US to Middle East retail shift

Mel l May 13, 2025

The global retail landscape is no longer what it was just a few years ago. While the United States once offered boundless opportunity, a swell of new challenges—from stiff tariffs to sluggish growth—are making retailers rethink their path to expansion. Meanwhile, the Middle East is fast emerging as retail’s new goldmine. The difference this time? The right partner can make moving east not just possible, but profitable from day one.

The Harsh New Reality in US Retail

Retailers expanding or operating in the US today face a maze of obstacles. The removal of the $800 de minimis threshold means even low-value imports from China are now taxed, bringing new layers of tariffs, customs duties, and compliance headaches. US carriers and customs infrastructure are struggling to keep pace, with delivery delays and service suspensions becoming the norm. And with projected eCommerce growth now just 6-7%, retailers are pouring resources into a market delivering ever-thinner returns.

The Middle Eastern Boom

Contrast that with the Middle East, where a digitally fluent, smartphone-powered population fuels demand for seamless online experiences. Online spend in the UAE is predicted to soar from $11.69bn in 2023 to $16.26bn in 2027, while Saudi Arabia’s market is set to jump from $11.56bn to $19.49bn. Add fast-track logistics, innovative payment methods like COD, and a genuine government push for retail, and it’s easy to see why the world’s savviest brands are making the shift.

The Numbers Don’t Lie

The stark contrast between US and Middle Eastern retail performance tells a compelling story. While US eCommerce growth crawls at a modest 6-7%, the Middle East is experiencing rapid expansion at 15-25%. Delivery efficiency shows an even more dramatic difference: US shipments typically take 5-7 days to reach customers, while Middle Eastern deliveries arrive within just 1-2 days. Returns processing in the US faces lengthy cross-border delays and complications, whereas Middle Eastern returns are handled swiftly in-country, significantly reducing processing times. Perhaps most telling is the trajectory of consumer spending – while US markets show flat growth, Middle Eastern markets demonstrate consistent year-over-year increases in average consumer spend, indicating a robust and expanding retail ecosystem.

How Primis Makes Middle East Expansion Effortless

Shifting to a new region can feel daunting—but this is where Primis comes in, bridging the gap between opportunity and operational brilliance. Here’s how:

1. GCC 3PL & Distribution: Local Fulfillment, Immediate Scale

Primis brings retailers straight to the heart of the market with our GCC Distribution Centre. Our warehousing and fulfillment services, powered by strategic partnerships with regional 3PL leaders like ASYAD Group, mean you can hold inventory locally and serve customers faster than ever—often within just 24 hours across the GCC. No more cross-border delays; just instant access and happy shoppers. The result? Lower shipping costs, shorter lead times, and significantly improved customer experiences.

2. Primis Ship: Smart, Flexible, Money-Saving Shipping

Managing shipping into a new region shouldn’t be a headache—or a drain on margins. Primis Ship delivers a suite of shipping solutions tailored to your needs. You’ll benefit from pre-negotiated carrier rates with regional and international providers for both sea and air freight, and enjoy the freedom to experiment with different carriers to optimize your last-mile performance. The system is designed for speed, reliability, and savings.

3. Primis Track: Keep Shoppers Engaged and Confident

Your customers want to know where their order is, every step of the way. Primis Track keeps them up to date with real-time, branded tracking updates—no more anxious, “Where’s my package?” emails. The transparency not only delights shoppers but also reduces post-purchase inquiries, freeing your team to focus on growth.

4. Primis Returns: Hassle-Free, Eco-Friendly, Revenue-Boosting

Returns don’t have to be a costly, cross-border nightmare. Primis Returns leverages label-less and QR-code-enabled systems so customers can initiate returns easily and with minimal waste. Most importantly, we process returns in-country—ensuring lightning-fast refunds and restocking, so your inventory is back in play swiftly and your customers stay loyal. Exchanges become seamless, helping your brand retain more revenue.

The Bottom Line

With US growth grinding to a halt and complications stacking up, the Middle East is the rare region offering true, sustainable upside. When you partner with Primis, you get a full suite of local solutions—3PL, shipping, tracking, and returns—purpose-built for this vibrant, fast-expanding market.

Ready to stop spinning your wheels and start seizing growth? Primis stands ready to help you make the leap—smoothly, confidently, and profitably.

Learn more at www.primis.cx.

In retail, the fastest adaptors win. The Middle East is calling. Will you answer?

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