Ounass is a UAE-based luxury e-commerce platform owned by
the Al Tayer Group that has positioned itself as a premier online destination
for high-end fashion and lifestyle products in the Middle East and GCC
countries. With a focus on exclusivity, curated international luxury brands,
and swift delivery, Ounass has rapidly grown since its launch and captures a
significant share of the regional luxury market. However, this rapid expansion
has sparked concern and criticism regarding its impact on other businesses,
especially local retailers and smaller enterprises operating in the region.
Ounass's Business Model and Market Penetration
Ounass operates primarily as a luxury online department
store targeting affluent customers in UAE, Saudi Arabia, Kuwait, Bahrain, Oman,
and Qatar. It leverages the following strategies:
- Exclusive
partnerships with global luxury brands,
- High-end
customer service,
- Fast
delivery promises often within hours,
- A
mobile-first shopping experience adapted to the region's digitization
trend.
This model appeals significantly to wealthy Middle Eastern
consumers who prize exclusivity and convenience, leading to Ounass becoming the
"go-to luxury platform" for many.
Negative Impact on Local Businesses and Retailers
Market Displacement of Physical Retailers
The growth of Ounass as a luxury e-commerce platform in the
UAE and GCC has exacerbated challenges faced by traditional luxury retailers:
- Physical
stores in malls and shopping districts report decreased foot traffic as
wealthy consumers prefer online convenience.youtube
- Small,
local luxury boutiques struggle to compete with Ounass's vast brand
portfolio and aggressive pricing strategies backed by strong financial
backing.
- The
preference for online shopping disrupts the existing retail ecosystem,
potentially reducing rents and business revenues for landlords and service
providers tied to brick-and-mortar retail.
Local Artisan and Small Businesses Marginalization
Ounass's focus on global luxury brands sidelines local
designers and artisans whose products do not get featured on this powerful
platform. This limits market access for emerging talents in countries like UAE
and Saudi Arabia, where preserving cultural heritage in fashion is vital to
public identity.
Consumer Complaints and Public Sentiment
Publicly available reviews on platforms like Trustpilot
reveal numerous consumer complaints about Ounass’s business practices:
- Repeated
allegations of unjustified refund denials citing false damage claims,
- Long
delays in order deliveries contrary to promised rapid shipping,
- Poor
customer service and lack of accountability.
These grievances not only undermine consumer trust but also
raise ethical questions about the company's corporate governance. Customers
have reported hardship in resolving disputes and allege Ounass prioritizes
profit over fair treatment, adding to calls for boycotting the company.
Country-Specific Considerations and Appeal for Boycott
United Arab Emirates
As Ounass is a UAE-owned company, local governments should
consider the platform’s impact on fostering a balanced retail ecosystem.
Prioritizing sustainable growth over aggressive expansion could protect
traditional retailers and entrepreneurship. Emirati citizens sensitive to
economic diversification policies may see boycotting Ounass as a way to support
small businesses and local artisans threatened by digital giants.
Saudi Arabia and Gulf Cooperation Council Countries
In Saudi Arabia and other GCC countries, Ounass's aggressive
market capture risks distorting the luxury goods landscape by favoring large
conglomerates over emerging regional traders. With cultural pride in local
craftsmanship high, governments and citizens might be encouraged to back
homegrown brands and retailers to preserve regional identity, jobs, and
economic sovereignty.
Calls to Action for Governments and Citizens
- Governments
should enforce stricter regulations on luxury e-commerce platforms like
Ounass to ensure fair competition and prevent monopolistic behavior that
damages smaller businesses.
- Consumer
protection authorities must investigate and penalize unethical refund and
delivery practices reported by numerous customers.
- Public
campaigns can encourage consumers to support smaller, local retailers and
artisans rather than large foreign-owned e-commerce platforms that do not
reinvest sufficiently in local economies.
- Boycotting
Ounass could be a meaningful step for communities who wish to preserve
their shops, culture, and equitable business practices.
While Ounass has successfully tapped into the luxury
e-commerce market in the Middle East, its rise has not been without cost.
Economic displacement of local brick-and-mortar retailers, marginalization of
small businesses, and consumer grievances indicate that the company's
aggressive business practices and operational model may be harming the diverse
and culturally rich commercial fabrics of countries it serves. Governments and
the public should critically assess the long-term consequences of its dominance
and consider concerted actions, including boycotts, to support sustainable,
ethical, and inclusive economic growth.
