Jordan flag Jordan: Buying and Selling

The distribution network in Jordan

Evolution of the Sector
Jordan’s retail network is transitioning from traditional shops and markets to American-style malls and hyper-markets. Several large malls have opened in Amman and there are plans for outlet stores in southern Amman. On-line and mail ordering is popular. Marketing via internet is possible, but is still a nascent channel, as there is a low internet penetration rate in Jordan and consumers tend to consider internet shopping to be insecure. Foodstuffs are distributed basically by 4 channels. The first hypermarket (12 000 m2) opened its doors in Amman under the Carrefour name. Supermarkets are widespread in the country. There are classic supermarkets (100 to 400 m2) and western style supermarkets (1 000 to 3 000m2). There are four supermarket channels:
-    Cozmo and El Ahlia Plaza are local ones
-    C-Town and Safety are operated under franchise agreement.
In addition there are also civil and military cooperatives which sell local produce, with little variety, at low prices. The market also includes groceries, markets and wholesalers specialized in spices, dried fruits, fruit and vegetables and fresh meat.

The retail sector’s immediate future is tied closely to that of the overall economy, with this in turn subject to a number of external uncertainties: the conflicts in Syria and Iraq look likely to continue to impose constraints on economic growth, while the overall regional downturn caused by lower oil and gas prices will also have a knock-on effect on the kingdom’s economy and consumer spending. At the same time, however, the fundamentals remain strong. Jordan has major room for growth in the modern, organised retail segment, as its population also continues to grow. It has a unique geographical location, making it a natural corridor for growth in the surrounding region, as well as a convenient destination for shoppers from abroad. With any easing in regional tensions, the kingdom has the capacity to position itself for more robust future growth. Alongside more active government and private sector cooperation in ironing out legislation that affects the sector, the footfall may only increase in Jordan’s burgeoning retail environment.
Market share
The Jordanian distribution network is undergoing a process of transformation, as it is shifting from stalls and traditional markets to shopping centres. Several major shopping centres have opened in Amman recently and factory outlets are being built in the south of the capital. E-commerce is also in full expansion.
There are three major retail chains: Cozmo, C-Town and Safeway.

It should be noted that the Carrefour Group has opened 4 hypermarkets and 36 supermarkets in the country, with its local partner Majid Al Futtaim (CCI France Jordanie, 2020).
Retail Sector Organisations
Market analysis on various consumer goods productions in Jordan
Ministry of Industry and Trade and Supply
Jordan Chamber of Commerce

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Latest Update: July 2022

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