Hisense has formed a strategic partnership with UAE-headquartered, FGT FZE, a prominent sales and distribution company dealing in a variety of product categories including consumer electronics, medical equipment, and other related products. Through this partnership, Hisense aims to strengthen its organised retail (OR) business across the UAE by improving and optimising its product availability, market penetration as well as accessibility in the seven Emirates.
This partnership will facilitate Hisense to grow the business by an estimated 50% by 2022 in the UAE market. FGT FZE’s impressive distribution network in all major electronic organised retail (OR) channels, logistic facilities, and expertise will be leveraged to enhance the business fundamentals to drive additional growth as well as better and efficient service to our channel partners and end consumers.
The partnership was announced at a signing ceremony held between Hisense and FGT FZE on Tuesday, 21st September at a hotel in Dubai. The event was attended by several representatives from both corporate organisations, including Jason Ou, Managing Director of Hisense Middle East and North Africa, Ismail Al Hurani, COO of Hisense Middle East, Tavassoli, Chairman of FGT FZE and Abdullah Shaghnobi, GM of FGT FZE, and other top management members from both the organizations.
During the ceremony, Jason Ou, Managing Director of Hisense Middle East and North Africa said, “Apart from being one of the top markets of consumer electronics and appliances in the MENA region, UAE is also a regional hub and strategic market to drive the regional electronic business. With an upsurge in purchasing power, the UAE’s fast-growing population is looking for innovative, technologically advanced, and affordable televisions to improve their lifestyle through fully smart and connected products. This is evident considering the estimated market growth of about 12% in 2021 despite the effects of a pandemic. Also, the most awaited event of 2021 which is Dubai Expo will prove to be a driving force to create much bigger demand and put the market on a further growth trajectory.”
“We believe it’s important for Hisense to cater to the masses and their demand for innovative and technologically advanced televisions. Our partnership with FGT FZE will ensure that Hisense TVs are available to the consumers, at all major retail outlets, through efficient operations and optimised delivery and installation,” Ou said. Hisense sales have been growing recently in the Middle East with a 116% growth rate in the first half of 2021; compared to 2020. Sales growth in TV sets specifically has increased by 94%, while air conditioners sales grew by 120%, and the overall Hisense home appliances sales by 134%.
He also noted that Hisense has always been a major player in global sports sponsorships and has successfully used sponsorship to build global brand awareness through leading platforms such as the UEFA Euro 2016 and 2020, the Australian Open, NASCAR Xfinity Series, Red Bull Racing, Joe Gibbs Racing, Germany’s FC Schalke 04, FIFA World Cup 2018, and Paris Saint-Germain. Continuing its sports marketing momentum, Hisense will also be the official sponsor of the FIFA World Cup 2022.
Talking about the partnership, Abdullah Shaghnobi, GM of FGT FZE said, “We are pleased to sign the agreement here today with a market-leading TV brand like Hisense as we work collaboratively with a common vision to expand the distribution network and improve the market penetration to achieve the business growth. FGT being a major player in Consumer Electronics distribution segment, I am confident that our resources, experience, and access to the market will open doors to more opportunities and mutual growth.”
Ismail Al Hurani, COO Hisense Middle East concluded, “this partnership will be a milestone for both the companies to leverage each other’s strengths and expand their business footprints whilst solidifying their market position in the county. Hisense TV category is fast expanding through an innovative line-up of extra-large televisions like Hisense 4K Laser TV, available in various screen sizes from 88-inches to 150-inches; such products need more customised distributions as well as service & installation. And this partnership will play an important role in the laser TV business development as the demand for Laser TV is increasing exponentially.”