The UAE tech retail market was on the rise as the customers rushed to purchase smartphones and laptops due to special ‘Back to School’ deals that provided some of the highest discounts in recent years.
With prices down to 30-50% depending on the model and the range of products, customers are willing to change their devices. These promotions are active when other new AI gadgets are being developed and introduced to the market and this has the effect of increasing buying.
Various retailers have noted a substantial rebound in the mobile sales trend especially in product segments like the Smartphone which had for the past six to eight months been relatively stagnant.
These older or existing models, including the Apple iPhone 13 and 14, are selling well alongside the current iPhone 15, with the widely anticipated iPhone 16, the first incorporate AI technology, planned for release in September of this year.
Samsung has also benefited from new releases, particularly the Galaxy Z Fold6 and Flip6 models. However, what is interesting now are the flip smartphones and brands like Honor and Huawei have already entered this segment with Huawei’s Pura 70 model.
In the opinion of Rajat Asthana, the COO of Eros Group, the factors that are driving the demand of Smartphones in the UAE are not only the increased focus on the incorporation of AI features but also in other aspects such as, designs, up gradation in the smartphone’s hardware and the advancement in camera technology.
‘Older models are sold at relatively lower prices meaning the cost sensitive customers are well catered for without at the same time diluting the exclusive nature of new phones,’ said Mr.
According to industry analysts, the level of discounting offered this season has been labelled as ‘unrivalled’. According to Vikas Chada, the CEO of the Jumbo Group, brands are currently pressuring retailers to promote specific coupon codes that will lead to consumers upgrading their gadgets. The increase in demand is especially high for laptops, which faced difficulties in the past year.
Most online stores are also taking advantage of the Back to School promotions; e& is offering anything up to a 45% on phones and 30% off on laptops and tablets for instance. The availability of AI gadgets such as PCs has also escalated the demand with the store head of Sharaf DG Nilesh Khalkho observing that more than 11 percent of the stores PCs being AI integrated models.
The general trend of return of laptops has been bolstered by the retailer’s ‘Windows Buyback’ program that ensures trade in value for future upgrades; over 500 customers have since locked in upgrade values since the beginning of the school season.
