Mobily-backed app Fetchr navigates way into Saudi Arabia

Dubai-based delivery app Fetchr is taking on its biggest challenge yet as it builds up presence in Saudi Arabia.

The app, which officially launched in Jeddah, Dammam, and Riyadh last month, is developing solutions that cater to consumers and businesses in the kingdom. It is already seeing early signs of promise in a country where smartphone penetration is surging among a population dominated by young tech-savvy Saudis.

“Since launching, we have seen downloads move much faster in comparison to the United Arab Emirates,” Idriss Al Rifai, Fetchr’s founder and chief executive told Argaam. “Early adopters in KSA have been using the app to send personal items as well as checks, documents and products which are being sold on social media channels.”

Unlike other start-ups aiming to crack the Saudi market on their own, Fetchr was fortunate enough to begin with backing from Mobily Ventures. In August, the venture capital arm of Saudi-listed Etihad Etisalat Co. (Mobily) announced that it was investing in the company and participating in a funding round which saw a total of $11 million raised from various firms.

The app is now aiming to address a major market gap in the region where deliveries can often be difficult without an organized addressing system. Its GPS-enabled technology eliminates the need for a physical address, and instead guides the shipper to the recipient’s location which is tracked via Smartphone.

Fetchr will also focus on building out services and products specifically for the Saudi market. These plans include full Arabization of its app, as well as the development of inter-city delivery, international delivery and bullet (super-fast) delivery solutions. The company also recently launched operations in Bahrain, its third market in the GCC.

Although it may be exciting times for Fetchr, a number of obstacles remain in its path. The biggest challenge, Al Rifai says is the ability to raise awareness about the technology and change consumer behaviour.

Despite expansion of the region’s e-commerce sector over the last five years, not much has changed on the logistics end. Customers have become accustomed to making calls to ensure that packages are delivered to the right location, a process which can often be tedious.

Yet, Al Rifai remains optimistic about the company’s future, given the rapid pace at which technology is evolving.

 “We have seen an encouraging trend which highlights the viral efficiency of the Fetchr app. When one user downloads the app, they can send or collect packages from up to 100 people,” Al Rifai added. “Then those 100 people send to their contacts... the growth compounds exponentially which is exciting to see.”

Write to Joumana Saad at joumana.saad@argaamplus.com