Digikala, Tycoon of E-commerce Start-ups in Iran

  • publish date : 2018/06/02
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Digikala, Tycoon of E-commerce Start-ups in Iran

Digikala, Tycoon of E-commerce Start-ups in Iran


Digikala is the biggest and the most fast growing e-commerce startup in Iran. The corporation was launched by twins, Hamid and Saeed Mohammadi in July 2006, and since then, Digikala has become the biggest online retailer shop in Middle East, being worth close to 1 billion dollars.

With the same day delivery in the capital, Tehran, and maximum three-day delivery in other cities, Digikala has around 750.000 visitors daily. What makes Digikala unique, in spite of the constant emergence of e-commences in Iran, is the reviews provided for each product. The idea first popped into these young entrepreneurs’ minds, when they couldn’t find the camera they were looking for in the Iran’s market. But how did it really all begin?


Digikala, Tycoon of E-commerce Start-ups in Iran


  • Digikala’s Early Days

 

Hamid and Saeed Mohammadi, both graduated from prestigious Sharif University, were 25 when they felt the need for more information on high-end technology products. With 10.000 $ saving, they launched the website, focusing mainly on technology products and gadgets. The corporation started with 5 people. As a result, the founders delivered orders themselves all across Tehran for a year.

 The genius idea behind Digikala, was not merely an Amazon style e-commerce, but the information and reviews given on the products. With the rich knowledge of the high-tech gadgets, due to their passion for the internet, which was still a new thing in Iran during 2005-2006, the brothers began writing reviews not only for the products on Digakala, but also, on any new coming technology in the world. This feature made a great base for Digikala. The reviews were highly appreciated by the Iranians who were unfamiliar or unaware of the present high-end technologies.

Suffice it to say that, the content provided in Farsi in Digikala was a game-changer. As Hamid Mohammadi the CEO, recalls: “we wanted to buy a camera, but there was not a single review in Farsi on the Internet.” The lack of content in Farsi was the needed incitement or better say inspiration, to create the start-up Digikala, as we know it today.


Digikala, Tycoon of E-commerce Start-ups in Iran


  • Digikala, Ascending the Ladder of Growth

 

The corporation once started with 5 people as their overall staff. After a decade, there are currently around 3000 people working in Digikala, to compete in e-commerce world with international competitors. As for the content marketing team, Hamid Mohammadi says: “We have our own studio and a 100-strong content team. They test the products and shoot and edit reviews”.

In 2012, Digikala attended the Iran’s Annual Web festival. Coming first as the best online retailer shop, Digikala found the investors to develop and bring the start-up to new levels. The Samava corporation was Digikala’s biggest investor at the time.

In 2014, Digikala was catching the eyes, as the Washington Post and The Guardian Magazine, both did exclusive interviews with the founders. Digikala was often compared with Amazon, calling it the Iranian Amazon. The distinguishing fact, however, would be the rich updated reviews on every single product on Digikala, a feature Amazon lacks largely.


Digikala, Tycoon of E-commerce Start-ups in Iran


Digikala’s value

By 2015, Digikala’s value was estimated 500 million dollars, and ranked as the second most visited Iranian website.

In 2018, the founders, Hamid and Saeed Mohammadi have estimated Digikala’s value around 800 million dollars, making it the first e-commerce reaching the 1-billion-dollar e-commerce in Iran’s digital industry.

 Digikala provides more than 300.000 products per day. Recently it has also decreased the time for order process to less than 20 minutes. Digikala has extended the range of products, including home appliances, books, and entertaining or beauty, products all with detailed reviews provided.

with the same day delivery in Tehran and maximum three-day delivery all across Iran, this online retailer shop developed its business, and in 2016, launched another online retailor website called, Digistyle, mainly focusing on the latest fashion in clothes and accessories.


Digikala, Tycoon of E-commerce Start-ups in Iran


“Iran has one of the youngest, most highly educated populations in the region,” Hamid says. “For them, technology isn’t a luxury. It’s the fabric of their lives. They will get it, even if it is difficult to afford.”

 Digikala has more than 750.000 visitors daily, so it can be easily concluded that the need or passion for new technologies is growing faster than ever in Iran, much of which is owed to Digikala which created the first platform for introducing the new technologies to Iranian population


Digikala, Tycoon of E-commerce Start-ups in Iran

Author : Parasto Piyadeh

(Markepeima Content Team)

Photos By: Amir Farzane click.ir website

Digikala website: www.digikala.com