Overview of Logistics Companies in the UAE (United Arab Emirates) for eCommerce Businesses
In recent years, the United Arab Emirates (UAE) has witnessed steady growth in several industries, including the eCommerce sector. UAE’s eCommerce industry is leading among the GCC countries. A report by Dubai Customs indicated that eCommerce sales figures would rise a whopping 23 percent by 2023, with a market size of $27 billion.
The growth of an economy is closely linked to trade between and within states. A smooth logistics infrastructure is mandatory to ensure that organic growth in the trade of goods is not hindered. The logistics and shipping industry manage transportation, inventory handling, cross-border trade, and eCommerce fulfillment in UAE.
The logistics and transport sector in the country contributed more than $29 billion in 2015 and is expected to grow at a CAGR of 4% by 2023. The logistics sector's contribution in the UAE has resulted in the population choosing online shopping over physical purchases for convenience.
On a global front, the UAE has been attracting investment worldwide. They are promoting businesses to establish regional headquarters and offices in the country’s famed free-trade zones (FTZs). The FTZs offer lucrative tax incentives to businesses in these special economic zones. As a result, the Emirati economy is now more diverse than most GCC countries.
Since 2019, the Covid pandemic has accelerated these economic transformations The pandemic played a key role in creating novel opportunities for online commerce. According to a poll by Standard Chartered, 73 percent of people in the UAE (United Arab Emirates) felt more positive about online shopping after the pandemic.
Growth in both eCommerce and logistics industries is attributed to competitive shipping companies, increasing container traffic at UAE’s ports, and a paradigm shift in the post-pandemic economy. This article outlines the best logistics companies in the United Arab Emirates for eCommerce shopping and what makes them stand out.
Top 10 Best Logistics Companies in UAE (United Arab Emirates) for eCommerce [2023 Updated List]
The logistics arm of this Dubai-based conglomerate began operations in 1980 and is one of the most popular logistics companies in the UAE today. Al-Futtaime provides access to 150 countries worldwide. They have integrated solutions for eCommerce, home delivery, retail, F&B, automotive, and other sectors.
The company operates in global and local markets. They specialize in providing clients with warehousing solutions, transportation, relocation, and distribution, among other services.
- AFL facilitates online order tracking to help manage order deliveries.
- The company uses route optimization solutions for deliveries to ensure the highest efficiency.
- They offer product-related services such as order pickup, packaging, and labeling services to help eCommerce companies manage their delivery operations.
- They have customized packaging solutions based on the specific eCommerce requirements of a client.
- Al-Futtaim also extends specialized eCommerce features such as ‘try and buy,’ helping eCommerce companies improve their reach and conversions.
- The company focuses on inventory management services for eCommerce companies to help them keep track of existing, incoming, and outgoing stock.
- They offer prepaid deliveries and COD options, including card-on-delivery, for maximum convenience.
- After delivery, they offer electronic proof of delivery for authentication purposes.
2) Aramex Logistics Company in UAE (United Arab Emirates)
Aramex is a renowned logistics company founded in 1982 and based in Dubai. The company has operations in over 65 countries, a combined reach of 220 countries, and over 600 offices worldwide. Aramex provides comprehensive shipping solutions, including warehousing and facility management services for eCommerce businesses.
- Aramex allows new businesses to set up an online store and offers integrations with selling channels such as Martjack and ShopGo.
- The company helps eCommerce businesses manage their warehouses for efficient inventory management.
- Their specialty lies in dedicated shipping and delivery solutions for eCommerce companies to help them reduce costs and delivery time.
- Aramex offers value-added services such as cash-on-delivery and eco-packaging.
- The company also offers features such as bulk order processing and order tracking.
Careem is a ride-hailing and delivery service based in Dubai, operating as a subsidiary of the ride-hailing giant Uber. The company operates in over 15 countries across the Middle East, South Asia, and Africa. The solution is ideal for small businesses that require access to customers through a fast and feasible delivery service.
- Careem offers fast delivery services with a timeline of 45 to 60 minutes.
- The platform can optimize last-mile delivery based on several round-the-clock factors to ensure the fastest and most affordable delivery experience.
- As a shipping partner platform, they allow users to track orders in real time.
- They offer volume-based discounts to companies to help them leverage the cost benefits of scale.
- Careem has 24x7 customer support for clients for faster resolution of issues and queries.
4) Global Shipping and Logistics
Global Shipping and Logistics LLC (GSL) is a Dubai-based third-party logistics company specializing in 3PL services. Their freight management, warehousing, and distribution solutions are popular amongst UAE merchants.
They are one of the top warehouse companies in the UAE. The company offers complete solutions for online commerce companies and delivers nationwide.
- GSL Group allows users to track orders to ensure timely deliveries.
- The company offers inventory management services to businesses.
- They have state-of-the-art storage facilities with almost 3 million sq. ft. of storage space.
- The company has dedicated eCommerce solutions for storing consumer electronics.
- They offer same-day delivery services within the UAE.
5) United Parcel Service (UPS)
UPS, or United Parcel Service, is one of the largest logistics companies in the world, with operations in 220 countries. The company's major presence in the Middle East makes shipments through intermodal and multimodal transport.
They ship shipments via road, railways, aircraft, and container ships. UPS offers dedicated services for eCommerce businesses and features to make the delivery process efficient.
- UPS offers flexible shipping options based on the volume of orders.
- The courier company offers integrations with major online storefronts and marketplaces to help widen the reach of sellers.
- The eCommerce carrier offers e-fulfillment, order tracking, shipping history, and automation services.
- UPS provides dedicated delivery services for small businesses and women entrepreneurs in the UAE to enable feasible and reliable shipping.
Ceva is a logistics company based in Switzerland with major operations in the UAE. The company operates over 1000 facilities established in more than 160 countries around the world. The company is an end-to-end logistics solutions provider with dedicated solutions for eCommerce businesses.
- Ceva offers logistics solutions to D2C, B2B, and B2C companies.
- The company offers eCommerce and Omnichannel fulfillment warehousing solutions.
- They have multiple last-mile delivery solutions and ground freight like FTL, LTL, GPS-tracked vehicles, and cross-border tracking.
- The courier service provider offers return solutions to eCommerce businesses.
- They provide brokerage and cross-border services, cargo insurance, and smart packaging to eCommerce retailers.
- Ceva offers same-day delivery, multiple pickup locations, repacking, and re-labeling services.
Fetchr is a relatively new shipping company that started in 2012. Fetchr is an ideal logistics solution provider and transport company for small businesses operating in the Middle East. The company focuses on providing flexible delivery solutions through an app-based delivery platform.
- Fetchr uses artificial intelligence to improve efficiency in the supply chain.
- The carrier offers dedicated solutions for small businesses for affordable shipping services across the UAE.
- Their courier service facilitates cross-border eCommerce deliveries.
- They also offer an efficient returns management service.
- The company allows users to track orders, manage inventory and make hyperlocal deliveries through its app-based platform.
8) Saudi Post
Saudi Post courier is a government-operated logistics company known as ‘al-Bareed,’ headquartered in Riyadh. The company has significant operations in the Middle East and ships to countries worldwide. They have a dedicated small business and eCommerce platform for easier facilitation of online shopping within the Middle East.
- Saudi Post allows businesses to choose between delivery options at the customer's doorstep, lockers, or postal offices.
- The company allows businesses to take COD orders, with options to pay via both cards and cash on delivery.
- They offer reverse logistics management services to manage returns from customers.
- They also enable businesses to choose multiple pickup locations for orders.
- Saudi Post’s platform allows businesses to track orders and receive proof of delivery.
ViaMe is a delivery services provider headquartered in Dubai. The company focuses on technology-driven solutions for making feasible and timely shipments across the UAE. They pay special attention to last-mile deliveries and are ideal for small and medium-sized online shopping websites.
- ViaMe offers on-demand delivery solutions to businesses for instant and scheduled deliveries.
- The company allows users to track orders in real-time.
- They provide a unified platform with an intuitive dashboard for viewing details of orders handled by this carrier.
- ViaMe offers round-the-clock support to its eCommerce clients for instant resolution of grievances.
10) Naqel Express
Naqel Express is a leading logistics company operating in 12 countries in the Middle East. The company was established in 1993 and is headquartered in Riyadh. Naqel Express manages more than 4 million shipments in a year and has a fleet of 3000 vehicles and more than 3500 logistics professionals.
- Naqel Express offers end-to-end logistics solutions, including freight forwarding, customs clearance, and warehousing services.
- The company offers a host of last-mile delivery services for tailored requirements of eCommerce businesses.
- They allow businesses to accept COD orders with the option to pay via cash and card at delivery time.
- They offer e-Fulfillment and storage space for eCommerce companies' inventory.
11) RAK Logistics
RAK Logistics is a prominent logistics provider and freight forwarder in UAE. The company primarily focuses on freight forwarding and advanced facilities to oversee inventory and move cargo in UAE. They also have warehouses and distribution centers in UAE, Netherlands, Singapore, and the Philippines.
They offer low-cost shipping services for Amazon FBA products, including scheduling air freight, processing customs clearance, warehousing, generating shipping labels, etc.
They offer shared warehousing, maintain inventory, enhanced tracking, generate packing slips and Bill of Ladings, and cross-docking.
They provide air and ocean freight services, including integrated tracking features, in-land pick, shipping to distribution centers, and air express deliveries.
They also facilitate project management, logistics financing, special packaging, handling, and critical freight.
12) Jenae Logistics
Jenae is a corporate logistics and shipping company in the Middle East. They provide comprehensive freight management services facilitating domestic and international supply chain and door-to-door deliveries. Apart from these, they are proficient in project management, consultancy, procurement, and outsourcing.
They are partners with FedEx, UPS, DHL, TNT, and other leading carriers to offer door-to-door delivery services in UAE.
They offer a full range of value-added and warehousing services and customized picking and packaging techniques.
The company has features of 3PL and promotes product procurement, buying, inspection, and project accounting.
They provide cost-effective shipping and freight transport services coupled with online tracking tools.
FedEx is a globally leading logistics and shipping company that has taken a foothold in the Middle East. They offer various shipping and delivery solutions in UAE for domestic and international shipping.
- They offer two air freight services for Middle East businesses, FedEx International Priority and Economy, with shipping times varying between two and seven days.
- They have a range of direct distribution services with features like a single customs clearance point, express distribution, and bulk shipping.
- FedEx is proficient in managing and handling product returns with services like easy printing of returns labels, tracking, and customs guidance.
- They also sport a range of delivery options like delivering to another address, delivering on a future date, marking a pick-up point, or assigning a neighbor’s address.
14) Emirate Logistics
Emirate Logistics is based in Dubai and is a well-known freight and logistics company. They have made strategic contributions to the logistics infrastructure in the country and provide cost-effective shipping solutions.
- They offer a complete sea freight service for FCL/LCL shipping, handling special or hazardous goods, and customs brokerage.
- Like sea freight, they also have air freight shipping facilities for air consoling and de-consoling, perishable goods, customs clearance, and custom bonded warehouses.
- They sport a range of trailers for Full-truckload and less-than-truckload shipments, cross-border transport, and door-to-door deliveries.
- They also have an in-house customs brokerage service, including inspections, deposit refunds, and ship-to-shore services.
15) Shipa Delivery
Shipa is a prominent last-mile delivery and fulfillment service provider in UAE. They are a high-tech company empowering eCommerce startups and businesses to fulfill customer needs and door-to-door services. Their managed solutions eCommerce logistics and cross-border trade.
- They receive online orders, pick and pack SKUs in their fulfillment centers and proceed with the shipping process for final delivery.
- They offer real-time ocean and air freight rates for over 100 countries, along with customs clearance.
- They have various delivery options, including on-demand, same-day, and next-day delivery, cash-on-delivery, and pre-paid payments.
- Their tech-enabled tracking portal provides order status and location to customers.
How to Choose the Best Logistics Company in UAE (United Arab Emirates) for Your eCommerce Business?
The market is brimming with options for shipping companies. To settle for a courier partner in the UAE, you must understand your business's and customers' needs. Considering all the research it entails, looking for a good fit for your business can be overwhelming.
So, we have figured out the following factors you can consider before choosing a suitable shipping partner in the UAE for your business.
The delivery cost is important when considering a shipping company in UAE. The cost of shipping a product is calculated based on several criteria, including the nature and size of the shipment, value-added services, and more.
The right shipping partner does not necessarily mean the cheapest provider in the market, however, it has to offer affordable solutions to help maintain feasibility.
Several market options may appear to offer significantly cheaper services than competitors. However, the cheapest option may come at a price. Often, these cheaper solutions providers involve some sort of hidden fees for their services, costing more than other platforms with higher upfront costs.
Do not opt for a cheaper delivery option just to save on upfront costs; consider the entire delivery process and your customers' requirements. Choose a delivery partner with competitive pricing, justified rates for allied services, and a good track record.
The delivery partner of your choice must be able to reach your customers. The target market for your platform must be assessed. And the geography of your clientele must be considered before opting for a shipping company to partner with.
It is essential to the survival of your business that your shipping partner serves the region where your target audience resides. More importantly, it should serve your target area well to ensure customer satisfaction.
Another way that a shipping company with a wider reach helps your business in scope for growth. A large network allows you to access new regions and potential consumer base. It also allows your existing target market to be better served through improved regional presence.
Serviceability improvements allow businesses to serve existing clients better and gain more clients. To ensure you do not miss out on potential consumers, select a partner with a wide reach across the UAE. A broad delivery network also ensures that your customer will receive the product faster.
The efficiency of a carrier is directly proportional to the speed of deliveries. The patience of modern-day customers is significantly lower than it used to be. In the age of instant gratification, delayed delivery can dent your sales figures. With cut-throat competition in the market, the smallest mistakes could result in the demise of an online selling platform.
It is essential to any online seller that their shipping process is highly efficient and reliable. When deciding on a shipping partner, you must acquire information on the efficiency of the shipping company.
Apart from efficiency in the standard shipping process, it is also important that you look for partners that offer express and on-demand shipping solutions. To get orders delivered quickly and safely, businesses must partner with an efficient shipping company.
A delivery partner must deliver the product efficiently while reducing expenditure and improving delivery time. A client receiving a product on time will help with customer retention rates.
4. Value-added services
A delicate concoction of competitive product performance and unparalleled service can yield customer satisfaction. The list of value-added services available can go on forever but look at some of the most important ones.
Cash (or card) -on- delivery provides additional convenience to your customers on top of their online shopping experience. And adding insurance becomes important for highly valued products. Choose a shipping service that offers value-added services relevant to your business and your target market.
There may be several services that a shipping company in the UAE offers that might not be relevant to your business. Therefore, it is always better to settle for a company that offers more add-ons.
Additional services allow businesses to experiment with their shipping experience while adding more solutions to the firm's growth. Shipping companies with value-added services can also help consolidate activities such as packaging, labeling, etc., under one roof. This improves efficiency and reduces costs for the business.
5. RTO rates
Return-to-origin is an occurrence when the shipping company reports a failed delivery. A high RTO percentage translates into a company being unable to reach maximum fulfillment of orders. This is exactly what you need to avoid. RTO rates are a clear indicator of the performance of a shipping company.
Since a shipping company is usually required to make at least three attempts at making a delivery, the delivery agent often fakes delivery attempts. Such fakes attempts mean that the shipping company did make every effort to deliver the product to the customer. This will result in losing out on the sale and costing you the price of shipping the product.
RTO percentages are low for a shipping company that ensures that its delivery agents make every attempt to make the delivery successful. Several factors can cause RTO, such as failing to connect with the client or incorrect delivery information.
A reliable partner will try to resolve these issues by informing the online platform promptly. Opt for a low RTO percentage partner in your active and target region. This allows you to ensure that your delivery partner makes every possible effort to deliver the product to your client.
6. Returns management
The online shopping experience is naturally different from physical shopping. The consumer can only get a feel of the product once it has already been paid. There might also be a situation when a customer decides to cancel an order which is already en route.
In such cases, some products will inevitably be returned by the client. In cases where the product had already been delivered, customers may be dissatisfied with the product or could have received the wrong product. The client may place a return or replacement request.
If your customer raises a return request, you need a delivery partner who manages the returns process without any hassles. Returning products are exposed to the entire shipping process again, which means they are faced with the risk of damage or loss.
If handled poorly, reverse logistics can be very costly for your business. Choose a delivery partner with a reliable history of returning the product to business without causing any loss or damage.
Online commerce platforms are a product of technology. The logical way forward is to partner with tech-friendly companies whose business foundation relies on technology. Regarding shipping, eCommerce companies benefit greatly if their shipping partners extend capabilities such as tracking visibility, order management, and more.
In many cases, shipping partners have these technological capacities. Keep in mind that a partnership with tech integrations will improve the performance and experience of your shipping operations.
Therefore, look for a partner that uses the right technology and offers integrations to their platform. Alternatively, you may also consider shipping technological solutions like ClickPost, which excel in handling multi-carrier logistics and returns.
8. Previous Record
While future projections are important, assessing a company's past performance is just as important as getting involved. While searching for the right UAE logistics partner, choose businesses that showcase an appreciable past performance. Business owners must avoid associating with firms with poor performance to avoid trouble.
While searching for a carrier company, you may discover certain firms that offer fairly cheaper solutions. However, you must get a review from the company. Poor performers tend to offer cheaper services, resulting in increased costs due to poor performance, delays, damages, and other reasons.
The decent historical performance also translates into a quality experience. A highly reviewed sets high standards for your shipping operations and helps you achieve higher efficiency and improved customer satisfaction.
|Al-Futtaim||Dubai, UAE||Abdulla Al-Futtaim||1980||Freight, Warehousing, transportation, Contract Logistics, Shipping||Freight, Shipping, 3PL||$45M~|
|Aramex||Dubai, UAE||Bill Kingson, Fadi Ghandour||1982||Express logistics, Freight forwarding, Warehousing, Customs clearance, eCommerce shipping||Shipping, Freight, 3PL||$1.6B|
|Careem||Dubai, UAE||Mudassir Sheikha ,
|2012||Hyperlocal delivery, Express delivery, On-demand delivery||Hyper-local Logistics||$83M~|
|GSL||Dubai, UAE||Abdulla M. Al Shirawi,
Mohan G. Valrani
|1975||International freight, cots-storage warehousing, distribution||Cross-border logistics, 3PL||$142M~|
|UPS||Georgia, US||James E. Casey||1907||Delivery, logistics, warehousing, freight, cross-border shipping||Global logistics, 3PL, Shipping||$84.6B|
|Ceva||Marseille, France||Ken Thomas||2007||Supply chain management, Freight, Project logistics, Customer brokerage,||Global shipping, Freight||$7.4B|
Idriss Al Rifai
|2012||Last-mile delivery, order fulfillment, hyperlocal delivery, supply chain management||Order fulfillment, Courier, Supply chain||n/a|
|Saudi Post||Riyadh, KSA||King Abdul Aziz bin Abdul Rahman Al-Saud||1926||Courier, eCommerce logistics, International shipping||Shipping, logistics, 3PL||2.75B SAR~|
|ViaMe||Dubai, UAE||Mohamed Jamal, Rashed Al Tamini||2019||Last-mile delivery, Domestic shipping||Courier, logistics||$5M~|
|Naqel Express||Riyadh, KSA||Mohammed Al-Bayati||1993||Last-mile delivery, eCommerce fulfillment, Customs clearance, Freight, Express delivery||Shipping, 3PL, Freight||$489M|
Thomson Road, Singapore
Air, Ocean, Land Freight, Warehousing and Distribution, Financing, Value-Added and Logistics Services
Consumer Goods, Retail, Food and Beverage, E-Commerce
Dubai Cargo Village, UAE
Jasleem Meethal (Managing Director)
Air and Sea Freight, Packing and Moving, Overland Transportation, Warehousing and Distribution, Door-to-Door Services, Procurement and Outsourcing
Shipping, Freight, Door-to-Door Delivery, Logistics
Frederick W Smith
Shipping, Tracking, Pick-up and Drop-off Schedule, Returns Management, Packing, Customs Clearance, Ocea, and Air freight, Supply Chain Services
E-commerce, Retail and Technology, Healthcare, Consumer Goods and Industrial Products
Sea and Air Freight, Sea-Air cargo, WMS, EDI integrations, Asset Development, Design, Selection and Procurement
FMCGs, Retail and Heavy Industries, 3PL /4PL services
Borhene Ben Mena (CEO)
E-Commerce Logistics, Last Mile Delivery, Air and Ocean Freight, Efulfilment Centers, Shipa Mall
Ecommerce, Shipping and Delivery,
Logistics is an inalienable requirement of all eCommerce businesses. However, few large companies can maintain in-house logistics infrastructure, especially in the UAE. Small and medium businesses require the services of a logistics partner to help them deliver their product to the final consumer.
An online seller can leverage the expertise of logistics companies in the United Arab Emirates to reach their customer. They can do so without the need to navigate the complexities of the shipping industry.
The eCommerce industry is growing at unprecedented rates owing to the convenience and ease of access it provides to its customers. Today's consumers have limitless options to shop online, and your logistics partner can be the difference between your success and collapse.
1) What is the demand for logistics services in UAE?
The expanding eCommerce industry and usage of intermodal transport have increased the demand for logistics services in UAE. In fact, the eCommerce industry of UAE is leading the GCC countries and is predicted to grow by $11.87 billion by 2026.
Given that the UAE market is saturated with automotive, retail, healthcare, and consumer care products, they need more 3PL and delivery services. Companies like Aramex, Careem, Al Futtaime, and Shipa have stepped up in the logistics sector providing crucial freight and last-mile delivery. Others, such as FedEx, UPS, Jenea Logistics, provide comprehensive warehousing facilities and promote cross-border trade for UAE retailers.
2) Which is the best logistics company for eCommerce in UAE?
The best logistics company would most definitely depend on the individual needs of the merchants and company owners. Depending on your business strategy, you can focus on different companies.
For example, if your consumer base is largely international, you may want FedEx, Aramex, or UPS to handle your orders. Careem, Shipa, and Fetchr are good options if you focus on hyperlocal deliveries. You can find many others in our list specializing in freight forwarding or warehousing.
However, many shipping and courier companies listed above have overarching logistics features. For example, most, if not all, have extensive transport fleets, freight services, warehousing and packaging facilities, and customs clearance. Most companies like Saudi Post and Aramex offer cash-on-delivery reconciliation.