Business Advisory for Seamless Entry into the GCC
About Savana Trading Co. Savana Trading & Consulting Co. is a specialty advisory and consulting firm for premier clients and corporations in the Middle East and abroad. With a solid understanding of the GCC market, we ensure our clients operational goals and growth plans are aligned with existing and emerging market conditions. Our broad range of services and global network of business leaders, investors, stakeholders and Family Offices allow us to deliver excellence in the Food & Beverage, Health & Nutrition, Chemicals & Adhesives, OEM Distribution and Fashion & Retail Industries. 2
What We Do Our experience has led us to identify a multitude of opportunities for our clients to successfully launch business ventures in the GCC. Whether we are incubating new business ideas, creating concepts, forming strategic alliances or operating business models within the GCC, our consultancy provides a blueprint for clients looking to the GCC for expansion. BUSINESS STRUCTURES Joint Ventures Strategic Alliances Equity Partnerships Foreign Investor Saudi Arabian General Investment Authority BUSINESS AGREEMENTS Master Franchise Master Development Distribution Manufacturing Service Level To learn more about the Business Climate in the GCC, visit SavanaKSA.com/Corporate-Services. 3
Services We are a full service business consultancy delivering value in the following areas: BUSINESS DEVELOPMENT Identify gaps in target industries. MARKET RESEARCH Foresee opportunities for strategic positioning. BUSINESS STRATEGY Operations, sourcing and human resources. ALIGNMENT Ensure investments align with corporate vision. GCC ENTRY Leadership for corporations seeking GCC entry. 4
Business Development Savana offers business development consultation for companies looking for strategic opportunities and market gaps in various industries. Our specialties include fashion retail, consumer goods, health & nutrition, food & entertainment, fitness & wellness, construction & chemical products and specialty manufacturing. COMPETITIVE EDGE Our global network of executive business leaders and political contacts gives us a competitive edge not found among other business advisory firms. 5
Market Research We offer insight through high level market research and feasibility studies for groups exploring strategic positioning for emerging new markets. Due diligence studies Gap analyses Business plans Financial models Go-to-market strategies STRATEGIC POSITIONING Now more than ever, the international business community is looking to the Middle East for new opportunities for investments. Increased purchasing power, population growth from outside the region and shifts in consumer behaviour represent several economic factors positively influencing the region s growth. 6
Business Strategy We provide clear and structured business strategy involving operations, strategic sourcing, procurement and human resource capital management to enable effective implementation with a positive effect on project investment. As an incubator of business ideas and concept creations for a consortium of companies in the GCC, we help fortify our clients investment portfolios by working to create sustainable economic growth in the GCC and substantial returns for local stakeholders. 7
Alignment We help ensure project investments, brand identity, human resources and operational strategy align with corporate strategy and shareholders vision to ensure all parts of the organization work together effectively to achieve a common goal. BUSINESS BLUEPRINTS Being good stewards of our clients brands is an important way in which we help them integrate into the GCC. Corporate philosophy, shareholder vision, brand equity, mission and values are all important parts of a company s DNA. By keeping in tact a brand s identity, we help corporations stay true to their business blueprint while adhering to cultural dynamics in the region. 8
GCC Entry We identify and define all business challenges in GCC operations and relay information to both foreign and domestic partners while creating robust, reliable and repeatable solutions. We work with companies, distributors and suppliers across a global market to provide diversified business advisory, project management and business development services including: Research & Discovery Gap Analyses Business Concepts Partnership Strategies Competitor Analyses Brand Development Marketing Strategies Logistics & Operational Facilitation Operational Implementation Strategy Ongoing Management and Advisory Board 9
Navigating the GCC Doing business in the GCC may present some challenges for international companies new to the region. By identifying, defining and creating solutions for those business challenges, our business process helps mitigate risk for a seamless entry into the GCC while honouring corporate philosophy and brand DNA. WHAT IS THE GCC? The Gulf Cooperation Council (GCC) is a political and economic alliance of six Middle Eastern countries including Saudi Arabia, Kuwait, the United Arab Emirates, Qatar, Bahrain and Oman. Learn more about our Business Process for GCC Entry. Go to SavanaKSA.com/Corporate-Services. 10
Our Partners Our partners in the GCC and abroad operate recognized brands in the following industries: HEALTH & NUTRITION FOOD & BEVERAGE INDUSTRY FASHION RETAIL & ACCESSORIES CHEMICALS & ADHESIVES FACILITY SERVICES OEM & DISTRIBUTION 11
Our Partners 3C RAND INC. 12
Health & Nutrition The Health & Nutrition industry comprises one area in which Savana Trading & Consulting Co. has embraced as a major area of growth potential as we observe an increased demand for wellness services and nutrition products that meet the dietary needs of people of various ethnic, religious, and lifestyle origins. Factors affecting this growth include an increasing level of affluence in the general population and increased consumer awareness of nutritional health in areas of organics and protein supplements. Finally, because food production in the Middle East region is restricted due to its arid climate, the GCC market is heavily reliant on imports to meet these demands. 13
Health & Nutrition Vital Nutrition Company, a Joint Venture between Savana Trading and AMIAS Holding, created VINU, the brand trade name that focuses on the importing and distribution of Sports Supplements, Health & Beauty and Vitamins & Nutrition products and services in the Kingdom of Saudi Arabia. Company Website: www.vinu.com.sa 14
Health & Nutrition Vital Nutrition Company was created to execute the operations of Nutrishop in Saudi Arabia with Savana s team focusing on the Management, Marketing, Implementation and Brand Identity of Nutrishop in KSA. ABOUT NUTRISHOP NUTRISHOP is one of the fastest growing retail nutrition chains in the U.S. offering cutting edge nutritional supplements at affordable prices. Nutrishop Middle East is currently operating in Kuwait, Qatar, Dubai and Saudi Arabia. With the consultancy approach of Nutrishop Middle East, it will provide weight management programs, nutritional programs as well as overall healthy living advice, products and strategy individually designed for each client. Company Website: www.nutrishopksa.com 15
Health & Nutrition Savana signed an exclusivity agreement with Leejam Sports Company. Under the banner of Fitness Time and along with Vital Nutrition Company, Savana s operational arm in the health and fitness category, this store-in-gym concept allows the company to expand its offering by providing high quality sports supplement products, weight loss management programs, nutritional programs and healthy living strategies to over 160,000 gym patrons at 50+ gym locations in the Kingdom of Saudi Arabia with the intention of rolling out the same concept to all of its 100 locations. ABOUT FITNESS TIME Fitness Time is a sports and fitness chain in the Middle East and North Africa that provides mind and body fitness programs through its facilities equipped with technologically advanced equipment, highly qualified staff and exceptional experience. Company Website: www.fitnesstime.com.sa 16
Health & Nutrition Working with the Health & Fitness Division of Almuftah group, Savana was able to expand the company s retail operations into the Sports Supplements & Vitamins Industry. Savana negotiated the terms and conditions for Almuftah to become the master franchisor of Nutrishop in Qatar and continually aid in the operations infrastructure needed for Nutrishop in the Qatar market. Savana has also been advising on areas of product approvals, product offering and warehousing & distribution. ABOUT ALMUFTAH GROUP Almuftah Group is the owner and operator of numerous brands in Qatar including AnyTime Fitness, a 24-hour fitness centre chain with locations all over the world. Company Website: www.almuftah.com 17
Health & Nutrition Working with Nutrimin Canada, Savana Trading & Consulting Co. introduced a Canadian formulated Halal vitamin line to the Saudi market. Due to its extensive working knowledge of the sports supplement and vitamin market, and through synergies between Nutrimin Canada and Savana-owned Nutrishop Saudi Arabia, Savana was able to secure approval with the Saudi Food & Drug Authority (SFDA) while helping the company navigate other potential roadblocks to GCC entry. ABOUT NUTRIMIN Nutrimin is a supplier of 100% vegan and halal vitamins and nutritional supplements in Canada. Every bottle marketed by Nutrimin is manufactured in GMP-compliant facilities that have been approved by both the Federal Drug Administration as well as Health Canada. Company Website: www.nutrimin.ca 18
Food & Beverage Savana has become involved with several internationally recognized food and beverage brands, as sales in the food and beverage industry are expected to grow. An increasing level of affluence, increased consumer awareness of international foods, more tourism and growing populations of expatriates living in the region are all factors which attribute to this growth. 19
Food & Beverage After evaluating and researching the fast casual food sector in the Kingdom of Saudi Arabia, Savana identified gaps in healthy eating alternatives. Due diligence studies on healthy eating brands in North America revealed Pita Pit to be the brand in which Savana would engage in negotiations on behalf of Agthiatona, the master franchisor of Pita Pit Saudi Arabia. Savana was able to utilize all of its local resources to set up the first two locations while coming in 15% under budget. Savana has now secured two new locations on behalf of Agthiatona and will now manage the opening and ongoing operations on behalf of the shareholders. ABOUT PITA PIT Pita Pit is a healthy, quick service restaurant offering fresh ingredients grilled to perfection and fully customizable wrapped in a Pita. Company Website: www.pitapitksa.com 20
Fashion Retail The retail sector in the GCC is expected to grow at a 7.3% CAGR and reach US$ 284.5 billion by 2018, according to a 2015 report by Alpen Capital (3), with Saudi Arabia holding the largest share (46.4%) of the region s total retail sales. A desire for the latest technologies and state-ofthe-art retail facilities has led to the construction of large shopping malls and retail venues to meet this demand. 21
Fashion Retail Savana was contracted by DAITCO, a retail group in Saudi Arabia that operates Loft Design By retail locations, to provide market research, brand selection and brand negotiations. Savana led the marketing strategy for Loft Design By by creating social media marketing plans and key influencer events. The newest store opened in October 2015, and the first VIP of Fall/Winter Collection event was held in November 2015 where over 60 VIP clients attended, driving more than 50,000SAR in sales on the day of the event. ABOUT LOFT DESIGN BY Loft Design By is a boutique clothing retailer with an emphasis on socially and environmentally conscious manufacturing and sourcing of clothing and apparel. The company currently has 16 brick and mortar locations in France, Luxembourg and the U.K. as well as an e-commerce store. Company Website: www.loftdesignby.com 22
Fashion Retail Savana was contracted by DAITCO, a retail group in Saudi Arabia that operates Berenice retail locations, to provide services including market research, brand selection and brand negotiations. Savana assisted in obtaining a trusted contractor to complete the newest Berenice store opening at Hyatt Mall in Riyadh on time and within budget. Savana also created a marketing plan for Berenice, including social media marketing and key influencer events to successfully drive sales and raise awareness. ABOUT BERENICE Berenice is a European clothing retailer offering high fashion for men and women. The company currently has seven (7) brick and mortar locations in Turkey, Switzerland, the U.K. and Belgium as well as an e-commerce store. Company Website: www.berenice.net 23
Fashion Retail Savana has been contracted to provide market research, brand selection and brand negotiations on behalf of DAITCO, a retail group that operates Brums in Saudi Arabia. Savana was also hired to build the DAITCO Corporate profile as well as business advisory services in human capital, operational infrastructure and brand marketing. Savana has also created a marketing plan for DAITCO brands which includes events, social media and raising awareness through key influencers. ABOUT BRUMS Brums is a children s clothing retailer offering light and heavy childcare, maternity and children s apparel products with brick and mortar locations across Italy, Azerbaijan, Russia, Slovakia, Switzerland, Moldova and Bosnia and Herzegovina as well as an e-commerce store. Company Website: www.brums.com 24
Chemicals & Adhesives Savana has partnered with some of the world s leading chemicals and adhesives companies responsible for many of the products we use every day. Through strategic alliances and its vast network of industry partners, Savana has positioned itself on the forefront of industrial chemicals and adhesives application technology in Saudi Arabia. 3C RAND INC. 25
Chemicals & Adhesives 3C RAND INC. 3C RAND was created as an equity partnership with Savana and ALX technical to help commercialize a new, patented moisture barrier coating used on every day products such as blister packs, milk creamer cartons and other food packaging. After successfully initiating and conducting a series of executive board meetings with the largest paper convertor in the Middle East, this 100% recyclable coating is currently being evaluated and tested for a potential roll out to all North American and GCC facilities. 26
Chemicals & Adhesives Savana was contracted as an advisor to Ardex Middle East for distribution, applicators and specification implementation for government projects which utilize the Ardex portfolio of construction chemicals, paints and adhesives in Saudi Arabia. Savana recruited candidates for territory mangers in Saudi Arabia and successfully specified the products in high level projects such as Almarai, Nike Retail, GACA Domestic Airports and KAFD in Saudi Arabia. ABOUT ARDEX Ardex is an industry leader in the building chemicals sector with 40 subsidiaries in over 50 countries around the world. Company Website: www.ardex.com 27
Facility Services Driven by increased demand in various industries (Fashion & Retail, Food & Beverage, Health & Nutrition and Tourism), the Facility Services Industry is growing at a rate never before seen in Saudi Arabia. Tourism, a major driving factor behind the Kingdom s Construction boom, has brought with it more demand for facilities services such as janitorial, maintenance and hospitality. With this expansion comes higher budget allocations, allowing for new construction activities that further accelerate growth in this area. 28
Facility Services TBM Service Group and Savana have entered into a strategic alliance with Mayan Holding Group to offer a wide variety of services including janitorial services, transit cleaning, quality control technologies and surface disinfection. Mayan and TBM have aligned to recreate a Saudi Arabia based facility and residential maintenance company utilizing TBM s 30 years of experience in green cleaning technology, quality control, operational systems and overall management structure. Savana has been contracted to serve as the conduit between Mayan and TBM while conducting a feasibility study, creating a business plan with investment needs and ongoing executive management once the business is operational. Company Website: www.tbmservicegroup.com 29
Facility Services Savana has aligned with Green Clean Middle East to offer Green Cleaning Institute (GCI) of North America training rights in Saudi Arabia. Savana is a minority equity partner and advisor to Green Clean Middle East, a new entity spurred from Savana s strategic relationship with TBM Service Group, which won the contract to provide GCI service training to the General Authority of Civil Aviation in Saudi Arabia for the Prince Nayef bin Abdulaziz Regional Airport (formerly known as the Qassim Regional Airport) in Buraidah. ABOUT GREEN CLEAN Green Clean is an organization dedicated to providing effective green cleaning programs, education and training. Company Website: www.greenclean.me 30
OEM & Distribution Savana Trading & Consulting Co. partners include those in the OEM (Original Equipment Manufacturing) and Distribution Industry. Serving as both advisor and networking partner, Savana has helped facilitate growth for its partners in OEM and provided invaluable Distribution Industry knowledge for partners expanding into Saudi Arabia. MORE ABOUT OEM GCC economies rely on oil as the main source of export and fiscal revenues. Over the years, GCC governments have increased public sector employment and spending on infrastructure, health and education. This has helped raise standards of living and supports private sector activity, particularly in the nontradables sector. This diversification has opened importing opportunities with OEM products and distribution of these goods throughout the region. 31
OEM & Distribution Savana was contracted by Ecore International to advise on the distribution and sales of recycled sports flooring made the in U.S. By signing key accounts in Gulf countries (excluding the UAE), Savana was able to increase sales to more than $400,000 USD by landing key accounts including McDonalds in Riyadh and Fitness Time in the first year. Savana has also set up key distributors such as Delta Marketing in Saudi Arabia, GFS Trading in Kuwait and Almuftah Group in Qatar. ABOUT ECORE INTERNATIONAL Ecore International is a company that transforms reclaimed waste into athletic, commercial, construction and industrial surfaces for applications including playgrounds, weight rooms and turf fields for hospitals, hotels and retail environments. Company Website: www.ecoreintl.com 32
OEM & Distribution Savana was contracted by Gobana International, a commodities trading and processing company, to create and implement an expansion plan from the UAE into Saudi Arabia. Savana was chosen as the advisor due to its vast network of local business leaders in the food distribution and import business within the Kingdom of Saudi Arabia. ABOUT GOBANA Gobana International Inc. is an Ethiopia based commodities trading and processing firm specializing in coffee, cereals, oil seeds and livestock with an underlying socio-economic sustainability model that emphasizes peace keeping. Company Website: www.gobanainternational.com 33
OEM & Distribution Savana was contracted by Saudi Hala Auto to evaluate, engage and execute an exclusive distribution agreement for Saudi Arabia for emergency safety lighting products used in the emergency and public safety sectors within the Kingdom. After evaluating multiple companies, Savana recognized Federal Signal as being the best partner for Saudi Hala Auto. Through that agreement, Savana has also become a manufactures representative to further drive the sales of Federal Signal s other products. ABOUT FEDERAL SIGNAL Federal Signal Corporation is best known for its variety of emergency lighting, industrial equipment, public safety solutions and outdoor warning sirens operating under brands including Elgin, Bronto, Guzzler, Vactor, Victor and Jetstream. Federal Signal Corporation is based in Oak Brook, Illinois and is the employer of about 2,800 people. Company Website: www.federalsignal.com 34
OEM & Distribution As part of a Saudi Hala Auto expansion strategy, Hala Auto contracted Savana to conduct research into obtaining and negotiating the exclusive rights to an emergency vehicle lighting system to add to its portfolio. Savana has successfully entered into negotiations with one of the largest global manufacturers of emergency lighting products on behalf of Hala Auto. Company Website: www.halaauto.com 35
OEM & Distribution Savana was contracted by SMSA Express Transportation Co. Ltd. to create a brand name that allows consumers in Saudi Arabia to buy goods from U.S. retailers and ship goods to their preferred delivery address. During a weekly brainstorming session by the Savana team, STORE2DOOR was created. ABOUT SMSA EXPRESS SMSA Express is a provider of air-ground freight transportation services and logistics solutions in Saudi Arabia with over 20 years of service. STORE2DOOR services allow consumers in Saudi Arabia to buy goods from U.S. retailers and ship the goods to their preferred delivery address. Utilizing its largest delivery network in Saudi Arabia, SMSA Express STORE2DOOR serves more than 200 Cities, towns and villages and operates more than 210 retail outlets with a state-of-the-art Call Centre that provides 24/7 call and online chat support. Company Website: www.smsaexpress.com 36
Our Approach Our approach emphasizes both micro and macro perspectives in business development. More than just strategy development, our advisory services cover a broad range of topics from day to day operations to full business transformations. Our evidence-based business development programs focus on operations, strategic sourcing, procurement and human capital management. By offering holistic strategy development along side focused operational process improvements, our clients are able to leverage the opportunities present in today s global economy while looking to the future for opportunities on the horizon. 37
Our Approach Savana s business advisory services cover joint ventures, distribution agreements, concept creation and franchise agreements. BUSINESS PROCESS Our business process involves thought leadership, identifying and solving challenges of GCC entry, delivering projects on target, creating new processes and managing projects from the executive level. FEASIBILITY STUDIES Our analyses deliver insight to our clients regarding the formation of strategic relationships and positioning based on industry specific market conditions. 38
Business Process Our thought leadership helps reconcile short term revenue objectives with long term goals while ensuring project investments align with corporate strategy and shareholder vision. We identify new challenges related to GCC operations and create robust, reliable and repeatable solutions. Our business blueprints serve as a map to success by allowing projects to be implemented and/or delivered on target. We create new processes to ensure compliance with market, cultural and government policy restraints. Our executive level project management helps ensure projects align with the goals of the business. 39
Feasibility Studies With market research and feasibility analysis, companies can develop strategic relationships and positioning based on factors like market place, competition, available technology, human capital and financial resources. Due diligence studies, gap analyses, business plans, financial models and go-to-market studies offer exploratory analyses which may reveal opportunities and mitigate risks. Clear and structured business strategies positively impact project investment. At Savana Trading & Consulting Co., research and due diligence are pivotal to our success. With a solid understanding of the GCC market and unwavering standards of excellence, we ensure our clients operational goals and growth plans are aligned with existing and emerging market conditions. 40
Standards of Excellence SAVANA TRADING & CONSULTING CO. STANDARDS OF EXCELLENCE REVOLVE AROUND OUR VALUES VISION Our vision is to deliver innovative new business concepts that are both socially responsible and profitable for shareholders and partners. Savana s management are dedicated to providing excellence in client services and offering creative approaches, superior advice and execution capabilities, based on in-depth understanding and analysis of the market in the GCC. MISSION Our mission is to facilitate and participate in the formation of alliances between international corporations and business leaders in the GCC. By creating new business opportunities involving joint ventures, strategic alliances, equity partnerships and foreign investments, we help organizations achieve their goals while preserving corporate culture and brand identity. VALUES Client Value Creation, Integrity, Respect and Excellence form our values. By placing our client s interest ahead of our own, we deliver more than is expected. Integrity and Respect inspire trust and set a model for us to always do the right thing. Finally, by accepting nothing less than Excellence, we attract the best people and offer world class, win-win relationships. 41
Contact Us SAVANA TRADING & CONSULTING CO. PO BOX 12800 RIYADH 11473 KINGDOM OF SAUDI ARABIA Phone: 1-888-401-8881 (North America ) +966-11-4897747 (Saudi Arabia) Email: info@savanaksa.com Visit savanaksa.com/contact to send us an inquiry. 42