The new building has five floors and over 350,000 square feet of space, with 2.1 million cubic feet of storage capacity. It houses over three kilometres of conveyance equipment and our cutting-edge operational technology and procedures. “We are excited to announce our latest Fulfilment Center in the UAE as customers mark the Holy month of Ramadan and begin preparations for Eid,” adds Prashant Saran, Director of Operations for Amazon MENA. “We call our warehouses’ Fulfilment Centres’ because the entire process is fulfilled from start to finish—inventory comes in from sellers and is shipped out directly to customers. In these buildings, the latest Amazon technology and employees come together to raise the bar of customer experience, ensuring fast, reliable, and convenient delivery.”
This investment will increase their overall storage capacity by 70%, allowing them to keep millions of items and provide clients with more options. With access to Amazon’s top-notch logistical know-how and shipping technology, thousands of small and medium-sized enterprises in the UAE will be able to expand their online operations and their companies thanks to the company’s increased capacity.
Additionally, as the UAE’s digital economy continues to expand, the range of roles, training, upskilling, and mentorship programmes offered to employees at the Fulfilment Centre will help them develop skill sets applicable across the industry. Prashant continues, “We believe that our investments will assist in accelerating the expansion of the UAE’s e-commerce sector by sharing best-in-class expertise and best practices.”
Amazon is renowned for continuously innovating on behalf of its customers to guarantee a quick, simple, and dependable buying experience. Although a large portion of the technology in the Fulfilment Centres is invisible, it nonetheless constitutes the foundation of their operations. “We use machine learning and artificial intelligence to define where products are and how they should most efficiently move from point A to point B,” adds Prashant.
Complex algorithms map the route of a package in the most efficient way possible – from when it enters the Fulfilment Centre to when it arrives at a customer’s doorstep. With the help of innovative technology, Amazon constantly raises the bar on both safety of employees, as well as the speed and quality for the customer.
The way they organise the inventory is one of the things that makes Amazon Fulfilment Centres innovative and savvy. At this fulfilment centre, all the stock is arranged randomly. Prashant emphasised, “Our systems know where every item is situated and optimises the picking order to make the process as efficient as possible, even though the randomness may appear chaotic to an observer.” The optimum path is given to staff using sophisticated algorithms and optimised to minimise walking throughout the facility. Technology also drives the entire pack process, enabling internal quality control processes. The company’s box suite technology suggests the ideal box size to guarantee item protection and environmentally friendly practices. As a result, they may use less packing and fit more products per van. Moreover, routing technologies enable them to employ fewer cars on the road by reducing the number of empty kilometres they cover.
Additionally, during the holy month of Ramadan, the gifting tradition plays a vital role. “We are constantly inventing on behalf of customers to meet their desire for lower prices, better selection, and convenient services. Our Fulfilment network plays an integral role in supporting demand, especially during peak customer occasions such as Ramadan and Eid,” adds Prashant. With 2.1 million cubic feet of storage space, or more than 22 Olympic-sized swimming pools, the new Fulfilment Centre can house millions of products. Thanks to the new facility’s additional capacity, they can provide customers with an even more extensive range of products during the bustling Ramadan season.
The ‘unattended delivery’ option is also being expanded for consumers this Ramadan. This allows customers to securely deliver packages to a desired location, such as a front door, security desk, or reception and includes notification features like a photo on delivery. “This service offers a frictionless delivery experience and significantly expands our flexible delivery alternatives for busy UAE consumers.”
As Amazon’s network expands, they continue to offer chances for business owners and SMBs in the logistics and delivery industry in the United Arab Emirates to take advantage of their infrastructure, technology, and training to build their companies as Delivery Service Partners (DSPs).
Now, the Amazon network in the region consists of 65 owned and third-party delivery stations spread across the UAE, Saudi Arabia, and Egypt, more than 13 Fulfilment Centres, 720 external fulfilment nodes, and more. According to Prashant, “Building our DSP network will help us to continue to reach more locations and remote areas as we continue to grow. Furthermore, thanks to Amazon’s operations network in the UAE, fuelled by cutting-edge technology, optimised transportation services, devoted staff, and partners, fast, free delivery of Ramadan and Eid orders is made possible.”
When Prashant was questioned about how the new facility will help SMEs, he emphasised that every time a new Fulfilment Centre opens, it has a transformative effect on the host city’s economy. It was launched and immediately impacted talent development, e-commerce sales growth, and entrepreneurship acceleration.
By utilising Amazon’s unique fulfilment network and global technologies to store, pick, pack, and ship customer orders, entrepreneurs and independent sellers may reach online customers through the Fulfilment by Amazon (FBA) model. Most of the thousands of merchants on Amazon.ae who sell things on the website are small and medium-sized businesses (SMBs). “Many SMBs ventured into e-commerce for the first time using our simple and convenient process to start selling online, access to listing tools, safe payment processing, promotional features and customer service.”
While the UAE had announced 2023 as the ‘Year of Sustainability’, Amazon MENA also follows The Climate Pledge – a vision to be net zero carbon across all their businesses by 2040. “In MENA, we are implementing carbon reduction practises across all facets of our business, with a focus on three key pillars: building energy-efficient infrastructure powered by renewable energy; transforming our transportation network with new technology, electric vehicles, alternative fuels, and delivery methods; and reducing packaging waste through collaboration and innovation.”
Correspondingly, the UAE Government is making substantial efforts to speed up the nation’s transition to a digitally enhanced and diversified economy, opening up many prospects for the e-commerce industry. According to market research, e-commerce is expanding quickly throughout the MENA region, with the UAE taking the lead. A 2022 Dubai Chamber of Commerce analysis predicts that the UAE’s e-commerce business will grow from US$4.8 billion in 2021 to US$9.2 billion by 2026. The adoption of e-commerce is accelerating, and e-commerce logistics must quickly keep up with last-mile delivery and fulfilment.
“Technology is the key to achieving a seamless customer experience. Services like real-time order tracking and flexible delivery options can be achieved through advanced digital tools,” exclaims Prashant. From the moment an item reaches a fulfilment centre until it arrives at a customer’s doorstep, advanced algorithms at Amazon plot the product’s itinerary most effectively. They employ technology to speed up delivery times, guide drivers on delivery routes, and maximise efficiency on the road. “We continue to innovate on behalf of our customers to ensure a fast, safe and convenient shopping experience as we expand our footprint across the region,” concludes Prashant.