The e-commerce market in MENA Region is considered as one of the fastest growing in the world with the growth being predominantly lead by the GCC region. The Kingdom of Saudi Arabia is amongst the strongest contenders and the most attractive market for the growth of e-commerce. Online shopping penetration in Saudi Arabia has a great uplift from 18% in 2015 to 40% in 2017.
In the same context, a new study launched by Ipsos came to illustrate the state of online shopping and e-commerce in Saudi Arabia.
Profile of Online Shoppers in Saudi Arabia
- 46% of online shoppers in KSA are males versus 32% are females.
- Younger generations are more likely to be online shoppers, with almost half of online shoppers in KSA are Millennials aged 25-34 years old and 44% aged 44%.
- Only 38% of online shoppers in KSA are local citizens, while 46% are Arab expatriates.
E-Commerce Payment Methods in Saudi Arabia
- Cash on delivery (47%) and Cards (46%) are the most used payment methods in KSA, followed far by digital payments (32%).
- Males are more likely to use Cards and digital payment, while females are more likely to use cash on delivery payment method.
- Online shoppers aged 45+ years are much more likely to use card payment with a rate of 64%, while younger age groups are more likely to use cash on delivery and other digital payment methods.
Top Purchased Categories in Saudi Arabia
A Graph Shows the Penetration of Online Shopping in Saudi Arabia by Category – 2018
Data were drawn from face to face surveys with 1000 individuals residing in Saudi Arabia (Nationals & Arab Expats) aged 15 years and above. Self-administered online surveys were also conducted with 1000 consumers residing in Saudi Arabia.