Over 60% of UAE consumers already holiday shopping to avoid supply chain issues

According to a recent Oracle retail consumer research study, 66 per cent of UAE shoppers have already begun holiday shopping or plan to purchase earlier than usual due to the worry of supply chain issues and delivery delays.

26 per cent of respondents are ready to pay extra to assure speedier or guaranteed delivery, and 30 per cent intend to purchase more gifts in the event that any are delayed or canceled. These figures rise to 28 per cent and 32 per cent, respectively, for Generation Z. Others are taking a more relaxed approach, with 36 per cent of UAE residents (including 41 per cent of Millennials) indicating that they will purchase more gift cards this year.

“As we see in the news, the supply chain challenges are a global reality. Regardless, consumers will still measure retailers on their ability to deliver on their wish lists this holiday season,” said Mike Webster, senior vice president, and general manager, Oracle Retail. “Accountability will be the name of the game. Retailers must have clear visibility into their inventory, a realistic timeline for the fulfillment, and a plan to communicate clearly throughout the order and delivery processes. Through transparency and execution, retailers can earn trust with their customers and build the potential for future loyalty.”

The survey polled 5,728 global consumers, including 526 in the UAE, in September 2021. The Untold Insights survey asked consumers about their pandemic shopping habits and plans for holiday shopping.

A total of 31 per cent of UAE respondents are anxious that the products they want will be more expensive due to the scarcity while 28 per cent are worried that the desired products won’t be available

66 per cent of UAE respondents surveyed showed that they will have gifts delivered to their home (up from 58 per cent in 2020), but many (43 per cent) are worried shipping times won’t meet their expectations and will be late (43 per cent) – if they arrive at all. To ease their concerns, 70 per cent of respondents say granular tracking of delivery status is very important.

While 37 per cent agree that out-of-stock products make for an unpleasant purchasing experience, 48 per cent said they will be outraged if shipments are delayed.

A total of 41 per cent said they are attracted to brands/companies based on product availability.

Despite the lure of low prices, many consumers are not willing to wait for store holidays to get what they need. Only 49 per cent of UAE shoppers said they would participate in Amazon Prime Day and 44 per cent would shop White Friday sales. A lesser percentage (15 per cent ) said they will take part in Cyber Monday events.

When asked what gifts they plan to buy more of this year, gift cards emerged as the top contender – 36 per cent of UAE shoppers said they plan to buy more gift cards.

The survey also showed that a good portion of UAE Millennials are planning to return their gifts. A total of 58 per cent of Gen Z shoppers will return at least some gifts, while 47 per cent of Boomers have no plans to return their gifts. Women (52 per cent ) are less likely than men (58 per cent ) to make at least some returns.

Consumers seem less concerned about the pandemic, with more shoppers opting to buy in-store this year. While 14 per cent of UAE consumers plan to shop mostly in-store, up from 12 per cent in 2020; 53 per cent are planning both in-store shopping and online shopping, up from 51 per cent last year.

When asked what makes them feel most comfortable about going out to shop, 25 per cent said mask mandates; 19 per cent vaccination proof for guests; 15per cent social distancing.

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