Saudi Arabia E-Retail Market to Grow with a steady pace until 2026

Surge in demand of in home shopping is driving the growth of Saudi Arabia E-Retail Market in the forecast years.

According to TechSci report on, “Saudi Arabia E-Retail Market By Segments (Apparel & Footwear, Groceries, Electronics & Appliances, Home Furnishing & Furniture, Others) By Region, Competition Forecast & Opportunities, 2026”,Saudi Arabia e-retail market has shown promising growth in historical years until 2019 and is expected to continue its growth in upcoming forecast years 2021 to 2026. Saudi Arabia e-retail market owes its growth to the factors like growing feasibility and product availability on the online portal along with the increasing disposable income among the youth population. Moreover, government of the country has laid certain policies and rules to benefit the sellers, distributors, consumers and online portals altogether. The government aid has strengthened the market position exponentially in the last five years and is anticipated to enhance the same in forecast years too. The Kingdom of Saudi Arabia is the largest country in the GCC countries and one of the top 20 richest countries in the world. The disposable income among the young population along with the surge in demand of imported goods from the other countries is driving the market growth of the Saudi Arabia e-retail market in the next five years.

E-retail market has recently started expanding its shares in the country at a rapid rate. With various payment methods available for the consumers the market is showing a robust growth in its shares. Various payment methods available for the consumers involve, cash on delivery, cards & wallets, online payment through net banking, etc. The convenience of paying for the products and services without even having to commute to the stores and outlets is a major driver for the market growth.

Various devices like smart phones, laptops, I-pads, etc. are also influencing the market growth. Mobile phones, with the high speed internet can be termed as the responsible factor for market growth. Saudi Arabia has one of the highest smartphone penetrations in the world, the factor coupled with the rising disposable income provides the technologically savvy consumers the experience of swift and fast shopping. Security concerns for the payment mode can be handled with the aid of cyber security services thereby strengthening the market growth further in the forecast period.

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Saudi Arabia e-retail market is segmented on the basis of segments, regional distribution and competitional landscape. Based on segments, the market is further fragmented into apparel & footwear, groceries, electronics & appliances, home furnishing & furniture, and others. Apparel & footwear segment is anticipated to dominate the market segment in the upcoming five years. The market growth can be attributed to availability of the international brands and presence of latest worldwide trends on the online platforms. These online platforms, run their own discounts and sales offers are major drivers of the market segment. Groceries are also expected to hold a significant share of the market owing to the daily requirements of the products and their availability of fresh products and home delivery services provided by the online portals. Schemes and offers like one-day delivery or lightning fast delivery are some of the offers that lures the consumers in demand of products and services in urgent basis. The ability to compare the product range as well as the best prices of the products is a major influencing factor of the market growth of the sub-segment electronics & appliances.

Some of the top players in the Saudi Arabia e-retail market are, Noon AD Holdings One Person Company LLC, (Amazon), Alibaba Group Holding Limited, Jarir Marketing Company,, Al Tayer Group Holding Company, Gulf Marketing Group Holding Company, Alshaya Group, Majid Al Futtaim Retail, Chalhoub Group, among others. The companies are involving themselves into research and development for the methods of better quality, and various quality analysis tests to provide the better products.

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“Recent outbreak of COVID-19 virus disrupted the offline retail market all over the world. Although lockdown was short lived in Saudi Arabia, the sudden closing of the market gave e-retail market plenty of room to bloom. With the immediate effect, consumers shifted to the online portals that provided desired product at reasonable prices and delivery services that promised safety and security gave the anticipated boom to the market growth. New players may work on the strategies of partnerships and better delivery services along with the more secure payment procedures and return policies to assert their presence in the market,” said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.

Saudi Arabia E-Retail Market By Segments (Apparel & Footwear, Groceries, Electronics & Appliances, Home Furnishing & Furniture, Others) By Region, Competition Forecast & Opportunities, 2026 has evaluated the future growth potential of Saudi Arabia e-retail market and provides statistics & information on market size, structure and future market growth. The report intends to provide cutting-edge market intelligence and help decision makers take sound investment decisions. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in Saudi Arabia e-retail market.


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