PayPal survey: Almost half of UAE online shoppers prefer to buy from international vendors

By Team Feedbaac

According to a recent survey by e-online payment provider PayPal, nearly half of the UAE’s online shopping crowd has placed their orders from overseas online vendors in the last one year, which is actually a problem for locally based e-commerce sellers.

Interestingly, an average of 40% of these international transactions was done through a smartphone or tablet over the year. The US was the most preferred point of purchase, followed by China and India. Over 16% of these online shoppers bought from US-based retailers, in which the spending reached an estimate of AED 2.4 billion. The numbers go on as India accounting for 13% of the users, and 10% from Chinese sellers.

Kivanc Onan, PayPal’s Regional Senior Director of the Middle East & North Africa region, says “The main reason why these shoppers looked to overseas online vendors was because of product choice and the prices. In most cases, those products were not available locally — to a certain extent this could be due to profitability issues. Another reason why large numbers of local shoppers buy cross-border has to do with their personal life choices or hobbies.”

It should also be added that the prices offered from international websites and portals are better than the local deals.

The report also adds that “Gaining access to items not available in their own country and to a greater variety/availability of products/styles was also found to be a popular reason (each selected by 62 percent of those shopping from US) for having made purchases in the US”

PayPal also mentions that over 68% of the UAE’s adult population have bought something online this year, as compared to 63% of last year. These numbers include users from 32 different markets, including the UAE and Egypt.

Gulf News