Mrsool’s Journey from eCommerce to Super App Contender

MrSool’s Genesis and Vision 

MrSool was founded in 2015 by Ayman Alsanad (CEO) and Naif Al-Samri (COO), who were driven by a vision to integrate the convenience of modern e-commerce with the interactive and personalized shopping experience of traditional Saudi markets. The name “MrSool” is derived from the Arabic word “Rasl,” which means “to send.” In the cultural context of Saudi Arabia, this term carries significant weight, resonating deeply with the idea of delivery and messaging, roles traditionally held in high regard as they connect people and goods across distances. 

The vision behind MrSool was to create a platform that would go beyond the simple transactional nature of conventional delivery apps. Alsanad and Al-Samri envisioned a service that would embody the spirit of the souk, where bargaining and personal interaction are key elements of the shopping experience. They aimed to replicate this dynamic online, offering a more engaging and flexible approach to e-commerce. This vision was grounded in a deep understanding of local consumer behavior, where buyers value the opportunity to negotiate, adding a personal touch to their transactions.

Pictured: Ayman Alsanad, CEO of MrSool

What Sets MrSool Apart

MrSool’s technology integrates various traditional elements with innovative technology, offering a service that feels both familiar and novel to its users. Through Mrsool’s chat-based ordering system, unlike conventional apps where users select items through a sterile, impersonal interface, Mrsool allows customers to negotiate and interact directly with couriers via text, voice notes, or photos. This system mirrors the lively, interactive nature of traditional market shopping, making the digital experience uniquely engaging.

The app’s bidding system allows customers to receive various delivery quotes from couriers, choosing the one that best suits their budget, much like haggling in a souk. This feature not only empowers consumers but also encourages competitive pricing and service among couriers, enhancing overall customer satisfaction.

Users can order almost anything—from food and groceries to unexpected needs like gasoline on a highway. This flexibility has significantly broadened MrSool’s appeal across diverse demographics.

The app’s design encourages active participation from both customers and couriers, making each delivery a personalized and interactive experience.

This approach has helped set MrSool apart from its competitors and cement its position as a culturally attuned service provider in the Kingdom and the wider region.

MrSool’s growth and milestones

Since its inception in 2015, MrSool has grown exponentially. By 2019, the platform boasted 4 million registered users. This number more than doubled over the next three years, reaching 10 million by 2022, indicative of a compound annual growth rate (CAGR) of approximately 26%. This rapid growth has been supported by an expanding network of over 800,000 couriers (up from 150,000 couriers in 2019), facilitating a diverse array of deliveries across multiple cities.

In 2019, MrSool achieved a significant milestone by securing its first influx of external capital through a multimillion dollar Series A funding round. This round was spearheaded by Saudi Technology Ventures (STV), with additional participation from RAED Ventures and Saudi angel investor Mazen Al Jubeir. This pivotal investment underscored MrSool’s emergence as a leading player in the on-demand delivery market in Saudi Arabia. The funds from this round were earmarked to bolster the company’s expansion efforts both within Saudi Arabia and across the broader MENA region, which included a strategic foray into the Egyptian market in mid-2019.

Egypt’s substantial population, robust demand for delivery services, and a government that not only encourages but incentivizes tech startups made it an ideal setting for growth. By 2022, MrSool had solidly established itself in Egypt, amassing a customer base of 1.6 million. This strategic move not only broadened MrSool’s geographical reach but also positioned the company for potential future expansion into Africa.

The company attracted further investment in a subsequent Series A round in 2021 from Endeavor Catalyst to further accelerate MrSool’s expansion plans within Saudi Arabia and into the wider MENA region. In addition to geographic expansion, MrSool is continually innovating its product and service offerings to enhance user engagement and satisfaction. A recent notable initiative in this direction was the launch of co-branded credit and debit cards in February 2023, in collaboration with meem, the retail banking arm of Gulf International Bank. This partnership aligns with Saudi Arabia’s Vision 2030 goals of digital transformation and financial inclusion. The co-branded cards are designed to integrate seamlessly with the growing digital lifestyles of Saudis, offering the ability to earn points on transactions that can be redeemed on MrSool’s e-wallet, thus enhancing customer loyalty and engagement.

MrSool’s road to IPO

As MrSool continues to capitalize on the on-demand delivery market, including meal and grocery delivery segments in its operational territories—Saudi Arabia, Egypt, and Bahrain—the company is proactively planning expansions and enhancements to secure its position as a market leader before its anticipated Initial Public Offering (IPO).

MrSool’s strategic expansion plans are aimed not only at deepening its presence in existing markets but also at extending its reach. The company is eyeing development in neighboring GCC countries such as Kuwait, Qatar, and Oman. These markets present significant opportunities due to their economic stability and high consumer spending power. Furthermore, MrSool is exploring avenues for expansion into Africa from its established base in Egypt, aiming to tap into the burgeoning demand for delivery services across the continent.

Recognizing that scale is critical for technology-based businesses, MrSool is focused not only on geographic expansion but also on broadening its service offerings. Plans are underway to introduce new features to its app to enhance user experience and convenience. This includes integrating innovative payment options to meet evolving consumer preferences and keeping pace with technological advancements in financial transactions, such as its recent partnership with meem. These enhancements are designed to cater to both individual users and business customers, ensuring that MrSool remains at the forefront of the delivery service industry.

Looking forward, MrSool is laying the groundwork for a prospective public offering in the coming years, reflecting the company’s confidence in its growth trajectory and capability to attract significant investor interest. 

This prospective IPO is poised to be a significant milestone in MrSool’s history and is highly anticipated in the Kingdom, positioning it alongside landmark public listings like Jahez. The IPO is expected to not only spotlight MrSool as a pivotal player in the tech and delivery sectors but also to reinforce Saudi Arabia’s reputation as a burgeoning hub for innovative enterprises.

 

Next Read: The Future of Food Delivery in Saudi Arabia: A Transformative Market on the Rise

Read more in the Special Report, ‘The Future of Food Delivery in Saudi Arabia’.