Grace Ashiru
The global re-commerce sector is on the brink of expansion, with more consumers opting for secondhand products to save money and support sustainable consumption. As the worldwide re-commerce market continues to grow, platforms like Soum from Saudi Arabia aim to attract users across the Middle East and North Africa (MENA) region.
Established in 2021 in the Kingdom of Saudi Arabia, Soum is now gearing up for expansion into other MENA nations, with its initial focus on the United Arab Emirates. These expansion plans have been fueled by a recent injection of $18 million in Series A funding.
The latest funding round was spearheaded by Saudi’s Jahez Group, with involvement from Isometry Capital based in New York and continued support from existing investors Khwarizmi Ventures, AlRajhi Partners, and Outliers Venture Capital. This funding round comes on the heels of a successful $4 million seed funding round in 2021.
In addition to expanding its reach, the startup, known for its primary focus on electronics, is diversifying its product categories to include items such as automobiles and collectibles.
Fahad Al Hassan, one of the co-founders of Soum, shared, “We are actively broadening our presence across various regions, with a keen eye on the entire MENA region. Furthermore, we have initiated testing in new product categories, aligning with our vision of becoming a comprehensive platform where you can buy and sell a wide range of items, from phones to automobiles.”
“We aim to simplify and democratize the buying and selling process,” stated Al Hassan, a former consultant at PwC and strategy manager at Saudi’s interior transformation ministry.
Abdulaziz Alhouti, the Chief Investment Officer of Jahez Group, the parent company of Jahez, the Saudi food delivery platform that went public in 2021, shared his thoughts on the matter with TechCrunch: “The secondhand market has traditionally been dominated by classifieds, which have served their purpose well. However, as we advance in the digital era, there is a growing need for a more convenient, frictionless, sustainable, and trust-building solution. This is precisely what Soum brings to the forefront.”
