Amazon (AMZN, $112.44) is getting set to deliver after announcing plans to open its largest delivery station in Abu Dhabi in a bid to scale up operations. The 4,700-square-metre centre is the company’s second-largest in the UAE; it provides same-day and one-day delivery services to its customers in Abu Dhabi. The opening comes right on time for the retailer’s famed Prime Day event set to take place in July.
The new delivery station creates opportunities for hundreds of full and part-time employees in a range of jobs with all kinds of experience, education, background, and skills. In addition, all employees are also eligible for training programs that will upskill UAE talent in the future-facing e-commerce sector.
The launch of the new facility follows Amazon’s announcement with the Abu Dhabi Investment Office (ADIO) in November last year, detailing the opening of its most technologically advanced Fulfillment Centre in the region that will be opening its doors in the capital in 2023. Amazon is the largest e-commerce player in the UAE, with net sales of about $500m in 2021, data from reports indicate. Namshi, the e-commerce unit of Dubai’s Emaar Malls, was second with $249m, while Noon, the portal backed by Emaar founder Mohamed Alabbar and Saudi Arabia’s Public Investment Fund, was next with $169m.
why it matters
The UAE presents a big opportunity for Amazon especially with the country's e-commerce sector forecast to grow 60 per cent to more than $8 billion by 2025, from 2021, and as consumers across the region continue to shift towards online retail it presents a prime opportunity for Bezos & Co.