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Platform Delivery - United Arab Emirates

United Arab Emirates

The Platform Delivery market in the United Arab Emirates is projected to reach a revenue of US$378.60m in 2024.
It is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 2.42%, resulting in a projected market volume of US$426.70m by 2029.
By 2029, the number of users in the Platform Delivery market is expected to reach 2.0m users.
The user penetration in the market is anticipated to be 18.9% in 2024 and is projected to increase to 20.3% by 2029.
The average revenue per user (ARPU) is expected to be US$209.20.
In a global comparison, China is expected to generate the highest revenue in the Platform Delivery market, amounting to US$166,800.00m in 2024.
Additionally, China is projected to have the highest user penetration rate in the market, reaching 52.8%.
The United Arab Emirates is experiencing a surge in platform delivery services, with a growing number of local and international companies entering the market to meet the increasing demand for convenient and fast delivery options.

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Analyst Opinion

The Platform Delivery market in United Arab Emirates has been experiencing significant growth in recent years.

Customer preferences: Customers in United Arab Emirates have shown a strong preference for on-demand, convenient and efficient services. This has led to an increase in demand for platform delivery services such as food delivery, grocery delivery, and courier services. Customers are increasingly using mobile applications to order goods and services, which has further fueled the growth of the platform delivery market.

Trends in the market: One of the major trends in the platform delivery market in United Arab Emirates is the increasing competition among service providers. With the rise in demand for platform delivery services, several new players have entered the market, leading to increased competition. This has resulted in service providers offering more competitive pricing and improving service quality to attract and retain customers.Another trend in the market is the increasing adoption of technology to improve delivery services. Service providers are using advanced technologies such as artificial intelligence (AI), machine learning (ML), and data analytics to optimize delivery routes, improve delivery times, and enhance the overall customer experience. This has resulted in faster and more efficient delivery services, which has further boosted the demand for platform delivery services.

Local special circumstances: United Arab Emirates has a large expatriate population, which has led to an increase in demand for platform delivery services. Expatriates often have busy schedules and may not have the time or knowledge to navigate local markets, making platform delivery services an attractive option.Moreover, the COVID-19 pandemic has further accelerated the growth of the platform delivery market in United Arab Emirates. With restrictions on movement and social distancing measures in place, more customers are opting for home delivery services, leading to a surge in demand for platform delivery services.

Underlying macroeconomic factors: United Arab Emirates has a favorable business environment, with a well-developed infrastructure and a supportive government. The government has been actively promoting entrepreneurship and innovation, which has led to the emergence of several start-ups in the platform delivery market.Furthermore, United Arab Emirates has a high per capita income and a large expatriate population, which has resulted in a high demand for platform delivery services. The country has a well-developed e-commerce market, which has further boosted the growth of the platform delivery market.In conclusion, the platform delivery market in United Arab Emirates has been growing rapidly due to increasing customer preferences for on-demand, convenient, and efficient services, the adoption of technology to improve delivery services, a large expatriate population, and a favorable business environment. The market is expected to continue to grow in the coming years, driven by increasing competition, technological advancements, and changing customer preferences.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on Gross Merchandise Value (GMV) and represent what consumers pay for these products and services. The user metrics show the number of customers who have made at least one online purchase within the past 12 months.

Modeling approach / Market size:

Market sizes are determined through a bottom-up approach, building on predefined factors for each market. As a basis for evaluating markets, we use annual financial reports of the market-leading companies, third-party studies and reports, as well as survey results from our primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, GDP per capita, and internet connection speed. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing. The main drivers are internet users, urban population, usage of key players, and attitudes toward online services.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. GCS data is reweighted for representativeness.