Lebanon ECommerce 2023 – Lebanon has the potential to become a major player in the online retail space in the Middle East. However, the current situation of the ecommerce industry in the country is far from ideal, as it is facing a number of challenges that are preventing it from reaching its full potential.
One of the main challenges facing ecommerce in Lebanon is the lack of reliable and affordable internet infrastructure. Many parts of the country still suffer from slow internet speeds and unreliable connections. Even the main regions of the country like the capital Beirut, El Maten, Keserwan, do suffer from a bad internet connection. This makes it difficult for online retailers to reach customers and for customers to access online shopping platforms. Additionally, the high cost of internet services in the country makes it difficult for many consumers to regularly use ecommerce platforms.
Another major challenge facing the ecommerce industry in Lebanon is the limited number of payment options available to customers. Most online retailers only accept cash on delivery. This makes it difficult for online retailers to attract and retain customers, as many are unwilling to make online purchases without a secure and convenient payment option.
The Lack Of Trust In The Banking Sector
Small to medium businesses in addition to the middle-class population do not trust the banks especially after the economic crisis and the loss of their savings in the banks. Add to this situation, the capital restrictions. People are not able to withdraw money freely from their bank accounts. And the banks are not accepting to open Fresh USD account for the businesses, if you’re not a previous customer. The “Cash-On-Delivery” business model is still the predominant payment method.
Social Media Selling
Despite these challenges, many individuals (online retailers) and personal private initiatives are emerging in different industries. Beauty and healthcare, accessories for women, food & Beverage retail (Mouneh food), pubs, small restaurants, personal training and other small businesses are selling their products and services directly on Facebook and Instagram, without any website and ecommerce platforms. (If you would like to create an E-Commerce website and would like to know what your options are, click here).
The government is not taking any steps to support the growth of the industry. Instead, we see NGOs and International Organizations like the European Union launching initiatives aimed at improving local economic development in many areas in Lebanon. Many projects are completed and many in process to supporting Entrepreneurs and Women Entrepreneurs in launching their ideas and businesses and offering them the needed technical support. With a total absence of the local authorities and government.
Ecommerce in Lebanon has the potential to be a major contributor to the country’s economy. However, there are still significant challenges that need to be addressed. Personal initiative and personal investment in marketing effort is still the only way to succeed.
To open your own Ecommerce website, read this blog: E-Commerce In Lebanon – What Are Your Options?