The United Arab Emirates is ranked second globally in terms of shopping satisfaction, with 71% of consumers in the country incorporating digital features into their shopping experiences. A recent survey conducted by PYMNTS Intelligence and Visa Acceptance Solutions on 13,904 consumers and 3,512 merchants across seven countries revealed that there is a strong trend towards a ‘click-and-mortar’ shopping experience in the UAE, blending digital tools with physical locations. UAE consumers rely on an average of 14 different digital features for their in-store shopping experiences, with nearly 9 in 10 consumers depending on these digital aids. This presents an opportunity for UAE merchants to enhance their offerings to match consumer demand.
Salima Gutieva, the Vice-President and Country Manager for the UAE at Visa, highlighted the correlation between the use of digital features and consumer satisfaction. Click-and-Mortar shoppers in the UAE experience a 56% increase in satisfaction compared to in-store-only shoppers. However, the in-store-only experience in the UAE leads to even higher satisfaction rates compared to click-and-mortar shopping in other markets. Visa sees an opportunity to partner with UAE merchants to improve customer satisfaction and loyalty by integrating digital features into the already positive in-store experience.
Key findings from the survey include that 71% of UAE consumers use digital features in their shopping experiences, leading to higher satisfaction rates. Consumers in the UAE rely on features such as preferred payment methods, mobile apps or sites, easy-to-navigate online stores, and product details availability. While the number of digital features consumers use has increased over the past year, merchants are not providing 22% of the desired features, highlighting a gap between consumer demand and market supply. Click-and-mortar adoption rates have plateaued in the UAE in recent years, with almost three quarters of shoppers using online-only or click-and-mortar methods.
Demographics play a significant role in click-and-mortar shopping strategies in the UAE, with Millennial and Generation Z consumers driving the shift towards digital shopping experiences. There is scope for merchants to expand their digital offerings and cater to the demand for click-and-mortar shopping strategies. The grocery sector, in particular, has room for improvement, as only 45% of grocery shoppers in the UAE utilize digital aids due to insufficient offerings. To maintain high customer satisfaction levels, especially in the grocery sector, merchants must innovate and meet the digital needs of their customers.
Parents in the UAE are more likely to use click-and-mortar shopping strategies compared to other demographics, with 61% of parents with children under their care utilizing digital features in-store. There is a demand for features that cater to the needs of busy households, and tailoring digital offerings to this demographic will be crucial in meeting their specific needs. Overall, the survey highlights the importance of digital features in enhancing the shopping experience for UAE consumers and the opportunity for merchants to innovate and meet the evolving needs of their customer base.
