HungerStation CEO: Quick-commerce company doubles

HungerStation CEO Ali Aldamanhori states Saudi Arabia’s food shipment market continues to grow highly.

HungerStation has actually surpassed the Saudi food shipment market’s development rate in the previous duration and its market share has actually reached its greatest level in 5 years, stated CEO Ali Aldamanhori.

Speaking with Argaam on the sidelines of the cash 20/20 Middle East conference in Riyadh, Aldamanhori stated the business’s quick-commerce company, that includes supermarket and drug stores, is presently growing by more than 100% year-on-year (YoY).

He kept in mind that Saudi Arabia’s food shipment market continues to grow highly, with orders increasing 30.5% YoY in Q2 2026, pointing out information from the Transport General Authority (TGA).

Saudi Arabia’s food shipment market still has considerable space for development in spite of magnifying competitors, he stated, keeping in mind that shipment app usage amongst the target population stays lower than in some industrialized markets in the sector.

In regards to market penetration, the CEO explained that the month-to-month usage of shipment apps in South Korea, among the sector’s more industrialized markets, surpasses 60% of the target population, while the rate in Saudi Arabia stays listed below that level, showing additional space to broaden app adoption and drive development.

The Saudi market has development capacity by increasing consumer engagement and month-to-month order frequency, he stated, keeping in mind a space in orders per client in between Saudi Arabia and Gulf markets such as Kuwait.

Aldamanhori anticipates greater app penetration and increased regular monthly order frequency will make it possible for Saudi Arabia’s food shipment market to grow twofold or threefold over the next 3 years.

On geographical circulation, he stated Riyadh is presently the business’s biggest market, followed by the Western and Eastern Regions. HungerStation runs in around 100 cities throughout the Kingdom and continues to broaden into extra cities and areas.

He stated that development rates in cities and governorates outside the 3 primary areas substantially surpass those in the core markets, reaching 2 to 3 times the development rate taped in the significant cities.

On brand-new rivals going into the marketplace, Aldamanhori stated increased competitors adds to market growth and speeds up development, in spite of posturing a difficulty to business running in the sector. He stressed that HungerStation has actually continued to increase its market share in line with market development.

The business’s technique is fixated 3 essential elements: broadening choices for consumers throughout dining establishments, coffee shops, and shops; reducing service expenses for clients through items such as the H Plus membership program, and enhancing client experience and dependability.

On margin enhancement, the CEO stated minimizing shipment expenses is among the crucial motorists of success enhancement in the middle of greater expenses of recruiting and gearing up shipment carriers. The business depends on numerous chauffeurs, consisting of innovation, expert system (AI), and enhanced order-dispatch systems, to reduce expenses and improve functional effectiveness.

Aldamanhori discussed that client engagement with the HungerStation platform has actually almost doubled compared to 2 years earlier, supported by the business’s growth in the series of product and services readily available through the app and its relocation beyond dining establishment shipment.

The platform now provides items from drug stores, shops, and quick-commerce organizations, and has actually released brand-new monetary items, consisting of Mofawtar’s buy-now-pay-later service, which lets clients settle their orders at the end of the month.

HungerStation has actually likewise gone into the dining establishment and shop funding organization, leveraging its comprehensive information on shops’ efficiency and service volumes to assist identify the funding requirements of each shop.

Funding dining establishments and shops represents an extra income source for HungerStation while supplying funding services to companies running on the platform, assisting diversify income sources and enhance the business’s margins, he stated.

When it comes to the fastest-growing sections, Aldamanhori stated that around 34% of dining establishment and coffee shop orders in the market are presently put through shipment apps, while the share of online orders in the grocery sector stays at around 9% to 10%.

The fairly low share of app-based grocery orders represents a considerable development chance, the CEO stated, keeping in mind that raising the penetration rate to more than 20% of the overall market might double the size of the grocery shipment organization through apps.