Aramex eTrends in the Middle East 2015

Aramex eTrends in the Middle East 2015 by Iyad Kamal. Delivered at ArabNet 2015 in Dubai.

Transcript

1. Arabnet 2015 Dubai IYAD KAMAL IYAD@ARAMEX.COM IYAD KAMAL @IYADKAM Confidential
2. eBUSINESS TRENDS OPS, PAYMENT & RETURNS SOCIAL TRENDS ALL NEW Confidential
3. % 15 GLOBAL ECOMMERCE SALES? eBUSINESS TRENDS Source: eMarketer
4. OF AGE COMPRISE ABOUT MENA POPULA TION ONCE A MONTH 43% 60% INTERNET USER IN THE GCC ARE MAKING ONLINE PURCHASES 25 YEARS Source: Wamda - 25 Essential Stats on E-Commerce in the Middle East REGIONAL ECOMMERCE POTENTIAL eBUSINESS TRENDS
5. Source: eMarketer WHY DO PEOPLE BUY FROM ABROAD? OPPORTUNITIES FOR REGIONAL ETAILER eBUSINESS TRENDS
6. SNS, ecommerce; domestic, regional, international ARAMEX SPECIFIC DATA! eBUSINESS TRENDS
7. Source: Aramex eCommerce Data 31% Saudi 94% Saudi 29% Egypt Egypt 20% UAE UAE 14% UAE Saudi Origin Destination % of total packages WHERE ARE THE REGIONAL ECOMMERCE VOLUMES COMING FROM? eBUSINESS TRENDS
8. Source: Aramex eCommerce Data Intra MENA $102 Into MENA $139 willing to pay more shipping as variety has a price with duty % being an advantage VALUE OF ORDER? eBUSINESS TRENDS
9. SHOES APPAREL BEAUTY SUPPLIES BOOKS/BAGS 20% 19% 19% 2013 2014 BEAUTY SUPPLIES APPAREL SHOES TOOLS Source: Aramex Shop&Ship Data WHAT DO PEOPLE BUY eBUSINESS TRENDS
10. eBUSINESS TRENDS OPS, PAYMENT & RETURNS SOCIAL TRENDS ALL NEW Confidential
11. COD VS. CREDIT CARD PAYMENT Source: Aramex eCommerce Data Year Credit Card Cash on Delivery 2011 29% 71% 2012 29% 71% 2013 27% 73% 2014 24% 76% It is still a COD market and etailers promote it! Mainly domestic COD today but changing! GLOBAL ECOMMERCE SALES? OPS, PAYMENT & RETURNS
12. PAYMENT MEANS USED Source: Aramex Shop & Ship Data 2012 2013 2014 56% 52% 44% 35% 29% 23% 6% 16% 30% 3% 3% 3% OPS, PAYMENT & RETURNS
13. WHO PAYS ONLINE (SHIPPING) MORE Source: Aramex Shop & Ship Data 36% 26% 24% 23% UAE BAHRAIN LEBANON QATAR SAUDI ARABIA 22% OPS, PAYMENT & RETURNS
14. AVERAGE DELIVERY ATTEMPTS Source: Aramex Shop & Ship Data 9% 50% 20% 9% 25% Card: 1 1 COD: 1.88 1.50 2013 2014   OPS, PAYMENT & RETURNS
15. LAST MILE PAYMENT CONVERGANCE Source: Aramex Shop & Ship Data COD becoming POD With SADAD and mobile payment devices with couriers OPS, PAYMENT & RETURNS
16. MENA LOGISTICS RETURNS Source: Aramex eCommerce Data Payment 2012 2013 2014 COD 24% 21% 19% Credit Card 7% 7% 8%  OPS, PAYMENT & RETURNS
17. TOP RETURN REASONS Source: Aramex eCommerce Data No response 42% Bad address 13% Client not available 10% OPS, PAYMENT & RETURNS
18. EUROPEAN LOGISTICS RETURNS Source: Aramex eCommerce Data Less than 1% Why? - Orders are made with credit card - Addresses are correctly structured in Europe and customers provide accurate addresses including postcode - Carriers can leave at a safe place or deliver to a neighbor if the customer wasn’t available OPS, PAYMENT & RETURNS
19. GROWTH OF PICKUPS Source: Aramex eCommerce Data 17% from service centers as more pick up points become available OPS, PAYMENT & RETURNS
20. MYADDRESS RESPONSE RATES Source: Aramex Operations Data 50% Saudi: 25% UAE: 31% direct impact on call center! OPS, PAYMENT & RETURNS
21. eBUSINESS TRENDS OPS, PAYMENT & RETURNS SOCIAL TRENDS ALL NEW Confidential
22. WHERE ARE THE REQUESTS COMING FROM? Source: Aramex Social Media Data 9% 50% 20% 9% 25% KSA 53% KUWAIT 12% UAE 10% INDIA 9% EGYPT 5% QATAR 4% OTHER 9% 2013 2014 65% 5% 5% 4% 3% 14% 1% SOCIAL TRENDS
23. CUSTOMER SERVICE REQUESTS? Source: Aramex Social Media Data 58% 78% 68% 94% 2013 2014 SM a main customer service channel! SOCIAL TRENDS
24. eBUSINESS TRENDS PAYMENT & RETURNS SOCIAL TRENDS ALL NEW Confidential
25. WHAT KEEPS US BUSY? Simple: delivery on time and at an affordable price ALL NEW
26. FURTHER CONNECTING WITH THE CLIENT Client Courier Objectives: - Satisfied - Delivery on time - Affordable price Objectives: - Satisfied - Deliver on time - Affordable cost Focus: How to get them closer, physically and technically? (information and consistency) ALL NEW
27. ARAMEX KEY INVESTMENT AREA! Why? - Mobile is your address! - C2C communication, bypass the CC - Live tracking and avoid calls - Online payment, reduce cash management - Big data analysis: - Non payers - Not at home - Same address delivery, don’t call… TECHNOLOGY is making it happen (mobile in specific with more than 90% penetration) App App ALL NEW
28. LAST MILE SOLUTIONS / LAST MILE TO LOCKERS NEVER MISS A DELIVERY AGAIN! - Available 24/7 - 100% safe & secure - Quick, simple and fun - Cheapest delivery option ALL NEW
29. Announcement!
30. OUR NEW OFFERING to grow the industry… eCommerce Package o Classify clients by shipping tiers o Provide shipping rates based on tier volumes o Advance COD payment which equates to paying of COD amounts upon shipping o July 1st 2015
31. Thank You IYAD KAMAL IYAD@ARAMEX.COM IYAD KAMAL @IYADKAM