Compound, a new save now, buy later fintech, is officially set for launch in the Middle East, with an aim to help customers save for a purchase with their favourite brands and get rewarded for doing so.
Compound partners with brands to provide a unique savings-led shopping experience. Customers can proactively save with their preferred brands in advance, such as saving for a forthcoming vacation with their favourite airline. As a reward for their savings, consumers earn enticing rewards directly from the brand at each savings milestone.
According to a National Bonds survey published by Gulf News, savings culture is on the rise in the UAE. In fact, just shy of 90 per cent of people there have set financial goals for 2024. Equally, according to data released in 2023 by Saudi Arabia’s central bank, Saudi citizens have achieved their highest-ever savings rate in over a decade.
Brands, on the other hand, are grappling with rising customer acquisition costs and fierce competition. Compound presents their partner brands with the opportunity to capture prospective buyers early, and provides an avenue to build deeper relationships throughout a customer’s savings journey.
Compound was founded by Shashank Narayanan, a founding team member of Sarwa, the leading investment platform in the UAE. Sarwa has received over $25million in investments from Mubadala, 500 global and Salica Investments.
“It’s about time consumers are given an opportunity to earn better rewards by saving up for a purchase, and we’re able to offer this by helping brands build deeper relationships with prospective buyers,” explained Narayanan. “Our goal is to enable financial wellness at every purchase – for consumers and brands alike.”
Shashank Narayanan, founder of Compound
The startup was incubated with HP Spring Studios, a venture studio in partnership with Salica Investments (formerly, Hambro Perks) and Bahrain’s Al Waha Fund of Funds.
Zainab Khamis, head of HP Spring Studios Bahrain, announced the first spinoff of HP Spring Studios, hailing it as a significant milestone. Zainab expressed confidence in Compound’s ability to drive positive change for consumers and encourage healthy financial habits in the Middle East. This development is particularly significant for Bahrain, showcasing the country’s growing role as a hub for fintech innovation and entrepreneurship in the Middle East.
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