Saudi Fintech Industry Is MENA’s Leading Hub

Saudi Arabia’s fintech industry has witnessed growth and innovation after Kingdom’s central Bank – Saudi Arabian Monetary Authority (SAMA) – along with the Saudi Capital Markets Authority (CMA), begun the country’s fintech growth journey by launching Fintech Saudi, an initiative aimed at cementing the Kingdom’s position as the leading fintech hub in the MENA (Middle East and North Africa) region in 2018.

Since then, Fintech Saudi has made all efforts to boost, support, and represent the industry through initiatives such as its Accelerator program, Career Fair, Fintech Tour among others.

Since the launch of Fintech Saudi, there has been a 20-fold increase in the number of fintechs operating in the kingdom. More than $1 billion has been invested into fintech companies engaging over 100,000 people in fintech-related activities.

Joining the Kingdom’s efforts, Thriwe Consulting Private Limited, a leading technology-driven B2B benefits, rewards and loyalty platform, has been playing an active role in developing the country’s fintech system.

In an exclusive interview with Global Business Magazine, Sachin Sharma, Group COO & KSA Country Manager, explains the latest developments taking place in Saudi fintech landscape, the opportunities and challenges in the sector, his company’s business model and the new products launched. Excerpts:

What is your business model for Thriwe’s growing network across the world?

Thriwe Consulting Private Limited is a leading technology-driven B2B benefits, rewards and loyalty platform. Thriwe’s business model revolves around two key growth drivers: geographical expansion and product diversification.

Geographically, Thriwe has extended its reach from India to Southeast Asia, the UAE, and now Saudi Arabia, where consumer behaviour, particularly in credit spending, has shown considerable potential.

This strategic expansion allows Thriwe to tap into diverse markets and consumer bases. Saudi Arabia, in particular, offers substantial avenues for fintech to flourish, aligning perfectly with the Kingdom’s Vision 2030.

Saudi Arabia’s Vision 2030 roadmap is built on the pillars of a vibrant society, thriving economy, and an ambitious nation that aims to foster a content and fulfilled society as the foundation for economic prosperity.

The key objectives include increasing life expectancy, raising the Social Capital Index ranking, boosting cultural and entertainment spending, and enhancing public services through digitization. Thriwe aligns with Vision 2030 by playing a crucial role by offerings businesses like banks and fintech-driven organisations the platform to jumpstart their digital transformation journey and acquire, retain and engage customers like never before.

In terms of product expansion, Thriwe started with golf as a core benefit and has since broadened its offerings to include travel, dining, digital services like over-the-top (OTT) platforms, and more. This diversified portfolio caters to various client needs, enhancing Thriwe’s appeal and market penetration.

What are the latest developments taking place in Saudi Arabia’s fintech sector and what role your company is playing in achieving the desired objectives of the Kingdom?

Saudi Arabia’s fintech sector has witnessed a significant transformation under Vision 2030, with a primary focus on digital revolution. We are dedicated to support this vision by providing customised benefits and reward offers tailored to the digital transformation needs of major banks, fintech firms, and insurance companies in the region.

Our role involves partnering with these institutions to enhance their digital capabilities and help them differentiate their products from others in the market as well as enhance the experiences of their customers.

Recently, several traditional banks have obtained digital licenses, presenting exciting opportunities for collaboration and Thriwe is actively engaging with these banks to explore innovative digital solutions that align with the Kingdom’s fintech aspirations.

By providing a unified digital experience we aim to help businesses engage and retain customers to maximize their growth, our company is well-positioned to support and contribute to Saudi Arabia’s fintech evolution.

What are the opportunities and challenges for the Saudi fintech sector and what are its strengths and weaknesses?

The Saudi fintech sector presents numerous opportunities, primarily driven by a strong commitment from the government to digitalization, including the digitization of national IDs, authentication processes, and the availability of public application programming interfaces. Significant fund allocation towards artificial intelligence and its adoption further strengthens the sector’s potential.

However, while not a challenge per se, understanding local consumer behaviour and cultural adoption is crucial. Successfully integrating the unique cultural and societal nuances of Saudi Arabia is essential for the early and effective adoption.

Strengths of the sector include robust governmental support and a significant level of investment in technology and infrastructure.

Tell us about your new products and how have you achieved localisation?

Thriwe has crafted an approach to localisation in Saudi Arabia to cater to the unique needs and preferences of the local market. We have established a significant network of partnerships over the last six months, creating a comprehensive ecosystem of services.

Our current offerings include, inter-alia, gym and health services, bespoke travel services, retail experiences, dining options, OTT services, ride-hailing, and QR code-based valet parking. We are also planning to introduce premium Umrah experiences, tailored to the cultural and religious practices in Saudi Arabia.

One of our key innovations is the QR Acquisition Program, which enables Saudi banks to seamlessly acquire new customers through benefits and rewards integrated with QR code technology. This program simplifies the user acquisition process, enhancing the user experience and accelerating the acquisition timeline for banks.

Additionally, our valet parking service, powered by a proprietary tech platform, aggregates multiple vendors to provide a seamless parking experience in premium locations. We also offer exclusive access to beach clubs and fitness centres, along with personalized travel services like meet and assist and airport transfers, aiming at providing a luxurious and convenient experience for our users.

By establishing multiple point of sales, Thriwe has created a unique customer acquisition ecosystem that ensures accessibility and convenience. This strategic localization effort reflects our commitment to provide tailored, high-quality services that resonate with the Saudi population, reinforcing our position as a leader in the B2B consumer benefits marketplace.

After launching in India more than a decade ago, you have been expanding your global reach in the GCC region. Are there any plans to expand further towards Europe and the UK?

Our expansion strategy is primarily driven by geographical growth. Having established a significant presence in Southeast Asia and the Gulf Cooperation Council (GCC) region, our inventory of benefits is global, allowing users to enjoy our services across various countries.

We have successfully expanded from India to Southeast Asia, the UAE, and now to Saudi Arabia. While geographical expansion remains one of the key drivers of our growth, we plan on continuing our focus on growing our footprint within the GCC region.

This planned growth aligns with our vision of providing a global network of benefits, ensuring that our clients can access and enjoy our services irrespective of their location. As we continue to expand our footprint, our goal is to offer seamless and consistent experiences across different regions.