Small and medium enterprises (SMEs) in the UAE, Saudi Arabia and Egypt are missing out on a huge opportunity in tapping online commerce, a study conducted by Google showed.
The UAE is the regional leader with 18 per cent of SMEs having an online presence, followed by 15 per cent in Saudi Arabia and just 7 per cent in Egypt, according to the research.
Companies with fewer than 250 employees are termed as SMEs.
The study goes against internet user data that show smartphone penetration is the highest in the world in the UAE at 74 per cent and more people watch YouTube in Saudi Arabia than anywhere else on the planet.
“The business side of the equation does not follow the argument,” said Tarek Abdalla, the head of marketing at Google in Mena. “While the digital advertising market is growing really fast – it went from 1 per cent of total advertising spend four years ago to 6 per cent at the latest reading – it’s still low compared with Europe, which averages 40 per cent of spend on digital. For SMEs budget is tight, so the choice of channel to advertise is key, but a lot of SMEs are turning to a media that cannot be measured such as print or outdoor.”
The research showed that 92 per cent of SMEs in the UAE did not understand how being on the web could help them grow their business, with more than two thirds in the region not considering having a website.
In sharp contrast, Cleartrip, a UAE-based online travel agency, claims the return on investment from its online advertising versus traditional advertising could not be more different.
“Our mobile ad campaign saw a 45 per cent increase in bookings generated over the phone through call centres and a 61 per cent increase in calls handled just in the UAE and Saudi Arabia,” said Hijazi Natsheh, the deputy general manager of Cleartrip.
“Online advertising data is something you can measure and make decisions based on it. All our performance-based marketing activities are based on online data. Our offline activity is more about branding, like putting a billboard on Sheikh Zayed Road, just to build our brand.”
Online advertising is currently at 6 per cent of the total advertising spend in the Mena region, according to the Arab Media Outlook. However, internet users in the region are expected to reach 141 million by end of the year, representing more than 35 per cent of the population.
Google says the challenge for the region’s SMEs is to realise that the sprawl of the internet. And the stretch of logistics companies means they are now fighting global companies who have a strong and growing web presence. SMEs without online visibility are that much smaller.
In another related development, Google this week said that it would lower prices on cloud services as it looks to take on IBM, Microsoft and Amazon in the intensifying battle of supplying internet services for corporations.
ascott@thenational.ae
Test
Director: S Sashikanth
Cast: Nayanthara, Siddharth, Meera Jasmine, R Madhavan
Star rating: 2/5
Profile
Company name: Marefa Digital
Based: Dubai Multi Commodities Centre
Number of employees: seven
Sector: e-learning
Funding stage: Pre-seed funding of Dh1.5m in 2017 and an initial seed round of Dh2m in 2019
Investors: Friends and family
UAE currency: the story behind the money in your pockets
FROM%20THE%20ASHES
%3Cp%3EDirector%3A%20Khalid%20Fahad%3C%2Fp%3E%0A%3Cp%3EStarring%3A%20Shaima%20Al%20Tayeb%2C%20Wafa%20Muhamad%2C%20Hamss%20Bandar%3C%2Fp%3E%0A%3Cp%3ERating%3A%203%2F5%3C%2Fp%3E%0A
'THE WORST THING YOU CAN EAT'
Trans fat is typically found in fried and baked goods, but you may be consuming more than you think.
Powdered coffee creamer, microwave popcorn and virtually anything processed with a crust is likely to contain it, as this guide from Mayo Clinic outlines:
Baked goods - Most cakes, cookies, pie crusts and crackers contain shortening, which is usually made from partially hydrogenated vegetable oil. Ready-made frosting is another source of trans fat.
Snacks - Potato, corn and tortilla chips often contain trans fat. And while popcorn can be a healthy snack, many types of packaged or microwave popcorn use trans fat to help cook or flavour the popcorn.
Fried food - Foods that require deep frying — french fries, doughnuts and fried chicken — can contain trans fat from the oil used in the cooking process.
Refrigerator dough - Products such as canned biscuits and cinnamon rolls often contain trans fat, as do frozen pizza crusts.
Creamer and margarine - Nondairy coffee creamer and stick margarines also may contain partially hydrogenated vegetable oils.
La Mer lowdown
La Mer beach is open from 10am until midnight, daily, and is located in Jumeirah 1, well after Kite Beach. Some restaurants, like Cupagahwa, are open from 8am for breakfast; most others start at noon. At the time of writing, we noticed that signs for Vicolo, an Italian eatery, and Kaftan, a Turkish restaurant, indicated that these two restaurants will be open soon, most likely this month. Parking is available, as well as a Dh100 all-day valet option or a Dh50 valet service if you’re just stopping by for a few hours.
Scores in brief:
- New Medical Centre 129-5 in 17 overs bt Zayed Cricket Academy 125-6 in 20 overs.
- William Hare Abu Dhabi Gymkhana 188-8 in 20 overs bt One Stop Tourism 184-8 in 20 overs
- Alubond Tigers 138-7 in 20 overs bt United Bank Limited 132-7 in 20 overs
- Multiplex 142-6 in 17 overs bt Xconcepts Automobili 140 all out in 20 overs
Our legal consultant
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
Terminal High Altitude Area Defense (THAAD)
What is THAAD?
It is considered to be the US' most superior missile defence system.
Production:
It was first created in 2008.
Speed:
THAAD missiles can travel at over Mach 8, so fast that it is hypersonic.
Abilities:
THAAD is designed to take out projectiles, namely ballistic missiles, as they are on their downward trajectory towards their target, otherwise known as the "terminal phase".
Purpose:
To protect high-value strategic sites, such as airfields or population centres.
Range:
THAAD can target projectiles both inside and outside of the Earth's atmosphere, at an altitude of 93 miles above the Earth's surface.
Creators:
Lockheed Martin was originally granted the contract to develop the system in 1992. Defence company Raytheon sub-contracts to develop other major parts of the system, such as ground-based radar.
UAE and THAAD:
In 2011, the UAE became the first country outside of the US to buy two THAAD missile defence systems. It then deployed them in 2016, becoming the first Gulf country to do so.
Analysis
Maros Sefcovic is juggling multiple international trade agreement files, but his message was clear when he spoke to The National on Wednesday.
The EU-UAE bilateral trade deal will be finalised soon, he said. It is in everyone’s interests to do so. Both sides want to move quickly and are in alignment. He said the UAE is a very important partner for the EU. It’s full speed ahead - and with some lofty ambitions - on the road to a free trade agreement.
We also talked about US-EU tariffs. He answered that both sides need to talk more and more often, but he is prepared to defend Europe's position and said diplomacy should be a guiding principle through the current moment.
Leaderboard
15 under: Paul Casey (ENG)
-14: Robert MacIntyre (SCO)
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How much do leading UAE’s UK curriculum schools charge for Year 6?
- Nord Anglia International School (Dubai) – Dh85,032
- Kings School Al Barsha (Dubai) – Dh71,905
- Brighton College Abu Dhabi - Dh68,560
- Jumeirah English Speaking School (Dubai) – Dh59,728
- Gems Wellington International School – Dubai Branch – Dh58,488
- The British School Al Khubairat (Abu Dhabi) - Dh54,170
- Dubai English Speaking School – Dh51,269
*Annual tuition fees covering the 2024/2025 academic year
