Things You Need to Know About E-commerce Business Setup in UAE

by Zaara 03, Jul 2017

Things You Need to Know About E-commerce Business Setup in UAE

The global market is witnessing the shift from brick to click, which has paved numerous business opportunities for the e-commerce sector to grow.

Digitization is the future, and Dubai has been accepting the innovations rapidly, with a vision to transform and tap the digital space. 

From hotels and restaurants to airports and airlines, the UAE is constantly adapting to a digital world, with e-commerce playing an essential role in its future.

Most business owners think that "how to set up an eCommerce business in Dubai" is the scariest part. However, it's not that haunting if one is aware of the core drivers required to boost the business.

Primary Considerations While E-Commerce Business Setup in Dubai 

As stated earlier, knowing the core parameters does help a business investor to grow, which involves:

1. The Overall Market Scenario in the Zone

The range of products sold online in the United Arab Emirates grows by the day. With more than millions of people living in the nation, it's no surprise that 84% of them go online to research products and purchase goods too. 

This number is even more significant considering that almost 90% of the population of expatriates living here are active internet users.

Doing market research helps the business investor better understand penetration moves and build effective strategies.

Have a look at the Ecommerce Scenario in MENA Region, which will give you an overall idea about the same.

2. The License Obtainment Process

Dealing with business operations in the UAE requires every business investor to hold a license that acts as a legal permit.

The permit is issued by the Department of Economic Development (DED). In the case of a free zone, the license gets published by the dedicated Free Zone Authority (FZA). Therefore, while setting up an e-commerce business, obtaining an e-commerce license is a must.

3. Website & App Framework & Strategies

Website and mobile app are specific platforms that an e-commerce company need to be on their toes. 

An e-commerce business is meant to provide an online shopping experience, and therefore, streamlining the strategies for the platforms does matter to grab the attention of an online audience.

4. The Role of Logistics & Warehouse

Logistics stands as a backbone for an e-commerce company. The Emirate of Dubai provides an opportunity for e-commerce companies to join hands with third party experts or even build their in-house teams.

5. Customer Acquisition & Retention Techniques

Customer acquisition is one of the productive activities mandatory for every e-commerce startup or an established firm. 

Loyal customers stand as an asset for any company, and thus, retaining them by providing excellent services, or products does matter to scale up the business.

The global scope of e-commerce is growing exponentially. Whether a startup or an established e-commerce unit, following the strategic footsteps can help you reach the goal efficiently and effectively.

Incorporating an e-commerce business in Dubai has become relatively flexible and can now efficiently be completed with an expert consultant like Commitbiz.com.

Our experts are well-versed with the business incorporation protocols and can assist you in the overall process. For more info, contact us today-we'd be glad to assist!

FAQs

What's the contribution of the e-commerce sector in the UAE?

In 2020, the e-commerce segment contributed 75% to the UAE's economy.

What are the famous payment gateways in the UAE?

The famous payment gateways in the UAE include:

  • Telr
  • Payfort
  • Checkout
  • 2Checkout,
  • CCAvenue
  • Pay Tabs
  • Cashu

Who are the top e-commerce players in the UAE market?

  • Souq.com
  • Ounass.ae
  • Amazon.ae
  • Groupon.ae

Who are the top logistics players in the UAE market?

  • Aramex
  • Emirates Post Group
  • Tristar Transport
  • Caravel Logistics
  • ATC Allied Transport

How to retain online customers?

  • Adopt email marketing strategies
  • Focus on customer delight
  • Hold a strong social media presence
  • Offer reward programs
  • Proceed with customized products

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