Middle East Businesses Missing Out On Online Marketing Power

Yousef TuqanMiddle East businesses could be taking far greater advantage of the marketing power of the Internet.

That was the message presented by Flip Media CEO, Yousef Tuqan, as he discussed the best ways for Qatar companies to build their web presence at this week’s QSTP TECHtalk.

Tuqan said: ‘Online advertising has been growing at more than 50% a year since 2004. Despite this frenetic increase the total last year came to just $35m, or less than 1% of what Middle East companies spend offline.’

On the plus side, he said, this low demand translates to low prices for online ads, an opportunity that Qatar companies can take advantage of. For example a life-insurance company in the US might pay $30 or more if someone clicks on their advertisement. In the Middle East, a company in the same industry may only have to pay a dollar or two.

Tuqan was presenting at a TECHtalk seminar hosted by Qatar Science & Technology Park. The bi-monthly seminars focus on the intersection between technology and business, and are open to the public.

Joining Tuqan in a panel discussion were ictQatar QCERT Center Director & Manager, Khalid Sadiq Al-Hashmi and Fuego General Manager, Karl Gretton. They agreed that although Qatar has one of the highest rates of Internet usage in the region, with 26% of the population now online, local businesses are not yet making the most of the web.

Tuqan said: ‘The most effective regional online advertising strategies take advantage of the latest technologies in relation to making users active participants instead of passive viewers, but within the social and cultural contexts of the region.’

He gave a case study of a Dubai property developer who set up a website where people could make good wishes for Ramadan. It attracted almost 40,000 participants in less than one month.

Yousef’s PowerPoint presentation is available here (PDF).

5 thoughts to “Middle East Businesses Missing Out On Online Marketing Power”

  1. It’s not just marketing, they’re missing out on, it’s the whole online shopping experience as well (at least in Jordan is missing).

    I made up a 9 point scale From minimal to maximum level on what I expect to be available online:
    1. They don’t have a website
    2. They have a website, but its been under construction for the past 3 years
    3. Their website only lists their name and phone number
    4. You can’t find out what products they sell at the store online
    5. You can’t find out product prices online
    6. You can’t get additional details about the product online
    7. You can’t find out if the product is in stock,and in which branch online
    9. You can’t actually buy the product online

    Most places are stuck between level 1 and 3

  2. It’s not just marketing, they’re missing out on, it’s the whole online shopping experience as well (at least in Jordan is missing).

    I made up a 9 point scale From minimal to maximum level on what I expect to be available online:
    1. They don’t have a website
    2. They have a website, but its been under construction for the past 3 years
    3. Their website only lists their name and phone number
    4. You can’t find out what products they sell at the store online
    5. You can’t find out product prices online
    6. You can’t get additional details about the product online
    7. You can’t find out if the product is in stock,and in which branch online
    9. You can’t actually buy the product online

    Most places are stuck between level 1 and 3

  3. I totally agree that many Arab businesses are missing out on a lot of opportunities online, and believe me when I tell you that Jordan is certainly one of the countries that is better off in this area, so just imagine how things are elsewhere.

    And I agree that many websites are stuck between 1 and 3; and they’re mainly useless. Unless there are details about the service or product, it’s pretty worthless.

    The thing is that even though businesses have so much to gain from working on their web presence and on actually selling their products and services online, it’s not really a prerequisite for them to advertise and market online.

    Of course when they have a complete online strategy, it should be a lot better, but not having one yet shouldn’t stand in the way of marketing online, it can work pretty well, all they could need for starters is somewhere to click through to which gives enough detail about the offer (service/product) and how the person can get it (online/offline).

  4. I totally agree that many Arab businesses are missing out on a lot of opportunities online, and believe me when I tell you that Jordan is certainly one of the countries that is better off in this area, so just imagine how things are elsewhere.

    And I agree that many websites are stuck between 1 and 3; and they’re mainly useless. Unless there are details about the service or product, it’s pretty worthless.

    The thing is that even though businesses have so much to gain from working on their web presence and on actually selling their products and services online, it’s not really a prerequisite for them to advertise and market online.

    Of course when they have a complete online strategy, it should be a lot better, but not having one yet shouldn’t stand in the way of marketing online, it can work pretty well, all they could need for starters is somewhere to click through to which gives enough detail about the offer (service/product) and how the person can get it (online/offline).

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