Egypt-based auto tech startup Oddigo vrooms into UAE, eyes further expansion into GCC | MENA startups, innovation, and tech news


Egypt-based auto tech startup Oddigo vrooms into UAE, eyes further expansion  into GCC

Egypt-based auto tech startup Oddigo vrooms into UAE, eyes further expansion into GCC

The automotive parts and accessories manufacturing market are worth $61 billion (AED 224 billion) in the Middle East and Africa, offering the right opportunity for the automotive tech app Oddigo.

About Oddigo

Launched towards the end of 2019 by Ahmed Nasser and Ahmed Omar, Egyptian startup Oddigo is a digital marketplace where customers are linked with vendors in order to purchase car parts and accessories as well as to avail quality car service. Oddigo is run by a talented global team that was alums of some of the biggest companies in the world, including Hyundai, FIFA, Mckinsey, Deloitte, Reckitt Benckiser, EY, and Jumia. Earlier this year, it raised a seed round of US $600,000 from Essa Al-Saleh, ex-CEO of Agility Logistics and current CEO of Volta Trucks, a UK-based tech auto manufacturing company.

How Oddigo caters to the market need

It has always been difficult and time-consuming for car owners to take care of their cars. People spend hours looking for the right car part or a trusted service provider to fix their cars. Oddigo’s goal is to provide ‘care service in minutes’ and is therefore focused on being the first choice of customers.

The company explicitly looks at autonomous software, fleet telematics, driving data, and vehicle-to-vehicle communication to enable customers to find the best quality car parts at the lowest possible prices. Customers get access to quick, easy, and affordable service by simply adding their car information and location on the Oddigo app and checking what services and parts are available in their area. It is a one-stop shop for every car-related thing.

The business model

Suppliers are charged a transaction fee (Oddigo makes a 15 percent commission) on every order that they receive through this platform. This works for the suppliers or car service providers as it helps them to increase their sales and reach out to more customers effectively. In return, suppliers are provided with a 24/7 branch covering all of the country of operation without any marketing expenses.

Expands to Dubai, rest of GCC to follow

After success in Egypt and Saudi Arabia, the startup made its way to the UAE market starting with Dubai and plans to further expand to Kuwait, Bahrain, Omar, and Qatar. Oddigo launched into UAE with not only its existing platform but with a new piece of technology, a deep-tech dashboard product that is going to modify car repairs and maintenance.

This new innovative Deep-Tech Dashboard Software will connect the vehicle to the marketplace and the vehicle’s condition will be frequently updated so that the user can be informed if the oil needs changing, the tires are low, or if a service is required. Their prime focus is the GCC now as it is still a huge untapped market. Eventually, they will expand within Africa and North Africa, before becoming a global player.

Positive blow of the pandemic

The pandemic had a very positive impact on Oddigo as people were, unfortunately, unable to purchase car parts from the store or directly from a car garage which was closed due to global lockdowns. So, for the first time ever people started looking for online alternatives and that led them to a safe marketplace where all their care needs were met without having to leave their homes.

It was during the first lockdown of the pandemic that the company witnessed its highest day ever in terms of sales and the number doubled in four days. They were quick enough to handle the huge unexpected growth and were smooth with the operations. There is a huge price difference between expensive authorized services and parts sellers, and the street shops and both are hectic at the same time. Oddigo is here to offer convenience and a middle way. We expect to see Oddigo make a huge impact on the UAE market and take the convenience experience to a global scale in the years to come. Finding a car part has never been so straightforward, right?

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