As everyone knows, e-commerce is a way of selling that is becoming more and more representative of companies incomings. Even the habits of the customers have changed because of this kind of commerce. For example, many people go to a shopping mall to buy. But before going there they had a great look at the prices and products at their homes. So they can go shopping with a better idea. Or they can check prices and products online while buying in physical stores.
Egypt’s online commerce forecast
In 2017 the Egyptian turnover at online commerce was about $5 billion USD what was a grow of 22% in front of the last year. The online population of Egypt is about 20.3 million people. But only 7.8 million bought online as just 7% of the habitats have bank accounts. The average spent per user was about $641 USD. In this way, the lack of credit cards inside the population is the main limitation for growing. Therefore we highly recommend when creating an e-commerce website you should add different payment methods to gain your customers trust as well.
When you see a chance, go for it
Comparing to other countries, we can see that there is an opportunity to grow as e-commerce represent only 0,7% of revenues in Egypt and the worldwide average is about 3%. Egypt is such a large country. It has a huge population and unexplored resources. The age range of Egyptians is also an indicator of the potential, as there are many people that are less than 30 years old. Also, there is an incentive by the government to keep developing technology and we are in a mobile era. Smartphones usage is growing and the online purchasing from them as well.
Time to get a market share!
About the current companies that provide its services, Souq.com is the leader. 10% of all online sales are from them. This is not a huge number, not a big dominance. So the market has plenty space to get a share.
E-commerce represents one of the biggest fronts in sales nowadays. We can see that it is a way and it is necessary. Creating an e-commerce is building another channel to reach more potential customers.