Online store feasibility study
Latest regulatory change: 2026 · reviewed 2026-11-05
Selling products through an online store with electronic payment and delivery to the customer.
- 52,259e-commerce registrations at end of Q3 2026[5]
- 25%annual growth in registrations[5]
- SAR 260 billionexpected e-commerce revenue by 2030[4]
Latest regulatory and market changes
- 2019The E-Commerce Council launched the e-commerce register and the store authentication platform under the E-Commerce Law and its implementing regulations.[1]
- 2023The Ministry of Commerce confirmed that the Saudi Business Center platform is the only platform for authenticating online stores, requiring a Commercial Registration (CR) or Freelance Document and a business bank account.[2]
- 2025The Ministry of Commerce published the results of its assessment of 100 prominent stores against 10 criteria, including authentication, returns policy, data protection and display of the VAT number.[3]
- 2026E-commerce registrations reached 52,259 at the end of Q3 2026, up 25% on the same period of 2025.[5]
Why now
- The sector recorded a compound annual growth rate of 15% between 2020 and 2025, according to E-Commerce Council data.[4]
- The number of users of online platforms rose 42% between 2019 and 2024.[4]
- Registrations are concentrated in Riyadh with 23,061, followed by Makkah with 13,177.[5]
52,259E-commerce Commercial Registrations at the end of Q3 2026, compared with 41,682 a year earlier, according to the Ministry of Commerce.[5]
The idea and business model
A store that lists its products on a website or store platform, takes orders and payment online, then ships through delivery companies. Revenue comes from the margin on each order, repeat purchases, shipping fees and add-on services.
Model: Online retail
Project economics
Revenue formula
Sales channels
- Online store
- Online marketplaces
- Social media
Largest cost items
- Cost of goods
- Marketing and customer acquisition
- Shipping and packaging
- Platform and payment fees
Decisive indicators we measure
- Conversion rate
- Customer acquisition cost
- Returns rate
- Repeat purchase rate
Relevant authorities
- Ministry of Commerce: Commercial Registration (CR), enforcement of the E-Commerce Law and consumer protection
- Saudi Business Center (business.sa): online store authentication
- Zakat, Tax and Customs Authority (ZATCA): VAT registration and displaying the VAT number on the store
- Relevant licensing authority: licences for regulated products within the statutory period
What needs your attention
- Government assessment criteria cover returns, shipping, complaints and data protection policies, and gaps show up in the published results.
- Competition is high, with registrations up 25% in a single year.
- Customer acquisition and shipping costs determine the margin more than the selling price.
What a Online store study calculates for you
- Customer acquisition cost against order margin
- Stock size and working capital
- Shipping and returns cost per order
- Monthly orders needed to break even
- Mandatory authentication and policy requirements for the store
Every one of these figures appears in your study with its source and date, built on your location and capital, with a clear line between documented facts and assumptions.
Sources
Most sources are Saudi government and press pages in Arabic; titles are kept in their original language so you can find them.
- مجلس التجارة الإلكترونية يدشن سجل التجارة الإلكترونية ومنصة توثيق المتاجرالاقتصادية · 2019-11
- «التجارة»: أبلغوا الجهات الأمنية عن المتاجر الإلكترونية غير الموثوقةعكاظ · 2023-07
- «التجارة»: إعلان نتائج تقييم المتاجر الإلكترونيةعكاظ · 2025-08
- 43,854 سجلاً تجارياً إلكترونياً في الربع الرابععكاظ (عن وزارة التجارة) · 2026-01
- السجلات التجارية للتجارة الإلكترونية تنمو 25% إلى 52.2 ألف سجلأخبار الاقتصاد (عن وزارة التجارة) · 2026-10
Last reviewed: 4 November 2026. This page introduces the activity; detailed figures belong in the study.