Channel Summit MENA 2024: An Annual Forum for Consumer Tech Channel to Convene

In an exclusive interview with Arabian Reseller, Farouk Hemraj, the Founder and CEO of ChannelHub, and the Organiser of Channel Summit, speaks about what to expect from the inaugural Channel Summit MENA in February 2024

Now that you’re back with the Channel Summit, what can exhibitors and attendees expect?
We previously hosted an annual forum where stakeholders from the consumer tech channel would convene. The primary objective of our new Channel Summit remains unchanged: to bring together regional electronic retailers, brands, manufacturers, and distributors. The aim is to foster reconnection, showcase the latest products, and introduce international brands not yet established in the region. While the format remains largely the same — a day-and-a-half event filled with meetings — our strength lies in prescheduled meetings and exclusive, invitation-only events.

A new addition is the Electronic Channel Strategy Forum, a one-day event tailored for senior-level executives in both retail and vendor roles. This forum addresses contemporary challenges such as digital transformation and sustainability through various panels and speakers. Essentially, we cater to two distinct audiences: category heads, managers, and merchandise managers attending the main event with one-on-one interactions and exhibition areas, and strategic-level executives participating in the specialised program.

“In the technology industry, where profit margins are consistently under pressure, events like ours become crucial in addressing these challenges. Beyond our event, numerous entities are contemplating entry into the region, actively seeking the right partners for collaboration and I think our event can aid in that.”

What sort of pain points is the regional channel facing? And how can they be sorted out?
We find ourselves in a challenging era marked by various difficulties, including the increasing cost of money and significant disruptions in the supply chain. With COP28 underway now, which is a crucial event addressing sustainability, we recognise the immense responsibility within the consumer products sector. This responsibility extends to stakeholders, be they vendors or retailers, urging them to enhance their processes and offer more sustainable products. Moreover, there is a pressing need to educate the end-users, encouraging them to find compelling reasons to alter their behaviours.

Given the expensive nature of money, larger organizations, particularly holding companies involved in diverse activities like F&B, fashion, and electronics, are reassessing their portfolio of activities. In some cases, electronics may not be as lucrative, prompting a demand for increased efforts in profitability within retail operations. For instance, recent decisions by major players to withdraw from markets, such as Saudi Arabia, reflect the outcomes of strategic reviews in response to the costly financial environment. Such decisions, though challenging, are necessitated by the need to adapt to less favourable financial conditions.

In the technology industry, where profit margins are consistently under pressure, events like ours become crucial in addressing these challenges. Beyond our event, numerous entities are contemplating entry into the region, actively seeking the right partners for collaboration and I think our event can aid in that.

Do you have any strategies for organising in-person events that include matchmaking opportunities?
Certainly, we have concrete plans in terms of offline activities that incorporate matchmaking elements. For instance, during events such as CES or IFA, we initiate side events, such as the one held in Berlin in September — a condensed version of our main event, conducted as an evening function. These sessions involve prescheduled meetings, typically lasting around seven minutes each, fostering effective matchmaking.

Additionally, participants engage in product pitches within a 60-second timeframe, mirroring elements from our main events. Networking opportunities are also integrated into these smaller gatherings, providing a valuable complement to the overall experience. Moreover, we’ve developed an online program, initially prompted by the necessity during the COVID era. In this online format, we’ve introduced a role reversal compared to traditional events, where vendors typically present and buyers listen.

Instead, we periodically invite a group of buyers from a specific region to share their insights through interviews. These discussions delve into their experiences, detailing criteria for selecting new suppliers and highlighting common mistakes vendors make in their markets. This online program serves as an educational platform, especially beneficial for new brands, such as those from Asia looking to enter the European market, providing valuable insights into how the industry operates.

Do you also work with any of the industry associations such as DCG?
Yes, we’re currently in discussions with the Dubai Computer Group (DCG), and I have a few meetings scheduled with them. We’re exploring the possibility of their involvement, particularly concerning tax-related matters, such as corporate tax, VAT, and the newly introduced reverse charge mechanism impacting the electronics sector. It’s an area they aim to address, and we’re looking to incorporate their expertise into our efforts. Additionally, we’re in contact with the computer group, and discussions with them are ongoing.

Regarding technology trends, what notable shifts or emerging areas have you observed recently?
From our perspective, we perceive significant innovation in the SDA (Small Domestic Appliances) market. It’s an area we are keen to incorporate into our discussions. Our focus extends beyond IT and mobile to include SDA, particularly those aligned with the concept of a smart home. Many SDAs in this category contribute to energy efficiency, aligning with the growing emphasis on connected products that help reduce energy consumption — an aspect that is increasingly considered important in today’s context.