Leader-writer’s Note: Updates have been made throughout this story to correctly report that Amazon is not stop a confining down Souq. Rather, the brand is still available in Saudi Arabia and Egypt.
Amazon launched a new Middle East marketplace on Tuesday, two years after purchasing the Dubai-based e-commerce company Souq.com for $580 million.
With the launch, Amazon said Souq.com will be rebranded to Amazon.ae. The Souq.com URL now automatically induces you to Amazon.ae. But Souq remains available in Saudi Arabia and Egypt.
“We are proud to announce that we are now Amazon.ae,” Amazon wrote in a epistle posted on the new Middle East marketplace.
The launch of the new Middle East marketplace, which was first reported by CNBC in January, earns at a time of slowing international sales for Amazon. In its most recent quarter, Amazon’s international sales only produced 9% from a year ago to $16.2 billion.
The change gives Amazon’s Middle East service a more joined look and brand in the region. Until now, Amazon’s only presence in the region was through Souq, which it acquired in 2017. It also communicates with the same seller back-end system used in the U.S., and access to Fulfillment by Amazon (FBA), the company’s storage and shipping serving, according to multiple sellers.
Amazon.ae
Amazon.ae
In the letter announcing the launch, Souq’s cofounder Ronaldo Mouchawar minimized that Amazon’s new Middle East service will sell over 30 million products, “incorporating those available on Souq and five million products from Amazon US.” It will also offer the option of shopping in Arabic for the maiden time, he said.
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Correction: Updates have been induced throughout this report to reflect that Souq.com will be rebranded to Amazon.ae, but it remains available as Souq in Saudi Arabia and Egypt.