Chinese eCommerce apps dominate UAE ad spend at 73%, challenging local brands as iOS gains traction and Android faces rising fraud.
UAE: Chinese retailers continue to outpace competitors in the UAE mobile commerce market, with a commanding 73% of user acquisition (UA) ad spend in H1 2025, according to AppsFlyer’s latest State of eCommerce Mobile Marketing report. France (13%) and India (8%) follow, leveraging targeted campaigns aimed at premium and expat audiences.
This foreign dominance places mounting pressure on local brands, whose UA budgets are shrinking amid intensifying competition. Despite this, experts see growth potential for home-grown retailers if they pivot to performance-driven, localised strategies.
“Chinese apps view the UAE’s mobile-savvy, high-income audience as ideal for global expansion,” said Sue Azari, Industry Lead – eCommerce, AppsFlyer. “French brands target iOS premium users, while Indian players tap into the UAE’s vast South Asian expat base.”
The report reveals iOS is surging, with app installs up 1383% since 2017 and expected to double year-on-year in 2025. iOS fraud rates also dropped 63% year-on-year, making it a safer channel for marketers. Conversely, Android still dominates in scale but saw fraud rates jump 234%.
Despite high mobile penetration (97%) and daily usage (4+ hours), overall UA spend declined. Android UA dropped 21%, while iOS was down just 6%, showing resilience. However, H1 2025 saw record-breaking remarketing investments, driven by Ramadan and retail events.
Azari advised marketers to align campaigns with Q1 seasonal peaks and use remarketing to maintain engagement. “Smart advertisers will balance premium iOS reach with Android’s cost-effective scale,” she said.
With Android remarketing tripling and iOS performance soaring, UAE eCommerce apps remain a vibrant, fast-evolving space where strategic agility is key to success.
