Middle East Businesses Missing Out On Online Marketing Power

Yousef TuqanMiddle East businesses could be taking far greater advantage of the marketing power of the Internet.

That was the message presented by Flip Media CEO, Yousef Tuqan, as he discussed the best ways for Qatar companies to build their web presence at this week’s QSTP TECHtalk.

Tuqan said: ‘Online advertising has been growing at more than 50% a year since 2004. Despite this frenetic increase the total last year came to just $35m, or less than 1% of what Middle East companies spend offline.’

On the plus side, he said, this low demand translates to low prices for online ads, an opportunity that Qatar companies can take advantage of. For example a life-insurance company in the US might pay $30 or more if someone clicks on their advertisement. In the Middle East, a company in the same industry may only have to pay a dollar or two.

Tuqan was presenting at a TECHtalk seminar hosted by Qatar Science & Technology Park. The bi-monthly seminars focus on the intersection between technology and business, and are open to the public.

Joining Tuqan in a panel discussion were ictQatar QCERT Center Director & Manager, Khalid Sadiq Al-Hashmi and Fuego General Manager, Karl Gretton. They agreed that although Qatar has one of the highest rates of Internet usage in the region, with 26% of the population now online, local businesses are not yet making the most of the web.

Tuqan said: ‘The most effective regional online advertising strategies take advantage of the latest technologies in relation to making users active participants instead of passive viewers, but within the social and cultural contexts of the region.’

He gave a case study of a Dubai property developer who set up a website where people could make good wishes for Ramadan. It attracted almost 40,000 participants in less than one month.

Yousef’s PowerPoint presentation is available here (PDF).