Checkout.com, a leading global digital payments solutions provider, has partnered with Tabby, the financial services and shopping app, to offer flexible and high-performing payment solutions to merchants in the UAE and Saudi Arabia. This partnership integrates Tabby’s popular buy now, pay later solutions directly into Checkout.com’s platform, allowing merchants to offer consumers seamless, flexible payment methods at checkout.
As part of the agreement, Checkout.com has already integrated Tabby’s innovative BNPL solutions into its platform, offering merchants flexible, consumer-friendly payment options. This integration allows Checkout.com’s merchants to capitalize on the growing demand for alternative payment methods, boosting sales, conversion rates, and average order values. By offering greater flexibility at the point of purchase, the collaboration aims to enhance the shopping experience, foster consumer loyalty, and drive business growth.
The partnership comes as the BNPL market in the Middle East continues to experience rapid growth, with adoption rates reaching up to 62 percent over the past 12 months, according to Checkout.com’s latest Digital Commerce Report. This surge is driven by increasing consumer demand for flexible payment and credit solutions.
By combining Checkout.com’s cutting-edge payment technology with Tabby’s flexible financing solutions, this partnership creates a powerful ecosystem that enhances payment performance and enables merchants to grow their businesses by offering consumers their preferred payment methods. Together, Checkout.com and Tabby are dedicated to empowering consumers with greater choice, convenience, and flexibility, driving business growth and improving the overall shopping experience.
Abdulaziz Saja, KSA general manager, Tabby, said: “By partnering with Checkout.com, we’re bringing Tabby’s flexible payments to even more merchants. This gives Checkout.com’s businesses access to Tabby’s +15 million high-intent shoppers while offering their customers greater flexibility at checkout.”
“We are excited to partner with Tabby to empower merchants in the UAE and Saudi Arabia with more payment options for their customers,” said Remo Giovanni Abbondandolo, general manager MENA, Checkout.com. “At Checkout.com, we believe in the strategic value of payments in increasing revenue for our merchants through high performance payments, and this partnership reinforces our commitment to delivering solutions that drive business growth and enhance customer experiences.”
“In the past 12 months, popularity of BNPL remained a preferred payment method for online shoppers in the UAE and KSA with adoption rates reaching 39 percent and 42 percent respectively.”
This highlights the region’s growing demand for flexible payment options. Moreover, with an 80 percent increase in daily online shopping since 2020, consumers are eager to adopt new payment solutions,” he added.
“By integrating Tabby’s BNPL services into a single platform, we enable merchants to seamlessly offer flexible payment options with quick and efficient integration. This not only enhances the consumer experience but also drives higher conversion rates and customer satisfaction—creating real added value for everyone involved,” he concluded.
Checkers and Spar are rolling out high-end grocery stores, targeting a market segment Woolworths Food dominated for years.
On 5 March 2025, Woolworths released its interim financial results for the 26 weeks that ended on 29 December 2025.
The retailer’s turnover grew by 5.4% to R39.6 billion, supported by a strong performance in its South African food business.
The company’s operating profit from core trading activities fell by 13.3%, but its profit grew by 20.9% to R2.2 billion.
Woolworths’s food business reported a strong performance, with 11.4% turnover growth and an improved gross profit margin of 24.9%.
Woolworths Food grew revenue for the six months from R22.4 billion to R25.0 billion, which is exceptional in the local market.
In addition, the retailer’s on-demand grocery delivery service, Woolies Dash, saw sales increase by 49.2%, and total online food sales rose by 37.2%.
Woolworths Food is the feather in the retailer’s cap. It is the growth engine for the company and has a dominant position in South Africa’s high-end grocery market.
The company said Woolworths Food’s strong performance was driven by positive underlying volume growth.
This volume growth was bolstered by improved availability, ongoing innovation, and the company’s enhanced value proposition.
More targeted and effective promotions and chain efficiencies drove the higher gross profit of the food business.
These factors offset the impact of a growing online channel and the ongoing investment in the company’s value proposition.
Woolworths Food’s exceptional performance over the years has attracted the attention of other food retailers, including Checkers and Spar.
These retailers actively target Woolworths’s food business through services aimed at affluent South African consumers.
This retail battle is fought on many fronts, including high-end brick-and-mortar stores and online grocery deliveries.
Checkers stealing Woolworths Food customers
Checkers is gaining market share from Woolworths Food through its superior offerings and Sixty60 grocery service.
According to Shoprite’s financial reporting, Checkers is South Africa’s fastest-growing retailer in the premium food segment.
Checkers and Checkers Hyper increased their sales by 13.6% to R47.6 billion, constituting slightly less than half of the segment’s total sales.
Checkers has been winning market share from Woolworths Food in the premium food segment for years.
Since 2019, Checkers’ market share has increased from 57% to 62%, while Woolworths Food’s market share has dropped from 43% to 38%.
Sixty60 drives part of Checkers’ success in the premium food segment. The grocery delivery app has gained strong adoption across South Africa.
Shoprite’s results for the 26 weeks through December 2024 showed that Checkers Sixty60 increased sales by 47.1% and expanded to 601 stores.
It is not only Checkers Sixty60 that is eating Woolworth’s lunch. The retailer is also investing heavily in high-end brick-and-mortar stores.
Over the past decade, Shoprite has focused on capturing a larger share of the wealthy market segment in South Africa.
It used its Checkers, and lately, the revamped Checkers FreshX stores, to target richer South Africans through high-end products.
Increasingly, Checkers competes with Woolworths Food by delivering similar quality goods at lower prices.
Spar Gourmet stores strategy
Last week, Spar Southern Africa chief executive Max Oliva revealed that the company will roll out 30 to 40 high-end grocery stores.
The first high-end Spar store, which targets affluent shoppers, is set to open in the fourth quarter of 2025.
The new Spar Gourmet stores will target South Africans in the 7 to 10 Socio-economic Measures (SEM).
This group is defined as having high access to resources, infrastructure, and amenities. Simply put, these are wealthy South Africans.
Oliva said the retailer is looking at sites in high-end residential and urban neighbourhoods to access this market.
Spar wants to give South Africans a reason to shop by offering high-end products through key strategic partnerships.
The new Spar Gourmet stores will offer a standardised design and brand philosophy, which the group anticipates will allow for a high-margin retail model.
Through the Private Label Spar Signature Selection range and strategic supplier partners, it will offer differentiated product ranges and bespoke offerings.
It will offer a fresh arena implementation and a product range and assortment specifically targeting wealthy South Africans.
Oliva said Spar’s Private Label Spar Signature Selection will play a big role in the new Gourmet stores strategy.
Black Friday to Cyber Monday remains the most powerful retail window of the year
As a share of total holiday transactions, total transactions from Black Friday weekend surged 30.4%, equating to the few days making up 10.3% of the total holiday period transactions
e-Commerce still leads the charge
In-store commerce is making a comeback. In-store revenue as a proportion of total revenue saw a 109.4% surge, doubling from 5.3% to 11.1% of total holiday revenue
Omnichannel and data-led strategies set leaders apart
As the country waits with bated breath to see what the cabinet settles on for a national budget, which will have a big impact on the economic mood of the country, consumer confidence and investor sentiment, retailers are already planning for a bumper 2025 Black Friday and holiday season.
Black Friday, by its very nature, generates hype in the media and among retailers. However, a new index proves it is not hollow hype.
South Africa’s first formal Black Friday Index reveals that Black Friday to Cyber Monday remains the most powerful retail window of the year, according to World Wide Worx and Ecentric Payment Systems.
The index shows unequivocally that compared to the full holiday period from the beginning of November to Christmas Eve, Black Friday to Cyber Monday remains the clear peak shopping window, with significantly higher transaction and revenue growth than the rest of the season.
The Ecentric 2024 Black Friday Index, which was conducted in a partnership between Ecentric Payment Solutions and World Wide Worx, is based on analysis of data from retail transactions flowing through the Ecentric payment gateway. Payment data analysed excludes that of the grocery sector. Ecentric processes 20% of South Africa’s card transactions and serves as a trusted payments partner to 65% of JSE-listed retailers – serving their in-store, online, mobile and omnichannel payments requirements.
The index was compiled by independent technology research house World Wide Worx. It measures transaction volume and value generated from Black Friday to Cyber Monday, as a proportion of total holiday retail.
As a share of total holiday sales, online transactions for the Black Friday to Cyber Monday period, as a proportion of total transactions surged by 30.4%, rising from 7.9% to 10.3% of total holiday sales. Online revenue as a proportion climbed by 23.8%, increasing from 10.1% to 12.5% of total holiday revenue. In-store transactions as a proportion of total transactions grew by 15.4%, rising from 9.1% to 10.5% of holiday sales. In-store revenue as a proportion of total revenue saw a 109.4% surge, doubling from 5.3% to 11.1% of total holiday revenue.
Rory Bosman, Ecentric’s chief sales & marketing officer says the findings are good news for retailers as they provide telling insights that can prepare retailers to make the most of the critical retail period.
“The index makes it clear that the Black Friday weekend stands out from the full holiday shopping period, which runs from the beginning of November to Christmas Eve, in both sales volume and growth. The latest data confirms that retailers who capitalised on this peak moment saw the biggest gains, with online and in-store revenue outperforming the rest of the holiday season,” he says.
Of particular interest, is how dramatically the holiday shopping period is shifting. While in 2023 the Black Friday to Cyber Monday period reflected a small upward bump in transaction volume, the biggest shopping days came a week later.
“This is different in 2024,” says Bosman. “The Black Friday to Cyber Monday period saw a massive leap in transaction volume, compared to a slightly above-average level a week later.”
Key insights to capitalise on Black Friday in 2025 and beyond
Bosman says there are a number of important lessons for retailers. The first is that e-commerce is more important than ever.
“Retailers seeking to make the most of Black Friday need to prioritise seamless digital experiences and mobile optimisation and exclusive deals,” he says.
Importantly, the 2024 Black Friday index proved that in-store retail is enjoying a strong revival. Bosman says that the retailers who benefit the most will be those that invest in immersive experiences such as interactive shopping, festive atmospheres and high-value promotions to attract shoppers.
He says consumers demonstrated they respond well to positive in-store experiences. Technology such as augmented and virtual reality could play a pivotal role here.
Omnichannelintegration is non-negotiable, he says.
“The insights gained from the index tell us that online and in-store integration must be seamless, from inventory to promotions. The retailers that do the best are those that blend online and in-store efforts with consistent messaging, and, importantly, seamless experiences.”
Bosman says that data-driven personalisation holds immense potential for retailers seeking to set themselves apart from their competition. “AI-powered recommendations and targeted deals will set leaders apart. It is vital, in 2025 and beyond, that retailers use data for targeted promotions and flexible fulfillment options.”
The South African government plans to review a VAT exemption on certain low-value goods imported from overseas, targeting the e-commerce industry in particular.
This was revealed in the National Treasury’s Budget Review document for the 2025/2026 financial year, published alongside finance minister Enoch Godongwana’s budget speech on 12 March 2025.
Chapter 4 of the document, which is titled “Other matters under consideration and consultation,” explains that government will relook VAT exemption contained in the VAT Act of 1991.
“Government will review legislation to bring parity to the VAT treatment of such goods purchased online, as many offshore suppliers of these goods are not registered for VAT,” Godongwana said.
While it did not specifically name any companies, the import tax practices of Chinese e-commerce retailers Temu and Shein have been in the spotlight since early 2024.
Many local online retailers and representatives of popular goods manufactured in South Africa that are also sold by the Chinese stores — including clothing — cried foul over Temu and Shein’s cheap prices.
Some industry stakeholders accused the retailers of dodging import taxes by splitting up packages into lower-value consignments and reassembling them after import to abuse South Africa’s de minimis rule.
It soon emerged that South Africa does not have a de minimis, but there was an old concession on the taxman’s books they were likely exploiting.
Industry sources alleged the problem was a South African Revenue Service (Sars) concession from 2007, which allowed them to pay a flat duty rate of 20% without VAT on low-value imports below R500.
That concession aimed to simplify customs clearance processes for logistics companies as international e-commerce activity started accelerating.
However, local retailers regarded this as highly unfair, considering they must pay a 45% duty on clothing bought into the country by major retailers.
This high duty aims to protect the local textile industry, which has been bleeding for many years due to imports from Asian countries, where labour and materials are much cheaper.
Taxman’s confusing response
Sars responded by announcing it would start levying the entire 45% clothing tax on all applicable imports, including those valued under R500, from 1 July 2024.
That plan was put on indefinite hold and instead, the taxman implemented an interim measure in which it said it would levy 15% VAT on top of the 20% duty on all low-value orders.
That measure was supposedly put in place from 1 September 2024.
From 1 November 2024, Sars said it would reconfigure the 20% flat duty to align with the World Customs Organisation (WCO) guidelines on imports.
However, there is still great uncertainty around the revised taxes as Sars must still announce two key amounts in the WCO guidelines — the de minimis and minimum declared value.
These are necessary to determine in which broadband categories imported goods will fall as part of the WCO guidelines. The broadband categories are as follows:
Category 1: Correspondence and documents with no commercial value – Not subjected to duties and taxes, immediate release on the basis of a consolidated declaration that may be oral or written.
Category 2: Low-value consignments below a specified de minimis threshold — No duties and taxes are collected, and immediate clearance and release are done against a manifest, a waybill, a house waybill, a cargo declaration, or an inventory of items.
Category 3: Low-value dutiable goods above de minimis, but below full declaration value threshold — Dutiable, and the use of a simplified declaration, or release against a manifest with subsequent simplified clearance, etc.
Category 4: High-value consignments – Consignments not falling under the three categories described above and includes consignments containing goods that are subject to restrictions. Normal release and clearance procedures, including payment of duties and taxes, apply.
MyBroadband has analysed the effective taxes on numerous Temu and Shein orders placed after 1 September and 1 November and found that the effective tax rate was below 15% on some orders.
That implies that certain Temu and Shein imports are still being cleared through customs without incurring VAT.
The Middle East is witnessing an unprecedented retail boom, and Carrefour is at the heart of it. The French multinational retailer has announced a significant expansion in Saudi Arabia, reinforcing its presence with new hypermarkets and a strengthened online platform. This move aligns with the Kingdom’s Vision 2030, which aims to diversify the economy and enhance consumer retail experiences.
With a rising population, increasing urbanisation, and growing demand for both international and local products, Saudi Arabia has become a key battleground for global retailers. But what makes Carrefour’s strategy unique, and how will it shape the future of grocery retail in the region?
Carrefour’s Growth in Saudi Arabia: A Strategic Move
Carrefour, operated by UAE-based retail giant Majid Al Futtaim in the Middle East, has been steadily expanding across the Gulf region. Saudi Arabia, as the largest market in the Gulf Cooperation Council (GCC), presents immense opportunities for growth. The latest expansion includes:
New hypermarkets: Carrefour is opening multiple large-format stores across key cities such as Riyadh, Jeddah, and Dammam.
Enhanced e-commerce platform: The retailer is investing heavily in digital infrastructure, aiming to capitalise on the region’s rapid shift towards online grocery shopping.
Local sourcing initiatives: Carrefour is increasing partnerships with Saudi suppliers to offer more locally produced food and grocery items, aligning with the country’s push for food security.
Sustainable retail practices: Carrefour is implementing eco-friendly measures, such as reducing plastic packaging and introducing energy-efficient store designs.
This expansion strengthens Carrefour’s foothold in the Middle Eastern market while positioning it as a major competitor to regional chains and global rivals such as Lulu Hypermarket and Walmart-backed Noon Grocery.
Why Saudi Arabia? The Retail Market’s Rapid Transformation
Saudi Arabia’s retail sector is undergoing a transformation driven by several key factors:
1. A Young and Digitally Savvy Population
With over 60% of the Saudi population under the age of 35, tech-driven shopping habits are reshaping the retail landscape. E-commerce, mobile payments, and digital loyalty programmes are in high demand, prompting Carrefour to invest in an omnichannel approach that integrates physical stores with online services.
2. Government Support for Foreign Investment
As part of Vision 2030, Saudi Arabia is opening its doors to foreign retailers, encouraging investment in modern retail infrastructure. Carrefour’s expansion aligns with this initiative, benefiting from relaxed regulations and government incentives.
3. Demand for High-Quality and International Products
Saudi consumers are increasingly looking for diverse product selections that include organic, international, and premium food items. Carrefour’s global supply chain allows it to meet this demand while also incorporating locally sourced products.
4. The Shift Towards Hypermarkets and E-commerce
While traditional supermarkets remain popular, there is growing interest in large-format stores that offer a one-stop shopping experience. Carrefour’s hypermarkets cater to this trend, while its online platform ensures convenience for tech-savvy shoppers.
How Carrefour is Differentiating Itself in the Market
Carrefour is leveraging several key strategies to gain an edge in the Saudi retail sector:
1. Investing in AI and Smart Retail Technology
The retailer is integrating AI-powered checkout systems, automated stock management, and personalised digital promotions. This enhances efficiency and customer experience, positioning Carrefour as a tech-driven retail leader in the region.
2. Strengthening Local Supply Chains
To align with Saudi Arabia’s economic goals, Carrefour is increasing its partnerships with local farmers and manufacturers. This not only reduces import dependency but also helps Carrefour offer fresher, more affordable products.
3. Expanding Private Label Products
Carrefour’s private label brands provide high-quality alternatives to leading global brands at competitive prices. With rising price sensitivity among Saudi consumers, this strategy helps drive customer loyalty.
4. Enhancing Sustainability and CSR Initiatives
Environmental and social responsibility are becoming key factors in retail success. Carrefour is actively reducing food waste, launching eco-friendly packaging initiatives, and supporting community programmes in Saudi Arabia.
Challenges in the Saudi Retail Market
Despite its strong growth potential, the Saudi retail market presents challenges that Carrefour must navigate:
Intense Competition: Local players like BinDawood and Panda, along with regional chains such as Lulu Hypermarket, pose stiff competition. Carrefour must continuously innovate to maintain its market share.
Regulatory Changes: Saudi Arabia’s evolving business regulations require adaptability, particularly in areas such as labour laws, localisation policies, and pricing controls.
Cultural Preferences: Understanding and catering to Saudi consumer preferences, including halal product offerings and family-oriented shopping experiences, is crucial for long-term success.
The Future of Grocery Retail in Saudi Arabia
Carrefour’s expansion in Saudi Arabia is a testament to the country’s growing influence in the global retail landscape. With increasing urbanisation, rising disposable incomes, and a strong push for digitalisation, Saudi Arabia is set to become a hub for modern retail innovation.
Looking ahead, the key trends shaping the Saudi grocery sector include:
Continued growth of online grocery shopping: Retailers will invest further in e-commerce platforms, delivery services, and AI-driven customer experiences.
More hypermarkets and large-format stores: The demand for convenient, all-in-one shopping destinations will continue to rise.
Sustainability-driven retail strategies: Consumers and regulators will push for eco-friendly practices, forcing retailers to adopt greener initiatives.
Increased competition from new market entrants: As Saudi Arabia opens up to global businesses, more international retailers may enter the market, intensifying competition.
Carrefour’s aggressive expansion strategy positions it as a leader in this evolving landscape. By combining digital transformation, sustainability, and a strong local presence, the retailer is not only securing its market position but also shaping the future of grocery retail in Saudi Arabia.
As the Middle Eastern retail boom continues, Carrefour’s success in Saudi Arabia will serve as a blueprint for other global retailers looking to tap into this high-growth market.
Former Woolworths CEO Brad Banducci has been appointed as the new chief executive of Ticketek’s parent company TEG.
The former leader of Woolworths will take over from long-serving TEG CEO Geoff Jones.
Mr Jones, who led Ticketek’s parent company for 14 years, will become TEG’s new chairman.
Mr Banducci said stepping into the new role aligns with his “personal passion for live events and a strong belief in the increasing importance of live experiences in general”.
“I am honoured to join TEG at this exciting time in its journey,” he said.
Amid a series of shake ups at the ticketing giant, Mr Jones said he was delighted to “pass the baton” to Mr Banducci, who has a “proven track record” that makes him “the ideal leader to guide TEG into its next phase”.
“As chairman, I look forward to working with Brad and the team to continue to grow the business,” he said in a statement.
It comes after the events company appointed former Seven marketing director Larissa Ozard as general manager in marketing (live entertainment) and announced the appointment of Simon Cahill, head of commercial, and Jono Whyman, general manager of SXSW Sydney, as co-managing directors for SXSW Sydney.
Mr Banducci had a controversial exit from Woolworths last year, and was criticised for his response to price-gouging claims investigated by the Australian Competition & Consumer Commission and the company’s decision to drop Australia Day merchandise.
He left Woolworths just days after what was a train wreck interview on ABC’s Four Corners, during which he walked out of an interview before coming back, as he was grilled over allegations of price gouging and a lack of fair competition in the Australian supermarket sector.
At the time he said in a statement it was his intention to “retire, not resign”, as he felt it was the right time to “pass the baton”.
Mr Banducci has a 30-year portfolio of experience in consumer and retail, working for Woolworths Group for 13 years and eight and half years as Group CEO.
New details have emerged after one of Australia’s most popular retail brands was hit with a wind up order from the Federal Court forcing the closure of at least 51 stores.
Ally Fashion, an Australian-owned brand launched in 2001, has more than 150 stores in New South Wales, Victoria, Queensland, South Australia and the Northern Territory.
About 250 staff employed across the stores have lost their jobs due to the shocking collapse of the brand.
Last Friday, the brand received an order from the Federal Court to be wound up due to insolvency issues.
The Federal Court of Australia then appointed Jeff Marsden and Duncan Clubb of BDO Australia as liquidators of Ally Fashion Pty Ltd.
In a statement BDO revealed the appointment by the Court was made following an application by a landlord regarding overdue rent.
Ally fashion, one of Australia’s most popular brands, has been hit with a wind up order from the Federal Court, creating another massive ripple in the country’s retail industry. Picture: Supplied
“Following an urgent assessment of the business by the Liquidators, we have ceased operating 51 retail stores to improve the financial viability of the Company,” a spokesperson for BDO said.
However, the company has reportedly entered into a Licence Agreement with a related entity of the Director, David Dai, to continue to operate the remaining stores of Ally Fashion.
According to its website, clothes at Ally Fashion are designed by an in-house team for women who “like to express themselves through fashion & style”.
“With over 50 new styles arriving per week, Ally Fashion is well in demand and the destination for women who can transcend the fashion’s boundaries – defying the trends and creating her own,” it previously said.
Liquidator Jeff Marsden said, “Ally Fashion is a well-known Australian brand, with a dedicated team. The closure of underperforming stores and entering into a Licence Agreement will allow the business to continue operating in the short term whilst we urgently explore options to restructure, recapitalise or sell the business.”
The news comes as Australia’s retail industry takes a tough blow from cost-of-living pressures and recent inflation, making it increasingly difficult for businesses to meet their financial obligations.
Embattled fashion empire Mosaic Brands, which boasted brands such as Autograph, Noni B, Katies, Millers, and Rivers went into voluntary administration on October 28.
All 80 Katies stores shut down following the major decision, with 80 other stores across Millers, Rivers and Noni B also expected to close their doors.
About 480 employees lost their jobs due to the closures.
A shift in consumer behavior as thousands cut back on non-essential spending is understood to have led to the rise in insolvencies and businesses entering administration across all industries.
The Philippines has attracted top Japanese fashion and lifestyle retailers in show-casing Filipino products in their stores and in expanding their footprint in the country, the Department of Trade and Industry (DTI) said.
In a statement on Wednesday, DTI Secretary Cristina Roque said Adastria Co. Ltd. will expand its retail footprint and will explore local manufacturing while Etoile Kaito & Co Inc. is poised to increase sourcing of Philippine indigenous crafts.
The DTI said Roque spearheaded these collaborations during high-level discussions with the companies’ officials on March 3 in Tokyo.
“These strategic collaborations are set to significantly boost market access for premium Filipino products in Japan, attract substantial Japanese retail and supply chain investment, and showcase the nation’s rich creative talent on the international stage,” Roque said. “The exceptional creativity and craftsmanship of Filipi-nos deserve global recognition, and the Philippines is ready to take its place as a key player in the international fashion and life-style industry.”
Adastria, a leading Japanese apparel retailer with a portfolio of 45 brands, during a meeting with Roque, outlined plans to introduce more brands and explore local manufacturing opportunities, capitalizing on the Philippines’ growing retail mar-ket and competitive advantages, the DTI said.
Following the opening last December of Adastrias’s “niko and…” flagship store at SM Mall of Asia, the company aims to open multiple stores and introduce additional brands such as Global Work, Lowry’s Farm, and LAKOLE, the DTI added.
“Adastria’s expansion into the Philippines with the launch of ‘niko and…’ is just the beginning of what we hope will be a broader introduction of their diverse brand portfolio into the market,” said Roque.
She urged Adastria to consider local sourcing and manufacturing. A DTI briefer said the apparel retailer has 1,282 domestic and 127 international stores.
The briefer said Etoile Kaito, a prominent Japanese business-to-business wholesaler, is expanding its sourcing and diversifying its portfolio of interior and lifestyle products made from indigenous materials like capiz shells and abaca.
The DTI said Etoile Kaito will focus on importing a range of products, including flower vases, gardening pots, wall decorations, and fashion accessories like abaca bags and small containers.
Beyond sourcing, Roque said Etoile Kaitos expansion plans include introducing Japanese merchandise to the Philippine market through partnerships with established local distributors.
The DTI said Etoile Kaito has been working with the agency since 1988 to source products from the Philippines.
It added the company’s innovative hybrid model, seamlessly integrating digital platforms with brick-and-mortar channels, connects micro, small and medium enterprise manufacturers with an expansive network of 17,500 retailers in Japan and beyond.
Saudi Arabia’s supply chain transformation, driven by Vision 2030, emphasizes infrastructure upgrades, diverse trade relations, e-commerce growth, and free trade zones to enhance efficiency, resilience, and global logistics capabilities.
New Delhi, March 06, 2025 (GLOBE NEWSWIRE) — According to Astute Analytica’s latest market analysis, the Saudi Arabia supply chain market was valued at 560 million in 2024 and is anticipated to reach US$ 970 million by 2033, growing at a CAGR of 6.70% during the forecast period 2025–2033.
Saudi Arabia’s Vision 2030 is a groundbreaking strategic framework that is fundamentally reshaping the country’s supply chain landscape. This ambitious plan, launched to diversify the economy and reduce dependence on oil, has far-reaching implications for the logistics and supply chain sector. At its core, Vision 2030 aims to transform Saudi Arabia into a global logistics hub, leveraging its strategic geographic location at the crossroads of Europe, Asia, and Africa. The initiative has prioritized substantial investments in infrastructure, digital transformation, and workforce development, all of which are crucial elements in modernizing and enhancing the efficiency of supply chain operations.
One of the most significant impacts of Vision 2030 on the supply chain market in the country is the drive towards economic diversification. By promoting sectors such as manufacturing, technology, and logistics, the Kingdom is creating new opportunities for growth and innovation in supply chain management. This diversification is not only reducing Saudi Arabia’s reliance on oil but also fostering a more resilient and dynamic economy. The emphasis on digital transformation under Vision 2030 is particularly noteworthy, with the adoption of cutting-edge technologies such as artificial intelligence (AI), Internet of Things (IoT), and blockchain. These technologies are enabling real-time tracking, predictive analytics, and improved decision-making, which are crucial for modern supply chain operations. As a result, Saudi Arabia is witnessing enhanced visibility, efficiency, and sustainability in its supply chains, positioning itself as a competitive player in the global market.
Government investments in infrastructure: developing ports, airports, and road networks to improve logistics
Top Trends
Digital transformation: adoption of AI, IoT, and blockchain for supply chain efficiency
E-commerce expansion: increasing demand for logistics solutions, especially last-mile delivery
Sustainability initiatives: focus on green logistics and reducing carbon emissions
Top Challenges
Regulatory and customs barriers: complex procedures affecting cross-border logistics efficiency
Infrastructure and capacity constraints: need for further expansion to meet growing demand
Infrastructure Development Boosting Saudi Arabias Logistics Capabilities
The development of robust infrastructure is a cornerstone of Saudi Arabia’s supply chain market strategy to enhance its logistics capabilities under Vision 2030. The Kingdom has embarked on an ambitious journey of infrastructure expansion and modernization, with significant investments pouring into major ports, airports, and the development of a comprehensive rail network. The National Industrial Development and Logistics Program (NIDLP), a key component of Vision 2030, has allocated a staggering $133.3 billion for the development of essential infrastructure in airports, railways, and ports. This massive investment is set to transform Saudi Arabia’s logistics landscape, significantly boosting its capacity to handle international trade and positioning the country as a global logistics hub.
Key projects under this infrastructure development initiative in the supply chain market include the expansion of major ports such as King Abdullah Port and Jeddah Islamic Port. These expansions are expected to dramatically increase container capacity, facilitating better access to global markets and enhancing Saudi Arabia’s role in international trade. The development of a comprehensive rail network, including projects like the Saudi Landbridge, is another crucial aspect of this infrastructure push. This 1,300-km rail network will connect Jeddah on the Red Sea to Dammam on the Arabian Gulf via Riyadh, significantly reducing cargo transit times and improving trade route efficiency. These infrastructure developments are not only enhancing Saudi Arabia’s domestic logistics capabilities but also strengthening its position as a key player in global supply chains. By improving connectivity and reducing transportation costs, these initiatives are making Saudi Arabia an increasingly attractive destination for businesses looking to optimize their supply chain operations in the Middle East and beyond.
International Trade Relationships Enhancing Supply Chain Market Resilience
Saudi Arabia’s Vision 2030 has placed a strong emphasis on strengthening international trade relationships as a means to enhance supply chain resilience. The Kingdom recognizes that in an increasingly interconnected global economy, robust international partnerships are crucial for maintaining a stable and efficient supply chain. Saudi Arabia has been actively expanding its trade relationships with various countries, including traditional partners like the United States and emerging economic powerhouses such as the BRICS nations (Brazil, Russia, India, China, and South Africa). These diversified trade relationships help mitigate risks associated with geopolitical tensions or trade restrictions by ensuring alternative routes and suppliers are available.
The Kingdom’s efforts to enhance supply chain resilience through international trade are multifaceted. One key strategy is the implementation of the Global Supply Chain Resilience Initiative (GSCRI), which aims to increase foreign direct investment (FDI) in export-related sectors such as aerospace, pharmaceuticals, and renewables. This initiative not only strengthens Saudi Arabia’s position in global supply chain market but also contributes to the country’s economic diversification goals. Additionally, Saudi Arabia is focusing on developing cross-border collaboration and trade agreements. The establishment of free-trade zones and strategic partnerships with regional and global trade partners is helping to create a more resilient and flexible supply chain network. These efforts are complemented by initiatives to enhance domestic capabilities, such as localizing industries and developing strategic stockpiles of essential goods. By balancing international trade relationships with domestic resilience strategies, Saudi Arabia is creating a robust and adaptable supply chain ecosystem that can withstand global market fluctuations and disruptions.
Last Mile Delivery Innovations in Saudi Ecommerce Landscape
The rapid growth of e-commerce in Saudi Arabia has necessitated significant innovations in last-mile delivery, the final and often most challenging step in the logistics process across the supply chain market. As consumer expectations for faster, more convenient deliveries rise, companies in Saudi Arabia are leveraging cutting-edge technologies and innovative strategies to optimize their last-mile operations. Artificial Intelligence (AI) and Machine Learning are at the forefront of these innovations, with companies like Wahyd Logistics using these technologies to optimize delivery routes and forecast demand. These AI-powered solutions analyze data such as traffic patterns and customer preferences, resulting in a remarkable 25% reduction in delivery times compared to traditional methods.
Another significant innovation in the Saudi e-commerce landscape is the use of Internet of Things (IoT) technology to enhance shipment visibility and tracking. By equipping delivery vehicles and packages with IoT sensors, logistics companies can monitor the location and condition of goods in real-time. This has led to a 15% decrease in lost or damaged parcels, significantly improving customer satisfaction and reducing operational costs in the supply chain market. The exploration of automated delivery vehicles and drones is also gaining traction, with these technologies showing potential to reduce delivery times by 20% and costs by 15%. Furthermore, the establishment of micro-fulfillment centers in high-demand areas is enabling quicker processing and dispatch of orders, while the introduction of smart lockers is simplifying the returns process and reducing carbon emissions. These innovations, supported by Saudi Arabia’s Vision 2030 initiative and the country’s focus on technological advancement, are transforming the e-commerce logistics landscape, making it more efficient, customer-centric, and environmentally friendly.
Free Trade Zones Boosting Saudi Arabias Logistics Capabilities
Free Trade Zones (FTZs) have emerged as a powerful tool in Saudi Arabia’s arsenal to boost its logistics capabilities and attract foreign investment in the supply chain market. These designated areas, where goods can be imported, stored, and re-exported without being subject to standard customs duties or taxes, are playing a crucial role in simplifying international trade and enhancing the Kingdom’s position as a global logistics hub. The development of FTZs is a key component of Saudi Arabia’s Vision 2030 strategy, aimed at diversifying the economy and reducing dependency on oil. These zones offer numerous benefits, including tax exemptions, reduced customs duties, and simplified regulatory procedures, which collectively contribute to more cost-effective and efficient logistics operations
The impact of FTZs on Saudi Arabia’s logistics capabilities in the supply chain market is multifaceted. Firstly, they have significantly streamlined customs procedures, reducing the time and complexity involved in importing and exporting goods. This simplification leads to shorter lead times and faster shipments, enhancing overall supply chain efficiency. Secondly, the cost-effectiveness offered by FTZs makes Saudi Arabia an attractive destination for companies looking to optimize their supply chains, thereby strengthening the logistics sector. The strategic location of these zones near key logistics hubs such as ports and airports improves connectivity to global markets, reducing transportation time and costs. This positioning is particularly advantageous given Saudi Arabia’s geographic location at the crossroads of Europe, Asia, and Africa. Furthermore, FTZs serve as a magnet for foreign investments by offering a favorable business environment, which in turn increases demand for logistics services and contributes to the growth of the logistics industry in Saudi Arabia.
Cross-border e-commerce has emerged as a significant driver of growth in Saudi Arabia’s supply chain market, accounting for a substantial portion of the country’s e-commerce sales. As of 2023, cross-border transactions represented an impressive 60% of the total e-commerce sales in the Kingdom. This dominance is largely attributed to the competitive pricing, wider product selection, and brand variety offered by international platforms, which have proven highly attractive to Saudi consumers. A survey revealed that 72% of customers prefer cross-border retailers due to lower prices, while 47% appreciate the wider choice of products available. This consumer preference has not only boosted the e-commerce market but has also significantly impacted the logistics sector, driving demand for efficient cross-border shipping solutions and last-mile delivery services.
The growth of cross-border e-commerce has necessitated significant developments in Saudi Arabia’s supply chain market. The government, recognizing the potential of this sector, has been proactive in fostering a conducive environment for e-commerce growth, including cross-border transactions. Under Vision 2030, initiatives are underway to increase cashless transactions and expand the geographical coverage of e-commerce delivery beyond major cities. These efforts are part of a broader strategy to enhance the digital economy and support the logistics infrastructure needed for efficient cross-border e-commerce. However, the dominance of international platforms also presents challenges, including reduced revenue for the Saudi government and potential hindrances to the development of the local e-commerce industry. As a result, there is a growing trend towards supporting local e-commerce platforms, with projections suggesting that the share of cross-border e-commerce could decrease to 49% by 2026. This shift, coupled with government initiatives to support local businesses and enhance digital infrastructure, presents both challenges and opportunities for the future growth of e-commerce and its associated logistics sector in Saudi Arabia.
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Talabat Holding announced on Thursday the acquisition of 100 per cent of Instashop’s share capital from Delivery Hero SE. The sale and purchase agreement, initially revealed in September 2024, was fully funded through Talabat’s internal cash reserves, with a total consideration of $32 million.
Instashop, the leading online grocery delivery marketplace in the Mena region, is now a wholly-owned subsidiary of Talabat and will be effective and consolidated into its financial accounts starting February 25, 2025.
Instashop will continue to operate as an independent brand within Talabat’s grocery and retail vertical.
Founded in June 2015 and headquartered in Dubai, Instashop is a leading online marketplace that connects users with vendors, streamlining the purchase process and providing the necessary logistical capabilities to meet fast delivery expectations of customers. Specialising in the grocery and retail sectors across the UAE and Egypt, instashop offers a wide range of products, including groceries, pharmacy items, beauty essentials, and other personal care products.
In 2024, Instashop achieved strong growth, reaching $631 million in GMV, a 16% increase from $545 million in the prior year and equivalent to 8 per cent of Talabat’s 2024 GMV, with positive and improving EBITDA margins.
Following the acquisition, Talabat’s pro forma Grocery and Retail GMV1 for 2024 surpasses $2.5 billion, reinforcing its market leadership in the region.
