Utilizing ADNOC service stations as expeditious distribution centers to accelerate the growth of swift commerce in the UAE
In a groundbreaking move, Noon, the UAE's leading digital delivery platform, has partnered with ADNOC Distribution, the nation's largest fuel and convenience retailer. This strategic alliance aims to redefine quick-commerce in the UAE by combining ADNOC’s physical presence and supply chain strength with noon's digital delivery expertise [1][3].
The partnership focuses on accelerating last-mile delivery by integrating noon's quick-commerce capabilities with ADNOC's extensive retail network across the UAE. This collaboration allows noon to place fulfillment hubs—called "noon Minutes"—within ADNOC Distribution's widespread service stations, leveraging ADNOC’s large network of retail locations to speed up delivery times and enhance convenience for customers [3].
Practically, this means ADNOC Distribution’s retail points become strategic fulfillment centers for noon’s delivery operations. Customers will benefit from faster access to a broader range of products, particularly ADNOC Oasis goods, through quick deliveries facilitated by this synergy. The partnership also supports ADNOC’s growth in non-fuel retail transactions by tapping into noon’s strong digital customer base [3].
The partnership aligns with broader innovation and local business support initiatives, as ADNOC champions homegrown products and partners with Emirati entrepreneurs [1][3]. Eng. Bader Saeed Al Lamki, CEO of ADNOC Distribution, stated that the partnership is a step towards transforming service stations into "smart convenience hubs," powered by technology and focused on enhancing customer experience. Noon's CEO, Faraz Khalid, echoed similar sentiments, stating that the collaboration would help Noon "redefine convenience" by combining its digital platforms with ADNOC's physical infrastructure [2].
Beyond last-mile delivery, both companies will collaborate on AI-powered logistics initiatives, including smarter inventory management, real-time route planning, and personalized recommendations through the ADNOC Rewards program [3]. This collaboration is part of ADNOC Distribution's broader strategy to grow its non-fuel retail business. For Noon, it represents a significant move as it continues to expand its footprint in the region [4].
Noon, an ecommerce platform in the Middle East, has raised funds in the past for its operations and growth. It is backed by Saudi Arabia's Public Investment Fund and Emirati businessman Mohamed Alabbar. Noon riders will handle the logistics for these deliveries [4]. The announcement was made under the leadership of MB Staff.
With the integration of Noon Minutes hubs into ADNOC Distribution service stations, the reach of Noon's 15-minute delivery service will expand. This partnership is set to revolutionize quick-commerce in the UAE, significantly enhancing last-mile delivery efficiency and customer reach in the region [3].
[1] ADNOC Distribution: https://www.adnocdistribution.ae/ [2] Noon: https://www.noon.com/ [3] Press Release: https://www.adnoc.ae/en/media-centre/press-releases/2022/noon-adnoc-distribution-partnership-to-accelerate-last-mile-delivery-in-the-uae [4] Investment: https://www.arabianbusiness.com/companies/noon-secures-additional-funding-as-it-prepares-for-ipo-585455.html
This strategic alliance between Noon and ADNOC Distribution will expand the reach of Noon's 15-minute delivery service, as Noon Minutes hubs are integrated into ADNOC Distribution service stations, aiming to revolutionize quick-commerce in the UAE by leveraging technology in last-mile delivery, inventory management, and personalized recommendations.
In addition to enhancing delivery efficiency, this partnership also supports ADNOC’s growth in non-fuel retail transactions by tapping into noon’s strong digital customer base and utilizing data-and-cloud-computing technologies for smarter logistics.
