E-TRENDS ARABNET 2014 IYAD KAMAL IYAD KAMAL [email protected] @IYADKAM

E-TRENDS BUSINESS TRENDS PAYMENTS RETURNS SOCIAL TRENDS LAST MILE SOLUTION

THE MIXER BUSINESS TRENDS MENA VS. INTERNATIONAL ECOMMERCE TRENDS DATA FROM ONLINE RETAILERS USING ARAMEX'S SHIPPING SERVICES SHOP AND SHIP ARAMEX’S ONLINE SHOPPING DELIVERY SERVICE E-TRENDS INCLUDE MIXED DATA FROM :

ECOMMERCE SEASONALITY / SHIPMENT GROWTH Q1 2013 2012 2011 Q2 Q3 Q4 BUSINESS TRENDS

2012, 2013, MENA VS. INTERNATIONAL, % 20% MENA 100% INTERNATIONAL MENA INTERNATIONAL MENA REGION VS. THE WORLD. BUSINESS TRENDS SHIPMENTS WITHIN MENA HAVE SEEN 100% GROWTH FROM 2012 TO 2013 INTERNATIONAL SHIPMENTS HAVE SEEN 20% GROWTH FROM 2012 TO 2013. THE ECOMMERCE MARKETPLACE IS STILL FAIRLY UNDERDEVELOPED AND THE AMOUNT OF REGIONAL ONLINE RETAILERS IS STILL LIMITED ECOMMERCE IS MORE MATURE

FUTURE TRENDS MENA REGION VS. THE WORLD. BUSINESS TRENDS MORE INTERNATIONAL ECOMMERCE COMPANIES ARE SELLING TO THIS PART OF THE WORLD. WE SEE AN UPWARD GROWTH TREND IN THE MENA REGION SHOPPERS ARE INTERESTED IN ONLINE STORES ACROSS THE WORLD BEYOND US, UK AND CHINA.

MENA VS. INTERNATIONAL, AVERAGE WEIGHT, 2013, % GROWTH AVERAGE WEIGHTS BUSINESS TRENDS AVERAGE WEIGHT 1.8KG MENA INTERNATIONAL MENA INT'l MENA INT'l 1.3KG GROWTH 36% 2%

% BY DESTINATION COUNTRY, 2013 LARGEST MARKETS SAUDI ARABIA EGYPT UAE BUSINESS TRENDS 38% 28% 10%

E-TRENDS BUSINESS TRENDS PAYMENTS RETURNS SOCIAL TRENDS LAST MILE SOLUTION

PAYMENTS WHAT ARE PEOPLE BUYING (SNS) ENTERTAINMENT BOOKS ELECTRONICS APPAREL SHOES APPAREL BEAUTY SUPPLIES BOOKS/BAGS

PAYMENTS 2013, MENA VS. INTERNATIONAL IN USD VALUE OF GOODS THE AVERAGE VALUE OF GOODS PURCHASED IN THE MENA WAS $110 IN 2013 (THIS FIGURE HAS STAYED CONSISTENT OVER THE LAST 3 YEARS) THE AVERAGE VALUE OF GOODS PURCHASED INTERNATIONALLY IS $75 (THE FIGURE HAS DROPPED COMPARED TO LAST YEAR)

PAYMENTS COD VS. CREDIT CARD PAYMENT 2012, 2013, % 71% 2012 2013 29% 74% 26% THE MENA ECOMMERCE MARKET IS A COD ONE! THE FUTURE? MORE OF THE SAME WITH AN INTERNATIONAL TWIST CASH ON DELIVERY (COD) CARD

2012, 2012, 2013 AVERAGE, LOCAL, BEYOND PAYMENTS SAUDI BUYERS 70% MENA SHIPMENTS TO KSA: TO MAJOR CITIES 90% INTERNATIONAL SHIPMENTS TO KSA: TO MAJOR CITIES

PAYMENTS 35% NO CARD 25% CASH EASIER 4% OTHERS 18% PREFERS CASH 18% NO TRUST IN ONLINE PAYMENTS WHY SAUDI CUSTOMERS PREFER CASH?

E-TRENDS BUSINESS TRENDS PAYMENTS RETURNS SOCIAL TRENDS LAST MILE SOLUTION

RETURNS UNDELIVERABLE RETURNS 2011, 2012, 2013, % 17% 20% 18% 2011 2012 2013 TOP REASONS: CUSTOMERS REFUSED THE PACKAGES CUSTOMERS ARE UNREACHABLE

24% 21% 7% 7% 2012 2013 RETURNS RETURNS BY PAYMENT TYPE CASH ON DELIVERY (COD) CARD

1.88 1 RETURNS AVERAGE # OF DELIVERY ATTEMPTS, 2013, % CASH ON DELIVERY (COD) CARD AVERAGE NUMBER OF DELIVERY ATTEMPTS AVERAGE NUMBER OF DELIVERIES

E-TRENDS BUSINESS TRENDS PAYMENTS RETURNS SOCIAL TRENDS LAST MILE SOLUTION

SOCIAL TRENDS KSA KUWAIT UAE OTHER EGYPT INDIA QATAR BAHRAIN GEOGRAPHICAL SHARE OF VOICE ON TWITTER (% BY COUNTRY) 53% 12% 10% 9% 5% 4% 3% 3%

SOCIAL TRENDS SENTIMENT ON TWITTER AND FACEBOOK POSITIVE 5% 78% 18% 7% 72% 21% NEUTRAL NEGATIVE

SOCIAL TRENDS CUSTOMER SERVICE CONVERSATIONAL MARKETING SUSTAINABILITY ARAMEX EMPLOYEES HR NATURE OF POSTS, % BY POST CATEGORY 58% 28% 8% 2% 2% 1% 78% 11% 5% 3% 1% 2%

E-TRENDS BUSINESS TRENDS PAYMENTS RETURNS SOCIAL TRENDS LAST MILE SOLUTION

OF CUSTOMERS PREFER TO USE THE MOBILE APP MY ADDRESS TO SCHEDULE THEIR DELIVERY TIMINGS AS OPPOSED TO DOING IT VIA PHONE WITH THE CALL CENTRE. LAST MILE SOLUTION MYADDRESS.ARAMEX.COM - THE MOBILE EFFECT 30%

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95% LAST MILE SOLUTION REDUCTION OF CO 2 EMISSION AND FUEL CONSUMPTION

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