Souq (company)

{{short description|English-Arabic language e-commerce platform}}

{{Infobox website

| name = Souq.com

| logo = Souq_Logo_Primary_EN.svg

| collapsible = yes

| collapsetext = Screenshot

| screenshot = Souq screenshot.jpg

| company_type = Subsidiary

| traded_as =

| foundation = {{Start date and age|2005|10|25}}

| dissolved = {{End date and age|2021|9|1}}

| successor =

| location = Dubai, UAE

| area_served = Middle East

| founder = Ronaldo Mouchawar

| key_people = Ronaldo Mouchawar (CEO)
Asif Keshodia (Group CFO)
Wisam Daoud (CTO/COO)

| industry = Internet

| products =

| services = E-commerce
(online shopping)

| revenue =

| operating_income =

| net_income =

| assets =

| equity =

| owner =

| num_employees = 3,000

| parent = {{plainlist|

Maktoob (2005–2009)
Jabbar Internet Group (2009–2017)
Amazon (2017–2021){{cite news |last=Lunden |first=Ingrid |date= March 28, 2017|title=Amazon confirms acquisition of Souq, marking its move into the Middle East |url=https://techcrunch.com/2017/03/28/amazon-confirms-acquisition-of-souq-marking-its-move-into-the-middle-east/ |work=TechCrunch |access-date= April 3, 2017}}

}}

| divisions =

| subsid =

| website = {{URL|http://www.souq.com}}

}}

Souq.com was the largest e-commerce platform in the Arab world. The company launched in 2005 in Dubai, United Arab Emirates.{{cite web|url=https://www.cnbc.com/2017/03/28/amazon-to-acquire-souqcom-a-large-e-commerce-site-in-the-middle-east.html|title=Amazon reaches deal to acquire Middle East e-commerce site Souq.com|publisher=CNBC|date=28 March 2017}} On March 28, 2017, Amazon.com Inc. acquired Souq.com for $580 million as a subsidiary.{{cite web|url=https://www.sec.gov/Archives/edgar/data/1018724/000101872417000051/amzn-20170331x10q.htm|title= Amazon 10-Q filing}}{{cite web|last1=Montini|first1=Laura|title=Meet Souq, the Amazon of the Middle East|url=http://www.inc.com/laura-montini/meet-souq-the-e-commerce-giant-of-the-middle-east.html|website=Inc.com|access-date=21 July 2016|date=8 June 2015}} On May 1, 2019, Souq.com UAE became known as Amazon.ae,{{cite web|url=https://gulfnews.com/business/retail/amazon-officially-launches-in-uae-replaces-souqcom-1.1556686706424|title= Amazon officially launches in UAE, replaces Souq.com}} while on June 17, 2020, Souq.com KSA became known as Amazon.sa.{{Cite web|title=Souq becomes Amazon.sa in Saudi Arabia|url=https://www.thenational.ae/business/technology/souq-becomes-amazon-sa-in-saudi-arabia-1.1034693|access-date=2020-06-21|website=The National|date=17 June 2020 |language=en}} On September 1, 2021, Souq.com Egypt became known as Amazon.eg, marking the end of Souq.com.

History

The website was founded in 2005{{Cite web|url=https://pipecandy.com/companies/souq-com|title=Souq.com's revenue, funding, news & more {{!}} PipeCandy|website=pipecandy.com|language=en-US|access-date=2017-10-27}} by Ronaldo Mouchawar and was originally a consumer-to-consumer auction site part of Maktoob Group.{{cite web|last1=Attwood|first1=Ed|title=Ronaldo Mouchawar: How I created Souq.com|url=http://www.arabianbusiness.com/ronaldo-mouchawar-how-i-created-souq-com-545057.html|website=ArabianBusiness.com|access-date=21 July 2016|date=5 April 2014}} In 2010, Wisam (Sam) Daoud joined Souq from eBay as Chief Technology Officer and led the transformation of the business from auctions to a fixed price catalog based business similar to Amazon.com. In late 2012 Asif Keshodia joined as CFO on the heel of Souq's first major funding round led by Cape Town, South Africa-based Naspers and NYC hedge fund Tiger Global Management.{{cite web |title=2012 Funding Round |url=https://www.wamda.com/2012/10/souq-com-confirms-new-round-of-investment-from-nasper-s-and-tiger-global}}

In March 2014, Naspers invested another $75 million in the company, bringing the total to $150 million that Souq.com had raised since its inception, the largest amount raised by any internet-based business in the Middle East.{{cite web|last1=Sambidge|first1=Andy|title=Dubai's Souq.com secures $75m funding boost|url=http://www.arabianbusiness.com/dubai-s-souq-com-secures-75m-funding-boost-543653.html#.Vh0yLbzsOn8|website=ArabianBusiness.com|access-date=21 July 2016|date=24 March 2014}}

The company was backed by Tiger Global Management and Naspers Ltd. as of 2015, among other companies, and headquartered in Dubai. In October 2015, it was reported that in a round of fundraising, the company was valued at around $1 billion. At the time, it had around 10 million visitors monthly in the 2nd place after Digikala with 51 million visitors monthly.{{cite news|last1=Nair|first1=Dinesh|title=Tiger-Backed Souq.com Said Worth $1 Billion in Fundraising|url=https://www.bloomberg.com/news/articles/2015-04-14/tiger-backed-souq-com-said-valued-at-1-billion-in-fundraising|access-date=25 October 2015|publisher=Bloomberg|date=14 April 2015}}

On March 27, 2017, Emaar Properties made an offer for Souq of $800 million. On March 28, 2017, Amazon.com Inc. confirmed it would be acquiring Souq.com for an unknown value.{{Cite web |title=Sign In/Log In to Souq.com |url=https://www.souq.com/ae-en/auth_portal.php?action=index }} A source told The Wall Street Journal the deal was worth around $700 million, {{cite news |last=Parasie |first=Nicolas |date= March 28, 2017 |title=Amazon to Buy Middle East E-Commerce Site Souq.com |url=https://www.wsj.com/articles/amazon-to-buy-middle-east-e-commerce-site-souq-com-1490696342?tesla=y | work=The Wall Street Journal |location=New York |access-date=March 30, 2017}} while the Financial Times reported that the deal was "understood to be worth more than $650m".{{cite news |last=Megaw |first=Nicholas |date=March 28, 2017 |title=Amazon confirms Souq takeover in deal to dominate Middle East |url=https://www.ft.com/content/f572c727-8f6b-3b15-a9e6-05d1110f3646 | work=Financial Times |access-date=April 3, 2017}} The BBC also reported that Amazon might be paying about $650 million. The deal was expected to be completed later in 2017.

With the acquisition, Souq.com became a subsidiary of Amazon, acting as Amazon's arm into the Arab world. In May 2019, Souq.com UAE became Amazon.ae, and in September of the same year Amazon launched the Amazon DSP in the UAE. In June 2020, Souq.com KSA became amazon.sa. On September 1, 2021, Souq.com Egypt became amazon.eg, marking the end of Souq.com.{{Citation |title=سوق بقى أمازون |url=https://www.youtube.com/watch?v=5HPay0cy8q0 |language=en |access-date=2022-03-24}}

Overview

As of March 2017, it sold over 8.4 million products in 31 categories, including "consumer electronics, fashion, health and beauty, household goods and baby." It also had around 45 million visits per month. It was the largest e-commerce platform in the Arab world in 2016,{{Cite web|title = About us {{!}} Souq.com|url = http://uae.souq.com/ae-en/about-us/c/|website = uae.souq.com|access-date = 2016-02-11}} often described as the Amazon of the Middle East. As of 2014, the site delivered to the United Arab Emirates, Saudi Arabia, Kuwait, Egypt, Bahrain, Oman, and Qatar.

By March 2017, Souq.com had localized operations in Saudi Arabia, United Arab Emirates, and Egypt, which as of 2014 equated to semi-automated modern fulfillment centers in the United Arab Emirates, Saudi Arabia, Kuwait, and Egypt, measuring a total of 35,000 square meters. At the time the company had employed around 2,500 employees in engineering, retail, customer support, fulfillment, and last mile delivery sections.{{cite news|last1=Jones|first1=Rory|title=Souq.com, Dubai-Based E-Commerce Site, Raises $75 Million|url=https://blogs.wsj.com/digits/2014/03/24/souq-com-dubai-based-e-commerce-site-raises-75-mln/|access-date=25 October 2015|work=The Wall Street Journal Blogs|date=24 March 2014}}

As of September 1, 2021, Souq.com has been completely replaced by Amazon as Egypt replaced Souq.com Egypt with Amazon.eg.{{Citation needed|date=July 2022}}

Souq.com subsidiaries

As of January 2018, Souq.com subsidiaries include their delivery arm – QExpress, payment platform – Payfort which became Amazon Pay in Dec 2020,{{Cite web|url=https://thepaypers.com/online-payments/payfort-becomes-amazon-payment-services-across-mena--1246236|title=Payfort becomes Amazon Payment Services across MENA}} repair and service marketplace – Helpbit, and delivery marketplace Wing.{{cite news|title=Souq acquires Wing|url=http://pr.souq.com/158584-souq-com-to-acquire-wing-ae-to-enhance-fast-shipping-options-for-customers-wing-ae-poised-to-grow-and-support-even-more-businesses/|access-date=2018-02-23|archive-date=2020-08-07|archive-url=https://web.archive.org/web/20200807065602/http://pr.souq.com/158584-souq-com-to-acquire-wing-ae-to-enhance-fast-shipping-options-for-customers-wing-ae-poised-to-grow-and-support-even-more-businesses/|url-status=dead}}

Souq (company)

History

Overview

Souq.com subsidiaries

See also

References

Further reading