The Egyptian economy is increasingly digitalized, with SMEs playing a crucial role in this transformation. A mixed-method approach combining qualitative interviews and quantitative surveys was employed to gather data from Egyptian SME owners and managers. Of the surveyed SMEs, 72% reported difficulties with logistics as a primary challenge, while 45% cited insufficient digital literacy among staff as a significant barrier. While e-commerce adoption presents both challenges and opportunities for Egyptian SMEs, addressing these can lead to enhanced market access and competitiveness. SMEs should focus on improving logistics infrastructure and enhancing employee training programmes in order to better integrate into the digital economy.