UAE Online Grocery Delivery Market

UAE Online Grocery Delivery Market Growth, Share, Demand, Size, Rising Trends, Opportunities, Business Challenges and Forecast 2032: SPER Market Research

Online grocery delivery is a basic food item delivery service that teams up with supermarket chains to convey from different areas. Subsequently, they give many items to meet every dietary necessity. Shopping for food online for home delivery permits the buyer to shop from the solace of their lounge area table, love seat, or office, without exploring swarmed passageways and long clerk lines. Moreover, the expression “online delivery services” alludes to the assortment of merchandise from a retailer and their conveyance to a buyer. That implies the shopper can have additional opportunity to do the things they appreciate because of home deliveries of food.

According to SPER Market Research, UAE Online Grocery Delivery Market Size-By Product Category, By Platform, By Mode of Payment, By Age Group, By Gender – Regional Outlook, Competitive Strategies and Segment Forecast to 2032’ states that the UAE Online Grocery Delivery Market is estimated to reach USD 6.87 billion by 2032 with a CAGR of 29.18%.

Online grocery delivery organizations are enrolling huge development in the UAE market attributable to the developing prevalence of web- based business stages among clients and further developing coordinated factors in the country. Numerous web-based delivery stages, for example, Deliveroo UAE and Careem, offer 15-minute conveyance to satisfy the developing customer need for quick delivery. These stages gain by further developed strategies organizations and influence advances, for example, computer-based intelligence, AI, and information investigation to smooth out activities, streamline stock administration, and improve client experience. Furthermore, the joining of advanced instalment frameworks and portable applications has made shopping advantageous, empowering consistent exchanges and continuous following of requests.

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One of the principal factors obstructing the development of the online grocery market in the UAE is the stock expenses borne by the organizations in the web-based basic food item market. The organizations need to make enormous speculations to oversee and store some basic foods that should be followed through on time. Moreover, a few items, similar to foods grown from the ground or dairy items, have a restricted timeframe of realistic usability, which raises the risk of misfortune during capacity when the interest is low. High functional expenses, including warehousing, operations, and innovation framework, further strain benefit. Organizations likewise face difficulties in keeping a solid virus chain for transitory merchandise, guaranteeing ideal deliveries, and overseeing returns and discounts, which adds to the intricacy and cost.

The worldwide economy’s backhanded impacts of the pandemic and the Covid episode affect the UAE’s internet- based grocery market. All offices in the UAE were shut, except for helpful social orders, general stores, supermarkets, and drug stores, to stop the spread of Coronavirus. Indeed, even all through the time of development limitations, they stayed open all day, every day to serve individuals.

Key Players: 

Dubai accounts for the largest market share in terms of UAE Online Grocery Delivery Market. The region was dominant due to high population density and urbanization, high levels of internet and smartphone usage and well-developed infrastructure and logistics network. Some of the major players in the UAE Online Grocery Delivery Market are Amazon, Bawiq, Bulkwhiz, Carrefour, Farmbox, others.

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UAE Online Grocery Delivery Market Outlook

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UAE Online Grocery Delivery Market

UAE Online Grocery Delivery Market Trends, Revenue, Scope, Share, Growth Strategy, Business Challenges, Future Opportunities and Forecast 2032: SPER Market Research

The term “grocery delivery” describes the service that merchants and specialty businesses offer, allowing clients to order groceries online and have them delivered right to their door. With this option available, clients may shop without having to physically visit a store. Customers often peruse an online catalogue, choose the products they want to buy, and provide their address and preferred delivery time. Typically, secure online payment channels are used to settle payments for the groceries and delivery costs. Due to their ease of use, grocery delivery services have grown in popularity, particularly among families, working people, and people with mobility issues. They make it simpler to get necessities without having to leave the house.

According to SPER market research, UAE Online Grocery Delivery Market Size – By Product Category, By Platform, By Mode of Payment, By Age Group, By Gender – Regional Outlook, Competitive Strategies and Segment Forecast to 2032’ state that the UAE Online Grocery Delivery Market is predicted to reach USD 6.87 billion by 2032 with a CAGR of 29.18%.

Online grocery shopping is a desirable alternative for many expats – who make up a big percentage of residents – because they frequently have hectic schedules and little time for shopping. Moreover, online grocery stores frequently provide loyalty programs, discounts, and promotions to draw clients and entice them to make additional purchases. Furthermore, the way that people shop is evolving quickly, with an increasing number of individuals choosing to shop online. It is anticipated that younger generations, who are more tech-savvy, would continue to drive the rise of the online grocery business. Additionally, the UAE has a high per capita income, which encourages people to spend money on upscale groceries and other luxury goods and online grocery shops are capitalizing on this trend by providing high-end brands and items.

Initially, delivery operations were hindered by logistical challenges such as intricate urban environments and traffic congestion. Furthermore, maintaining product freshness and quality while in transit is a major challenge. Adoption is further hampered by cultural preferences for in-person purchasing experiences and worries about the security of internet payments. In addition, the fierce rivalry among grocery delivery services demands high marketing and customer acquisition costs and changes in consumer purchasing habits and unpredictability in the economy might affect market demand. Finally, licensing processes and regulatory requirements can be onerous, which makes running a firm more difficult.

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The global market suffered as a result of the COVID-19 pandemic’s abrupt outbreak. Strict lockdowns and other government measures implemented in the wake of the crisis caused industry closures and interfered with supply chain activities in multiple end-use verticals. Sales of perishable commodities were significantly impacted, which had a negative effect on market revenues, due to the increasing panic purchasing and stockpiling. To stop the spread of COVID-19, all establishments in the United Arab Emirates were closed, with the exception of pharmacies, supermarkets, cooperative societies, and grocery stores. They continued to be available to assist the public around-the-clock even during the time of movement limitations. Overall, the pandemic has had a positive impact, fuelling the market as demand surged due to stay-at-home protocols.

The cities of Dubai and Sharjah drive the market due to a high population of working professionals. Additionally, some of the key market players are Bawiq, Bulkwhiz, Carrefour, Lulu Hypermarket, Noor, Spinney’s and others.

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UAE Online Grocery Delivery Market Outlook

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UAE-Online-Grocery-Delivery-Market

UAE Online Grocery Delivery Market Share, Growth Drivers, Revenue, Scope, CAGR Status, Challenges, Future Opportunities and Forecast 2032: SPER Market Research

The UAE’s high rate of internet use, expanding working population, and increase in single-parent families have all contributed to the growth of e-grocery services. The number of firms in the UAE that deliver groceries has grown over time. In addition to food and drinks, businesses have broadened their product offerings to include home products, fresh food, baby food, fish, and meat.

According to SPER market research, UAE Online Grocery Delivery Market Size- By Product Category, By Platform, By Mode of Payment, By Age Group, By Gender – Regional Outlook, Competitive Strategies and Segment Forecast to 2032 state that the UAE Online Grocery Delivery Market is expected to be valued USD 6.87 billion by 2032.

The UAE has a high internet penetration rate, a growing working population, and an increase in single-parent households, all of which have contributed to the growth of e-grocery services. The number of grocery delivery firms in the UAE has steadily grown over time. Businesses have expanded their product ranges beyond food and drinks to include home products, fresh food, baby food, fish, and meat.

High internet penetration, a growing working population, and an increasing number of single families have all contributed to the expansion of e-grocery services in the UAE.  The number of organisations that provide grocery delivery services in the UAE has grown throughout the years. Companies’ product portfolios have grown beyond food and drinks to include home products, infant food, fresh food, fish and meat, and other areas.

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Online grocery sales in the region have lately increased as more individuals avoid crowded venues and instead purchase online because to the corona outbreak.  The average basket size of internet orders grew by 15-20 times during the corona epidemic. The average delivery time for Omnichannel enterprises during the epidemic jumped to 8-10 days. On the other hand, pureplay and marketplace enterprises provided groceries delivery within 2-4 days and one day, respectively.

UAE Online Grocery Delivery Market Key Players:

The UAE Online Grocery Delivery Market report offers market data including competitive landscape, revenue analysis, market segmentation, and thorough analysis of major market players such as; Bawiq, Bulkwhiz, Instashop, Kibsons, Carrefour, Farmbox, Lulu Hypermarket, Noon, The Grocer, Trolley.ae.

UAE Online Grocery Delivery Market Segmentation:

The SPER Market Research report seeks to give market dynamics, demand, and supply forecast for the years up to 2032. This report contains statistics on product type segment growth estimates and forecasts.

By Product Category: 

  • Baby Care
  • Beauty & Health
  • Fresh Foods
  • Household Products
  • Packaged Foods & Beverages
  • Personal Care

By Platform:

  • Desktop Website
  • Mobile Application

By Mode of Payment: 

  • Card on Delivery
  • Cash on Delivery
  • Pre-Delivery Online Payment

By Age Group: 

  • 18-24 years
  • 25-34 years
  • 35-44 years
  • 45+ years

By Region:

  • Abu Dhabi
  • Dubai
  • Sharjah
  • Rest of UAE

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UAE Online Grocery Delivery Market Future Outlook

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UAE Online Grocery Delivery Market

UAE Online Grocery Delivery Market Growth, Demand, Investment Opportunities, Report 2023, Under Covid-19 Impact Analysis, Key Players and Forecast Till 2032: SPER Market Research

According to SPER Market Research, The UAE has a high rate of internet adoption, a growing working population, and an increase in single-parent families, all of which have helped e-grocery services grow. The number of companies in the UAE that deliver groceries has increased over time. In addition to food and beverages, businesses have expanded their product lines to cover a wide variety of items, including household goods, fresh food, baby food, fish, and meat. It is projected that demand will rise. Businesses are urged to focus on improving their ties with suppliers and grocery stores in order to fulfill customer orders. Future innovations like warehouse automation, voice ordering, drone delivery, and others are expected to increase demand. Future market consolidation is expected as large-cap companies with strong brands acquire lesser-known businesses.

UAE Online Grocery Delivery Market Overview:

  • Forecast CAGR (2022–2032): 29.18%
  • Forecast Market Size (2032): 6.87 billion

The coronavirus outbreak and the pandemic’s indirect impacts on the world economy have significantly impacted the UAE’s online grocery business. To stop the spread of COVID-19, all facilities in the UAE were shut down, with the exception of cooperative societies, supermarkets, food stores, and pharmacies. They were open round-the-clock to serve the public, even during the time when there were movement limitations from 8 p.m. to 6 a.m. The UAE’s telecom regulator, the Telecommunications Regulatory Authority (TRA), published a list of 22 applications of online shops supplying food and other necessities during the pandemic to encourage its inhabitants to stay at home and only go out for necessary chores. More people are avoiding crowds and turning to quieter areas as a result of the corona pandemic.

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The UAE Online Grocery Delivery Market study provides market data by competitive landscape, revenue analysis, market segments and detailed analysis of key market players such as; Amazon, Bawiq, Bulkwhiz, Carrefour, Farmbox, Instashop, Kibsons, Lulu Hypermarket, Noon, The Grocer, Trolley.ae.

SPER Market Research study aims to provide market dynamics, demand and supply with yearly forecast to 2032. This report provides data for growth estimates and forecasts for product type segment – By Product Category(Baby Care, Beauty & Health, Fresh Foods, Household Products, Packaged Foods & Beverages, Personal Care), By Platform (Desktop Website, Mobile Application), By Mode of Payment (Card on Delivery, Cash on Delivery, Pre-Delivery Online Payment), By Age Group (18-24 years, 25-34 years, 35-44 years, 45+ years), By Gender (Female, Male).

This report also provides the data for key regional segments of Abu Dhabi, Dubai, Sharjah, Rest of UAE.

This study also encompasses various drivers and restraining factors of this market for the forecast period. Various growth opportunities are also discussed in the report.

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UAE Online Grocery Delivery Market Scope

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