Jahez's Journey: From Food Delivery App to a Thriving Digital Ecosystem

Jahez Saudi Arabia started its journey as a tech company focused on food delivery. But it didn't stop there! The company gradually expanded its business model, transforming into a complete digital ecosystem. Now, it offers a wide variety of services and solutions designed to meet consumer needs and make experiences better for its partners and merchants.

 The Jahez Group describes this change as moving from being a high-tech delivery company to a full ecosystem that includes several companies and brands. They use technology to provide many different services across sectors like restaurants, fashion, sports, and entertainment. All of this is done through one unified digital system and apps built to serve customers in their digital lives.

 The group's big vision is to become the leading brand in Saudi Arabia, offering a complete system of on-demand services. This helps improve customers' lives and empowers their partners, including merchants and restaurants.

Their mission is all about going beyond what partners expect. They do this by offering a smooth experience that focuses on customer needs and desires, always using continuous innovation in technology.

The Jahez platform is the most well-known product within the group. It works through a smartphone app that connects customers with restaurants and delivery drivers, aiming to provide quick, reliable, and efficient delivery services.

But the Jahez ecosystem isn't just the main app. It also includes internal products the group developed to make operations more efficient. These include operating dashboards and the "Prime" subscription service. Prime offers subscribers free delivery from a special selection of merchants who serve different types of customers.

Jahez has also grown beyond the Saudi market. They set up a legal company in Bahrain in December 2021 and started their business operations there in June 2022.

The group also established a legal company in Kuwait in August 2022 and began its business operations there during the second quarter of 2023. They expanded into major areas first, then moved into northern regions, now covering about 90% of Kuwait's population, according to their official website.

As part of its strategy to offer diverse services, the group launched "Blu Store" during the third quarter of 2022. This was a joint venture with Al Hilal Club, with Jahez owning 51% and Al Hilal Club owning 49%.

"Blu" acts as a special platform for selling and marketing sports-related products and services, delivering products to homes within hours. It cleverly combines e-commerce with an on-demand service model.

The platform also lets users access sports products, services, and news, and even buy tickets for some big sports events right through the app.

Jahez also expanded its logistics setup with "Logi," which launched in the third quarter of 2021 as a logistics company fully owned by the group.

Logi helps power the e-commerce and express delivery sector. It provides a fleet of independent Saudi workers and permanent non-Saudi delivery partners. Initially, it served the group's own companies, but it's now expanding to serve the wider e-commerce and logistics sectors.

Logi plays a key role in supporting the group's logistics and operations. It connects customers with merchants and provides the necessary logistics staff, including delivery drivers for the Jahez platform and other platforms.

Logi earns revenue from delivery fees, pre-set pricing based on distance for e-commerce merchants, and annual and monthly subscription fees. They also offer other services like parcel delivery and renting out their workforce.

The group's ecosystem also includes "CO," which focuses on providing commercial kitchens for restaurants that use digital platforms. It also offers cloud shelves and dedicated store facilities for e-commerce platforms.

"CO" gives restaurants cooking spaces and equipment, helping them cut down on rent and utility costs, boost productivity, and support their growth.

Since 2023, the company has also started offering cloud shelf services to its commercial partners, mainly focusing on products like chocolates and cold drinks. The goal is to get these products to customers faster.

So, "CO" brings together cloud kitchens, store facilities, and cloud shelves into one system that serves both restaurants and e-commerce partners.

The group created "Red Color" in the first quarter of 2021 to be its investment arm. Its purpose is to make investments and partnerships that boost the group's overall value.

This investment arm looks for growth opportunities outside of the core business, like investing in or acquiring startups and technologies that can complement Jahez's operations.

The areas they target for investments include logistics, e-commerce, the merchant ecosystem, financial technology (fintech), and ad tech.

"Red Color" also aims to use the group's large customer base, merchants, and delivery partners. It also helps Jahez enter new markets and sectors, reduce costs, and grow faster with less capital.

In January 2023, Jahez acquired Marn Business Information Technology Company, which specializes in providing digital solutions for businesses.

This acquisition strengthened the group's offerings to merchants with various tech solutions, including point-of-sale systems that work seamlessly with service providers and partners.

This deal was worth 60 million Saudi Riyals and was part of the group's plan to acquire companies that help them take advantage of the growing opportunities in digital sectors.

Jahez's ecosystem also includes "Sol," a company that supplies food and beverages to other businesses. It focuses on managing the supply chain for hotels, restaurants, and cafes.

The group bought a stake in "Sol" during 2023. "Sol" uses technology to simplify supply chain operations and improve the service it provides to customers.

Jahez's growth from a food delivery app to a group that includes platforms for delivery, logistics, e-commerce, sports, cloud kitchens, merchant solutions, investment, and supply chains shows a big change in its business model. It moved from relying on just one service to building a digital ecosystem with many different activities.

For this transformation, the group relies on the tech foundation it built in the food delivery sector. Then, it uses that foundation in new areas connected to customer and merchant needs. This supports its vision to become a complete ecosystem for lifestyle and on-demand services.

Jahez's journey clearly shows that for the group, technology is no longer just a tool for delivering food. Instead, it has become the core infrastructure that connects all its different activities, from apps and logistics to e-commerce, merchant solutions, investment, and services for the hospitality sector.