UAE shoppers are more likely to shop around to find the best deals and prices before making a purchase, according to financial technology platform Adyen.
With just a third waiting for major sales such as Black Friday, retailers in the country are considering offering year-round discounts.
Adyen surveyed 1,000 UAE consumers and 500 UAE merchants to better understand buying decisions. The research explored shopper behaviour, as well as the current performance of retailers.
UAE shopping behaviour
More than half of UAE shoppers are seeking a flexible shopping journey that offers their favourite payment methods, buying online and returning in store and purchasing an out-of-stock item and shipping them directly home.
The study found how unified commerce, which involves connecting online and offline payments in one system, supports greater retail resilience in a demanding and competitive retail environment.
80 per cent of UAE consumers said they spend more time searching for the best deals and prices, while almost one third (30 per cent) wait for big calendar moments like Black Friday before making a purchase.
In response, 52 per cent of UAE merchants believe the impact of inflation is such that they need to offer discounts to consumers year-round.
The research found that in face of the rising cost of living, personalisation and loyalty have become increasingly important. 78 per cent of UAE consumers want to see more discounting at retailers they shop with and 67 per cent say they want businesses to remember their preferences and previous shopping experiences so that browsing is more tailored.
UAE retailers are finding it hard to deliver on this, with 58 per cent suggesting it’s now harder to categorise customers.
69 per cent of UAE consumers say that they’d be more loyal to retailers that let them buy online and return in-store, and nearly two-thirds 64 per cent suggested they’d have better shopping experiences if a business enables them to shop in store and finish online or vice versa.
Further, when consumers were asked about how technology makes them feel when shopping in-store, the result is overwhelmingly positive.
Little less than half 43 per cent said they were happier because shopping was quicker, and slightly more than one-third 36 per cent said they would visit a store more frequently as a result of its technology implementation.
UAE retailers are recognising the significance of connecting all sales channels. In fact, this region is familiar with unified commerce, as 50 per cent of retailers have already begun investing in this strategy in the past year, and 45 per cent are considering its implementation.
Sander Maertens, Head of the Middle East for Adyen, said: “We have always recognised the potential of unified commerce for businesses and its ability to elevate the shoppers’ experience. It’s great to witness that in the UAE, over half of the retailers have also acknowledged its potential and chosen to invest in it.
“Despite the significant changes in consumer behaviour over recent years, retailers who have embraced unified commerce will find it easier to navigate and adapt to these shifts.”
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