UAE E‑commerce Grows Amid GCC Downturn, Mobile Shopping Drives Higher Spending

UAE online retail expanded by 2% year‑on‑year in the first half of 2026 while e‑commerce in the wider Gulf region fell 9%. Although the number of orders dropped 9%, average order value rose from $97 to $111 as shoppers shifted to higher‑value purchases. Mobile commerce was a key factor, with smartphone orders up 20.5% and accounting for 53% of all online sales. Growth was strongest in everyday categories – home goods rose 18%, food and delivery services 15%, and sports and entertainment 11%, while fashion remained the largest segment at 20.6% of purchases. More than half of transactions used coupons or promo codes, and the average discounted order value increased from $89 to $122.

At the same time, the UAE’s push for digital transformation is prompting SMEs to adopt cloud‑based accounting. New e‑invoicing mandates, stricter VAT record‑keeping, and a 9% corporate‑tax rate increase regulatory pressure on businesses that account for roughly 94% of the economy and over half of GDP. Cloud accounting is promoted as a way to improve compliance, reduce manual work and prepare for longer retention periods for financial records. Anna Gidirim, chief executive of Admitad, noted that consumers are becoming more selective but are not abandoning online shopping.