Market Insights eCommerce Online Food Delivery Grocery Delivery

Quick Commerce - Egypt

Egypt

The Quick Commerce market in Egypt is expected to reach a revenue of US$337.90m in 2024.
This projection indicates a steady annual growth rate (CAGR 2024-2029) of 14.63%, resulting in a projected market volume of US$668.80m by 2029.
Moreover, the number of users in the Quick Commerce market in Egypt is estimated to reach 12.9m users by 2029.
Furthermore, the user penetration rate in Egypt is expected to be 5.6% in 2024 and is projected to increase to 10.4% by 2029.
The average revenue per user (ARPU) is expected to be US$52.53.
In terms of global comparison, China is anticipated to generate the highest revenue in the Quick Commerce market, with a staggering amount of US$80,840.00m in 2024.
Additionally, China boasts the highest user penetration rate in the Quick Commerce market, projected to reach 21.4%.
Egypt's quick commerce market is experiencing rapid growth, driven by the increasing popularity of online food delivery platforms and the convenience they offer to consumers.

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Analyst Opinion

The Quick Commerce market in Egypt has been experiencing a significant growth in recent years.

Customer preferences: Egyptian consumers have shown a growing preference for convenience and speed in their shopping experience. This has led to an increase in demand for Quick Commerce services, which offer fast delivery of goods and services. Additionally, the COVID-19 pandemic has accelerated the adoption of online shopping and delivery services in Egypt, further boosting the Quick Commerce market.

Trends in the market: The Quick Commerce market in Egypt has been characterized by the entry of new players, both local and international. This has led to increased competition and innovation, with companies offering new services such as on-demand grocery delivery and food delivery. There has also been a trend towards partnerships between Quick Commerce companies and traditional retailers, as well as the integration of Quick Commerce services into existing e-commerce platforms.

Local special circumstances: Egypt has a large and growing population, with a significant portion of the population concentrated in urban areas. This has created a large market for Quick Commerce services, particularly in cities such as Cairo and Alexandria. However, the country also faces challenges such as traffic congestion and a lack of reliable address systems, which can make delivery difficult.

Underlying macroeconomic factors: Egypt has experienced strong economic growth in recent years, with a growing middle class and increasing disposable income. This has led to a rise in consumer spending, including on online shopping and delivery services. Additionally, the government has implemented reforms to improve the business environment and attract foreign investment, which has led to increased interest in the Egyptian market from international Quick Commerce companies.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on Gross Merchandise Value (GMV) and represent what consumers pay for these products and services. The user metrics show the number of customers who have made at least one online purchase within the past 12 months.

Modeling approach / Market size:

Market sizes are determined through a bottom-up approach, building on predefined factors for each market. As a basis for evaluating markets, we use annual financial reports of the market-leading companies, third-party studies and reports, as well as survey results from our primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, GDP per capita, and internet connection speed. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing. The main drivers are internet users, urban population, usage of key players, and attitudes toward online services.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. GCS data is reweighted for representativeness.