UAE has topped the global digital shopping index, with UAE consumers increasingly using digital features to enhance their shopping journeys.
A comprehensive study titled “The 2023 Global Shopping Index: UAE edition,” conducted by PYMNTS and Visa Cybersource, highlighted digital adoption in the UAE and the preferences of consumers.
The UAE stands out with the highest Global Digital Shopping Index (GDSI) score among all countries surveyed, with seamless shopping and payment experiences offered to consumers.
With a score of 134, higher than the average of 125 across all countries, UAE merchants provide offerings that cater to mobile-centric and omnichannel preferences of their shoppers.
Digital shopping thrives among UAE shoppers
The study, which involved over 13,000 consumers and 3,000 merchants across six countries, underscores several key findings specific to the UAE market. One key statistic is that an 94 percent of UAE’s adult shoppers incorporated at least one digital shopping feature in their most recent retail journey.
Salima Gutieva, Vice President and UAE Country Manager – Visa, emphasized the importance of catering to the needs of mobile-centric shoppers. “We are thrilled to see the UAE emerging as a leading country where consumers embrace and utilise digital shopping features with utmost enthusiasm. With the highest global digital shopping index score, it is evident that local merchants have successfully crafted seamless shopping and payment experiences for their customers.”
Gutieva added, “The fact that 94 percent of adult UAE shoppers have incorporated at least one digital feature during their recent shopping journey highlights the strong digital adoption in the market. As we witness this growing trend, Visa remains committed to partnering with UAE merchants to optimise their offerings and continue meeting the evolving needs of tech-savvy consumers.”
This high rate of digital adoption puts UAE consumers ahead of their counterparts in the United States, the United Kingdom, and Brazil.
The UAE’s digital-savvy shoppers also demonstrated a preference for online shopping, driven by the belief that it offers better deals and enhanced experiences. Notably, free shipping, better prices, and an easy checkout process were cited as the top reasons for choosing online shopping over physical stores.
Moreover, while immediate availability was an essential factor for in-store shopping in other countries, UAE shoppers ranked it lower on their list of priorities.
When it comes to selecting a merchant, UAE shoppers place a higher emphasis on payment choice compared to rewards or free shipping. Preferred payment methods are particularly valued, with nearly twice as many consumers prioritising them over other features. Rewards and free shipping ranked second and third, respectively, in terms of importance when choosing a merchant.
28 percent of customers made their most recent retail purchase on their smartphones, the highest percentage among all countries surveyed, only second to India.
Both men and women in the UAE are actively using their smartphones for shopping, with 33 percent of women and 27 percent of men making purchases exclusively from their phones. Furthermore, more men (55 percent) than women (45 percent) used their smartphones to augment their in-store journeys.
An impressive 94 percent of UAE consumers reported using at least one digital shopping feature during their recent shopping journeys, surpassing other countries in this aspect.
The study also revealed a notable increase in consumers’ awareness of the shopping features offered by local merchants. UAE shoppers seem to be actively seeking cost-saving features, with a 51 percent increase in awareness of coupons, promo codes, or rewards in 2022 compared to 2021.
However, interestingly, shoppers in the UAE tend to overestimate the number of features offered by merchants, suggesting that there is still room for merchants to communicate and showcase their digital offerings more effectively.
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