Trends Shaping the Future of B2B e-commerce in the Emirate

Dubai Integrated Economic Zones

Future of B2B e-commerce-1

The global pandemic, combined with the accelerated adoption of digital technologies, has driven significant shifts in B2B e-commerce and the retail sector in Dubai, leading to the city reinforcing its position as a leading regional and global trading and commercial hub. 

The shifts are exemplified by a new trading trend that has emerged among companies in the Dubai Integrated Economic Zones (DIEZ) as part of which businesses are partnering with third-party logistics providers to streamline their supply chain processes and sell their products to customers. A new business-to-business-to-customer (B2B2C) model is seeing entrepreneurs increasingly bulk buying products and re-selling them across different direct-to-consumer channels, giving them generous profit margins and ease of operations.

The new trends have been accelerated by proactive initiatives implemented by Dubai and the UAE to promote the rapid adoption of digital solutions. Furthermore, with newly updated business laws and regulations, it is now easier for businesses to conduct e-commerce in the country.

New studies reveal how unprecedented challenges brought by the global pandemic together with rapid digitisation have driven the growth of business-to-business (B2B) e-commerce.

According to the studies, 82% of companies intend to increase the use of B2B e-commerce and 86% of businesses feel technology is the sector that will assume greater significance in the future, followed by the e-commerce sector at 84%. 

Tradeling, a hyper-growing e-marketplace focused on B2B transactions in the MENA region, is one example of a company that has recorded exceptional revenue growth of more than 35% month on month, with a product selection reaching close to one million. Today, Tradeling has over 150,000 registered buyers and sellers from over 55 countries and has seen a notable 100,000 requests for quotations and inquiries. Since its inception in 2020, the company has been actively facilitating warehouse storage management, trade finance, product inspections, and last-mile delivery to any location desired by the customer. 

The establishment of Tradeling was inspired by the Dubai Government’s 10x initiative, which seeks to place the city ten years ahead of other leading global cities. With the support of DIEZ, Tradeling works to create innovative solutions that meet the aspirations of customers across various vital industries. 

DIEZ contributes to 11% of Dubai’s overall trade volume and has witnessed an 8.3% growth in new sales revenues since the beginning of 2022, as well as a 24% rise in the leased areas compared to the same period in 2021. DIEZ also saw an 88.4% increase in the number of registered companies compared to the same period in 2020, with a 23.5% increase in multinational company registrations.

DIEZ, which is home to 5,000 companies, plays a key role in the UAE's efforts to promote economic diversification, contributing 5% to Dubai's GDP.

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