Taager, an Egypt-founded social e-commerce platform, has secured $6.75 million in a pre-Series B funding round led by Norrsken22, a tech growth fund focused on Africa. The investment underscores growing investor interest in the burgeoning social commerce sector within the Middle East and North Africa (MENA) region.
Existing investors, including BECO Capital, 4DX Ventures, RAED Ventures, and Breyer Capital, also participated in the round, alongside new backers Endeavor Catalyst and Beltone VC. The funding will be used to accelerate Taager’s expansion across the MENA region, capitalizing on the rapid growth of online shopping through social media platforms.
Founded in 2019, Taager provides a platform that enables individuals to launch and scale their own online businesses by managing product sourcing, warehousing, shipping, and payment collection. The company currently operates in Saudi Arabia, Egypt, the UAE, and recently expanded into Iraq. It claims to have empowered over 45,000 merchants and facilitated sales to millions of consumers.
The MENA region’s social commerce market has witnessed significant growth in recent years, driven by high social media penetration and a preference for shopping through trusted networks. According to industry estimates, social e-commerce in the region surpassed $14 billion, representing over 30% of all e-commerce sales. Globally, the market is projected to reach $2.5 trillion by 2025.
Taager aims to address the challenges faced by social sellers, such as complex supply chains, limited access to capital, and difficulty reaching a broad customer base. The platform offers a range of tools and services, including access to a product catalog, data-driven insights into pricing and marketing, logistics support, and embedded financing options.
“Our mission is to empower anyone to start and scale a profitable social e-commerce business,” said Mohamed Elhorishy, co-founder and CEO of Taager. “We’re particularly focused on enabling women, young people, and low-income earners to achieve financial independence.” Taager claims to have increased the profitability of its merchants by an average of 2.5 times.
Nivesh Pather, Principal at Norrsken22, commented, “Taager is redefining e-commerce in the MENA region by empowering thousands of entrepreneurs. The team has demonstrated an exceptional ability to scale profitably across multiple markets, including Saudi Arabia. We are excited to partner with them in their next phase of growth.”
The funding announcement comes amidst a dynamic period for the MENA tech scene. While some startups have faced challenges in securing funding in the current economic climate, investors remain optimistic about the long-term potential of the region’s digital economy. Taager’s successful fundraising round suggests that investors are still willing to back companies with strong business models and a proven track record.
The company’s expansion plans will focus on further developing its data insights capabilities, expanding its product offerings, and strengthening its team. Taager believes that its proprietary data, combined with advancements in machine learning and generative AI, will enable it to provide increasingly personalized and efficient services to its merchants.
The company’s managing director in Dubai, Mohamed Tarek, recently joined Taager after his previous venture, Egyptian fintech Cassbana, faced difficulties. Mr. Tarek’s experience in scaling e-commerce businesses, including his own online brand Aroura, is expected to be a valuable asset to Taager as it expands its operations in the region.