UAE’s Food and Beverage e-Commerce Presents Investment Opportunities

UAE’s Food and Beverage e-Commerce Presents Investment Opportunities
A recent webinar organized by Dubai Chamber of Commerce, MNCs and on-demand delivery app InstaShop identified new business opportunities in the UAE’s food e-commerce sector that companies in emerging markets can capitalise on. The focus of the webinar was on Food & Beverage (F&B) e-commerce awareness. More than 84 participants from 33 countries, representing food manufacturers, export promotion agencies and trade offices participated in the webinar. Sessions during the event examined the latest UAE food e-commerce dynamics, trends and competitive advantages that Dubai offers as a world-class food e-commerce and innovation hub.
The virtual event provided valuable insights on the UAE’s food e-commerce ecosystem and evolving business landscape. Insights on the importance of using e-commerce platforms to expand business beyond borders and tap into growing demand among consumers in the UAE and surrounding markets who are increasingly turning to digital channels to access products and services were discussed in the event.

UAE – Online F&B Segment Performance
Despite the COVID-19 pandemic affecting several industries in UAE, the online sales within the F&B sector surged in 2020 reaching a value of AED 1.5 billion (USD 412 million), recording a year-on-year growth rate of 255%. While the e-commerce purchase value in the country has nearly doubled in recent years, supported by the Covid-led digital shift has changed consumer behaviours. The value of online food and beverage sales in the country is expected to reach AED 2.2 billion (USD 619 million) by 2025, with an annual growth of 8.5% over the 2020-2025 period.

Dubai’s digital economy is growing at a significant phase as various sectors adopt advanced technologies and cutting-edge solutions, while more e-commerce players enter the market. Addressing the rapid growth, the benefits of leveraging the e-commerce platform, as well as potential marketing partnership opportunities were discussed in the webinar session.

Read: UAE Focuses on Achieving Innovation Driven Food-Security

Dubai Chamber & Google Partnership
Google and Dubai Chamber have partnered to launch ‘Business Online Presence’, a comprehensive digital solution designed to help businesses in the UAE manage their online presence, maximise visibility and attract new customers. The new solution was launched during the webinar event.

Members of the Dubai Chamber can now access the ‘Business Online Presence’ dashboard to set and verify their business profiles across single or multiple locations on Google Search and Maps. Those online profiles feature essential business details such as opening hours, contact details, address and photos. Businesses can also post timely offers and promotional packages during special seasons. The tool can also generate a customized total score for each business’ online readiness and reputation management. Members of the Dubai Chamber can use the dashboard to standardize brand experience and engage with customers through online reviews, access timely insights like their store visits and identify operational challenges faster. A training program to learn the digital skills needed is also provided by Dubai Chamber under the name of ‘Maharat Min Google’.

Investment Opportunities in UAE Online Food and Beverage Segment
Online food delivery has exponentially grown over the past decade, and more so in the last two years, because of the pandemic. Majority of the residents in UAE have started to prefer ordering food online, which has led to a significant rise in the food delivery business and e-Commerce sector. Reports show that revenue in the online food delivery segment is projected to reach AED 11 billion (USD 3 billion) in 2021. The trends are expected to continue, with UAE residents actively switching to online food orders, providing opportunities for investment in the sector.


Research Konnection is one of the leading F&B Industry Research Company in Dubai and assists clients in providing Food & Beverage Innovation Consultancy in UAE. Being the best F&B Consultancy Firm in Dubai, UAE, we can support in F&B Restaurant Consulting in Dubai, UAE and F&B Concept Culinary. Feel free to reach out to us on hello@researchkonnection.com for support in market research, business planning and restaurant feasibility study.



Author: Waqas Siddiqui
The author is the Managing Director of Research Konnection, a Dubai based market research and consulting firm that helps local and international companies to identify emerging business opportunities and successfully expand in the Gulf region. The author can be reached at waqas@researchkonnection.com

Contact Us

X