Cairo, Egypt – November 27, 2024: Paymob, the leading financial services enabler in the MENA region, and Homzmart, Egypt’s premier e-commerce platform for furniture, have signed a Memorandum of Understanding (MOU) to strengthen their strategic partnership. The collaboration aims to accelerate the digital transformation of Egypt’s furniture retail sector and explore regional expansion opportunities in the UAE, Oman, and Saudi Arabia.
Since their partnership began in 2021, the two companies have been instrumental in modernizing Egypt’s furniture market, achieving a remarkable 29% year-on-year increase in digital payment volumes in the first half of 2024. By seamlessly integrating Paymob’s advanced digital payment solutions into Homzmart’s platform, merchants have been able to access multiple payment methods, expanding their customer base and driving sales growth.
The renewed partnership, formalized through the MOU, focuses on equipping furniture merchants with innovative payment solutions to enhance customer experiences and boost sales. It also lays the foundation for regional expansion across the GCC, combining Homzmart’s leadership as an online furniture marketplace with Paymob’s secure, state-of-the-art payment technology. This collaboration aligns with both companies’ shared vision of fostering e-commerce innovations and supporting local manufacturers while tapping into the region’s growing digital economy.
Driving Digital Payments Adoption in Furniture Retail
Despite advancements in digital payments, Egypt’s furniture sector remains predominantly offline, with 70% of transactions still conducted in cash. This partnership seeks to bridge that gap by empowering merchants to adopt flexible payment options like Buy Now, Pay Later (BNPL) and consumer financing solutions, meeting growing consumer demand for convenience.
Gillan Shaaban, Chief Commercial Officer of Paymob, emphasized the significance of the partnership:
“This MOU marks an exciting new chapter in our collaboration with Homzmart as we advance the digitization of Egypt’s furniture sector. By transitioning from cash-based transactions to digital payments, merchants can unlock new growth opportunities while enhancing customer satisfaction. This partnership also paves the way for regional expansion, setting the stage for cross-border success.”
Revolutionizing Furniture Shopping Through E-commerce
Homzmart’s innovative approach to furniture retail has transformed the shopping experience in Egypt, offering customers a seamless digital platform to browse and purchase quality furniture from the comfort of their homes.
Mohamed Shalaby, Chief Commercial Officer of Homzmart, highlighted the company’s vision:
“Homzmart is committed to creating an inclusive, user-friendly platform that combines quality, convenience, and accessibility. By leveraging digital solutions, we are revolutionizing the furniture shopping experience and setting new benchmarks for the industry across the region.”
Unlocking Market Potential
Market data underscores the untapped potential of Egypt’s furniture sector. As consumer preferences shift toward online shopping, the integration of digital payments and e-commerce platforms is poised to drive significant growth. Egypt’s BNPL market, for instance, is projected to grow by 39% in 2024, reaching $1.26 billion. This figure is expected to triple to $3.96 billion by 2029, growing at a CAGR of 25.8%.
The expanded partnership between Paymob and Homzmart positions merchants to capitalize on this burgeoning demand, empowering them to gain market share and foster sustainable growth. As the collaboration extends its reach across the GCC, it marks a significant step toward the digital transformation of furniture retail in the region.