They also considered steps to future-proof their businesses
The ‘2021 Small Business Recovery’ by Visa has found that 75% of small businesses in the UAE are optimistic about their business recovery following fast digital adoption amid the pandemic.
Among them, 54% of business owners are reliant on their small business as a primary source of income. Meanwhile, 82% of them consider digital payments as an important investment in business recovery.
The report also highlighted prominent spending trends seen by UAE small merchants:
- 93% increase in the use of contactless payments.
- 87% increase in takeaways.
- 78% increase in home delivery.
The findings suggest that contactless payments became a top choice for more UAE consumers. For instance, 60% of merchants said contactless payments were the preferred payment option among their customers. That’s up from 18% at the start of the pandemic.
Along with that, here’s how UAE small businesses responded to the pandemic in 2020:
- 58% offered home delivery and pickup services.
- 38% established digital presence.
- 40% implemented in-store self-help signage.
- 1 out of 2 ran offers and promotions.
Menawhile, 20% of UAE merchants who don’t have online presence plan to build an e-commerce platform. Furthermore, a third plan to offer contactless payments and digital prepayments options to their customers.
Here’s also data on what UAE merchants think of digital payments:
- 82% see the adoption of digital payments as an investment.
- 51% believe it will increase their sales.
- 31% intend to invest in new digital payment technologies.
- 28% of cash-only merchants plan to acquire POS terminals within the next 2 years.
- 86% expect e-commerce will continue to grow post-pandemic.
While the majority of merchants recognize he importance of digital acceptance, 51% of surveyed merchants showed interest in low-cost acceptance solutions.
We’ve reported that UAE carrier introduced touchless check-in kiosks.