• With online, in-store and omni-channel retailers going head-to-head for customer acquisition, in-store experiences will contribute to building stronger brand connections.

Dubai, UAE: As COVID-19 cases continue to decline in the country, residents regain confidence in in-store shopping. This is according to a Kearney study in which UAE respondents cite convenience (51%), enhanced shopping experience (49%) and competitive pricing (44%) as the main motivators driving them back to brick and mortar stores.

“Consumption habits have undergone a fundamental transformation in the past 18-months, where we saw a rapid acceleration in the adoption of online shopping and spending. While e-commerce has not slowed down, as retailers invest in creating a safe environment and competitive pricing of their goods and services, we see consumers returning to their trusted stores for an enhanced shopping experience,” commented  Debashish Mukherjee, Partner, Consumer and Retail at Kearney Middle East.

The study revealed that over the last quarter*, 34% residents have increased their spending on non-essential items by over 25%. This is compared to only 23% respondents who reported an increased spending in June. This increase echos the forecast issued by Dubai Chamber of Commerce and Industry earlier this year, which estimates store based retailing to grow at a CAGR of 5.7%.

The most popular categories for instore purchases were those which required physical inspection, including footwear (53%), home or casual wear (37%), and work clothing (35%).  When looking at motivating factors for online shopping, time saved (49%) was the largest driver. This was followed by ease of purchase (37%), COVID safety/restrictions (37%) and ease of delivery (37%).

“This year, we’ve seen online retailers start offering discounts as early as the second week of November with Singles’ Day sales, rather than the traditional kick-off on Black Friday. With online, in-store and omni-channel retailers going head-to-head for customer acquisition, building stronger brand connections will become integral. We expect retailers to start offering more in-store experiences; whether it is self or automated check-outs, click and collect, or store-in-stores concepts, consumers today are looking for new, more engaging ways of shopping,” concluded Mukherjee.

This research was conducted as part of a series of independent surveys by Kearney, the leading global management consultancy that explores trends in key sectors that contribute towards and support the region’s economic development.

-Ends-

About Kearney

As a global consulting partnership in more than 40 countries, our people make us who we are. We're individuals who take as much joy from those we work with as the work itself. Driven to be the difference between a big idea and making it happen, we help our clients break through. For more information, visit www.kearney.com 

*Kearney Consumer Industries and Retail published a study on consumption patterns and behaviours in June 2021. For results, please contact the media office.

Media contact:
Shehla Momin
Houbara Communications
kearney@houbaracomms.com 

Send us your press releases to pressrelease.zawya@refinitiv.com

© Press Release 2021

Disclaimer: The contents of this press release was provided from an external third party provider. This website is not responsible for, and does not control, such external content. This content is provided on an “as is” and “as available” basis and has not been edited in any way. Neither this website nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this press release.

The press release is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Neither this website nor our affiliates shall be liable for any errors or inaccuracies in the content, or for any actions taken by you in reliance thereon. You expressly agree that your use of the information within this article is at your sole risk.

To the fullest extent permitted by applicable law, this website, its parent company, its subsidiaries, its affiliates and the respective shareholders, directors, officers, employees, agents, advertisers, content providers and licensors will not be liable (jointly or severally) to you for any direct, indirect, consequential, special, incidental, punitive or exemplary damages, including without limitation, lost profits, lost savings and lost revenues, whether in negligence, tort, contract or any other theory of liability, even if the parties have been advised of the possibility or could have foreseen any such damages.