Speero, founded in 2017 by Abdullah bin Shamlan, Ameen Mahfouz, and Abdulaziz Al Ashram, is transforming the automotive after-sales market in Saudi Arabia with its digital platform.
Originally operating under the name Autotash and using WhatsApp for transactions, Speero rebranded to better reflect its comprehensive service offerings. The company targets the fragmented spare parts industry, which is projected to grow to $9.8 billion by next year.
Business Model
Core Services:
- Integrated Platform: Speero connects customers with spare parts, repair services, and insurance providers through a single platform.
- 24-Hour Delivery: The platform ensures quick delivery of vehicle components for leading brands, improving efficiency and convenience for customers.
- Partnership Network: Collaborates with service centers, parts providers, and insurance companies to streamline the automotive after-sales process.
Key Features:
- Efficient Supply Chain: Enhances supply chain efficiency by linking various stakeholders in the automotive ecosystem.
- Customer Convenience: Simplifies the purchasing process for vehicle components, offering a streamlined user experience.
Early Growth Strategies
1. Self-Funding and Initial Investments:
- Grassroots Support: Started as a self-funded initiative with financial backing from the founders and employees.
- Foundation for Growth: This initial funding supported the company’s early development before seeking external investments.
2. Strategic Partnerships:
- Extensive Network: Built a network of over 1,000 partners, including car repair workshops and insurance companies.
- Market Reach: These partnerships are crucial for expanding service offerings and market reach.
3. Investment Rounds:
- Pre-Series A Funding: Raised $1.8 million in July 2021, bringing total funding to nearly $3 million.
- Expansion Plans: Capital is used to strengthen operations in Saudi Arabia and prepare for entry into the UAE market, with further investment sought for growth.
4. Focus on Technology and Innovation:
- Continuous Learning: Emphasizes technology and innovation to enhance the customer journey and service delivery.
- Efficient Operations: Integrated technology for efficient order processing and customer engagement.
5. Market Positioning and Expansion Plans:
- Strong Presence: Over 500,000 app downloads in Saudi Arabia.
- Expansion Strategy: Plans to expand into the UAE and other GCC markets, leveraging insights from initial operations.
Conclusion
Speero’s innovative digital approach and strategic initiatives position it well for capturing a significant share of the growing automotive parts market in the region. The company’s focus on partnerships, technology, and securing necessary funding supports its ambitious growth plans and regional expansion.