Saudi Arabia's E-commerce Market Surges: Growth Projections and Digital Evolution Insights

Saudi Arabia's E-commerce Market Surges: Growth Projections and Digital Evolution Insights

By Staff Writer, 13 May 2024

In a report by Statista.com, the E-commerce market in Saudi Arabia is projected to hit $14.78 billion this year, with estimations indicating a substantial rise to $25 billion by 2029.

These figures represent a Compound Annual Growth Rate (CAGR) of 11.08%, showcasing the kingdom's robust digital commerce landscape.

WebCastle Technologies, a prominent E-commerce leader based in Dubai, highlighted these forecasts at a recent event where they were honored with the prestigious Best E-Commerce Agency Award - KSA 2024.

Senior officials emphasized the critical role of digitization in propelling Saudi Arabia's economic evolution, urging the deployment of top-tier developers, coders, and E-commerce platform experts to facilitate exponential growth over the next decade.

The United States Department of Commerce echoes this sentiment, affirming Saudi Arabia's e-commerce sector as ripe for sustained expansion.

With an anticipated surge in the number of internet users engaging in online commerce, projected to reach 33.6 million by 2024, representing a 42% increase from 2019, the kingdom stands poised for significant digital transformation.

A recent report by the International Trade Administration, part of the US Department of Commerce, underscores Saudi Arabia's digital readiness.

Boasting a staggering 97% smartphone penetration rate, robust mobile broadband subscriptions, and ranking tenth globally for internet speed, the kingdom presents a fertile ground for digital commerce innovation.

Moreover, with 72% of its population over 15 years possessing bank accounts, Saudi Arabia demonstrates a solid foundation for financial inclusion in the digital realm.

Source: Trade Arabia

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