Arabnet The Quarterly Issue 11 | Winter 2016

TRANSFORMING

THE KINGDOM Issue no 11. Winter 2016

E-COMMERCE INSIGHTS & BEST PRACTICES Original Research from ArabNet and OMD

Fostering an Innovation Economy in Saudi Arabia

DISRUPTING THE AUTO INDUSTRY The Future of Transportation

CEO SERIES: TAREK SULTAN

Exclusive Interview with Agility’s CEO & Vice Chairman

LETTER FROM THE EDITOR

QUARTERLY XI The New Year isn’t an end or a beginning. It’s a continuation of life, and as I’d like to consider it, a new volume in life’s novel. Instead of reflecting at 2016 recalling the great losses and tragic events it encompassed, I’d rather reflect on all the achievements that have been accomplished, and contemplate about what the future might look like. There has never been a more exciting time to be in the digital technology industry; I’m so excited about what the future would look like across MENA that I wish I could press ‘Fast Forward’ somewhere.

Rita Makhoul Managing Editor

@rampurple

The ambitious Saudi National Transformation Plan (SNTP) is dedicated to fueling an economy away from oil. In this issue, we highlight the opportunities presented by the SNTP in a blueprint of all the initiatives that impact entrepreneurship and the tech startup industry. We have also spoken to a few of the key stakeholders and gotten their input. Moreover, we have mapped out the current startup Saudi startup ecosystem.

Also in this issue is a feature on how technology has been disrupting the automotive industry, and spoke to major automotive brands on what to expect in the coming few years, in particular to our region.

As always, I hope you enjoy this issue, and do let me know if there are any topics you would like to see covered in the future. It’s my wish that The Quarterly will become an essential part of your professional life, a resource that you depend on to keep up with the rapidly evolving world of digital technology.

Until next time!

Wishing you all a wonderful new year.

CONTENT ISSUE 11 APPS FOR TRANSPORTATION USEFUL A Round-Up of Taxi-Booking Apps for Residents in MENA INDUSTRY STORIES

4

Industry News

BUSINESS

24

CEO Series: Tarek Sultan CEO & Vice Chairman of Agility

TECHNOLOGY

12

The Future of Virtual Reality

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16

The Mobile Path-toPurchase in Saudi Arabia

AWARENESS

Technology Disrupting the Automotive Industry

RESEARCH & DISCOVERY

PURCHASE

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DIGITAL MEDIA

ENTREPRENEURSHIP

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48

40

Creativity vs. Data. Two Kings. One Throne

Saudi National Transformation Plan:

Blueprint of all the initiavies impacting entrepreneurship & the tech sector

E-Commerce Insights and Best Practices

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Map of the KSA Startup Ecosystem

60

MENA Startups to Put on Your Radar

Winter 2016 THE QUARTERLY

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INDUSTRY STORIES

USEFUL APPS FOR TRANSPORTATION

INDUSTRY NEWS

A Round-Up of Taxi-Booking Apps for Residents in MENA

Anghami Raises Funds to Support Regional Expansion and User Acquisition Anghami, the leading music streaming company in the MENA region, announced that it has raised an undisclosed amount in a Series B investment round led by private equity firm Samena Capital. UAEbased telecommunications service provider –‘du’ also subscribed to the fundraising and entered into a commercial agreement with Anghami in the UAE to bundle its music streaming service with du products. The completion of the Series B investment round marks the third successful fundraising round by Anghami, which was seeded by Middle East Venture Partners (MEVP) in 2012. Subsequently in 2014, MEVP lead a successful Series A fundraising round that included co-investments from MBC Group and Mobily Ventures. The proceeds of the latest round will fund the next phase of Anghami’s user acquisition and further regional expansion. The investment will also be used to grow the company’s 20 million song library, which includes the largest catalogue of digital Arabic music globally, and to enhance Anghami’s rapidly growing music video platform among other new features. Founded by Lebanese entrepreneurs Eddy Maroun and Elie Habib, Anghami quickly secured exclusive access to the music libraries and artist pre-releases of leading Arabic and International music labels. Through its partnership with MBC, Anghami entered into a flagship marketing agreement with exclusive integration into popular TV formats such as Arab Idol, The Voice and The X-factor.

$100m 3D Printing Investment Set up By Dubai Future Foundation Dubai Future Foundation has partnered up with US multinational software corporation Autodesk to provide financing for entrepreneurs and start-ups in the 3D printing sector in the region. The two organizations signed a memorandum of understanding, whereby the Foundation will be in charge of identifying suitable investment channels for Autodesk’s $100-million Spark investment fund. The investments will benefit businesses relying on 3D printing in their operations in an effort to develop this technology, catalyze innovation within the sector, and incubate and accelerate 3D-printing start-ups. Autodesk, meanwhile, will be in charge of evaluating innovation in the regional 3D printing sector to map out a clear strategy for its Spark fund. The agreement – signed by H.E. Saif Al Aleeli, CEO of Dubai Future Foundation, and Amar Hanspal, Senior Vice President, Products, at Autodesk – allows entrepreneurs and businesses with innovative ideas in the 3D printing sector access to Spark’s marketing and software development capabilities. Moreover, the MoU stands to speed up the establishment of a regional 3D printing market, whereby 3D-printed products will cater to the demands of sectors such as manufacturing, construction, medical and consumer products, etc. His Excellency Mohammed Al Gergawi, Vice Chairman and Managing Director of Dubai Future Foundation, said that the Dubai 3D Printing Strategy – launched by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai – will not only turn Dubai and the UAE into an international hub for the sector, but will also drive the growth of the global 3D-printing market, set to be worth $300 billion by 2030.

$1bn E-Commerce Platform to be Launched by Alabbar & PIF Emirati businessman, Mohamed Alabbar and Saudi Arabia’s Public Investment Fund (PIF) are teaming up to launch the Middle-East’s biggest e-commerce platform, Noon.com, at an initial investment of $1 billion. Noon will go live in January with 20 million products to offer, ranging from electronics to fashion to home/lifestyle. Based in Riyadh, Noon will initially operate from and focus on Saudi Arabia and the U.A.E. prior to expanding across the region. The e-commerce venture will offer same-day delivery by using Aramex’s and Americana’s logistic capabilities to deliver goods. It will introduce its own secure payment gateway, Noonpay, to address regional issues around electronic payments. The venture will accept both online payments as well as cash upon delivery.

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Insider Closed $2.2M Series A in Predictive Modelling

Insider, a multi-channel customer experience delivery platform, announced that it has secured a $2.2 million Series A round of financing, bringing its total funding since launching in 2012 to 3.3 million. The round was led by Wamda Capital, 212 and Dogan Group’s Oncu GSYO venture capital firms. The Istanbul-based digital platform aims to cement its presence in MENA and expand regionally. Insider enables marketers to maximize the growth of their customer base through personalization technologies and predictive segmentation. The company already enables global brands such as Aramex, Air Arabia, Trolley, The First Group, AWOK.com, Tajawal, Virgin, Toyota, MasterCard, Ticketmaster, GNC, AVIS, Lenovo, McDonalds and CNN across various industries including retail, media, finance travel and e-gaming.

Dining Reservation Platform Wars

Heated competition in restaurant reservation apps has increased. Eat, a consumer app that positions itself as providing a curated list of only the very best dining venues per market, hs raised a post-seed funding round of $2 million, led by Bahrain-based investment fund Pinnacle.

However, it is up against serious competitors in the region’s $16 billion restaurant dining industry. Earlier this year, the online restaurant reservation platform, Reserveout, also announced it has raised a series A round of over $4 million led by VC firm Silicon Badia.

Eat will expand its existing presence in Dubai and Bahrain, while simultaneously launching in other GCC markets. Reserveout will also use the investment for expansion in markets beyond the Middle East.

Third Batch of Startups to be Accelerated at Speed@BDD Speed@BDD held the launch event of their third acceleration program on September 29th, where the six promising Batch III startups were announced. For the first time since the program was launched, 50% of the startups were not Lebanon-based and came from abroad (specifically the UK and Turkey). Beirut’s accelerator will take the startups under its wings for a 3-month period. Each startup will receive $30,000 in seed funding, as well as access to +50 mentors, providing training in business skills, as well as support in accessing new markets and potential partners.

In return, Speed@BDD will get a 10% equity stake in each startup. 31 companies have graduated from Speed@BDD’s acceleration programs so far. The Batch III startups are the following: Dentiflow is a cloud-based and on-premise practice management platform tailored for dentists that allows them to manage every facet of their business, from patient records and dental charting to scheduling, billing and much more. Musicord is a musical social platform where underground artists can share their musical talents through audio or video while listeners ‘clap’ for their favorite performances. Also selected, Parkr is a mobile platform designed to provide commuters with a means to locate and reserve available parking spaces whether in commercial lots, public lots, or private parking. Petriotics is an online platform that allows cat and dog owners to purchase pet food and surprise boxes full of treats, toys and accessories. Tradimum is a cloud-based work management platform for small and medium businesse that provides users with a complete and secure online suite of social collaboration, team communication, and management tools. Last, Wango (short for ‘Wanna Go’) is a women-friendly dating app with a gentleman’s touch that helps users all the way from engaging a conversation to scheduling the perfect date!

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INDUSTRY STORIES

USEFUL APPS FOR TRANSPORTATION MoveSouq.com Closed $3 Million Funding Round & Rebrands

A Round-Up of Taxi-Booking Apps for Residents in MENA

The online home services marketplace in the UAE, MoveSouq. com, recently announced the successful close of a $3 million funding round at an undisclosed valuation. The funding round was led

by AddVenture, an international venture capital (VC) company focused on service marketplaces. Additionally, it has officially changed its name to Servicemarket. Founded in 2013, MoveSouq.com is an online marketplace that connects users in UAE and Qatar to reputable moving, home services and insurance companies. Since inception, the company has grown multiple-fold each year in traffic and transactions. In the last year alone, MoveSouq has helped over 50,000 households in Dubai and Abu Dhabi find and book their services online with professional home services companies. This funding round represents its third, after their seed and angel rounds in 2013 and 2015. With this new funding, MoveSouq.com will strengthen its products and services, and expand its services to new cities in the Middle East. In addition, the investment will be used to build new verticals on the platform.

Meddy Wins 1st Place at ArabNet Kuwait Startup Battle

On October 4th and 5th, during ArabNet Kuwait, aspiring entrepreneurs took the stage at the Startup Battle and presented their innovative products and services in front of a panel of renowned judges and a crowd of digital professionals. The Startup Demo has been recently upgraded to Startup Battle where winners have the chance to compete on a regional level in the Startup Championship. The Startup Battle winners are: In first place, Meddy, an app that helps people find the best doctors based on patient reviews and credentials.

In second place, SoukDesigner is an online platform that enables people to sell products in their personalized online store easily and economically. In third place, Pricinity, a search engine for products, prices and stores throughout Kuwait and the region. The Startup Battle winner will have the chance to compete for the Startup Championship Battle and win $20,000 during next year’s ArabNet Digital Summit in Dubai (May 2017). Aspiring entrepreneurs with creative business ideas did the same for the Ideathon. The Ideathon winner is My Spot, a platform to connect people who need parking spaces to people who are willing to rent some out, earned a cash prize of $5,000 to help convert her/his idea into an up-and-coming startup.

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el Grocer acquires QUICKSHOP.ae

el Grocer has decided to acquire QUICKSHOP.ae and merge it into their rapidly growing platform. QUICKSHOP.ae is an instant live ordering platform for your local grocery store that started in Dubai in October 2015. It was founded by serial entrepreneurs Richard Chapman and Alan Colgan. Some of the key figures and highlights are the 5,000+ registered users and over 50 partner grocery stores across Dubai. They are the first mover in the hyperlocal grocery delivery segment in the UAE. el Grocer solves the nuisance of grocery shopping through connecting shoppers and retailers, enabling their users to choose from thousands of products available in supermarkets around them and get their delivery within 1 hour at same store pricing. In addition, they won the Gold Award at Publicis90. They also received equity funding between €10,000 and €500,000, as well as one year of mentoring in management, technology, marketing and communication from a Publicis Groupe agency executive.

Mini Exchange Closed $3 Million Investment Mini Exchange, the online marketplace for mums and kids announced the close of a $3m fundraising round to drive the next stages of their impressive regional growth. The tech-led startup and 3rd place winner at the Startup Demo competition at ArabNet Beirut 2014 will now launch an app in English & Arabic, and focus on expansion into new markets to better serve their growing customer base. The oversubscribed funding round closed in just over three months, with 100% resubscription from all seed round shareholders and new strategic investment from the Middle East and Africa. In order to facilitate Mini Exchange’s expansion, the priority is to hire leading global talent; experts in their field to drive the business forward and become an e-commerce powerhouse, with excellent customer service and the widest selection of lifestyle brands. Launching in tandem is their planned expansion into Kuwait and Qatar, allowing customers access to its growing range of 850 brands and 44,000 products. Since its inception in 2014, Mini Exchange has continually pushed the boundaries with its rapid development and growth, seeing its small team go from four people to 24 in the last 12 months alone. It is this approach, which has seen Mini Exchange evolve from an exchange platform for parents to buy and sell, to a fully functioning e-commerce website in two years.

INDUSTRY STORIES

USEFUL APPS FOR TRANSPORTATION Alt City and Techstars Brought the First LAUNCH Summit to Lebanon

A Round-Up of Taxi-Booking Apps for Residents in MENA

AltCity joined forces with Berytech, Torch Academy, UNICEF, Smart ESA (and ESA), Al Mawarid Bank and a host of more than 40 regional tech influencers to introduce LAUNCH Summit, an earlystage startup conference that targeted the general public in the MENA region. The summit took place on September 22, 2016, at the École Supérieure des Affaires (ESA) in Clemenceau, Beirut.

The summit was targeted for midcareer professionals and senior specialists looking to transform their ideas and prototypes to disruptive startups. LAUNCH connected engineers, biologists, artists, psychologists and virtually attendees from all majors with likeminded entrepreneurs who have harnessed the power of tech to create startups disrupting their own industry. The conference consisted of lightning talks on current innovations and future trends, exclusive workshops, speedmentorship activities, sector analysis group sessions, matchmaking activities, startup pitches, and highend networking opportunities at industry specific community tables.

BECO Capital Invests in Wrappup, Marking its Tenth Investment

Falafel Games Raised US$ 2.6M from Lebanon Based Investors

BECO Capital has invested in Wrappup, an app that aims to solve the challenges presented by inefficient meetings and improve productivity for teams. It uses intelligent voice recording to summarize meetings and make speech searchable.

During recording, users flag important moments instead of scribbling down notes. These moments can be tagged as actions or decisions, and participants can add quick notes for easy reference. Multiple team members can participate in the recording sessions and partake in the experience. Wrappup compiles these moments into a playable minutes-of-meeting, creating a highlight reel of the discussion, shared with teams on the cloud. After the meeting, participants can play back their highlights, and quickly send out summaries. They can even search through the speech, as Wrappup pinpoints “keywords” to the exact moments where those words were spoken.

Created in 2010, Falafel Games is a global company, which focuses on the MENA market as mobile developers and publishers. Falafel Games announced the successful closing of a new round of financing of $2.6M, led by Middle East Venture Partners and iSME Holdings. This injection will be used to support Falafel Games’ upcoming launches and market expansion. Having launched 4 midcore games in the last 5 years, it is launching 3 new titles just this year. This year, CEO Vince Ghossoub opened a local Lebanese branch in the heart of Beirut, previously operating and developing their titles from HangZou, China. Since 2011, MEVP has been investing in Falafel Games and in 2012, MBC Ventures invested as well. According to Vince, the funding was used to improve Knights of Glory and to finalize their second MMO.

KAUST Launches Taqadam King Abdullah University of Science and Technology (KAUST) and Saudi British Bank partnered up to set up an accelerator program called Taqadam, aimed for student projects.

This accelerator is a 6 months program and welcomes between 20 and 30 teams. Those who will participate, will benefit from an initial grant and mentorship from both Saudi and international experts. The most promising startups will receive $20,000 to $40,000 in seed funding from the KAUST Innovation fund and the Saudi British Bank. Not only does Taqadam aim to support the small and medium businesses sector, but also will be part of the Saudi Arabia’s 2030 vision.

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MITEF Innovate for Refugees Winners The MIT Enterprise Forum Pan Arab (MITEF Pan Arab) was on a mission to find long-term solutions by exploiting the power of technology, as the world faces the worst refugee crisis in history yet. In June, they launched the ‘Innovate for Refugees’ global competition, in partnership with Zain Group, MBC Hope, and Jusoor.

The aim of the competition was to find tech-driven solutions to the challenges faced by the refugees.

Participants from all around the world took part in the MITEF Pan Arab competition with innovative solutions that address the challenges that refugees face. Solutions from many categories were sought, including food, shelter, security, healthcare, energy, and education. The winners of the best technological solutions are, Evaptainer, a refrigerator that runs on water and sun, to help combat food spoilage in rural communities. Boloro/BanQ, a blockchain economic identity technology that enables a secure and immutable platform for creating economic opportunities for people living in extreme poverty. Also, Change Water Labs, a low-cost, compact, waterless toilet for non-sewered households and communities. In the child-focused category, LED-Life developed a do-it-yourself solar lamp, which will help educate students on renewable energy and sustainable practices. The most innovative solution brought forward by a refugee are Open Embassy, an online platform that facilitates the exchange of knowledge between refugees and volunteers and Recycle Beirut, in which they provide jobs to Syrian refugees by collecting waste and transporting it to recycling facilities. In the education category, Natakallam is an online platform that pairs displaced Syrians with Arabic learners around the world for language practice sessions over Skype.

،، ‫ﻣﻦ اﻟﺘﺴﺠﻴﻞ وﺣﺘﻰ اﻟﺘﻮﺻﻴﻞ‬ ‫ﻧﺨﺪم ﻋﻤﻴﻠﻨﺎ ﻓﻲ أي وﻗﺖ وأي ﻣﻜﺎن‬ !‫ ﺷﺤﻦ رﺻﻴﺪ‬،‫ ﺷﺮﻳﺤﺔ ﺑﻴﺎﻧﺎت‬،‫ ﺟﻬﺎز ﺟﻮال‬:‫ﻣﻬﻤﺎ ﻛﺎن اﻟﻄﻠﺐ‬ ‫ اﻟﻤﺘﺠﺮ اﻹﻟﻜﺘﺮوﻧﻲ‬،، ‫ﻛﻠﻬﺎ ﻣﺘﻮﻓﺮة ﻓﻲ ﺟﻴﻠﺘﻚ‬

Winter 2016 THE QUARTERLY

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INDUSTRY STORIES

USEFUL APPS FOR TRANSPORTATION Seedstars Sheds Spotlight on Bahrain, Beirut and Algeria

A Round-Up of Taxi-Booking Apps for Residents in MENA

In its worldwide search for startups that solve regional issues and/or develop profitable products for the global market, Seedstars World made its return to Bahrain in September, Beirut in October, and Algeria in October.

15 startups from Bahrain, 12 startups from Beirut, and 9 startups from Algeria competed in their respective countries for the opportunity to head to the Global Summit in Switzerland. In Bahrain, Democrance and Meddy were selected as the best startups, Democrance for making insurance affordable and accessible to the lower-income population through a mobile application and Meddy for connecting doctors and patients in Qatar.

In Beirut, MakerBrane was selected as the best startup, which is a new toy platform where you can build stuff and connect anything to anything by using a brane. In Algeria, Dalil was selected as the best startup, an object recognition and navigation system for visually impaired people. Seedstars World has expanded its competition to more than 60 countries in 2016, up from the 36 countries in the 2014 edition. The winners will pitch at the final event in Switzerland in April 2017 for a prized $500,000 equity investment.

Report: Investing in Startups Accelerates the Innovation of Mobile Operators in Emerging Markets

Corporate Venture Capital (CVC) report entitled ‘Corporate Venture Capital: An Opportunity for Mobile Operators and Start-Ups in Emerging Markets’ highlights how the phenomenal rise in CVC investments now accounts for over 30% of all venture investments, which has risen by 10% from 2012. Investments have more than tripled in the last five years as more and more mobile operators invest in startups to aid their acceleration. The GSMA Mobile 360 Series Middle East conference in Dubai outlines the motivations to pursue startup investments in developing countries. The co-written report by leading advisory and investment company, Delta Partners and the GSMA Ecosystem Accelerator, also charts the huge impact that the digital revolution is having on the telecoms sector. With the blurring of the boundaries between traditional telecoms and media, mobile operators are now realizing that collaborations with technology startups are essential if they want to grow and remain competitive in a world where digital disruption dominates.

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TECHNOLOGY

USEFUL APPS FOR TRANSPORTATION

THE FUTURE OF VIRTUAL REALITY

A Round-Up of Taxi-Booking Apps for Residents in MENA

By Lynn Bizri | @lnlne

T

he virtual reality market could be worth $30 billion by 2020, according to Tech advisory firm Digi-Capital, and 171 million people could be using VR hardware and software worldwide by 2018, according to research firm KZero.

Virtual Reality has been advertised as the ‘next big thing’ for the past few years, yet it is only thanks to recent advancements in technology that VR has been able to reach such a wide range of mainstream consumers and fields.

In the MENA region, Virtual Reality (VR) is expected to become a billion

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dollar niche according to Deloitte.

Experts expect the MENA VR technology growth to be driven by several factors that include: MENA companies focusing on delivering innovative products and services that meet the demands of regional customers, increased pressure to reduce operational costs due to the decline in oil prices and lower acquisition costs, and greater accessibility to VR technologies and expertise.

Looking forward, VR is set to transform a variety of domains, ranging from education to healthcare, yet most notably gaming, marketing and film.

From Fantasy to Reality

While VR has been expanding into a variety of fields, gaming continues to be one of the more primary and near-term uses. According to industry sources, the estimated MENA computer gaming market is currently around US$1.5 billion and is forecast to grow three-fold by 2020, the majority of which will come from the GCC region. With all the tools and technology needed to build immersive 3D worlds available in the gaming industry, more and more gaming companies and studios are jumping on the VR bandwagon and developing VR

HTC’s Vive costs around $800, and neither can operate smoothly without a powerful computer. Moreover, Sony’s recently released accessory ‘PlayStation VR’, which costs $400 if gamers already own a PS4, is slightly more affordable and accessible yet offers a significantly lower quality VR experience, which is also the case for the cheaper smartphone-powered Google Cardboard and Samsung Gear VR. Nevertheless, VR gaming is picking up the pace extremely fast and undergoing continual change. With advancements in technology, increased production of VR devices/games and more accessible parts, VR headsets will soon be smaller, more powerful and more affordable for all.

Creating Experiential Journeys

Virtual reality is also on its way to transforming the way movies and video content are viewed and produced.

Giga Works, a VR film studio based in Dubai is specialized in adapting realtime motion footage into immersive 360-degree experiences and has produced VR footage that includes go-karting, a Ski Dubai VR Experience, a ride with Lebanese Rally Champion Joseph Hindi, and a trip down the water flume of Dubai’s Wild Wadi Water Park among several others. However, while showing the power of VR in an interactive or gaming experience is relatively easy, filming a 360-degree VR movie or video footage is an entirely different story.

games. Lebanon-based independent game studio Game Cooks will soon be releasing their first VR game, HOVR, a 3D racing game for Gear VR. The game, which revolves around a city hacker racing other bots on a hover board through the city, was featured at the 2016 Google Play Indie Game Festival in San Francisco and landed among the 15 finalists.

Yet despite the increasing popularity of VR gaming, one of the biggest barriers to growth is the cost of VR setups, headsets and devices. Oculus Rift, the first modern VR headset, costs around $600, whereas

360 degree filming offers viewers the chance to step into and become completely immersed in the footage and choose the way they view it, and while the benefits are obvious – a more immersive movie experience means a more compelling story – moviemakers must overcome several hurdles in the process of creating such a movie, from filming to post-production. To begin with, since spectators can view the movie’s scenes at their own discretion and from the angle they choose, directors cannot ensure that their attention will be focused on where the action is and will have to incorporate visual or audio cues to guide them.

Another major challenge lies in setting up and working in a 360 scene, as directors

have to adopt a completely different way of thinking, editing and directing.

There is a good chance VR will transform the film industry, modernize traditional cinema and replace 3D glasses with VR headsets, yet even those enthusiastic about the possibility aren’t exactly sure how (and if ) it will take place. If harnessed correctly, VR could signal the end to traditional cinema as we know it and while VR will be a huge step forward in terms of narrative immersion, film’s traditional social aspect – sharing a theater with others – is going to be hard to break away from.

Transforming Traditional Marketing

In addition to gaming and moviemaking, VR is set to transform the way companies do marketing. Unlike traditional marketing, VR allows marketers far more freedom and room for innovation in the creativity of their campaigns. By combining VR with digital marketing strategies such as experiential marketing and storytelling, brands can create unique experiences and fully engage their consumers in a way no other medium can.

Moreover, the possibilities are endless; customers can experience any product, theme or situation, all without direct physical contact.

Many brands have already started to join the virtual realm, using VR to create unique experiences and capture their consumer’s full attention in their marketing campaigns and schemes.

Earlier this year, Etihad Airways released its highly anticipated 360-degree virtual reality campaign film starring Nicole Kidman, marking the first time a Hollywood actor stars in a fully immersive VR short. The five-minute campaign titled ‘Reimagine’ immerses viewers in a fully experiential journey following Nicole Kidman through one of its new Airbus A380s flying between New York and Abu Dhabi.

Dubai’s Jumeirah also developed an innovative digital platform in partnership with Google that uses 360-degree video, 3D sound, playful interactions and exclusive hotspots to bring to life

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TECHNOLOGY

USEFUL APPS FOR TRANSPORTATION Jumeirah’s 23 properties around the world. Jumeirah Inside used Google Cardboard to create a fully immersive VR experience and also integrated the discovery and booking portions of the user journey with a booking engine directly inside the platform.

Hachach-Haram, is a software that

One example of a VR educational

from wherever they are in the world, all through the screen of an iPad. The software has already been used to lead two operations in the Gaza strip from surgeon Dr. Ghassan Abu Sitta’s base in Beirut.

Yet despite the growing enthusiasm and success of VR, great VR content is still rare at the moment. However, as customers’ yearning for amazing immersive stories grows, brands will have to provide unique, enjoyable and beautiful experiences to make a hit and keep up.

Although virtual reality in healthcare is still in its early days, according to research and consulting firm IndustryARC, augmented and virtual reality in healthcare is predicted to generate $2.54 billion globally by 2020. In the near future, the healthcare industry will see more virtual operation rooms with simulations of real-life scenarios, virtual modeling of organs and human anatomy for diagnostic medicine and the use of VR to cure clinically significant phobias. With recent and continuing advancements in VR technology and its increasing adoption, VR is set to change the way doctors work, improve hospital experiences and level of care received by patients worldwide, and eventually may save lives.

educational software that employs a Leap Motion controller and specially adapted Oculus Rift DK2 headsets to show people things that weren’t possible before like exploring atoms, swimming in cells, or meeting people from history and exploring the environment they lived in. Another is the Pioneers Expeditions program, launched by Google last year, which provides schools with kits that contain everything teachers need to take their classes on synchronized virtual school trips. Virtual Reality is also starting to play a role in distance learning, with professors delivering lectures in VR, and certificate programs delivered entirely in VR, such as the LEAD Certificate Program offered by the Stanford School of Business.

enablesApps surgeonsfor to provide surgical help in MENA application is The World of Comenius, A Round-Up of Taxi-Booking Residents

The New Breakthrough in Medicine

Healthcare is becoming one of the biggest adopters of virtual reality, and is currently the number two largest market for VR technology, according to the latest study conducted by Goldman Sachs. From surgery simulators, to treating patients and training surgeons/dentists, VR has found its way into several medical arenas, impacting both patients and physicians.

The immersive technology has not only allowed healthcare professionals to learn new skills in a safe 3D environment, but is also being used along medical tests to diagnose medical conditions and help reduce paranoia, phobias, and PTSD. In April, cancer surgeon at the Royal London Hospital, Shafi Ahmed, live streamed an operation in VR using software developed at his startup Medical Realities. More than 50,000 people worldwide were immersed in the procedure in real time and could watch the operation from any angle they choose. In Dubai, a VR research project is currently underway at the University of Wollogong’s Simulation and Smart Systems Research Center. The project is a haptic, audio-enabled VR simulator and research tool called VirtuNav that aids people with visual impairment by immersing them in a 3D computerized model of a real-life indoor location with the aim of improving their spatial awareness and memory mapping and enabling them to comfortably and readily explore and interact with unfamiliar environments. Finally, Proximie, cofounded by Lebanese doctor Nadine

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Re-defining the Classroom

Education is yet another area that is adopting virtual reality, and according to a GfK (a market research company) survey commissioned by Samsung, 85% of teachers agreed that virtual reality would have a positive effect on their pupils.

In addition to helping students better understand difficult learning concepts, VR technologies increases students’ retention by allowing them to experience course content in a fun, interactive and engaging way that increases retention.

Today only a few schools and districts have adopted virtual reality technology, yet there has been a significant increase in companies dedicated to supplying schools with educational curriculum/content, teacher training, and technological tools for VR-based instruction in the classroom. As VR technologies advance steadily and become more mainstream and accessible, they are bound to transform the ways in which people teach, learn, engage with others, and experience the world at large. Soon education will evolve from books and pencils to the use of immersive technology, blending together the best of the real world and the virtual world to deliver knowledge and understanding.n

TECHNOLOGY

USEFUL APPS FOR TRANSPORTATION A Round-Up of Taxi-Booking Apps for Residents in MENA

DISRUPTING THE AUTO INDUSTRY

By Rita Makhoul | @rampurple

T

he accelerated rise of new technologies and changing consumer preferences has revolutionized industries. Technology

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changes and evolves things in ways you cannot imagine, and the automotive industry has quintessentially exemplified just that.

A Drive Down Memory Lane

Cars were initially considered just a trend that would not affect riding horses.

Henry Ford changed that in 1908 when

disrupt the horse-drawn vehicles market.

Through Ford’s innovative production method, he was able to mass-produce automobiles priced at $850 in 1908 that later dropped to $250 in 1925, which inevitably replaced horse-drawn vehicles.

The mass-produced car manufactured on moving assembly lines, with complete interchangeable parts in huge quantities became the technological starting point for the car. Not only did cars become a commodity anyone can go and buy, but also a medium for new ideas that developers can work on and evolve. It’s no wonder that the Ford Model T was named as the most influential car of the 20th century at the Car of the Century awards.

have something to do with autonomous technology, connectivity, and we constantly hear about tech giants such as Apple and Google, getting into the automotive industry. The automotive landscape is changing drastically and is ripe for massive change, and some automakers have been struggling to keep up. If they don’t manage to, they will be like that guy still riding in the horsedrawn carriage insisting that cars are just a trend.

Back to the Future

Autonomous Cars: The Future is Here Ever since we were younger, movies and series such as Knight Rider, Herbie, Total Recall, or the endless list of science fiction movies and series, filled our imaginations leaving us to ask if we would ever get to see self-driving cars, no matter how farfetched the idea seemed.

Ever since the Ford Model T rolled off the production line, people have constantly been obsessed about what future cars would be like. During the past century, a dizzying assortment of technologies has been produced by hundreds of producers around the globe.

Despite the progress that the automotive industry has clearly made over the years, it’s almost as if we’ve come full circle.

Commuters spend long hours in urban congestion that some joke if cities invested in a horse lane, commuters would probably get to their destinations quicker.

Moreover, the 2008 global financial crisis slammed world’s automakers; sales took a sharp fall with a decline between 30% and 45% for most manufacturers.

The financial crisis also affected consumer behavior and preferences that shifted towards a shared economy.

As a result, the auto industry today is on a collision course with the forces of digital disruption. Several old companies collided when they ignored digital as a disruptive technology, such as Kodak, in spite of the fact that a Kodak engineer invented the digital camera.

he introduced the Model T. Automobiles prior to the introduction of the Ford Model T were expensive and a luxury item, priced at around $9000 that did not

“The auto industry is poised for more change in the next 5 to 10 years than its seen in the past 50 years.” May Barra, CEO and Chairperson of the General Motors Company.

All news pertaining to cars these days

Although, there is still no integrated perspective on what the auto industry would look like 5 to 10 years from now, industry experts project a few ways technology will be disrupting the industry.

Today, our childhood dreams have moved eerily close to reality. As artificial intelligence has significantly improved and the technology required to build driverless cars has gotten cheaper and more accessible, many cars have selfdriving features that continue to advance.

There still are quite a few hurdles though. Highway driving, for example, is a lot simpler for autonomous cars to master, therefore, in a couple of years time, commuters might not be driving on highways and possibly in the suburbs, but will drive themselves within the city since cities have more unpredictable obstacles such as cyclists, pedestrians, and so forth. Even if the technology for driverless cars is ready today, governments aren’t ready for them yet. Regulations and policies need to be set in place and many countries have been looking into it.

Another point of concern today, is that if driverless cars were here today, in the real world, not in the realm of science fiction, would people be comfortable with the idea and be able to trust

Winter 2016 THE QUARTERLY

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TECHNOLOGY

USEFUL APPS FOR TRANSPORTATION driverless cars on the roads?

cities around the world and rightfully so.

Fully autonomous cars seem highly unlikely to be widely available before 2020, in the meantime though, advanced driver-assistance systems is playing a crucial role in preparing consumers and regulators for what it is to come.

just as important as predicting future ones.

Listening to current and trends is in MENA A Round-Up of Taxi-Booking Apps fordemands Residents

Ridesharing: The Future of Transportation

PwC predicts that the five main sharing economy sectors, with transportation being one of the largest, will generate global revenues of $335 billion by 2025.

As many reconsider ownership and lean towards car sharing and ride hailing, we’ve seen several automobile manufacturers invest in or acquire ridesharing companies and introducing ridesharing programs.

Ridesharing is a hot button issue in

Not only does ridesharing increase accessibility, providing a solution to those who normally would not own a car, it also proves to be a better option for those who would normally purchase a car, since it is cheaper to share than to own, considering ownership costs. Moreover, ridesharing would lessen congestion, increase pedestrian space, and decrease carbon emissions per household.

Connectivity: The Rise of Smart Cars There has been an increase in the number of connected cars on the road as consumers are adopting the connecting car rapidly. According to Business Insider Intelligence, there will be over

to other vehicles in the road, whether autonomous, or human-piloted?

Throughout our Chevrolet, GMC and Cadillac ranges currently available in showrooms, we have a number of technologies that have major safety benefits and underpin autonomous driving.

These include Adaptive Cruise Control, which automatically adjusts the vehicle’s speed to maintain a safe following distance from an object in front. If the car in front slows down, so will yours; if it speeds up yours will too, to the limit you’ve set. In this way, it can help to avoid tailgating crashes.

ANTHONY RIEMANN

Director – Strategy and Urban Mobility for General Motors International

What driver-assist technologies are available in GM’s models that are leading to the vehicles becoming fully autonomous? When do you expect GM models to become fully autonomous? What are the challenges you expect in terms of communicating

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THE QUARTERLY Winter 2016

Lane Keep Assist is another technology that is making roads safer. Radars at the front of the car detect where the lane is.

If a driver is about to start drifting out of their lane without using indicators, the car will gently correct the steering to bring it back in line. This is bolstered by our Lane Departure Warning system that uses Safety Alert Seats: the driver’s seat will vibrate to let them know they’re drifting out of their lane.

Low Speed Front Automatic Braking and Front Pedestrian Braking systems use cameras to monitor the road ahead.

If it detects an obstacle, such as a pedestrian, these systems can prime the brakes, allowing the driver to stop more effectively. If the driver is not able to react in time, the system will apply the brakes automatically.

Next year, the 2017 Cadillac CTS sedan in the U.S. will be the first production vehicle to feature vehicle-to-vehicle technology. It has the ability to talk to cars in front, behind, and even around the corner that drivers may not be able to see. Whether the other car is stationary, or is hard braking, drivers will be warned so they can safely take action. It will also contain a new semi-autonomous feature called ‘Super Cruise’ that allows for hands-free highway driving even while in traffic.

There are many levels to autonomous driving. Although what we would consider as true autonomous is still a fair few years away, and it will not be an overnight change, self-driving cars will be here before we know it.

In the meantime, driver assist packages and vehicle-to-vehicle technologies will continue to develop, to be adopted, and to pave the way for autonomous driving.

Is GM involved in helping governments around the world, and particularly in MENA, in the regulatory framework of autonomous vehicles?

GM Middle East is proud to be collaborating with local authorities on the future of mobility in this region.

We are more than willing to share the knowledge we have accumulated over the years through our autonomous driving program in the U.S. to help create a consumer-friendly and robust regulatory framework.

Will we be seeing GM ridesharing programs in the region and autonomous GM ride sharing vehicles?

Over the last year, GM has launched MAVEN in the U.S. It’s our car sharing service where you can reserve and unlock a car via the MAVEN app, then only pay for the time you need the car for.

The program is doing well in the U.S. with over 37 million miles logged by MAVEN users so far. We are open to looking at ways to expand the program, geographically and with other technologies.

It’s been a big year for GM – joining the launch of MAVEN, we also invested in the Lyft ride hailing service, acquired Sidecar ride hailing and acquired

380 million connected cars on the road by 2021. Connectivity has become a key product feature being incorporated into everything. Gartner, a global technology research firm, estimates that by 2020 there will be a whopping 50 billion IoT devices installed worldwide—many of them in our cars.

by linking up to a fitness band or other wearable or if the car detects you’re nodding off, and the vehicle can react automatically. Or, if your fitness band detects you’re having a heart attack by detecting your heart rate, it will instruct the car to park on the side of the road and notify the emergency center.

Considering the amount of time people spend behind the wheel, there’s real pressure to make that time productive, or at least entertaining, and it’s turning your car into an intensely personalized and customized extension of yourself.

Certain vehicles are already being built with driver assistance technology to help keep cars from drifting out of lane, monitor blind spots and more. Some cars are able to offer more personal assistance, monitoring your vital signs

Let’s Go For a Drive

Cruise Automation – whose focus is on developing autonomous driving technology. We also launched the Chevrolet Bolt EV, which has a range of 380km – more than any other electric vehicle. When you consider these elements together, it may come as no surprise that we are also testing a fleet of autonomous Chevrolet Bolts in the U.S. that could have potential as self-driving taxis. At this stage, our focus is very much on the testing phase in the U.S.

vehicle to vehicle technologies which will be in next year’s Cadillac CTS in the U.S.

In your opinion, what are the top 3 disruptive car technologies that we should expect in the next 5 years?

The need for greater connectivity will continue to drive technological developments in vehicles and I think we will see the vehicle itself continue to facilitate this, whether it is through Wi-Fi integration, phone integration or OnStar.

Through the push of a button, OnStar can provide a range of safety, security, navigation and diagnostic services, and connect a driver with an OnStar advisor if needed. It can even place a call to emergency services even when the driver is unable to do so themselves. It’s very powerful technology, which we are still finding new applications for. Related to the connected vehicle front, I think we’ll also continue to see development of

Several automakers have been farsighted expecting competition from tech companies. Companies such as General Motors, Mercedes-Benz, and Nissan have been in the forefront embracing technology and investing in tech companies and startups for various software and hardware technologies. We had a chat with them to discover more about what to expect in the near future, in particular to our region.n

Automakers are putting more and more focus on alternative propulsion.

GM is working to become a leader in electrification. In the last six years, we have invested more than $2 billion in vehicle electrification, and are so proud that the newly launched Chevrolet Bolt has been named the 2016 Motor Trend Car of the Year earlier this month. With a range of 380km, it has the highest range of any fully electric vehicle in production.

Another major disruptor is people’s views and ability to have a vehicle of their own. For over 100 years, the model of car ownership has been at the core of automakers’ business. However, as societies change and people move towards a sharing economy, GM is looking at the future of mobility and understanding that we need to be a part of these changes. Not everyone wants to buy a car, but many still need to use one, even on a temporary basis. This is why we’ve harnessed a different type of secure technology to launch our MAVEN car-sharing service in the U.S. Users can reserve, pay for and unlock their car via an app, drive it to their heart’s content, and give it back when they’re done.

TECHNOLOGY

USEFUL APPS FOR TRANSPORTATION What driver-assist technologies are

different technologies. We must also deal

leading to the vehicles becoming fully autonomous? When do you expect MB models to become fully autonomous?

Our latest innovations in automated driving have been made possible by our engineers’ use of a so-called sensor fusion where the data from different sensors, such as cameras, ultrasound and radar, are intelligently combined and analysed.

This technology already allows extensive automated driving functions, provided of course, that they are legally permissible and technically safe.

will work when used en masse in different circumstances and situations.

with the challenge of how the technology available in MB’s models that are A Round-Up of Taxi-Booking Apps for Residents in MENA

LENNART MUELLER-TEUT

Head of Marketing & Communications, Mercedes-Benz Cars Middle East

What does Mercedes-Benz have in the pipeline in terms of driverless technology?

In a first step towards autonomous driving, we recently launched the new E-Class, which sets the stage with its “Intelligent Drive Next Level” system. Therefore, it should come as no surprise then that the all-new E-Class successfully conducted the first ever highly-automated drive in the Middle East on the E11 highway from Dubai to Abu Dhabi on November 4th 2016.

Because the vehicle was already equipped with intelligent technology, only specific software modifications were made to the Drive Pilot control unit in order to make the E-Class highly=automated. It was a truly incredible and unprecedented achievement – and one that I am particularly proud of.

At Daimler, we always aim to deliver superior value and luxury to our customers. At times this has required leaps in thinking that have generated new ecosystems for future mobility. This leap, for example, is brought to life in the form of another innovation, namely the cutting-edge Mercedes-Benz F 015 Luxury in Motion concept car.

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THE QUARTERLY Winter 2016

Some of these functions are already impressively demonstrated in our new E-Class with its drive pilot and distance pilot distronic systems. With these systems, the car is not only able to automatically maintain the correct distance behind vehicles, but it can also follow them at a speed of up to 210 km/h.

This can make life easier for the driver, who no longer needs to operate the brake or accelerator pedal during normal driving and also receives plenty of steering assistance from the Steering Pilot – even on moderate bends. The system can continue to actively help with steering by detecting surrounding vehicles and parallel structures, even if the lane markings are unclear or nonexistent at speeds up to 130 km/h. Other technologies include active brake assist with cross-traffic function, active blind spot assist, pre-safe® plus, pre-safe® brake and attention assist.

We are consistently moving towards adopting enhanced features of a selfdriving car. However, the standard and mass use of autonomous vehicles will depend on the availability of the appropriate physical, legal and regulatory framework. This means governments must adopt it as a priority.

What are the challenges you expect in terms of communicating to other vehicles in the road, whether autonomous or human-piloted?

The challenge is the complexity that comes with other manufacturers taking different approaches and utilizing

Will we be seeing MB ridesharing programs in the region and autonomous MB ridesharing vehicles?

As you said, Mercedes-Benz is reorienting its business model – we are not just car manufacturers but mobility providers. As a result, our job is not just to sell a car but also to ease and enhance the mobility of our customers. In Europe and North America, this new model is most evident in two of our services: Car2Go and Moovel. Regionally, we intend offer a wide range of pioneering services that meet people’s comprehensive mobility needs. On the autonomous ridesharing portion of the question, I say this: the technology is feasible; the bigger question is whether or not we will operate in an ecosystem that allows them to develop and thrive. That is the real challenge.

In your opinion, what are the top 3 disruptive car technologies that we should expect in the next 5 years?

We can all expect autonomous driving to remain at the forefront of new technologies. But there will be other interesting developments in the emerging mobility ecosystem. We have already developed a strategy that will reaffirm our leadership in this new era – it is called CASE and is based on four main components that we trust will make up the future of mobility: Connectedness, autonomous, shared and electric. That is where the future lies. So you can surely expect that our vehicles will continue to achieve new technological strides with those four pillars in mind.

Based on our CASE strategy, our offerings will become increasingly connected and automated. We will also offer our shared and electric services to a wider audience.

It will be very exciting to increasingly integrate these new technologies into standard commercial vehicles.

However, how far we can and will go will remain contingent on the surrounding infrastructure and the willingness of other non-industry partners to engage and fulfil their part of the bargain.

Winter 2016 THE QUARTERLY

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TECHNOLOGY

USEFUL APPS FOR TRANSPORTATION AD technology that can autonomously

accessories currently invading the

during highway driving in 2018.

Driver Attention Alert is the first step towards driver status monitoring & is already available in Nissan line-up.

Nissan is studying different concepts to leverage use of connected cars & autonomy. New connected services and applications will make it easier for people to stay connected to work, entertainment and social networks, and offer vehicle centric services that will simplify and enhance engagement with the car through usage-based information, remote access, remote diagnostics and preventive maintenance

negotiate hazardsfor and change lanes smartphone & videogame markets.

A Round-Up of Taxi-Booking Apps Residents in MENA The third milestone in Nissan’s autonomous vehicle program — development of the capability for the vehicle to navigate city driving and intersections without driver intervention will be introduced in 2020.

SAMIR CHERFAN

Managing Director, Nissan Middle East

What driver-assist technologies are available in Nissan’s models that are leading to the vehicles becoming fully autonomous? When do you expect Nissan models to become fully autonomous?

Advanced technologies such as Intelligent Cruise Control, Predictive Forward Collision Warning, and Forward Emergency Brake & Lane Departure Prevention are already available in multiple Nissan models. These are the stepping-stones towards fully autonomous vehicles. At Nissan, the technological readiness to have full-autonomy is already in sight.

In July we introduced ProPILOT technology, which enables single-lane autonomous driving on highways and combines automated steering, accelerator and braking to ease driver workload in heavy traffic and on long journeys.

This technology is already available on the popular Serena mini-van in Japan.

We have also announced that it will be introduced to our bestselling model - the Nissan Qashqai - in Europe.

Nissan will introduce a second iteration of ProPILOT technology - “multiple-lane”

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THE QUARTERLY Winter 2016

What are the challenges you expect in terms of communicating to other vehicles in the road, whether autonomous, or human-piloted?

Challenges lie in regulatory framework, infrastructure development and making sure that all technologies work flawlessly in order to successfully rollout fullyautonomous cars. It is also necessary to earn the customer’s trust and find intermediate steps to build the confidence of drivers in transition to the new technology.

Future drivers are smart phone and internet native with certain expectations. What kind of in-vehicle customer experience technology is available and will be available to enhance and add value to them?

The immediate need from consumers is to seamlessly integrate smartphones to the vehicle. Moving forward, we will work on enhancing user experience through invehicle connectivity (Wi-Fi, Networking Apps), advanced information on traffic, weather updates, parking-related information etc.

Is Nissan involved in helping governments around the world, and particularly in MENA, in the regulatory framework of autonomous vehicles?

Nissan is involved in initiating dialogue with key Government bodies on regulatory requirements, infrastructure requirements & phases of testing & validation to ultimately enable usage of autonomous vehicles on public roads.

What’s the future of windshield display and health monitoring trackers looking like at Nissan? Any chance or seeing Augmented Reality dashboards by 2020?

Nissan is observing consumer trends in the market related to Virtual Reality

Will we be seeing Nissan ridesharing programs in the region and autonomous Nissan ride sharing vehicles?

Nissan is studying possibilities to participate in car-sharing & ride-sharing services. The current situation does not indicate any decline in personal ownership. However, we expect this user segment to grow in the future & will constantly monitor such opportunities.

On the other hand, Nissan is working on increasingly shaping our products as personal mobility devices through advanced Connectivity.

In your opinion, what are the top 3 disruptive car technologies that we should expect in the next 5 years?

• Vehicle taking full control in traffic jam situations & also highway pilot with lane changing capabilities.

•

Virtual Activation & Monitoring – The marriage between smartphone & cars will get stronger with capability

•

Car-Sharing – Offering more freedom & versatility compared to Ride-sharing services such as Uber or Careem, Car-sharing will enable self-driving option through online platforms/apps & allow users to have ownership feeling/ freedom without actually owning a car. Moving forward, we can expect manufacturers starting their own carsharing platforms similar to the U.S. or Europe.

BUSINESS

USEFUL APPS FOR TRANSPORTATION A Round-Up CEO SERIES of Taxi-Booking Apps for Residents in MENA

TAREK SULTAN CEO AND VICE CHAIRMAN OF AGILITY

By Lynn El Bizri | @lnlne

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THE QUARTERLY Winter Summer 2016 2016

F

ounded in 1979, Agility started as a local warehousing provider in Kuwait and has grown to become one of the world’s largest integrated logistics providers in the Middle East. It has acquired more than 40 logistics brands around the world, invested billions to build a global network in emerging markets and today has more than 22,000 employees and operations in over 100 countries.

ArabNet’s CEO Omar Christidis sat down with Tarek Sultan, CEO and Vice Chairman of Agility, to discuss how technology is disrupting the Logistics Industry and Agility in particular.

Where has technology been integrated into your organization? What are the Top 3 areas in which technology has had a deep impact on the way Agility works?

First and foremost, with so many people and activities flowing through our business, we look at technology as a way to improve and enhance the way that we operate. The old way of doing business, using outdated technology, won’t help us in the near future so we needed to use technology to reduce our costs, make us more accessible to our customers and really make the company relevant to the new way of doing business.

To begin with, we are really transforming our core business using technology but we’re doing that both directly and indirectly. We’ve set up a team within Agility that is looking at new emerging technologies that could theoretically cannibalize or supersede our business or could be a part of enabling new business models moving forward. We’re also looking at investing in startups that will impact the supply chain of the future and at how we can integrate some of those concepts into the way we run our business today.

What shape does disruption in the logistics sector take? Is there a shift in the type of customers and where the demand is coming from as a result of changing technologies? Are there sectors that are now doing more or doing less, and what are other ways we

can measure disruption in this space?

The disruption is extreme and basically present in every aspect of our business.

Historically you would see many large companies, such as shipping companies, with their capital invested in owning assets, whereas today, a lot of those assets are basically sitting empty or idle. In the future, I think those sorts of companies that are sitting on idle assets can leverage the technologies being pioneered today to turn their assets into more productive ones by opening up their usage to consumers and customers.

There are disruptions taking place that will help traditional companies that own assets but there are also new ways of doing business that don’t require you to have those assets in the first place. Uber are probably the largest taxi company in the world and they don’t own any taxis or assets per say. In the supply chain we talk about how can we leverage technology and increase efficiency, but there’s a whole host of other technologies that are changing the way that you conceive logistics. For example, there are electronic vehicles, and there are even companies making axles today that hook onto a truck’s trailer and reduce the fuel consumption of the truck going forward. Today you have a truck and a trailer, however you can envision a future where you won’t have a truck and the trailer will drive itself, recharge itself, refuel itself and will deliver the cargo to the customer.

What are some of the top trends that you see reshaping this whole industry 5-10 years in the future? Will we have factories without workers? Will we have a supply chain without drivers? What are some of the other trends that you see taking place?

Well, you have 3D printing that could fundamentally change the entire supply chain and how you manufacture and distribute products. In the future, consumers will probably manufacture their own products. Big companies like GE are already leveraging technology to replace traditional manufacturing and conceive of new ways of creating parts that never before was possible. We expect to see more

of that moving forward, and with the general permeation of IT technology and connectivity, really well thought out business plans will fundamentally change how efficient companies are and the way they use their assets.

How does Agility remain ahead of the innovation curve, what strategies do you use to foster innovation internally and how do you structure those kinds of teams internally to get the most out of your people?

We have a very clear and explicit strategy when it comes to technology and we are leveraging technology to fundamentally change the way our core organization works. When you try to develop new businesses and start to nurture new concepts, it’s difficult to do core business because the government doesn’t like businesses which consume cash and do not generate big profits. So any business that consumes cash and doesn’t generate profits in the corporate world is bad, meaning those businesses need to be separate and have a different strategy.

At Agility, we have a group that is investing in technologies in a way that’s complementary to our core business i.e. our core business can add value to their business. For example, there is a company in Brazil that we invested in that’s kind of like an UBER for trucking, and our thought process behind that is by investing in a company like that we can generate a good return, use that same technology for our core business and give them business. So there are multiple areas of synergy there that we can extract and if you can get 4 or 5 or 6 different areas of synergy and a round of investment, usually that’s good business.

We’ve also set up a technology advisory board and engaged with investors (mostly startups) that are investing heavily in technology. We make them part of our business strategy and discuss and exchange ideas with them. They then help us validate if these ideas are worth investing in or not and sometimes they end up investing with us or we invest with them. That dialogue and synergy of networks and contact are really helpful to us, especially being a company whose

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BUSINESS

roots are not in technology. So we think we have a good formula for how to move up in the future and I think it’s going to really change our company. You’ll probably hear of some interesting projects over the next year or so coming out of Agility and I would imagine that 50% of them are going to be technology related.

Do you see Agility playing a more active role as a potential investor or accelerator of such companies? Could you imagine setting up some kind of vehicle which you would use directly to engage with early stage companies?

What about Mergers and Acquisitions (M&A)?

There are two parts to that. Our core business is fundamentally enabling SME and medium-sized enterprise businesses.

We help businesses to run, take care of and enable their supply chains, and finance their business. So there are parts of our core business that help SMEs and entrepreneurs but there’s also another part that is more direct. We have a number of real estate initiatives here in Kuwait, and we are looking to develop some specific real estate incubation projects targeted for the local and global market and invest in these companies.

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THE QUARTERLY Winter 2016

For us to invest in a concept it has to be relevant to our core business and if we do that we can win several times, change our business, make the investment more likely to succeed and add value. As for mergers and acquisitions, most of our focus in technology has been in early-stage so it’s highly conceivable that there could be early-stage acquisitions that complement our strategy or add value to what we’re doing. We have invested heavily in M&A for the last 10-15 years and the platform that we have today in 100 countries is basically the result of M&A. For the entrepreneurs who are looking to build their own global business in Kuwait, what kind of parting words of advice would you share with them?

Try to focus your business model outside the government. If your business model can be consumer-based or commercial-

based, I think it’s going to be better in the long-term. While it might not be as prosperous in the early stages, it’s definitely the right way to go. The second thing I would say is just because a market is complex or difficult doesn’t mean you should avoid a startup. In fact, some of the best startups are the ones that are operated in business environments that are complex and an example of that is the guys that founded the business in Brazil, they specifically picked the Brazilian market because its complex. You have obviously all kinds of complexities, financial, crime, congestion, everything you can imagine yet they chose to start their business there and I think that at the end of the day they’ll be rewarded for that. Their business is in one way protected by the complexities but it’s also made them better entrepreneurs.n

“Try to focus your business model outside the government. If your business model can be consumer-based or commercial-based, I think it’s going to be better in the long-term.”

+٩ ٦ ٦١ ١ ٢ ٢ ٩٢ ٥ ٥٠

| ||

+٩ ٦٦ ٩٢٠٠٣ ٣ ٣ ٤ ٣ ٣٣

al-arabia_ooh | www.al-arabia.com

BUSINESS

THE MOBILE PATH-TO-PURCHASE

IN SAUDI ARABIA Key planning implications for marketers

Now is the time to understand the mobile path-to-purchase!

It is estimated that by the end of 2016, 70.5% of the Saudi Arabian population will own a smartphone, equating to nearly 20 million people.

Mobile has changed the way consumers behave both online and offline; it has changed how brands market themselves and in an increasingly fragmented

media environment mobile throws up a whole new host of exciting planning implications and considerations that touch all areas of the marketing process.

These considerations impact all areas of the purchase funnel – a process which is now acknowledged to be far from linear in nature – yet for the purposes of this research has been condensed in to three key stages: brand awareness, product research and purchase.

This survey aims to unpick how mobile fits into the path to purchase at all stages in the funnel and to provide actionable recommendations for marketers and brands wanting to take advantage of the myriad opportunities afforded by mobile marketing.

Sample: 500 smartphone users Fieldwork dates: 2nd to 14th November 2016 Source: eMarketer 2015

The path to purchase: a well trodden consumer journey from brand awareness, to product research, to purchase and order fulfilment

AWARENESS

RESEARCH & DISCOVERY

PURCHASE

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THE QUARTERLY Winter 2016

AWARENESS

Mobile offers the frequency of usage to help brands build awareness 91% of smartphone owners use the mobile internet on a weekly basis (compared to second placed TV at 81%): more than any other form of media. Frequency of exposure to media and advertising builds awareness. % of users who access media at least once a week 91% 81%

77%

76%

71% 55%

Mobile Web

TV

Desktop Web On Demand TV

Outdoor

52%

Radio

48%

Newspapers

Magazines

Mobile is an embedded daily habit The vast majority of mobile internet users are using it for more than two hours a day providing multiple micro-moments for brand contact via mobile advertising Frequency of access to the mobile web

67%

0%

10%

20%

30%

13%

40%

50%

60%

70%

8%

80%

3%

90%

100%

Once a month

Less often than once a month

Once or twice a week

3 - 6 times a week

2 - 3 times a month

2+ hours a day

Less than 2 hours a day

Winter 2016 THE QUARTERLY

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BUSINESS

Three quarters of smartphone owners watch on demand TV at least once a week. Why? It’s just getting easier and easier….

Reasons for watching on demand TV

27%

27% 21%

It’s easier

Can watch when I want

Quality of programmes

On Demand TV viewing is a truly cross device habit But the smartphone dominates!

How do you watch on demand TV / video?

40%

38%

24%

14%

Not only are smartphone owners watching on demand TV on their mobile… they are controlling their TV via mobile too How do you watch on demand TV / video?

49%

Control their TV via a smartphone on a weekly basis

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THE QUARTERLY Winter 2016

Three key learnings for driving brand awareness on mobile

FREQUENCY

ON DEMAND TV

THE ON DEMAND MOBILE VIDEO OPPORTUNITY

Awareness driving and brand building campaigns are built on frequency of exposure. Nowhere can you drive frequency faster than with mobile. TV is no longer the medium of choice and marketers should think beyond traditional channels in their strategic planning.

Awareness driving campaigns rely on reach. While still second to traditional TV in terms of frequency, on demand TV is a mass-media that cannot be ignored. Three quarters of smartphone users watch on demand services at least once a week.

The smartphone is the most popular device for watching on demand TV. The confluence of mobile and on demand TV represents a still untapped opportunity for brands to achieve cut through in what is still a relatively nascent market.

RESEARCH & DISCOVERY

When it comes to researching products to buy the smartphone even beats word of mouth!

Recommendations from friends and family have been supplanted by the smartphone as the channel of choice for product research. The power of physically looking at an item in store should not be overlooked though.

1

2

3

4

Read information on my smartphone

Talk to friends and family

Go in to store to look at items

Use social media

27%

26%

24%

21%

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BUSINESS

So what information are people looking for on their smartphone?

78% of smartphone users are “showrooming” – i.e. taking at least one of the actions below to enhance their physical shopping experience digitally When in a store or mall in the past three months have you used your smartphone to…

33%

Check prices

25%

Check product information

22%

Read product reviews

17%

Find out where an alternative store is

Check product availability

16%

Find if the product is in an alternative shop

16%

Second screening is a very real phenomenon. Traditional media and digital media can combine to drive product research

23%

of smartphone owners have looked up something on their phone which relates to TV adverts they are watching

A note of caution: can mobile replicate the physical and social aspects of in-store shopping?

I prefer to inspect the actual product I am buying Shopping in store makes returns and exchange easier

32

41% 28%

Shopping in store or in a mall is more fun than online

27%

Shopping in store or in a mall is a sociable experience

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THE QUARTERLY Winter 2016

Does it really matter if by researching online consumers are saving time?

SHOPPING ONLINE GIVES ME MORE TIME TO DO WHAT I WANT: 20% Rising to 24% for those who have made a purchase via their smartphone in the last three months

RESEARCHING PRODUCTS IS EASIER ONLINE THAN IN STORE: 17%

Rising to 19% for those who have made a purchase via their smartphone in the last three months

Three key learnings for driving product research on mobile THE SMARTPHONE IS THE PRODUCT RESEARCH TOOL

THE RISE OF SHOWROOMING

MULTI-SCREENING

In a world dominated by an abundance of choice, the smartphone plays a crucial role in keeping consumers informed. It is now the dominant method of product research – beating even word of mouth and visiting an actual store.

Over three quarters of smartphone users are showrooming: enhancing their physical shopping experience with instant mobile information. Checking prices, product information and reviews are what consumers are looking for on the go while shopping in-store.

The smartphone is a permanent fixture even when consuming other media. When planning TV creative, consider that just under a quarter of smartphone users search for content related to a TV ad on their smartphone

PURCHASE

Consumers aren’t shy about making purchases on their smartphone

77%

purchased a product or service on their smartphone in the past three months

heir TV via a one on a weekly basis

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BUSINESS

Convenience and time saving are the key drivers of purchase on smartphone. There is however, considerable untapped potential

Shopping on my mobile phone saves

Shopping on my mobile phone is

me time: 20%

convenient: 16%

Digital activity driving physical purchase fulfilment: a trend that can play out in more than one way

46%

40% 11%

Of smartphone users make a purchase and have it delivered to them at least once a week

Have used a coupon or discount on a mobile phone when shopping instore

Like to pay online and then collect in-store

A closer look at consumer goods and shopping habits For female main shoppers the supermarket may dominate for food and household product shopping, but the smartphone isn’t far behind, with a quarter purchasing via mobile Food / Grocery / Household 29%

In a shopping mall

58%

In a supermarket

On my laptop or desktop computer

6% 25%

On my smartphone

On the high street

Send someone else to do it (e.g. maid)

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14% 24%

The female main shopper is highly mobile savvy, both in terms of purchasing habits and media consumption

+ 10%

points more likely to watch on demand TV on a smartphone than the average smartphone user (50% likely overall)

+ 7%

points more likely to buy food / groceries / household products on a smartphone than the average smartphone user (25% likely overall)

Female main shoppers are keen “showroomers.” Even though they find online shopping easier than in-store, having physical contact with the products they buy when researching is highly important

Online for opinion gathering

+8% points more likely than average to find gathering opinions online easier than in-store (25% agreement overall)

In-store for product experience

Smartphone for showrooming

81%

+6% points more likely to “prefer to inspect the actual product in store before purchase” than average (47% agreement overall)

are “showrooming,” on their smartphone with finding products in alternative stores (19%) and findings locations of alternative stores (19%) key mobile activities when shopping

Key considerations for retailers when faced with active mobile shoppers

They’re going to be comparing prices on their smartphone while in your store!

+4% points more likely to do

Click and collect is a useful prompt for in-store visitation

Engage with them through a multiscreen strategy

+3% points more likely to

+8% points more likely to

so than average.

use click and collect services than average.

27% are comparing prices on

14% are using click and

their smartphone

look at smartphone for related TV programme or ad content (81% of mobile purchasers overall)

collect

Winter 2016 THE QUARTERLY

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BUSINESS

Three key learnings for driving product purchase on mobile

MOBILE PURCHASING IS MAINSTREAM

MOBILE PURCHASE DRIVES OFFLINE ACTIVITY

AN OPPORTUNITY RIPE FOR RETAIL

77% have made a mobile purchase in the last three months. Time saving and convenience are key considerations and brands need to make sure they are fully mobile optimised to capitalise on the growth in m-commerce.

Coupon and discount codes are an indelible part of the consumer mindset. 40% of smartphone users have used discounts in store in the past three months.

Female main shoppers are highly likely to be using their smartphone to purchase groceries and household goods, but are also being driven in store to physically trial products that they have researched online.

Supermarkets should not miss out on the opportunity to measure the impact that mobile advertising has on in store visitation

Three key considerations on the mobile path to purchase

1. CONSIDER MOBILE IN THE MEDIA MIX: 91% of smartphone owners use the mobile internet on a weekly basis. More than any other form of media, including TV

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THE QUARTERLY Winter 2016

2. ENSURE DISCOVERABILTY OF PRODUCT INFORMATION ONLINE: Smartphones are now the primary product research tool. A quarter of consumers are prompted to conduct mobile research by TV ads

3. MOBILE OPTIMIZATION FOR M-COMMERCE IS KEY: 77% have purchased a product or service on their smartphone in the past three months

DIGITAL MEDIA

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CREATIVITY VS DATA.

A Round-Up of Taxi-Booking Apps for Residents in MENA

TWO KINGS. ONE THRONE.

By Leena Kewlani | @leenakewlani

N

o blood will be shed, because there is no battle happening here. Choose a side and your brand will ultimately lose.

What would flabbergast me is if you even believed there was a choice to be made in the first place when you read the title.

The combination of art and science has always given us the power to create “magic”. Remember the days when need-

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based attitudinal studies were the greatest gifts to marketers, when it came to understanding consumers? Let’s also not forget the cost implications, which would inevitably add up to acquire these tools.

In today’s marketing arena, marketers have cost efficient access to billions of real-time data points. The volume of data isn’t the significant factor. It’s what you

derive from that data and how you apply it in your content marketing strategies that really matters. It’s the ability to gather and analyze meaningful consumer behavior from layers of raw data, and deeply understanding a consumer’s intent and sentiment towards your brands and products.

Yet some brands are continuing to focus

But for truly effective campaigns, it has to start getting personal.

on the physical output of the content piece, rather than the actual impact it can have on an audience. In today’s reality, it is imperative that our content marketing strategies and practices are defined by the synergetic balance of creativity and data. There is a need to start infusing holistic, data-driven content insights and strategies right from the time we are contemplating even creating a piece of content. The initiation of a marriage between art and science.

The fundamental question we should begin by asking is not only “Who are my real consumers?” but also “How can I identify their needs, create content that they want, and build a truly interactive relationship between my brand and my consumers?”

The phenomenal growth in data capturing allows us to be very specific on who exactly we are targeting, but also who we aren’t targeting, and why we are eliminating them from our content journey.

Let’s also try to get out of the rut of producing and distributing content across single channel distribution platforms. We proudly boast of producing “different” pieces of content for different digital placements. What we should really be thinking about is how to scale our content creation process for every stage of our consumer’s buying journey in the complex multi-channel world that they live and breathe in.

Initiate a process of understanding how your consumer behaves and interacts with your brand’s properties and social channels. See how that same consumer engages with content on a publisher’s website and social channels, and start to dive deeper into their lives. The topics that they are passionate about, behaviors with certain pieces of content, time spent actively seeking information, buying intentions, etc. You will begin to see a beautiful kaleidoscopic formation of data patterns and will start experiencing the world from your consumers’ eyes.

And let’s not forget our new favorite data word of the day - “retargeting”. By using attribution models we can orchestrate breakthroughs in content creation, as we

Leena Kewlani| Branded Content Director, DMS. With 18 years of media experience across MENA, Leena has worked across a multitude of multinational clients such as Nestle Middle East, Ford, Land Rover Jaguar, Fiat Chrysler, Emirates NBD, Sony Mobiles, Harry Winston, Cleartrip, Qatar Airways and the Singapore Tourism Board. She was responsible for creating branded content from ideation to execution across all platforms. Before joining DMS, Leena headed up MEC Access (Branded Content, Sponsorship, and Activation) at MEC MENA for seven years. She currently leads on Branded Content at DMS, crafting and creating Branded Content opportunities and solutions for clients, ensuring seamless delivery across DMS’ platforms. collect data on which portal, platform, ad placement, content piece and content placement are rich media and creative executions working for the brand. We start to contextually target consumers as we gain behavioral insights on how they have interacted and engaged with our ads and content pieces. We can start to distribute in real time to drive relevancy, immediacy and commercial experiences, encouraging our consumers to enter the purchase cycle. What we have to be really careful of is not to “retarget” consumers after they have purchased, as this leads to frustration and anger.

One of my favorite campaigns, especially because I am an avid traveler, is from Vacation Matchmaker in Tennessee. They created and served over 2000 pre-roll video combinations, edited and targeted in realtime, personalizing vacation experiences without consumers having to do anything.

They analyzed millions of data points about a user’s online behavior and activity, scanned through hundreds of video clips of things a user can do in Tennessee, and ultimately served an edit of a commercial perfectly matched to their interests and passions. They went a step further where users can interact with the pre-roll content piece itself, get to know more about the attractions proposed and socially share the content piece/attractions.

So rather than a typical tourism ad trying to attract anyone and everyone, proposing what they would like us to see and visit, we get this stunning customized piece of content appealing just to one person individually. The results were phenomenal, with 93% of people surveyed saying that they were planning to take a vacation to Tennessee in the next one year. Very impressive for a local tourism board. And this is actually possible to execute in our region as well.

What frustrates me, however, is that data has been driving the advertising industry and shaping marketing campaigns for years. Historically, what we had called “brand and consumer insights”, led to some of the most innovative work being produced. Yet today, creative agencies are reluctant to embrace data and take on board its significance to the creative thinking process, especially when it comes to creating digital content.

Respectfully, my personal and humble view is that Data is the Ying to Creativity’s Yang, and together, these two can help brands remember and preserve their humanity.n

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E-COMMERCE

INSIGHTS AND BEST PRACTICES

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I

n the MENA region, e-commerce dominates the digital landscape, with Souq.com becoming the first billiondollar internet company, and more than 2/3 of tech investment dollars going into transactional businesses. Marketplaces for services, from transportation to food delivery, are also growing exponentially, creating some of the most valuable startups globally, and disrupting entire sectors in the process. This is true in MENA as well, with Talabat.com swooped up by Rocket Internet Group for $170M just last year. Beyond pure e-commerce platforms, e-commerce is gaining importance as a channel for all types of traditional business - from

banks to FMCGs. As companies across industries seriously consider e-commerce as a new channel, OMD and ArabNet have launched ‘E-Commerce Insights and Best Practices,’ a study to elicit insights and develop best practices for companies interested in this channel.

The study is based on a survey conducted with 13 e-commerce companies and service marketplaces in the Middle East, across a range of products – from electronics to transportation services.

Interviews were conducted with CEOs, Founders, VPs, and CMOs to explore the topic further and gain additional insights when possible. OMD and ArabNet thank

the following companies for sharing their time and insights: Virgin, Xcite, Careem, Uber, Namshi, MarkaVIP, JadoPado, Talabat, Bookwitty, Meltoo, MiniExchange, eCommerce Sea, and ReserveOut. The study investigates the key social media platforms used by regional e-commerce players, along with each platform’s objectives, their digital marketing and advertising efforts, the use of mobile ads and mobile apps, all of which are explored in this issue. The study also explores the different stages of the purchase cycle, and finally, the opportunities and challenges they face.

Social Media Marketing & Advertising As a start, the survey investigates the key social media channels used by e-commerce players for both organic and paid reach, and how they distribute their marketing activities and digital advertising investments across these platforms.

Fig 1: Social Media – Organic

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DIGITAL MEDIA

The survey results clearly indicate that Facebook, Twitter and Instagram are the key social media channels used organically by almost all e-commerce players. Only one respondent – based in Saudi Arabia – mentioned that Facebook was not an important platform for them. A number of respondents highlighted that Twitter is the key channel for Saudi Arabia, where the Arabic language dominates the platform; one of the respondents claimed that Arabic dominates over 70% of its user interactions in the Kingdom. It is interesting to note that almost half of the e-commerce companies surveyed are using Snapchat, and many have only recently started experimenting with the platform.

A Round-Up of Taxi-Booking Apps for Residents in MENA

Fig 2: Marketing Activities Distribution

Facebook Instagram Snapchat YouTube Twitter Other

While many of the e-commerce companies surveyed are using all social media platforms for organic posting, the distribution of activities is skewed quite heavily towards Facebook and Instagram, followed by Twitter. YouTube and Snapchat are being used much more selectively for a smaller scope of activities, elaborated further below.

Fig 3: Advertising Platforms Used

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THE QUARTERLY Winter 2016

The dominance of Facebook as a paid channel is even more evident as we dive further into the distribution of advertising investments by channel. Here, survey respondents indicate that Facebook is capturing about 2/3 of digital ad spend, with significantly smaller (and roughly equal amounts) being spent on Instagram, Twitter and YouTube. The ‘Other’ category (15%) is dominated by search, and appears small given the importance of search, especially for conversion in e-commerce marketing.

Fig 4: Objectives of Each Social Media Platform

Blog YouTube Snapchat Twitter Instagram Facebook

After establishing the main social media channels for organic and paid reach, the survey investigates the key objectives for each platform.

Facebook, Twitter, and Instagram tend to be the most versatile channels, used for the most diverse set of objectives; however, the focus for Twitter is customer service and the priority on Instagram is brand building. Facebook, Twitter and Instagram are also the key channels used for customer acquisition, with Facebook being the key driver of conversions – followed closely by Twitter.

The key channel for customer engagement is Facebook followed by Instagram, where Instagram is often used to sell a lifestyle through trendy images and content.

YouTube is used sporadically, and in a different manner by survey respondents – including educational content, as well as videos for branding and engagement. Most e-commerce players surveyed have a corporate blog, where they do content marketing for brand building and consumer education. With respect to the latter, the focus is on explaining how e-commerce works and enhancing customer knowledge on products and services. For brand building, a large part tends to feature storytelling about the company and its services, adding a human component to the brand, which helps build an emotional connection.

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DIGITAL MEDIA

USEFUL APPS FOR TRANSPORTATION Mobile

A Round-Up of Taxi-Booking Apps for Residents in MENA

The surveyed e-commerce players highlighted that millennials are heavy consumers of technology who prioritize speed and convenience, with mobile at the center of their user interactions. All respondents said that mobile strategy is key and are focusing their efforts in that area.

Fig 6: E-Commerce Players Who Have a Mobile App

Up to one-third of sales Between a third and two-thirds of sales Between two-thirds and100% of sales

The mobile strategy for most respondents is app-centric: over 60% of respondents have a mobile app and another 30% are currently building one. Respondents agreed that the user experience of the app is critical, with respect to the ease/speed of set-up and check-out, while compelling full-screen visuals are key design priorities. A number of retailers mentioned that they are looking closely at how their mobile app experience integrates with other channels, namely website and social media.

Fig 7: Percentage of Online Sales Driven Through Mobile

Yes Building No

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THE QUARTERLY Winter 2016

Mobile is one of the largest and fastest growing sales channels for many e-commerce players, with the majority of respondents stating that mobile drives over 2/3 of their online sales. Mobile is such a key channel that one respondent exclaimed, “if it doesn’t work on mobile, we don’t do it.”

Fig 8: Mobile Ads Usage

Yes, we do mobile ads No, we don't do mobile ads

Approximately 70% of respondents spend on mobile ads, but the distribution of investment differs quite significantly between players. 40% stated that they spend a third or less of their digital budget on mobile ads, whereas, another 40% spend between one-third and two-thirds. It is interesting to note that 20% of respondents spend more than two-thirds of their online budget on mobile ads.

Fig 9: Percentage of Digital Budgets on Mobile Ads

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SAUDI NATIONAL TRANSFORMATION PROGRAM Blueprint of all the initiavies impacting entrepreneurship & the tech sector Saudi Arabia launched the National Trasnformation Program that outlines initiatives to be undertaken by different ministries to prepare the kingdom for the post-oil era.

ArabNet presents you with a guide highlighting the opportunities presented by the Saudi National Transformation Program. Below is the list of all the initatives that directly impact entrepreneurship and the tech sector along with the 5 year budget set aside for each.

KING ABDULAZIZ CITY FOR SCIENCE & TECHNOLOGY

MINISTRY OF EDUCATION

Business incubators and acclerators program

Develop an awareness program on investment and entrepreneurship for students

494M SAR

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THE QUARTERLY Winter 2016

49M SAR

MINISTRY OF COMMERCE & INDUSTRY

GENERAL PRESIDENCY OF YOUTH WELFARE

Launch of essential and value added applications, and electronic services to support SMEs

Leverage on digital tools, technology, and apps

45M SAR

Create forums, awareness and marketing campaigns for SMEs

35M SAR

6M SAR

Design and deliver a system for the programs, events, and competitions

450M SAR Establish and support business incubators and business entrepreneurship centers

48M SAR

Establish the physical and digital Saudi Youth Council

313M SAR Develop and promote programs for freelance and business entrepreneurship culture

MINISTRY OF LABOR

29M SAR

Deploy initiatives led by the government to support the development of SMEs

Create ILAB centers for innovation

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ENTREPRENEURSHIP

MINISTRY OF COMMUNICATIONS AND INFORMATION TECHNOLOGY

USEFUL APPS FOR TRANSPORTATION A Round-Up of Taxi-Booking Apps for Residents in MENA Establish a goverance model to lead and guide IT business incubators

54M SAR

Launch a comprehensive digital literacy program

47M SAR

Launch & activate ICT training centers

33M SAR

Organize digital innovation contests for Saudi high school students

47M SAR 50

THE QUARTERLY Winter 2016

Design a program to stimulate e-commerce

44M SAR

Establish the E-Commerce Council to eliminate obstacles

40M SAR

Implement a program to provide vocational guidance and awareness campaigns for ICT jobs

10M SAR

Make "Yasser" e-Government Program an independent entity with increased resources

470M SAR

Facilitate lending terms for banks to Small and Medium IT enterprises

13M SAR

Organize exhibitions and workshops to introduce IT services / products to SMEs and corporates

39M SAR

Implement a program to assess and support SMEs based on their maturity level

23M SAR

MINISTRY OF FINANCE

Build a national financial electronic system

1B SAR MINISTRY OF ECONOMY AND PLANNING

Establish Saudi Media City

624M SAR MINISTRY OF CULTURE AND INFORMATION

Coordinate the efforts to develop the national framework for local content

40M SAR ‫ع‬ Develop a program to accelerate digitization

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and qualifications to reduce this gap and

develop the skills for next generation A Round-Up of Taxi-Booking Apps for Residents in MENA

technologies to meet market demands.

Another area of challenge in which MCIT has started shifting gears to address is the restructuring of the post sector and the transformation of the Saudi Post Company to align with the new vision 2030 that seeks to build a unique regional logistical hub and to fulfil digitization requirements especially in the area of e-commerce and e-Government.

What are some of the first initiatives MCIT will be introducing in the next 12 months related to digital innovation, e-commerce, and ICT in KSA? Some key initiatives the MCIT has started working on include:

Eng. Ali Bin Saleh Al-Soma Advisor to the Minister of Communications and IT, Secretary General, The National ICT Plan

What is MCITâ&#x20AC;&#x2122;s role in achieving Saudi Vision 2030 and what are the key areas that it will focus on?

MCIT plays an important role in achieving Saudi Vision 2030 through its focus on digitizing the society and economy. During the National Transformation Program (NTP) planning phase, MCIT led the Center of Excellence that helped other government entities introduce digitization into their own initiatives and ensured synergy between digitization initiatives as well.

The NTP is one of 13 other programs to realize vision 2030, it has a great socio-economic impact as it mobilizes and concentrates the countryâ&#x20AC;&#x2122;s resources and efforts in an unprecedented way to achieve an ambitious vision. In addition, MCIT led the ICT and Post sectors transformation LABs and adopted initiatives that will address the key challenges facing the ICT & post sectors.

For instance, high-speed broadband coverage is still low with FTTH coverage of 12% in urban areas and 4G coverage of also 12% in rural areas. Zooming on the fixed broadband market, the dynamics of penetration are different in the Consumer and the Enterprise markets. In

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THE QUARTERLY Winter 2016

the Consumer market, fixed broadband penetration reached 50% in 2015 with around 3.5 million subscribers; yet the majority is still on low speeds below 20Mbps. On the Enterprise side, the market is very promising and the SME segments will mainly drive the growth, yet the fiber penetration is still low in this segment, and the uptake of ICT services is still lagging behind. Another challenge to tackle is the low adoption of e-commerce from local enterprises, which requires efforts to boost the appetite of specific segments to transform their businesses and adopt e-commerce strategies. The limited digital content that is developed locally is another challenging area in the digitization agenda and it is estimated that the IT industry economic leakage in the Kingdom is 80%. At the same time many of the digitization initiatives cannot be realized effectively without the required human capital capabilities.

Demand for ICT professionals in Saudi Arabia is expected to exceed supply by around 56,000 individuals between 2016 and 2020, and thus the need to further increase the efforts for preparing and equipping Saudis with the right tools

1. The broadband expansion program: which aims at stimulating operators to invest in broadband and increase FTTH coverage to 80% of dense urban areas and 55% of low-dense urban areas, as well as increase higher speed wireless broadband to 70% of rural areas.

2. A comprehensive ICT Human Capital program that aims at promoting ICT interest, elevate ICT skills and ensure ICT employability readiness.

This program targets employing 20,000 Saudi human cadres between 2016 and 2020 in order to bridge the supply and demand gap in the ICT sector, in addition to increasing the Internet users in the Kingdom to 85%, thus reducing the digital gap in the ICT skills of users.

3. Establish a dedicated independent entity to develop the local IT industry and double its contribution to non-oil GDP from 1.12% to 2.24%. The entity aims at supporting the local IT market to develop and grow. It helps entrepreneurs to create more startups, supports SMEs to achieve sustainable growth, and encourages large enterprises to enter the export markets with high quality products and services.

4. An e-commerce program to encourage the retail sector as a start and other sectors in general to adopt e-commerce and remove any legislative barriers and obstacles that may hinder the

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growth of e-commerce in the kingdom.

5. The restructuring of the post sector and the transformation of the Saudi Post Corporation in order to prepare it for corporatization and privatization.

What are the programs that are being developed to launch a digital literacy program? When will they be introduced and what will the process for rolling them out be?

MCIT identified the lack of ICT human capital and digital skills as one of the primary challenges it has to work towards solving. In this regard, MCIT divided individuals into 3 different segments based on ICT skill level: 1. ICT Users: Basic skills such as browsing, email, social media, Microsoft Office, e-commerce, online banking, Google maps, enterprise applications, etc.

2. ICT Workers: Typical IT/digital skills such as IT security, web/mobile development, web design, etc.

3. ICT Experts: Advanced digital skills such as cloud, Internet of Things, data analytics, user interface design, etc.

4. Based on these segments, MCIT developed 5 main initiatives to target the needs of each segment, and will be executed in partnership with private sector and key stakeholders. These initiatives are as follows: • Set up ICT training centers in partnership with large ICT companies • Establish a program for regular ICT career mentoring/coaching events and awareness campaigns for graduate and unemployed Saudis • Establish a program for providing high-impact job internships for Saudis with private sector ICT companies • Launch a nation-wide ICT literacy program • Organize digital innovation competitions for high school students With respect to digital literacy, the “Launch a nation-wide ICT literacy program” targets reducing the ICT

“The current indicators of e-commerce in Saudi Arabia are promising. The e-commerce volume as a percentage of total retail market is around 2.5% in 2015, which is equivalent to 2.7 billion dollar.”

illiteracy and reducing the digital literacy and skills gap within Saudi Arabia’s rural and urban regions through 2 subinitiatives: • Extending the existing “Qawafil” program, which provides basic ICT literacy training for individuals in rural areas through 10 buses equipped with training labs to train around 70,000 individuals by 2020.

• Establishing ICT Knowledge Centers in local communities across the Kingdom to help sustain and develop the basic ICT skills within the community. Leveraging community centers, local libraries and public schools facilities will develop knowledge centers. The objective is to develop ambassadors within each community and apply the “Train the Trainer” concept to spread ICT knowledge further.

What are MCIT’s initiatives to stimulate e-commerce in the Kingdom?

What is e-commerce currently lacking and what is required to support growth?

The current indicators of e-commerce in Saudi Arabia are promising. The e-commerce volume as a percentage of total retail market is around 2.5% in 2015, which is equivalent to 2.7 billion dollar. However, when compared to other countries like: Netherland (7.4%), France (8%), Sweden (7.8%), Germany (11.6%), and UK (15%), the gap looks huge and it

calls for a suitable intervention to create the right ecosystem to stimulate e-commerce in the kingdom. Today, regional and multinational vendors such as amazon, SOUQ. com and others dominate the e-commerce market. The remaining market share is divided between domestic & dedicated e-commerce platforms like E-Mall, Haraj and individual traders on the top of social media platforms like Twitter, Facebook, Instagram and others. Most of the traditional businesses including big retail companies have not established their e-commerce channels yet. Of course, some barriers need to be removed in order to encourage companies to adopt e-commerce models including clear e-commerce and e-payment legislations, security and privacy, logistics, internet infrastructure, user awareness and culture. MCIT has two main initiatives related to e-commerce.

The first one is at the governance level so it tackles the legislative obstacles through a cross-governmental board that looks after e-commerce and resolves all related issues. The second is through a dedicated program that provides support and consultancy for those who want to build their own e-commerce business. It targets individual merchants who want to have online presence, small and medium companies who want to grow by tapping into new markets leveraging the internet and e-commerce, and large traditional retail companies who want to adopt new e-commerce business models.n

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Media awareness campaigns educating

on other options that define success A Round-Up of Taxi-Booking Apps for Residents in MENA

and what it means to contribute to the society, along with more recognition of successful entrepreneurs and innovators should sooner rather than later help in motivating young Saudi’s, help them to redefine failure, and change the way they evaluate risk. Schools and University should also consider introducing courses and educational material into their curricula that sparks the students’ mind, showing how knowledge can be used to innovate rather than just maintain current standards.

Nawaf Bin Attaf Alsahhaf CEO, BADIR Program for Technology Incubators and Accelerators

In your opinion, how will the National Transformation Plan (NTP) impact startups and the entrepreneurship ecosystem in KSA? Upon studying the program one can identify several objectives that will directly impact entrepreneurship and startups such as the Ministry of Commerce and Industry’s objective to “increase the culture of entrepreneurship” where their target is to double the number of LLC’s currently established in Saudi Arabia. Other objectives of the Ministry of Commerce and Industry are “increasing the contribution of small and medium enterprises to the gross domestic product,” and “increasing the creation of job opportunities in small and medium enterprises”.

Among the numerous objectives at King Abdulaziz City for Science and Technology, a key objective serves to impact entrepreneurship directly, and that is to “establish emerging technology companies with added value to contribute to the increase of local content.” This specific objective aims

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THE QUARTERLY Winter 2016

to increase the number of technology startups in the kingdom by three-fold by 2020.

The plan has not only identified our nations priorities and developed action towards achieving them, but it has also helped improve coordination and joint action by identifying common goals of government entities based on not just entrepreneurship but all the national priorities.

How do you shift a cultural mindset towards innovation and entrepreneurship? How is this done in 3 years?

Among the main aspects of Saudi Arabia’s cultural mindset that is hindering entrepreneurship is the society’s current perception of risk. Up until recently, young Saudis have had the luxury of going through their school and university years with the confidence that a comfortable government job awaited them. Changes in the job market over the past ten years have slowly began to change that mindset.

What are the most important factors that need to be in place for the Kingdom to emerge as an innovation hub? And what would boost the effectiveness of these factors?

The factors that need to be in place are already there. The first factor is having a youth population that is educated, creative and ambitious, whilst the second key factor is that the Kingdom enjoys a strong economy, which makes it a lucrative market both locally and abroad. Reevaluation of certain regulatory laws pertaining to innovation and entrepreneurship like Business Visa laws and startup funding regulations is currently underway, and we are confident that this will result in regulations that pave the way for better investment in startups and towards introducing startup immigrants to the ecosystem.

How has entrepreneurship been gaining ground in Saudi Arabia in the past 10 years? What are BADIR’s planned activities to boost and foster the number of startups and incubators following the implementation of the NTP? Over the past ten years, the ecosystem has gone from nothing to over 21 incubators, 5 accelerators and more than 25 entrepreneurship support entities.

BADIR alone has incubated over 200 startup companies in the 8 years since it was established, 16 companies have graduated from its incubation programs; one went through a global acquisition and 4 currently export their products and services overseas; 25% of the startup companies currently incubated at BADIR are valued at over 230 Million

SAR. These numbers show remarkable development, and are a true testament to the potential that Saudi technology innovation holds.

aspect seems to be covered, policies and regulations still need to be developed to benefit from financial support. Through our interviews with entrepreneurs, policies and regulations and human capitals were the most pressing requirements.

BADIR will expand its presence in Saudi Arabia, where today it exists in three cities; by 2020 BADIR will have established entrepreneurship centers in 9 cities in the kingdom. This will allow BADIR to reach more entrepreneurs in need of incubation services to allow for the emergence of more technology startups.

What are the key challenges facing Saudi entrepreneurs today? What are the gaps in the ecosystem that need to be filled?

Among the key challenges across the ecosystem are market trust and pre-seed funding. For an example of market trust, let’s look at startups that specifically serve big corporations and government.

These startups must bid on contracts where quality and innovation is usually overshadowed by size and past work, something startups would most likely lack. One way this is currently being addressed is through a service called “access to bids” currently being provided by 9/10ths, where government and large corporations can publish opportunities to startups that have been vetted by 9/10ths.

This provides equal opportunity to startup companies as well as ease of mind to government and large corporations knowing the startups have been vetted by a qualified entity.

What are the strategic programs for creating jobs? What steps are being taken to bolster freelancers and selfemployment? Which steps will be implemented by 2020?

Understanding the problem is key to solving it. This requires detailed and accurate numbers, whilst, there are many initiatives to collect the information, it is still unavailable. Therefore, the first initiative is data collection and analytics.

Sami O. AlHussayen Head of Future Work Program

The other challenge is with Pre-seed funding. Many startups don’t have the money to get off the ground, let alone develop and grow. One way this can be addressed is by increasing the number of accelerators in Saudi Arabia that offer pre-seed funding, and this is a direction BADIR has already begun to take.

In your opinion, how will the National Transformation Plan impact startups and the entrepreneurship ecosystem in KSA? NTP believes in empowering the youth and supporting small and medium businesses, and consequently over 10% of NTP’s budget is dedicated to entrepreneurship. This will certainly drive attention towards this important sector in our economy; just like Prince Mohamad bin Salman’s recent visit to the US did, through the meetings he had and the agreements that were mainly signed in Silicon Valley. Additionally, over 1.2 Billion SAR Musharkah fund was created by HRDF, 4 Billion SAR fund was created by SME Commission, $3.5 Billion investment in Uber, $100 Billion fund with Japan’s Softbank to invest in tech companies, and recently 200 Million fund created by MISK. This exemplifies the vision and belief in entrepreneurship.

Another challenge culminates in entrepreneurs being educated on another major pre-seed funding source - family and friends. If entrepreneurs can tap into that source, learn to properly gauge how much money they need and how to equate that to equity given to family and friends, we will ultimately see many more startups emerging.

What are the most important factors that need to be in place for the Kingdom to emerge as an innovation hub? And what would boost the effectiveness of these factors?

Babson Global identifies six components of an entrepreneurship ecosystem: policy, finance, culture, support, human capital, and markets. While the financial

There are multiple initiatives that have been implemented. In 2011 MLSD introduced Nitaqat program to provide employment opportunities for Saudi nationals. It classifies companies into 4 categories based on their industry and percentage of Saudi employees.

Telework program is another program launched 2015 supported by MLSD seeking to create a local and flexible work environment that keeps pace with the developments in the global labor market.

The program is keen on providing the needs of two different yet essential segments in the workforce, who are women and people with disabilities.

Finally, this year a Future Work Program will be launched, that will provide a freelancing platform as well as an ecosystem to prepare job seekers for new digital market requirements of professional certificate and 21st century skills.

What are the main gaps at the various stages of a startup? What can be done to bridge the current gaps? What initiatives are being taken to increase funding and deal flows?

We believe there is sufficient funding available right now 26 Billion SAR in NTP and 20 Billion SAR in other programs. The gaps are in the lack of VCs trust in the local entrepreneur and the inability to reach them. We are trying through 9/10ths accelerator program to make startups more appealing to VCs,

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USEFUL APPS FOR TRANSPORTATION and through the Deal Directory to give startups more exposure, and provide VCs with an easier search and qualification process, plus lowering their risk with Musharkah Fund.

it easier for VCs to find startups to

policies and regulations. Oman, for

9/10ths accelerator, which is a 6 months program, launched first with KAUST in the Eastern province, and we are launching our 2nd accelerator in Riyadh in December.

Access to Bids: helping SMEs have access to government and large corporation RFPS. Access to Market: a complete e commerce solution for homebased businesses, B2C, C2C. Add your own service: it is a market place for services provided to support entrepreneurs.

to get all required papers to start your business; the UAE has developed the financial regulations to support startups such as crowdfunding and bankruptcy laws. We, at 9/10ths, are working on our Business in a Day and crowd funding initiative, trying to regulate it.

example, has developed a single platform in. for Residents in MENA A Round-Up of Taxi-Bookinginvest Apps

What measures have been taken by 9/10ths to foster entrepreneurs? What do entrepreneurs need to develop their skills and networks in order to grow and sustain?

Through interviewing hundreds of entrepreneurs we identified about 100 services. We prioritized them and started launching them gradually. We have launched: • Musharkah Fund which is a fund of funds solution to support the VC ecosystem.

• Deals Directory which is a directory of startups in Saudi Arabia for match making startups to VCs, to make

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•

• • •

What do you believe are the key challenges facing Saudi entrepreneurs today? What are the gaps in the ecosystem that need to be filled?

The first major challenge is the current

The second main challenge is culture change, to accept entrepreneurship, as a way of life, not only jobs created by the government in the public or private. The youth are ready and believe in it, whereas the parents and the society are not.

Finally, having the government and enterprises confidence in SMEs. Government and large enterprises are reluctant access to bids service by 9/10ths is an attempt to tackle this challenge.n

ENTREPRENEURSHIP

USEFUL APPS FOR TRANSPORTATION MAP OF

KSA STARTUP

ECOSYSTEM

ACCELERATOR/INCUBATOR

• Badir Technology Incubator • IKED • PNU Entrepreneurship Center • Afkar • Arabian Entreprises Incubator • Flat6Labs Jeddah • Wadi Makkah Accelerator • InspireU • The Founder Institute • KAUST Entrepreneurship Center • King Salman Digital Media Incubator • 9 tenths

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SUPPORT INSTITUTION

• Oceaniat

CONSULTANCY

• Innovative Business Solutions

FUNDING

• Al Khabeer Capital • AlTayyar Technology • Cedar Bridge Partner • KAUST Innovative Fund • Malaz Capital • Mobily Ventures • MTVC University Venture Fund • Namaa Ventures • Oqal • Qotuf • Siraj Capital • SIRB Angel Investment Network • STC Ventures (Iris Capital) • Al Rajhi International for Investments • Saudi VC Investment Company • Taqnia Capital • Raed Ventures • Kingdom Holding

GOVERNMENTAL INSTITUTIONS

• SAMA • Ministry of Telecom (MCIT) • Ministry of Commerce & Investment • SIDF • SAGIA • KACST • MiSK

HACKERSPACE

• FabLab Dhahran • Brightup Lab • FabLab Qatif • FabLab Jeddah

TRAINING

• Geeks Valley • ElectroAim

COMPETITIONS

• StartSmart Saudi Arabia • MITEF Saudi Arabia

CO-WORKING SPACE

• The Work Hub • Kayan Space

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10 MENA STARTUPS

A Round-Up of Taxi-Booking Apps for Residents in MENA

to Put on Your Radar

By Lynn El Bizri (@lnlne)

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I

n every issue, we bring you a list of startups from the MENA region to keep an eye on. This winter, we have selected a diverse range of startups that include everything from education to food delivery and assistive technology.

Mintrics is a social video analytics tool that provides the science behind video content creation. The tool analyzes data and gives unique metrics, charts and benchmarks that explain how the video is doing, and then gives recommendations on how to improve. Tarek Nasr and Tarek Shalaby, who run a digital creative agency called ThePlanet in Cairo, founded the startup earlier this year after they couldn’t find a tool to measure how their creative video content on Facebook was performing, as Facebook Insights was too basic and did not dig deep into the metrics. Today, Mintrics is the only tool that analyzes compares and benchmarks videos across Facebook and YouTube using users’ tokens and not Facebook's API. To start getting their videos analyzed, users simply login to Facebook through the Mintrics website. The platform then collects all the videos from all the pages that the user manages and automatically provides color-coded metrics for each video, including total views, total read, shareability (how many shares for every 1000 views), engagement and retention.

Once a user selects a video from the list, they are able to view far more detailed metrics, many of which are unique to Mintrics, and access an analysis that informs them how they can do better.

Mintrics currently has three payment plans, each of which comes with a 15-day free trial, and users analyzing up to 10 videos can use Mintrics for free.

Brands and content creators that have used Mintrics to analyze their videos

include the likes of Buzzfeed, GoPro, LG, Disney, AJ+, Facebook, American Idol and several others. Mintrics has been used to analyze over 250,000 videos up to date, and has garnered almost 57 billion views so far. In addition to receiving an undisclosed seed fund in February, and an angel investment in June, Mintrics were also one of 72 applicants, out of 450 total, that were chosen to participate in a fourmonth Swiss program by Boston-based Accelerator program MassChallenge that ended in September.

Country: Egypt Launched: February 2016 Category: Video Analytics

were the first place winner of the ‘Ideas Track’ at the MITEF Arab Startup Competition, winning $15,000. They then went on to win first place at the Seedstars Alexandria competition during the Techne Summit, and closed their first round of investment from A15 in October after which they launched the pilot to 100 users. The investment will enable Tutorama to scale, recruit more tutors and launch the platform in the rest of the MENA region by the end of the year.

While similar platforms exist worldwide, Tutorama currently has no competition in the area apart from the freelance tutoring industry.

Country: Egypt Launched: January 2016 Category: Education

Tutorama is an online marketplace in Egypt connecting parents with top quality tutors. Founded in January, co-founders Mohamad Khodeir and Omar Khashaba have been working on a pilot and officially launched it to a select number of users in October. Born out of the realization that school is often not the complete solution to education, Tutorama is based on personalized education and the belief that children can achieve amazing things if they have the right support system.

Tutorama gives parents access to a database of tutors, all of whom are top academic performers and have undergone technical assessments. Through the platform, parents can schedule and pay for an online or offline tutoring session, and monitor their child’s progress. With a 150LE per hour rate, the platform allows for sessions at home or in public, and the startup charges a commission on each session booked.

Tutorama’s journey has been filled with success. This past April, Tutorama

Skiplino is a free, cloud-based queue management system that allows businesses to handle customer queues at their facilities by monitoring real-time data and staff performance, collecting live customer feedback, and assessing valuable data to speed up processes and improve services.

Skiplino is the first product to be launched

by Level Z, a startup factory founded by Bahraini native Zaman AH Zaman.

The process starts with customers booking their queuing tickets in a company’s location. The app calculates the distance from the location, the traffic inside the service provider, and the average speed of service, before informing the customer when they should arrive. For walk-in customers not using the app, an on-site tablet app is available for customers to book or sign up. In addition, a TV app is used to display the called/booked tickets and information on-site.

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USEFUL APPS FOR TRANSPORTATION In February, Skiplino joined Microsoft’s cloud-based program Bizspark Plus, with the aim of boosting Skiplino’s sales and audience reach. They are currently working on adding 18 languages in addition to Arabic and English and aim to have 5,000 partnering branches in the next three years. While the Skiplino team is not the first to come up with a queuing solution, it is the first of its kind in the region and only costs between $99 and $149 per month for companies compared to the higher rates of other solution providers. They are currently on-boarding 40 service providers from around the globe including banks, telecoms, and government agencies.

translator. Users simply input writing

also especially useful for the instructors

translated live by the application into sign language.

as payment, managing the courses and package are all taken care of.

In addition to the two applications, Mind Rockets Inc. are planning to release a video interpreter in which avatars will appear in the corner of a screen to interpret movies/videos and a free translation website that can translate any language to sign language. Mind Rockets Inc. was selected as the best startup in Jordan at Seedstars in September, winning the chance to attend the Seedstars Summit in Switzerland next year, and reached the 3rd stage in the K-startup Grand Challenge in August along with 40 others out of more than 2,400 startups from around the world.

Today, around twenty coaches are listed on the website, and about a hundred coaches are already waiting to be screened before going public. Although the startup is currently based in Jeddah, it plans to expand both regionally and globally.

There are also plans to add more social features to the app as well as ratings for instructors’ profiles. While SupLift is not the first of its kind, it has no direct competition in the region.

or record their speech, which is then themselves since logistic aspects such A Round-Up of Taxi-Booking Apps for Residents in MENA

Country: Bahrain Launched: January 2016 Category: Cloud-based Management System

Established this year, Mind Rockets Inc. develops assistive technologies for the deaf community using animated avatars that translate real-time speech/ text into sign language. The idea for the startup stemmed from the fact that offline assistive technology models are unable to bridge the persistent information gap, and according to Mind Rocket’s Business Development Executive Malek Zuaiter, there are no companies currently supporting Arabic Sign Language.

The company’s first application, Mimix, was an American Sign Language interpreter and has 32,000 users in the US and Canada, while the Arabic version, Turjaman, was launched mid-August, is available on both Android and iOS and has thousands of downloads on each.

The application can be used by non-deaf people learning sign language, as well as by deaf people themselves, facilitating communication in the absence of a

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Country: Saudi Arabia Launched: 2016 Category: Leisure

Country: Jordan Launched: October 2016 Category: Assistive Technologies

SupLift is a platform that helps people who want to learn new hobbies and leisure skills find local experts to coach and mentor them. SupLift provides access to classes given by local experts that include everything from learning musical instruments and a new sport to foreign languages and art. SupLift was founded

by Saudi entrepreneur Fadi Yahya, who wanted to offer people a chance to learn a leisure activity while making friends in their community.

Myki is a Beirut-based cyber-security startup, founded by Antoine Jebara and Priscilla Sharuk, who developed the first advanced password and online identity manager in the region providing smartphone users with secure access to online services without the need to type in their credentials every time they log into an account. Team administrators can also see when and where team members are accessing online accounts and set custom location, time and IP-based rules.

To get started, users simply need to enter their city, select the skill or hobby they would like to learn and the date of availability. They can also scroll through a list of all currently available classes instead. After selecting an activity, users will have access to a description of the class, the class fee, the number of sessions and persons per class, the curriculum and the available starting dates. SupLift is

To use Myki, a person needs to add their accounts and associated login credentials to the mobile app and install a Google Chrome extension. Whenever the user tries to log into a website or email, the app sends a request to their phone. Once the user validates it, via fingerprint authentication or the provided pin, the app automatically sends the username and password to

the site. Administrators can authorize a variety of services, whether traditional browser logins or complex enterprise software, for login through Myki.

Unlike most identity management solutions in the market, Myki stores data on mobile phones instead of the cloud, meaning hackers cannot crack users’ passwords unless they get hold of their phone, computer and fingerprint.

While the app was offered three years ago in stealth to businesses willing to test and help build it, the company officially launched this September during Disrupt SF 2016 Startup Battlefield, which Myki was selected to participate in. Earlier this year, Myki also received a seed investment from BECO Capital which they plan to use to accelerate product development and take their company to the next level.

Country: Lebanon Launched: September 2016 Category: Cyber-Security

Wing.ae is an on-demand marketplace application that allows customers to book transportation to move parcels of any size across the UAE. The idea for Wing.ae was born after cofounders Muzaffar Karabaev and Sanjar Samiev discovered that there were very few tech solutions in the field of delivery and logistics. Their aim is to use technology to enable carriers to make use of spare capacity, cut down on emissions and increase profitability while providing customers with a reliable service.

To make their order, users use Wing. ae’s website or the mobile application.

After specifying the weight of the parcel, pick-up location, drop-off location and courier type, users can specify the pickup/drop-off time and day, add parcel

details, input sender and recipient contact information as well as view the estimated fee of delivery. Once the order has been accepted, users can track the delivery in real-time and are shown the distance to pick-up and drop-off. Users can also rate a driver and vice versa, which helps optimize inefficiencies in the market and elevates the level of service.

Just a few months in its launch, Wing.ae managed to raise an undisclosed amount of seed-funding from the region’s e-commerce giant Souq.com. Moving forward, Wing. ae aim to improve their order allocation algorithm for couriers and improve their API for merchants/customers. The team is also working on growing their network of courier services and adding new features such as international shipping, COD (cash on delivery), balance management, and promotions.

Country: UAE Launched: 2016 Category: Transportation

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Boxit provides smart solutions for physical storage by connecting consumers with storage facilities and was started

by CEO Premlal Pullisserry in Kuwait.

Pullisserry came up with the idea as an answer to the problem of not wanting to throw away items when faced with modern-day space shortage and physical constrictions.

To order boxes, users use the app/website to select the number of boxes they need.

The boxes are delivered to the user’s location at the scheduled time and date.

The user can name the boxes and take photos of the items on the app, creating a visual catalogue, and when done, schedule a pickup. Users pay KD 3 per box per month, and the boxes are stored in secure partner warehouses. Though there are other self-storage companies in the region, Boxit asserts that its unique selling proposition is enabling customers to manage their things digitally, only pay for the space they use, and utilize the existing infrastructure of warehouses and delivery partners.

This May, the startup raised $600,000 in seed funding, led by Wamda Capital with contributions from Kuwait-based Arzan VC, Dubai-based investor Equitrust and others. Boxit also received almost US $100,000 in angel funding from active angel investor and tech enthusiast Sabah Al Bader. Boxit plan to spend the money on new hires, marketing, and launching new boxes. The startup recently expanded to the UAE market and plan to expand to Saudi Arabia and Egypt next.

Country: Kuwait Launched: March 2015 Category: Storage

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Carriage is a food-delivery service in Kuwait that offers delivery from registered restaurants, many of which don’t usually deliver, with live-tracking of orders. Abdullah Al-Mutawa, owner of The Stack restaurant and founder of Carriage, came up with the business model after he wanted to start offering a delivery service for his restaurant and realized how hassling and expensive it would be to set up.

Cura is a self-funded Saudi-based startup that offers patients ‘e-medical’ services through a smartphone application, allowing them to choose from a list of licensed doctors. Co-founded by Abdullah Alswaha, Wael Kableh, and Mohammad Zekrallah, Alswaha was inspired to create Cura after he found out how difficult it was to book a doctor’s appointment, especially for single complaints not requiring lengthy examinations.

Carriage’s process is straightforward.

Customers select their area, choose from a list of over 50 restaurants, and place their order. The order is then seen instantly by both the restaurant and the nearest available driver, who then heads to the restaurant to pick up the order and deliver it to the client. In the meantime, customers can track their order and view the estimated time of arrival. Customers can pay cash on delivery or online via credit cards, and Carriage earns one KD per order regardless of location or the order size/value.

While Carriage is entering a very competitive market, which includes Carriage’s main competitor, Talabat.com, Carriage is unique in that it acts as a link between restaurants and clients, and takes care of all logistic services. Carriage also does not have a ‘minimum-order’ policy and is one of the fastest food delivery services in Kuwait, with the average delivery taking an average of 45 minutes.

While preparing to launch Carriage in January, the team received a seed capital fund of $1.3 million to kick-start the project, and Kuwaiti investors increased the funding again in May.

Cura is not the only app that offers this type of service, and has several competitors in the Arab world including Altibbi (UAE), Vezeeta (Egypt), Meddy (Qatar), and Tebcare (Gaza). However, Cura differentiates itself in that it offers advanced instant communication between patients and doctors as well as an extensive directory of different medical specialties. For example, with Cura, patients’ consultations are entirely online: users communicate with their doctor via text, voice notes, and video, send images of their medical files and tests through a messaging system and doctors can also set up a clinic appointment with the patient if needed via the platform.

Cura is currently focused on the Saudi market, however plans to expand to the GCC and Egypt in the next three years.

They also plan to add a wider range of medical services covering all aspects of the Saudi healthcare industry and partner with pharmacies/medical labs to digitize their services. While the application is currently free, Cura plans to adopt a subscription-based model that will give members access to an unlimited number of consultations, and incentivize doctors by giving them a percentage of revenues.

Country: Kuwait Launched: May 2016 Category: Food Delivery

Country: Saudi Arabia Launched: 2016 Category: Health