Rabbit Expands to Saudi Arabia With Regional HQ in Riyadh

Egyptian quick commerce startup Rabbit has expanded into Saudi Arabia, setting up its regional headquarters in Riyadh as part of its broader Gulf Cooperation Council (GCC) expansion strategy.

The move comes after the company secured a commercial license from the Kingdom’s Ministry of Investment in 2022, paving the way for operations to begin through a network of dark stores positioned across key neighbourhoods in the capital.

Rabbit aims to complete 20 million deliveries across major Saudi cities by 2026, leveraging its AI-powered recommendation engine and 20-minute delivery model to appeal to a growing e-commerce market. Saudi Arabia’s grocery sector, valued at $60 billion, currently has an online penetration rate of just 1.3%. A projected increase to 4% could translate into a $2 billion opportunity, making the market an attractive starting point for Rabbit’s regional plans.

More than 60% of Rabbit’s suppliers in Saudi Arabia are local, with inventory focused on essential household items and popular local products. This localised approach aligns with Saudi Arabia’s Vision 2030 objectives, which emphasise the growth of the digital economy, the empowerment of small and medium-sized enterprises, and the attraction of foreign investment.

Rabbit’s operations focus on logistical precision, inventory control, and customer experience, with the goal of delivering goods quickly and efficiently. The company’s track record in Egypt includes over 40 million deliveries to 1.4 million customers and an 8.5-fold increase in revenue over the past two years.