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Inspire Middle East

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Amazon.ae relates running a regional e-commerce giant to basketball

Inspire middle east

<p>Syrian-born Ronaldo Mouchawar once had ambitions to be a basketball player. </p> <p>Ultimately, however, he followed in the footsteps of his father who was a merchant, and the man who inspired the name of his online auction site, ‘Souq.com’ in 2005. </p> <p>The <span class="caps">CEO</span> grew his business steadily for 13 years, adding millions of products from fashion and electronics to homeware, until the site became the biggest e-commerce retailer in the Arab world.</p> <p><img src="https://static.euronews.com/articles/91/68/916827/1600x900_bonus-s2e38-ime-bb1-011119.jpg" alt="" /><br /> <em>Ronaldo Mouchawar, founder of Souq.com and vice president of Amazon <span class="caps">MENA</span></em></p> <p>A landmark moment came in 2017, when the US tech giant Amazon acquired Souq for $580 million and Amazon.ae was born.</p> <p>Today, more than 30 million products can be found available online, including 5 million ones from Amazon U.S, which is attracting upwards of 45 million visits per month.</p> <p>Regional shopping habits have traditionally been rooted in people visiting mega malls, with the <span class="caps">UAE</span> Ministry of Economy estimating that e-commerce constitutes only around 10 percent of total sales in the Emirates.</p> <p>Consumer habits may be changing, according to Fitch Solutions Macro Research, who state that the region’s e-commerce sector in now the fastest growing in the world, with online sales estimated to double to nearly $49 billion by 2021. </p> <p>To see what the e-tailer Amazon.ae planned to deliver following Souq’s acquisition, Rebecca McLaughlin-Eastham met with its Vice President, Ronaldo Mouchawar in Dubai.</p> <p><img src="https://static.euronews.com/articles/91/68/916827/1600x900_bonus-s2e38-ime-bb2-011119.jpg" alt="" /><br /> <em>Ronlado Mouchawar speaks to Euronews’ Rebecca McLaughlin-Eastham in the Amazon.ae offices</em></p> <h2>Q&A <span class="caps">WITH</span> <span class="caps">RONALDO</span> <span class="caps">MOUCHAWAR</span></h2> <p><strong>Rebecca McLaughlin-Eastham: Let me start by asking what prompted you to sell Souq?</strong></p> <p><strong>Ronaldo Mouchawar:</strong> We wanted to be part of something more global. Amazon and Souq had similar businesses and they had the same <span class="caps">DNA</span> in terms of using technology to break borders. Amazon was looking at the region and Souq had a lot of the ingredients that Amazon’s leadership and principles had. </p> <p><strong>Rebecca: The road to merger or acquisition can sometimes be bumpy one. So, in terms of streamlining and integrating the businesses, what was the biggest challenge?</strong></p> <p><strong>Ronaldo:</strong> We launched Amazon.ae in May, so that was kind of the roadmap to integrate the two technologies into offering it locally here in the region. We do things a bit differently; our address, our structures are different – cash on delivery, the type of products etc. And clearly language, this region speaks Arabic and Amazon didn’t have Arabic. The merger really works well for customers here and we already see a massive change in terms of the type of product selection, choice and speed. </p> <p><strong>Rebecca: I want to drill down into the psyche of your consumers, not least in the U.A.E. They are demanding, they want certain niche products, they want it now and they want to pay cash. So, how do they compare to consumers in more mature markets?</strong></p> <p><strong>Ronaldo:</strong> Consumers in this part of the world are very connected. As you said, they’re very savvy at the service level – they’re very demanding. What has kind of stopped e-commerce from growing or, at least, having slow growth early on – because e-commerce is still a very small share of offline – was just the choice of products. </p> <p>Cash on delivery is now a service that we offer, and we have seen over the last couple of years a massive change in our application – where customers are a lot more comfortable paying with credit cards also. We have seen customers really improve in terms of how they pay online. But we have a lot more work to do in terms of improving what we offer, the speed that we offer it.</p> <p><img src="https://static.euronews.com/articles/91/68/916827/1600x900_bonus-s2e38-ime-bb3-011119.jpg" alt="" /><br /> <em>Amazon.ae is looking out for new delivery technology, according to Ronaldo Mouchawar / Photo courtesy: Amazon</em></p> <p><strong>Rebecca: It doesn’t get speedier than a drone, does it? So, tell me when will I have products dropped on my doorstep by drone? For it’s something you’ve mulled since 2015.</strong></p> <p><strong>Ronaldo:</strong> At this stage, I think for the <span class="caps">UAE</span> we’re more focused on regular delivery in terms of speed, but we continue to look at this innovation in terms of how it can play a role. We see a lot of value in remote areas where drones, for example, can be a significant support for our delivery network. But at this stage, you know, we’re more focusing on Prime deliveries that take place with vans, hopefully energy-saving vans, and we’ll go from there.</p> <p><strong>Rebecca: Talk to me about where your products are coming from. Because Korea – where you’re jetting off to tonight – is a place which you say has overtaken Japan, China, and even Europe in terms of what it’s bringing to your business.</strong></p> <p><strong>Ronaldo:</strong> From the West, many customers in this part of the world like Western brands and they have a lot of affiliation with them. A lot of customers also like products from the East, even from India. </p> <p>We have launched a route where sellers and brands from India are able to come to the <span class="caps">UAE</span> and do business here, with us providing the logistics and the distribution. There’s also Arabization on the site, for local customers to interact with this brand. </p> <p>So, this is not only an opportunity to bring products into the region but for our markets similar to Egypt and Saudi Arabia, where we have strong manufacturing base. Egypt is known, for example, for its textiles and many cotton products. </p> <p><img src="https://static.euronews.com/articles/91/68/916827/1600x900_bonus-s2e38-ime-bb4-011119.jpg" alt="" /><br /> <em>Amazon’s office in the United Arab Emirates</em></p> <p><strong>Rebecca: Spending across the globe has had a turbulent year. In light of the current economic situation, and domestic malaise, how is business? What are the trends that you’re seeing right now?</strong></p> <p><strong>Ronaldo:</strong> Fifty percent of the population in this part of the world is below the age of 25. These customers are very tech-savvy. They are empowered by their phones. We see the mobile penetration numbers and our app usage is continuously growing. That’s kind of where we feel growth is driven.</p> <p>Obviously, especially in economic times, people may be a lot more conscious on where they spend. They want to have choice, a selection, and they don’t want to pay more. Young customers are impatient, and they push us to improve. </p> <p><strong>Rebecca: If there’s anywhere you’d rather be, when not in the boardroom, it’s arguably the basketball court. So, are there any transferable skills between the two worlds? Any rules of the game and engagement that transfer to business?</strong></p> <p><strong>Ronaldo:</strong> Sometimes, you can see in my meetings where basketball comes up. I think the idea that you are a team, you have basketball, you play offense and defence. So, it’s one of those unique sports where you have to have multiple skills, it’s not one. It’s a team sport, so even if you have stars, you don’t win all the time. Actually, you miss more shots than you make in most of the games that you play. </p> <p>I think it’s how you fail fast, learn, have a short memory, and get back on the court. Practice, prepare, you know, plan. Those things come up in our meetings.</p> <h2><span class="caps">SEEN</span> ON <span class="caps">SOCIAL</span> <span class="caps">MEDIA</span>: <span class="caps">SPECIAL</span> <span class="caps">DELIVERY</span></h2> <p>Emirati online shopper Mona received a special delivery from her son.</p> <p><blockquote class="instagram-media" data-instgrm-captioned data-instgrm-permalink="https://www.instagram.com/p/B1tvqbghdLb/?utm_source=ig_embed&utm_campaign=loading" data-instgrm-version="12" style=" background:#FFF; border:0; border-radius:3px; box-shadow:0 0 1px 0 rgba(0,0,0,0.5),0 1px 10px 0 rgba(0,0,0,0.15); margin: 1px; max-width:540px; min-width:326px; padding:0; width:99.375%; width:-webkit-calc(100% - 2px); width:calc(100% - 2px);"><div style="padding:16px;"> <a href="https://www.instagram.com/p/B1tvqbghdLb/?utm_source=ig_embed&utm_campaign=loading" style=" background:#FFFFFF; line-height:0; padding:0 0; text-align:center; text-decoration:none; width:100%;" target="_blank"> <div style=" display: flex; flex-direction: row; align-items: center;"> <div style="background-color: #F4F4F4; border-radius: 50%; flex-grow: 0; height: 40px; margin-right: 14px; width: 40px;"></div> <div style="display: flex; flex-direction: column; flex-grow: 1; justify-content: center;"> <div style=" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; margin-bottom: 6px; width: 100px;"></div> <div style=" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; width: 60px;"></div></div></div><div style="padding: 19% 0;"></div> <div style="display:block; height:50px; margin:0 auto 12px; width:50px;"><svg width="50px" height="50px" viewBox="0 0 60 60" version="1.1" xmlns="https://www.w3.org/2000/svg" xmlns:xlink="https://www.w3.org/1999/xlink"><g stroke="none" stroke-width="1" fill="none" fill-rule="evenodd"><g transform="translate(-511.000000, -20.000000)" fill="#000000"><g><path d="M556.869,30.41 C554.814,30.41 553.148,32.076 553.148,34.131 C553.148,36.186 554.814,37.852 556.869,37.852 C558.924,37.852 560.59,36.186 560.59,34.131 C560.59,32.076 558.924,30.41 556.869,30.41 M541,60.657 C535.114,60.657 530.342,55.887 530.342,50 C530.342,44.114 535.114,39.342 541,39.342 C546.887,39.342 551.658,44.114 551.658,50 C551.658,55.887 546.887,60.657 541,60.657 M541,33.886 C532.1,33.886 524.886,41.1 524.886,50 C524.886,58.899 532.1,66.113 541,66.113 C549.9,66.113 557.115,58.899 557.115,50 C557.115,41.1 549.9,33.886 541,33.886 M565.378,62.101 C565.244,65.022 564.756,66.606 564.346,67.663 C563.803,69.06 563.154,70.057 562.106,71.106 C561.058,72.155 560.06,72.803 558.662,73.347 C557.607,73.757 556.021,74.244 553.102,74.378 C549.944,74.521 548.997,74.552 541,74.552 C533.003,74.552 532.056,74.521 528.898,74.378 C525.979,74.244 524.393,73.757 523.338,73.347 C521.94,72.803 520.942,72.155 519.894,71.106 C518.846,70.057 518.197,69.06 517.654,67.663 C517.244,66.606 516.755,65.022 516.623,62.101 C516.479,58.943 516.448,57.996 516.448,50 C516.448,42.003 516.479,41.056 516.623,37.899 C516.755,34.978 517.244,33.391 517.654,32.338 C518.197,30.938 518.846,29.942 519.894,28.894 C520.942,27.846 521.94,27.196 523.338,26.654 C524.393,26.244 525.979,25.756 528.898,25.623 C532.057,25.479 533.004,25.448 541,25.448 C548.997,25.448 549.943,25.479 553.102,25.623 C556.021,25.756 557.607,26.244 558.662,26.654 C560.06,27.196 561.058,27.846 562.106,28.894 C563.154,29.942 563.803,30.938 564.346,32.338 C564.756,33.391 565.244,34.978 565.378,37.899 C565.522,41.056 565.552,42.003 565.552,50 C565.552,57.996 565.522,58.943 565.378,62.101 M570.82,37.631 C570.674,34.438 570.167,32.258 569.425,30.349 C568.659,28.377 567.633,26.702 565.965,25.035 C564.297,23.368 562.623,22.342 560.652,21.575 C558.743,20.834 556.562,20.326 553.369,20.18 C550.169,20.033 549.148,20 541,20 C532.853,20 531.831,20.033 528.631,20.18 C525.438,20.326 523.257,20.834 521.349,21.575 C519.376,22.342 517.703,23.368 516.035,25.035 C514.368,26.702 513.342,28.377 512.574,30.349 C511.834,32.258 511.326,34.438 511.181,37.631 C511.035,40.831 511,41.851 511,50 C511,58.147 511.035,59.17 511.181,62.369 C511.326,65.562 511.834,67.743 512.574,69.651 C513.342,71.625 514.368,73.296 516.035,74.965 C517.703,76.634 519.376,77.658 521.349,78.425 C523.257,79.167 525.438,79.673 528.631,79.82 C531.831,79.965 532.853,80.001 541,80.001 C549.148,80.001 550.169,79.965 553.369,79.82 C556.562,79.673 558.743,79.167 560.652,78.425 C562.623,77.658 564.297,76.634 565.965,74.965 C567.633,73.296 568.659,71.625 569.425,69.651 C570.167,67.743 570.674,65.562 570.82,62.369 C570.966,59.17 571,58.147 571,50 C571,41.851 570.966,40.831 570.82,37.631"></path></g></g></g></svg></div><div style="padding-top: 8px;"> <div style=" color:#3897f0; font-family:Arial,sans-serif; font-size:14px; font-style:normal; font-weight:550; line-height:18px;"> Voir cette publication sur Instagram</div></div><div style="padding: 12.5% 0;"></div> <div style="display: flex; flex-direction: row; margin-bottom: 14px; align-items: center;"><div> <div style="background-color: #F4F4F4; border-radius: 50%; height: 12.5px; width: 12.5px; transform: translateX(0px) translateY(7px);"></div> <div style="background-color: #F4F4F4; height: 12.5px; transform: rotate(-45deg) translateX(3px) translateY(1px); width: 12.5px; flex-grow: 0; margin-right: 14px; margin-left: 2px;"></div> <div style="background-color: #F4F4F4; border-radius: 50%; height: 12.5px; width: 12.5px; transform: translateX(9px) translateY(-18px);"></div></div><div style="margin-left: 8px;"> <div style=" background-color: #F4F4F4; border-radius: 50%; flex-grow: 0; height: 20px; width: 20px;"></div> <div style=" width: 0; height: 0; border-top: 2px solid transparent; border-left: 6px solid #f4f4f4; border-bottom: 2px solid transparent; transform: translateX(16px) translateY(-4px) rotate(30deg)"></div></div><div style="margin-left: auto;"> <div style=" width: 0px; border-top: 8px solid #F4F4F4; border-right: 8px solid transparent; transform: translateY(16px);"></div> <div style=" background-color: #F4F4F4; flex-grow: 0; height: 12px; width: 16px; transform: translateY(-4px);"></div> <div style=" width: 0; height: 0; border-top: 8px solid #F4F4F4; border-left: 8px solid transparent; transform: translateY(-4px) translateX(8px);"></div></div></div></a> <p style=" margin:8px 0 0 0; padding:0 4px;"> <a href="https://www.instagram.com/p/B1tvqbghdLb/?utm_source=ig_embed&utm_campaign=loading" style=" color:#000; font-family:Arial,sans-serif; font-size:14px; font-style:normal; font-weight:normal; line-height:17px; text-decoration:none; word-wrap:break-word;" target="_blank">Thx <code>amazonae ?? #amazon #amazonae #shippment #shopping</a></p> <p style=" color:#c9c8cd; font-family:Arial,sans-serif; font-size:14px; line-height:17px; margin-bottom:0; margin-top:8px; overflow:hidden; padding:8px 0 7px; text-align:center; text-overflow:ellipsis; white-space:nowrap;">Une publication partagée par <a href="https://www.instagram.com/mmooonnn/?utm_source=ig_embed&utm_campaign=loading" style=" color:#c9c8cd; font-family:Arial,sans-serif; font-size:14px; font-style:normal; font-weight:normal; line-height:17px;" target="_blank"> Mona Alhmoudi- مُنـى الحمُـودي</a> (</code>mmooonnn) le <time style=" font-family:Arial,sans-serif; font-size:14px; line-height:17px;" datetime="2019-08-28T16:42:57+00:00">28 Août 2019 à 9 :42 <span class="caps">PDT</span></time></p></div></blockquote> <script async src="//www.instagram.com/embed.js"></script></p> <p>And <span class="caps">UAE</span>-based Charlotte from the UK says her cat finds delivery boxes the “purrfect” spot in which to pose. </p> <p><blockquote class="instagram-media" data-instgrm-captioned data-instgrm-permalink="https://www.instagram.com/p/B2mc0eUA6WU/?utm_source=ig_embed&utm_campaign=loading" data-instgrm-version="12" style=" background:#FFF; border:0; border-radius:3px; box-shadow:0 0 1px 0 rgba(0,0,0,0.5),0 1px 10px 0 rgba(0,0,0,0.15); margin: 1px; max-width:540px; min-width:326px; padding:0; width:99.375%; width:-webkit-calc(100% - 2px); width:calc(100% - 2px);"><div style="padding:16px;"> <a href="https://www.instagram.com/p/B2mc0eUA6WU/?utm_source=ig_embed&utm_campaign=loading" style=" background:#FFFFFF; line-height:0; padding:0 0; text-align:center; text-decoration:none; width:100%;" target="_blank"> <div style=" display: flex; flex-direction: row; align-items: center;"> <div style="background-color: #F4F4F4; border-radius: 50%; flex-grow: 0; height: 40px; margin-right: 14px; width: 40px;"></div> <div style="display: flex; flex-direction: column; flex-grow: 1; justify-content: center;"> <div style=" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; margin-bottom: 6px; width: 100px;"></div> <div style=" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; width: 60px;"></div></div></div><div style="padding: 19% 0;"></div> <div style="display:block; 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font-family:Arial,sans-serif; font-size:14px; font-style:normal; font-weight:550; line-height:18px;"> Voir cette publication sur Instagram</div></div><div style="padding: 12.5% 0;"></div> <div style="display: flex; flex-direction: row; margin-bottom: 14px; align-items: center;"><div> <div style="background-color: #F4F4F4; border-radius: 50%; height: 12.5px; width: 12.5px; transform: translateX(0px) translateY(7px);"></div> <div style="background-color: #F4F4F4; height: 12.5px; transform: rotate(-45deg) translateX(3px) translateY(1px); width: 12.5px; flex-grow: 0; margin-right: 14px; margin-left: 2px;"></div> <div style="background-color: #F4F4F4; border-radius: 50%; height: 12.5px; width: 12.5px; transform: translateX(9px) translateY(-18px);"></div></div><div style="margin-left: 8px;"> <div style=" background-color: #F4F4F4; border-radius: 50%; flex-grow: 0; height: 20px; width: 20px;"></div> <div style=" width: 0; height: 0; border-top: 2px solid transparent; border-left: 6px solid #f4f4f4; border-bottom: 2px solid transparent; transform: translateX(16px) translateY(-4px) rotate(30deg)"></div></div><div style="margin-left: auto;"> <div style=" width: 0px; border-top: 8px solid #F4F4F4; border-right: 8px solid transparent; transform: translateY(16px);"></div> <div style=" background-color: #F4F4F4; flex-grow: 0; height: 12px; width: 16px; transform: translateY(-4px);"></div> <div style=" width: 0; height: 0; border-top: 8px solid #F4F4F4; border-left: 8px solid transparent; transform: translateY(-4px) translateX(8px);"></div></div></div></a> <p style=" margin:8px 0 0 0; padding:0 4px;"> <a href="https://www.instagram.com/p/B2mc0eUA6WU/?utm_source=ig_embed&utm_campaign=loading" style=" color:#000; font-family:Arial,sans-serif; font-size:14px; font-style:normal; font-weight:normal; line-height:17px; text-decoration:none; word-wrap:break-word;" target="_blank">Me when I heard Amazon had come to the <span class="caps">UAE</span> ?? <code>amazonae . . . . . . . . #cat #cats of instagram #cats_of_instagram #cats_of_world #catloversclub #catoftheday #gingertom #catofinstagram #meow #pets #pet #sunlover #dreaming #catmemes #catlovers #cat_features #meowing #catoftheday #amazonae</a></p> <p style=" color:#c9c8cd; font-family:Arial,sans-serif; font-size:14px; line-height:17px; margin-bottom:0; margin-top:8px; overflow:hidden; padding:8px 0 7px; text-align:center; text-overflow:ellipsis; white-space:nowrap;">Une publication partagée par <a href="https://www.instagram.com/tamtam_dxb/?utm_source=ig_embed&utm_campaign=loading" style=" color:#c9c8cd; font-family:Arial,sans-serif; font-size:14px; font-style:normal; font-weight:normal; line-height:17px;" target="_blank"> Ms TamTam</a> (</code>tamtam_dxb) le <time style=" font-family:Arial,sans-serif; font-size:14px; line-height:17px;" datetime="2019-09-19T17:14:30+00:00">19 Sept. 2019 à 10 :14 <span class="caps">PDT</span></time></p></div></blockquote> <script async src="//www.instagram.com/embed.js"></script></p>
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