UAE consumers move into click-to-buy mode

With the growth of online shopping clubbed with mobile payment technology, it may not be long before traders start investing more into developing online applications than spending on renting stores.

Dan Stuart, MD, LivingSocial Middle East, that recently acquired Dubai’s GoNabit, says its registered users have been growing at a massive 30 to 50 per cent on a month-on-month basis and many of them were buying online for the first time ever.

It also recently launched its new mobile application for iPad and Android users and says about 2 to 12 per cent of all goods purchased have been through the use of its mobile application.

“This is a really good and positive movement forward, given that we just launched the application last week. The convenience it offers is that today, one can shop from anywhere with a mobile connectivity, be it sitting in a coffee shop or anywhere else,” he said.

According to him it will not be long before the shopping experience goes totally online.

“With the exceptions of ordering food and apparels, which you have to try on, most other goods can be purchased without being present in a shop. And with rapid technological advancement, such as the use of Microsoft’s Kinect motion technology, even this could change,” he added.

Following Microsoft’s decision to open up the use of its technology - that would map an individual’s body using its camera and infrared sensor - for use in businesses, several leading brands have joined the pilot programme.

Giving further momentum to the experience of online shopping is the widespread use of credit and debit cards in the Middle East market, says Stuart.

“The safety features are excellent. We have one of the largest transactions made using credit card in the Middle East and we have so far not faced any significant case of fraud. The very fact that vouchers have to be redeemed in person makes the misuse of cards very unlikely,” he adds.