Revealed: UAE retailers expect to grow by 20% in 2022

May 23, 2022 | By RetailME Bureau

Research released by finetch platform Adyen has revealed that UAE retailers are optimistic for growth for 2022. More than three-quarters (84%) of retailers expect to grow by 20% or more in 2022 and with so many planning to invest further, that number could be even higher. Last year, 73% of UAE businesses grew in revenue by 20% or more, across the retail, food and beverage, and hospitality sectors, which is more than the 67% growth witnessed on a global scale. It shows how focusing on digital transformation would help accelerate retailers’ growth and customer loyalty.

Adyen commissioned Opinium LLP to poll 1000 consumers and Censuswide to poll 200 businesses in the United Arab Emirates, and economic modelling by the Centre for Economic Business Research (Cebr).

Technology will play a significant role in helping merchants reach and exceed their growth expectations. When businesses incorporate technology across their functions, linking operations with payments and customer experience, the proportion of UAE businesses expecting to grow by 20% or more increases to 84%. Additionally, Cebr’s economic modelling found that accelerating digital transformation would add an additional 4.7 percentage points to the UAE’s retail sector’s growth rate over the next five years.

The technology opportunity to improve operations and the customer experience is significant for retailers and something consumers have come to expect. The majority of UAE consumers (83%) say they are more likely to shop with retailers that use technology to improve the customer experience. In fact, 61% of shoppers said they would be more loyal to retailers that let them buy things online and return them in-store.

However, the data shows that merchants are not fully ready to capitalize on this opportunity. Only 23% of UAE merchants allow customers to easily return items purchased online at their physical stores. Customer expectations are higher in the UAE, highlighting a huge opportunity for the brands that get it right.

Although the UAE is at the forefront of innovation with 66% of UAE businesses having invested in digitizing their operations to improve operations during the pandemic, which is 20% higher than the global average. There’s still room to improve because  86% of UAE consumers expect businesses to use technology to make their loyalty programs easier and more effective moving forward.

“Despite challenges as a result of the global pandemic, our research shows that UAE retailers have performed remarkably well compared to their global counterparts. Digital transformation and streamlined operations via improvements in online, in-app, and in-store payments channels, along with supply chain and inventory management improvements, resulted in enhanced business performance, which drove up sales by 54%. UAE retailers are confident for future growth, but to keep the momentum going, they will have to deliver cohesive cross-channel payments experiences to their customers,” Sander Maertens, Head of Middle East for Adyen.

Previous Article Next Article



Hani Weiss, Chief Executive Officer, Majid Al Futtaim Retail

In 1995 regional retail conglomerate Majid Al Futtaim introduced Frech grocery major 

Continue Reading

February 26, 2024 | By RetailME Bureau
Prashant Parameswaran, Managing Director and Chief Executive Officer of Tata Consumer Soulfull

Tata Soulfull, a leading name in the ‘good-for-you’ snacks and breakfast cereals 

Continue Reading

February 22, 2024 | By Rupkatha B
Jean-Luc Graziato, Chief Commercial Officer of Majid Al Futtaim – Retail and Alia Al Harmoodi, Acting CEO of the Environment, Health and Safety Agency

Majid Al Futtaim – Retail, which holds the exclusive franchise to operate 

Continue Reading

February 20, 2024 | By RetailME Bureau
Krishna Dhanak, Managing Director, Alpen Capital

In an exclusive interview Krishna Dhanak, Managing Director, Alpen Capital shared insights 

Continue Reading

February 19, 2024 | By Rupkatha B
Majed M. Al-Tahan, Co-founder & Managing Director, Danube Online

As digital transformation across the retail industry continues to accelerate, the expectations 

Continue Reading

December 19, 2023 | By RetailME Bureau
Frederic Levy-Perrault, CEO, Al Raya Supermarket

Saudi Arabia-based grocery retail chain Al Raya Supermarket serves over 100,000 customers 

Continue Reading

December 15, 2023 | By RetailME Bureau
Ahmad AR. BinDawood, Chief Executive Officer, BinDawood Holding

BinDawood Holding has a rich Saudi heritage, spanning over 50 years, 38 

Continue Reading

December 13, 2023 | By RetailME Bureau
Majid Al Futtaim Retail commits to Collaborative Impact Goals at COP28

Majid Al Futtaim Retail, which owns the exclusive rights to operate Carrefour 

Continue Reading

December 8, 2023 | By Rupkatha B
BinDawood Holding Company earns Honorary Shield for Compliance Excellence

BinDawood Holding Company has earned an Honorary Shield, a distinguished recognition by 

Continue Reading

December 6, 2023 | By RetailME Bureau
First Movers Coalition for Food to create up to $20-bn value chain for sustainable farming

The World Economic Forum, with support from the Government of the United 

Continue Reading

December 5, 2023 | By RetailME Bureau
Food consumption in the GCC to grow at a steady pace

Food consumption in the GCC is set to grow at a CAGR 

Continue Reading

November 29, 2023 | By RetailME Bureau
Carrefour urges customers to ‘Choose Better’

Carrefour, operated by Majid Al Futtaim in the UAE, has set up 

Continue Reading

November 28, 2023 | By RetailME Bureau

Download Images RetailME Magazine