The Middle East and Africa region is a growing hub for e-commerce, with the industry estimated to be worth $23.3 billion (Dh85.5 billion) by 2017 and still growing, according to eMarketer. Currently, the marketplace is very dynamic, including generalists that attract a diverse consumer base such as Souq, more niche fashion retailers such as Namshi, and newcomers like Noon who are backed with significant investment.
The focus on the potential of e-commerce in the region is no more evident than in the recent acquisition of Souq by Amazon, a major milestone in the Middle East’s e-commerce journey. The impact on digital marketing trends within the e-commerce sector that the acquisition will have, will be significant due to the sheer scale, power and creative influence a global e-commerce player like Amazon will bring to an already well-established regional brand.
Aside from major acquisitions, e-commerce in the Middle East is continually evolving where digital marketing is concerned.
The rise of the mobile consumer, in conjunction with a high frequency of impulse buys specific to the retail sector, have impacted the crucial role that native applications play in unlocking the next wave of customer experience. To meet this demand, brands are investing heavily in mobile app capabilities and interfaces to the point where 60 per cent of e-commerce brands, according to a recent Arabnet survey within the region, have a mobile app shopping platform.
Apps now have to be compelling for consumers to both engage and re-engage with once installed. The industry is witnessing an increased trend towards app installation and re-engagement marketing campaigns to lead consumers not only to install the app; but to visit specific sections within the app targeted to their specific interests through technologies such as deep linking. Another challenge faced by brands is engagement with specific consumer segments. Although an e-commerce retailer’s objective is to always increase average purchase value, this has to be balanced with an increase in demand for personalisation which requires digital marketing activities to be tailored to the specific interests and preferences of different audiences at different times. It’s a challenge of balancing scale and agility.
In markets such as the GCC, we are witnessing a dynamic change wherein brands are targeting affluent consumers, both local as well as expats, through tailored Arabic campaigns that originate in the region, rather than being localised for the region. For example, over 61 per cent of content on Twitter in the UAE is Arabic, providing brands with the opportunity to reach Arabic speakers in the market and deliver content that will resonate.
Many multinational and regional brands, both within and outside of the e-commerce sector, focus attention on locally-produced Arabic content for this reason.
With the shift to digital, the world is changing. The online space is more dominant and thanks to IoT, the world is more connected, smarter, quicker, and hence more demanding. The mobile communication platform is video. Real-time video can take all participants right inside the sharing experience.
And it’s clearly an experience that resonates in MENA with a high video consumption rate in the region. This intensifies the e-commerce experience as new and creative ways to engage with consumers are created by digital marketers.
In order to stay relevant, digital marketers need to ensure that the latest technologies are adopted to acquire and retain consumers. In addition, locally-devised content strategies that focus on the culture in the region should be a cornerstone of any campaign.
It remains interesting to see how this industry develops in the region and how fast marketers can create unique and tailored experiences that generate leads for their businesses.
The most important element is ensuring optimum consumer experience and this should be the very goal for every digital marketer in 2017 and beyond. It’s no longer a one-time experience. Anywhere and everywhere a customer can interact with a brand that experience must be consistent, it must be unique, and moreover it must create a long lasting impression.
The writer is Head of Revenue for Twitter in the MENA region.