UAE’s self-gifting trend grows 15% in emotional support shift

Phenomenon can be a form of self-care in an increasingly stressful and fast-paced world

Top Stories

UAE announces 2-month grace period for residence visa violators

UAE announces fee refund for tax service charges from August 1

Paid parking in Dubai: Residents face up to Dh4,000 extra yearly costs when new rates kick in

Published: Sun 18 Aug 2024, 5:36 PM

Last updated: Sun 18 Aug 2024, 5:37 PM

In a world where online shopping carts double as personal wish lists, a curious phenomenon has emerged: self-gifting. The allure of that sleek gadget, the soft cashmere sweater, or the artisanal chocolate truffles beckons irresistibly. And so, with a click, you become both Santa and recipient, wrapping up a little joy for your own soul.

Why is self-gifting on the rise? Perhaps it’s the pandemic’s lingering stress, nudging us to treat ourselves kindly. Or maybe it’s the thrill of snagging a deal. Whatever the reason, self-gifting is no longer a guilty secret; it’s a badge of self-love. And the trend is filling the coffers of the online players as well.

The UAE is witnessing a 15 per cent surge in self-gifting, driven by an increasing consumer focus on self-care and a vibrant economic development. Projections suggest that the UAE gifting market will grow at a compound annual growthrate CAGR of 14.7 per cent through 2029, while the overall e-commerce market is expected to increase at an annual rate of 8.63 per cent, reaching a market value of $10.56 billion by 2029.

Experts say the self-gifting phenomenon can be a form of self-care in an increasingly stressful and fast-paced world. People reward themselves for their hard work, achievements, or simply to boost their mood. At the same time, buying gifts for oneself can be an expression of independence, self-sufficiency, and financial stability, as their gifting choices are based solely on their own preferences and desires.

Flowwow, a gifting marketplace for local brands in 30+ countries, recorded a 15 per cent increase in self-gifting year-on-year (YoY) among UAE consumers in the first half of 2024. Notably, 44 per cent of those who buy gifts for themselves cite “mental health”, “well-being” and “independence” as the main motivation. The most popular gift categories for self-gifting were custom bouquets (+38 per cent), balloons (+29 per cent), and flower boxes (+26 per cent). Less popular were handmade chocolates and bento cakes.

Booming e-commerce scene

According to stats from Admitad, a partnership marketing platform,, the UAE remains one of the most active markets in the Mena region with online orders increasing by 6 per cent in the first half of 2024, while the gross merchandise value (GMV) grew by 12 per cent compared to the same period in 2023. The average transaction value in the UAE rose from Dh344 to Dh433.

Flowwow has partnered with Admitad, to unveil the findings from their latest e-commerce market research for the Middle East and North Africa (Mena) region in the first half (H1) of 2024.

The top -three countries by order volume in the Mena region during H1 2024 were Saudi Arabia, the UAE, and Algeria, with Morocco closely trailing the leaders. Saudi Arabia led with the highest order growth of over 20 per cent, while sales volume in the country surged by more than 25 per cent. Morocco also demonstrated significant GMV growth of 23 per cent.

Seasonal fluctuations

Seasonal trends show a surge during February, March and April, aligning with the Valentine’s Day, Ramadan celebrations, Eid Al Fitr, while sales generally follow a steadier pattern during the summer months.

March, marking the start of Ramadan, was also a time peak, though there was a slight 25 per cent decline from February. Despite the overall growth, the average transaction value in March fell by 25 per cent compared to March 2023, attributed to discounts and special promotions.

An analysis of average gift spending in the UAE for the first half of 2024 reveals significant fluctuations. In January, the average spending increased by 9.7 per cent compared to February. The upward trend continued into February, with average spending rising by 8.8 per cent by March, reaching a peak of Dh159. However, in April, there was a sharp decline of 11.9 per cent. In May, a slight recovery was observed with a 1.3 per cent increase, but by June, average spending fell again by 5.5 per cent.

Flowwow CEO and co-founder Slava Bogdan stated: “The e-commerce landscape in the UAE and the broader Mena region is flourishing, fueled by a rise of mobile commerce, technological progress, a diverse range of shopping occasions, and a growing demand for convenience and same-day delivery. This upward trend is expected to continue as e-commerce companies utilize technology and consumer data insights to offer personalized, seamless, and user-friendly experiences that cater to evolving customer preferences.”

Mobile commerce

Mobile shopping continued its upward trend, with the share of purchases made via smartphones rising from 36 per cent to 39 per cent in the first half of 2024. KSA led the region with mobile orders surpassing 60 per cent, followed by the UAE with over 50 per cent. Turkey had the lowest mobile order share, below 20 per cent.

“The impressive growth in e-commerce across the Mena region highlights the resilience and expanding appetite of online shoppers. The data shows a remarkable increase in both the volume and value of transactions, underpinned by the region’s vibrant holiday calendar and a continued shift towards mobile commerce. These trends underscore the region’s dynamic market potential and the growing importance of digital platforms in driving economic activity,” said Anna Gidirim, CEO of Admitad.

In terms of product categories, electronics (21.5 per cent), fashion (20 per cent), home goods (18.4 per cent), and automotive and motorcycle products (8 per cent) were the most popular in the Mena region during H1 2024. The “Tools” category saw the highest order growth, up 25 per cent, followed by “Toys and Hobbies” (+16 per cent) and “Automotive and Motorcycle Products” (+14 per cent).

The e-commerce sector in the Middle East is estimated to reach a market volume of $50 billion by 2025 fuelled by the region’s young and tech-savvy population, coupled with rising disposable incomes. At the same time, EZDubai reported that the total size of the e-commerce market in the UAE reached Dh27.5 billion in 2023, with projections to exceed Dh48.8 billion by 2028.

As the UAE and the wider Mena region continue to experience robust growth in e-commerce, driven by technological advancements and a youthful, digitally savvy population, the significance of these trends cannot be overstated. The region’s expansion underscores a promising future for both consumers and businesses, with self-gifting emerging as an indicator of the evolving preferences in today’s market.