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The UAE ecommerce sector has quickly recovered from the effects of the Iran conflict, as most families preferred ordering from home.

Data from Redseer Consulting shows food and beverage delivery has increased sharply by 18 percent since February this year. Beauty and personal care is up 15 percent, fashion up 14 percent and long-shelf grocery (food and household products) by 11 percent.

“This sudden jump in E-commerce is possible due to the readiness of the E-commerce eco-system in the UAE – the most advanced for digital economy in the Middle East – and we are all proud of all the players in the eco-system, including E-commerce distributors like ourselves, the importers who had large inventory to meet the rising demand, the delivery bikers and vehicles who ensured timely deliveries of the essentials to the customers,” Shahzad Ahmed, Chairman of Blue Ocean Global Group, says.

“Most consumers do not realise that it is the delivery boys who have been active throughout the recent weeks to ensure that the products are delivered to customers on time – amid uncertainty. It is important to reflect on their courage, while the rest of us were largely confined to the comfort of home. “Thanks to the UAE’s dynamic leadership and we all are proud of the UAE, the government and the people for ensuring utmost safety during challenging times,” he adds.

The UAE’s E-commerce market grew nearly by 12.9 per cent annually, reaching US$34.63 billion in 2025, according to a report by Research and Markets, a global market intelligence provider. 

“The ecommerce market in the region has experienced robust growth during 2020-2024, achieving a CAGR of 10.1 percent. This upward trajectory is expected to continue, with the market forecast to grow at a CAGR of 10.2 percent from 2025 to 2029. By the end of 2029, the ecommerce market is projected to expand from its 2024 value of US$30.67 billion to approximately US$51.14 billion,” Research and Market report said.

Smartphone usage boosts E-commerce adoption worldwide. The number of smartphone users in the UAE is increasing fast. By 2026, the number of digital commerce users in the UAE is expected to see strong growth, with projections indicating roughly 7.82 million users, according to data from Statista. Online shopping adoption is high, with over 96 percent internet penetration and approximately 46.7 percent of the population expected to be active e-commerce users. 

Shahzad Ahmed, Chairman of Blue Ocean Global Group

The UAE domestic appliance market, valued at approximately $1.79 billion in 2025, is projected to grow at a compound annual growth rate (CAGR) of 4.54 percent to reach US$2.34 billion by 2031, according to a report by Mordor Intelligence. Driven by rising disposable income, urban development, and a preference for smart, energy-efficient, and premium products, the market is highly competitive with strong growth in both major and small appliance segments, it said.

Rahul Chandra, General Manager of Stanley Black & Decker, says, “The UAE’s digital-first consumers are accelerating the shift toward a truly omnichannel retail landscape. Blue Ocean Global Group has emerged as a forward-looking distribution partner, uniquely capable of connecting needs of a consumer from Modern Retail with leading marketplaces such as Noon and Amazon, alongside pure-play and quick commerce platforms. Their analytics-led approach brings deep visibility into demand, enabling smarter planning, stronger availability, and a consistently elevated customer experience across every channel.”

The UAE aims to be 75 per cent cashless by 2026, boosting online payment usage. More than one-third of UAE consumers shop on their smartphones at least weekly, with mobile retail sales projected to reach US$4.6 billion as per Dubai Chamber Retail.

Ankit Soni - Head of Ecommerce & Media, Godrej Middle East, says, “We have seen a sharp surge in online demand in recent weeks. Despite this, we have been able to maintain strong product availability and seamless fulfilment, backed by inventory planning and an efficient supply chain. Our partnership with Blue Ocean has been critical in this journey.  Their strong e-commerce expertise has enabled us to respond swiftly and consistently meet evolving consumer expectations”