1. Dropshipping
Dropshipping is an accessible ecommerce retail business model. It works
well for
the UAE
given the high percentage of Emiratis who buy online.
Euromonitor reported in 2021
that one-third of UAE citizens purchased goods online at least once a week
using their smartphone. This places the number of online shoppers above
the global average.
How does dropshipping work?
Dropshipping only requires creating an ecommerce website (or selling on an
online marketplace), finding
a reputable dropshipping supplier, and developing a marketing plan. Retail businesses normally need to
purchase an inventory of stock, rent a warehouse for storage, develop a
system to ship the goods, and spend money on packaging and staffing.
Dropshipping eliminates all this. Instead, the dropshipping supplier will
store the goods in their warehouses, and pack and ship the orders you sell
directly to your customers.
Why is dropshipping profitable?
Low start-up costs
Low running costs
Short time to set up
Relatively low-risk business idea
More time dedicated to marketing and advertising
Not limited to your geographical location
Easy to switch product niches
2. Ecommerce
Ecommerce is the business of selling products or services online. Unlike
dropshipping, it involves creating your own digital product or sourcing
stock that you're responsible for getting to your customers.
According to the
Dubai Chamber of Commerce, the UAE is a hotbed for online business. By 2026, UAE retail sales in
ecommerce are expected to reach 12.6% of total market sales. Smaller
companies also have excellent market opportunities. In 2021, local
ecommerce websites made up 73% of total UAE retail sales.
What type of ecommerce business could I start?
Reselling designer vintage fashion
Personalised gifts
Gym clothing
Sustainable products
Online mentoring
Luxury car rental
Why set up an ecommerce business in the UAE?
Ecommerce is an increasing market
Many business opportunities to pursue
The UAE has excellent logistics to deliver products
Fast broadband speed and connectivity
3. Digital marketing and advertising
The UAE, especially Dubai, has accelerated digital adoption.
McKinsey
reports that 99% of the UAE population had internet access in 2022. The
same report found that more than 50% of Emirati consumers expect to
increase digital spending. This means more business for online marketing
and advertising agencies.
How does digital marketing and advertising work?
Digital marketing is the strategy and organisation of promoting a business
or product online. Digital advertising is the purchase of paid adverts to
publicise a business or product online.
Why is digital marketing and advertising profitable?
Online consumerism is increasing
Most businesses want an online presence
Dubai is a global business hub with a need for digital marketing
Low-cost to set up
4. Event management
The value of the events market in the Middle East and Africa is set to
grow from USD 54 billion in 2022 to USD 77 billion in 2028, according to
data from
The Insight Partners. Dubai hosts major events such as the Dubai Desert Classic (European
golf tournament), Dubai International Jazz Festival, Dubai Food Festival,
GITEX (global tech show), and Dubai Design Week.
What types of event management are there?
Corporate: exhibitions, conferences, meetings
Private: weddings, birthdays, parties
Sports: triathlons, marathons, cycling
Education: university open days, career fairs
Entertainment: music concerts, festivals, art
How does event management work?
Event management businesses organise events by sourcing a venue, finding
suppliers, and handling logistics. Due to the grand scale of events in the
UAE and demand in the market, event management is an attractive business
idea.
Why set up an events company in the UAE?
Dubai is a popular event destination
Private and corporate clients usually have higher budgets
Low start-up costs as a wedding planner or venue-finder
A multitude of high-quality photographers, caterers, decorators, hotels,
and other suppliers are available
5. Tour group organiser
Travel and tourism is a big market in the UAE.
Statista projects revenue in this industry will reach USD 1,285 million in 2023
with an annual growth rate of 5.12% until 2027. Additionally,
an Arabian Business article
cited that tourism spending in 2022 increased by 70%. Hotels, package
holidays, and holiday rentals make the most revenue.
What are some tourism business ideas for the UAE?
Tour group organiser
Corporate team building
Travel agency
Water sports rental company
Desert glamping company
Why set up a tourism business in the UAE?
Dubai is one of the most famous cities in the world to visit
World-class hotels and holiday rentals
Beautiful beaches, desert dunes, and hot temperatures
A fusion of Middle Eastern culture and international influence
