Why 4 in 10 UAE online shoppers abandon their shopping baskets

Ever tried to book a ‘fantastic’ deal on one of the retail websites and found the price ballooning right at check-out due to extraneous fees and charges being added to it? If you’ve abandoned that shopping basket right before making the payment, you’re not alone.

A new study maintains that 43 per cent of the UAE’s online shoppers have abandoned their shopping basket in the last three months. Of those, 31 per cent decide against purchasing because they find the product cheaper elsewhere, and 26 per cent blame the e-commerce sites themselves for adding extra fees at check-out.

This is according to research conducted by YouGov, which said in its report that local brands need to be more transparent in their online deals so as to win over the trust of the customer.

“If local brands want to meet their projected growth rates and become household names in the UAE, they are going to have to be 100 per cent transparent with customers, in addition to delivering a unique experience online – be that through free delivery, promotions or lower prices,” said YouGov’s CEO Sundip Chahal.

Looking at the most popular purchase channels online, the research shows that more than a third (35 per cent) of those who have shopped online in the past 3 months have used their smartphone to make a purchase, and just 23 per cent prefer to use their tablet for e-commerce transactions.

According to the company’s media statement today, the study also reveals that whilst 57 per cent of online shoppers have used their credit card to shop online in the last 3 months, cash on delivery is nearly as popular, used by 48 per cent. In addition, the study found that, on average, online shoppers in the UAE purchase around 5 items every 3 months.

Whilst many industry commentators have stated that poor internet security and payment processing tools are holding e-commerce back, research reveals that consumers are complaining that prices through e-commerce sites do not represent significant cost savings.

More than 1,000 UAE residents were surveyed using YouGov’s e-commerce index. The company also ranked the brands that it maintains are currently getting it right: “Carrefour UAE was voted number one for best value for money, followed by Cobone in second place, and Groupon in third,” it says in the statement.

“As for the brand best known for trust, Carrefour UAE, again, claimed the top spot, followed by Geant Online who was the second most trustworthy, and Cobone came third. When asked about the website best known for design and usability, UAE residents voted Cobone in first place, whilst Best Buy UAE took second place and JadoPado took third,” it noted.

[Image via Shutterstock]

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