Delivery Sector in Kuwait: Porter Express to Become a Dominant Last Mile and Fulfillment Provider in the Region

Established in 2012, Porter Express was created as a same day delivery service, focused on the delivery of food and other goods. Serving the B2C (business to consumer) market, they had been providing not only delivery services, but also providing their drivers and vehicles for rentals on a per hour basis. Due to a great deal of success, Makers Inc. purchased Porter Express in 2014. The company appeared poised for greatness as they were breaking through in a market that had very few significant players.

With the support of this new ownership group, Porter Express experienced rapid growth in both profits and market share. As the shipping industry kept growing, so too did the number of competitors. While Porter Express had been able to grow their revenue by over 5x in the early stages, these new competitors began to eat into profits. Although possessing over 40 vehicles and numerous clients, the company was operating at a loss. With demand waning and no other options, nearly 70% of the workforce had to be terminated in an attempt to keep the company afloat. With less demand and a service rapidly decreasing in quality due to these circumstances, some employees hung on to the company while others bid a tough farewell.

Porter Express was about to be dissolved. However, in 2018, the Jadeite Group stepped in and became a major shareholder. The Jadeite Group had had an eye on Porter Express for a while and was already well-known for their investments in private equity and the real estate sector. Under their guidance and with their financial backing, Porter Express looked poised for a rebuild.

The turnaround officially began in August of 2018. Part of this process involved the complete rebirth of the company through the creation of two new services: same-day and next-day bulk delivery. Due to the dire circumstances that Porter Express had faced, attracting new clients proved to be difficult, even though the overall health of the business was better than it had been in years. Faced with the decision to pull the plug or push through, the management team was able to secure a contract with the largest e-commerce and retail outlet in all of Kuwait. With the securing of this contract, Porter Express was able to stay in business and become one of the most formidable and respected players in the entire market.

Today, Porter Express serves some of the renowned companies in Kuwait and the surrounding region. The company has continued to grow and now offers new services such as fulfillment, return services, bulk mail, and international delivery services, among numerous others. Since achieving profitability by the end of 2020, Porter Express is looking to achieve its vision of becoming a dominant last mile and fulfillment provider in Kuwait and the greater regional markets.

“For us, it is important to have a good team and a good business model that will help us to grow in the future,” said Aamir Mullaji, Business Development and Accounting Specialist at the Jadeite Group.

Porter Express knows what they bring to the table with the right team in place and by utilizing and investing in the latest technologies. With a strong Board of Directors in place and a clear vision for the future, Porter Express is currently seeking investors as they move into the next phase of their journey and look to grow into an even greater force in the delivery market. With their eyes fixated not only on Kuwait, but countries like Saudi Arabia, Bahrain, and Qatar, switching to more of an automated approach along with onboarding new team members will be essential to the achievement of that goal.

When asked about the journey that he and Porter Express have experienced to this point, Mullaji made clear that he and the rest of the company understand the value of success and how difficult it can be to sustain.

“When we look back, we know that none of this would be possible without the persistence and perseverance of our team. Without their hard work and effort, there is no Porter Express today. In 2021, we are determined to not only keep growing and expanding, but to continue to provide excellent delivery services on time and with a smile.”

For more information, please visit: https://porterex.com.

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