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•Online payments used mostly for remittances, utility bills and electronic goods
•Asian expatriates and Emiratis top the list of online shoppers
•One-in-ten purchase fast food through a mobile device
Dubai - More than athird (34%) of United Arab Emirates (UAE) residents said they make online purchases between one and five times a weekwith 5% making purchases online more than five times a week,according to a survey of purchasing behavior by Network International, the leading payment solutions provider in the Middle East.
The most frequent use of online payments was for remittances to home countries (15%), followed by payment of utilities (14%) and high value items such as property or cars (12%). One in ten (10%) respondents said they use online facility to pay for children's school fees.
Whilst most residents prefer to use cash or cards to shop in-store for items such as groceries, clothes and household goods, 15% of respondents said they went online to purchase electronic items such as TVs or smart phones. One in ten (10%) UAE residents said they purchased 'fast food' or 'takeaways' on the move using a mobile device.
The ability to pay with a single click (50%), robust security measures (46%) and the advantage of purchasing on the move (39%) were the top three reasons cited for making online purchases.
The findings of the Network International survey reveal that Asian expatriates are the most regular users of online payments platform with 35% using the facility between one and five times a week, followed by Emiratis (32%), Arab expats (31%) and Western expats (30%).
Commenting on the study findings, Bhairav Trivedi, Chief Executive Officer of Network International, said: "The adoption of online shopping among UAE residents is a step in the right direction. As the study reveals, customers are increasingly seeking convenient and secure forms of payment alternatives. This is especially relevant in the UAE as the country is certainly way ahead of the rest of the region with its high mobile penetration, combined with its relentless drive to move towards being a smart economy.
"At Network International, we expect online and mobile payments to assume a very important role in the Smart City initiative envisioned by the UAE leadership."
The study also found that adults in their 30's are leading the onlinepurchasing trend. People between the ages of 30-39 reported the most regular usage (36%) of online payments-between one and five times a week - followed by those aged above 40 at 33%. Younger residents in the age bracket of 18-29 were slightly lower with under a third(31%) of people making online purchases between one and five times a week.
The survey was conducted in Q2 2015, covering a sample size of 1020 UAE residents (both UAE citizens and expats) living in all seven Emirates of the UAE. Surveyed online by YouGov, the findings provide great insights into the spending behavior of UAE residents, especially with regards to the method of payments.
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About Network International
Established in 1994, Network International LLC is the largest acquirer in the UAE, and a leading payment solutions provider in the Middle East and North Africa region (MENA). The company's service offering comprises a comprehensive range of payment products and services for both the Issuing and Acquiring segments of banks, financial institutions and retail merchants. This includes credit, debit and prepaid card processing, ATM management and monitoring, merchant acquiring and processing, fraud management, e-commerce services and mobile solutions for the payments industry, with the objective of enabling speedy, secure and convenient payment transactions for customers. In addition, the company offers several value-add products including data analytics, scoring and loyalty solutions. Network International has Operation centers in the UAE, Egypt and India, with its corporate head office in Dubai. The company continues to invest in strategic partnerships that will increasingly see its influence spread across the region.
Network International is a Principal Member of Visa International and MasterCard International in the UAE and enjoys extension of its MasterCard License in other key countries. It is also a member of JCB and Union Pay card schemes, and it owns and manages the Diners Club International Franchise in the UAE, Egypt, Lebanon and Jordan. In 2013, the company launched a GCC based domestic scheme, Mercury, and partnered with Discover Financial Services (DFS) to allow global acceptance of Mercury cards on the Discover, Diners Club International and PULSE networks. Network International, a Payment Card Industry Data Security Standard (PCI DSS) certified company, is also a major player in the international remittance industry and owns a majority stake in TimesofMoney Ltd., a leading global online remittance and digital payments company facilitating cross-border remittances and domestic payments in emerging economies.
For further information on Network International, please contact:
Tricia Rego |Hiba Moussa
ASDA'A Burson-Marsteller
Dubai, UAE
Tel: 971-4-4507600 Fax: 971-4-4358040
Email: tricia.rego@bm.com|hiba.moussa@bm.com
© Press Release 2015
