The Saudi E-commerce Market is expanding rapidly, reshaping how people shop and how the nation’s retail economy grows. With nearly full internet coverage and strong government backing under Vision 2030, Saudi Arabia is becoming one of the most active online retail markets in the world.
Source: Grand View Research - Saudi Arabia E-Commerce Market Outlook
In 2024, the market size reached USD 222.9 billion, and it is projected to soar to USD 708.7 billion by 2033, reflecting a strong CAGR of 12.8%. In local terms, the market is expected to hit SAR 84.6 billion by 2025, growing at 11.2% annually. This momentum is fueled by the Kingdom’s advanced digital infrastructure, where internet penetration reaches 99%, and 78% of the population already has access to 5G networks—a key driver behind mobile shopping trends.
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Online Consumers and the Rise of Cross-Border Shopping
Saudi consumers have fully embraced digital shopping. More than 91% of Saudis now shop online regularly, and 14% make purchases daily. This signals a deep shift in consumer behavior, especially among younger, tech-savvy buyers. As a result, over 41,000 e-commerce businesses were registered by the end of 2024, marking a 10% year-on-year increase.
The surge in online transactions is also visible in payment systems. E-commerce sales made via Mada cards—Saudi Arabia’s national payment network—reached SAR 197.42 billion (USD 52.64 billion) in 2024, showing a 25.82% rise from the previous year. Online payments are now central to consumer spending, with e-commerce accounting for 29% of all retail payments in 2024. This figure is expected to reach 46% by 2030, reflecting the nation’s rapid transition toward a cashless economy.
One standout trend is the growing importance of cross-border trade. In Q1 2025, cross-border e-commerce represented 40% of all online sales, well above the G20 average. This not only shows Saudi consumers’ openness to international brands but also highlights the country’s rising influence in global digital trade. In 2024, cross-border transactions made up 15% of retail payments, further cementing Saudi Arabia’s integration with the global e-commerce ecosystem.
The broader retail sector has also mirrored this digital surge. It is expected to double between 2020 and 2025, with a compound annual growth rate of 15%. In March 2025, total consumer spending hit SAR 148 billion (USD 39.4 billion), with e-commerce activity up by 73% compared to earlier periods.
Driving Vision 2030 and Boosting Retail GDP
E-commerce is not just transforming shopping habits—it is reshaping the Kingdom’s economy. As one of the cornerstones of Vision 2030, the sector supports Saudi Arabia’s diversification goals by creating new jobs, encouraging entrepreneurship, and attracting foreign investment. The move toward a digital and cashless economy enhances transparency and efficiency while helping the retail sector contribute more significantly to GDP.
With robust growth rates, a tech-enabled population, and active participation in international trade, the Saudi E-commerce Market is set to play a central role in the nation’s economic transformation. It reflects how innovation, connectivity, and consumer enthusiasm are collectively driving Saudi Arabia toward a fully digital retail future.
