,” a shop owner, with stores in several different malls, said last week.

However on Sunday, Mohammed Khammas, chief executive of Al Ahli Group, which owns the Dubai Outlet Mall, has said that rents in Dubai’s malls are largely on par with the US and Europe, and that Dubai’s retailers must take some responsibility for price hikes.

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READERS' COMMENTS

Disclaimer: The views expressed here by our readers are not necessarily shared by ArabianBusiness.com or its employees.
online shopping is a better value
Posted by Cheri on Thursday 25 June 2009 at 07:13 UAE time


I have many customers shop my store (www.OhCheri.com) from Saudi Arabia and UAE and clearly they prefer to pay a flat rate shipping fee and get good prices on merchandise. I've never experienced any shipping issues. Our problem is verifying an international credit card address, but using Paypal solves that problem.
its easier to shop online
Posted by cos, dubai on Friday 12 June 2009 at 12:44 UAE time


i just tried this dubai based website called lux4u2.com which had all luxury brands online. amazingly they had a sale price which is obviously alot more than a regular store front as they dont have to pay sky rocketing rents. i'm impressed though and this is the right trend.
Shopping-Clothes or Spinneys!
Posted by anita, dubai, dubai on Tuesday 20 January 2009 at 15:13 UAE time


Im from the uk and totally agree with online shopping. why would I want to pay ridiculous prices in the malls where I know I can most definately get it cheaper in another country! The prices here absolutely terrible and I would not pay that! The malls are honestly ripping us of! I mean Lettuce in Spinney's is 17dhs! If you get it from Tesco's then you are only paying 5dhs. How bad is that! If you are from UK then you know what I am talking about.
Online order
Posted by mike on Tuesday 20 January 2009 at 11:13 UAE time


Just ordered a welding helmet from UK. It will arrivewithin a week. I paid 450 Dhs including shipment. The price here is around 800 Dhs.
We all need to stop compaining about the prices and start shopping online. We need to spend our money with people who give us better service, even if's just through communication online. I was in the Ford dealership about 2 years ago. The service I got was terrible. Now after 2 years, they called me, trying to get me to buy a Ford. It's only because the times are tough. Otherwise they would not call. same thing with Peugeot. Now they're calling to find out why we don't want to buy another car from them.
We as consumers ARE powerful. We just need to know it and exercise our power.

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