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30 April 2024

'34% of UAE residents do online transactions at least once a week'

More than a third of UAE residents have said that they make online purchases between one and five times a week. (File)

Published
By Wam

More than a third, 34 per cent, of UAE residents have said that they make online purchases between one and five times a week, with 5 per cent making purchases online more than five times a week, according to a survey of purchasing behaviour by Network International, a payment solutions provider in the Middle East. 

The most frequent use of online payments was for remittances to home countries, at 15 per cent, followed by 14 per cent making payment of utilities and 12 per cent making high value purchases such as property or cars. 10 per cent of respondents said they use online facilities to pay for children’s school fees. 

Whilst most residents prefer to use cash or debit cards to shop in-store for items such as groceries, clothes and household goods, 15 per cent of respondents said they went online to purchase electronic items such as TVs or smart phones. One in ten UAE residents said they purchased fast food or takeaways on the move using a mobile device. 

The ability to pay with a single click (50 per cent), robust security measures (46 per cent) and the advantage of purchasing on the move (39 per cent) were the top three reasons cited for making online purchases.

The findings of the Network International survey reveal that Asian expatriates are the most regular users of online payments platform, with 35 percent using the facility between one and five times a week, followed by Emiratis at 32 per cent, Arab expats at 31 percent and Western expats at 30 per cent.

Commenting on the study findings, Bhairav Trivedi, Chief Executive Officer of Network International, said, "The adoption of online shopping among UAE residents is a step in the right direction. As the study reveals, customers are increasingly seeking convenient and secure forms of payment alternatives. This is especially relevant in the UAE as the country is certainly way ahead of the rest of the region with its high mobile penetration, combined with its relentless drive to move towards being a smart economy.

"At Network International, we expect online and mobile payments to assume a very important role in the Smart City initiative envisioned by the UAE leadership."

The study also found that adults in their 30’s are leading the online purchasing trend. People between the ages of 30-39 reported the most regular usage at 36 per cent of online payments  between one and five times a week, followed by those aged above 40 at 33 per cent. Younger residents in the age bracket of 18-29 were slightly lower with under a third, or 31 per cent, of people making online purchases between one and five times a week.

The survey was conducted in Q2 2015, covering a sample size of 1,020 UAE residents, both UAE citizens and expats, living in all seven Emirates of the UAE. Surveyed online by YouGov, the findings provide great insights into the spending behavior of UAE residents, especially with regards to the method of payment.