The sector in the Gulf Cooperative Council (GCC) countries alone is expected to grow to $308 billion by the end of 2023.
FREMONT, CA: The retail sector in the Middle East is on route to witnessing massive growth in 2022 and further. Consumers in the Middle East have high disposable incomes and substantial purchasing power. They fulfill their requirements from various retail outlets, ranging from the next-door grocer to gigantic hypermarkets. The promising news is that the market is anticipated only to expand. The sector in the Gulf Cooperative Council (GCC) countries alone is expected to grow to $308 billion by the end of 2023. Considering the relative ease of doing business, the retail sector is also one of the most competitive spaces in the region.
Transforming Retail in the Middle East
Retail in the Middle East was also massively impacted by the pandemic, and stores of all sizes were compelled to adapt. Consumers were presented with the conveniences of online shopping through websites and mobile applications. Nearly overnight, this transformation in consumer habits suggested that the decades-long strategy of retail through brick-and-mortar stores had to be diversified. Retailers discovered that to stay competitive and keep expanding, they had to adopt omnichannel fulfillment.
Technology Adoption Essential for Success in Middle East Retail
A report by McKinsey has identified the five major capability areas for success in e-commerce. “Operations, logistics, and customer support” were at the top spots. The swift, timely, and constant fulfillment of orders in an e-commerce model is paramount to customer satisfaction. Considering the enormous costs and intricacies of logistics at scale, retail brands in the Middle East must progress with the times and onboard modern technologies to optimize their functions and stay feasible in the long run. It is equally significant for retail brands to collaborate with logistics solution providers that comprehend their requirements and offer effective solutions that provide them with a competitive edge.