UAE Online Grocery Market Overview

Base Year: 2023

Historical Years: 2018-2023

Forecast Years: 2024-2032

Market Size in 2023: USD 2.7 Billion

Market Size in 2032: USD 15.4 Billion

Market Growth Rate (CAGR) 2024-2032: 21.60%

According to IMARC Group's report titled "UAE Online Grocery Market Report and Forecast 2024-2032," the market reached USD 2.7 billion in 2023. Looking forward, IMARC Group expects the market to reach USD 15.4 billion by 2032, exhibiting a growth rate (CAGR) of 21.60% during 2024-2032. The market is expanding rapidly, driven by increasing digital adoption, convenience, and consumer preference for online shopping.

UAE Online Grocery Market Trends and Drivers:

The online grocery market in UAE is expanding due to several key factors, including increased internet access, widespread smartphone adoption, and a shift in consumer behavior toward digital shopping. The COVID-19 pandemic significantly accelerated this trend, as consumers turned to online grocery platforms for safer and more convenient options. In response, major retailers and e-commerce companies have strengthened their digital presence and invested in user-friendly mobile apps to enhance service speed and efficiency. Additionally, government initiatives promoting cashless payments and robust digital infrastructure have further fueled market growth.

Rising demand for fresh produce and organic products is also shaping the UAE online grocery market. Health-conscious consumers increasingly prioritize wellness and seek healthier options, such as organic fruits, vegetables, and dairy products. To meet this demand, online grocery platforms are partnering with local farms and sustainable suppliers to offer a variety of organic and farm-fresh options. Technological advancements, including AI-powered inventory management, personalized recommendations, and faster delivery services, are enhancing customer experiences and encouraging repeat purchases. Subscription models and loyalty programs are also gaining popularity, providing customers with discounts and tailored offers. As digitalization reshapes the grocery sector, the UAE online grocery market is anticipated to see continued growth, driven by convenience, innovation, and evolving consumer preferences.

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UAE Online Grocery Industry Segmentation:

The report has segmented the market into the following categories:

Product Type Insights:

  • Vegetables and Fruits
  • Dairy Products
  • Staples and Cooking Essentials
  • Snacks
  • Meat and Seafood
  • Others

Business Model Insights:

  • Pure Marketplace
  • Hybrid Marketplace
  • Others

Platform Insights:

  • Web-based
  • App-based
  • Purchase Type Insights:
  • One-Time
  • Subscription

Regional Insights:

  • Dubai
  • Abu Dhabi
  • Sharjah
  • Others

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Competitive Landscape:

The report offers an in-depth examination of the competitive landscape. It includes a thorough competitive analysis encompassing market structure, key player positioning, leading strategies for success, a competitive dashboard, and a company evaluation quadrant.

Key highlights of the Report:

  • Market Performance (2018-2023)
  • Market Outlook (2024-2032)
  • COVID-19 Impact on the Market
  • Porter’s Five Forces Analysis
  • Strategic Recommendations
  • Historical, Current and Future Market Trends
  • Market Drivers and Success Factors
  • SWOT Analysis
  • Structure of the Market
  • Value Chain Analysis
  • Comprehensive Mapping of the Competitive Landscape

Note: If you need specific information that is not currently within the scope of the report, we can provide it to you as a part of the customization.

About Us:

IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provide a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.

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