DUBLIN--(BUSINESS WIRE)--The "United Arab Emirates Gift Card and Incentive Card Market Intelligence and Future Growth Dynamics (Databook) - Market Size and Forecast (2015-2024) - Covid-19 Update Q2 2020" report has been added to ResearchAndMarkets.com's offering.
The gift card market in United Arab Emirates has recorded a steady growth with a CAGR of 19.2% during 2015-2019. However, According to the Q2 2020 Global Gift Card Survey, gift card market in United Arab Emirates is expected to be impacted across retail and corporate segments due to disruption caused by Covid-19 outbreak.
This report details the impact of economic slowdown along with change in business and consumer sentiment due to disruption caused by Covid-19 outbreak on gift card industry in United Arab Emirates.
Though growth of gift card industry will be impacted due to pandemic, there are certain segments such as self-use which will gain significant market share. Adoption of e-Gift cards is also expected to increase significantly over the next 4-6 quarters. There are interesting trends emerging across various segments, which are expected to fundamentally reshape gift card industry dynamics.
Despite near-term challenges, medium to long term growth story of gift cards in United Arab Emirates remains strong. The gift card industry in United Arab Emirates will continue to grow over the forecast period and is expected to record a CAGR of 13.3% during 2020-2024. The gift card market in the country will increase from US$ 1269.4 million in 2019 to reach US$ 2043.5 million by 2024.
The market is expected to continue its growth, as several new players with innovative product offerings are entering into the market. The e-commerce market in the country is also one of the factors that are driving the growth of the gift card market in the UAE. In 2019, the UAE e-commerce market accounted for over 30% of the retail trade in the Gulf Cooperation Council (GCC) countries. With the value of the e-commerce market expected to reach US$ 30.6 billion by 2020, it will keep supporting the growth of the gift card market in the country.
Growing demand for gift cards is encouraging the card issuers to focus on new product development and product launches. For instance, in July 2019, Google Play launched its gift card in the UAE. These gift cards can be used to purchase apps, movies, books and can be also used in the leading retailers based in the UAE. Similarly, Netflix launched a new gift card for the UAE subscribers in November 2019. The new card works as a prepaid voucher which allows consumers to become a Netflix member and pay for their subscriptions. Consumers can buy these gift cards in both digital and physical versions across retailers such as Lulu Hypermarket, Etisalat, Virgin Megastore, Sharaf DG and Carrefour among others in the UAE market.
An increase in adoption by corporates is also giving an impetus to the already growing gift card market in the UAE. Businesses find it affordable to use e-gift cards option for their employees especially during difficult economic conditions when raise in salary or bonus disbursal are not viable. In April 2019, YouGotaGift, a digital gift card company, introduced an employee rewards solution, Rewards '. Corporates can use Rewards' to recognize their employees for several achievements such as outstanding projects, excellent performance, innovation, safety rewards, and stellar track record. The company has seen a 225% increase in the number of businesses signing up for its loyalty and recognition digital programs during 2019.
This report provides a detailed data centric analysis of gift cards and corporate incentive cards market along with consumer behaviour and retail spend dynamics in United Arab Emirates. With over 200 KPIs at country level, this report provides comprehensive understanding of gift and incentive card market dynamics.
Below is a summary of country level trend analyses covered across gift card segments:
- Total gift market: This report provides detailed view of overall spend on gifts, broken down by retail and consumer segments. For both retail and consumer segments, this report provides a breakdown of spend on gifts by product categories (13 segments) and retail sectors (7 segments).
- Gift cards: Drawing from proprietary survey results, this report provides in-depth analysis of opportunities in both open loop and closed loop prepaid gift card categories. Assesses consumer behaviour by type of consumer (retail and corporate - SMB, Mid-Tier, Large Enterprise), gifting occasion, digital gift card (e-gift card), and market share by retail sectors.
- Details six essential KPIs: number of cards in circulation, load value, unused value, average purchase value, average value per transaction, and value of transactions.
- Corporate incentive & loyalty cards: This report provides detailed market dynamics of corporate incentive cards, broadly segmented in three categories - consumer incentive card, employee incentive card, and sales/partner incentive card. It details market size and forecast at category level, by functional attribute (open loop and closed loop), and by corporate consumer segments (small scale business, mid-size business, and enterprise business).
- Digital gift card (e-gift card) analysis: Provides market size and forecast for digital gift cards, broken down by retail and corporate buyers. It also includes gift card spend by occasion (retail - festivals & special celebration days, milestone celebration, self-use, other; Corporate incentive cards -consumer incentive card, employee incentive card, and sales/partner incentive card). The report also includes digital gift card adoption by company size.
- Open loop and closed loop: Provides market estimates and forecasts to assess opportunities in open loop and closed loop gift and incentive card segments across consumer segments.
- Consumer attitude and behaviour: Drawing from proprietary survey results, this report identifies and interprets key KPIs related to gift card dynamics including spend by age, gender, and income level.
- Retail spend: Breaks down retail spend across retail sectors (7 segments) to provide detailed insights on consumer behaviour and changing dynamics of gift card spend.
- Market share by retailer: Provides market share of closed loop gift cards by key retailers in United Arab Emirates.
- Distribution channel analysis: Provides market share by distribution channel - online vs offline sales and 1st party vs 3rd party sales (sales through outlet of other retailers).
- Carrefour SA
- Consumer Co-operative Union (CCU)
- Landmark Group
- Emke Group
- Life Healthcare Group
- Damas International Ltd
- T Choithram & Sons
- Sharaf DG LLC
- Inter Ikea Systems BV
- Spinney's Group Ltd
- Rivoli Group
- Jumbo Electronics Co LLC
- Souq Group Pvt Ltd
For more information about this report visit https://www.researchandmarkets.com/r/9zgioe