MENA, Africa, Central Europe, and India combined represent only 2.5% of the global e-commerce market, indicating the tremendous growth opportunity in the region. By focusing on the MENA region, it must be noted in the following:
- MENA e-commerce market grew by 23% in 2015 to reach a total size of $39B, and it’s expected to grow to $51B by 2017.
- The most growth occurred in the UAE with a total size $10.25B in 2015, followed by KSA, then Egypt.
- Twitter, Instagram, and Facebook are the key social media channels used organically by almost all e-commerce players.
- Almost half of the e-commerce companies surveyed are using Snapchat, and many have only recently started experimenting with the platform.
- Facebook is the most common advertising platform used by marketers with rate 92%. Instagram and Twitter are the secondary platforms with rate 62% and 54%.
- Facebook is capturing about 2/3 of digital ad spend, with significantly smaller being spent on Instagram, Twitter and YouTube.
- 61% of companies surveyed have a mobile app and another 31% are currently building one.
- Many of the e-commerce companies surveyed do not gather data about their customers age, and don’t have age-specific strategies or strategies that specifically target Millennials.
- The largest proportion of customers (40%) is Millennials, 20-35 years of age, representing almost 2/3 of the customer base.
- The top challenge that face e-commerce players surveyed is a consumer education with rate 20%, and the top opportunities are improving website experience, followed by leveraging big data.
For more information, please download the “E-Commerce Insights and Best Practices in MENA 2016” full report.