Page 52 - SAMENA Trends - November-December 2021

REGIONAL & MEMBERS UPDATES SAMENA TRENDS

Egypt’s e-Commerce Transactions Amount to EGP 80 Billion (US$5.08

Billion) in 2021

E-commerce transactions in Egypt reached positively impact the Egyptian economy Jumia. He noted that the D2C trend
EGP 80bn in 2021, meanwhile, it registered given that many e-commerce brands affects traditional retailers however, it
$71bn in the Middle East in 2021, according are sourcing and manufacturing locally encouraged many retailers to revise
to the Egyptian Junior Businessmen and many of them are shipping products their digital strategies to compete with
Association (EJB) member and CEO of internationally. The EJB member thought such brands maybe even building new
BOOST Sherif Makhlouf. Makhlouf told that the e-commerce market in Egypt does D2C brands themselves, adding D2C is a
Daily News Egypt that electronics top the not need any regulations different from market innovation by entrepreneurs, who
revenues of e-commerce in Egypt with a the current enforced retail and consumer decided to reach the end consumer with
percentage of 28%, followed by fashion protection laws, asserting the importance direct channels skipping the intermediary.
(21%), food and personal care (19%), toys, of providing it with support and incentives He added that selling items on Facebook
hobby & DIY (19%), and furniture and to allow it to flourish. Makhlouf predicted out of the tax system is the form by which
appliances (12%). Speaking about Direct that the fashion industry would be the many of these sellers test the market and
to Consumer (D2C) companies, Makhlouf most demanded sector through the D2C see the real demand for their products with
clarified that D2C companies are retailers, because of the relatively advanced supply the sophistication of the new Egyptian
which sell directly to consumers, usually by chain of the industry and new product eCommerce buy and in the post-Covid era,
investing in new product development and development in Egypt, followed by home noting many sellers have now legit online
branding while outsourcing their supply accessories, personal care, toys, hobby & businesses and with large operations and
chains, underlining they are typically DIY, pet products, furniture, and appliances. mostly tax-paying like any other retailer
selling using digital channels or direct He also forecasted that the electronics and out there. Makhlouf said the coronavirus
distribution while omitting retail overheads media sector would not achieve progress accelerated the adoption of e-commerce
and capitalizing heavily on social media in the D2C model due to the complexity of by the Egyptian consumers, but this matter
marketing. Makhlouf pointed out that the the production and supply chain. The EJB would happen anyway, adding it was just a
D2C trend is just a part of the e-commerce member said the growth of D2C brands matter of time. “They [consumers] discover
world, citing that marketplaces like will lure more foreign direct investments products and solutions online and they
Amazon, Jumia, and Noon only account in Egypt, referring to Amazon’s acquisition buy them and they get delivered efficiently
for 50% of the e-commerce sector. He of Souq Egypt and German group Rocket and that becomes a fact of life just like it is
expected that the spread of the D2C would Internet’s investment in Egypt through elsewhere in the world,” he concluded.

More Than 630 Km of Optical Fibers & 40 Mobile Towers Covering Land Port
Between KSA & Oman

stc exerted its technical capabilities to cover the land port between KSA and the and special terrains. The project linked the fiber-optic
Sultanate of Oman, which was recently inaugurated between Al Bat-ha area in network along the road, where network coverage
Al-Ahsa and Umm Al-Zamoul at the Omani borders in a desert area with difficult reached 100% and was implemented as a support
for local content, through 10 local contractors. The
length of cabling procedures exceeded “590” km
while the length of fiber-optic cables exceeded “630”
km, using more than 80 high-tech machines and
equipment and with the participation of more than
1500 workers and technicians who worked around
the clock. The project was implemented in various
areas along the road, which are characterized by its
difficult and tough terrains and hard to work at in
some circumstances. This project is considered one
of the large projects implemented by stc and within
a short record period of 180 days, where 40 mobile
towers were connected with optical fibers. The land
port service and the entities working in it with the
latest technologies and at high speeds that support
100 GB of data.

52 NOV-DEC 2021