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2018 Middle East electricity supplier development trend!
Release time:2018-04-16 Browsing:1483 Times

The Middle East region is located at the junction of Asia, Africa and Europe, and is one of the important regions involved in the “Belt and Road” initiative. In this case, the Middle East has become the choice of many Chinese e-commerce companies. What will the trend of e-commerce in the Middle East in 2018 be?

1. The e-commerce competition environment is further aggravated

The competition faced by e-commerce companies does not only come from peers.

For example, competition from traditional retailers: Majid Al Futtaim, the largest mall owner and operator in the region, owns a share of fetchr; Al Tayer, a family-owned company in the Middle East, launched electronic retailer Ounass.

And competition from the Internet giant: The only Unicorn in the Middle East Careem, also launched its own fashion e-commerce site DukkanCareem. It can be predicted that there will be more giants wanting to share a share in the fast-growing e-commerce.

2. Muhammad Alabar will continue to invest in the Middle East e-commerce eco-chain

In 2017, Mohamed Al-Arabir has demonstrated his ambitions in the field of e-commerce in the Middle East in all directions: he launched the e-commerce Noon, acquired JadoPado, and very tyrannically shut down JadoPado's multi-year operations; he purchased fashion electricity. Namshi 51% stake in the business.

In addition, he also “buy and buy” in the entire e-commerce industry chain: As early as 2016, his two investment groups acquired a 16.45% stake in Aramex, the Middle East logistics leader; in May 2017, he also Acquired most of the shares in MEVP, which is one of the most active early investors in the Middle East and an early investor in many local e-commerce companies.

Rashid Alabbar, the son of Alabard, also founded the online fashion website Sivvi.com in 2014.

Mohamed Al-Arab has been determined to create the Middle East version of "Alibaba". In 18 years, he will certainly be able to see his big acquisitions.

Noon or will impact Souq's position

Noon was late in the line and did not have much action in 2017. In early 2018, Noon began to “enlarge the game” and advertised in the light show of the world’s tallest building, the Burj Khalifa. What will it do in this year's performance? Will it impact the status of Soup's boss? It is still a mystery.

4, Saudi Arabia will become the main battlefield of E-commerce war

In 2017, Saudi Arabia seized countless headlines and released a number of major decisions that made it worthwhile. The new Crown Prince has already expressed his determination to embrace technology. Once the once closed Saudi market opened, the potential is enormous. The Saudi Arabia Information and Communications Technology Commission (CITC) estimates that the local B2C e-commerce market is worth 8 billion U.S. dollars, which was 2.7 billion U.S. dollars in 2015.

Of the major e-commerce platforms in the Middle East, two are focusing on the Saudi market, namely Wadi and Jollychic, which have the fastest growth rates.

Saudi Arabia’s e-commerce market has also been closely watched by capital. Recently, e-commerce financing has become more frequent. On December 18, 2017, Golden Scent, a beauty e-commerce provider headquartered in Sat Dadman, received Round A financing. On January 9, 2018, Resal, a gift e-commerce company headquartered in Saudi Jeddah, announced that it has secured millions of dollars in angel investment.

Before the giant Noon was founded, he decided to set up his headquarters in Riyadh. In 2018, the snatch against the Saudi market will be even more intense.

5, logistics and other infrastructure will continue to improve

In 2017, along with the rapid development of e-commerce, the local logistics industry also ushered in the peak of development. Fetchr received US$41 million in financing in May 2017. Since then, it has grown rapidly and orders have soared, especially orders from China. According to Fetchr insiders, 60% of its business is from Chinese e-commerce.

In addition to Fetchr, Wing.ae, One Click and other similar types of companies have also received financing. In 2018, there will be more capital and entrepreneurs entering the Middle East. The logistics infrastructure in the Middle East will continue to improve on this basis.

The above content belongs to the author's personal point of view!

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