Regarding logistics in the Middle East, we have to mention the C0D (Cash On Delivery) model, which is unique to the Middle East, that is, “cash on delivery”. Online payment in the Middle East is underdeveloped, and 80% of consumers still choose cash on delivery. Although the cash on delivery model has lowered the consumption threshold, online shoppers still have low trust in e-commerce, and the rejection rate remains high. In addition, the logistics infrastructure in the Middle East is weak, there is no clear address planning, and it is not easy for delivery personnel to find house numbers and zip codes, resulting in low delivery efficiency in the “last mile”.
The particularity of the Middle East logistics market also lies in the fragile connection between e-commerce platforms and C-end customers, and after-sales and collection services are actually implemented by logistics companies. Consumers often mistake logistics and e-commerce for one company, so if they encounter returns and product quality problems during purchases, consumers will directly find the logistics company to request a return or exchange.