The
report titled “UAE Online
Grocery Delivery Market Outlook to 2025- Driven by Increasing Working
Population, Introduction of Express Delivery and Regional Expansion" provides a comprehensive analysis of Online Grocery Delivery
Market in UAE. The report covers various aspects including the current online
grocery delivery scenario in UAE, need & opportunities describing the
target addressable market, addressable gap in the market and possible
solutions.
It
also covers current supply and demand in the region, detailed working of
marketplace, Onmichannel and pureplay operating model, trends, developments,
challenges, seasonality trends, current & upcoming technologies
facilitating online grocery delivery industry, revenue streams and marketing
strategies driving the industry. It gives detailed explanation of competitive
scenario including cross comparison between major players, SWOT, and detailed
company profiles of major players and concluding with future scope and analyst
recommendations.
Market Overview and Demand- Supply Scenario
Demand by Product Category (Food & Beverages, Household
Supplies, Beauty and Health, Baby & Kids and Fresh Food)
Food
& Beverages mapped as most demanded product category. This was followed by
household supplies, beauty & health, baby & kids and fresh food.
Carrefour, Lulu Hypermarket, Bawiq, El Grocer, Talabat specializes are major
players in food & beverage category.
Demand by Region (Dubai, Abu Dhabi & Other Emirates)
Dubai
and Abu Dhabi mapped as major cities based on demand and supply of online
grocery services. This is mainly due to the concentration of population in
these regions. Working professionals, who are the major end users of online
grocery delivery services, are concentrated in Dubai and Abu Dhabi.
Demand by Mode of Payment (Pre Delivery Online Payment, Card
on Delivery and Cash on Delivery)
The
demand is still dominated by pre delivery online payment followed by card on
delivery and cash on delivery. People who order online are usually not present
to collect delivery and therefore pre-payment is preferred. In Dubai and Abu
Dhabi majority of household chores are taken care by house helps and they
usually collect the order delivery therefore customer prefers online mode of
payment.
Competitive Landscape
The
industry is fragmented with presence of more than 25 players operating across marketplace, pureplay and
omnichannel model. Delivery Cost, Delivery Time, App Interface, Discounts &
Offers, Return Policy, Ease of Payment have been major factors influencing
customer behavior. The major players include Carrefour, Instashop, Lulu
Hypermarket, El Grocer, Kibsons, Bulkwhiz and Bawiq. Companies with large
product assortment, wide regional presence and express delivery are indentified
as clear leaders in the industry.
Operating Models
Service
providers have been following marketplace, Pureplay and Omnichannel model to
deliver customer orders in UAE. Instashop,
Bawiq, El Grocer has been following marketplace model in UAE. Kibsons, Bawiq, Noon, Amazon follows
pureplay model. Whereas Carrefour, Lulu
Hypermarket, Aswaaq, Choithrams follows Omnichannel model.
Impact of COVID-19
Online
grocery sales in the region have surged recently, as more people are avoiding
crowded places and turning to online shopping owing to corona pandemic. Average basket size of online order has
increased to 15-20 times during the corona pandemic. Average delivery time for
Omnichannel companies during the pandemic increased to 8-10 days. On the other
hand, pureplay and marketplace companies were offering grocery delivery within
2-4 days and one day respectively.
Future Outlook and Projection
The
demand is expected to grow with a CAGR of 22% on the basis of GMV between 2019
and 2025. Companies are anticipated to focus on expanding tie ups with
suppliers & grocery stores to fulfill customer orders. The demand is
expected to be driven by upcoming technologies such as Drone Delivery,
Warehouse Automation, Voice Ordering and others. Market consolidation is
expected in future as players with heavy financial backing and better brand
value will acquire small players.
Key
Segments Covered: -
By Region
Dubai
Abu
Dhabi
Other
Emirates
By Age Group
18-24
years
25-34
years
35-44
years
45+ years
By Product Category
Food
& Beverages
Household
Supplies
Beauty
and Health
Baby
and Kids
Fresh
Food
By Gender
Male
Gender
By Mode of Payment
Pre-Delivery
Online Payment
Card
on Delivery
Cash
on Delivery
Companies
Covered
Carrefour
Lulu
Hypermarket
Instashop
Kibsons
El
Grocer
Trolley.ae
Bawiq
Amazon
Noon
Farmbox
Bulkwhiz
Key Target Audience
Online
Grocery Delivery Companies
Supermarkets
& Hypermarkets
E-commerce
Companies
Food
Delivery Companies
Investors
Time Period Captured in the Report:-
Historical Period:
2016–2019
Forecast Period:
2020-2025
Key Topics Covered in the Report:-
Difference
between Online & Offline Grocery Shopping. Why Online Grocery is the Way
Forward?
Target
Addressable Audience
Supply
Ecosystem and Competition Parameters
Demand
Scenario, Target Customer and Factor Influencing Consumer Behavior
Technologies
Facilitating Online Grocery Delivery Industry
Upcoming
Technologies in Online Grocery Delivery Industry
Cross
Comparison of Operating Models (Marketplace, Pureplay and Omni-channel)
Revenue
Streams
Marketing
Strategies
Addressable
Gap in the Market and Possible Solutions
Emerging
Business Strategies
Best
Practices in Business
Seasonality
Trends
Covid-19
Impact on UAE Online Grocery Delivery Market (Impact on KPIs, Monthly Orders,
Impact on Consumer Behavior, What companies did to meet Excess Demand?)
Analyst Recommendations
For More Information on the Research Report,
refer to below links: –
UAE Online Grocery Delivery Industry Future
Related Reports by Ken Research: -
Contact Us: -
Ken Research
Ankur Gupta, Head Marketing & Communications
Ankur@kenresearch.com
+91-9015378249
