Geidea has come a long way since its beginnings – could you tell us about that growth journey?
The Geidea journey is unique in Saudi Arabia. We see ourselves as an enabler for the business environment – one that reduces time and costs for the small merchant’s operations – makes their customer experience seamless and stronger, and fully leverages the digital, high-tech ecosystem. After launching our first payments solution, it only took four years for us to become the country’s largest fintech provider by market share in the country.
That role has placed a particular responsibility on us as digital innovators and developers for the kingdom’s future as a cashless society. I see this is a tremendously important job; and it is for this reason that we were one of the first companies to obtain a fintech license from the Saudi Arabian Monetary Authority and in 2021 were selected as the only non-bank institution in the kingdom to be granted an acquiring license from SAMA.
Throughout that journey – from startup to the country’s largest fintech company – we have worked incredibly hard to serve our society as a market-maker by bringing new digital payment solutions to the market. Geidea was the first fintech in the region to develop an app-based contactless ‘Soft-POS’ solution, empowering SMEs with a simple way to process customer payments. This particular technology is vital because it allows merchants to accept payments quickly and securely on their mobile phones without the need for a separate payment terminal or connection.
That specific solution includes the traditional PoS (Point of Sale) terminal features, including acceptance of payments from contactless cards, mobile wallets, and wearable devices. We wanted to create a completely holistic SMS ecosystem within one application, so all transactions are settled directly in the Geidea app on the merchant’s mobile phone, and funds are automatically transferred into their existing bank account. We’re currently operating around 700,000 payment terminals across the region with about 150,000 trusted merchants, including regional and international brands, SMEs and ecommerce players.
Can you tell us about the notable partnerships and products that Geidea has rolled out over the last few years?
Strategic partnerships continue to play an exciting role in our development as a business. A great example is our recent partnership deal with Magnati, which has provided us with an in-road to the UAE market where we intend to roll out a full suite of value-added services and payment solutions to UAE-based companies.
Looking ahead, we hope to extend our partnership to provide even more payment services where Geidea is based – in KSA, Egypt and the UAE. Some of our recent and exciting new partnerships include ‘channels by STC’, which is the exclusive sales and distribution arm of STC Group and the National Computer Systems Company (NATCOM), a leading IT infrastructure and software businesses solution provider in the kingdom.
The STC partnership allows us to provide an integrated suite of solutions to the company and their network of retailers, which will enables them to seamlessly manage their stores, accept payments and resell topups and vouchers. Additionally, the partnership with Natcom expands the reach of our SoftPos solution, empowering it to provide its customers with a payments experience that is transformational and innovative. solutions in the kingdom.
Where do you hope to take the company in the next five – ten years?
The digital economy is an incredible enabler of financial inclusion and economic activity. As a trusted partner, I understand that we have a unique role in accelerating the digital economy, particularly in widening access to business fintech tools critical to economic growth and social mobility.
As an example, ecommerce is growing at such a proliferating rate that consumers are shopping through mobiles, laptops and more. Our aim is therefore to level the playing field and create opportunities for merchants to connect with consumers from all around the world.
It’s a bold vision that requires us to leverage all possible digital assets and technologies to become part of the merchant’s retailing strategy.
This is vital, as I believe the distinction between ‘online’ and ‘offline’ will disappear soon, as all transactions will be conducted digitally in some capacity. Additionally, I believe we will continue to expand our services across more markets – as we have done recently in Egypt and the UAE.
Payments is a fast-moving, dynamic landscape – how is the industry adapting to business needs?
Looking ahead, the future of investment rests on the quality of innovation in the fintech sector – quality is essential. Our fintech success in Saudi and the wider region does not lie in ‘me-too’ solutions. We need to pivot towards the power of artificial intelligence and analytics to explore new concepts and take advantage of the digital economy.
I am pleased to say that the Saudi government ‘gets it’ when it comes to the importance of building the digital economy, and it is working at pace to support the development of the fintech industry in the kingdom. Investment in financial technology in the region comes not only from the private sector but from government investment funds, so there is a healthy and diverse ecosystem of capital and interest.
I know that businesses need the ability to facilitate trade seamlessly across multiple commercial platforms. They need to be able to transact in real-time, safely and securely across borders. That means that as a payment solutions developer, we need to give business owners confidence in security, which means collaborating across the ecosystem to allow merchants to use our latest innovations with confidence.