Gulfood 2022 to unlock potential of e-commerce in F&B

E-commerce in the F&B industry is forecast to reach $71.62 billion by 2028
E-commerce in the F&B industry is forecast to reach $71.62 billion by 2028

Global industry leaders and power brands will explore and analyse the rapidly evolving role of the digital marketplace in the F&B ecosystem



by

Rohma Sadaqat

Published: Tue 8 Feb 2022, 6:47 PM

Changing consumer preferences towards online shopping for groceries, ready-to-eat food deliveries, and healthy produce, are all driving growth in the e-commerce F&B landscape, experts have noted.

Speaking ahead of the Gulfood 2022 exhibition, experts urged the industry to dig deeper into its e-commerce offerings to level up the ecosystem. Currently, e-commerce in the F&B industry is forecast to reach $71.62 billion by 2028, registering a compound annual growth rate of 17.8 per cent.

However, while the segment provides a plethora of opportunities and huge business potential, there remains inevitable growing pains and more work needs to be done to ensure success for all links in the fast-moving digital chain.

“E-commerce in F&B is experiencing a meteoric rise thanks to a number of key factors. In this region specifically, it is flourishing thanks to increased high-income potential, high internet penetration, developed logistics network, modern digital payment systems, a growing tech-savvy youth population, and strong government support,” said Trixie LohMirmand, EVP of Exhibitions & Events, DWTC.

“It will be a coming together of an industry in need of addressing ecosystem challenges and opportunities, which if surmounted can be a huge engine of growth and transformation. What consumers are looking for from the food and beverage industry is very different from just a few years ago, and these new expectations are here to stay beyond 2022,” she said.

Experts also noted that consumers today are spoilt for choice online, with everything you could possibly want available somewhere for a competitive price, added to the ease of it being delivered to your door.

The online marketplace is fast, convenient and without boundaries and it is changing how consumers shop for the foreseeable. It is a fast pace that distributors have had to learn to adapt to, and keep up with, to remain ahead of the game.

“Noon Grocery is dedicated to assisting brands and local retailers in growing their businesses using our tools. With a large customer database, we can provide brands with prominent visibility in the digital space as well as quick fulfillment across the UAE and major cities in KSA and Egypt,” said Yesu Yarlagadda, Noon’s vice president – Grocery.

Rajiv Warrier, CEO for the GCC region at Choithrams, said that online retailers will continue to grow their share over the years. “Retailers are well placed to offer omni-channel solutions to consumers to best adapt to their changing needs. Gulfood is a great opportunity to network with suppliers, manufacturers and retailers, and identify new retail and distribution opportunities understand opportunities for introducing new technology, new categories, and products into the UAE market.”

rohma@khaleejtimes.com


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